Have you ever heard of the financial advisor Suze Orman? She is always on TV giving out personal finance advise. She has done a 180 degree turn on credit card debt. She use to tell you to pay off your credit card debt with the extra cash you have at the end of each month. Now she is saying to take that money and build your emergency fund first. An emergency savings fund should equal 8 months of your current take home pay.
I think that is great advise because in today's economy, you never know what will happen with your job. You could be laid off today and then what? So the advise that she gives is to pay your minimum payment on your credit cards and start to save for emergencies. After you build up 8 months of savings, then turn your attention to paying off your credit cards. I agree with this advise 100%. Everyone needs a emergency account to fall back on in troubled times.
To your personal and financial success!
Showing posts with label credit cards. Show all posts
Showing posts with label credit cards. Show all posts
Thursday, July 2, 2009
Tuesday, March 17, 2009
Build Wealth with less credit card interest!
First of all I want to say yahoo!!!!! to the DOW being up again. Going up 5 times in the last 6 trading days has to get everyone excited. Maybe the economy is heading in the right direction. No one really knows, but the big investors must be hearing something they like. Lets just hope that we are heading in the right direction.
Credit card companies are designed so that once you get in to debt and pay the minimum payment, you will never pay it off. They love having people in that position. What a lot of people don't know is that if you call them and ask them to lower their interest rate, a lot of them will drop your rate. "Simply by asking". Tell them that you have other offers that are much lower then they are. They won't want to lose you as a customer. A lower rate is better then nothing. If this doesn't work, play the credit card game! Take the offers that give you a low rate and transfer your balance to them. I've seen offers for 0% for 12 months. Remember to cancel your current card after you do that so you don't have to many open credit lines on your credit report. After you do this, "Do Not" use your card anymore. If you can't afford to buy it with out using your credit card, then you can't afford it! Always live with in your means.
I wish everyone financial success!
Credit card companies are designed so that once you get in to debt and pay the minimum payment, you will never pay it off. They love having people in that position. What a lot of people don't know is that if you call them and ask them to lower their interest rate, a lot of them will drop your rate. "Simply by asking". Tell them that you have other offers that are much lower then they are. They won't want to lose you as a customer. A lower rate is better then nothing. If this doesn't work, play the credit card game! Take the offers that give you a low rate and transfer your balance to them. I've seen offers for 0% for 12 months. Remember to cancel your current card after you do that so you don't have to many open credit lines on your credit report. After you do this, "Do Not" use your card anymore. If you can't afford to buy it with out using your credit card, then you can't afford it! Always live with in your means.
I wish everyone financial success!
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