Be Debt Free

Lovable


Its not anyones but their own fault for getting themselves into debt. Now I know their are differ situations so let me explain myself correctly:

Now I understand if you had a reduction of income and now ur not able to pay back debt. But why didnt you plan for these situations in the first place. Why did you go and charge what you cannot afford? After all that is one reason us Americans are in so much debt…. living outside our means. IF YOU CANNOT AFFORD, DONT BUY!!!

Now some exceptions are understandable:

Medical reasons, lack of education in order to obtain a good job to survive, using credit for LIVING EXPENESE, and im sure many reasonable explanations.

My point is why do many people with debt complain about their creditors when they new what this debt could do to you. Especially people with fairly great incomes.

Example: A couple is making $9000/month net income. One of them loses their job so now they down to $5000/month, yet they have 35k in unseucred debt. Living a great life with a great mtg, 3 car pmts ( new vehicles) and they still complain and whine about thier debt, their creditors , the economy. That just does not make sense to me. First of all, with this income you shouldnt even hae to use credit cards, why cant people just live within their means and adjust your life style with what you can a

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Viperdude5064410


Suppose that the economy is in the midst of a recession. Which of the following policies would be consistent with the active fiscal policy?

A) A congressional proposal to incur a Federal surplus to be used for the retirement of public debt.
B)A reduction in agricultural subsidies and veterans benefits.
C) A postponement of a highway construction program
D) A reduction in Federal tax rates on personal and corporate income

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Cindy Heller


Being in serious and mounting debt is definitely a stressful situation. Sometimes, it can bring up thoughts of hopelessness and despair. However, you should not fret and fuss overly about your increasing debts because debt reduction assistance can help you sleep well at night and wake up ready to face life without the concern of not being able to pay back your debts. Look around you, there are many organizations that will provide you assistance and free you from the suffocating effects of debt. You should remember that they will only provide debt reduction assistance and thus not completely remove your debt immediately.

But while many organizations offer many different options for debt reduction, not all of them are looking out for your well-being. Debt reduction services are a booming business, and as with any booming business sector, many of the organizations promising help are merely out to make a quick buck. Therefore, for you, research and understanding is the first key to success.

Finding a debt reduction service

It is necessary to bear in mind that there is no sense in becoming drowned by your debt in a short period of time. Rather, exercising care and being devoted and dedicated to removing your debt problem will stand you in good stead and help you get out of your debt situation. There are certain suggestions that you should consider before contacting an organization for debt reduction assistance.

To begin with, you must have on hand all the necessary financial information as well as carefully check your creditors. This is because you will find certain balances may be very high while others would be pretty low. It is believed that on average, an American will run up debts of about eight to ten thousand dollars, which is a good reason to seek debt reduction service. Once you realize the need for assistance, there can be many potential sources for obtaining help that can be considered.

A good debt reduction service has connections with many creditors. By using those contacts and negotiation techniques, they can help to reduce or alleviate debt. This ability to negotiate is the thing that you are looking and paying for.

Debt reduction service programs have been known to provide some very astounding results and could even lead to reduce minimum monthly payments by as much as seventy percent. Normally debt reduction service programs help in consolidation of the debt into a single as well as low monthly payment that you pay to the organization every month instead of paying to each creditor individually. Because the debt reduction service counselor can negotiate well with the creditors, you can expect your payments to be as low as possible. Together with lower interest rates, you will get more money channeled towards your actual principal amount.

If you try and pay off your debts on your own, you may spend ten to twenty five years to achieve the status of being debt free once more. However, with debt reduction service you can easily pay your debts off in two to five years while also having more money to meet your other necessities. With such a solution you will not fall into the debt trap and you will get excellent management of your money.

While debt reduction services can help, they will not be able to solve every problem. Therefore, any firm that promises to do so is promising something they probably cannot deliver. You should be very wary of any firm that makes such claims.

Other options

There are other things you can do if you do not want to go through a debt reduction service. Perhaps the biggest thing you can do is be prepared to work more because a second job means a second income. This time period may not be the most fun portion of your life, but the key is to earn enough money to remove the debt. Working a second job does not have to last forever, but it can significantly help you when you are struggling to control rising debt.

Debt reduction agencies can help reduce the amount you owe, or allow you more time to pay the money. When you combine this ability with hard work and increased income, it is probably the best option available to remove debt.

Debt can be a crippling and stressful problem, but it can always be overcome. With the help of reputable agencies and determination on your part, you can climb out of the valley of debt and rise up the mountain of richness. Debt reduction is definitely not the end of the world and it is merely an obstacle to be overcome. Many people have succeeded in their mission to become debt free, and you can too.

Lovable


Its not anyones but their own fault for getting themselves into debt. Now I know their are differ situations so let me explain myself correctly:

Now I understand if you had a reduction of income and now ur not able to pay back debt. But why didnt you plan for these situations in the first place. Why did you go and charge what you cannot afford? After all that is one reason us Americans are in so much debt…. living outside our means. IF YOU CANNOT AFFORD, DONT BUY!!!

Now some exceptions are understandable:

Medical reasons, lack of education in order to obtain a good job to survive, using credit for LIVING EXPENESE, and im sure many reasonable explanations.

My point is why do many people with debt complain about their creditors when they new what this debt could do to you. Especially people with fairly great incomes.

Example: A couple is making $9000/month net income. One of them loses their job so now they down to $5000/month, yet they have 35k in unseucred debt. Living a great life with a great mtg, 3 car pmts ( new vehicles) and they still complain and whine about thier debt, their creditors , the economy. That just does not make sense to me. First of all, with this income you shouldnt even

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Bobby Zangrilli


For consumers who have accumulated debt, researching potential solutions is the first step in the right direction. While seeking out a debt relief option may not be the ideal situation in the mind of the average consumer, it may very well be entirely necessary in order to achieve financial freedom.

Stop Debt in Its Tracks

In order to reduce the likelihood of making your financial situation worse, the first step is to make sure you aren’t accumulating additional debt. What does this mean? This means that you should stop using your credit cards, stop allowing your overdrafts to increase, and to stop receiving personal loans from family and friends that will only increase the stress you feel from these obligations.

Analysis

First, calculate what your income to cost ratio is for one week. If you are spending more money than you earn, you will have to adjust your spending habits to a more appropriate level. In addition, generate ways that you can save money each week, as well as ways you can cut unnecessary costs from your budget to improve your situation. In some instances, people have to sell their cars, move into more affordable housing, and make a lot of drastic decisions in order to get there selves out of debt. While this may be a potential solution, the important thing is to realize that in the end you still must have enough money left over to live off of and pay back your outstanding debts. Once you have developed a strategy to make the books balance, you can take the next step and begin to assess what debt relief options are available to you.

Consult a Specialist

When you are trying to clear your debt, there is nothing more important than seeking professional advice. While you may not be able to afford professional help, you will be surprised to know that there exist many debt consolidation organizations that offer free consultations.

A consultant will be able to offer you suggestions on your best debt relief options considering your circumstances. Debt settlement companies can settle credit card debt on your behalf to reduce the total debt that you owe. In addition, these companies offer improved repayment terms and other solutions to accommodate your situation financially. Professionals working for these organizations are also familiar with state debtor laws, ensuring that their clients are not mistreated or taken advantage of in any sense legally.

Bankruptcy

Bankruptcy should be the last option for consumers seeking debt relief. The consequences on your credit report are catastrophic, not to mention the strain that bankruptcy puts on you and your family. While some people view bankruptcy as a chance to “start with a clean slate” the majority of consumers are not informed of the consequences. Typically, you will have to turn over all your non exempt property, in many cases this includes your home and any vehicles you may own. In addition, filing Chapter 7 or 13 bankruptcies stays on your credit report for 7-10 years and on your public records for 20 years. As a result, receiving future loans and getting better jobs becomes extremely difficult as you are considered unreliable in the eyes of potential lenders and employers

Sandra Simmons


Need a debt reduction program? You are not alone. Here are 5 tips on reducing debt that you can do right now.

1 - Knock Off Using Credit

If you haven’t done this one, then this is the place to start. Put the credit cards and line-of-credit checks under lock and key, and operate as if you don’t have them at all. Figure out how to make more income and pay cash instead. This is the single most effective action you can take.

2 - Never Commit to Spending More Than Your Income

When you pay for an item with credit because you don’t have the cash, you are committing your future income to pay the credit company. Then you experience economic slavery. Ask yourself if you just want the item or if you really need it to increase your production of income. If you need it, figure out how to make the cash to pay for it over a short period of time, rather than buying on credit. Find ways to increase your income and use it to pay both current expenses and pay off credit debt.

3 - Always Pay More than the Minimum Payment Required

Your debt reduction program will be most effective if you carve out a minimum of 10% to 15% of your income. Use this money to reduce debt. Set a target of paying 3 to 5 times the minimum monthly payment on every credit card. Set aside some of the payment money every week until the statements arrive. It’s always easier to save small amounts over 4 weeks than pay a big bill all at once.

Your credit card payment strategy should also include paying more on the highest interest rate card. Another strategy is paying off low balance cards as fast as possible. After you pay those cards off, the money you were paying on those cards can be paid against the highest interest rate cards.

4 - Never Pay Late or Spend Over Your Limit

Do not destroy your debt reduction strategy by getting hit with late payment or over-limit fees of $25 to $39 on which you’ll pay interest. Plus, if you pay over 30 days late, that black mark stays on your credit record for 7 years - a harsh penalty to pay.

Recently a Vice President of a U.S. bank stated that over 24 Billion dollars was paid out in interest, late fees and over-limit fees last year on credit cards. Do you think the credit card company really minds if you pay late or go over your limit? If they didn’t want you to spend over the limit they could have declined the charge, right?

5 - Cut Back on Expenses

Reducing debt requires as much cash as possible, as fast as possible. Look closely at where your income is being spent and cut back on any expenses that do not contribute to the production of more income. Before you spend, figure out how much money that purchase is going to bring back in to you, your family or your business.

TIP: If you are a business owner, always promote your business to everyone - don’t cut back on that activity. Just make sure you are getting more sales from your promotional activities than what it costs to promote.

Correctly managing the money in a business or household to ensure its survival takes more than a debt reduction program, but this is a great place to start. There are other steps that you can take to increase income, pay bills on time, have cash reserves for emergencies, increase profits and pay yourself more money. Who doesn’t want that, right?

Cornie Herring


Unmanaged spending using credit cards are the number one root cause that drives most of people into credit card debt. If you are current in debt and thinking of having a debt free life in near future, you need to start to look into your debt seriously; steering clear of unwanted debt is a great way to manage your finances and relive the stress cause by debt. Here are some debt free steps which you can put in place as your New Year’s plan:

1. Change Your Spending Behavior

You cannot become debt-free if you spend more than you earn. It’s that simple! Financial stress relief is called “money in the bank” or “positive cash flow”. You need to know where you money goes; this can be done by list down your regular and non-regular expenses. Think twice for any item which you plan to buy, ask yourself whether it is a need or an optional item.

2. Have Your Budget Plan

Make a budget plan for yourself and eliminate or at least reduce optional stuff such as entertainment, dinner at restaurant and luxury vacations. Plan your budget according to your financial capability and spend according to your budget. You will be able to achieve your debt free goal if you can plan for a positive cash flow, which means that you spend less that what your earn.

3. Pay Your Bills On Time, Every Time

Managing monthly bills is an essential part of staying debt free and maintaining a good credit rating. If you find this difficult, come up with a system to ensure that bills are not paid late. For your current credit card debt, you may get help from finance experts such as credit counseling or debt consolidation services; they are widely experience in help people in debt management.

4. Set Your Financial Goals For Long-Term and Short-Term

To change your spending behavior may be difficult, but if you set your financial goals, both for short- and long-term, it is easy to make the necessary spending cuts to get what you really want. So set your realistic financial goals for year 2007 and a few year down the road; and manage, control and cut unnecessary expenses so that your can achieve your financial goals.

5. Plan For Adequate Emergency Savings Fund

You never know what will happen tomorrow, there may be some emergencies which will need a lump sum of money instantly, such as medical bill due to major illness and accidents; money to cover to income shortages such as temporary loss of job. Three to six months’ worth of bare-bones living expenses should shield you from most of these problems. Make the savings your habit.

6. Learn to Invest Your Money

Investing can make our money earn more money and keep you out of debt. Learn to invest with your money to grow it. There are many investment plans available in the market, range from insurance, to mutual fund, to stock market. Investment can make your grow your money; in contrary, it may cause you loss your money as well. Normally high gain investment will have higher risk than low profit investment. You need to understand your own risk profile and select the investment schema that meet your risk profile. You can start your learning by taking a class, find a referral to a great adviser or just start reading. Do it your way, but do it; and start now!

So, these are some tips for Your Debt Free Plan. Wish you have a Happy and “Debt Free” New Year.

Gretchen W


Bankruptcy or a Debt Reduction Program?

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Muna wa Wanjiru


They will need to work twice as hard to get debt free as other people, and although this might not seem fair to the person at the time, most will forget the trouble and the hardship they went through soon enough , and get into the same problems again, later on.

This is not a glass-is-half-empty kind of thing, it is the plain unvarnished truth. To some people it simply won’t matter that they are living with debt when they don’t have to, or that they are taking the long way around to get debt free. However, if you want to want to get debt free as fast as possible, you need only to make some adjustments to your life and your lifestyle, and you will find that you are climbing out of that great big debt filled hole, faster than you thought you might.

The first thing that you will want to learn when looking to get debt free, is that it’s not going to be easy. It’s not going to be the hardest thing to do if you are able to control your spending urges, but it still won’t be a cakewalk. It’s best if you know up front that you will have to make sacrifices in order to become debt free, and that you will have to stick to some sort of budget to do so.

And if you have kids, or others dependant on you for their day-to-day existence, then you will need to make adjustments accordingly, and make sure that they too understand that there will have to be some cutbacks and sacrifices on your part.

To get debt free, you will need to first of all sit down and make a rough budget for yourself, calculate how much money is coming in (after taxes and all that), and how much will need to go out (on a regular monthly basis). The amount that is left over will be the amount that you have left to spend on yourself or on other non-regular items which you might need to get.

And although you do want to become debt free, spending within your means, does not mean that you need to bring everything down to the wire. You don’t need to spend every last red cent just because you can. Because things can and will go wrong, you will need to make provision for that as well, and if this means cutting back even more, so that you have a safety net to fall back every month, then so be it.

The best thing that you can do is to curb your spending habits as far as possible, and make sure that you get debt free as soon as possible, without having to pay good money on interest to your creditors, money which you could have used for yourself on something infinitely more interesting.

a mouse is not a hotel


lol

the economy is facing a major insolvency crisis

reducing slightly the rate at which the colossal national debt is increasing is trivial

it’s like a 300 lb man claiming that a reduction in his rate of weight gain from 5 lbs a month to 4 lbs a month is good news

good news? i think not

(i say allegedly, since i wouldnt be surprised if the figures were massaged to make them appear better than is the reality)

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