How to get serious debt help when those darn creditors just won t stop calling

How to Get Serious Debt Help

When the phone calls won’t stop, the mail won’t stop coming chalk full of overdue bills, and you don’t even want to turn on your cell phone because the creditors somehow got that number, it’s hard to know where to turn and what to do.

If you answer the phone calls, those on the other end are going to want money that you just don’t have. The letters in the mail are threatening court dates and loss of property if you don’t start paying, but that doesn’t help you financially; no matter what they threaten, you can’t give them something you don’t have.

There is hope, do not throw in the towel. Your search for how to get serious debt help will not be in vain. The help may be easier than you think and will definitely improve your quality life as you struggle through this tough time.

Sometimes it’s not too late for self-help.

If you have been receiving phone calls and can’t pay all of the minimum balances that you owe, if you can just pay something..anything on the debts, you’ll be surprised how much you’ll be able to take care of your serious debt problem yourself. If you contact your creditors, express your wish to get back in their good graces and the fact that you just can’t pay what you owe currently, many times they will offer to lower your minimum for a certain amount of time.

Sometimes, if you continue conversations with them, you will find that they will be willing to offer you a settlement amount that is usually around 70-80% of what you actually owe them. If you can get your hands on that and wash your hands of the whole ordeal, jump on it. It will be resolved quickly and often there will be nothing negative on your credit report.

If you’ve gone beyond a self-help approach and wonder how to get serious debt help from a specialist in debt relief, there are several avenues out there that will do just that.

There are debt consolidation loans. If you’re eligible for one of those you will be able to pay your debt off and make one low monthly payment that will surely be less than you’re paying currently.

There are debt settlement companies that will help you work with your creditors for you to receive the offers of settlement. Often you will end up paying 40-60% of what you actually owe.

There are credit counselors that will not try to reduce your overall debt, but they will work with your credit companies to lower the interest each month and lower the minimum so that you can work on the principal balance a little more.

Any of these choices will help you get on your way to being out of debt, but you will have to be the person to keep you there.

There are several ways to search when looking for how to get serious debt help relief.

It can be mind boggling when you review your finances and find that you could owe that much, but there is hope.

Whichever route you choose, be vigilant about not returning to this financial state. Getting out of this once is an adventure I don’t think anyone would want to repeat.

Find low cost health insurance in new york

Finding low cost health insurance in New York is difficult enough if you are not employed, so it should not be too difficult task if you are employed, right? Wrong. Many employees of small businesses in New York are not offered low cost health insurance through their employers. This is not beneficial to the employers or the employees, since many people choose their jobs based somewhat on the benefits they will receive.

If you live in New York and work for a business whose owner thinks it is “too small” to offer health insurance, you may be in luck. In 2000, the governor of New York proposed to a comprehensive insurance coverage plan to be made available to New York employees and their families if they do not have health insurance. The New York Legislature ratified the proposal, and the program became known as Healthy NY.

According to Healthy NY, a “small business” is one that has 50 or fewer employees. When a small business has this number of employees, the business feels as if it can not afford to offer low cost health insurance to its employees; however, thanks to Healthy NY, all small businesses can take advantage of offering low cost health insurance to its employees.

The even better news is that you do not have to be an employee of a small business to purchase low cost health insurance through Healthy NY. Sole proprietors may also purchase low cost health insurance through Healthy NY.

If you work for a small business in New York that does not offer health insurance because it feels as if it can not afford to, talk to your employer about Healthy NY. Not only with Healthy NY benefit the employees of the business, but being able to offer low cost health insurance to employees will also help your employer because he or she will be able to attract and retain quality employees.

What is your trading system

Stock Trading Systems - The Lexicon

While there is no more a surefire method for picking stocks than there is for picking lottery numbers, there is a reason to have a system when doing stock trading. You need a plan, which gives you metrics and bellweathers for reading charts and trends and measuring how you're doing against complex goals. Charts are visual representations of stock prices over time, and you can familiarize yourself with them in the financial pages of your local news paper. Think back to algebra, and plotting curves – the vertical axis is the price, and the horizontal axis is time, usually in days or weeks. Make sure, when comparing graphs, that the vertical axis is the same for multiple stocks. Sparkline graphs are a recent innovation and give you an instant visual impact on a wide range of numbers over time.

Charts can be made on an Excel spreadsheet or custom software. Day traders track the prices in hourly and 15 minute increments, focusing on several related stocks in a sector. Long term investors look for patterns and trends on price charts over months and years, looking for cyclical trends, new product rollouts and new information about the management or prospect of the company. Charts that show prices going up show positive momentum, charts with prices declining show negative momentum, and the trick is trying to get the information to understand the trend and make informed decisions.

Stocks have a trading range – the amount of daily or weekly fluctuation a stock's price undergoes. Stocks moving below their trading range may be good targets for acquisition, while stocks that are rising above their trading range may be a fad purchase. It takes careful consideration of a lot of variables in a chaotic system to figure this out.

Trends are identified when three peaks or three troughs are plotted on the line and linked with a straight line; this can be used to assess the cumulative impact of a lot of factors in the stock trade. There's money to be made in both upwards and downward trends, and some stock systems look for breaks in the trends for buy and sell targets. Trends are easier to spot and adapt to in long term holding, and require more skill and finesse for day traders. Catching the trend can be an exhilarating ride – and quite lucrative if you're early on it and know when to bail out.

Analyzing these trends takes a lot of mathematical knowledge, and most of that's been codified into plotting and trend spotting software, most of which is accessible to investors who aren't mathematicians with the instincts of sharks. Investors can spend hundreds or thousand on software to develop their stock trading system. Using custom software saves time integrating information to produce charts and archive tracking information.

Smart traders know that a stock trading system is fluid not static. No matter how much they believe in their system, they always look for tweaks and try to catch themselves before investing due to emotional interplay, ego or blind spots. Never buy a stock you haven't researched or plotted, and always be consistent in applying your system – it's the only way to realistically tell what's working and what isn't, and adjust to the dynamic needs of the market.. All traders have losses – they learn from them. Never trash your stock trading system because of the first loss.

Consolidating your student loan debts makes sense

So you've finally finished school and have officially entered what so many adults like to call "the real world", you may feel as though your newly earned money is going directly from your paycheck to your debt repayment plan (with nothing left for your pocket!).So you think about consolidating your loans, but is that really the best option you have? Yes it is actually! Here's why. By consolidating now it's possible to save hundreds, even thousands of dollars in interest that would have been incurred over the years. Especially right now because interest rates are at their lowest and now is a great time to take advantage of that fact. Also by consolidating your loan, you make it more convenient to pay off your debts. Most importantly, you are lowering your overall interest rates which will save you lots of money over longer periods of time. It's essential to get a fixed rate though, or eventually the interest rate could rise. Be weary of companies that try to pull you in by offering very low introductory interest rates, these jump up in the near future leaving you stuck with a high intrest rate.

Consolidated loans means you only have one lump payment, instead of several smaller ones. Generally the monthly payment is less than all of your loans put together, which frees up a little more money for your wallet. Over time, this could save you money and allow you to have more money readily available to use for stuff like furniture or maybe stereo equipment. Or instead of spending it, having that cash to put into savings will definitely turn out good in the long run. Having one payment makes keeping track of your loan easier which could mean less late payments and a clearer view of where you are at when it comes to your debt load.

When you consolidate, you create the possibility of a lower interest rate. This is because sometimes opportunities arise in which you can defer or through forbearance have a chance to make that interest rate drop even more, thereby putting more of your monthly payment to the actual principle amount of the loan. Which for you means a faster payoff. If you can look for a consolidation that allows for no prepayment penalty, because you can pay off these loans quicker. As you earn more money a plan where you can prepay without punishment is ideal as having this option can bring you closer to being debt free even faster. Another benefit to consolidating student loans is tax breaks. There is a deduction that you can claim whether or not you itemize, this can reduce the amount of taxable income up to $2,500.

And yet another advantage that consolidating your student loan can do is raise your overall credit rating. This is because you will have reduced the amount of creditors actually on your credit report. The more creditors you have on your credit report wanting to collect from you the worse off your actual credit score will appear. One consolidated loan means only one creditor, this will immediately improve your credit rating. Then eventually when all your payments have been made your credit rating will improve further.

Now that all the benefits and advantages to consolidating your student loan debts have been layed out for you, doesn't it make sense to do it? With more free cash, easier and more convenient payments and payment schedules, an improved credit rating, tax breaks, lower interest rates, and even being out of debt sooner, consolidating is definitely worth looking into! So what are you waiting for?

Credit cards for teenagers

People have to start their financial learning at some point in their lives, and this usually starts when they are children or young teenagers. But what sort of financial products are good for teenagers, if anything at all? One on hand you need to teach them the value of money, but on the other hand they need some form of card or cash in order to start being independent. If you are unsure what type is right for your children, then here is some advice on credit cards for teenagers.

Stay away from normal credit

If you have a child, then you should really stay away from traditional credit cards, because these types of cards do not promote responsible spending. Although a credit card would allow a child to make mistakes about spending and learn from them, simply giving them a line of credit will probably end in disaster. You have no way of stopping them from spending the whole limit in one go, and they are putting you and themselves in debt.

Prepaid cards

Despite normal credit cards being a bad idea, there is a new type of card on the market that is being targeted at children. These cards are known as prepaid cards, and have most of the facilities of a credit card; except that you put money on the card in the same way you put money on a mobile phone. Instead of giving your child a credit card, you can put a certain amount of money on the card each week or month and then the child can use the card as they see fit.

Benefits of prepaid cards

The main benefit of a prepaid card is that it combines the freedom of having a card with the ability to control spending. This makes it ideal for parents who want to give their children a level of financial responsibility but still have the means to control the amount they spend and on what. By having a card with a statement, the parent can see exactly what their child is spending their money on and when. This is a very useful tool in helping to educate children on money expenditure. Also, prepaid cards are safer than having your child carry around cash, plus it also allows them to make purchases online.

Drawbacks of prepaid cards

Although many believe these cards are better for children than other financial products, there are still question marks over whether they are a good idea. Although they are touted as helping children to learn about finance, this can be done in other ways apart from giving out a card. Also, keeping track of spending is not always easy, as some of the cards allow cash withdrawals, meaning that they could spend their money on anything. Also, there is the danger that parents will put too much money on the cards, which will have the opposite effect on teaching children about money and simply make them believe they can spend what they like. Also, there are fees involved in these cards, such as an application fee and top up fees. Although these cards might be good for some families, you should think carefully about the benefits and drawbacks before deciding on whether or not you want your child to have such a card.

How to take advantage of rewards credit cards

Want to save on travel, pick out free merchandise, or receive checks in the mail? These are just some of the bonuses companies offer through rewards credit cards. With a little planning, you can make the most of your rewards credit cards.

How Rewards Credit Cards Work

Companies offer a vast array of reward plans. Yet the basic principle of all rewards credit cards is the same: you receive “rewards” for using the cards. For cash back cards, companies offer a certain percentage, such as 1%, return on all of your purchases. So if you spend $2,500 with your credit card, you can expect a check for $25. Some companies include a higher percentage, such as 5%, in cash back for shopping at grocery stores and gas stations. This way you earn more cash for regular household purchases. Think about it: the $2,500 you spend could bring in a $125 check – just for shopping!

Cash back cards are not the only type of rewards credit cards available; there are plenty of others to choose from. Some rewards credit cards offer a point system. You might receive one point for each dollar spent. You can then use your points to buy certain items. Others include rebates for gas purchases, discounts on hotels, and miles toward airline travel.

Do Your Homework

With so many options available for rewards credit cards, selecting a card can be a daunting task. To make sure you are taking full advantage of a rewards credit card, you first need to do some homework. Start by looking over your recent purchases. Do you always buy groceries at a certain store? Consider a credit card that offers a high percentage of cash back on grocery store purchases. Do you spend a lot on travel? If so, look into rewards credit cards that offer points toward free air travel. Do you have a long work commute? Rewards on a gas card will help you save on car travel. If straight-up cash is what you are after, a cash back rewards card can give you just that.

Besides considering your spending habits, think about your reward preferences. Perhaps you do not usually travel, but dream of taking a vacation to Hawaii. Sign up for a rewards credit card with travel benefits. You can take that fantasy vacation as a result of the reward plan. The bottom line: study your purchasing habits and lifestyle to find out which rewards credit card is right for you.

Make it Advantageous

While rewards credit cards offer great benefits, there are also potential drawbacks to consider. Some rewards credit cards include an annual fee or high interest rate. If you carry a large balance on your card, you may end up spending more on interest than you receive in benefits. However, if you use your credit card to make ordinary purchases, pay off the balance each month, or carry a low balance, then the rewards credit card can be very beneficial.

Enjoy the Rewards

By considering your spending habits and reward preferences, you can find the perfect credit card for your lifestyle. Apply for your rewards credit card today. Then start reaping the benefits. By next year, you could be flying for free – a great reward for using a credit card!

Do you have any goals for building wealth

The money is out there. No matter how many people tell you that we are in the midst of a starvation economy, that the market is doing this or that, and that it's too risky to “play the game,” so to speak, people are getting rich every day. That is the reality.

The trick, of course, is to become one of those people.

“Yeah,” you might say. “That guy was just lucky. What are the chances of that happening to me?” Well, absolutely zero if you don't do anything about your dreams to build wealth. If you walk around thinking that you have only a snowball's chance of hitting “the big one” in the financial game, then you are right. That's because you are depending on chance.

Becoming wealthy is not about chance. Oh the guy you just read about may indeed have been lucky—but he was not “just lucky.” Because fortune favors the prepared mind, you have to lay the groundwork in order to take advantage of opportunity when it arises. You have to be able to not only recognize those opportunities, but to actually have the resources to take advantage of them.

Laying the groundwork involves having a plan for your financial future. What is your plan for building wealth?

If, like most Americans, you don't have one then, like most Americans, you will retain the status quo. But if you recognize that you, and only you, are in charge of your destiny, that is an entirely different matter.

According to Robert Kiyosaki, author of the Rich Dad series of books, you have to get a grip on your financial philosophy. You don't have a financial philosophy, you say? Sure you do, even if you don't realize it.

In his book “Cash Flow Quadrant,” Kiyosaki outlines the four philosophies as they were outlined for him by the man he calls his “rich dad.” You can recognize your own philosophy by noticing how you tend to make your money. On the left side of the quadrant, are the E's and the S's—the Employees and the Self-employed. The philosopy of the E is based around security while the philosophy of the S is based around doing his own thing. While there is nothing wrong about either philosophy, neither is likely to help you build much wealth.

On the right side of Kiyosaki's quadrant, are the B's and the I's—the Business owners and the Investors. The difference between a B and an S, Kiyosaki says, is that the B has built a system which he can rig to run itself, freeing him for other financial or personal pursuits. An S simply “owns a job,” as Kiyosaki says, and is such an integral part of the operation that he is essentially a prisoner of it. The company he has created is his “baby.” But we all know how demanding babies are, and if a business never matures into an adult that can survive without your mothering, it will eat most of your time.

The trick, then, is not to build a better product. It's to build a product better—more efficiently with regard to your own resources. Build a system, not a job. Then you will have the money that will take care of your personal needs and allow you to invest.

If you already have loads of money to work with, then you can go ahead and jump right to the I quadrant—after investing in your own education and learning how it works. Investing is risky if you jump in blind, but if you know what you're doing, it is a whole different matter.

So lay the foundation with education and then build your wealth as though you were constructing a structure. Don't skimp on materials, but instead do it methodically. Eventually you will find yourself staring at an impressive building that will help you weather any storm.

Protection slashing the risk factor of secured loans

Loans in which the borrowers home is held as collateral, or secured loans, are very popular, and are often considered favourable because of the general ease of borrowing through secured loans. Secured loans are also sometimes known as Home Equity Loans or Homeowner loans. Those with a negative credit history often find secured loans to be the easiest way of borrowing money. Secured loans, however, are very risky, especially for those with a proven history of late or skipped payments. Even the term secured loans is somewhat deceiving, as the security really belongs to the bank or lending institution, and not to the borrower. Any person borrowing money through secured loans runs the risk of losing his or her home in the case of any situation that renders the borrower incapable or repaying secure loans according to schedule.

Those with adverse credit should carefully assess their needs, spending habits, and repayment abilities before applying for secured loans. If there is no other option than to pursue secured loans, borrowers would be wise to try to find a very easy repayment plan that is suitable to their financial state.

Many borrowers are rather wary and even afraid of secured loans. This unease regarding secured loans is not entirely unfounded, and a wise borrower will look into alternative options before pursuing secured loans. However, there are ways to reduce the risk involved with secured loans, and one of these is arranging a payment protection plan.

Secured loans can usually be granted with the addition of some type of payment protection plan. These payment protection plans for secured loans are basically a type of insurance. The premiums are added to the monthly payments that borrowers make on secured loans. Then, in the case of sickness or accidents, the borrower is not held responsible for repaying the amounts borrowed through secured loans.

Payment protection on secured loans is generally a wise idea, because a person never knows when he or she may run into some type of trouble. Because secured loans are so risky to the homeowner, some type of insurance such as these payment protection plans, offer an ease of mind to anyone who is borrowing through secured loans.

The loss of a job is also something that the payment protection plans of most secure loans cover in some form. In todays world, when no one can be absolutely sure what will happen with regards to their employment, the risk of secured loans are lessened with the addition of payment protection plans.

In some cases, payment protection plans can actually be a benefit to the borrower after secured loans are paid. Many times, lenders will actually return the amount paid through the payment protection plan. In one sense, people can actually make the most of their secured loans by using the payment protection plan as a type of investment.

Overall, as a general rule, if people plan to take out secured loans, they would probably be wise to purchase some type of payment protection plan as well.

Getting holiday buy to let loans

When it comes to getting a holiday buy to let loan then the first thing you have to make sure of is that the property you are buying as a holiday let meets the requirements to be classed as a holiday let. When it comes down to getting your mortgage then you are either looking for one for a holiday let or a holiday home, there is a difference.

The property will be classed as a business if it meets the rules set out for a holiday let. Any renting that you take for the property have to be made at full rental cost, this means that any freebies and half price renting to family and friends don’t count. The property that you are renting as a holiday home must be fully furnished and the property must be available for letting for 140 days out of the year and you must actual let it for 70 days. You cannot have someone rent the property for longer than a period of 31 days during 7 months and when the property isn’t available for let or if you use it yourself then you won’t qualify for the tax breaks linked to the holiday let.

Once you have met these rules then you will be looking for a holiday buy to let loan and this can be the hardest part of the venture you are undertaking. Unless you know something about finance then you would be wise to take on the advice of a specialist broker, when it comes to holiday buy to loans a broker has the knowledge and the resources that can ensure you get the best deal on your holiday let loan.

There is much to know about holiday buy to let loans and lenders who are going to take the gamble of loaning you the money are going to want to make sure they are backing a winning venture. The majority of them will ask that you expect to make at least 130% of the mortgage from renting the property and you will of course have to put up a deposit which can be anywhere in the region of 15% to 30% of the cost. Of course if you have gone with a broker then they will do the looking around for you and secure the best deal possible.

Holiday buy to let loans can be a nightmare and one of the hardest parts of your new venture but it doesn’t have to spoil your dreams, a broker can make all the difference and could save you thousands in the long run by avoiding a costly mistake.

Why volatility in your stock portfolio will help you build wealth

Volatility Equals Risk is an Investment Myth Propagated by Global Investment Firms

Most financial consultants when they speak of your investment portfolio mention a low beta as a positive attribute. In fact, you will hear many wealth managers stress the need of having a beta close to 1.00. Beta, in simple terms, is the measure of a stock’s or portfolio’s volatility as compared to the volatility of the stock market index as a whole. So if you owned a stock with a beta of 1.30, it would be about 30% more volatile then the market index.

I’ve often seen the beta coefficient used interchangeably to define the risk inherent in a portfolio. For example, people will say if the beta of your portfolio is much greater than 1.00 then you have an aggressive, risky portfolio and if the beta of your portfolio is much less than 1.00 then you have a conservative portfolio. This is nonsense.

First of all, the beta coefficient is determined using the domestic stock market index as the constant. For example in the U. S., the beta coefficient will be determined by comparing the volatility of a stock or stock portfolio versus the volatility of the S&P 500 index. But we are already starting off on the wrong foot by doing so because nobody should have a stock portfolio that is concentrated in their domestic market only. Chances are that many of the best performing stocks you will own will be in a foreign stock market. So what if the beta of your stock portfolio is high compared to your domestic market index but low compared to regional market index? What does that mean?

You Can Not Build Wealth in Your Portfolio Without Volatility

Or what if the situation is reversed? Your portfolio has a low beta compared to your domestic market index but a high beta compared to a regional market index? This could happen if your domestic market is particularly volatile one year while the rest of the world markets are significantly less so. If your domestic market index is up 35% one year and your portfolio is up 33% the same year, because your beta is less than 1.00, does that still mean that you have a conservative, low-risk portfolio?

Investment firms will always tell you a high beta is bad, and that to have higher volatility is a great risk to your portfolio. If you live somewhere where the stock market index has returned on average 3% for the last five years and has moved within a very narrow range, I would say that to have a low beta is extremely risky because that means that your portfolio is going nowhere, and that if you add in the effects of inflation, your flat portfolio has lost purchasing power over those three years. On the other hand, if your portfolio has returned 20% on average over this same time span, your beta will be off the charts. But isn’t a high beta bad? Not at all. If this is the case, then I want my beta to be high, and I want the volatility of my portfolio to be much higher than the domestic stock market index.

Volatility is Not the Same as Risk

Personally I want volatility in many of the stocks I own. If a stock is to return 50% to me in one year, by nature it has to be fairly volatile, because almost no stock just rises steadily higher without experiencing some significant corrective actions to the downside. Therefore, stocks with significant gains are going to experience wider fluctuations in their value. It simply is not possible to build wealth without having some huge winners in your portfolio – stocks that have appreciated by 70%, 150%, 350% or even a 1000%. According to the theories propagated by most investment firms, almost all people that have built substantial wealth through their stock portfolios would have engaged in highly risky behavior.

Again, this is just not true. Investors that have huge winners in their portfolios make calculated intelligent decisions to identify asset classes that are poised to boom before the public considers them. They invest at troughs in price and sell when mania sets in, allowing them these huge gains, whereas the average investor will only identify these stocks after everyone else becomes aware of them or some talking head on TV marks it as a screaming buy. Thus, the average investor will only earn average money from this stock or quite possibly lose money if he or she purchases at the mania phase, while the wealthy investor will have earned phenomenal returns.

Absolute Return is All That Matters

If you ask most people, they could care less if they had four stocks that lost 40%, 50%, 45% and 55%, if they also owned eight stocks that rose 80%, 100%, 130%, 300%, 287%, 200%, 184%, 65%, and 658%, and their overall return, given the average performance of their remaining portfolio, was 55%. At the end of the day, people only care about the total return of their portfolio. Investment firms have always stated that such a strategy as risky. If you have stocks that have performed that well, you must be taking huge risks, right? Again this is nonsense.

Uncovering volatile stocks that will prove to be huge winners requires time, a commodity that financial consultants do not have as they run their race to gather as many assets as possible. Again, earning these gains is possible without assuming much risk if you perform your due diligence and discover solid assets at rock-bottom prices and invest in them before the general public discovers them. In fact, I would even argue that some stocks that earn 150% or more are less risky than the market stock index at the time I identify them. Why? Because prior to their 150% run up, they were extremely solid companies at extremely cheap prices.

Just as I have spoken about dumb diversification versus smart diversification, there is the assumption of dumb volatility versus the assumption of smart volatility. Dumb volatility is chasing penny stocks and pipe dreams of quick returns from companies that spend more money on marketing and PR campaigns to promote their stock than on the operations of the company itself. I have already described above how to add smart volatility to your portfolio.

Volatility is not the same as risk as much as most global investment firms want you to believe this. Again, read my previous blog entry if you’re still not clear as to why this is the case. Low volatility, high diversification, and mediocre returns are a time minimization/ asset gathering maximization sales strategies. Volatility is your friend when building wealth.

Debt consolidation loan rate where to start so you can control your debt

When problems get too big, we can remain paralyzed and unable to take the very action that can save us because we don't know where to start. Debt's like that. When it gets out of control it can have a devastating impact on all areas of our lives and leave us feeling shell shocked and wondering how on earth it happened. The biggest, most immediate problem high debt levels cause everyone is the high cost of servicing the debt every month. These high costs are not just the result of high borrowings, they are also the direct consequence of high interest rates and multiple minimum payment amounts. To solve your most immediate problem you need to consolidate all your debts under the lowest debt consolidation loan rate you can find. This will give you one, much lower payment every month and help you to get your debt under control.

Combining all your debts into one loan with a much lower debt consolidation loan rate will benefit you on many levels. Not only will you have more money in your pocket every month, you will also save thousands of dollars over the term of the loan and have a definite time frame within which you will be debt free. The only proviso with regard to this last benefit is that you must cancel your credit cards and any lines of credit so that you cannot use them to increase debt again. Decide to live within a strict budget which includes savings for emergencies and at the end of the term of the loan you will be debt free. You will also be in a much stronger financial position. In fact, if you save the amount of money you were spending on the loan, you will soon have wealth instead of debt.

The first step to making any change is to decide to take action. You can easily research products and find the best debt consolidation loan rate for you by searching on the internet, using the telephone or finding a qualified debt counselor to help you. The last option is probably the easiest and can provide additional benefits such as helping you to improve your overall financial circumstances by creating a financial plan that does not simply aim to get you out of debt but also to create wealth. Having someone to help you analyze your spending behaviors so you understand how you got into the debt trap in the first place, can be very beneficial.

Whether you seek professional help, or consolidate your debts yourself under the lowest debt consolidation loan rate you can find, taking this step will provide you with immediate financial relief and long term savings. The sooner you take this action, the sooner your finances will be manageable. What are you waiting for?

Jersey benefits advisors newsletter summer 2007

Market Watch

The Federal Reserve ended its June Federal Open Market Committee meeting on June 28th, and the only change indicated for the foreseeable future is that the Fed sees core inflation as somewhat less of a risk, while overall inflation is still a concern. Interest rates remained on hold at 5.25%, where they have been for a year now, and investors hoping for a rate cut have capitulated. This surrender by bond investors has provided a slightly positive slope to the yield curve, as long term rates are modestly higher than short term rates.

This leads me to believe there may be another way to view the inversion of the yield curve, which happened last year. While many view an inversion of the yield curve as a precursor to recession, historically we have not had a recession every time the yield curve inverts. This last inversion did precede the first quarter economic slowdown of 2007, so perhaps the inversion of the yield curve in 2006 was indicating the mid cycle slowdown which occurred earlier this year. The US economy has been expanding since November of 2001, so based on the length of the last two economic cycles, the first quarter slowdown of 2007 occurred right in the middle of the cycle. However, it should also be noted that the last two US economic cycles have been records, stretching from November 1982 to March 1991 and March 1991 to November 2001, when analyzed from the bottom of one cycle to the bottom of the next cycle, or trough to trough. There were 10 economic cycles from 1945-2001, and the average duration from trough to trough was 67 months. Nobody can really say, with any certainty, how long the current cycle will last, but given all of the shocks incurred over the last five years, the economy has been quite resilient.

Of course, as long as the economy is growing, the stock market will react in a favorable manner. Although the indices are off their peaks set in the second quarter, as the books were closed on the first half of 2007, the DJIA stood at 13,408.62 which is a gain of 7.6% year to date. The NASDAQ closed at 2,603.23 for a gain of 7.8% thus far for 2007. The S&P 500 finished at 1,503.35 which is an increase of 6.0% for 2007. While the S&P 500 is off its record close of 1,539.18, the fact that it finally surpassed the old record of 1,527.46 set back in 2000 is a significant technical feat which bodes well for a continuation of the current bull market.

The consensus of economic forecasts for the second half of 2007 predict GDP growth of between 2%-3%, which is what should be expected for a mature expansion. How much strength remains in the economy depends on a number of factors. Maintaining healthy growth without increased inflation is paramount. While core inflation seems to be under control, the increases in the prices of food and energy are being felt by everyone. There is also a great deal of concern regarding the subprime mortgage market and the collateralized debt obligations and collateralized mortgage obligations on which many hedge funds feed. With mortgage foreclosures in the subprime market increasing, which lowers the value of CDO’s and CMO’s, there is a fear many hedge funds could incur significant losses, like those at Bear Stearns, as the value of their portfolios are rebalanced at the end of the quarter. As with most aggressive investment bets, when fundamentals change, things can go south in a hurry. In my mind this is just one more reason for diversifying your assets and not chasing returns.

Hype, Hope and the 4th of July Holiday

The Blackstone IPO and Apple iPhone’s debut were two very hyped events which took place in June. While Blackstone’s stock initially surged, it is now below the original offering price as private equity houses begin to reassess the cost of doing ever larger deals as the cost of debt increases. Apple’s faithful lined up in front of stores for days, prior to the release of the iPhone, and even with a cost of $599, sales are expected to be brisk. One can’t help but wonder how many people really want to watch video on their cell phone, especially with all of the huge plasma and LCD screens available for only a few hundred dollars more. Then again, after the 4th of July fireworks, it might be nice to relive the experience again and again while sitting in traffic on the way home.

Privacy Policy and Rollover Assistance

At Jersey Benefits Advisors and Jersey Benefits Group, Inc. protecting your privacy is very important to us. We want you to understand what information we collect and how we use it. We collect and use information from you on applications and other forms as well as information about financial transactions with us and from non-affiliated third parties. This “nonpublic personal information” is obtained in connection with providing a financial product or service to you.

We do not disclose any nonpublic personal information about you without your express consent, except as permitted by law. We may disclose the nonpublic personal information we collect to persons or companies that perform services on our behalf. We restrict access to your nonpublic personal information and only allow disclosures to persons and companies as permitted by law to assist in providing products or services to you. We maintain physical, electronic and procedural safeguards to protect your nonpublic personal information at all times.

Many people have 401k or 403b accounts from jobs they’ve left for various reasons. One of the problems with this is the duplication of objectives within each account. Having a lot of funds, in several accounts, does not always provide the diversification you aim to achieve.

If you or a family member are in this situation, and would like to consolidate assets into one diversified IRA and receive just one statement, please give me a call to analyze the accounts, make recommendations and assist with the paperwork involved. As long as you have terminated employment with the employer, or the particular plan has been terminated, you are eligible to roll the funds over into an IRA. You do not have to be of retirement age.

If you have retired, or are considering retirement, you have the option to move assets out of your employer plan and into an account, which can provide a lifetime income, when you retire. The whole idea is to work with someone you trust and is available to you, when you wish to discuss your account. Every employer plan is different, and every individual is different, so personal preference is very important, and there is no “one plan fits all”.

Depending on your appetite for risk, IRA accounts can be in stocks, bonds, mutual funds or ETF’s with one or more companies. If you’re somewhat risk averse, variable annuities offer participation in the market with downside protection and guaranteed growth for an additional fee. Feel free to contact me to discuss your options.

Comparing mortgage lenders

When it comes to mortgage lending, checking and comparing the different lenders is the most difficult task. There are a number of charges applicable though, for every step of the procedure involved. Mortgage packages include the opening and closing costs, the quoted rates and the interest applicable. It is necessary to investigate the Mortgage Insurance, credit and cash reserve, lock-in period and the floating interest, before making a final decision. Thorough research is very important because a small difference in the mortgage rate can make a huge difference to the monthly payment.

Listed below are some essential requirements of the procedure that should be looked into, before closing a mortgage deal:

- The current mortgage rates.

- The documents required for the approval.

- The opening and closing costs applicable.

- The initial application fees.

- The lock-in period.

- Rate of floating or fixed interest.

- The mortgage insurance.

- Total lender fees payable.

- Monthly payment.

There are two kinds of mortgages offered by the mortgage lenders. One is the Fixed Rate Mortgage and the other is the Adjustable Rate Mortgage. In Fixed Rate Mortgage, interest rates are fixed over a period of time. An ARM or Adjustable Rate Mortgage is a unique loan product, where periodic changes affect the interest rate. In this product, the interest rate, as well as the monthly payments, fluctuate over the period of loan.

The application fees are primarily charged to process the loan. You are required to pay this charge at the time of applying for the loan. Some lenders include the application fee in the closing costs. Usually lenders do not refund the application fee, if the loan is not approved or you suddenly opt out of the deal.

Lenders need to estimate the market value of the property, before approving the loan. You are expected to pay an appraisal fee to the lender, to take care of the costs involved in getting the property appraised. The appraisal helps the lender to decide on the amount of mortgage that could be approved. Factors like location, use, condition, income from the property, replacement value and current cash value affect the appraisal.

You should try to avail of at least three Good Faith Estimates from the mortgage lenders. They are only estimates and the actual amounts vary. Some lenders charge Loan Origination Fees that cover the costs involved in evaluation, preparation and submission of the proposed mortgage loan documents. One percent origination fee is equivalent to 1% of the loan amount.

Closing Costs include the amount paid to the state or local government and the cost of getting the mortgage. The amount paid to the local or state authorities includes, property taxes, transfer fees and recording or documentation charges.

The total cost of getting the mortgage includes the expenses borne for conducting the surveys, credit checks, title checks, loan origination, documentation and processing fees and insurance.

The Recording & Transfer Charges are the fees paid by the borrower to the government, for recording the transaction and transferring the property title. Last, but not the least, you should make queries about the terms and conditions. A mortgage could possibly be the most important and largest debt you would ever be paying back.

Are you required to report your ebay earnings

Many people ask me if they are required to report the profits they earn on items they sell on eBay on their income tax return. In short, yes.

If you sell items on eBay for a profit, then you should report your eBay sales on your income tax return, and you may owe income taxes on any profits. It doesn't matter if it's just a hobby or if you are trying to build a business - if you earned a profit it's taxable income.

Generally, any income you receive from all sources is subject to income tax unless it is specifically exempt by law (hint: eBay profits are not exempt).

You must file a tax return if your net earnings from self employment are $400 or more. You are self employed if you carry on a trade or business for profit. If you are selling on eBay with the intent of making a profit, then you are self employed.

To report your eBay earnings, you should file Form 1040, and attach Schedule C or C-EZ. Schedule C is used to calculate your net profit or loss from your business, which is then reported on your Form 1040. This is assuming you are a sole proprietor. If you are incorporated, you have to file a separate business return. You will file Form 1120 or Form 1120s (for S Corporations). If you are a partnership, you will file Form 1065.

At this point, you may be thinking “I don’t run a business; I just sell on eBay as a hobby”. Unfortunately, income from hobbies is taxable as well. Even worse, you can only deduct expenses up to your hobby income, which means losses are not deductible.

Finally, there is a common misconception that if you did not receive a 1099 or W-2, you are not required to report your income. This is not true. All income is reportable, regardless of whether you receive a form or not. EBay is only a facilitator of the auction; therefore you will not receive a 1099 from eBay reporting your sales.

To your financial success,

Kristine McKinley

The scoop on student credit cards

Student credit cards are cards issued to college students and they provide young adults with an opportunity to begin building a good credit history. College credit cards are often marketed on college campuses through free giveaway promotions. Students are typically rewarded with free merchandise such as t-shirts, frisbees, and more for filling out an application.

As far as the other details go, student creditcards aren't very different from any other credit card. The biggest difference is the fact that these cards for students are usually offered to individuals who have no prior credit rating or history. While credit card companies certainly assume greater risk when extending lines of credit to students, it's a gamble they're willing to take.

Most student cards are initially issued with a relatively low credit limit, usually $1,000 or less. After a 6 month probationary period however, the student can typically request an increase in their credit limit.

So, as a college student, should you take advantage of these credit card offers and apply? In a word, yes. Student credit cards provide an excellent opportunity for college students to begin establishing their credit reputation, but care must be taken to always use the card responsibly. In my opinion, there should certainly be more information made available to young adults on the topic of credit and how to use it in a responsible fashion.

There are many different credit card offers available for college students, so how do you choose the best one to apply for? The 2 most important factors to take into consideration when applying for any credit card are:

1. What is the credit limit that you can realistically expect if approved?

2. What are the fees associated with the card and how is the interest rate compared with other offers?

Whatever you decide, remember to use your newly acquired credit card responsibly, make your payments on time, and take care not to overextend yourself financially.

How credit card companies lure students

If you’ve been to college before, you’ve seen the millions of ways students have been drawn in for a credit card application. The sad thing is though that a lot of these students don’t necessarily realize what they are getting themselves into. We are going to break down some ways on how credit card companies lure in students so that you can avoid this situations.

Getting the freebies

Everyone has seen these stands regardless of where you’ve been. From free t-shirts to a free burrito, people love free stuff. What a better way to get a free t-shirt by applying for a credit card application. A lot of students just fill out the paperwork thinking its innocent work for that $5 burrito. What they don’t realize is that they are affecting their credit score and possibly their credit history.

The problem with getting a credit card when you sign up for freebies is that you don’t know exactly what the terms and APR rates are. Sometimes what students may realize is that the credit card may have an annual fee. An annual fee is applied to your credit card statement regardless of if you use.

Hard selling

Besides the freebies, students may sometimes notice a kiosk set up at their school from a credit card company. A lot of these salespeople are highly trained in their area and lure you into signing up for a credit card application. Some of the tactics they use are making it sound like a wonderful financial opportunity or how it can build up your credit. Once again, this is bad because you don’t know the official terms and exactly how the card acts.

Sponsorships

Students may find that when they attend an event at school, it will be sponsored by a major company. A lot of the times, these events are sponsored by a credit card company. During these spiels, they will generally promote the credit card throughout the event. This way of selling a credit card is technically less pressurized because of the lack of the one on one basis.

A lot of the times you will just receive a flyer or brochure at the end of the event. The best way is to simply throw the credit card brochure out or just use it as scrap paper during class.

When looking for your first credit card or a credit card to be added to your collection, it’s important that you do your research. The freebies like a free t-shirt or burrito just isn’t worth it when it comes down to your credit. When you do apply for a credit card, make sure you pay attention to the APR rate, if it has an annual fee, and what kind of rewards it has to offer.

When you do receive you first credit card, it’s up to you to be responsible with it. Treat it as if it were cash and don’t overspend. If you can follow these golden rules, you will be debt-free for your lifetime.

Top credit card offers

Today’s credit card market has lots of different options for consumers to choose from. How do consumers know which one of these might be right for them? It is important to do enough research to figure out exactly what’s a good fit for your personal or business use. Here are a few of the best credit cards on the market for different individuals and businesses today.

American Express Clear Credit Card

The Clear Card from American Express is one of the top cards for people with high volume needs. American Express has taken an interesting approach with this new card in that they have tried to minimize costs for cardholders. This is a strange concept for credit card companies, as they usually try to make their cash on fees and such. The Clear card has eliminated late and over the limit fees and it offers an extremely affordable interest rate. If you want to get this card, you should be full prepared to have excellent credit. It is only offered to people with a record beyond reproach. This is another example of how important your credit score is. Make sure you always pay your bills on time.

Citi offers an excellent card for students. They understand that young people are getting serious about rebuilding their credit in this day and age, so they are happy to give those young people a good chance to build said credit. With this card, the interest rate is high, but affordable. They also offer a low introductory rate and a low rate on balance transfers for the first six months. These offers make this card a good one for not only students, but also for those students that are looking to consolidate their debt in an affordable way. Citi is known as one of the lenders that is more lax about giving credit to people with less than perfect credit, too.

This rewards card from Visa is good for business people, because of all of the fringe benefits that it offers. When it comes to choosing a credit card, people have to look out for their best interest as much as possible. If you are a person with a small business and you do a good bit of traveling, then this card is what you are looking for. For instance, it can help you save costs with your business. If you do a lot of traveling, then hotels and airline flights can take a big part of your budget. When you get this card from Visa, you will be cutting this cost by taking advantage of rewards. If you are having to purchase things with a credit card anyway, then you need to get as much out of that as possible.

These three cards all offer something different for different needs and they have risen to the top of the credit card industry. Though there are plenty of other offers out there on the market, these are three of those that you have to take a long, hard look at. If you qualify, these cards can help you financially.

Plugging up the money drain part i - housing auto groceries

This article is the first part of a four part article series on advice about how you can stop and plug your money drain. This article is title the - Plugging Up the Money Drain, Part One - Housing, Auto, & Groceries. Watch out for the next three articles coming soon after this article in the next few days.

Could you free up an extra USD 200 in your monthly budget, or $300, or $500? Perhaps you think you can’t, but what if you absolutely had to? Freeing up money each month would let you pay off a debt or pay for a new roof for your house. Let us look at how to save money in the three largest parts of our budget.

Housing usually takes up the largest part of anyone’s budget. If you rent, finding a less expensive place or a house mate might be well worth the change. You might be able to find a place of equal value, but costs less. If you own your home, see if you can qualify to reduce your real estate taxes and see if you have enough equity to drop your mortgage insurance. If mortgage rates have dropped it might be worth it for you to refinance your loan. Comparison shop with your home and auto insurance again. Most companies will give you a reduction for carrying both policies with them.

Autos are where we spend the next largest part of our budget. Start keeping a record of the number of miles you drive each week and begin cutting back unnecessary trips and look into car pooling with co-workers. Properly inflate your tires and get regular tune-ups for best mileage.

How much do you spend on groceries each month? The average cost conscious family in America spends about USD 40 per person, per week, but singles and casual gourmet cooks may spend USD 80 a week or more. Even a budget of USD 40 per person can be reduced by 25% (twenty five percent) at least, freeing up USD 520 per person, per year. To reduce your grocery budget, buy fewer prepared foods and instead cook, drink more water and less soda pop, find some inexpensive, quick recipes to make regularly, resist buying too much so that you eat the food you purchase rather than waste it, comparison shop, and try generic rather than name brands. Some shoppers save a lot on their food budget by using coupons, while others avoid buying name brand and prepared foods. Either method will reduce your food budget. Figure out what you have been spending each week on food, and reduce that amount by 25% (twenty five percent) and see if you can adjust to living within that budget. Try it for two months, and if you are successful, you can try reducing again. So implement these tips today for a credit free life. Control over your bills and credit can help you save money in the long run which is called life. Be money conscious always. It is a very good habit.

How to work with creditors successfully

Dealing with creditors might be very stressful and frustrating especially when facing the burden of indebtedness with limited ability to repay what you owe. Under such circumstances, you will definitely want to build positive relationships with your creditors to help demonstrate your eagerness to repay your loans as you are able. Such a strategy can also buy additional time to help gather the funds to make your payments.

The first thing that you should do whenever you are facing a financial problem and have missed a payment is to inform your creditor of your situation and offer an apology for your missed installment. You should not wait for them to come to you! Taking such initiative shows sincerity of intent to your creditors rather than that you are running out on your financial obligations. You might also offer to pay the interest for the time being so that it does not accumulate and spiral out of control.

Your creditor may also be willing to offer you a better rate of interest that is more suitable to your current circumstances. Before contacting your creditors, develop a simple plan concerning how you will talk and deal with them. You ought not contact your creditors without any logical explanation for why you have missed one or a couple scheduled payments.

You should also write out the priorities of your bills by listing all your fixed payments and make those at the top of the list your initial payments. The highest priorities would include bills for life necessities, followed by your expenses for extra clothes, recreation, and other discretionary spending.

There are different approaches of creditors concerning late payments. Some might immediately go to a third party collector when you do not pay within a certain period of time. You should consider the benefit of paying these obligations first and perhaps work a little more slowly with others that are more generous and understanding of your situation. Again, your demonstrated sincerity and alternative steps of repayment will go a long way toward influencing a creditor to work with - rather than against - you.

There are different ways to contact your creditors too, though over the phone or even in person are best. You should first work through your conversation mentally and even jot down specific points you want to cover so that you do not forget the details. You will need to listen very carefully to the person representing the creditor and write down anything that seems important. Don't count on your memory alone under the pressure of such an important meeting. You might also venture to ask the creditor for the actions they can take if your payments are further delayed. Better to broach this possibility from the outset than later when the need is immanent.

Additionally, you should be very patient and polite while talking with your creditor. They are in the "power" position, not you. When the conversation is over, you should send an immediate letter confirming the things you have discussed together. This way there is clarity and written accountability if a discrepancy of recollection arises later.

These are only a few basic tips to help you in the midst of an immediate problem. The purpose is to find alternative and more flexible means of repaying your debts but not to escape them.

It s quick and easy to get a debt consolidation loan rate

If you are floundering in debt and paying too much for it every month, you might be surprised to discover how quickly and easily you can combine your debts into one loan at a much lower debt consolidation loan rate. Online applications can make the process even easier than usual and you could find yourself free of multiple credit card balances and other loans in no time at all.

The first step to finding a loan with the best debt consolidation loan rate you can get is to get a broad understanding of the products available to you. Do you want to use the equity in your home to ensure the lowest possible interest rate? If so, a home equity loan is for you. If you have a mortgage, your current lender may well be willing to grant you this loan at a competitive interest rate if you have a good history with their institution. If you have the equity and the income to pay the loan, you will be able to find a good value home equity loan. However, you need to be aware that your home will be used as security and if you default on the loan you could lose your property.

If a home equity loan doesn't appeal to you, perhaps you would prefer an unsecured personal loan. These would have to be the most popular debt consolidation loans and although they are usually at higher interest rates than home equity loans, your assets are not at risk and they can still offer very competitive debt consolidation loan rates. Some people choose the flexibility of low rate credit cards or low cost lines of credit such as home equity lines of credit instead of fixed term loans. Flexible options such as these are excellent if you have unavoidable and expensive commitments to pay for and do not wish to pay interest on the loan before you need the money. So these loans are really for when you need to consolidate debt to increase borrowing power without increasing monthly costs. They are not fixed term, so if you are not careful, there is the potential to remain in debt.

No matter which debt consolidation option you choose, you will be able to find a low debt consolidation loan rate which will save you money in payments every month as well as thousands of dollars in interest over the term of the loan. Probably the quickest and easiest way to find the lowest debt consolidation loan rate is to use a professional service to organize everything for you. There are many online services that can facilitate applications and hasten acceptance.

Whether you prefer to do your business online or speak to someone face to face, you will be able to quickly consolidate your debts into one loan at a low debt consolidation rate that saves you money and relieves financial pressure immediately.