Keeping current on personal finance and financial literacy is a hobby of mine. I enjoy reading about how others create plans and execute them to get out of debt and / or build wealth. Why? There are many methods that can be used to achieve success. The trick is finding the method that works for you. That's why
I try to read as many debt, personal finance and wealth building articles I can. There is one that I would love to recommend called Lexington Law.
The link that I shared above is to Lexington Law's twitter feed. I strongly advise you to follow them. They share awesome articles that are informative and very helpful to those seeking personal finance education. For example, they have credit help for entrepreneurs, tips for home buyers and info on teaching kids about money. Their articles cover a wide variety of topics which I love to share on facebook. Why keep a great find like this a secret? Not me. That's why I wanted to share it with my readers too.
Who is Lexington Law? It is consumer advocacy law firm. Unlike other law firms, they have offices across several states. They provide services that range from bankruptcy, to divorce, child custody, home mortgages, credit report repair and more.
Follow their twitter feed, check out their website, read some articles and let me know what you think below in the comments area. I would love to know if you found this site useful! Thanks in advance!
Showing posts with label debt. Show all posts
Showing posts with label debt. Show all posts
Tuesday, May 28, 2013
Tuesday, June 14, 2011
Do You Avoid Answering Your Phone Because of Creditors?
There are very few things I have found as stressful and irritating as calls from creditors. So many people I know are experiencing this right now. With the economy as horrible as it is, many have lost their jobs. Some people have the added stress of having ARM mortgages. Add the skyrocketing gas prices, soaring food costs and it is a lethal mix. When you simply can't make the payments anymore, the calls begin. They will call your cell, your job and/or your home. They are determined to get their money.
You want to know what the worst part is? It is when the creditors call non stop and you start stop answering your own phone, not because you are screening them- but because you don't want to argue with a stranger.
Some people may not feel empathy towards a person in this situation. Why should they? They are dealing with the consequences of poor management of their finances, right? Well, not all the time. Some people end up in financial problems because of an illness, an accident or because of my personal favorite- a cheating spouse.
Right now, my best friend may have to file bankruptcy. After 15 years, her husband cheated on her. After cheating on her, he decided to leave and destroy her credit and finances. He stopped making payments on his BMW. It was repossessed. He also stopped paying the mortgage to the house he is currently living in. That is going into foreclosure. Her lawyer told her the banks that hold those loans may put a lien on the house she is living in (with their 13 year old daughter).. To make everything even more complicated, he took out $100,000 from his pension, blew the money and didn't pay the income taxes on them. Her phones ring all the time. Why? The creditors are harassing her to make the payments. For this reason, she doesn't even answer the phone. Unfortunately for her, nothing can be taken care of until the divorce is finalized. Who knows when that is going to be over! What a nightmare...
Here's some interesting information on bankruptcy:
Filing Chapter 7 bankruptcy can help you eliminate your credit card debt, stop garnishments, stop repossession, stop foreclosures and end creditor calls.
Filing Chapter 13 Bankruptcy will help you reorganize your debt and in most cases reduce the amount of money you must repay.
Having creditors blow up your phone is no way to live. If you are avoiding answering the phone because of creditors, you need to do something. For more information on bankruptcy, visit the site Riverside Lawyer . They are bankruptcy lawyers in CA. They have a very informative site regarding bankruptcies. They also have many free resources available. (Live in CA? By calling 951-241-8070, you can setup a free consultation). You have options. Find out what they are and take action...
*** A great big thank you to our sponsor because your support enables me to continue blogging! ***
You want to know what the worst part is? It is when the creditors call non stop and you start stop answering your own phone, not because you are screening them- but because you don't want to argue with a stranger.
Some people may not feel empathy towards a person in this situation. Why should they? They are dealing with the consequences of poor management of their finances, right? Well, not all the time. Some people end up in financial problems because of an illness, an accident or because of my personal favorite- a cheating spouse.
Right now, my best friend may have to file bankruptcy. After 15 years, her husband cheated on her. After cheating on her, he decided to leave and destroy her credit and finances. He stopped making payments on his BMW. It was repossessed. He also stopped paying the mortgage to the house he is currently living in. That is going into foreclosure. Her lawyer told her the banks that hold those loans may put a lien on the house she is living in (with their 13 year old daughter).. To make everything even more complicated, he took out $100,000 from his pension, blew the money and didn't pay the income taxes on them. Her phones ring all the time. Why? The creditors are harassing her to make the payments. For this reason, she doesn't even answer the phone. Unfortunately for her, nothing can be taken care of until the divorce is finalized. Who knows when that is going to be over! What a nightmare...
Here's some interesting information on bankruptcy:
Filing Chapter 7 bankruptcy can help you eliminate your credit card debt, stop garnishments, stop repossession, stop foreclosures and end creditor calls.
Filing Chapter 13 Bankruptcy will help you reorganize your debt and in most cases reduce the amount of money you must repay.
Having creditors blow up your phone is no way to live. If you are avoiding answering the phone because of creditors, you need to do something. For more information on bankruptcy, visit the site Riverside Lawyer . They are bankruptcy lawyers in CA. They have a very informative site regarding bankruptcies. They also have many free resources available. (Live in CA? By calling 951-241-8070, you can setup a free consultation). You have options. Find out what they are and take action...
*** A great big thank you to our sponsor because your support enables me to continue blogging! ***
Monday, June 13, 2011
Ways to Get Out of Debt
Debt Management Plan
A debt management plan is an informal arrangement between you and your creditors, planning out how you intend to repay your debts. It’s technically possible to arrange this yourself, but many people prefer the convenience and experience that a professional debt management company can offer.
A debt management plan can allow you to repay your debts at a more manageable pace. You will agree smaller monthly payments to each of your creditors, based on how much you can afford each month, and interest rates and other charges can also be frozen – meaning your debts won’t continue to grow.
Debt consolidation loan
A debt consolidation loan is particularly useful for people with several debts. It is a new loan that allows you to repay your existing debts, after which you will repay your new lender in single monthly payments.
Read more on this article here.
Thursday, May 26, 2011
Effective Debt Management Strategies
People easily tend to get into debt especially if they spend more than they actually earn in a month. Unfortunately, getting into debt is a common problem for numerous households these days.
The best and most logical solution to overcome and prevent debt is to spend less than you generate as an income each month. However, as you may know by now, that is not as simple as it sounds. Getting out of debt or preventing to accumulate mountains of it entails financial discipline. Here are two debt management strategies that would certainly be effective for you.
Snow ball strategy
Of all the debt management strategies that may be known to consumers, this one could be considered as the most analytical. This is because there is a need to identify and classify the most expensive among all your existing loans and debts. Expensiveness is classified through the interest payments required and all other charges that come with those.
To use and implement the snow ball strategy in debt management, identify your current most expensive debts and have the resolve to pay them off first before all other loans. Those debts that do not come with high APRs could be less prioritised for a while. Intend to pay minimum required payments on those less expensive debts as you concentrate on the more expensive ones for the meantime.
Experts assert that ‘snowballing’ would surely help anyone in financial distress to be more organised and systematic in managing and handling debts. It is like putting off more difficult problems first before dealing with the easier ones. In reality, you may agree that solving harsher problems first would make you resolve the less difficult ones easier.
Prioritising debts
Most debt management strategies entail prioritisation of specific debts. This second strategy is different from the first in that priorities do not favour the expensive loans. You could prioritise your debts based on the nature and possible effects.
For instance, you should always prioritise not losing your home. Thus, mortgages should always be on top of your list of debts that should be paid off first. Your home loan may not be as expensive as your other debts but you should not falter in repaying the dues required for it. Thus, intend to always make your mortgage payments on time, no matter what happens.
After your mortgage and other loans with security, prioritise your debts that incur higher interest rates. You may consider consolidating or transferring such loans into a low-interest credit card. It is a logical and wise action to take. Just be sure your card’s balance transfer feature is not limited to just a specific period or you may get into a bigger trouble because many credit cards with introductory 0% or lower balance transfer costs impose much higher rates after a prescribed period.
Which of these two debt management strategies is more appropriate and applicable to your current personal and financial situation? If you intend to get out of your debt problem, you should start taking actions to do it now.
Andrew has been working in the finance industry for several years as a debt consolidation specialist. When he is not working, Andrew likes to share his knowledge and help people.
The best and most logical solution to overcome and prevent debt is to spend less than you generate as an income each month. However, as you may know by now, that is not as simple as it sounds. Getting out of debt or preventing to accumulate mountains of it entails financial discipline. Here are two debt management strategies that would certainly be effective for you.
Snow ball strategy
Of all the debt management strategies that may be known to consumers, this one could be considered as the most analytical. This is because there is a need to identify and classify the most expensive among all your existing loans and debts. Expensiveness is classified through the interest payments required and all other charges that come with those.
To use and implement the snow ball strategy in debt management, identify your current most expensive debts and have the resolve to pay them off first before all other loans. Those debts that do not come with high APRs could be less prioritised for a while. Intend to pay minimum required payments on those less expensive debts as you concentrate on the more expensive ones for the meantime.
Experts assert that ‘snowballing’ would surely help anyone in financial distress to be more organised and systematic in managing and handling debts. It is like putting off more difficult problems first before dealing with the easier ones. In reality, you may agree that solving harsher problems first would make you resolve the less difficult ones easier.
Prioritising debts
Most debt management strategies entail prioritisation of specific debts. This second strategy is different from the first in that priorities do not favour the expensive loans. You could prioritise your debts based on the nature and possible effects.
For instance, you should always prioritise not losing your home. Thus, mortgages should always be on top of your list of debts that should be paid off first. Your home loan may not be as expensive as your other debts but you should not falter in repaying the dues required for it. Thus, intend to always make your mortgage payments on time, no matter what happens.
After your mortgage and other loans with security, prioritise your debts that incur higher interest rates. You may consider consolidating or transferring such loans into a low-interest credit card. It is a logical and wise action to take. Just be sure your card’s balance transfer feature is not limited to just a specific period or you may get into a bigger trouble because many credit cards with introductory 0% or lower balance transfer costs impose much higher rates after a prescribed period.
Which of these two debt management strategies is more appropriate and applicable to your current personal and financial situation? If you intend to get out of your debt problem, you should start taking actions to do it now.
Andrew has been working in the finance industry for several years as a debt consolidation specialist. When he is not working, Andrew likes to share his knowledge and help people.
Sunday, April 24, 2011
Avoid Credit Nightmares, Get A Free Credit Score Report!
Actually, the car shopping experience went a little less painful than I thought. I kept telling him to get a free credit score before going to the dealership, but he never listens. He didn't know what his credit score was going to look like. He is 48 and has never really cared about getting credit. I know. CRAZY!
Let me tell you, how it went down.
1. The car salesman gives him a form to fill out.
2. He fills it out and returns it.
3. The car salesman runs it through the system.
4. The salesman tells us, he doesn't have a credit history.
5. The salesman is shocked and tells him it doesn't look good.
Hello? Do you really think I would go to a dealership unprepared.
1. I tell the salesman he has another full time job he hasn't listed.
2. I proceed to take out two and half months of uncashed paychecks for proof of income.
3. I tell the salesman I would like something used because I don't want a monthly
payment.
The salesman's whole attitude changes. Little One's Dad decides on this car because it has less mileage and is a newer model than the other options. He gets the loan, starts a new credit history and picks up a monthly car payment! (There goes my plan of no monthly payments.) The salesman tells him to make timely payments so that he can raise his credit score. That way he can come back in two years and get a truck with four wheel drive (which was his original desire).
The Suzuki SX4 came with XM radio, 6 CD changer, Garmin GPS, keyless entry and lots of other extras. I really enjoy this car! The kids love it too. Best of all, I don't have to worry about being stranded.
How does he feel about the car he's paying for and hardly drives? He only thinks of the truck he'll be able to buy in two years. In the meantime, I am enjoying this car. What can I tell you. I love to live in the moment. :)
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