Finance Central

The Value Of Interest Free Credit Cards

noreply@blogger.com (Lou) — Mon, 30 Jun 2008 22:08:00 +0000

If you are looking for a new credit card in the next few months then the likelihood is that you will be paying particular attention to the wealth of interest free credit cards out there. Interest free credit cards are the subjects of much interest today for a huge variety of reasons, but none more so than the fact that more and more individuals are looking for a viable debt solution and they believe that interest free credit cards are the answer! Whilst they may well help debt levels, there is more to the average interest free balance transfer or purchase credit card than meets the eye.

For the rest of the article, go to The Value Of Interest Free Crdit Cards

A Quick Guide To The Factors You Should Consider When Choosing A Credit Card

noreply@blogger.com (Lou) — Thu, 26 Jun 2008 11:44:00 +0000

As previously discussed, picking the right credit card is an important decision that can financially impact you in a negative wasy if are not careful. Here are some reasons why you have to be so selective when doing so.

Some charge very large interest rates.

If you not careful about which card you choose, you could end up with one that charges 15% or more on charges. Run up a bill on that kind of interest and you'll be twice as much to the credit card companies than you probably should be paying.

They encourage you to spend more money.

It doesn't seem like your spending money when you're just signing for something, but that will all change when the bill arrives. Since you have ability to run up more debt, picking a card with a low credit limit is generally a good idea.

Fine print.

Be prepared to read pages of fine print that sometimes only a lawyer can translate. That great offer with 0.0% interest for the first 6 months probably has some major drawbacks once that introductory period has finished. Read carefully and that should help you make an informed decision.

Hidden fees.

Credit card companies love to charge fees. Especially annual fees, late payment fees, balance transfer fees and basically anything else they can think of. The only way to be sure to avoid them is to go through all of the fine print and learn all aspects of the offer before you sign up.

Find one that fits your needs.

With so many offers out there, there's no reason to settle on the first one that lands in your mailbox. Shop around and look for an offer that's a good fit, then seek an application from them. Taking whatever card you’re pre-approved of is very risky.

It's all about the perks.

Some cards offer rewards and cash-back bonuses. If you look hard enough, you'll find a deal that will get you something extra for your time and money. Still, don’t expect to take advantage of this without having to read any additional fine print.

Traveling abroad is not always a given.

Not every card is accepted all over the globe and most banks charge 1-3% for a currency exchange. Most cards will work at ATMs overseas and get you whatever type of cash or coin needed, but prepared to see hidden charges. Look over your card policy paperwork before heading to the airport.

Saving Money For The Summer

noreply@blogger.com (Lou) — Wed, 25 Jun 2008 12:26:00 +0000

Although the majority of my posts are about credit cards, personal loans and getting out of debt, I thought I'd write a different post today. One about making a little money to enjoy your summer with and offering a few tips on where to go to sell old stuff that you no longer want or need!

Myself and my husband are going to Italy in a few weeks to celebrate our year wedding anniversary and I can't wait. I need a break so much at the moment. I've been working 18 hours a day to try and get enough money together to pay the bills in recent weeks! We realised that we probably wouldn't have as much spending money as we'd have liked for our vacation and brainstormed what we could do to earn a little extra.

We came across quite a lot of stuff in the spare room that could be sold, including several old computer games that my husband doesn't play on anymore. I sold 5 of them last week and got £65 for them. That was through Amazon. We tried getting them valued at a games store and they offered nowhere near that amount so sell your stuff online if you want to maximise profit! We all know how good eBay is for selling stuff, but try Amazon if you have books, CDs and DVDs to sell because I guarantee you'll get more for them.

We're also heading to a car boot sale with the rest of the stuff in a couple of weeks. Now is the time with the sunshine and the dry weather. I have loads of childrens books that I could get rid of as well as odds and ends that are just cluttering up the house. A sale is a quick and easy way of decluttering your home and maxmising your chances of making a little money!

How To Compare Credit Cards Without Losing Your Head!

noreply@blogger.com (Lou) — Sat, 14 Jun 2008 16:04:00 +0000

If you intend to compare credit cards before you apply for and take out a new one then you are extremely likely to get confused! This is an absolute fact! There are so many credit card elements to look at when you compare credit cards that it is impossible for you to retain all of the information that you need in order to make the right decision! How ever, if you stick to the quick check list below then you will have the best credit cards at your fingertips within moments!

*This is the introduction of a helpful article. To read the rest, please click here.

The Plight Of Homeowners

noreply@blogger.com (Lou) — Tue, 10 Jun 2008 12:08:00 +0000

News broke today that has basically shattered my dream of owning my own home within the next three years or so.

According to figures released by the UK Council of Mortgage Lenders today, 23,200 are facing negative equity when their current deals run out. All of those people, which is 2.5% of the total of mortgages taken out between April 2007 and March 2008, have 100 percent mortgages. This spells further trouble for the housing market because, although more houses will be going up for sale, the likelihood is that mortgage rates will go up to cover the deficit (as two providers did last week) and fewer first time buyers will be able to get on the housing ladder.

I am one of those people. I have never owned my own home, but I do want to. I hate the house we live in at the moment and am sick of renting, but our previous credit scoring and level of debt has prevented us from obtaining a mortgage. Now we would be foolish to invest in our own property. Although we did plan to save for a deposit and will continue to do so, it may just be in vain.

I actually wrote an obituary for the 100 percent mortgage last week, which seems a little ironic now given the news today. The full article can be found here: Credit Crunch Kills 100 Percent Mortgage.

Barring a miracle, I think it is a fair assumption that the dark financial days are here to stay for a while!

Go Cheap For Father's Day

noreply@blogger.com (Lou) — Thu, 05 Jun 2008 10:52:00 +0000

With Father's Day looming on the horizon, I started to think about what I was going to get my dad this year. With very little spare cash and a major reluctance to put anything on my credit card, I don't have many options. Luckily enough, my dad is a complete and utter technophobe. He can just about switch the PC on but when it comes to anything else technologically advanced forget it! Gadgets just don't interest him at all. This narrows down my options somewhat but makes it a lot cheaper.

I had no idea what to get him at all until I had a brainwave. I have loads of photos from my wedding in Sorrento, Italy last year, some of which are great photos of us as a family. I've blown one of them up for him, which cost me around £3, and bought a nice frame in a bargain shop for £3. I've also made plans to cook my parents a Father's Day dinner. All in all, I'll probably spend around £10 and he'll definitely appreciate the gesture. I'm really looking forward to it!

Father's Day is about family and need not break the bank. My dad will appreciate the personal touch a lot more than a useless present that he's never going to use so I've saved money but will please him regardless. To pull out a cliche, everyone's a winner!

If you're struggling for ideas then take a look at an article I wrote about Father's Day gift ideas. You can find it at this link. It just might inspire you!

Credit Cards: My Dilemma!

noreply@blogger.com (Lou) — Wed, 28 May 2008 11:32:00 +0000

OK, so I’ve done a lot of posts on credit cards of late and keep intending to move on to pastures new where my debt and that of everyone else is concerned. The problem is though that credit cards are a source of major debt and can also help so I’m really torn between expressing their virtues and their dark side as well! In some ways I think a credit card can be a really good thing, but obviously the debt aspect is not so good! If only we could charge it to someone else…

Most of us don’t have high limit business credit cards that we can charge to the company we work for whenever we go out for lunch (not that I would do that anyway!), but a credit card can come in useful in an emergency. What if you were stuck somewhere and needed money that you don’t have for a hotel room? I once had to have my car towed back from Cardiff after the head gasket blew. If it wasn’t for my credit card then I would never have been able to get home.

It is worth having a credit card in reserve as long as you have the will power not to spend on it. However, when you’re choosing one, make sure that it has “visa no annual fee” next to it. I’ve been noticing that more and more credit card providers have been offering credit cards with annual fees attached to them. I think they see this as a measure to help responsible lending along, but it’s just a cop out if you ask me. If you have to pay for your credit card then it is going to cost you just to have that peace of mind. First charging for current accounts then credit cards… financial companies have us over a barrel! And it’s not good!

Hitting The Bad Credit Wall

noreply@blogger.com (Lou) — Tue, 20 May 2008 12:38:00 +0000

I am one of those people that check their credit report regularly, religiously if you like. I used to work for a company that sold identity protection and some of the material I read scared me to death, but aside from that I like to know where I am with my credit.

My credit does leave a little to be desired at the moment but it has been worse. Obviously my debt has a lot to do with the fall in credit I experienced around this time last year but thanks to credit cards for people with bad credit it has started to rise again. There are many on the market today but if you are going to start working on elevating your credit level then it is wise to be careful. Some lenders do not lend responsibly at all, but they are in the minority now thanks to the credit crunch.

There are several things to look out for. No lender should offer to lend you more than you could pay back, and that is doubly important for those that offer a credit repair service. Also, they should offer you the best credit card deal possible with as low a rate of interest as you can get. There are some excellent websites out there that could help you. Request Credit is one of those that stands out. It seems to have a range of great deals, but more importantly it strives to help you manage your personal finance more effectively and enables you to “get wise to today’s credit cards market”. I don’t think I’ve ever seen a credit card site with a mission statement like that before! That’s why it deserves a special mention. I do recommend reading the news section on there. It has plenty of information that I found useful so I’m guessing you will too. After all, I need all the help I can get at the moment!

Places To Make A Little Extra Money Online

noreply@blogger.com (Lou) — Wed, 14 May 2008 21:49:00 +0000

If even the Bank of England head honcho is saying things will get a lot worse before they begin to get better, the economy is facing severe difficulties. That goes for the rest of the world too. Inflation is rising, salaries are staying stagnant and fuel and food bills are beginning to go through the roof. So what are we to do? Well, the main way that I make a little extra cash from time to time is to sit on my couch and log on to the Internet!

There is a massive range of survey sites out there at the minute, and most of them pay really well. It only takes around 10 minutes to register on them and then they will send you surveys via email when they become available. I earn around $25/£15 a month from doing these every now and again. I have been paying the extra off my credit cards but that might change soon with the financial difficulties so many people will undoubtedly soon be facing.

I have listed some of the better ones I complete surveys for below, complete with the links, so you can take a look for yourself if you like. Try some of them out and see how much you can earn:

Survey Savvy - This is for UK and US residents and sends through surveys based on your demographic profile fairly regularly. Even if you don't qualify for surveys, you still get entered into prize draws. Well worth a look!

Ciao - This site is awesome. Not only do they send you surveys through several times a month but you can write reviews of products and get paid for them so you can earn as much or as little as you like every month.

You Gov - This is a UK survey site that offers at leat one paying survey and one prize survey every month. There are plenty of surveys through asking about everything from politics to your shopping habits. You do have to wait until you get to £50 to claim a cheque but this company provides all of the statistics that are featured on the news and in various newspapers so you can take part!

Snap Dollars - Snapdollars sends through paid emails. All you have to do is click on the emails and get paid for it. If you do want to earn more though, you can take up as many of the offers as you like.

Pure Profile - Pure Profile offers an online community for consumers to discuss anything and everything. They also send you surveys several times a month. Even if you do not qualify for them all, you still get 20p for your trouble.

A W Surveys - With this company, you review and comment on websites, which takes a few minutes and pays quite well! You can join this regardless of where you live as long as you have a Paypal account.

Greasy Palm - Greasy Palm is a cashback site that rewards you for shopping online. You can install software on your computer that reminds you that you could earn money for shopping online whenever you go to a site that they reward you for. You don't even have to think about it! The cashback soon mounts up as well so you could get a cheque from this every month without even trying.

Cashcrate - A popular site with Americans, but anyone can join. You literally take advantage of the offers on there, which are usually great, and get paid for them! This is an awesome site that you should check out.

My Shopping Rewards - This is another cashback site. The rewards aren't quite as high as Greasy Palm but they do offer cashback on offers and online stores that Greasy Palm doesn't. As a result, it is worth signing up to both.

There are a few more out there that are good, but these are the best ones in terms of the rewards. Take a look for yourself and see how it works.

The Importance Of Choosing Credit Cards Carefully

noreply@blogger.com (Lou) — Thu, 08 May 2008 12:22:00 +0000

Choosing credit cards carefully… what a mouthful! Regardless of how difficult it is to say though, I watched a program on TV tonight all about debt. I vaguely remember having seen it before but some of the people that were featured astounded me when it came to their attitudes towards credit cards. I found that a high number of people are not taking the time to choose the right credit cards to suit their needs. A good example of this was one lady that specifically chose her credit cards because of the pretty pictures on the front! Yes, you read that right! The pretty pictures! Given that fact, it was little wonder that she was £200,000, which is the equivalent of $400,000, in debt.

I do honestly think that having a credit card is a good insurance policy. Some may not agree with me, but what happens if an emergency comes up and you can’t get a hold of the money you need? Your car may break down, you may have an unexpected bill or you may find that you are stuck when you go on holiday. This applies to consumers credit cards and business credit cards

alike. You never know when something may come up, but then you have to deliberately take the time to choose the right credit cards for you so that you don’t have to deal with huge interest rates, ridiculous credit limits, faddy offers that hide the poor terms and conditions that are hidden underneath.

All of the above is especially true in the case of student credit cards. There could be nothing worse than being in debt that totals thousands and thousands of pounds when you are about to make your way in the world. I was lucky enough not to be in credit card debt when I left university and it was circumstance led me down the debt path but I am lucky to have credit cards that have relatively low rates of interest with reputable companies (for the most part). It is really important to read the terms and conditions and read reviews about the individual cards before you apply because choosing the wrong one could make a major difference to your future financial health.

Tips To Help You Save - No Thought Necessary!

noreply@blogger.com (Lou) — Mon, 05 May 2008 20:59:00 +0000

I'm not quite sure how I have managed it over the past few months, especially with how tight our finances have been, but I've managed to start saving a decent amount of money. Now, all of the ways in which I am doing this are pretty simple and obvious. They don't yield a lot of money but some is better than nothing at all and it soon starts to build up. I'm planning on using the money to build up my emergency savings and then, when we are in a better financial position, maybe put it towards a house deposit.

Here are just some of the ways I have begun to build up the savings again:

1 - Have a change jar. Too many people do not have one of these but, believe me, it soon mounts up. I save 1p, 2p, 5p and 10p pieces because they are all my purse is ever filled with. We tend to spend the larger coins but not the smaller ones (in amounts of course) so they go in a jar and are counted for full bags at the end of each month. Obviously the currency would change depending on where you are, but the principle is a good one nevertheless.

2 - Splitting anything I get from selling - I have put stuff on eBay and Amazon in recent months because I've begun to clear the clutter away, and believe me, I have a lot of clutter. Instead of using it all to pay off debts though, I've been splitting it in half so half goes into the savings and half goes towards the debts. This is one of the main reasons why I've been able to put a regular amount in the savings.

3 - Spare change - I've opened an account that automatically transfers any loose change into a savings account at the end of every day. If I've paid a bill or used my debt card, the spare change is put into a savings account for me. This soon adds up as well. Lloyds TSB do it in the UK, although I don't know any banks that offer it elsewhere.

All of the above options are worth looking into, or maybe you could come up with some and let me know about them. I'm always interested in various ways of saving money so drop me a line if you do!

Are Credit Card Comparison Sites All That?

noreply@blogger.com (Lou) — Fri, 02 May 2008 17:10:00 +0000

Credit card comparison sites are extremely common at the moment. If you happen to tap a search for "credit card comparison" or "financial products" into Google, for example, then the likelihood is that the first page of results would all feature comparison sites, with maybe one or two financial provider sites thrown in for good measure! Now, this applies to a lot of financial searches and not just those for the keywords above, but the point is that comparing the available credit cards has never been easier... but is that a good thing or not?

My honest answer would be no in the majority of cases. There are a few good comparison sites out there that do ask you what you are looking for and bring the best results to suit your wants, needs and circumstances to the fore, but it has to be said that the majority don't. Instead, they push the most popular cards, or their most influential partners in some circumstances. When you are browsing for the best credit cards options for you then this is exactly not what you need. It is, however, a sure fire way to run up debts in next to no time.

Everyone else may wax lyrical about how great comparison sites are, all credit cards comparison sites, but I will not do that. There are a handful that are brilliant but the rest suck, to be perfectly honest! Make sure that you find a good credit card comparison site if you do want to find the best deals because a little further down the road you will be glad that you did!

Balance Transfer Credit Cards - Good Or Bad?

noreply@blogger.com (Lou) — Fri, 14 Mar 2008 23:36:00 +0000

Interest free and balance transfer credit cards garner a lot of interest for a huge number of reasons today, but none as big as the fact that more and more individuals like you and me are looking for a debt solution that is a cheap as possible. They believe that balance transfer credit cards are the answer. Whilst they may help you to ake your debt stats look better temporarily, balance transfer cards are not always all they seem.

For example, those cards offer a fixed time period in which no interest is added onto the balance, but terms and conditions can jeopardise this if you miss payments. If you are even a day late with the monthly payment once then the provider will apply interest to the balance and recant the deal.

Another fact is that your interest free balance transfer only applies to balance transfers that are completed within the first three months, although this does vary from provider to provider. after a certain time frame.

If you believe that you cannot pay the amount you owe on the card in full before the end of the interest free period expires then you should look for an alternative solution, like a loan, because the regular interest rate is often higher than it would be on non-balance transfer cards with offers. After all, your financial situation is a long term issue and not a short term one so you do have to look a little into the future. If you plan ahead, you stand less chance of going a little off your chosen financial path

The Global Trend Of The Payday Loan

noreply@blogger.com (Lou) — Wed, 20 Feb 2008 20:07:00 +0000

I’ve been looking through an awful lot of blogs in recent weeks to try and get a few ideas, hints and tips under my belt that could actually help me reduce my debt that little bit quicker. Of course, I found plenty, but I also had a quick look at some of the links as well and found a number that redirected to a payday loans website. I have to say that I’d only heard of the payday loan before but had never really looked into it. Well, I got curious and took a closer look…

For those of you that do not know what a payday loan is, it is a very short-term loan that is designed to tide you over from payday to payday if your monthly budget falls short for whatever reason. I’ve had that plenty of times because something always happens (usually something breaking that has to be replaced) when I do not have the money to fix it! There are lenders on the high street and on the Internet that will give you a cash advance almost instantly without a credit check but you have to pay it back the next time you are paid.

I have to say that I think a payday loan may well have helped me to stay out of debt the first time I had to borrow money. Of course, this is not a certainty and what happened would have happened anyway, but it is so easy to put items on a credit card and write out a reminder to yourself pay the balance in full. Something else always came up so I never did pay it off and the debt just kept growing and growing. With the payday cash advance, you have to pay it back immediately when you get paid so you have no choice in the matter!

As far as I can tell, payday loans are available throughout the world. I found a number of sites in the UK as well as in the United States. The one thing I did notice is that the fees are relatively high for this kind of service, but then there is no money to be made on interest payments in the long term I suppose. However, some providers do seem to have lower fees than others so it is worth looking around. I don’t have any need for one at the moment so I haven’t compared them all, but I can see why so many people do.

New Money For Old Phones!

noreply@blogger.com (Lou) — Fri, 08 Feb 2008 22:36:00 +0000

In the last six months or so I have signed up to too many survey sites to count, put my old stuff on eBay, joined mystery shopping networks and planned out so many car boot sales (with the stuff that has yet to sell on eBay!) for the spring when it gets a little warmer and drier (if you have ever been to the UK in winter you'll understand what I mean!). I've literally looked at all options that I've found and am only making a little extra cash on eBay at the minute. I've completed loads of surveys but you have to wait until you've accumulated enough money to claim a cheque or bank transfer and it's taking longer than I thought, but I did get a cheque from Envirofone today so I'm a but happier for now!

I stumbled upon Envirofone through one of the cashback sites I've joined. It was advertised as a mobile phone recycling website but one that actually paid for the old phones that I didn't want or need any more. I'm an unbelievable horder, which my husband absolutely hates but it does come in useful sometimes. I found two mobile phones that we'd had for ages and hadn't used for a couple of years and looked them up. The site itself has a guide that will tell you the going rate for the models and makes of mobile phones that they accept and how much they're worth.

I got £35.04 for the two of them in a cheque that came through this morning. I couldn't believe that someone would actually pay me for my old phones but they did! It made my day actually and I couldn't resist waving the cheque in my husband's face. My hoarding actually paid off! At least that's been a little something extra for the week anyway.

Using Envirofone is a good idea though, and not only because you get extra cash. I love the idea that you're recycling them as well. I always try to recycle wherever possible so it's a bonus that I get paid for it.

If you do have a mobile lying around then see what you can get for it. Even if it's only a few pounds, it's better than nothing.

Yet Another Credit Card Scandal!

noreply@blogger.com (Lou) — Sat, 02 Feb 2008 17:22:00 +0000

It was reported today that a particular bank that operates solely on the Internet has closed the credit card accounts of 7% of its customers. THERE ARE TWO MAJOR SIDES TO THIS STORY THAT ARE VERY INTERESTING CONSIDERING HOW DIFFERENT THEY ARE!!!

THE BANK'S SIDE - These customers, according to the credit card provider, have unacceptable level of risk attached to them... meaning that their credit scores have deteriorated since they were first given a credit card. Although none of those individuals have been given a final demand for the money they owe, they cannot use their cards any more.

This sounds fairly responsible if you look at it from the bank's point of view. They apparently do not want to end money to people in serious debt and with a high risk attached to them.

Or so they say...

THE CUSTOMERS'S SIDE - Completely the opposite, in fact! The majority of people that have received letters to say their accounts have been closed are actually rated as excellent in terms of their credit score and have no debt on the card! In other words, the bank is getting rid of the custoers that they cannot make money off of! This is mazing when you think about it. They are prepared to close the credit card accounts of those people that have no debt and yet keep the accounts of those that are in heavy debt open. It doesn't seem fair somehow becaus you get penalised for having no debt at all!

I have my own point of view on this. Obviously I cannot name the bank in question on here, but I do have a credit card with them. It is the one card that I don't have a balance on. However, my credit score has declined since I opened the account and I am OVER £20,000 in debt, and yet I have had no letter. My credit card account is still open! If the bank's justification was right on the money then by all rights I should have received a letter but I didn't. But then again, I don't have an excellent credit rating and I may need to borrow more money in the future so they can make money off me.

If you ask me, it's just another excuse to help people to get deeper and deeper into debt and penalize those that are good with their money and don't get into debt in the first place. With friendly credit companies like these, who needs enemies?!

You can see the BBC story on this scandal and get further details here.

A Good Reason To Read Your Credit Card Terms & Conditions

noreply@blogger.com (Lou) — Tue, 29 Jan 2008 15:21:00 +0000

Being in debt is like living in a dark hole with no way out. It is impossible to see the light at the end of the tunnel when you are entrenched in it and seemingly unable to escape its pull. Instead, you end up digging deeper and deeper. I, for one, am determined to see the light by the end of this year, but it is difficult when you have no idea which way to turn, especially when credit companies make their own rules up as they go along.

I mentioned bank charges in a previous post as a result of the Financial Services Authority and Office Of Fair Trading's investigations into them in the UK not so long ago, but I have something else to reveal today. Another of the unbelievable bank charges out there!

One of my colleagues has much the same problem as I do at the moment, and a major problem with one particular building society. For those of you not familiar with the term, a building soceity is not owned by shareholders. Instead, it is supposedly run for the benefit of the customers. They tend to offer better rates and deals on everything than banks, but most of them have capitalized on this image in recent years and push sales like banks do to make their figures look better.

My colleague has a credit card with this institution at the moment, although I doubt she will for much longer after this little scandal. She recently received her bill to find that she had been charged for a cash advance but was a little puzzled because she had not taken any cash out of the credit card that month.

After querying it with the building society, I should imagine the air was blue! Although she had not taken cash out, the financial instituion had decided to change their terms and conditions in October last year to incorporate a charge if a cardholder used the credit card to deposit money into an online betting account. She goes onto one particular site and plays a few games every now and again... and they had charged her for it.

The charge was actually 30% becase a £3 fee was placed on the account for depositing £10. My jaw dropped to the floor when she told me. I found it absolutely outrageous, but then again it seems that the banks and building societies in this country can do as they please, make billions every year and charge the customer for it!

The moral of the story - READ THE TERMS AND CONDITIONS OF YOUR CREDIT CARD, because you never know what you'll be charged for next!

Controlling Everyday Expenses For Debt Freedom!

noreply@blogger.com (Lou) — Fri, 25 Jan 2008 22:42:00 +0000

Looking at the trouble I've gotten into with debt over the past couple of years, it has actually been the daily expenses that have caused around 90% of it. Hard to believe I know, but I realised it all soon mounted up when I began to put a budget into place! I'm not a spend or shopaholic. I don't buy things that are out of my means either, but it had been left up to me to run the household finances on one wage when my husband lost his job. And now I'm the one sorting it all out, I'm going to let you into a few tips!

General Expenses - This includes bills that are outgoing on a regular basis. Our house has both electricity and gas. The latter heats the home, the former makes everything else run smoothly. We are on a meter so we can see how much we are spending from month to month. I decided that we were spending way too much on both so we did something about it. I never leave anything on standby, but you'd be surprised how much energy you can save by switching appliances off at the plug every night and turning lights off as you go!

Food Expenses - We only had a takeaway once a month, but we were buying more food than we used so I've been given a new lease of life in the kitchen! Nothing goes to waste now! I know the best before date on everything in my fridge and it is all used up before it goes off now. I often felt sick at how much food we threw out before, but no more. I've also found that there isn't much difference between the best brands and the shop's own brand so we now just go for the cheaper option as well as shopping online so I'm not a victim of that impulse buy!

Clothing Expenses - Neither me nor my husband have had a new item of clothing for a couple of months now, and it will stay that way until we absolutely need something. I'm having a major sort out for eBay at the moment and found no end of clothes that I'd forgotten about so we don't need to go into a store any more... it seems we have the store in our wardrobe! Have a sort out and see what you have. Even if you wouldn't wear it again. I'm betting someone will so you could sell your stuff for a little profit, whether at a jumble sale or on eBay!

I managed to pay double off my credit cards this month because of the savings I made. Yay me! If I can do it then anyone else can!

I've even set up a regular saver that I cannot touch for 3 years. I'm that confident about the future and am looking forward to owning my own home that I'm more than comfortable with my decision. We'll see next week just how much is gone off the debt... it's fingernail biting time!

An Incentive To Get Rid Of Debt!

noreply@blogger.com (Lou) — Wed, 16 Jan 2008 23:36:00 +0000

I'm always looking for hints and tips that can help me to get out of debt on the Internet but have never actually sought professional advice for my situation to be perfectly honest. I don't know why... maybe because I know I'd feel embarrassed sitting discussing it with someone. Broadcasting it over the Internet is OK because I can remain faceless but actually talking to someone about it... no thanks!

After reading what I read today, I don't feel the need to now though. I found a site on the Internet... I don't think it's an official government site but it is somehow connected to an advice bureau and actually conducts research into the UK's current level of debt. It's called Credit Action and the information I read on there shocked, appalled and terrified me!

The UK is currently in £1,400 billion of personal debt. It increases by £1 million every five minutes and £330 million per day! If that is the UK's debt, I dread to think how much debt a much larger country has. After all, less than 60 million live here!

Those figures are enough for me! Frugality here we come!

OFT vs. Banks: The Court Case Begins!

noreply@blogger.com (Lou) — Tue, 15 Jan 2008 02:48:00 +0000

As many of you living in the UK or keeping a close eye on the financial global climate may be well aware, a court case opened today (well, yesterday now) that may well have a huge hand in deciding the future of UK banking and the fate of consumers as well. The Office of Fair Trading has taken eight major banks and the biggest building society in the UK to the High Court in order to get a resolution that will help all financial institutions to govern bank charges effectively.

I for one cannot wait for the result.

At the moment, the average consumer is charged between £20 and £30 for going overdrawn or failing to have enough funds in a designated account for a direct debit to be taken, and around £15 for a bounced cheque. Some banks charge more and some less. For any American readers, bear in mind that the exchange rate doubles this figure at the moment to convert it into dollars, so you are looking at $60 per returned direct debit and per foray overdrawn.

Basically, in my opinion, the financial institutions in the UK are ripping customers off. There is absolutely no need to charge consumers these extortionate amounts. It is all about profit, and I really do not care whether or not the banks deny this. They can deny it until the cows come home because I will not believe them, and I don't think that I'm alone in that for one minute. When you look at the fact that some of them are making £6 billion plus profit, it is really hard to feel sorry for them when they "have to pay for consumer mistakes" (that is the gist of their arguments anyway).

To put it in perspective a little further, I would be charged £12 for a bounced cheque. It costs my bank £2 to process. How is that fair when I am on the poverty line and the fat cats that head the bank are not?!

All of this is of course my own opinion, but I do have a little credibility...

I worked for one of the institutions that have gone to court today up until August this year and am frankly disgusted by its practices. As I joined the company, the Head Office brought in new regulations as a direct result of the bank charges scandal that rocked the nation when people began to sue. They took power away from the branches so that the individual branch could no longer decide whether to refund a charge after a complaint. We got so much abuse because of this but they did not care at all.

I myself recently had a charge for a returned direct debit. I put my money in an automated machine the day before my direct debit was due out, but it hadn't registered before the DD came out so I was charged for its return because I hadn't got enough money in the account. Now remember I had put that money in and it was not my fault that it had not registered but the bank's.

Guess ho much I was overdrawn by! £1! Yes, I was charged £30 for the £1 difference. Again though, it was there but had not been registered by the bank! Needless to say I complained and they did refund my charge, but only because I threatened to go to the Financial Service Authority (FSA) I do believe, who would have made them pay it back anyway.

Anyway, back to the court case! If the OFT wins the case then they will force banks to reduce their charges, but what will the banks do then to make us unwitting consumers pay for it? As far as I can see, they will always cheat us. There are no ethics in the financial world any more. Just greed. Ugly, ugly greed that is forcing the common man under.

Everyday Ways To Save Money

noreply@blogger.com (Lou) — Fri, 04 Jan 2008 18:58:00 +0000

I've started to implement my get rid of debt in 2008 plan and so far it isn't going to badly... although I am touching my wooden bookcase with my foot as I'm writing this! I've decided to concentrate on getting the household expenses down a little first as that is obviously taking up some of the money that could be used to pay off the debt. I've found quite a few ways of implementing the budget and, although we are only four days into the year, I have started to notice minor changes!

Here are two of the ways to save money that I've found so far:

*Shopping online - I've started to do the majority of my household shopping online, mainly because I didn't have time to go out and do it myself over Christmas and I couldn't be bothered with the queue. However, I've saved a lot of money! Although there is a delivery fee, I've cut my food shopping bill in half because I no longer buy items that I don't need! I stick to the basics and I've saved £30 on my usual bill!

* Cut down on heating - The fuel prices in the UK have gone up yet again and are now astronomical, which I think is disgusting, but we've always had high heating bills because our heating is not on a timer. Now, we run it for an hour and then switch it off until we begin to feel the cold so it is now only on once every four hours or so. It's amazing - before it was on all the time!

There will be more of these nuggets of wisdom (ha!) in the future... as soon as I find them, you'll know about them! And now for dinner...

Debt Resolutions And Your Credit Card Debt Priorities

noreply@blogger.com (Lou) — Tue, 01 Jan 2008 01:11:00 +0000

Happy New Year To One And All!!!

Now is the time to resolve to get your debts figured out! Of course, you can start to manage your credit card debt at any time of year, regardless of how much you are in debt and the reasons behind it. However, you have to sort your debt priorities out before you can begin to make headway on your credit card debt.

There are a number of articles out there that discuss credit card debt and debt priorities but the majority of them do not explain what debt priorities are so consumers fail to realise just how useful the advice can be. This post will deal with identifying your debt priorities and resolving them effectively! This is the first thing any individual should know before working out exactly what they need to do in order to pay off their debts effectively.

Debt priorities are the credit cards that have higher rates of interest than the others in your wallet. You could have £500 on a credit card that has an APR of 25% and £4,000 on a credit card that has an interest rate of 12%, but the former would be your debt priority. You would pay back more on the former in terms of the interest applied to the account than you would the latter if they both had a similar balance. In more simple terms, the higher the interest rate, the more pressing the debt and so the debt priority is higher.

When working out your budget for paying off your credit card debt every month, you should aim to pay more off your debt priorities than your other credit cards. If you focus on eradicating the higher interest credit card balances first then you will ultimately find it easier to pay off your debts in general. This is the first step to debt freedom so do a little research beforehand and find out the interest rates!

The Last Night Of Financial Freedom

noreply@blogger.com (Lou) — Mon, 31 Dec 2007 17:17:00 +0000

If you are anything like me, you have a New Year's Resolution to get your finances sorted in the New Year and, as 2007 is finally drawing to a close, you are probably in the same boat as me... looking forward to a final fling before crunching down on your finances!

I'm just staying in with my husband because we cannot afford to go out to be perfectly honest. However, come tomorrow and the dawn of a brand new year, the creditors better watch out because their free ride with me is over!

Have a great night and be sure to check tomorrow for some hints and tips on getting your finances sorted from day one!

Happy New Year!

Reward Credit Cards And The Big Con!

noreply@blogger.com (Lou) — Fri, 28 Dec 2007 14:45:00 +0000

Is it me or do reward credit cards sound like a good idea when the company first markets them and then turns into a huge sham when you actually have the credit card and, of course, the credit card debt!

I have two reward credit cards, one that offers reward points for money spent in store and one that boasts of giving cashback. The former is of more value than the latter because at least you get some real rewards when your vouchers come, but cashback credit cards seem to be absolutely shambolic!

After a year of clearing and then respending on this particular credit card, I now owe £2,000 on it. However, that much spent has only brought me grand total of.... (drumroll please)... £3.67! That's right, a grand total of £3.67 was added to my credit card yesterday! Amazing! Such good value for money.

Whilst I am grateful for that amount because every little helps, I am extremely annoyed that multi-million pound a year credit card companies cannot dig into their pockets for a better rate of cashback instead of ploughing our interest and charges back into their own pockets. The way of the world I suppose but the conclusion from these ramblings is simple...

Reward credit cards are a rip off and should be avoided!

Financial Goals

noreply@blogger.com (Lou) — Thu, 27 Dec 2007 22:42:00 +0000

I don't know about you but I am a firm believer in goals. Having a dream or goal has got me from year to year for as long as I can remember. However, I have neve had one as far as my finances are concerned and I certainly never dreamt that I would have a goal of paying off my credit card debt!

When I was working out my credit card and personal loan debt ysterday, I started thinking about how much we were paying a month against the debts. Believe it or not, my husband and I pay more than enough to cover a mortgage in debt repayments every month!

I always wanted my own business and have managed to get it up and running this year, but I also want to afford to be comfortable financially as well. Ah... I can dream can't I?!!!!

One day...