 |
|
Discover® More Wildlife
Intro Rate: 0.00%, Time Period: 12 Months, APR:
10.99%. |
|
Advanta
Platinum BusinessCard with Unlimited Rewards
Intro Rate: 0.00%, Time Period: 15 Months, APR:
7.99%. |
|
Citi® Platinum Select® MasterCard
Intro Rate: 0.00%, Time Period: Up to 12 Months,
APR: As low as 7.49%. |
|
Blue from American Express®
Intro Rate: 0.00%, Time Period: Up to 12 Months on
purchases, APR: 2.99% for 12 months on transfers. |
|
TrueEarnings® Card from Costco
Intro Rate: 0.00%, Time Period: 3 months on
purchases, APR: 1.99% for 6 months on transfers. |
|
IberiaBank Visa® Classic Card
Intro Rate: 0.00%, Time Period: 6 Months, APR:
7.00%. |
|
Discover® More Card
Intro Rate: 0.00%, Time Period: 12 Months, APR:
0% for 12 months on transfers. |
|
|
|
|
In This
Issue
 |
Cool Quote |
|
|
Negotiation persistence saves $21,000 |
|
|
STATISTIC: Credit Card Use Drops |
|
|
New Rules Requiring an Automated Voice or
Keypress Opt-Out for Recorded Message Telemarketing Calls Take Effect 12/1/08 |
|
|
Fraud Alerts and Fraud Freezes |
|
|
"My credit score is soaring" |
|
|
Bad Credit Hotel |
|
|
Household Math™: Timing Is Everything |
|
|
Organize Your Children and Save Your Sanity |
|
|
If Dad Can Do It Himself, Maybe He Shouldn't |
Cool Quote
"Life will pay whatever price you ask of it."
--Anthony Robbins
More cool quotes from past issues
The best part about DebtSmart Online, for me, is when I
get email from readers about their success. Amy and I have been corresponding
about her situation regarding settling a debt. When you settle a debt, your goal
is to negotiate with the creditor for a deal that benefits everyone. For the
debtor, this means reducing the balance and making the payment terms reasonable.
For the creditor, it means larger payments and a guarantee of payment in a
specific amount of time.
The trick is knowing how low the bank will go when dealing
with them or their third party representatives (debt collectors). Typically,
I've found that you can, on your own, get the amount down to about 50% of the
original balance. However, the bank will usually want that settlement amount in
one payment.
In my latest book, "Talk Your Way Out of Credit Card
Debt," I present one chapter (chapter 7, no joke intended) where I negotiated a
settlement for a friend. This chapter includes all the phone call transcripts
from those negotiations. I was able to get the bank to 55% with one payment,
which I thought to be pretty good. I am thrilled to report that...
Finish reading this article
Wal-Mart's U.S. division told investors, in October, that
credit card payments as a percentage of total payments fell 7.4 percent so far
in the current fiscal year, which ends in January. That's a big reversal from
the robust double-digit growth rates in credit cards over the past three years.
Also, Target executives told investors in October that it's seeing lower credit
card usage among its shoppers for the first time since 2001-2003.
More credit card and debt statistics
New Rules Requiring an Automated Voice or Keypress Opt-Out
for Recorded Message Telemarketing Calls Take Effect 12/1/08
Effective today, any telemarketing call that delivers a
pre-recorded message must include a quick and easy way to opt-out of receiving
future calls. The opt-out must work both for consumers who answer these calls in
person and for those whose answering machines or voicemail services receive the
calls.
Pre-recorded telemarketing messages are permitted only in
limited circumstances – only when the caller has an established business
relationship with the consumer being called. Now, additional restrictions on
pre-recorded messages are going into effect. Under Do Not Call amendments adopted
in August, effective today, any permitted pre-recorded message must provide the
called consumer with an interactive means to opt out of receiving future calls
from the seller or fundraiser using the pre-recorded message. Moreover...
See story here
First, what is a Fraud Alert?
An alert places a statement on your credit report so that
if a fraudster attempts to obtain credit in your name, the creditor, in checking
your credit, will encounter a statement that says something to this effect: "I
may be a victim of fraud. Call me at my phone number 312-555-7890 before
extending credit." By calling you, the creditor ensures more security.
There are two types of Fraud Alerts:
The first and much more common is a 90-day fraud alert.
This is for someone who "suspects" they have been an id theft victim, but
doesn't know for sure.
So, I setup a 90-day alert a few weeks ago, and here's how
it impacted me. When I went to switch cell phone carriers, instead of the normal
online credit check they usually do--yes, your credit score is checked when you
apply for a cell phone plan (did you know this?)--they tried to call my contact
number to verify it was me. So my old cell phone rang, and then I was able to
verify over the phone that, yes, it was me trying to order a new plan. My visit to
the cell store was longer, but it was a lot safer.
Finish reading the article
"Even though I previously worked for credit card
companies, I had gotten myself into debt with fees and high interest. I read the
DebtSmart book, and I felt empowered. Scott gave very reasonable and easy ways to
talk to representatives and make requests. I called my credit card companies and
started by just asking how long I had been a member, as Scott advised. Even
though I have relatively new credit (under 10 years), many companies consider me
a 'valued customer' and didn't want to lose my business. They increased credit
limits, allowing me to consolidate debt (and destroy the cards, but not close
the account as per Scott's advice). Some companies erased fees and lowered
interest rates. My credit score is soaring. I've helped many family members and
friends improve their credit. My mom, who filed for bankruptcy 6 years ago, has a
better credit score than her husband, who has never paid a bill late, no
charge-offs, and no bankruptcies."
--Angela
Learn how to "Talk Your Way Out of Credit Card Debt"
Bad Credit Hotel
The U.S. Treasury Department unveiled a new multi-media
campaign aimed at combating financial illiteracy. "Many consumers need to better
understand how to control their credit," said U.S. Treasurer, Anna Escobedo
Cabral.
"Consumers can face serious problems when they make
uninformed choices about borrowing," said Dan Iannicola, Deputy Assistant
Secretary for Financial Education. "The goal of this campaign is to equip
Americans with the knowledge to take advantage of the positive aspects of
credit, while avoiding its pitfalls."
Checkout the Bad Credit Hotel--a scary place indeed!
See story here
Out-of-pocket cost versus payment timing; what is the
effect? Here are three $2,000 loans that are paid off in exactly one year: (1)
payments of $180 per month for 12 months; (2) eleven monthly payments of $100
and a final payment of $1,060; (3) monthly payments one through five are $100,
the 6th payment is $1,060, and the remaining monthly payments are $100. Which
loan is best (i.e. has the lowest interest rate)?
Answer this math problem
It may be difficult to relate saving money with
organization, but the two terms really go hand-in-hand. If you are able to
organize right down to the smallest detail, then not only will you save yourself
countless panic headaches, but you will have more time on your hands, allowing
yourself to be more productive and get more accomplished.
Organizing your own personal belongings can be a daunting
task in itself, however, if you're also trying to take care of all your
children's things, it can be an overwhelming, impossible task.
When children are old enough and capable, they have a
responsibility to take care of their own belongings. This includes (but not
limited to) toys, clothes, bathroom items, sports equipment, and of course
school books and supplies. It should not be the parents' responsibility to clean
their child's room, or pick up their wet towels off the bathroom floor. How is
this teaching children to be responsible for their own belongings?
Finish reading this article
ISAAC: "Check your bank statement -- there's something
wrong," my dad warned me over the phone last week.
I looked over the statement that had just arrived,
searching for this mystery problem. He was right: The bank had been charging me
a $25 monthly service fee on the "free" checking account I had opened last
April.
But I wasn't too worried about it. I assumed that a bank
teller would right the problem as soon as I visited the bank and told them of
their mistake.
I was wrong.
See story here
|
