Thursday, February 28, 2013
Making a Vehicle Purchase
Assess your old vehicle.
Knowing the value of your old car and trading it for a newer one is worth the time. You can go to the kelly blue book and see what your car is worth there that way it will help you to determine what the trade in value would be, or just putting it on craigslist for sale. If you are doing a trade in value, go to many dealerships to see what they are willing to offer you.
Budgeting
Knowing how much you have on hand or how much you qualify for is a good start. Do not go around your budget and think you can afford something alot more then what you have present. You will lose your car and end up owing the loan back, making your credit drop drastically.
Shop
Shop for a fuel efficent car. whether you are close to your home,school, or work, it will save you a ton of money in this economy. There are many cars that are very reliable when it comes to fuel efficiency. Take your time and go to the dealerships and ask many questions.
Budget your “wants” so you can afford your “needs”
Budget your “wants” so you can afford your “needs”
It can be frustrating to spend your pay check away month to
month and wonder where it all went. I’m sure everyone has felt that once in
their life, but the question is, do you really not know where your money goes?
A budget too many can be viewed as a waste of time or
tedious work, but what you may not want to discover is that you have been
spending that money on things that you weren’t necessarily in need of. When you
create a budget you are more in control of how your pay check gets split up and
are less willing to waste your money, leaving you with a little more extra
change in your piggy bank.
Here are several tips you might find will help you succeed
with a successful budget from the article How
to Make a Budget:
1.
Make budgeting fun-
Put
all of those extra things you buy into your budget, but put limits on how much
you can spend. Figure out about how much you are willing to put into each
category each month and stick with it. By the time the end of the month comes
you will have money in categories like vacation that will motivate you
more.
2.
Find a system that works for you-
You can buy software that will help you
organize you budget, otherwise you can make a spread sheet on excel works as
well. If you do not have any skills with computers you can always resort to the
pen and paper style. Otherwise with technology growing you can download a free app
onto your phone.
3.
Set limits and follow them-
When you know how much you want to spend and
how much you want to save you will see that your spreadsheet and budget are
being more efficient. It will be so much more rewarding in the end if you can
save your money and treat yourself at the same time.
Is this the right investment for you?
As a consumer, you may or may not
know that purchasing or leasing a car is a very big investment. Before jumping
into an investment like this, one should know all the different options available.
1.
Try renting the car that you are
interested in purchasing
Most people cannot decide if the like a
certain car after a 15 minute test drive. By renting it, they have more than
enough time to decide if the vehicle is suitable for them.
2.
Is leasing or buying for you
If you are a person that wants the latest and greatest every
2 or 3 years lease.
However, if you like to drive a car till its dead, purchase
a vehicle. When you are done making the payments, you actually have something
to show for it, instead of having to return it to the dealer.
3.
Ask questions!
When it comes to buying a car, one can never ask to many
questions. It’s better to know more rather than not enough.
Above are just some simple tips that
will help you succeed in making your major purchase!
eHow
Keep Your Car Running Longer
Keep Your Car Running
Longer
When you think of a new car, you think of that clean car
smell, the shiny untouched paint, and those looks from other drivers. But what
goes into keeping your car fresh? This advice will be sure to help.
When it comes to gas
in this economy, most people just see a gas station with a cheap price and
think “BINGO!” Well…not exactly. Look at the surroundings.
- A reputable gas station could save your tank’s life. Making sure the gas is clean and from a good source is a must.
- If there is a tanker at the gas station you chose to drive up on, don’t fill up. The tanker is stirring up all the built up sediment from who knows how long ago and that could clog up your tank and cause problems in the future.
- Go ahead and ask a gas station if they change their filters regularly. If the answer is yes, then go ahead, fill up with no worries. If no…then I think you know what to do. (DRIVE AWAY).
Keep your keychain
light
If you have 10 cute decorations hanging from your keychain,
your car ignition switch is at risk. Having all that weight hanging from your
ignition from day after day could lead to paying for a new ignition switch and
a whole new key to start your car. It happened to me…take it from experience,
you don’t want a key to unlock your doors and another key to start your car.
Rotate your tires and
maintain tire inflation
Underinflated tires can cause damage to your wheels. If
enough pressure is put onto the underinflated tires, they could completely give
out and leave you with more than one flat tire. Rotating your tires, can help
keep the tire wear stay evenly distributed.
Are Americans Ready to Retire?
How Much is in Your Savings?
Even though the recession isn't in full effect it's still effecting how Americans go about their finances. According to a survey of 1,000 people that was released Monday, over half of non-retired Americans feel that they aren't saving enough to retire comfortably.
The survey said that just 41% of Americans save outside of work programs, and only two thirds of people have enough money saved to cover emergencies or unexpected expenses.
A separate survey was also released on Monday by Bankrate.com says that just 55% of Americans have more in savings than they owe to the credit card companies. Stephen Brobeck, executive director of the Consumer Federation of America, says the best way to free up money to put into savings is to pay off your credit cards as soon as possible. No one can save when they're losing their money to interest charges.
The survey also says that 70% of people who make 75,000 plus had more savings than debt while 41% people making 30,000 had more savings. Less than half of those with low-to-moderate incomes even have a money market or savings account.
Three of the recommended ways to begin saving money is to open a savings account, set up automatic transfers, and to max out 401(k) contributions. The best thing you can do is start saving early and don't stop for anything.
Once you get your money into savings or your 401 (k), and you retire, the most common strategy to make your money last for 30 years is to withdraw 4% every year while adjusting for inflation. This strategy can increase your available spending money by 9%. That said this is your life in retirement so blindly following a rigid system isn't the best plan, always be flexible, and adjust as needed. This is your best chance at having a fun, happy, financially supported retirement.
Squeeze Everything Out of Your Auto Investment.
I think I speak for all of us that we want to keep our cars
in mint condition. It’s an investment and it could mean big trouble if not
maintained correctly, so here are some quick tips to make sure you squeeze
every dollar worth out of your car.
1. Don’t warm up your car in the morning for too long.
On mildly cold days just turn on your car
and let it sit for 60 seconds to let the fluids start moving and then you can
take off. Although when the weather is below zero you can let your car sit for
about 5 minutes and then you can take off.
With either method just make sure you stay
under 3 RPMs until your engine warms up before dropping the lead foot to save
some gas and save your engine.
2. Keep
track of an auto log.
Keep a notepad and pen in your glove box.
Write down everything that you do to your car such as:
- Fueling up your car
- The date
- How much your putting in
- How many miles you drove since last re-fuel
- Oil changes
- Last time you filled your tires with air.
As soon as you see an irregularity in your log, report it to your mechanic as you may be able to solve the problem early meaning more savings in your pocket.
3. Be
smart at the gas pump
If you see the tanker, leave the gas
station and find another one. When the tanker is filling the underground reservoir
of gas it stirs up the sediments in the gas which can have adverse effects to
your car, so be wary!.
One last thing is to only go to trusted gas
stations. Some gas stations dilute the gas or they won’t keep their filters
clean so it can do a lot of harm to your machine.
Bigger Cellphone Budget
In just ten years cellphone have changed dramatically, not only have cellphones themselves changed but so have the prices of the phone as well as the cellphones bills. Cellphones are now used for a lot more than just for making calls, smartphones now can perform multiple tasks, such as:
- Surfing the internet
- Texting
- Watching Videos
- Playing Music
- Games
That is a big increase, a 15% grow for cellphones, yet only a 2% for household expenditures.
Cellphones have been growing significantly but what happened to landlines? Landlines have been decreasing at just a dramatic rate. People just don’t need a landline anymore, why would they when everyone is using cellphones; which can perform a lot more tasks.
The bottom line is that technology is growing at a dramatic rate and the prices with it. Spending on phone and services are rising, but household expenditures are not. So what is a house hold cutting down on?
Is it worth it?
How much are you paying for your cellphone and service?
Plot Twist: Women are Better at Buying Cars
Here’s something you probably didn't expect: men do a worse job buying cars than women do. Studies indicate that although men do have more knowledge than women do about cars, they tend to overestimate their abilities.
Women don’t know much about cars, you say. It’s true but being knowledgeable about this subject is actually more of a disadvantage. You see, it may cause you to refuse to intake any additional information that may actually benefit you.
Women, as a whole, are more practical than men are. This means they are better at researching and gathering important information about the vehicle of interest. Men, on the other hand, feel the need to not ask questions because they already assume that they already know everything there is about cars.
So guys, next time you decide it’s time for a new car, bring your girlfriend/wife along for the ride. With the information you “already know” and the information she could find out, finding the best deals will be a walk in the park.
Source
Wednesday, February 27, 2013
Budget Then Don't Fudge It
Budgeting isn't just for people that say they need to stick to a budget, it's for everyone. A budget helps you manage your money flow and ensure you can have enough money for not only paying bills but also going to the movies or going on vacation.
When you stick to a budget you can see where your money is going. Sometimes we feel like we have a lot of money for little things but feel like we can't splurge on the big things. With a budget you can see if you really need those little things or if you can cut back and buy that new flat screen tv or a new car!
Here are some tips from the article, Budgeting 101, that make budgeting seem more attainable:
- Track everything, it may seem tedious but it can uncover hidden money flow that you didn't even realize you were doing.
- Don't overspend. If you have $200 to spend on groceries one month then don't spend more than that. Stretch what you have and make good use of every dollar spent.
- Use cash for purchases. When you have a certain amount of cash on you then it is a lot easier to see how much you are spending.
- Stick to the budget. If you really want to be successful budgeting then you need to continue to track expenses and stay on point.
About.com
10 Tips to Buying a Car
If someone approaches you to try and sell you a car, tell them you are just looking. If you can, go to the dealership when they are closed to avoid being hassled by car sales men and women. This allows you to do some looking and researching to make sure you buy the car you want.
2. Know what the dealership paid for the car.
If you know what they paid for it, it will make it easier for you to bargain with them and get it for a lower price.
3. Get an online quote.
If you get several quotes from different dealerships online and print them out, it gives you a bargaining chip. It will make them more likely to lower the price of the vehicle.
4. Get your paperwork in order
Print out invoices of the vehicle or vehicles that you are looking at, have your online quotes with you, have any financing information with you, and find out your credit score beforehand so you know what you are dealing with.
5. Leasing
Dealers push leasing because it is profitable for them, which means that it is almost always a bad idea. You only have a certain amount of time with the vehicle, and after that time expires, you have nothing to show for it. You cannot get any money back from years of paying for your car.
6. Don't talk financing or trade-ins until you are settled on a price
If they give you a price for trade-in on your car, the deals will most likely take that into consideration before settling on a price for the new car. Settle on a price for a new car, and then ask what they would give you for your car.
7. Test Drives
Just because it is a new car doesn't mean that you should not test drive the car first. While taking a test drive, if there is a salesperson in the care with you make sure that you do not get too giddy or excited about the car. If they know that have gotten attached to the vehicle, they will try and get you to spend more money on the vehicle.
8. Take a close look at the fees.
Some dealships will bill you for things that you think they should have to pay for. Expect to pay for sales tax, destination charge, tittle and registration fees, advertising charges, and dealer prep fees. You can try get the dealer to pay for as much of these as you can, or try to get them to lower the cost of vehicle itself.
9. Be cautious of dealership services.
Lots of dealers will try and sell you things like fabric protection, rust-proofing, window VIN etching, and paint sealant. All of them are scams. Most modern cars already get rust-proofing from the factory. The rest can be done by you at a fraction of the price.
10. Be ok with walking away.
If a dealer sees that you are willing to walk away, they are likelier to take you seriously and be willing to barter prices with you, because they would rather make some money than none at all.
http://editorial.autos.msn.com/10-tips-for-regret-free-car-buying
Tips on Managing Your Credit Card
Author Janna Herron offers helpful hints on managing your
credit card the smart way. Her first tip is to know where you stand with your
credit report. Knowing this number will affect interest rates and credit limits
when you receive a credit card. Her next tip is to start building your credit
score; a better score means lower interest, which would ultimately save you
money.
After your credit score is good, she then suggests that you
start looking at benefits that you would like your credit card to offer. Such
as other perks to consider: cards with “low
balance transfer fees, cards with low penalty or late fees and specialty cards
such as secured, retail or prepaid cards”.
Afterwards, the credit card holder should then compare
different types of credit card companies to see which credit card dis right for
you. Make sure to read the small print, because a lot of credit cards even come
with perks such as roadside assistance and other miscellaneous items.
If you do happen to
get denied for a credit card, companies are not required to disclose your
credit score, alone with the five top reasons your scoring is bad. If you can’t
get approved, there are some alternatives to getting better credit; you can
either apply for a secured credit card, or become an authorized user on another
person’s credit card.
When you have a credit card, it would be in your best interest
to pay above the minimum; with interest rates so high, prices can really
balloon up from only paying the minimum. Plus, your credit score will raise if
you’re paying above the minimum payment.
In addition, many companies offer benefits and rewards if
you “like” them on social media sites such as Facebook. However, credit cards
can be a threat to your financial security if you don’t keep tabs on it. Make
sure to monitor transactions every few days to make sure nothing is amiss.
Lastly, if you foresee yourself not
being able to make payments, for whatever reason, contact the company. Many
times, creditors will set up a payment plan until you can get back up on your
feet. By following these tips, your credit card will be your friend, instead of the enemy.
Source
Tips For Getting the Best Deal on A Cell Phone
Cell phone contracts can be a hassle to deal with, here I will give you some tips for getting the best deals on a cell phone.
- Do your research, If you look around, you will most likely get the best deal possible.
- Tell a carrier that you can get a better deal elsewhere and try to haggle them to a lower price.
- Look into Prepaid, it may sound bad but there are actually some great deals out there.
Prepaid phones can be a great alternative, as stated in Prepaid Phones are Cheaper. Why aren't they Popular? An article in the New York Times, by Brian X. Chen.
"Contract-free phone plans account for only 23 percent of the wireless customers in the United States phone market, according to the research firm Ovum. The rest are subscribers locked into contracts and paying higher monthly fees."
"That’s despite the fact that prepaid phone plans are generally a better deal for most people, who can save hundreds of dollars over the course of two years compared to a contract plan."
"The iPhone with a two-year contract on AT&T, for example, costs $200 for the handset and then upward of $90 a month for the plan; over two years, including the cost of the phone, customers pay at least $2,360. With a prepaid plan with Virgin Mobile, which is owned by Sprint, the iPhone costs $650 for the handset, and then $30 a month, including unlimited data (the type of data plan that people are happier with, according to J.D. Power). Over two years, that would cost about $1,370."
That is savings of $990.00 a year, why not make the switch to a prepaid plan and save some money that could be used elsewhere? The choice is yours, do your research and decide what works best for you.
Tuesday, February 26, 2013
9 Smart Ways to Use Your Debit Card
Debit cards are used every day in our society but are we
using them correctly? Allie Johnson, who wrote the article “9 Best Practices
for Credit Card Use”, thinks that there are many ways we are using our debit
cards wrong. Allie (Johnson 2010) gives us some simple every day steps to help us when
using our debit cards.
1. Know Yourself
If you know you tend to spend your
money way to easily then maybe instead of pulling your debit card out every time
you crave a snack use cash instead. This normally helps you to not overspend because
you only allow yourself so much cash and when it is gone, it’s gone.
2. Keeping Track of Your Transactions
When you purchase something or pay a bill you
should always write it down. Keep track of all your purchases to avoid over drafting
and the fees that come with it. Married couples with joint accounts especially
need to do this and keep good communication to avoid financial disasters in the
future.
3. Don’t Opt in
In 2010 the federal regulations passed a
new law stating that the banks are prohibited to allow customers to overdraft
unless opting in first. Even though the bank will urge you to do this instead
set up an overdraft protection plan by having your checking connected with your
savings. You won’t have to pay a fee and you have a piece of mind just in case
something unexpected decides to come out.
4. Watch out for Holds
When going to a hotel, renting a car, or
sometimes buying gas always ask if they will be putting a hold on your card. If
they do make sure you ask for how long the hold will be on and for how much.
Experts say to use your credit card for these so you don’t have your money tied
up when you need it.
5. Debit vs. Credit
When using your debit card to purchase
something they always ask if it credit or debit. When this happens use debit
and punch in your code so your transaction gets put on your account immediately
rather than choosing credit it could be days till its posted, leaving you
thinking you have money still when you don’t.
6. Choose Your Pin Number Wisely
When choosing your pin make sure it is just
a random bunch of numbers that’s easy for you to remember, otherwise a criminal
could easily guess your birthday, kids birthday, social security, or even just
1111.
7. Check Your Account Daily Online
When using your debit card it is very easy to
not notice a double charge, hold, or fraud happening on your account. This is
why it’s very important to check daily because if you don’t you lose your money
not the banks.
8. Link Your Accounts Wisely
When linking your checking to your savings
for protection be careful how much you want to put in there and how many
accounts you link to. Remember if your account gets hacked all the accounts
linked to checking becomes the criminal’s money.
9. Credit Cards are Best for big Purchases
When making large purchases your credit
card is best because your debit card doesn’t have half as many consumer
protections as a credit card. So if you buy something and it’s not delivered
you can get your money back rather than having it be gone forever.
Now that you know a little more about how to
use your debit card and when not to , I wish you the best on your future
purchases.
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