Are You Sure Your A Bad Debt?
Many people who seek the advice and guidance of debt counsellors are driven to them in the first place by fear and ignorance ? two powerful emotions which often mask the real scale of the problems.
In many cases, what you made have been led to believe is a 'bad' level of debt, may instead need only some careful reorganisation and a new set of mortgage priorities.
Most adults have some experience with debt - and most of us receive (often painful) monthly reminders of the debts we owe courtesy of creditors and the postman.
Needless to say, debts can be large (mortgage or loan payments) or comparatively small (telephone or credit card bills).
Although the word debt typically carries negative connotations, there are some positives. For example, few people have the total asking price outright to purchase the home or car of their dreams. There are limited options for acquiring these big ticket items without incurring some debt. Also, assuming some debt makes it possible to pay your electricity and gas bills based on usage. You pay for the service after, rather than before, each month's use.
So why all the moaning and groaning when the subject of debt arises? Primarily because many of us have an unbalanced debt to income ratio. Debt becomes burdensome when we owe as much or more than we earn. We have taken what could be a benefit and turned it into the bane of our existence. Those of you who cringe each time the telephone rings, know this feeling of dread very well.
Obviously, some debts, such as rent and utility bills, are perpetual or recurring. You must continue to pay these each month if you want heat and electricity. Other debts, such as car payments, loans and mortgage payments can eventually be retired.
Some debts (most credit card debt) are simply unnecessary. If you are among the rising numbers of people for whom debt has become unmanageable, don't despair. Start by evaluating all of your expenses. If you don't really need the item or service, do yourself a favour and keep your credit card in your wallet. With a little patience, planning and sacrifice, you can dig yourself out.
New Bankruptcy Law ? Where?s The Consumer Protection?
On April 20, 2005, President Bush signed into law the Bankruptcy Abuse and Consumer Protection Act, a piece of sweeping legislation that brought about the most sweeping changes in personal bankruptcy law in the last quarter century. This bill, which takes effect in October 2005, passed with the overwhelming support of both parties of congress, claims, through its very name, to offer "consumer protection." Does it? How are consumers "protected" by this bill?The pu...(related: Debt Relief)
How Do I Lower My Debt Burdens?
How do I lower my debts?There are several ways of improving your credit status. If you have decided upon taking up firm steps to decrease your debts, then you may...(related: Debt Relief)
Save Money When Going Out
It seems as though whenever we go out for the night, it costs much more than we originally intended to spend. Having a 'night on the town' shouldn't cost you a whole weeks salary.Keep in mind that the amount you spend is directly related to the place you go and what you purchase. If you are attending an opera with private balcony seats, followed by an elegant candle-lit dinner . . . . plan on spending more than forty dollars.However, many activities can be a lot of fun and not cost much money at the same time. Sure, it's nice to go out in style once and awhile, but realistically, how often can our pocketbooks afford it?Use the following tips to help cut some of the costs when going out. These tips can also be helpful if you ha...(related: Debt Relief)
Is Filing For Bankruptcy An Option For You?
Bankruptcy laws give debtors a way to resolve debt by dividing their assets among their various creditors and in some cases will allow debtors to be freed of outstanding debts that cannot be paid, even after the division of assets. For individuals who find themselves unable to pay their debts, bankruptcy can be a viable option. As a debtor, you are entitled to file for bankruptcy. There have been recent changes to bankruptcy laws that may affect your ability to discharge your debts without credit counseling, but individuals who have found themselves unable to pay their debts can still file bankruptcy and be freed of outstanding debts.Chapter 7 bankruptcy is normally used by individuals wanting to ri...(related: Debt Relief)
Debt Elimination 1
If you have multiple debts, you may well be wishing you had a debt elimination wand to wave and make all the debts disappear. You would probably wish even harder for that magic wand if you were falling behind with, or at least struggling hard to keep up with, the monthly payments on those debts.The notion of debt elimination, though, is in most cases a fanciful one, at least in the short term. If you have debts of $15,000, where will you suddenly find $15,000 for the elimination of those debts? If you have debts of $30,000, how can you suddenly just wipe out that amount? Realistically, you have little hope of reducing your debt balance to zero in the short term, if your debts are anything like that sort of level. Unless they win the lottery, or come into some inheritance money, the average per...(related: Debt Relief)
Stop Debt Collectors
Can you stop debt collectors ? . . .You better know you canYou can stop debt collectors under the law provided by the Fair Debt Collection Practices Act. If you use credit cards, owe money on a personal loan, or are paying on a home mortgage, you are a "debtor."If you fall behind in repaying your creditors, or an error is made on your accounts, you may be contacted by a "debt collector." You should know that in either situation, the Fair Debt Collection Practices Act requires that debt collectors treat you fairly and prohibits certain methods of debt collection. Of course, the law does not erase any legitimate debt you owe.What debts are covered?Personal, family, and household debts are covered under the Act. This includes money owed for th...(related: Debt Relief)
Turning Bad Debts Into Good Debts Through Investing Fundamentals
If you've ever earned enough money to put some aside, like most people you've probably invested it with an eye toward security ? since, perhaps, you can't imagine yourself ever getting rich."Most people dream of becoming rich, but it isn't their first choice," Rich Dad said. That's because the effort to make money and uncertainty of becoming rich disturbs them and they seek refuge in the easier goals of security or comfort.People who make security and c...(related: Debt Relief)
Bankruptcy ? Bankruptcy Myths
Bankruptcy has long been a big question mark in the eyes of the consumer. After all they don't teach us about bankruptcy in school. More often than not, a person's view of bankruptcy is largely developed by either their parents or close relatives personal views or dealings with bankruptcy, or a persons view is based on what they see as far as ads etc. regarding bankruptcy. Too often these ads are simply put together by bankruptcy attorneys that want your business. Bankruptcy is big ...(related: Debt Relief)
Out Of Credit Card Debt - Without Filing Bankruptcy
To be out of credit card debt is your dream and you're tired of the redundant advice to live within your means. Look no further.Most people that give advice about how to get out of debt, have absolutely no clue why things are the way they are. None of them have ever looked to the source of the financial debt problem in this country, but they sure like to give advice about the superficial, getting out of credit card debt.The superficial problem is simply too much debt due to overspending. Overspending is considered wastefulness, excessiveness, lavishness or reckless spending. Now, if you want out of credit card debt, it's not likely that you bought yourself one too many Ferrari's, or mink coats, is it? No!What are they talking about?All you might have bo...(related: Debt Relief)
Why You Should Get Out Of Debt Today?
The main reason for getting out of debt today, is because people with little or not debt have more control over their future:1. They have more discretionary income, meaning that you won't be living pay check after pay check as you probably are right now. Can you even imagine how nice it is to be able to go to the Spa or for a nice dinner without having to put it in the credit card, but paying with your savings or extra money from your pay check?2. They can afford to go in longer vacations or actually to go on vacations (period). My husband and I go on long vacations every year. We've gone to p...(related: Debt Relief)