Initially, it was Frank McNamara of New York’s Hamilton Credit Corporation that come up with the idea of giving affluent businessmen a convenient way to charge some of their business related expenses.

In 1950, he issued the original Diners Club card. It was made of pasteboard with the customer’s name on one side and a list of twenty-seven restaurants that accepted it on the other. In 1955 the pasteboard card was replaced by one fabricated from plastic.

American Express began issuing cards in 1958 followed by The BankAmericard, issued by the Bank of America. Soon, smaller banks joined the BankAmericard system. In 1977 the card underwent a name change and became …continue reading the article titled Credit Cards, debt of a Nation

It’s that time of year again; soon you will have many sources popping up suggesting ways to spend your upcoming tax refund. Let’s put this in perspective.

First, tax refunds are not “found” money, but a return of money YOU overpaid into the tax system! The average refund check is somewhere around $2,200 and $2,400.

One of the first things that you should do, if you had no abnormal deductions for the year and anticipate that those deductions will remain the same in the future, is to change your withholdings so you don’t overpay in 2006. I have no idea why you would want to give someone (even the government) money to hold onto for a year with no interest being made off of that money.

An easy way to calculate this adjustment is to take your refund amount, divide it by twelve and adjust your withholdings accordingly. Your company’s payroll department can assist you in this process. By doing this, it could give you several hundred dollars …continue reading the article titled Tax refunds a good way to get out of debt

I want to share with you another question from one of my readers - the same concerns are shared by many people and this is one of the most commonly asked questions:

Q. I need help ASAP. I don’t really know where to begin. I am about $30,000 in credit card debt. It’s becoming increasingly difficult to keep up with the minimum payments. I would like to know where I can go to get help without going the bankruptcy route because I really do not want to do that. Thank you.

…continue reading the article titled Knowledge is Power…Know your options for getting out of DEBT

A debt elimination plan starts with an understanding of where your money is going. If you are ever going to become debt free or get ahead financially, you have to start with setting up a budget. I’m not talking about keeping a running tab in your head or doing your best “guesstimate”, we’ve all done that. I’m talking about taking the time to actually calculate every penny that is coming in and going out. It isn’t easy but once it is set up and you get into the routine, it’s easy to maintain and will give you a better perspective about your overall financial situation and allow you to gauge and plan towards the future.

It will take you about 2 hours so; set some time aside undisturbed, and get it done. You don’t have to do the information gathering all at once, start at the beginning of the month. Take a few moments out of each day and start gathering up the materials. Remind yourself that this is the year that I am going to become debt free. I’m going to eliminate my debt and invest in my future.

Treat yourself like a company. Get into the habit of looking at your own personal financial life as you would run a company. Manage your debt and expenses as well as the income coming in correctly and you will reap the rewards as a good CEO or fail as a bad one.

Once you have all of your information, commit to a day at the end of the month that you will put all of it to good use and set up that budget!

Here is what you will need: …continue reading the article titled Get Debt under control by setting up a budget first

You should start off by looking at your debt to income ratio. Here is a simple formula to help you calculate yours: …continue reading the article titled Do you need debt help

When dealing with debt, stay calm and try to focus on the positives. If you are digging yourself into a hole, month after month, the simple solution is to stop digging. The real estate market in most places throughout the Country has created equity in peoples’ homes. Looser lending practices has also made it easier to borrow as much as 10% more that what your home is worth. But is consolidating all of your debt into one monthly payment the answer? Here are some things to look at when considering a debt consolidation loan:
…continue reading the article titled Debt consolidation loans - Good or bad for you?

If you force yourself to stick to a plan - whether it’s losing weight or getting out of debt, it’s not going to work if you force yourself to do it. It’ll only work if you’re ready, willing and see the benefits!

Q: About 18 months ago I made a vow that I would pay off my $10,000 credit card balance, which was mainly incurred buying clothes and taking short weekend trips around the state — I don’t like to sit around my apartment on weekends. I have enough discretionary income to pay that balance off in less than a year, but got a jolt a week or so ago when I realized the balance was higher than it ever had been. Despite my best intentions I always seem to find something I need to charge. How can I make myself stick to a plan? I am single, over 40 years old and starting to get nervous about having so much debt.
…continue reading the article titled You’ve got to be ready to create your Debt Free plan!

One reader sent in this question and was so excited about having paid off all credit card debt and now ready to start saving! The question was asking what kinds of accounts to establish. Again, knowledge is power and the more you know, the more you can maximize your dollars!

Q. I have finally paid off my credit card debt and am now in a position where I can start saving money on a monthly basis. I’d like to have access to this money and want it to be as secure as possible. Can you let me know some options on where to invest my money?
…continue reading the article titled Light at the end of the Debt Free tunnel!

I’ve gone over it before and I’m going over it again! I can’t stress enough how important it is to know the debt relief options available to you. As I’ve said, knowledge is power and you want to have enough knowledge so you make an educated decision. The following Q & A was to outline the 4 debt relief options to one of my readers. There’s far more detail to each one but it’s important you know the basic differences…

Q: I’m deeply in debt and falling behind on my payments. I need to find some relief and my problem is that I don’t understand all the options available to me. Could you outline the available choices so I can start to take action?
…continue reading the article titled Know your Debt Relief Options to make an educated decision!