Top Reasons to Get Out of Credit Card Debt

Credit Card DebtTop reasons to get out of credit card debt

According to recent studies by the American Institute of CPAs, more than half of American adults (51%) say they delayed at least one important life decision, like having kids or retiring, because of financial reasons. In this article I will talk about the negative effects of credit card debt and I will go over debt relief options.

Lawsuits and Garnished Wages

There are more than one way that a credit card issuer can get their money, one of the most common being lawsuits. Very often they file a civil suit; If a creditor obtains a judgment against you they can place a lien on your assets to recover the money or even worse: garnish your wages by sending the required documentation to your employer, which is required to comply by law. A good way of preventing these problems is to seek help from a professional credit card debt settlement company.

It will make it harder to find a new job

If it wasn’t hard enough to find a job with all the competition out there, staying in debt can make it a bit more difficult for you. This is because employers in many states can check the credit reports of job applicants, and a record filled with late payments and court proceedings may not let you be seen as a reliable candidate. Employers are able to do this because of the Fair Credit Reporting Act. Companies must have your permission to view your credit reports.

However, this usually only affects people who are searching for a upper management financial position. The reason is because your potential employer may view you as a person who cannot make responsible financial decisions because of your own financial problems. Before applying, check any accounts that may have debt. If you see anything that may cost you from getting hired, quickly work on repairing the problem.

Mortgage, Rental and loan rejections

In addition to your debt issues, reports indicating nonpayment of credit card debt not only decrease your chances of securing a mortgage, you are also less attractive as a rental candidate, since in many cases landlords often check the applicant’s credit before agreeing to hand over the keys. Likewise, if you are trying to apply for a loan at the bank, by having active debt somewhere else your chances of getting approved for a loan are between probably not and absolutely not.

Your debt can increase

In some cases people find themselves in a tight situation financially and they may chose to default on one high-interest card to keep the lower-interest ones to make purchases. What many people are not aware of are the penalties that come with not paying and/or paying late.

The reason that strategy will not work is because many credit accounts have “universal default” clauses in their agreement, which state that if you’re more than 30 days late on any one account, they’re allowed to raise your interest rates based on the increased risk, hence increasing the debt balance.

Potentially losing a job promotion

Again, this only affects for people that are in line for a promotion to a position where they have to handle money, credit checks, or make financial decisions. If you believe you may receive a job promotion in the future make sure to settle any debt you have because it could keep you from getting promoted.

Debt Collectors

One of the things that major credit card companies do is that they often sell your delinquent credit card debt to debt collectors. Debt collectors buy the debt for a fraction of what you actually owe, they then try to collect the debt by getting you to make voluntary payments over the phone, internet or through the mail. The debt collector can also sue you in court just like the credit card company can. If a judgment is awarded to the debt collector, it too can garnish your wages.

How to Protect Your Wages From Credit Card Issuers

Wanting to pay a debt is great, but limiting your resources is not. Before making any decisions make sure that you are aware of the various debt relief programs available to you.

If you are in danger of having your wages garnished by a credit card company or debt collector and you know that you need this money to eat or pay other important bills such as medical bills, there are steps you can take to avoid garnishment of your paycheck.

Very often credit card companies are willing to accept a settlement in lieu of going through the courts to garnish your wages, this allows you to avoid a lawsuit and wage garnishment, you can negotiate a settlement of credit card debt with the bank or credit card issuer.

Settle the debt

Millions of American struggle under a load of high credit card debt, if you are having trouble paying your credit card bills or are worried about high credit card balances, don’t hide. Instead, learn what you can do to better manage your credit card debt, sometimes, with strict budgeting and strategically closing some credit card accounts, you can start paying off your debt.

If the balances are very high and the stress unbearable make sure to talk to a reputable debt settlement consultant. You will be surprised how one simple phone consultation can help you see the light at the end of the tunnel.

State exemptions

In some circumstances, states allow you to protect a portion of your wages, these are called exemptions. When you receive the wage garnishment notice, you need to find out if your state’s laws allow you protect a portion of your wages. If they do then you can file a document in state court claiming the exemption and the judge will decide whether it is valid or not.

File for bankruptcy

If you are really in over your head, bankruptcy might be your best option, bankruptcy immediately stops garnishment of your wages for a credit card debt, however, filing for bankruptcy affects many aspects of your life and should not be taken lightly. In many cases, you should not file solely to stop a garnishment.

The Bottom Line

It is important to point out that during the first three months of 2015, consumers paid down $34.7 billion in debt owed to credit card companies, that is about 7 percent above the average of the past two years, this means that people are educating themselves about all the possible solutions. There are many ways to fix your credit card debt problem, now it is just a matter of you choosing to make it happen.

Have the Good Financial Preparation for Your Company in Surprise AZ

Financial Preparation

Talking about money can be a very sensitive thing for many people. We know how important money for our living. Money is such a ‘soul’ for everyone. Without the money, we cannot survive in our living. Even for completing the simple needs such as food or rice, we need the money. Without the money, we cannot complete our needs. In this case, we really know how urgent and significant money for our living. Due to that kind of reasons, many people are trying to find out the best way for earning money. Taking a job and working hard will be able for the money earning. You can get the money after you work hard. But sometimes, you do not get the good amount of money for your own financial.

How do you feel when you have worked hard but your salary is not big enough? Will you feel so frustrated? Will you feel so confused how to manage your money? The easiest way is taking another job for getting the additional salary. Or if you can get the chance for getting the better job, why do not you try to take it? It will be a great idea and chance if you can get the best job from your skill. But if you do not know what kind of job that you want to choose but you have a certain amount of money, you do not need to be worried for that. You can simply open a new business for getting more salary for completing your daily needs.

Here are some reasons why you need to open a new business instead of getting a job if you have the money. First, you will be able to determine your own business. It can be based on your hobby, interest or passion. Since the job is based on your own choice, you will feel so happy and you can enjoy your own business. Second, you will be able to get the bigger salary for your earning. It will be very possible to do so since you can try to get the orders from the clients and you will get the better earning also. It means that you will have the better salary also. Third, you also will be able to help the others to get the best job also. If your business has been grown well, you can hire the people to work with you. You will be able to have better orders from many clients also.

But to release your dream of having a good business is not easy. There will be so many ways that you need to try and you need to do. One of them is having the good promotion also. We know that there are many people who also have the business. If you do not try for the good promotion for your business, I am afraid that your business cannot run well. That’s why we know for sure that promotion is completely important here. Besides, we also need to prepare how to manage the good financial for our business. Remember, the financial is an important matter for the company also.

If you are not really good enough for managing the financial of the company, you do not need to be worried. You can try to hire the professional accountant who can you trust that will be able to help you how to manage your company financial. You should contact cpa surprise az for having the great accountants consultation. The accountant, Mr. Richard Steiman is a great accountant that you can trust to help you have a good management tips for your company financial. Besides, he also will help you for the tax preparation also . The tax preparation is very an important need that you should pay attention also. If you do not prepare the tax well, you will get the difficulty for the handle of the company. That’s why here we need to have the tax preparation for our own company.

Richard Steiman will help you much for having the good preparation for all of the financial needs for your beloved company. He has been trained and has so many experiences dealing with the accounting and also tax preparation. Richard also provides small business accounting and tax preparation and his wife Sherry provides bookkeeping, using Quickbooks. Remember to contact your trusted accountant cpa surprise az.

5 Things To Know Before You Review A Budget

Finance 3Regardless of whether you opt to become a leader, or prefer to remain an involved, concerned and committed member of an organization, your ability and effectiveness will be positively enhanced, and your actual degree of personal responsibility, is often directly related to your willingness, ability and understanding of the essentials of organizational budgeting. While nearly every group mandates creating and approving an annual budget, very few do so in a way that actually makes the group more effective. Wouldn’t it make sense, therefore, if groups dedicated time and effort, to training their constituents, and especially their leadership (and most involved and concerned members), to all the essentials and necessitates of the various aspects of budgeting, and how to use it effectively? With that in mind, this article will briefly discuss five things you should know and understand, before you prepare, consider and review a budget.

1. What are the needs, priorities and goals for the organization? Budgets should never be created in a vacuum, but rather must be tools for evaluating needs and priorities, and allocating the best proportion of time, money and other resources, in the most efficacious manner. Since effective groups constantly evolve, this is a significant reason why the method most used for creating budgets (which, unfortunately, is generally merely taking the previous year’s document, and adding a certain percentage). Great budgets address how a group should operate and create plans and programs, etc.

2. Carefully evaluate both revenues and expenditures: Are you optimally and efficiently raising revenues, as well as spending as you should, rather than falling into the trap of, too much, too little or just right? Is your fundraising performing as it should, and running on the proverbial, all cylinders? Avoid being myopic, and just cutting across the board, but rather, use zero-based budgeting, so you can evaluate every non-contractual area of either income or expense!

3. Review the actual revenues and expenses from the past two years: Don’t merely guess in some areas, or resort to either wishful thinking, or speculation. Look at what has been raised in the past, and pay particular heed to what’s been spent, and see if you can get more bang-for-the-buck.

4. What works and what needs addressing: This area of consideration is often a fine line, because while one must avoid panic and using the throw the baby out with the bathwater approach, similarly, you must realize that even great ideas often need a degree of tweaking, so they don’t appear to be stale, or merely the same-old-same-old. Remember how important it is to ask relevant questions, and get as much detail and explanation as possible, so you best understand what you are reviewing!

5. Make your budget a working, living document, guide and plan: A budget, and the entire process, can be perceived either as a living, working document, or merely a time consuming, relatively worthless one. The choice is yours! Prepare a quality budget, follow it, and use it to address goals and priorities, through the year.

Budgeting may not be the most interesting process or exercise, but it is an important and relevant one. It’s a matter of how seriously you take it, and how deeply you look at what’s going on around you!

Budget-Friendly Holiday Ideas

Financial 3Holiday’s don’t have to cost a fortune to those of us who are taking the time to buy green. What does buying green mean you may ask? Well, simple. Take the time to shop gently used items instead of purchasing new. These used items, will not only saves you money, but it also helps our planet as those things won’t end up in a landfill somewhere when they could find new life in someone else’s home. There is a new wave that is leaning towards this kind of more responsible shopping and anyone can jump on this bandwagon.

What are some things that you may be able to find when buying green? Great question. The list is so long that it would take tons of time to list all the items that a person can find that are gently-used and just waiting for someone to re-purpose, so for the purpose of this article we’ll stick to only the ones that pertain to this topic.

Three Ideas For “Green” Holiday Purchases

1. Holiday Decorations: Many families have wonderful gently-used holiday decorations that for whatever reason they’ve decided to part with. They could be choosing to do this as they wish to change their holiday color scheme, down-size their load of holiday decorations or–like a lot of people I know–have always purchased more than they can reasonably use and only find this out close to the holidays. So help a family out by purchasing their still very good condition decorations instead of brand new.

2. Games, Toys: There are an incredible amount of games and toys out there that only get used one or two seasons and then are stored. Someone could be choosing to sell a used holiday item because of lack of interest on the child’s part of merely because children regularly change their interests. But should all those items end up in landfills? No. They could make beautiful gifts for another child and have a new life as a re-purposed item.

3. Clothing: Who out there doesn’t buy clothing in some way shape or form for their children for the holiday? Why buy brand new when there are so many families whose children outgrow them in a matter of months? These items are still in great shape. They still have those beautiful, expensive, brand-name labels as your kids are looking for, but they come with a price tag that won’t make you feel that you have to take out a loan to pay for them.

When you’re thinking about your holiday shopping this year, why not take a step to buy green? You will love it. Your wallet will love it, and the planet will love it as it will be one more item that isn’t sent to the landfills. If you are someone who finds that they have an overabundance of any of the items listed above, why not resell them. It takes the whole world to take care of a planet. You can do your part by keeping those gently-used items out of the landfills.

Small Business Budgeting and Forecasting Tips

Financial 1As a small business owner, setting up your budget enables you to forecast your overall outgoings and profit margins. You should use it to plan ahead and judge how your business is going to perform. This should be an ongoing process of reviewing and updating your budgets, then comparing the results with your original forecast plan.

A well run business should keep on top of its budget to try and minimize potential losses. Some forecast for a whole year, while some use real time data to project results. There is also scope for creating mini budgets for different departments, within the main budget.

Where should you begin when budgeting for your small business?

The simplest solution to forecasting business performance is by creating a master budget based on your company’s performance of late. This financial document will give you a snapshot of how you think your business will do over the coming year. It’s also wise to discuss your projections with your colleagues or management team, and talk about any changes in the marketplace that might result in a change either in your projection, or between this year and last year’s performance.

Your next step is to create some real time projections. Make space in your master budget for a section that projects your results using data as it occurs. A section compiled using the figures from your first three months of sale might give a more accurate result than static figures.

Make a division in the ‘total’ column of your master budget, between the number of months that have passed, in order to end up at an average monthly income and expenses. Projecting where you will end the year, is achieved by multiplying those figures by twelve; you should end up with a projection of where your company would be at the end of year, providing the figures remain at that level.

Projecting your profits more accurately is easier if you’re aware of your overheads. Knowing how much it costs you to produce each unit, make each unit and provide an overall service, is equally as important as knowing your overheads. Your master budget should identify all of your overheads, such as wages, rent and utility bills which you can calculate to give your company’s overhead costs; dividing this number by the total amount of units you produce, will give you your overhead costs per unit.

Creating a number of different scenarios in which your budget shows a lower and higher amount of sales will enable you to see where you could make adjustments should those projections prove accurate.

But if you’re struggling to make headway when budgeting for your small business, why not hire an accountant to complete your forecasting for you? While budgeting is an important part of your routine as a business owner, if it begins to encroach on time that could be spent doing something more constructive, your business may actually suffer as a result of it. This is when it would make sound business sense to employ a professional.

Money, Money, Everywhere

No matter how little money you have, you might be surprised to discover that you have some in places you would never think to look.

How many times have you gone to the store and put the change into your pocket or pocketbook, and forgotten that it was there? Over the years I have heard numerous stories like that.

One woman was always finding bills and coins in the oddest places. When I asked her why she didn’t remember having put them there she told me that sometimes she needed to do something as soon as she got home and then hung up her coat without checking the pockets or changed pocketbooks without transferring everything from one to the other.

I would have thought that a person who was always finding a few dollars here and there would think to look for money when she needed it most. Yet this woman never did. Each time she looked in a pocketbook or wallet, she always found some.

If I had ever had the experience, even once, of finding money in my coat pocket, a purse, or a wallet, those are the first places I would look when I didn’t have enough money to buy some food.

But even more than that, there are many people who open up small bank accounts for emergency money and then forget all about it. I was one of those people although I didn’t really forget about it.

Whenever I was short of cash, I would think about that account that was holding my fifty dollars and ask myself if this was really an emergency. After assuring myself that it was not a life or death emergency, I would decide to leave it in the bank.

One day, many years later, I received a letter from my bank telling me that they were going to be charging me a monthly fee for storing my money. I quickly got into my car and headed over to the bank.

When I got up to the teller I thanked her for sending me the letter and told her that it reminded me that I had this account and now I would close it out. She was flabbergasted and started to whine, “It wasn’t meant for you to withdraw your money, just to deposit more.”

She didn’t see me smiling as I left the bank, clutching my fifty dollars in my hot little hands.

Opportunities for Microfinance in Sub-Saharan Africa

A burgeoning market for micro financial institutions (MFI) is set to take hold. The Sub-Saharan African low-income market is set to explode by 25 percent in 2015. Currently 863 million people live in 47 countries. Total gross domestic product (GDP) is $1 billion. It grew to an average of 5.4 percent every year from 2009 until 2015. Today it has the potential for microfinance institutions to generate deposits of $59 billion from those earning less than $10 a day.

The challenge of delivering affordable financial services to low-income markets in Sub-Saharan Africa is an urgent one.

Extended Reach

It’s starts with local financial institutions bridging geographic, cultural gaps and administrative constraints through innovative distribution models.

While the Roland Berger Strategy Consultants study on Delivering Financial Services

in Sub-Saharan Africa, the City Town Vehicle (CTV model) already exists and is a conceptual framework, the existing infrastructure that takes into account distances, population densities and economic potential, there is a third element that can facilitate an even greater outreach.

The model combines different channels to handle a variety of products across geographical areas. It allows banks to keep their operations simple while achieving large-scale outreach to low-income clients. Cooperation among financial service providers, mobile network operators and retailers is the key. By building on the existing framework between various players helps keep costs down while increasing convenience.

Beyond Mobile

In the Think:act Study, the concept of roving agents furnished with Point of Sale (POS) devices was research. The agent would be sent out into locations where villagers rarely leave their communities, but still operate small businesses and can benefit from banking transactions. The agents would visit poorer neighborhoods and remote markets, distant towns (to increase mobilization of deposits) and villages of 2,000 and less residence.

Traveling agents would handle client registration and activation of accounts, as well as being able to offer the full set of transaction services, and support loan application, pay-out and collection of repayments and interest. Roving agents travel back and forth between the (various) village(s) that they serve and the town where they rebalance accounts at the super agent or mini branch when cash limits are reached.

Underserved Markets

The study found that MFIs in Sub-Saharan Africa, have an average client base of 31,000 people. It cannot keep pace with the fast growing low-income adult population. So far they only been able to provide financial services to a select few in the local townships.

Many MFIs shun rural areas and agriculture which is still the main focus of most Africans’ economic life. They seem to prefer to serve small businesses in easier accessible urban and peri-urban settings with higher average loan amounts.

In Sub-Saharan Africa, about 80 percent of the 498 million adults still do not have access to banking services, which is the highest rate of financial exclusion in the world, according to the study. Penetration of savings accounts in Africa is less than one-third of the average level of other developing markets, with 202 commercial bank accounts per 1,000 adults, compared to 661 in other developing countries.

5 Financial Freedoms You Must Protect

We’ve all dreamt about the day we can retire, the free time we’ll have to find a new hobby, travel to a new place, or simply, do nothing but sit and relax. But in order to enjoy the retirement years like you want to, you’ve got to plan ahead. In particular, you need to protect five financial freedoms. They are:

1. Guaranteed Income

Have you taken the steps today to secure your financial future: for yourself, your spouse and your family?

Remember when you retire, you won’t receive a regular paycheck. Not having that steady income may come as a shock. You may start to panic as you begin to dip into savings for daily expenses. You may need to live on a strict budget. You may end up needing to find a job. And, if you decide you need to return to work, it most likely won’t be in a full-time position with a full-time salary.

As you think about retirement, you need to realize this: the day you stop working is the day you surrender your guaranteed income. However, by developing a strategic plan now with your financial advisor you ensure that your financial situation is set up so that you can enjoy your retirement years worry free.

2. Travel

The number one thing most people want to do when they retire is travel. In fact, retirees are in the top 3 groups of travelers in the United States and spend about 20% of their retirement income just on travel.

It shouldn’t be a surprise that retirees are on the move. They have the freedom to take vacation whenever they want since the job isn’t tying them down anymore. However, the question that needs to be asked is that as retirees, while you may be able to pack up and go whenever you please, do you have the financial freedom to do so? How can you fulfill your dream of visiting new locales in America or around the globe if you live on a fixed income?

By working with your financial advisor, travel is possible. Together, you can create a retirement plan that includes travel in your financial future so that you don’t need to give up your desire to explore the country and even the world.

3. Legacy

As parents, your instinct is to take care of your children even when they become adults with kids of their own. One of the most important ways you can do this is by giving an inheritance to your kids once you’ve passed on.

While you have many years of making memories with your family, now is the time to make sure you’ve invested your money wisely. Making wise choices means considering the various tax benefits that different financial options have to offer. I know it can be confusing and frustrating to compare the options available to you, and that’s why it’s a good idea to turn to a financial advisor to counsel you on these important decisions. Your family’s well-being is at stake.

4. Autonomy

Life prepares us to be independent, doesn’t it? Sure, at first, we depend on our parents to care for us, to protect us. As we grow older, we build our independence. We start our own families. We become the providers.

However, during the retirement years doubt may begin to creep in about your ability to live autonomously. Without a steady stream of income, you start to wonder if you need to find a job or whether you can afford to live on your own. Talking with your financial advisor and planning for your future can alleviate these doubts and give you peace of mind knowing that you can continue to live the independent life you want.

5. Choice

When you think of retirement, a number of things come to mind, particularly a list of all the things you want to do and the age you want to retire. However, one vital piece of information that you may not have thought about is how much you’ll need to retire AND live comfortably. If this describes you, talk with your financial advisor today. Believe me, you don’t want to wait until you’re close to your targeted retirement age because you might discover that you’ll need more to live the retirement lifestyle you want. Your financial advisor will work with you to make sure you’re saving enough now so your dream lifestyle can be your retirement reality.

Money for Nothing

There was a time, not too many years ago, when relationship articles were the hot topic. They still are, but they’re not the hottest topic anymore. In its place is now money and security.

One of my publishers, whose opinions I greatly respect, was talking to me about the kinds of articles that most people are reading these days and we thought that with people so concerned about wanting to meet and marry their soul mate, that they were the articles most people gravitate toward. We were wrong.

I was looking over the stats of the articles that I’ve written over the last four years (over 900 articles) and what I discovered is that relationships, which used to be the prime focus of people, has been steadily losing ground to articles about money.

People are now more concerned about financial security than meeting their soul mate. There is more of a here today, gone tomorrow, way of looking at their lives. And business articles, which used to be a big drawing card, don’t seem to have the same impact that they used to.

Today’s hot topics center around getting money for nothing. People have always been attracted to articles about getting a lot of money without having to work for it, but lately, it’s been almost a mania, as evidenced by all the people who set up gofundme websites. This concept is now called crowdsourcing. I call it panhandling or standing there with a begging bowl in your hands asking strangers for money.

I had heard a story about a lazy, spoiled, twenty-one-year-old girl, who is in excellent health, setting up a gofundme website asking people to donate money so that she can go to Japan on a two-week vacation. The hands out, begging bowl concept, annoyed me so much that I wrote an article about it. And, wouldn’t you know it, but the number of people who read that one article climbed much higher and much faster than most of my other articles.

People take a look at Bill Gates and Warren Buffett and all they can see is the billions of dollars they have and they want to have what those two men have. They don’t see all the hard work that went into accumulating that wealth, nor do they see the kind of hard work they do to sustain their wealth. They just see a lot of money and they think they are entitled to the same riches.

Sad to say, but we’re living in a lazy, selfish, society these days and we’ve lost our moral compass along the way. We need to get back to the things that are really important before our whole society comes crumbling down around us.

Want to Be Debt Free? Here’s What You Should Do

If you are struggling to manage your finances and maintain a proper standard of living, it means that your financial handling skills are amateurish to say the least. But in this day and age, keeping your finances secured is very important. Having a cavalier attitude about it will not serve you or your family any good in the future. We all work to earn a living and have a certain standard of living that we all desire. But in addition to this, are certain responsibilities which everyone is entitled to fulfill. Responsibilities such as the financial security of your family are imperative.

But what happens if can’t make any ends meet?

As the world market progresses focus towards luxury goods rather than necessities, it is becoming more and more difficult for the common public to resist the temptation. There are so many things to do and some much to buy that most of the time people end up overspending than their capacity. This results in the accumulation of debts which, unfortunately, is becoming too common these days.

The biggest problem in battling debt is the lack of acceptance. Most so than often, people don’t accept that fact that they are having money problems and think that the bad phase will automatically pass.

The 3 steps that you need to overcome in order to be debt free are:

• Acceptance: One of the first steps is acceptance. You need to accept the fact that you are having money problems. The more you deny the fact, the more grave the situation becomes.

• Assistance: Secondly, you need to decide whether you want professional assistance or not. There are several institutions that can help you in this matter, but you need to choose wisely if you are going to seek such expertise.

• Implementation: It doesn’t matter how much you accept or whose assistance you seek unless you can implement those. A hell load of expertise will be useless until you act on it.

Everything in our lives depends on money. It’s the bitter truth that without money, your lives can become miserable. It’s all well and good till the time you are working, but there will come a time when you have to depend on your savings. If you do not take the necessary steps now, you will never be able to accumulate substantial savings. Don’t act as if it doesn’t bother you now. That kind of attitude is never favorable for anyone.