Get Rid of Credit Cards : Should I Cut Them Up or Close the Accounts?

Get rid of credit cards --- How? If you are struggling with credit card debt, this may be one of the questions at the top of your mind. 

For some people, just owning credit cards presents a huge temptation to spend. They go to the store, and see a pair of shoes they just have to have. It is not in their #budget, but they know they have their credit card along, and can just charge it. Perhaps this is your struggle—you rationalize your purchases by saying to yourself: “I’ll pay it off right away.” Deep down, you know you might not be able to. 

If you really have trouble spending and getting into debt, at least make sure you do not bring your credit cards with you when you shop. It’s kind of a like a drug addict putting themselves into a situation where they know there will be drugs available. If you let yourself be vulnerable to temptation, you may easily succumb. 

Start your credit repair process today 

With #online shopping available from your home personal computer, maybe you should go a step further to stop your spending habits. I have known of some people who freeze their credit cards in a block of ice, making them very inaccessible.

The bottom line is, cut up your credit cards, if that is what it takes to make you stop spending money you do not have. 

Should you get rid of credit cards?
Should you cancel your accounts?
Here are some practical answers to those questions:

First, your credit score is better off if you pay off your credit card accounts rather than canceling them.

Next, if you are going to cancel accounts, start by canceling store credit cards. Space it out over a period of time. Never cancel all credit cards at once, as this will negatively impact your credit score.

Finally, there are some situations where you may need a credit card, such as for renting a car. Of course, there are alternatives to #credit cards, but #financial experts recommend keeping open at least one or two major credit card accounts. Having one or two major credit card accounts is better for your credit score.

In conclusion, I highly recommend that you do not charge purchases on credit cards unless you KNOW you can pay the balance off every month. 

Should you just cut up your credit cards? 

Have You Paid off Debt or Are You Working on Paying off Debt?

Share how you are paying off or have paid off your debt! This will encourage and inspire others to begin doing the same.

Insurance for Less Save Money on Life, Health, Dental and Auto Insurance

Insurance for less money is a topic that is important for bot men and women.

Here are a few general tips regarding insurance: 

1. Always have health coverage. Medical bills can cost you thousands of dollars and end up on your credit report (should you be unable to pay). Even if you are between jobs, extend your previous coverage until your new coverage kicks in. For your children, if your family is uninsured, most states now offer free or low cost children's health insurance.

2. Become educated about different kinds of coverage. In order to get insurance for less, you need to know all about the different kinds of coverage available. You need to be aware of why they are necessary and how they are useful. In this section of Moms-Living-Debt-Free.com, we will help you by discussing how to save money on the following:
Life Insurance 
Health Insurance (and how to get an individual plan) 
Individual and Family Dental Plans 
Auto Insurance 
Homeowners Insurance 

3. Always shop around for best rates. There are websites that let different agents contact you and compare rates. I have saved hundreds of dollars by comparing rates on various kinds of coverage.

4. If you have multiple policies with the same company, ask for discounts. If you have your homeowner's and auto policies with the same company, you should be able to get discounts to get cheap insurance rates. Usually the discounts are anywhere from 10-20% of the normal quotes. Ask your agent about this.

5. Always use a reputable agent or company. If you haven’t heard of the company before, do research on them on the internet. If you are going through an agent, be sure to ask around to make sure he or she has a reputation for honesty. Remember, it’s often cheaper to buy insurance directly, because agents are getting a commission. On the other hand, some people like the convenience of having an agent they know help them with the claim.

By following these tips and learning about different kinds of insurance coverage, you will be able to get insurance for less. Do your research and make wise decisions to protect your family and your assets. 

Debt Free By 30 – Is this Goal Realistic or Possible?

Debt Free by 30 – this is a dream that a lot of younger people have, especially those who have learned about finances.

Some younger people would like to be debt free by 30 so that they can feel the confidence of owning their home, be able to stay at home with their children, or to be able to start saving for retirement. 

Perhaps you are struggling with debt from student loans or credit card debt. Maybe you or your spouse has recently lost a job. Is it realistic to have a goal of being debt free by 30, particularly if you are in your early to mid twenties? Some younger people would like to be debt free by 30 so that they can feel the confidence of owning their home, be able to stay at home with their children, or to be able to start saving for retirement. 

Here are some tips to help you reach this goal: 

1. Work hard. This sounds so simplistic, but it is the truth. Many people think of their twenties as still a “time to have fun”, but if you want to be able to pay off debt, you probably should concentrate on getting a good-paying job. Work as many hours as you can, and work overtime if possible. In fact, if your debt or loans are really high, you may want to take on a second job. At least when you are young, you will have a lot of energy for this! 

2. Spend Less Money. Every time you go out to eat, you probably blow $20+ that you could be using to pay down your debt. Add up all the little things you waste money on: expensive coffee on the way to work, name brand clothing, high-priced makeup, etc. Then stop spending the money. Every Friday or Saturday night if you go out, you are wasting more money, and time that could be spent working. I’m not saying you can never have fun, but living debt free does require sacrifice. 

3. Don’t expect to have the same standard of living as your parents. If your parents live in a beautiful house or condo, with a big-screen television, and brand new cars, realize that they worked for years to get to that point. Many newlyweds or singles make the mistake of wanting to have everything that mom and dad had right away. It’s just not possible, unless you go into debt to do it. Settle for the smaller apartment; put off getting the new car. It is worth it to save the money. 

4. Save money. If you do not have a savings account start one now. Online savings accounts typically give you the best rate of return on your money. Put aside a reasonable amount of money ($500-$1000) for a rainy day. Then save more as you are able. Of course, always make paying down your debt your first priority. 

It is possible to be debt free by 30 (or 40, or 50!). Do not be discouraged. Remember, you will be benefiting not only yourself, but your family and your children.