All Financial Matters

Few people will actually want to file for bankruptcy even if you often hear about big corporations doing it all the time, but individuals are very difference from corporations.  As an individual, finding an alternative to bankruptcy can save you a lot of trouble in the long run as it isn’t a solution without side-effects.

First off, consider loan to consolidate your existing debts.  Debt consolidation means that all of your debt is grouped together and a loan secured for the overall amount.  Creditors get paid what is owed to them and the bank that issues the loan is given a monthly payment that the consumer can afford. Very much a win-win situation for all concerned.

Debt consolidation mostly includes unsecured debt.  This would be credit cards, store credit cards, unsecured lines of credit from companies, and gas cards.  Unsecured debt is what creditors have a hard time recouping from people because it is not backed up by any collateral.

If you can’t find a bank that will give you a debt consolidation loan then try going through an agency.  The agency counselors are used to working with creditors and can negotiate on your behalf.  They can even get your debt dropped by as much as sixty percent.  You then make just one monthly payment to the agency, and they take care of the rest with the creditors.

Debt consolidation does not involve liquidating your assets.  With bankruptcy proceedings, the court may rule that you have to sell your belongings at much less than their market value in order to pay your creditors.  On the other hand, debt consolidation allows you to keep the things that you have and offers up another solution.

Another option is to get a second job.  It isn’t necessarily a pleasant option, but if getting another job will allow you to make a sizeable credit card payment each month for a year or two until your debt is repaid, then it will prove to be well worth it.  If a second job is not feasible, ask about overtime at your current job.  You need to find a way to make more money if you want to reduce your debt.

A second job can be a way to supplement your income while you are paying off a debt consolidation loan.  Things come up without warning and you may need more cash than you have available.  A second job will help you to save for a rainy day and still make payments on your debt.

You could also consider starting a home business.  For those who are in a time crunch that prevents a second job, a home business may be the most suitable option.  Most can be started with little or no money.  For example, selling unwanted items from around your home on eBay can bring in some extra money when you need it most.

Do you have a special skill?  Market that to others who could use your services.  Remember to earmark the money to be used for resolution of debt and not to spend freely and incur more debt.

Bankruptcy is not the way to go if you don’t absolutely have to.  Always try to seek alternatives to this final course of action.  Any changes you make don’t have to be permanent, just until you get out of debt and back on a more stable financial footing is what you’re aiming for.

Without a doubt, our children are such precious little beings.  They add that special something that enriches our lives, but when they start to want everything that catches their eyes it can get somewhat stressful.  Here are some tips for parents to help avoid these particularly difficult and often expensive episodes.

Don’t think of it as cute behaviour.  It’s very easy for doting parents to fall into this way of thinking.  When a child is young and they throw a temper tantrum over a toy in the store, we see it as a phase and label it cute.  Worse still, most parents will give into their child’s demands in order to pacify them.

Children learn quickly.  A child that discovers they can get what they want by acting up will do so again and again.  This is how you train your children to get what they want by causing a scene.  Setting them on this course only makes it harder to break the habit as they age.

Give them an allowance.  Children naturally think that our money is also their money, and to a certain extent they are right.   We provide for their well-being by purchasing food and clothing.  We pay the mortgage so that they have a roof over their heads.  But this doesn’t entitle them to act like we have unlimited supplies of money to spend on their desires.

An allowance gives kids something they never had before: their own money.  A child that understands money will be fascinated.  As the money grows from week to week, share with them how saving money allows them to afford toys that they buy for themselves.

Watch your spending habits.  Children mimic what they see.  If their parents buy everything that they want, the child will likely want to do the same.  When your children are old enough, include them in the family budget.  Convene a family meeting once a month to discuss the financial picture.

Explaining how saving works in their favor gives kids a head start in the money game.  Explaining to kids that parents also have to save for things they want and for family vacations, gives them a better understanding of family finances.  Money really doesn’t grow on trees.

Teach a life lesson.  Kids will want things.  They learn how to share and not be greedy from you.  Teach them the lesson of “less expensive” early on in their lives.  When their allowance is small, take your kids to the dollar store for their money-spending excursions.

Television commercials prompt kids to ask about the latest toys and games.  Don’t try to distract them by saying, “We will see about it later.”  Kids will take that as an affirmative answer.  Instead, offer the idea of putting that toy on their Christmas or birthday wish list.  Even better, encourage them to save and buy it with their own money.

Your children are a blank slate and will learn to behave in the manner that you teach.  When they’re very young, it’s only natural that they’ll become upset when they don’t get what they want, but it’s your responsibility as the parent to guide them and teach them the real value of money.