This was in my inbox so I'll like to share:
When it comes to money management mistakes, debt counselors have seen it all. And if you knew what they already know, you could save a lot of money and more than a little grief.
Unfortunately, by the time consumers sign on for credit counseling, they already have an average of $30,000 in bills and seven or eight credit cards, says Susan Keating, president and CEO of the National Foundation for Credit Counseling
1. Freebies are lethal.
Those low introductory offers sound great, but they are designed to get you hooked on the service.
If you co-sign, that debt is yours.
If your son or daughter wants you to co-sign for a car, apartment or loan, just say no
Bouncing a couple of checks can cost you your bank account.
Not only can your own bank kick you to the curb, but it can put you in a financial database that acts as a kind of black list
You need a plan. If you just spend money until it's gone, you never get ahead.
Look at what you make, what you need to spend, what you want to save. Keep track of your spending for a month or two to see where the money is going.
Auto leases can be hazardous to your financial health.
Leasing (and some zero-down payment deals) can put you at risk financially because you may be driving a car that's actually worth less than you owe
Your old emergency fund might not cut it.
The old rule was to sock away three to six months' salary. But that's just not enough anymore, aim for having a year's wages in the bank
Don't always reach for that debit card.
Some gas stations and restaurants will put a hold on your card for more than you actually spend
Tip of the Day: 15 secrets debt counselors wish you knew
January 1st, 2007 at 02:41 pm