What Have You Done To Protect Your Identity?

It's no secret that identity theft has become a major problem in this country. Last year alone, more than 9.9 million Americans fell victim to this devastating crime. And it can be devastating.

Identity theft occurs when someone acquires key pieces of your personal information with the intent to commit fraud. Most commonly, they use this information to open new credit accounts and run up huge debts. However, this is not the only use of stolen personal information. It can also be used by someone looking to immigrate illegally, carry out terrorist activities, assume a new identity, or even to blackmail you or someone in your sphere of relationships.

How does a thief gain access to your identity?

While most people believe their greatest exposure to theft is through the Internet, experts say your mailbox (where thieves can obtain account statements, new checks and credit offers) and your garbage are the easiest ways criminals can access your personal information. The theft of your purse or wallet is also common. And then there're those situations in which you willingly give out information over the phone (to someone who calls with a great offer) or over the Internet in response to a fraudulent email (commonly referred to as "phishing").

Once a thief has your information, he generally has weeks (even months) before you become aware that there's a problem. In fact, it may not become evident until you suddenly start receiving bills for revolving accounts you never set up, in towns you never visited, for items you never purchased. By this time, your credit report has become peppered with new accounts that you had no idea existed.

Once that happens, it's a nightmare trying to undo the damage.

However, there are ways to be proactive and protect yourself. For instance, most credit card companies offer services that will monitor your account for unusual activity, notify you immediately if there's a problem, and protect you from the fraudulent charges. The three leading credit reporting agencies in the United States: Equifax, TransUnion, and Experian, each offer monitoring services as well (although that's all they do ... monitor and inform).

There are other ways you can help minimize your potential risk as well:

Never share your banking information, particularly your personal password, with anyone unless you initiated the contact or you personally know the person you're dealing with. Legitimate banks and other businesses will not call or email you requesting your personal account information. When you receive a request for your account information (whether it's a bank account, a credit card account, or even a PayPal or eBay account), red flags should go up.

Always guard your PIN (personal identification number) at ATMs.

Sadly, you shouldn't leave outgoing mail in your home mailbox for pickup. Either take the mail to the post office or drop it off at a secure postal mailbox.

Never carry your Social Security card in your wallet. If you have to carry credit cards in your purse or wallet, as most of us do, keep them to a minimum. Preferably a single card.

Never use your credit card on the Internet unless you're initiating the purchase and it's done through a secure connection. You can quickly identify a secure connection by checking for "https" in the URL or the lock icon in the corner of the screen.

Keep a list of your credit card and bank account numbers in a secure location, such as a locked safe or a safety deposit box.

Always shred personal documents. This includes all those credit card offers you receive in the mail, old account statements, billing statements, credit card statements, etc. And use a double-cut shredder to be on the safe side. You can pick one up at nearly any office supply store for under $100.00.

Keep track of your bank and credit card statements. Make sure they arrive every month and monitor them for any unusual activity. If a bill doesn't show up, it can be an indication that someone has set up a change of address without your knowledge.

Order a credit report from all three agencies (Equifax, TransUnion, and Experian) twice per year, review them, and compare them carefully. If you discover any fraudulent entries immediately contact each agency, explain the situation and follow the proper procedures to correct the problem.

Identity theft has risen to enormous levels throughout the United States, but that doesn't mean it has to happen to you. Take a few diligent precautions and your chances of becoming a victim decrease significantly.

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What You Can Do To Simplify Your Personal Finances

Keeping control of your personal finances is important in making sure that you have enough money to live on in years to come. Many people find it difficult to enjoy their lives because they are saddled by huge debts. Regardless of how much you make, it is possible to get control over your finances. Read this article for some helpful suggestions on how you can get started.



If you have a lot of debt, one of the first things you should do is to consolidate your debt into one or two credit cards. There are services that can help you do that. Holding too many credit cards makes it difficult for you to keep track of what you have charged. When you consolidate your debt and close most of your charge accounts, you can monitor your liabilities more easily. When you consolidate your debt, you also have a chance to lower the interest rate, which will help in paying off the debt.



Once you have consolidated your debts, pay any future bills with just one credit card. Avoid opening any store or merchant charge cards which carry a very high interest rate. There is no need for those. Stores often run promotions to entice people to open up a store account, but you should avoid those at all costs. If you want better control over what your charge, stick to one card.



There are online tools that help you develop and manage your personal finance plan. Publishers of magazines that deal with personal finances often provide free tools that you can use. Your bank probably has tools available for its customers on its website. If you have opened up a retirement account, your service provider will have online tools as well. Do some research, and find the program that you are comfortable in using. You will find that managing your finances is not that difficult when you can use a program designed for it.



Any financial management tool that you use will usually ask for basic information from you, such as your monthly expenses and income, the amount of your savings, outstanding debt balances, your assets, and personal information like the size of your household and your age. This information is used to develop a realistic budget scenario that is based on your real spending patterns. If you anticipate a large expense coming up, like a major home repair, you will need to provide an estimate and factor that in. The more information you can input, the more accurate this budget will be.



You should do your best to save as much money as you can after you pay your fixed expenses. This may mean reducing discretionary expenses like entertainment costs, vacations, and eating at restaurants. Starting a good savings habit will be very helpful in making sure that you always have a backup plan. Avoid dipping into your savings for non-urgent expenses. If you stick to a good savings plan, you will find that your reserves will quickly grow into a sizable sum.



When you have a budget, you can easily see what you can and cannot afford. Follow the advice in this article to start creating a sound, personal finance plan. When you have your finances under control, you will have more peace of mind.

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Should You Consider A Self Directed IRA?

There are plenty of people who do not take advantage of an IRA, but could. An IRA is a tool used for retirement investing and could help you begin building a solid savings plan. An IRA could mean two things, it could be an Individual Retirement Account or it could also be an Individual Retirement Annuity. It's great if you have the opportunity to take advantage of an IRA because it can help you retire, but should you have a self-directed system?

1. IRA Types

There are numerous different types of IRA's you could get. There is a traditional IRA, where this type of retirement is set by taxpayers individually and are allowed to put in one hundred percent of their compensation.

A simple IRA is where the plans for retirement are set up by the employers themselves. Any withdrawal made eventually is then taxed as a form of income, this include capital gains. Of course, since after retirement, ones income decreases, the tax put on a simple IRA is considerably at a lesser rate.

There is also a self-directed IRA. This type of IRA is a retirement account that is put up with the help of a broker and not a bank or a mutual fund. In this type of retirement, one is able to buy as well as sell stocks individually. This therefore makes it a lot easier for anyone to make decisions related to investments conveniently on ones own instead of a mutual fund manager.

So what if you have about twenty thousand dollars in your IRA account, and the money are all invested currently in a type of mutual fund, and you want to manage it on your own and so you think of converting it to a self-directed IRA, just how do you do it?

Some people usually contact their account executives and notify them of their need to cash the account and send the cashed out check to a brokerage and establish a self-directed IRA. Simple, right? Fortunately it is that simple, with a few little details that need to be modified.

2. Fund Transfers

Transferring funds is indeed as easy as a-b-c. All you have to do is to call that broker and tell him that you want to convert your current IRA to a self-directed one. The broker will then have to send to you two different forms. One form is an IRA basic application. The other form is an instruction of sorts relating to your current IRA mutual fund. This basically allows the agency you are dealing with in liquidating your current IRA and then transfer its proceeds to the IRA that is new.

After doing these activities, all you have to do is to simply return the forms once completed and just sit back, relax and wait. In as short as 45 days to as little as 30 days, the time actually depends much on how slow or fast the custodian of the IRA is, the money will then be in your self-directed IRA.

After checking if the money is indeed there, you now have the freedom to simply trade at your own choice and your own will. Via through direct transfer, there are no taxes to worry about as well as IRS hassles.

3. The Self Directed IRA

It is that superbly simple. See how you need not have to go anywhere to make those transfers. All you had to do was pick up the phone and talk to people. The best thing out of this very simple process was that your integrity and dignity is still intact. Observe how there was no need for unnecessary drama or hysterics of having to make up a story with the manager of your mutual fund and think of excuses on why your dear old Uncle Isidore badly need the money for surgery, and the like.

Another good thing to think about when having self-directed IRAs is that, besides the usual bonds, stocks or mutual funds that could be stored in it, stocking up on real estate is also a good investment. IRAs could eventually help you in broadening your own portfolio.

Basically, a self-directed IRA allows you to buy good real estate. It would be best if you avail the services of an independent administrator who could serve as your very own custodian or trustee. All in all, it really depends on how much you are willing to know and learn and do with your self-directed IRA that spells the difference. Ultimately, you know what is best for you, so go with what your heart, mind reveals. Also seeking the assistance of a knowledgeable real estate investment professional is always a smart option.

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Redundancy Insurance - Another safety option for Wealth Preservation

Redundancy insurance is one of those best kept options only wealthy use. In this day and age, redundancy cover can give you an income to make sure that you can continue servicing your loan and mortgage repayments along with covering your essential outgoings and expenses, but it is imperative that you do understand the terms and conditions in a policy before buying.

Redundancy cover can be taken out as mortgage payment protection, income protection and loan payment protection and it can give great peace of mind. All policies will start to pay you after you have been out of work for a pre-determined time. This is generally between 31 days and 90 days after the event and would then continue to give you a tax free income for up to 12-24 months, depending on the policy terms and conditions.

It is imperative that you read the small print of any policy that you are taking out as this is where you will find the exclusions. Exclusions are the reasons which can stop you from making a claim and which mean that you would be ineligible for the product.

There are exclusions which are common to the majority of redundancy insurance policies and these include if you are suffering from a pre-existing medical condition, are only in a part time position, are of retirement age or if you are self-employed. Check each products exclusions as they can vary from provider to provider and it is important that you ensure you wouldn’t be excluded from making a claim.

Mortgage payment protection an be taken out to safeguard your monthly mortgage repayments each month and give you peace of mind and security of an income with which you can use to continue on meeting your mortgage repayments and so not get into arrears. Getting into arrears could mean you lose your home to repossession but redundancy insurance can give you an income.

Loan payment protection is taken out as redundancy insurance if you have loan or credit card repayments to make each month and can stop you from falling behind on your repayments by giving you enough money to service your loan repayments each month.

If you want to safeguard your essential outgoings in general then income protection will give you a replacement amount up to a certain sum each month which you can then use to carry on meeting your requirements and live the lifestyle you are accustomed to without having to worry.

All policies can be bought alongside the loan or mortgage at the time of taking out the borrowing but this is one of the dearest ways of taking out what is invaluable insurance. A far better way to give peace of mind and security is to go to a specialist provider for your quote for the cover. Redundancy insurance can be taken out just to cover unemployment by such as redundancy but it can also be taken out to insure against coming out of work down to accident, sickness and unemployment together.

This is an amazing way to maintain your living situation in times where income has been threatened.

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Budget your way to Success

Budgeting sounds like a boring strategy used by our parents. For a long time, budgeting was considered the way to manage money because it helped people keep track of where their finances were going. But lots of people are choosing not to budget because it seems so needlessly complicated with little or not benefit. But there is a benefit to budgeting; the real trick is finding a budgeting method that works for you. Here is an excellent strategy to help you manage the money in your personal portfolio.

The first thing you need to do is create a budget. Creating a budget does not have to be restrictive, but it should be a guideline to help you manage your income and your expenses each month. The first thing you want to do is list all your expenses on a month-to-month basis. The next thing you want to do it list all of your income on a month-to-month basis. Then compare. Many people who have trouble saving find that their expenses are very close to their income. So what can you do?

One option you have is to reduce your expenses. This might mean going out with friends a little less or giving up on some luxury that you typically enjoy. Another option you have is to increase your income. Unfortunately, for many people, this is easier said than done.

One way that you can reduce your expenses and increase your income is by using a debt consolidation loan. By consolidating many outstanding debts that are due throughout the month into a single loan with a single monthly payment you will be accomplishing several things.

First, you will be reducing your monthly payment because you will be securing a larger loan and is spread out over a longer period of time. Second, you'll be reducing the amount of interest you pay because you will be consolidating your many debts into one debt from one provider. Reducing your interest not only helps to reduce your expenses but also increases your income!

And if you are able to find some assets that can help you get a secured loan, you'll be able to spread out your payment over a longer period of time and you will likely qualify for a lower interest rate because you have some security to offer the lending institution to back up the loan.

Now that you are actively pursuing a budget, you will need to find a way to continue to reduce your expenses over time. A secured loan will help you do that. But don't forget that there are many ways you can also increase your income.

Congratulations! You are assembling a budget and getting control of your finances and at the same time you are reducing your expenses and increasing your income.

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Be Cautious When Using Your Nest Egg as an ATM

About five years ago I moved from the ranks of being a renter to that of being a homeowner.  Now, not a week goes by that I don’t receive some type of offer through the mail encouraging me to refinance my mortgage, open a home equity line of credit (HELOC), or apply for a home equity loan. (Yes, those deals still exist!)

Does this look familiar? "Payoff High Interest Credit Card Debt!" " Lower Your Monthly Payments!" "Buy A New Car!" " Refinance And Get Money Now!" scream the slogans splashed across the envelopes.

The promotional letters inside point out how easy it will be for me to “get the extra cash you need NOW!”  They promise “no out of pocket costs” with a newly refinanced 30-year loan.

Could I use some extra cash NOW?  You bet I could!  Who needs high interest credit card debt? Not me, no way, no how! Buy a new car? Hmmm, I like that new Lexus coupe's I’ve seen on tv, maybe in a sleek titanium color with black trim?

The truth of the matter is, for thousands of U.S. households “Home Sweet Home” is rapidly being replaced with a new sentiment - “Home Sweet ATM.”  According to the latest Federal Reserve study, 45% of homeowners who have refinanced their mortgages pulled cash out and 74% wound up lengthening their mortgage by about six years.  Only 17% shortened their loan term opting to downsize to a 15-year mortgage.

In a period of six years, Americans have more than doubled the amount owed on home equity loans and lines of credit, nearing $766.2 billion, according to the Federal Reserve.

If you’re in your 40’s and you refinance on a new 30-yr. loan, you’ll be in your 70’s by the time your loan ends.  Even if you shave off a few years by paying down your principle, you’re still risking not owning your home “free and clear” as you approach retirement age.

What happened to the era when your home was considered your nest egg to be used only for life-threatening or life-changing events like paying for a child’s wedding or for a medical emergency?  And worst of all, many new homeowners are using their home’s equity as another source for financing new debts.

Think twice before using home equity to pay off credit card balances.  If you’re already overspending on your credit cards now, what makes you think anything will be different after you pay them off with a loan or line of credit?  Many people just wind up deeper in debt or facing bankruptcy because they couldn’t resist charging their cards up again.

Keep this in mind before tapping your home’s equity - Your loan or HELOC is secured by your home.  Default on the loan and you could lose your house, even if you declare bankruptcy!

The best use for home equity is to make improvements that add value to your home.  Remodeling a kitchen or bathroom, adding an extra room or creating a master suite are just a few of the “hot” improvements that can really pay off when it comes time for you to sell.

If your home truly is your nest egg, be smart about how use its equity.  Make sure that it fits in with your overall financial plan and goals. Otherwise, you could be left without a nest and just the egg!

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Being in Love is Hard Enough, than there is the MONEY!

It's widely known hat one of the main reasons that most couples fight is because of money. Perhaps not so surprisingly, it is also one of the leading causes of divorce.  This is a good example of why it’s important to discuss finances and have all aspects relating to money out in the open in order to have a healthy and happy relationship very early on.

If you are preparing to start a life with your new husband or wife, you may also be considering the purchase of a home.  As you may know, both your credit history and that of your spouse will impact a potential lender’s decision as to whether or not to approve your loan request.  What you may not know is that, due to the fact that some landlords now check their tenant’s credit, your credit history can also affect your ability to rent a home if that’s the route that you choose to pursue.  The best way to prepare for either renting or purchasing a home is to sit down and discuss income, debts and past payment history with one another.  In some instances, it may be advisable to share your credit reports with one another so that there are no surprises down the road.  This will not only give you a good idea as to how lenders will view your creditworthiness, but it is also the perfect time to identify and correct any inaccuracies in your credit reports.

Combining finances is one topic that many couples struggle with.  Do we keep our finances separate or do we combine them into one joint checking account?  If you are undecided, it’s perfectly fine to maintain the finances in a ‘his, hers and theirs’ format.  If you and your spouse-to-be prefer to keep your finances separate for now, simply open a joint checking account to pay household bills and other expenses.

If you want to achieve the perfect balance in both your relationship and your checkbook, make a pact to be open and honest when it comes to communicating about money.  Although this may be one of the touchiest subjects for many couples, it’s much better to discuss the issues and deal with them immediately.  In the end, both you and your spouse will be much happier and the relationship will be much healthier, wealthier, happier and wiser!

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Eliminate Debt Without Bankruptcy

Times are tough and people across the country are endlessly struggling to make ends meet. The United States has lost thousands of jobs and can expect to lose thousands more. It’s no wonder that individuals are carrying more credit card debt than ever before; many are likely using credit cards to simply purchase the basic necessities.

Unfortunately, using credit cards comes with a hefty price – mounds of debt and high monthly bills. If you’ve recently discovered that your credit card bills are out of control, and you’re barely getting by each month, there are options available that can enable you to eliminate your credit card debt and avoid a bankruptcy filing.

You see, creditors would rather accept a portion of the amount you owe them, rather than nothing at all. Because of this, you can negotiate with your creditors through debt settlement.

Debt settlement (debt negotiation) is a process whereby you negotiate with your creditors so that they will agree to accept less than the full balance (normally 50% or less) of what is actually owed. Debt settlement is an excellent solution for individuals who can no longer afford their monthly bills, and simply want to put their debt behind them, with no further monthly payments.

Obviously, there are certain criteria that you must meet in order to qualify for a debt settlement program; and just like most things, the process of debt settlement can at times be frustrating. You can eliminate some of your concerns regarding debt settlement by educating yourself and learning all that you can prior to commencing a dialogue with your creditors in an effort to negotiate lower balances on your accounts. There are also many firms that can represent you during the process of debt settlement. If you should choose to hire a debt settlement company to negotiate with your creditors on your behalf, be certain that the firm you hire is one that you trust and with whom you feel comfortable. Unfortunately, there are some debt settlement companies who are more interested in taking your money than legitimately assisting you with your financial difficulties. On the other hand, there are also many firms who will do an excellent job negotiating with your creditors and successfully eliminating your debt. A great deal of these firms will work on a contingency basis, and not accept any fees until they produce satisfactory results.

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Replace Your Lost Income With Income Protection Insurance

There is no longer such a thing as a ‘job for life’ and while no one likes to imagine the worst happening it can and it does as we've seen in recent years. If you haven’t taken steps towards planning for what would happen if you were to lose your income, then you could be in great financial difficulty if you cannot afford to pay your essential monthly outgoings and expenses. Income protection insurance, however could give you great peace of mind not to mention security by replacing your income should you become out of work, providing it’s suitable for your circumstances.

An income payment protection insurance plan will give you a tax free sum of money each and every month once you have been out of work usually for 30 days or more. It will then continue to cover your lost income up to a set amount for up to 12 months if it is needed and some providers pay for up to 24 months.

Income protection insurance is an invaluable safety net on which you can fall and can make find another job and get back to work. While it can be valuable protection the product isn’t suitable for all circumstances and this isn’t always made clear at the time of taking out the policy. Exclusions that could mean you wouldn’t be eligible to claim include being in part time employment, being retired, and self-employed or suffering from a pre-existing medical condition at the time of taking out the cover.

You should always check the small print for any exclusions along with the key facts regarding an income protection insurance policy and you can get these facts from a standalone provider if you are not sure. A specialist in payment protection can always give you advice along with giving you the cheapest premiums for your income protection insurance policy. This is an amazing resource the wealthy use!

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5 Things To Look For When Buying Health Insurance

The comfort and security of knowing you can see a doctor whenever the flu strikes or when you’ve broken your leg on the ski slopes is a privilege that many take for granted. Whether you have to select health insurance through your job or need to choose an independent company, there are plenty of factors that can affect your final decision. Weighing the pros and cons of various options is the best way to choose the health insurance that will accommodate your needs as an individual or family. Below are a few points to consider as you search for the best health insurance plan for you:

Know Your Choices

There are many different kinds of health insurance plans offered to the public. Knowing the various options you may qualify for will help satisfy your needs in the future. There are five type of health plans to consider: traditional indemnity, health maintenance organization (HMO), Preferred Provider Organization (PPO), Point of Service Plan (POS), and Health Savings Account (HSA). You should familiarize yourself with each option.

Know the Advantages and Disadvantages

Out of the five main types of health insurance plans, each one contains their own set of advantages and disadvantages. For example, with a traditional indemnity plan, individuals seeking complete freedom in the medical providers they can select should choose this option. But freedom comes with a price; the insurance plans produce higher rates and costs. This means individuals will face few restrictions, but also have to cope with no financial incentives that lessen patient financial responsibility.

Coverage and Benefits

An important factor to consider when choosing a health insurance plan includes the type of benefits offered and whether or not they will accommodate your needs. Some of the coverage capabilities to ask about include maternity, prescription, childcare, immunizations, emergency visits, and annual checkups.

Costs

Seeking information on the premium or employee contribution associated with a particular health insurance plan is important to make an effective decision. The cost you are responsible for will depend on the type of plan you choose; the deductible, coinsurance and co-payment; lifetime maximums, and the limitation of plan benefit coverage.

New Developments: For those that are currently locked out of health insurance and are unable to afford it, Obamacare will be an option for many beginning, January 1, 2014. Healthcare is a challenging issue for many families today. It's important to understand the options available.

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Taking a Vacation Soon? Tips to Protect your Credit Cards

Each and every year, many of us go on vacations. Vacations are a great way to relax, and get away from the everyday pressure of life. Over half of all American families take their vacation between April and September, meaning that they spend a lot of money on travel. Whether it’s international or domestic travel, you can spend a fortune before you actually realize it.

As we all know, traveling with cash or checks isn’t always a wise decision. Renting cars, flying in airplanes, or checking into hotels is a much easier task if you have a credit card. Even though you may decide to use your credit cards for big purchases only, you’ll find that the traveling experience will be a much smoother process.

Unlike cash or checks, credit cards make handling your documents and receipts much easier. If you purchase something, records from that purchase will be made with your credit card manufacturer, which you can always fall back on if something happens. Things can go wrong without notice, so you’ll always want a backup plan or something to have as proof in the event of a disaster. With a credit card, all you need to do is look back at your statement and you’ll find everything that you purchased in one easy to find location.

Credit cards are also much easier to handle and keep track of than cash. If you decide to go to a theme park or a resort, you’ll find that cash can be a bit bulky to handle. Carrying a large amount of cash can be hard to keep track of, even though it isn’t recommended. Credit cards use up less space, and you can keep them in your pocket.

When you need to pay for something, you don’t need to count through your cash, simply hand over your credit card and sign your receipt.

If you don’t have any credit cards, you can always get them for vacation purposes only. There are many benefits to having credit cards and there are special deals designed for vacationing, besides the fact of them being easier to keep track of. There are many different credit cards out there to choose from, including those that will give you cash back or rewards when you make a purchase. Cash back is normally a small percentage of what you spend, and is given to you at the end of the month. A great way to enhance your vacation experience!

Some credit cards will give you reward points for every dollar you spend, which can be redeemed with several merchants offering a variety of products. Although cash back is always a great thing, many people find reward cards to be just as good. You can enjoy your vacation, buy just about anything you want, and know that the money you spend will help you to buy other things that you may need when your vacation is over. Actually, can you think of this as having your cake and eating it to.

All in all, credit cards can make your vacation easier than ever before. You can earn rewards and cash back with purchases you make using your card. Although you may think cash is the preferred way to go, there are several merchants who actually prefer credit cards. They are more professional, and easier for you to handle than cash or checks.

They are easy to obtain as well, providing you have good credit. If you don’t have a credit card, you should look into getting one before you take your next vacation. All you need to do is look for your favorite company online and apply through their website - you’ll normally receive a response in a matter of minutes.

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5 Major Facts On Credit Card Identity Theft

What exactly is credit card identity theft, how is it used and how can you prevent it? In this article we will look at ten facts you need to know about credit card identity theft in order to better protect yourself and prevent the loss of substantial amounts of money.

The first fact that we want to look at is that for credit card identity theft to occur someone does not necessarily need to steal your credit card. Credit card identity theft occurs in one of three ways – they can steal your card, copy the details off your credit card or steal your PIN. In the last two cases you may not even realize that something is wrong until it is too late, you still have your credit card and so don’t realize that important information has actually already been extracted. The thief may have copied down your credit card information while you weren’t looking, or they may have just noticed you entering your PIN when you drew money from an ATM and made a note of it without you realizing it.

Secondly, credit card identity theft can occur through someone signing up for a credit card in your name. They will have obtained your details obviously through some method (maybe some mail stolen out of your postbox) and all they do is give a change of address, sign up for a new card and start spending on it. When they don’t pay it is you the credit card issuer will be contacting and you will suddenly find yourself faced with masses of debt that someone else has accumulated on their spending sprees.

No one is ever 100% secure from credit card identity theft. Unfortunately there will always be credit card identity theft and people who do this are very sneaky and know what they are doing. Also, the fact that identity theft may occur through simply through stealing mail you never know when this may happen. The best you can do is to put systems in place to help protect yourself and be ready to take action if anything should occur.

Another interesting fact is that currently most credit card identity theft is happening in stores and not over the internet. Many people feel that giving out your credit card details over the internet is insecure, but what they may not realize is that you are actually more likely to have your credit card details stolen in stores than over the internet. This does not mean that you should be careless with your details on the internet, but simply that you should be just as careful at stores.

Lastly, identity theft is one of the fastest growing crimes in the world. One of the categories of identity theft is credit card identity theft and as such it is important that you learn as much as you can about this subject and what you can do to protect yourself.

In conclusion, identity theft and credit card identity theft as a part of that, is one of the fastest growing crimes in the world. Credit card identity theft can occur in a number of ways and no one is ever 100% secure from being a victim of credit card identity theft. As such it is important that everyone learn as much as possible about this subject in order to be able to protect themselves.

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Auto Secrets - Is Gap Protection a Good Investment for my Car Loan?

Gap Protection is an amazing tool to minimize your financial risk if you wreck your car or it stolen.
Your regular auto insurance policy might not provide all the financial protection you need in the event the value of your car is less than the balance of your auto loan. Gap coverage is designed to cover the difference between the value of your car when it was lost and the balance of your car loan.

This is also called Negative Equity. Having to continue to pay off your car loan every month, when you don’t even have your car anymore is probably not what you had in mind when you bought it.

Let’s say you lost your car in a hurricane or other disaster, one year after you purchased your car: Now let’s say you still owe $20,000 on your auto loan and your deductible is $500. Let’s also say your car was worth $15,000 at the time you lost it. The insurance company pays you $14,500. Then your Negative Equity or Gap is $5,500.

Gap Protection isn’t really insurance, it’s a Debt Cancellation Agreement.  You could call it a waiver of the part of your auto loan contract that requires you to pay the difference between the value of your car and the amount still owed on your car loan. There are a few states that do consider Gap Protection a form of insurance, but most states do not.

Is Gap Protection for you? Talk to the person considering your auto loan. Car buyers who are putting little or no money down on a car may need Gap Protection. If you are transferring the balance of previous car loans into the current car loan or taking out an extended car loan like a 60 month loan you may need the extra protection. Any car buyer who will owe more than their car is worth needs Gap Protection.

You have to take figure out the expected depreciation on the car you are buying and the rate of equity accumulation through your auto loan. This will help you figure how big a gap you'll have and for how long.

Some lenders or leasing companies include the coverage in the agreement for the their own protection. This is common in lease contracts. The decision to buy gap coverage is easy. Deciding who to buy it from is much more difficult.

You can get Gap Coverage for your car loan from your Credit Union or another lender, online sellers of gap protection, or your auto insurance company. Each option is different, so read on before you decide on an option.

On the Internet, it’s easy to explore these options. You can go to your favorite search engine like google or yahoo and use the keywords “gap protection” or “auto loan gap coverage”. Make sure that you check out any company you find on the web before you give them your credit card information. You don’t want to end up with a provider that won’t be there to help you cover the gap in your car loan if something happens.

 Your Auto Insurance Carrier: Not all insurance companies carry gap protection for your car loan. Check with your agent. Check to see if they already included gap protection in your car loan and how much coverage they gave you. You may need more than they offer. The cost of gap protection is relative to the value of your car. The more expensive the car, the more it will cost, and the more coverage you need.

Also, very important to keep in mind. Your insurance company or other provider will continue to bill you for gap protection every month. It’s up to you to calculate and decide when you no longer need it. In other words you need to know when you will be out of the hole. You need to know when there is no longer a gap between the value of your car and the amount you owe on your car loan.

The Automobile Dealer or whoever gave you your car loan is another source for buying gap protection. This is done at the time you get your car loan so bring it up right away if you choose this option. Some lenders may let you purchase it later, but it’s best if you buy it when getting your loan. As soon as you drive the car off the lot, it becomes a used car.

The cost is normally a one-time charge, typically the same set price for all customers buying the same coverage. Buyers may roll the fee into the total loan amount and include it in the monthly loan payments. Dealerships usually do not have the best rate for gap protection. You may want to choose another option. The average price for gap protection through auto dealers is about $500. You may be able to get the same protection for your car loan through your credit union or bank for as low as $250.

A very cool tip: Make sure your gap protection also covers the deductible. Look for other features such as automobile replacement or money towards a new car in the event something happens. So don't let just price be your guide when choosing who to buy gap protection from and traditional auto insurance.

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Credit Card Debt Has Drastically Increased Over The Years-Find Out What You Should Do!

Unfortunately, throughout the years, more and more people are becoming victims of enormous credit card debts that they probably will never get paid off. It is a shame to know that so many people feel that they NEED so many things but realize the only way that they could possibly get those things is by using their credit cards, and they normally have plenty of them to choose from!

Credit card debt has increased drastically throughout the past several years and it does not look like many people are yet realizing just how bad this problem is. If you are struggling each month, trying to figure out how in the world you will ever have the ability to pay all of your credit card payments on time, then you should definitely continue reading this article.

It is very important for people to understand how dramatically credit card debt can affect your financial standing, or lack thereof. Credit card debt is one of the leading causes why an individual would end up having to file for bankruptcy or take out mortgage loans on their homes or other drastic things such as that. People become so caught up with trying to make purchases that are just not feasible, never considering how much it is going to cost them down the road, because of the enormous interest rates.

Start choosing to simply throw away all of those credit card offers that you get in your mail so regularly, trust me, you do not need anymore debt people! These credit card bills will continue adding up and the next thing you know, you are going to be skipping payments and when that does happen, be prepared for an outrageous monthly bill, which you know for sure there is no way you can afford it!

To all of you young adults that have not yet gotten in severe credit card debt yet, do not do it, do not let this endless cycle of unbelievably expensive debts take over your life. If you can start your adult life out without too many unnecessary debts, such as credit cards, your life is going to be much more enjoyable and much much less stressful.

Because of the fact that credit card debt has gotten so unbelievably out of hand, perhaps you could start a new trend and try staying clear from getting yourself into so much debt. So, start now by trying to focus on doing positive things to make your life easier and once you start achieving those goals, you are going to sleep much better at night and feel much more positive when it comes to every aspect of your life.

Be responsible for your actions and if you have gotten yourself into a tremendous amount of credit card debt, make those monthly payments or try working extra hours so that you can start doubling up your monthly payments or even paying some of them off completely.

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7 Tips: The Do's and Don'ts of Wealth Building

1. Don’t fall behind on ANY BILLS!

Finance charges, interest payments, getting discouraged about your finances… all problems that can occur if you let yourself fall behind. Whether it’s bills, credit cards, or student loan payments, falling behind can be a very difficult problem to come back from. The more you have to pay out in charges, the less you will have to invest in your future.

2. Set goals

If you don’t know where you are headed, how do you get there? In order to accumulate wealth you need a plan. Write out your goals, a way to achieve them, and you’ll be on your way to an early retirement.

3. Invest early

The greatest thing you can do to build wealth is start early. Even if you can’t invest much, start with what you can and let your money grow over time. As Albert Einstein said, “compound interest is the greatest mathematical discovery of all time.”

4. Invest in what you know

Whether you are looking to invest in real estate, stocks, or anything else, make sure you know how the investment works. The great Warren Buffett was often criticized for not investing in technology during the dot-com boom. His answer was simple. If you don’t know the business model, what the company does on a day to day basis, or how it generates revenue now, and in the future, then stay away from it. This principle can be applied to all types of investing.

5. Don’t do what the crowd is doing

When everyone is starting to get into an investment, that is generally when the smart investors are getting out. If everybody knows a stock is hot, or that their real estate market is booming, it generally indicates a bubble and that it’s time to cash out. Investors make money buying low and selling high. If an investment is hot and lots of money is flowing into it, you can’t buy low.

6. Don’t try get rich quick schemes

Don’t get greedy. This is easier said then done, but don’t try to gain too much too fast. Building wealth takes time and hard work… there is no easy way to get rich.

7. Save more and MORE

This is another one that sounds pretty basic, but can be difficult to achieve. Often times people want the instant gratification and go out and treat themselves. If you have some money burning a hole in your pocket at the end of the month, save it. Think about how nice it will be when that money is working for you rather than heading out shopping. You will meet the goals you've set and have a sense of knowing you are on the right track!

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6 Proven Wealth Building Strategies That Work!

Building wealth is as simple as saving a little bit here and a little bit there. You need not have great riches in order to accumulate wealth, but you need to have the drive, determination, and discipline to successfully increase your wealth. Let’s look at 6 proven wealth building strategies you can put to use today.

1. Pay Yourself First. If you do not set aside money before you start paying your bills, chances are you will never save any many after you pay these same bills. If your employer has a 401(k) or 403(b) plan, enroll in it and set up a reasonable percentage to invest. The money will come out before you see your paycheck, therefore the “loss” of discretionary income will be less noticeable to you. Maximize your contribution if you are able, especially if your employer matches your contribution.

2. Save Now. The earlier you start to save in your life, the more you will have later in life. Of course, if you aren’t able to save much until after your children are grown, you can step up your savings until you retire and still have a decent nest egg.

3. Get Rid of Debt. Even before you build up your savings it is best to get rid of your debt first before starting a wealth building campaign. If your credit card rate is 14% you will find it difficult to find any investment that gives you a return that exceeds that rate. It would be better for you to pay down your debt first and then implement an investment strategy.

4. Pick The Right Mortgage. If you plan on holding onto your home for a short period of time, select an adjustable rate mortgage as your rate will be lower than a fixed rate mortgage. Use the amount saved to pay down your mortgage quicker; refinance your home if rates begin to climb.

5. Build An Emergency Fund. Nothing wrecks the best laid plan more than an emergency, particularly one that costs you money. Set aside up to six months of your income to live on in case catastrophe hits. Without an emergency fund you will be tempted to take on debt, cash in your retirement accounts, and sell valuable investments. Try recovering quickly from this sort of hit to your wealth without an effective back up plan!

6. Protect Your Assets. You can have a healthy portfolio and see it disappear quickly if you are not properly insured. Make sure that your health/dental, homeowner, life, and disability insurance coverage is adequate to meet your needs. All it takes is one legal judgment against you to wipe out your assets.

Instance riches come to a few despite popular claims in the media, but most riches are realized after careful planning and effective management of your resources. You can properly prepare for the days ahead by implementing these six proven wealth building strategies today. Give yourself a gift and start making wealth building a priority!

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5 Fatal Mistakes We All Make That Drive Down Our Credit Scores

Most people don’t realize that they can drive down their credit scores even if they have a near-perfect record of paying their bills. The five classic mistakes you need to avoid are:

1. If you are applying for a mortgage, it is not always a good idea to pay off old collections, judgments or tax liens until the closing. (The exception is when the underwriting asks for these debts to be paid at your closing.)

When you pay these debts off before applying for a mortgage, they are treated and scored as new and recent accounts with delinquent activity. This drives your credit scores down.

2. Closing credit card accounts initially lowers your scores. Again, this is due to your action showing up as new and recent credit activity. Any new or recent activity will have an initial detrimental effect on your scores.

Of course, after you close inactive or unnecessary accounts the scores will eventually come up because you will have less credit or potential credit risk. But it may take months for this to occur. Unfortunately most people close superfluous accounts right before applying for a loan thinking that it will improve their scores. If you want to close these accounts, do so well in advance of applying for a loan.

3. Don’t keep high balances on credit cards and revolving debt. Maintaining balances under 30 percent of the available credit on each card can improve your scores. For example, if your available credit on a card is $1,000 keep the balance under $300. Also remember to pay off debt instead of moving it to other revolving accounts. Moving balances to zero- or low-interest credit cards can actually lower your scores.

Lured by credit card offers with low initial rates, many consumers move their credit card balances over and over again to keep their accounts at lower rates. This creates new activity on your credit report and lowers your scores.

4. Don’t apply for credit you don’t need. Many people are tempted by department store promotions offering them 10 percent to 20 percent off their purchases if they apply for a credit card. What may look like a great deal really isn’t because the new account will lower your credit scores.

Use credit cards wisely. Remember that someone who has a good credit card history is viewed more favorably by credit bureaus than someone who has no credit cards. To build an effective credit history, have a mix of installment credit (cars, furniture, etc) along with credit cards and mortgages.

5. Don’t assume the collection account, judgment or tax lien you paid has been reported to all three credit bureaus. Likewise if you close an account, don’t assume that has been reported to all three bureaus.

Unfortunately, agencies and creditors are quick to report you when you owe them money or have made a recent mistake. But they can be slow to report the final resolution to that account when you have paid them off. Collection agencies and the creditors that have sold your account to the collector are both extremely poor at reporting the account paid in full. If you have declared bankruptcy you need to be especially vigilant. Less that 50 percent of the accounts, collections and judgments discharged in a bankruptcy will show up on your credit reports after the completion of the bankruptcy.

It is your responsibility to make sure that all three bureaus have the most recent and accurate information about you. You can write to them or file online disputes with each individual bureau. Be sure to supply them with copies of paid receipts and any correspondence you may have to ensure that your record is recent and correct.

Chris Opfer is a 20-year veteran of the mortgage lending industry. He specializes in helping potential homeowners to get clarity in what is necessary for a loan approval to take place, especially where credit problems have existed. Bad credit and outstanding debt has kept many families locked out of homeownership and its simply un-necessary. Using these tips will make a difference in your ability to recover from credit issues.

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Living Within Your Means - What Do You REALLY OWN?

Pay what you owe, and you’ll know what is your own. ~Benjamin Franklin.  What a great quote to remember in a time when credit is at its highest. Credit is so easy to get, that many, especially young, people have gotten themselves into deep water with serious debt. There was a time in my life that I thought it was great to have anything that I wanted.

I learned from my Mother that during the depression, people would only buy things that they could pay for because so many people were going bankrupt. She said that people were losing their houses because they couldn’t even afford to pay the mortgages. Her generation was raised in a time of extreme desolation and held onto the knowledge and values that if you really needed something, you saved for it.

She has always told me, every time that I purchased something on credit, that I was paying for it  “over and over again”. I was enjoying something that I did not own but I was still making payments long after it’d become “OLD” and insignificant. Some people today buy merchandise, for example furniture, with no money down, no interest and no payments until later. The problem with that is the furniture is getting worn out before the last payment is made, so it’s like you’re "your living on borrowed money."

I finally understood what my Mother meant when I was filling out an application  to buy a house. It asked me to list my total worth. When I added up what I owed, to banks and credit card companies, my debt was in black and white for me to see. However, when I added up what we actually owned and added my income, my financial situation was in the red. When you calculate your net worth, you can see that all the stuff that you are buying on credit doesn’t count toward your financial worth, because you must take every creditor’s amount of payment from your financial total.

It became very obvious and upsetting to realize I had so much debt. The cars, activities, new clothes and trips took all my income and I had nothing left to save for my future. It’s because of this that I decided to quit buying things I WANTED and focused on saving for things I NEEDED. I began paying off debts and consolidating loans. It took a few years to actually get my debt down to a manageable amount that I could handle without carrying credit card balances.

Then I started looking toward the future, saving my money, rather than looking back at all the things I bought and gone into debt to own. I had begun to learn to live within my means. It is so important for parents to explain this to their children as my father did with the analogy of credit card debt to “paying for a dead horse”.

Many people today are in such great debt that bankruptcy is at its highest. Because many adult children want to immediately own what it took years for their parents to get, banks are making a fortune on the interest they make from loaning money. If bills can’t be paid on time, then additional charges are added and the debt starts to spiral out of control.

If more people would invest their money in their futures rather than throwing it away on intangibles today, there would be less debt. If people would buy the things they need and not just anything they want, they would be able to actually know what they own. As Benjamin Franklin said, “Pay what you owe, and you’ll know what is your own”.  People would buy what they could afford and needed and would know what they actually OWN.

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Money Saving Tips To Help You Retire A Millionaire

Money Saving Tips to help you Retire a Millionaire - Let's face it, when you're young, thinking about growing old is a scary thought. Will I have enough money to retire at an early age? Will I even have enough money to retire at all? Most Americans would love to retire at the standard age of 59 ½ or 65. But with the rising cost of everyday living, these targets are becoming harder and harder to hit. Increased Healthcare Costs, Rising Insurance Premiums, Housing Market Fluctuations, Energy Price Increases and Growing Medical Expenses are digging into savings that were once thought of as your nest egg. In order to retire comfortably, you must start saving at an early age. If you follow a few golden rules, you can possibly retire early and even be a millionaire.

For starters, it's imperative that you open an Individual Retirement Account (IRA) at an early age. How early? How about right out of High School! There are two types of IRA's that you should familiarize yourself with; the Standard IRA and Roth IRA. Both investments have their benefits and drawbacks that your accountant can go over with you. If you do not have an accountant ask your the financial manager of your local bank to guide you in the right direction. You can also do a quick Google search of these IRA's. The search results will give you an in depth look at how they work.

Once you have setup your IRA, a 401K Retirement Plan is a great way to invest your weekly earnings. Most large corporations offer a multitude of 401K plans to suit your needs. Some of these corporations even match your investment up to a certain dollar value. The maximum amount of money you can contribute to a 401K is 10% of your earnings. You might think this is too much but believe me, its not. After a while, you won't even realize its missing from your paycheck. In a few years, that 10% will compound itself into a nice nest egg.

Now that you have an IRA and a 401K, Debt Reduction is the next key element in striving for that early retirement. Reducing credit card debit should be your number one priority. Let's face it. Most Americans live in debt. My advice to you is, don't be one of them! Credit Card debit can consume a large chunk of the money you set aside each month for savings. With credit card interest rates as high as 21%, carrying a $1,000 balance can cost you hundreds of dollars each year if you just pay the minimum amount due. If you are holding credit card balances on multiple cards that amount to over $5,000, you should consider a Debit Consolidation Loan. Your local bank can offer advice on these types of loans or you can contact one of the Debt Consolidation Companies on the web to assist you. Just remember, when dealing with a Debt Consolidation company, they're in business to make money. Unfortunately, there are many unscrupulous companies that are not looking out for your best interest, so learn as much as you can about them before signing any papers. You can check the Better Business Bureau to see if they have any claims against them. If so, steer clear and look elsewhere.

Buy a House; Do Not Rent! I can't stress this enough. Renting an apartment is just throwing money away. When renting, you're making someone else a millionaire! Here is a little story for you. When my sister got married six years ago, she asked me for some advice on married life. Well, my advice to her wasn't about marriage at all. I told her to purchase a house instead of renting an apartment. She looked at me funny and said, "Well, we plan on renting for a little while to save up enough money to buy a house." I told her that if she chooses that route, I'll be visiting her in that same apartment five years from now. Sure enough, she chose to rent and is now stuck in that same apartment because she was throwing away $1200+ per month in rent for the past six years. She could have been making monthly mortgage payments that were building equity. I know it's not easy to purchase a home these days but do what ever you can to save up enough for that down payment. There are plenty of programs for first time home buyers that can assist you. You can consult your local bank about these programs.

Follow these tips and you will be well on your way to an early retirement. Start early enough and you might even be a millionaire a few times over!

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Building a Future that Lasts a Lifetime!

We are half way through the year 2013 and just like the year came in for many in depair, disbelief, frustration and anger; it can close the same the way.

What makes a YEAR like no other? Is it self reflection, giving of time and talents, educating the mind, travelling the world, getting in shape, or even changing habits just to name a few.

In my opinion and experience, all of the above would make any YEAR like nothing you have ever seen when its positioned with PURPOSE!

Everyday many American and those across the globe struggle with WHO they are, WHAT they WANT, and WHY they want it.

I decided very early in life that I would work HARDER than anyone I knew and WORK smarter than anyone I knew because my SUCCESS and FUTURE depended on it. I have paid the price for everything in a way that is unusual because I like to HELP people. My success is dependent on HOW many people I affect and HELP them get what they are believing for and deserve. I take that responsibility seriously and I am thankful to have the heart I do.

If I could give you and honest piece of advise and help you build and/or capture the next step, place or position for your future, I would truly consider this as personal developments and business model because its cutting-edge and will position YOU to go to the place you desire and as HOW high you want to go.

This is an exclusive opportunity for those seeking a BETTER way to earn a amazing living, without having to know everything about being in business or even being in business online. Its not about having perfect credit or even having perfect anything!

It is about being on PURPOSE and designing your life to LIVE and EARN!

Take a test drive, YOUR worth it!

http://autorecruitingplatform.com/senojalexis

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