Changes to Calculating Credit Scores Pending in Congress

We can see how this will help most, but it will hurt some. 

More - Money Mistakes to Avoid in Your 20s

Tips for Cutting Back Credit Card Spending

Three tips for cutting back spending on your credit card.

Fix it for Free

There's nothing cheaper than free.  Learn how to get help fixing things for free.  Fixya's a pretty cool website.  They cover auto repair, cell phone  repair, even children's toys.   

Downsizing Your Home to Save $$

"Rightsizing" was the trend just as the house market started to crash.  Though retirees continue rightsizing, it's still not a bad option for younger homeowners.  Cutting back on overhead can be profitable for a lot of people.

An Answer to the Higher Education Bubble . . . the Internet?

With the costs of college skyrocketing, students are beginning to look elsewhere. 

1 in 10 Admit Secret Credit Card Purchases Played a Role in Their Divorce

Family finances play a big role in a relationship.  Managing the family purse strings should be a team effort.  Often, though, dishonestly about finances is a symptom of other issues. 

If You Feel Like You're Working Harder For Less . . .

it's cause you are.

Automaker Relying More on Subprime Loans

"[GM] is relying increasingly on subprime loans [to have their cars financed], 10-Q financial reports show."  If your FICO score is close to or below 660, be cautious about what you're buying and your loan agreement.  We've seen this story play out before and the individual doesn't win when the market tanks.  Be money conscious and contact each of the credit rating agencies (Experian, TransUnion and Equifax) for a free copy of your credit report.  You may also contact freecreditreport.com for a report, but it's only free if you cancel before the 7-day free trial ends.  Otherwise, you're charged $19.99 monthly

US Car Sales Growth May Continue Through 2014

Car sales have started to improve.  Estimations expect this to continue through 2014 due to the age of the average car on the road being about 11.4 years old and about 500,000 more car leases set to expire this year over last.  If you're in the market for a new car/new-to-you car or will be, pay attention and prepare yourself to make the right decision for your finances.    

The New Normal

MarketWatch has a story on the Employee Benefit Research Institute’s latest study that suggests that the current, standard age of retirement is going the way to of the dodo bird.  We had to see this coming.  With the average life expectancy of both men and women increasing over the years, men current at 76 years old and women at 81 years old, living on a combination of government assistance that’s dwindling and personal savings that getting harder and harder to accumulate, it’s no wonder.  What is a Money Conscience person supposed to do?

There are several weapons in our arsenal, but they revolve around two factors: saving more and spending less.  Yuck!  That doesn’t sound fun.  Do not fret.  It’s not as bad as it sounds. 

First and foremost, set your savings aside before you budget any of your spending for the month, pay period, week or whatever regular interval you budget your money.  This is most ideally done by your employer portioning a set amount of money to be put into your retirement savings plan.  This way you don’t see and can’t get to it. 

Next, cut back on dining out and cook at home, whether with friends or family.  Stop spending $50 to go to the movies, but rather stream a movie from Netflix at home.  Netflix’s streaming plan is $8 a month now and there are thousands of movies from which to choose.  Go to the grocery store with a grocery list and a menu already created for the week and stick to it.  This helps make sure you don’t waste food and make rash purchases that you and your family don’t really need.  This summer, plan a staycation.  There are numerous websites that highlight free or relatively cheap events in your local area.  Take advantage of this.  Drive strategically.  This mean car pooling when we can, mapping out our routes when running errands so we don’t back track or so we’re not running out for only one reason.  Finally, consider the “Not So Expensive” (NSE).  These are the non-name brand items that are just as good as name brand, they’re the Yellow Tails of the world. 

With any money we have left over from practicing some, all or more of these money saving ideas, set aside in a Roth IRA, increase your company sponsored retirement plan savings or set aside in a brokerage account.  In all accounts, invest wisely, considering your time horizon, risk tolerance and your short and long-term financial goals. 

MarketWatch

The Fed Gives the Rich a Long Needed Wake Up Call

During the Great Depression our federal government came up with the great idea that helping individuals buy a home would be a boost to the economy and put people back to work. It was a nice gesture and maybe had its place and time seventy years ago, but what happened to it all? Politicians got a hold of it, is what happened. What started out as “an affirmative obligation to facilitate the financing of affordable housing for low-income and moderate-income families” turned into backing mortgages for homes to the price of $729,750.

Really? I mean really in a Seth Myers SNL kind of really. Not even in California or New York is a $730k home for the “low-income and moderate income-families.” This is actually something that the Democrats and Republicans seem to finally agree upon. Yes, it’s true, even our elected officials who pander to the power brokers agree that you and me, tax payer should not be on the line for someone who wants to buy a house three times the national average.

Of course we will hear the complaints of poor rich home owner, there is no one to back my mortgage and the snowball will roll down hill to those of us who bought much much lower priced houses, but that’s a lot of snow and a pretty big hill.

It is nice to see someone say enough is enough, people have to take responsibility for what they buy and maybe just maybe, be Money Conscious; know what they can afford and buy what they can afford.

Federal Retreat on Bigger Loans Rattles Housing

Our Mission

To help each person become Money Conscious resulting in eliminating their debt, living a debt free life and empowering them to achieve financial success by virtue of the universal principles discovered by us through our own financial mistakes, victories and professional training.