The Truth Behind Black Friday and Cyber Monday

From “Freaky Friday” to “Manic Monday” (otherwise known as “Black Friday” and “Cyber Monday”), we are inundated with reports that tell us how incredibly important those days are for the recovery of our economy. This last month of the year could make up for a year dripping with red ink.Have you caught the “fever” yet? Are you in a buying frenzy because you fear there will be a scarcity of the products you hope to purchase? Are you terrified that the greatest sale in history will evaporate before your very eyes if you don’t buy that “something” this very minute? Can you resist these “sales of the century” without a guilty conscience? After all, you might save your family a buck or two!Does your heart throb at the sound of the cash register, the click-click of the credit card machine, the whooshing sound of money diving out of the ATM?Welcome to the wacky world of Christmas shopping. Within nano seconds, Halloween items were purged from retail shelves and immediately replaced with Christmas merchandise. Retailers collectively by-passed the bland Thanksgiving (translation: non-gift giving) holiday for the lucrative (hopefully) Christmas holiday.Black Friday signifies more than the end of the useless Thanksgiving holiday, which only benefits restaurants and supermarkets, it represents the last hope for retailers to recover from a year of lackluster sales from an economy plagued by a prolonged recession and high unemployment. It is do or die time. Literally. You could almost hear the retail mantra throughout the land…”Forget that worthless Thanksgiving holiday, the real money is in Christmas.”Gifts, parties, new electronic toy launches, corporate bonuses (or not), the competition was palpable on Black Friday. The stores parlayed for the best starting times: 5:00 am, 4:00 am, 3:00 am, and the winner was -12:01 am. Why wait one minute longer than necessary?One only had to look at the recap of the news on “Black Friday” night to wonder, “What recession? What unemployment? What credit card crisis?” To paraphrase Mr. Shakespeare, “The pay’s the thing.” And so, the games began with the roar of a crowd of desperate shoppers seeking deep discounts and once-in-a-lifetime bargains. The pressure to “buy” and “buy right now” will be kept on the vulnerable consumer until the end of January, when the after-Christmas sales offer “deals too good to refuse.” Deals that will never again, in this century, ever be repeated.Can you bear the heat? Will you break open your piggy banks? “Borrow” from your kids’ college funds?The clock is ticking…do you know where your wallet is?5 things to remember before you whip out your credit or debit card:1. The sales will increase exponentially until Christmas Eve, and will escalate even further after Christmas.2. There is no scarcity of products. This is an effective marketing technique and has no basis in reality.3. Avoid the “mob mentality.” In other words, if you are standing with a crowd while you wait for the doors to your favorite store to open, you will get swept up in the buying frenzy. Remember, there will be more than one iPod on this planet for you to purchase at a great price. The mob will run over you and/or knock you out to snatch a desired item from your hands.4. Do not buy with your emotions. Prepare a list of gifts you hope to purchase.5. Do not buy something just because you think it’s a good deal. Have a budget and stick to it.

Know More About Government Credit Card Debt Consolidation Loans

A high number of Americans dealing with debts as a result of the high interest in terms of credit cards debt and others should consider applying for the government credit card debt consolidation loan. These debt relief programs sponsored by the government and those provided by the private consolidation companies can help any consumer to reduce their payments per month as well as reduce the interest rates charged on the loan. This will allow the consumer to have an easier task in working towards paying off their debts and living a debt free life.The Obama administration has approved the economic stimulus program worth millions of dollars, set to help Americans from all works of life. The government credit card debt consolidation is one of the Important pillars in the plan to help In the elimination of the consumer debt which is one of the causes of the economic meltdown experienced in the last two or three years. The consumer should fill out an online application form in order to determine if they are eligible for the federal or free private debt relief program. They will be provided with the information on each debt relief program and the amount of money they will be saving monthly or yearly within the amortization period.redit card debt consolidation eliminated the consumers’ current high interest debts, replacing them with a low interest consolidation loan. The loan is custom made as per the consumers financial situation and the will benefit from peace of mind as they will be making a single monthly payment that is consistent.They will also be in a position to pay off their credit card debts faster and easier thus reducing the chances of defaulting- a huge benefit to the credit card companies and lenders through out the country. It is a win-win situation for all the parties involved and it is an important part in recovery of the economy.

Good, Bad and Ugly of Unsecured Credit Card Debt Consolidation Loans

If you’re carrying balances on several credit cards, you might be considering a debt consolidation loan. If you don’t own real estate your options are limited to unsecured consolidation loans.There are two reasons to consider doing a loan like this. First is to get better terms than you have on your credit cards. Second is to make managing your debt repayment more convenient. The theory is that the loan pays off your cards and when you’ve paid off the loan, you’re out of debt.Debt consolidation loans are typically not for someone who is in trouble and drowning in debt. If your debt situation as gotten to this point you are unlikely going to be approved for any kind of additional credit and you will be better off with another type of credit card debt consolidation program.Unsecured debt consolidation loans depend on you having outstanding credit and sufficient income to support the loan. Let’s say you owe $18,000 in credit card debt. You’re making the monthly payments but it’s a hassle to make six credit card payments each month. Let’s also assume that you can obtain an unsecured loan at lower interest than the majority of your credit card interest rates. You take out a loan for $18,000 and pay it off in 48 or 60 months. Sounds good. You go from making six payments each month down to one. Your payment is a little lower and with the lower interest rate you’ll theoretically get out of debt faster. That all sounds great in theory. In practice it doesn’t really work out as well.The first problem is that this type of lending is loaded with scam artists, hidden fees and a relatively high cost to take out the loan. No one lends money for free. Debt consolidation loans are high risk loans for reasons discussed below. Therefore lenders are going to charge as much in fees as they can get away with. Those fees are often rolled into the loan. If you want to have $18,000 to pay off your credit cards, you may have to take out for several hundred dollars more to cover the costs of the loan.You have to beware of illegal operations out there that offer “debt consolidation loans” to people with bad credit. They will illegally demand an up front fee at the time they take your application. If you are ever asked for money in advance for a debt consolidation loan or any other type of loan, do not pay it. Just walk out the door. You’re dealing with a scam artist.Here’s the ugly truth about debt consolidation loans (secured or unsecured) – they almost always backfire. You can get a great loan with great terms and pay off your credit cards with it and then have it backfire on you later. How? Using our previous example of $18,000 in credit card debt, you would have a $18,000 to $20,000 debt consolidation loan and $18,000 in available credit that was feed up when the cards were paid off. That’s $18,000 in credit that you can use any time you want. There is nothing to prevent you from racking up another $18,000 in debt before you pay off the consolidation loan. The ugly truth is that most people who get debt consolidation loans do exactly that, ending up in a hole that may be twice as deep as the one they were trying to crawl out of. You simply can not borrow your way out of debt. Ever. It does not work.Debt consolidation loans are a bad idea if they are looked at as a way to “get out of debt.” They rarely achieve that result. You can’t borrow your way out of debt. Debt consolidation loans transfer the debt to a different creditor with better terms, nothing more.

Free Government Debt Consolidation Loans – Can Obama’s Federal Bailouts Remove Credit Card Debt?

The economic strains are all over the world and the people of America just like any other persons are going through difficult financial times. The most affected people are those who have debts that may involve student loans, hospital bills and even those with credit card debts. The realization of being in need of help will make an individual determine which government consolidation will be most beneficial to him. The choice of consolidation program depends on the eligibility of the person.The setting aside of money by President Obama ensures that there exist different debt consolidation programs that can be used by even average citizens to improve on their financial status. Even though the money has been availed, majority of the American people are not aware of this existence. The programs aim at reducing the rates of interests, which will in turn reduce one’s debts and hence making it easier for one in paying the debts. The lowering of default rates also creates an ideal situation for both the creditors and the persons credited.The use of government consolidation plan offers a number of benefits. First the interest rates are lowered and the payments are made into smaller and manageable slots for comfortable payment. Another benefit is that the person in debt will have only one monthly payment to make. And finally, with this kind of program one does not need to put up with collateral.The only thing one needs to do is find programs that will consider the person eligible for application and then make calculations of how much can be saved through them on a monthly basis. If not sure of which program will suit you best then consulting with a debt relief agent will help. This can be done for free and at the end of it all you will be on the high way to eliminating your debts.

Credit Card Debt Consolidation Advice – How To Combine Credit Card Debt For One Easy Payment

You should always seek credit card debt consolidation advice before making such a big decision. For some it can be a great option to lower interest rates and pay back debt more efficiently but for others it can lead to more financial difficulty. So does this debt relief option make financial sense for you?Credit card debt consolidation allows consumers and small businesses to combine all their credit card balances into one monthly payment. The benefit for debt consolidation is the lower interest rate. You get get a significantly better interest rate however you will have to secure your new consolidation loan with a secured asset. This will typically be a house or other large asset that is worth more than the valued of the consolidation loan.This can be a great way to pay back credit card debt more efficiently at a lower interest rate. Just a few points in lower interest rates can result in thousands of dollars in savings over the course of the payback period. However, you must be confident that you can make the monthly payment throughout the course of the loan because if you default on the loan you could end up losing your house or other secured asset.If you are struggling to pay credit card bills and are experiencing a financial hardship then you might want to consider debt settlement over debt consolidation. Debt settlement allows consumers and small businesses to eliminate 40-60% of their unsecured debt and pay back the other percentage in one lump sum or monthly installments. Debt settlement is only intended for individuals on the verge of bankruptcy that have at least $10,000 in unsecured debt.

3 Disadvantages of Credit Card Debt Consolidation

If you have many bills and are constantly being stressed out not knowing how much you owe or if you are going to pay on time then debt consolidation is something that could work for you. Before you consider getting an unsecured credit card debt consolidation loan here are a few disadvantages you should know about.First because the loan is unsecured, in many cases the amount the credit card company is willing to loan will be a lot lower than it would be with a secured loan with collateral. The loan amount could increase over time with consistent payments but be aware that with an unsecured loan the amount they are willing to lend you could be a lot less than you are looking for.Second, there is more risk with an unsecured loan because all it is, is a promise to pay. These loans accompany higher interest rates because they are riskier than secured loans. Also, in some cases if your credit score is mediocre you won’t even be able to get an unsecured loan.Third, although you are attempting to do the right thing by consolidating your debt and get back to a level playing field there will be a credit card company with information about you. Be prepared for many, many more letters and phone calls from telemarketers offering you services. It just goes hand and hand with dealing with them. You can look on the bright side though, once you get a loan to consolidate your debt the other debt collectors will not be calling you harassing you for their money. You only have to worry about the one lump payment.Your bank will likely recommend you to a particular credit card company for you to work with. My advice is to get free quotes from all of the major providers and see who gives you the best deal. If a deal sounds too good to be true, it probably is. A good rule of thumb is to stick with the providers you know about and have been around for a long time.Your bills can be consolidated into one very manageable payment each month with debt consolidation. An unsecured loan may not give you the best interest rates but with this type of loan you do not have to sign over any of your personal assets such as your house in order to get a loan. Your home will never be at risk from a consolidation loan with an unsecured loan.

Student Loan Consolidation For Undergraduates

If you are currently an undergraduate, you might be thinking that you have lots of time left before you have to start worrying about how you are going to pay off all of the student loans you have taken out to pay for educational expenses. This simply is not true. Get a family member to look into student loan consolidation if you can’t because you can benefit quite a bit if you choose to start eliminating your debt before you ever graduate.Something to RememberIt is very important that you understand and remember that federal and private loans cannot be consolidated together. Since they are wholly different from one another they must be consolidated separately. If any loan consolidator you speak with claims that the two loan types can be consolidated, it would be best to speak to someone else who knows more about the consolidation process.Where to Find AssistanceFor individuals who have obtained all of their student loans from the same source, speaking to that source about consolidation options would be an intelligent first step in the consolidation process. Your creditor might have a consolidation program set up already. Even if they do not handle student loan consolidation themselves, they will no doubt be able to direct you to a different company that can help you.Federal student loans should be consolidated by contacting the state or federal program that the loans came from. The financial aid office at your school can help you get information on these loans. Remember that some federal student loans cannot be consolidated by undergraduates.Look OnlineThe number of financial institutions on the Internet that would love to help you consolidate your student loans is simply staggering. In order to sort through all such companies you will need to take your time and look for some specific details, such as:Will you have to pay in order to apply?
Can consolidations be deducted from my taxes?
Is the interest rate on the loan flexible or fixed?
Does the loan require a co-signer?Other Things to RememberNot all financial institutions have the same rules about how student loans are consolidated for undergraduates. That means that, in order to understand everything clearly, you should ask someone you trust to help you read the fine print on all applications. Filling out student loan consolidation applications will give you great real world experience.Some of the consolidation loans available can only be taken out by American citizens, while others require an employed parent to be a co-signer on the loan. Keep in mind that it is normal for these applications to ask you for private information.

Consolidating Credit Card Debt with a Home Equity Loan

A Home Equity Loan is a type of revolving line of credit or loan based on the equity in the mortgager’s property. The property is the collateral for the loan, and it can be usable for any purpose, although most of the time it is used to consolidate credit card debt in order to obtain debt relief. This is made by allowing the mortgager to borrow against the equity of the property, up to 100 percent.There are two different types of home equity loans commonly used for debt consolidation: the standard home equity loan, and the equity line of credit. A Standard home equity loan is usually referred to as a second mortgage installment loan, a term loan, or a closed-end loan. As occurs with credit card debt, borrower and lender arrange a payment agreement.Standard home equity loans grant an amount of money loaned in a lump sum for a particular time, and guaranteed by your home. Debt relief is achieved by lowering the interest rate after consolidating your credit card debt, considering the fact that the home equity line of credit taken to replace funds up to a maximum amount, may go as high as 125 percent of the appraised value of your property.Understanding your credit card debt allows you to pay into your properly built-up equity. Such equity is the value resulting from the difference between the amount your property could be sold for, and the amount that you still owe to the lender. Additionally, when your debt runs up without knowing exactly how, a home equity loan is also handy for debt relief.In fact, many people discover that their credit card debt is out of control when they get their monthly bank statement. Common purchases, payment of services and occasionally getaways or dining out can bring your balance over-the-limit fees. However, debt consolidation may save the situation by rolling that debt into a home equity loan.Consolidation is easier when you are planning to refinance your first mortgage, and the prime rate is below the average rate charged on the typical 30-year fixed mortgages. Debt relief by tapping your home equity is usually cheaper than get a home equity line of credit, and cost thousands of dollars less in closing costs.Furthermore, debt consolidation with a home equity loan has the additional benefit of the rates and alleviating your credit card debt. Because interest and fees on these loans are generally lower than any first mortgage, and a Home Equity loan is the right solution for you when you are not able to find debt relief affording a 5-year or 10-year repayment loan schedule.

Debt Consolidation – The Pros and Cons of Debt Consolidation

These days, the process of obtaining credit has become quite hassle free and thus some people end up taking loans that they eventually cannot pay up. Since the number of people who are finding it difficult to repay their debts has increased, the number of agencies helping people to deal with their liabilities has also increased. Legislators are also doing their bit by trying to make laws that prevent people from opting for the wrong loans.If you are in situation where you are finding it impossible to deal with all your liabilities, you can neither waste time doing nothing about the problem because it will only aggravate with time nor can you take a hasty decision that will ruin you financially. The thing that you must avoid as far as possible is declaring yourself broke. If you do this, then you will find it extremely difficult to get a loan for the next seven years. Some people feel that they will not face a situation where they will have to take a loan for seven years if all their liabilities are liquidated.However, one never knows what the future holds. Incidents like accidents and medical emergencies arrive unannounced. If such an event does take place, you will have to run from pillar to post to procure money because most mainstream lenders will not be willing to give you the money. Only cutthroat creditors will give you the money by making you agree to punishing terms and conditions. Thus you must think very carefully before going for bankruptcy.One popular option for people who want to avoid bankruptcy is debt consolidation. This is simply the replacement of one or more loans with one ‘consolidated’ loan. This alternative is viable in cases where a lender can be convinced to provide terms that are softer than the terms of the older liabilities. However, lenders are not always willing to do this favor to the borrower and usually get the lender to agree to terms that are only marginally better. In return, the creditor gets to earn interest for years.If you want to get rid of your debts once and for all, you should opt for debt settlement. This is better that debt consolidation because in this case the borrower actually pays less than what he or she owes the lender by remitting a lump sum amount. Lenders agree to this because they can reduce the chances of losing more if a borrower declares himself to be broke.

Free Government Debt Consolidation Loans – Federal Bailout Money to Reduce Your Credit Card Debt

Are you addicted to your credit card? If you are, I only have one warning for you-stop before the debts become unmanageable! This would be the worst problem ever and can cause physical, mental and psychological meltdown. In some cases, it may result to you having to lose some of your most valued assets. Thanks to the Obama administration, you can never go to such extremes. They have initiated a program that seeks to help those facing such problems. In no time, you may have all of your debts restructured and repaid. If this is to happen, you can be sure that all of your stress will forgotten and over.The government has her agents on the web who have undergone professional training. They help by giving the best advice to the victims and avail them with alternative options of dealing with the problem. The internet based government agents discuss with the debtors their current financial problems and give them logical measures to deal with it. The consolidation plans can for instance help you repay the debts on monthly basis which will be much easier to handle. The agent will help you in dealing with all this. The creditors will however be repaid the remaining balance. Negotiation regarding the balance can still be negotiated upon to be lessened. The government agents are employed to save financially struggling citizens to adopt the best financial alternatives and help them to repay the owned debts.The most common, popular and rewarding government service for debt relief is the Direct Loan Consolidation, or DOE. The program was set up in 2009 as an act-The American Recovery Reinvestment Act. It consolidates as well as eliminates large debts incurred by the credit card or mortgage debts. It relieves people who owe debts to several creditors. The program settles debts and negotiates a plan with a lower interest rate. Low interest rates offered helps the debtors repay the money owned to the creditors more easily. In no time, your financial burden will be over and will be free from any other creditors’ debt. The program also benefits in increasing the FICO credit store. This saves you a lot of money and lowers the interest rates as well. Your current status and your future will hence be back on track. The credit cards you use and loans got will also be offered at a lower rate.