Obama to take on Credit Cards?

Pretty Places Obama is from

That would be awesome!  If he could do something before 2010 like Congress is!  These problems are happening now-problems like credit limits being lowered, interest rates being raised and all the other dirty tricks they’ve been playing.  It would be great if some help could happen sooner rather than later since this is when families need the credit and help more than ever.

Metro – Obama to end credit card rates free-for-all.

Credit Card Co. Changing the Rules on You? Freeze it!

There have been a lot of people talking about this-credit card companies have been dropping credit limits because they are fearful that people won’t be able to pay back so much debt (ya think?) and the next black eye is that they are now increasing interest rates because balances are too high…BECAUSE they reduced the credit limit!  If this is happening to you, sometimes the best thing to do is freeze the account and just start paying it down.  It’s not CLOSING the card-just FREEZING it so it doesn’t hurt your credit score.  It’s a win-win.

Credit Cards: Hit With A Credit Card Rate Hike? Try Freezing The Account.

Suze Changes Her Mind

Jump off a cliffIt seems like Suze Orman has been telling the masses 4evah to pay down credit cards and THEN work on building up your savings.  Sound advice…usually…except that the recent credit crunch has credit card companies changing their ways.  Suze’s advice was based on people being able to use some of their newly freed up credit as part of their emergency fund…But times have changed and now credit card companies are slashing credit limits and closing cards left and right even if you’ve always been on time and have done everything right. So Suze has changed her tune.  NOW she says you should pay your minimum payment and put EVERYTHING else towards an 8 month emergency fund. Once you’ve reached your 8 month savings goal, THEN you can make paying your credit cards your number one priority again…start with the highest interest rate, put a little more towards that one…then when you’re done with that one, roll what you were paying per month towards that card onto the next and so on.

I’m happy to see she’s reversed her stance.  It is an interesting and subtle change but it can make all the difference in the world for people in crisis.  I have LOADS of student loan debt and if I hadn’t put some savings away, I’d be up shits creek sans paddle right now.  And don’t forget-you can’t always count on unemployment…there are a number of factors that could exclude you from unemployment benefits.  Unemployment benefits differ from state to state so check your local benefits office to find out what you need to do to qualify.

The Suze Scoop from Suze Orman.

It usually is just as simple as picking up the phone…

I ❤ Domo

Reducing the interest rates on your credit cards can often be as simple as making a phone call and repeating this simple script!  But do it BEFORE you get laid off…as soon as you stop earning income, most credit card companies stop negotiating and start getting as nervous about recovering what you owe them as you are about having just lost your job.  So do be sure to make the phone call before the shit hits the fan.  Even if you don’t carry a balance, it’s a good idea to get them to reduce your interest rate so it doesn’t burn you in the future.

Credit Cards: Make a Phone Call that Lowers Your Credit Card Rate.

100-Person Poll on Credit-Card Debt — New York Magazine

 

 

Polls like this are always interesting and, typically, make me feel a little better about myself 😀  I’m shallow…but you should know that by now.  With the exception if the loan question (I’m totally going to be paying off my lovely law school education for the rest of my days), I’m feeling pretty good.  

100-Person Poll on Credit-Card Debt — New York Magazine .