Fees, Fees, Fees - they just keep crashing in

Below are some wonderful ideas from my business associate, Ms. Elaine Kwoh. She has some great suggestions on how we all can save some money by reducing or eliminating those nasty fees.

If you can, help us out and add to our list below. Thanks so much!

Do you realize how much you are really paying in fees?

1) 411 - For free directory assistance try 1-800-FREE 411 or 1-800-GOOG-411. You can even text the business name and location to GOOGLE (466453) on your cell phone.

2) Credit Cards - If you must have a credit card, you really should not have to pay any annual membership fees. There are plenty of cards out there that do not charge. Shop around. Are balance transfers really worth it if the credit card company typically charges 5% up front? Pay your bill on time to avoid any late fees.

3) Free Checking - You really shouldn't have to pay for a checking account. It is getting harder to find free checking accounts but they are out there. Do a little research and check out your community banks.

4) Insurance - You should never pay a brokerage fee. Insurance agents should earn your business by providing you honest quotes. Quotes are free.

5) Online Trading and Investing – T. Rowe Price and Fidelity are two excellent companies with very little fees. For example, T. Rowe Price let’s you start with just $50.00 a month in numerous investments, funds, etc. Great way to get investing, save money for retirement and without paying those ridiculous fees.

6) Internet – Starbucks is FREE! Maybe consider dropping the payment and fees and grab a cup of mojo and some free Internet access. Think of how much you will have more at the end of the year. This can really add up.

****We would love to hear your thoughts??? Please comment and add to the list!

We all can benefit from coming up with ways to save money during these challenging times…so please…comment below and add the ways we all can save by reducing our fees.

7)

~ Elaine Kwoh, Elaine.servpro@gmail.com
SERVPRO of San Clemente/San Juan Capistrano
Flood/Fire/Water/Mold
24 HR: 949-366-0293
Cell: 714-321-0291
www.ServproOfSanClemente.com
www.facebook.com/SERVPROofSanClemente

Do you need Good Credit? Not if Cash is King.

If you are paying by cash…straight up…than you may not necessarily need good credit.

Cash is KING!

If you can live a life of “cash only” and not be dependent upon credit cards and avoid purchasing everything on credit and have the discipline to save up for things you want to buy… use cash only…then might not need good credit. If you can pay for your car outright, pay for your home outright or at least have a large down payment, you may be one of few in our recent generation that doesn’t need good credit because you don’t need it. You pay for things by cash.

My grandparent’s generation never had credit cards. They saved their money when they wanted to buy something. If they could not afford it…they didn’t buy it. It was that simple. Maybe this is why they were called the greatest generation. They lived in their means, planned things out, and didn’t go overboard.

Unfortunately…from the boomers and beyond we have successfully brainwashed ourselves to thinking we must buy everything on a credit card. We cannot wait and save for something we want. “I want it and I want it now daddy!” the girl cried in Charlie in the Chocolate Factory. Are we this kid? Is this our generation?

Have we been taught not to budget, not to save, not to appreciate what we truly have? We can no longer wait and save up for something. We need it now. The problem with this is it leads us down the rabbit hole. Our lives grow desperate for wanting the next must have item. We are consumed with debt and the hole gets deeper with each passing purchase. Is it really worth it? Can we strive to live like our grandparents did?

I encourage all of us…including myself…to pay by cash and get off this addiction of using credit cards.

The author David Bach from the #1 bestselling author of The Automatic Millionaire has some awesome suggestions on how to save. Also, I would recommend his other book… Start Late, Finish Rich….for anyone who is looking for ways to invest, save money, and enjoy life, even if you are starting late…or starting over. I highly recommend his books.

***If you must use a credit card or some form of credit...Than absolutely you should have good credit because otherwise you will get hit with heavy interest rates and pay much more compared with someone who has an excellent credit rating.

Someone with bad credit will pay A LOT more than someone who has a high credit score.

See posting for details on How Much does a Low FICO Score Cost You? http://gettingbackmycredit.blogspot.com/2010/09/how-much-does-low-fico-score-cost-you.html

Things To Do On A Low Budget - Enjoy The Day

What are your favorite things to do on a tight budget with your spouse or special friend?

I listed a few ideas on ways to still have fun with your partner with very little money but still have some fun and enjoy each other’s company. If you can, please add to my list.

I would love to hear your ideas. This can help us all enjoy life a little more and help our wallets at the same time.

- Share an appetizer and a salad at your local restaurant. For very little cost, the two of you can split a dish, share a drink, and enjoy an afternoon lunch together.

- Take a stroll in your local park. There are a lot of waterscapes, country sides, cityscapes to take a walk together. Let's not forget our national and historic parks.

- Single? Take a jog or walk in your area. See if there is a local walking club or bike club to join. These activities are usually free and a great way to meet people and just have fun.

- Local museums. Great to go see whether you are single or with someone. Many local museums are free of charge and the larger ones usually don’t cost too much.

- Let’s not forget renting movies. Now, at your local grocery stores, offers movies to rent for only $1.00. This is a great way to see some recent movies without those high charges.

- Reading!!! Go to a local park and lay down a blanket and read a great book! Wonderful way to relax and get out for zero cost. Or go to a coffee shop or a local tea shop. There are many great places in your area to read books and magazines and enjoy the day.

- Saving Tip - you can put money away each week into a glass jar and slowly save up for those special nights out. You will be surprised on how extra change and a few dollars here and there can start to add up.

- What do you like to do with your spouse on a low budget? Love to hear your comments and add to this list.

- Single? Same thing. Love to hear your ideas on how you save money and still enjoy going out with your friends.

- Do you live where it is cold?  Ice skating is fun! Build a snow man? Also, during bad weather you can take a walk in your local indoor strip mall.

- Indoors? Bowling is always an all time favorite. If you have not gone in a while...try it again!

- Also Indoor Board Games. There are so many new games out there too. And don't forget the classics.

- Invite some friends over and have everyone bring a dish / Potluck. For those guests who don't like to cook, have them bring a bottle of wine. Now the party is ready!

- What Our Your Suggestions?

2011 - take action and make it a fantastic year

Do you want a fantastic 2011???

Then you MUST not slack off this October, November, and December!

This is the time to STEP IT UP. Seriously, if you want your 2011 year to take off, improve, ramp up, or doing as Rock Port suggests… “Put Your Best Foot Forward”…. Then we all need to pick up the pace, not slow it down.

We need to take action! If you have not written your 2011 business plan, action plan, goals, etc. you should start that today!

I really think it is being “proactive” by all of us that will turn this economy around. I say “proactive” and not optimistic. Without “action” then being optimistic is simply wishful thinking.
I try and make measurable action steps to take to achieve my goals.

For example…

The number of phone calls I need to make today to potential prospects. How many hours will I devote in the morning to prospecting new clients?
What is the amount of emails I will send out today?
Can I write something new to my blog? Or can I send out an older post and “refresh” it again.

Who are my referrals? Who can I contact and see if I can create some forward movement. Don’t forget about your team. How can you best help one another to achieve your goals?

I can post something on LinkedIn…or I can post something on Facebook. What about other social media?

What books can I go out and buy today to enhance my skills? What value do I bring? How can I increase my value???
A great book on socail media is “InBound Marketing” by Brian Halligan and Dharmesh Shah. Another suggested book is “Buzzmarketing” by Mark Hughes. I suggest these 2 books because one, they have great ideas! And 2…they have ideas that run on creativity and using your head not spending your hard earned money! “You can’t have a monopoly on creativity” Mark Hughes.

The point is to keep pushing yourself and see what action can be done to keep moving forward. Again, if we don’t take any action then nothing new is going to happen.

"Success and rest don’t sleep together."

So take action today, decide on your goals, keep pushing forward, and make 2011 a fantastic one!

Together with action we can turn this economy around!

If You Are in a Hole....Stop Digging!

If you’re in a hole…Stop digging!

I was guilty as the next when it came to buying something when I did not have the money for it. This really can be the down fall for so many of us. Impulse buying can literally bankrupt someone over a short period of time and with that said… I myself have gone to cash only. I don’t use credit cards anymore because they simply got me into too much trouble.

Now, if I come across something that I don’t have the cash for… I simply don’t buy it. It is not worth it! The stress alone having a credit card bill every month is something I never want to experience again.

What I recommend doing as an alternative is to get a second debit card to be used as your credit card in its place. This way you can say no to paying 22% interest and feeling like you just got punched in the stomach when you received the bill.

If you can, put a small amount into that 2nd account each month and let it build a little bit. Then when (not if) the car needs maintenance you have the money to pay for those expenses without going into debt. Perhaps even get a 3rd debit card – one for emergencies and one for entertainment like the days you want to purchase those cute shoes or that new cell phone. But this way you don’t have to go into debt while you make your purchase. Instead… this is your money, you saved for it, and now you can treat yourself without going down that spiral path.

If you must have a credit card…to build your credit…I get that but then do NOT keep it in your wallet or purse. Put that card away in a drawer for a “real” emergency. Use that 2nd debit card as your backup instead when you go out…you don’t have to stress over buying that new outfit.

If you have the money…great! Go for it!

We don’t own expensive things… They own us by the expense of supporting them.

Referral Power - your best lead source

One way to get your credit back on track is to keep your business on target and keep your income and cashflow flowing in.

There is no faster, stronger or better way to build a business than through referral of new customers. In fact, if you’re not doing referral selling, you’re losing 25 percent of your potential business.

"When we ask for and get a referral from an existing customer or business associate, there’s more than simple familiarity working in our favor. We’re tapping into strong, existing relationships, which can and do accelerate our ability to obtain new business."

"Why is the referral so valuable? Here are a few reasons:

1. Referrals come from people we already know – We shorten the cycle of familiarity by simply working with someone who knows someone we know. Common ground already exists through a friendship, acquaintance or business relationship. This eases the pressure on the initial getting-to-know steps of selling.

2. Referrals extend the network – We widen the circle of relationships with each new referral, thereby increasing our ability to tap that network for additional business, new business and additional referrals.

3. Referrals reduce sales expense – We reduce not only time but expense by asking for and following up with referrals. In our experience it costs 6 times more to sell a new prospect than it does to sell a referral. Think about it. A sales force is full of expenses for a business; customers are very inexpensive, since we already own them.

4. Referrals add value to the source of the referral – When we follow up on the referral, get the business and create a delighted customer, value is delivered to the party who gave the referral. The referral source is credited and often thanked by our new customer. Many industries emphasize value by offering credits for those who refer new business.

5. Referrals help you use your best sales force – Happy customers constitute our strongest sales force because word of mouth is the single most effective form of advertising. Product or service claims we make often require proof sources for credibility in the eyes of a prospect. Claims from existing customers carry instant credibility and seldom require additional information. (This is why unhappy customers can be such a detriment, because their claims of poor product or service performance are likewise seldom questioned.)"

I would suggest creating a criteria list to identify your referral partners.

Remember to go after those referrals. They will be your best lead source by far.

Credit Repair - some common questions and a few myths

How long does information remain on my report?
Credit bureaus report credit information for a period of seven (7) years. Some states have special provisions for collections and paid liens. Chapter 7, Chapter 11 and Chapter 13 Bankruptcies are each reported for 10 years and the date is measured from the date of the filing.

Does paying off my bills repair my credit?
The credit reporting system doesn't work that way. When you pay an old debt, the negative credit listing doesn't disappear. In fact, it re-ages and the seven year clock begins again with that negative listing. The most ironic thing is that a paid, current negative listing is not any better than an unpaid negative listing.

How does a Credit Bureau make money?
A credit bureau is a commercial business. It makes money by selling your credit report to others. A person with bad credit means more business for them as such a person applies for credit about ten (10) times more than a person with good credit.

Why do Credit Bureaus not want me to use a Credit Repair Company?
The credit bureaus will tell you that it is easier and less expensive to do it yourself. While it may be true that you have the right to repair your credit yourself, many individuals do not have the time, experience and organizational savvy necessary to deal with bureaucracies. You must also spend hours of study to gain a working knowledge of the consumer laws available to you. Many who start repairing their credit turn to a credit repair company after months of work.

What can you take off of my credit bureau report? Aren’t these items impossible to remove?
We can take off unpaid collections, charge-offs, repossessions, bankruptcies, medical bills, foreclosures, tax liens, civil liens, judgments, student loans, credit card debt, inquiries, slow pays, old addresses and all incorrect names.

How does TRW Credit Group do this legally?
Disputing your credit report is your right. Credit restoration is as legal as pleading "not guilty" in a court of law.

The Federal Trade Commission and The Consumer Credit Protection Act have enacted 100’s of regulations, that reporting and collection agencies have to adhere to in order for an item to remain on credit reports. The Fair Credit Reporting Act gives you the legal right to dispute items on your credit reports that may be inaccurate, out of date, incomplete or unverifiable.

For more information on removing negative items off the credit reports:

http://www.gettingbackmycredit.com/