Money Matters: Available Options for Your Needs

Money Market Funding Engine.

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Money is an important part of life. Sadly, you do not get far in this life without it. In the midst of the current recession though, many people are finding themselves short on cash and struggling day-to-day.

If you are in need of quick cash you may want to consider a payday advance. This is a loan that is made in a short period, often within 24 hours.

Another option is to consider taking a loan from a family member. Be sure to put it all in writing; this way there will be no misunderstandings and hurt feelings.

Need a personal financial advisor, but can’t afford one? Take advantage of the Internet. There are many websites available that can give great tips on financial planning.

Check your budget and see where you are overspending. If you don’t have one it would be a good idea to make one. There are programs available to help you set one up. Knowing where your money is and where it is going often helps.

Cut costs wherever possible. Dry the clothes on the line. Pass on going out for the daily coffee. Break the habit of smoking and drinking. Every bit counts and can add up quickly.

Be sure to save something every week from the paycheck. By putting money aside you will slowly be able to build a nice little nest egg. Remember though, hands off once it is placed into the account.

Take the time to get your money matters in order.

 

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Paying Off Debt the Easy Way

Depending on the consumer, significant credit card debt can be accumulated with just one transaction, or over time. When debt begins to trump the consumer’s income, making credit card payments can lead to financial hardship. When payments become difficult to make, there are several options a consumer has to pay off the debts, one of which is filing Chapter 13 bankruptcy.

A Chapter 13 filing is an individual’s reorganization of personal finances. Under this filing, the consumer must do the following:

  • Negotiate a payment plan with creditors which illustrates how they will repay their debt
  • Define the terms of the loan, including the amount and whether the consumer will pay the debt partially or fully
  • Comply with the terms outlined in the loan

The repayment terms are decided and the plan is enacted 45 days after the filing. Debtors have five years to satisfy the terms of the agreement. Until then, the consumer is protected from collection calls and other means of collecting the debt, as long as they comply with the terms of the filing.

How Chapter 13 Differs from Other Bankruptcy Filings

Unlike other bankruptcy filings, Chapter 13 means the consumer agrees to a restructuring of finances, not a liquidation. Those who choose to file Chapter 13 bankruptcy must have a source of income and be able to honor the terms outlined in the payment plan, or be subject to fines. The entire Chapter 13 process and payment plan are supervised by the court system.

Chapter 13 and Your Credit Score

Even though the consumer agrees to repay their creditors, a Chapter 13 filing will still be reported on the consumer’s credit score; however, there are many financial gurus who support the idea that with careful planning you can actually benefit from this filing.

 

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