0% Interest Cards vs. Cash Back Cards

Choosing the best credit card is a tricky business. There are a myriad of different credit cards out there with different benefits - cash back, points, miles, 0% interest. The card that's best for you will depend on your lifestyle and current monetary situation. For me, because I have no credit card debt and because I am mainly interested in growing my savings, I am torn between two different types of cards - cash back and 0% interest. At first, I thought for sure that the cash back card was the best bet, but then I started considering a few cards that offer 0% interest for up to 15 months. So which is best? I haven't figured it out yet so I'm going to lay out what I feel are the pros and cons of the two cards that I have chosen - the Chase Freedom card and Blue from American Express. Here we go.

Chase Freedom Card - Advantages

• Offers 3% cash back on your top 3 spending categories (recalculated monthly) and 1% on all other purchases
• $100 sign-up bonus
• Cash back rewards are available to withdraw after you earn $50, however, if you leave it until you reach $200, they will give you an additional $50
• No annual fee

Chase Freedom Card - Disadvantages

• If a merchant has not specified their spending category, it will be lumped under "other." My dentist did not categorize himself as "Medical services" so even though it was clearly one of my top spending categories, they claim there is no way to change it in the system so I only received 1% for a cool $1,000.

Blue from American Express - Advantages

• 0% interest for 15 months - If you carry the balance (and why not, you're not paying any interest), you could put that money in a high yield savings account and earn 3% on all of your purchases.
• Earn 1 point for each $1 spent and redeem for various rewards. 1 point = approximately $0.01.
• No annual fee
  

Blue from American Express - Disadvantages

• Carrying a balance could lower your credit score

So, let's calculate the benefits based on spending $6,000 annually on a credit card.

Chase Freedom = $90.00 (50% at 3%) + $30.00 (50% at 1%) + $100.00 (sign-up bonus) + $50.00 (additional money for letting balance reach $200.00) = $270.00
Blue from American Express = $83.19 (savings interest) + $60 (rewards) = $143.19

Looks like the Chase Freedom card would be the best bet, just for the $100.00 sign up bonus. After the first year, it would be a pretty tough call between the two because it would take much longer to reach the $200.00. I was generous giving it 50% at 3% but this could be more or less depending on your spending habits.

After this analysis, I'm pretty satisfied with my decision, although after I reach the $250 rewards, I may consider switching to a 0% interest card. What do you think? Any cards that you are loyal to or that you think have better rewards?

My New Obsession

As you may have noticed from some of my previous blog entries, I have become quite obsessed with my garden. The backyard has become a veritable jungle of fruits and vegetables in all stages of development. I am growing seedlings in any container I can find, buying worms to create worm poop, and contemplating collecting leaves off the side of the road to use as mulch. The zucchinis have begun to produce fruit and I've been busy cooking up fried zucchini and zucchini bread. I got some free lemons off Freecycle and made some super sour lemonade, yum! I found out the cherries ARE edible, but are better for jams than they are for plain eating, so I guess I'll have an adventure making my own jams. Oh, and even better....the avocado tree has also decided to have it's free year of producing fruit (after 15 years?!) so we'll also have a fantastic - fingers crossed - avocado harvest.

So yes, I am obsessed much, but that means my previous obsession, blogging, has kind of fallen by the wayside. Every time I sit down to write something, I think of something to do in my garden or I think of writing something about gardening. I should change the name to "The Debt Defier Does Gardening" or something to that effect. :)

But my dear readers (all two of you), do not give up on me yet. Perhaps this gardening obsession will subside and my good ol' blogging self will be back. In the meantime, I'm going to work on an article that I've been kicking around in my head, mainly because it's so cold and gloomy outside that it's no fun to be out in the garden anyways.

Hope you're all having a great long weekend!

Cherries in my backyard?

Ok, so I know this has nothing to do with "debt" per se, but I was so excited to find this today as I was churning up my compost pile:




My grandpa planted these trees YEARS ago, but I have never seen them bear fruit. He planted them way out in the back and we hardly went back there, so I was surprised when I looked up and noticed a whole tree full of fruit. From what I can remember, they were cherry trees, but I have no idea if they were edible or purely ornamental. If they are edible, we will have cherries coming out of our ears (free food!) because there are at least three trees out there that are producing. If not, they look nice and brings back nice memories of my grandpa. :) I'm going to try to take a branch to the nursery to get their expert opinion. I'm crossing my fingers that we're going to have a nice harvest of homegrown cherries in addition to the veggies from my garden.

I Love Free

I would like to take a moment to bask in the bounty of my free samples.

Sigh.

It's so beautiful.




Everything you see here was free. That's right. FREE! The only thing I had to pay was 12 cents of sales tax for the tampons, but I still think that's a pretty good bargain.

All in all, here is what I've received so far:

1 6 oz. bag of Healthful Life Purina Cat Chow
1 Temptations cat treats
1 travel size Advance White toothpaste
1 travel size Aquafresh White & Shine toothpaste
1 travel size Aquafresh Extreme Clean toothpaste
2 boxes of o.b. ProComfort tampons (Vons store coupon)
1 compact fluorescent lightbulb (Farmer's Market courtesy of the county)
1 Dove Pro-age deodorant
1 Dove Ultimate Clear deodorant
1 Dove Advanced Color Therapy shampoo and conditioner
1 Dove Therapy Energize shampoo and conditioner
1 Feline Greenies cat treats
1 Vaseline Intensive Rescue lotion
1 bottle of Coffee Mate Vanilla creamer (up to $4.50)
1 bag of Starbucks Breakfast blend (Click on Explore Our Coffees)
1 bag of Seattle's Best Vanilla Bean roast
1 Curel Life's Stages lotion
1 mini cup of Ben & Jerry's Strawberry Cheesecake ice cream (Vons store coupon)
1 stick of Power Pixies from Airborne (not pictured)

I had to actually go to the store today to pick up the free tampons and coffee creamer. I tried to see if they would double my free coffee creamer coupon, but she said they didn't do that. Darn! But she did give me another coupon booklet that included another coupon for a box of tampons and the ice cream (the first free ice cream coupon I gave to my grandma), so I turned right back around and got more free stuff. It was awesome!

The other great thing about the free samples (aside from being FREE) is that they usually come with a generous coupon. If it's something you might use, that's a pretty nice bonus (especially if you can get the coupon doubled).

I'm sure there's more to come. Every day I get something new in the mail. It's like Christmas every day!

If you're interested, just do a google search for "free samples" and I'm sure you'll find lots of stuff too.

Dumpster Diving Like a Pro

My first dumpster diving adventure was a success, but I recognize that I was merely a novice dumpster diver. We had to pass up on some good finds and experienced some unnecessary unpleasantness just because we weren't properly prepared. The next time we dive, I plan on learning from my mistakes and diving like a pro by following these 10 dumpster diving tips.

1. Bring sturdy, water-proof gloves and hand sanitizer.

Gloves are of the utmost importance when dumpster diving. Obviously, you'll want to protect your hands from any bacteria or sharp objects that you might encounter in the dumpster. We learned the hard way that it is essential that the gloves are water-proof so that liquids don't seep through. Make sure that you bring some hand sanitizer or baby wipes to clean up afterwards because you probably won't be able to wash your hands immediately.

2. Wear long sleeves.

Digging around deep in the dumpster, you're just as likely to get your arms dirty as your hands. Protect them by wearing long sleeves.

3. Go late at night.

Trash is at it's optimum levels immediately following business closing hours. You'll want to get there after they have taken the trash out for the day and before trash collection in the morning to find the best selection. Plus, you'll have less of an audience and avoid nasty confrontations.

4. Bring a flashlight.

If you're diving late at night, you'll need a flashlight to uncover the hidden treasures of the dumpster. A headlamp would be super handy if you have one!

5. Take a friend.

Dumpster diving is a team sport. You may need help lifting a large item, holding a flashlight, or backing you up with their super kung-fu skills if someone gets pissed that you're digging in their trash. Plus, it's just more fun to share the adventure with someone else.

6. Bring bags, boxes, and containers to store your finds.

The last thing you want is a bunch of trash free-floating around in your trunk. Bring stuff to haul and contain your finds to make for easier transport and clean-up.

7. Bring something to stand on.

For safety's sake, you probably don't want to take the term dumpster "diving" literally. Try to stay out of the dumpster to avoid encountering hazardous materials. It'll be much safer and easier to bring a milk crate or step ladder to step on and get a better look deep inside without actually having to get in.

8. Invest in a grabby thingy.

Since you're not actually getting in, you'll want to extend your reach with a grabby thingy (you know what I mean). You can buy one at Amazon for about $15.00 but if you're like me, you'll want a free alternative. Basically, anything that has a long handle and a hook on the end should work.

9. Don't dive in any locked dumpsters.

Dumpster diving laws vary from city to city but it's a pretty safe bet that if it's locked, you should keep looking for another dumpster . If they lock it, that means they don't want you there, so don't go looking for trouble.

10. Don't make a mess.

If you go in and make a mess, chances are the building/home owners are not going to be happy. They may decide to lock up their dumpsters or complain to the local authorities, making it more difficult for you and others to dive in the future. Make sure to leave the area as clean or cleaner as you found it.

Saving at a snail's pace

Earlier, I had posted an ambitious goal of saving nearly $3,000 per month for grad school. Despite 2 solid months of buying absolutely nothing new, I was barely able to save a little over $700 this month. It would've been closer to $2,000 if I didn't have to pay over $1,000 for dental work (it hurts to type that) and if they hadn't messed up on my paycheck...again. At least with the paycheck, I'll be able to put the money towards next month's savings, but the dental work...boo! Needless to say, I am brushing and flossing like a maniac to avoid having to pay any more costly dental bills in the future.

I had thought of taking on a second job to increase my income but I've had little luck finding something suitable. There was a job posted at the Fresh and Easy (my favorite store ever), but the pay was not enough to make it worth it, in my opinion. Honestly, I'm quite shocked at what's available out there. This is the first time I've seen a job market so scarce. I guess combined with companies cutting back and employees losing their jobs, the job market is pretty tight.

In happier news, my garden has become a wild little jungle and is bursting with vegetables.

Here's the garden just a couple weeks ago, if you remember:



And voila, here's the after:



My how it's grown! I wish my money would grow as fast.

Today, I got a very pleasant surprise when I went outside. We've had this cactus outside for years and I've never thought anything of it. The past couple of days, I noticed little shoots growing out of it and assumed it would be blossoming soon. I thought this was strange because I had never notice it blossom before. So today when I went outside I was amazed to find this:



Wow-wow! I'm in love with this plant! I never knew that cacti could be so beautiful.

And last but not least, take a look at my baby rosemary, basil, and mint plants. Notice that I've been using everything from yogurt cups, to plastic drinking cups, to plastic containers to plant seeds in. I'm starting to look at everything as a potential seed pot. The trick will be finding places to plant them after they get too big for their little seed starters.



I'm telling you, I think I missed my calling. I wonder if I should just become a professional farmer?

Website publishes country's tax records

Ok, so thankfully, this story isn't from the U.S.

Italy's government had a total brain fart and decided it'd be a good idea to publish the entire country's tax info on the web. That's right. Every Leonardo, Michaelangelo, and Donatello (uhh, what's the Italian equivalent to Tom, Dick, and Harry?) had their tax info briefly published on a public website until it was crashed by thousands of visitors. Presumably, everyone was trying to catch a glimpse of their neighbors, bosses, and co-workers salaries and they clogged the site. Eventually, the government wizened up and took the site down.

Honestly, it would be kind of awesome to be able to get a sneak peek into people's finances, kind of like looking in someone's journal (not like I'd do that or anything). Then again, imagine all the problems it could create. You know a bunch of people went in and demanded raises today after seeing that their co-worker made more than them. How would you feel if all of a sudden your tax info was published on the web for the whole world to see? Would you care?

How to make $130 in 30 minutes

I love free money, don't you? Here's a way to make $125+ in 30 minutes by signing up for a few financial services that will help you jump-start your savings.

1. Earn $25 by signing up for Revolution Money Exchange. It's a Paypal-like service that allows you to send money via the internet. I signed up a couple of weeks ago and have already earned $65 for the sign-up, plus referrals ($10 each) and have transferred the money into my bank account with no problems.



2. Earn $25 by signing up for an ING Direct savings account. ING Direct has been my savings bank for years now and I love them. If you don't already have a high-yield savings account, you need one. Earn $25 just by signing up and making an initial deposit of $250.


Orange Savings Account Links - Earn 3% with no minimums (remember you must start with $250 to earn $25)

ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus


Electric Orange Savings Account Links - Earn up to 3.4% with more than $100,000

ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus

3. Earn $25 for becoming a lender at Prosper and funding your first loan. I just started funding loans and I must say it's addicting. I picked loans that were pretty conservative and I'll be earning about 11% on my investment. Not bad!




4. Earn $25-55 for signing up for Sharebuilder and purchasing a stock or ETF. I've been interested in investing in some "green" companies for a while and last night started doing some research. I had already signed up for a Sharebuilder account years ago but haven't used it lately. I did some research and found some great promotions that allow you to open a new account (even if you already have an account) and earn $25-55. Sharebuilder charges $4 for each automatic investment if you have a basic account (no monthly charges). I'll be using the $55 sign-up bonus to jump start my investment portfolio. Nice!

If you have a Costco account, you will receive a $55 sign-up bonus. If not,,you can still get a $25 bonus.

Click here to sign up for Sharebuilder and start your investment portfolio.

So, now you've just earned over $100 and have a few accounts to start diversifying your savings. Not bad for just about 30 minutes!

Today is Ben & Jerry's free cone day!

Go help Ben & Jerry's celebrate their 30th birthday by eating free ice cream! Nom nom nom.

Dumpster Diving Adventures

Maybe I have lost my mind, but last night I thought it would be fun to go dumpster diving. I've heard a lot about "freegans," people (with jobs) who go to the grocery stores late at night and live off of the discarded food found in the dumpsters. They claim this is completely safe, but I'm just not that hardcore (yet). But, I thought it would be an interesting Saturday night activity to go and poke around and see what was lurking in the trash cans (that's how I roll).

I don't know what I thought we would find. I knew we would find some disgusting rotted food and a nose-full of unpleasant odors. But maybe, just maybe, I hoped for treasures, like an iPod tape adapter that I have been searching for ever since mine broke which I haven't been able to replace because of the 100 Day Buy Nothing (New) Challenge. I surely didn't expect to find what we did find.

We started off at an business complex and was surprised to find that there were tons of people working at 10 p.m. on a Saturday. Now, I was just a little (ok, a lot) shy about poking through people's trash, so I definitely didn't want to have an audience. We drove around until we found a nice quiet dumpster and parked the car, got out our gloves, and started digging. Mind you, I don't take the term "dumpster diving" literally; we actually just kind of leaned over and peered in. At first, we didn't find anything too interesting. Empty pizza boxes. Cardboard boxes. But then, I rummaged across a huge pile of perfectly good clothes, everything from pants, to sweaters, to ties. I didn't want them but I figured they shouldn't end up in a landfill, so we took them out to wash and then donate to the Goodwill (hello, tax deduction).

That wasn't all. We also found a wet suit in perfectly good condition, a box of CDs, and money! Yes, money! There was a bag that contained about 20 cents in change. Who throws away money? Perhaps it was beginners luck, but we found tons of stuff in this dumpster without ever having to set foot inside it. Who knows what else was in the bottom of that dumpster?

We drove around to a few more with no luck and decided to try some retail dumpsters. We saw a shopping center with a bargain store and thought we might find some pretty good stuff there. Unfortunately, there was also a Jiffy Lube and a barber shop, so mostly all we found were hundreds of plastic oil containers, old air filters, and (barf) human hair. It wasn't completely fruitless because we found a ton of recyclable bottles and cans.

Afterwards, we decided to hit up an apartment complex that had a whole alley full of dumpsters. I was quite nervous about going to an apartment complex because, well, people live there. And yes, we had someone staring at us from the balcony as we "dove" in their dumpsters. I can't blame them though; it's not every day that you see people like me going through your trash.

The dumpsters at the apartment complex were pretty nasty. Rotting food and dirty diapers. MMMMM. Right away, I saw a nice-looking suitcase on top of the dumpster. I go to pick it up and it's heavy with stuff inside. When I opened it up, I found that they had used this perfectly good suitcase as a trash can. Who does this? It's bad enough that you throw away a perfectly good suitcase, but to fill it with trash and then throw it away, that's just too much.

We went to a few more dumpsters in the complex and found some more bottles and cans, Coke rewards points (my bf saves these things if you want to send me yours), and another bag full of clothes. I probably could've kept going all night (it was so fascinating) but my trunk was full so I figured we should stop.

All in all here is what we found:

2 bags of clothes to be donated (tax write-off)
1 wetsuit (sell on Craigslist?)
1 bag of bottles and cans (CRV!)
1 suitcase to be donated
23 cents in change
10 CDs (about 3 in good enough condition to sell on Half.com, others to be recycled)
1 key chain beaner

That was just from about 1.5 hours of active searching in approximaely 15 dumpsters. I was shocked at how much of the stuff in those dumpsters could've been recycled or donated and how little of what was actually in the dumpster really needed to be there. I take for granted that everyone is as conscious as I am about recycling or repurposing old materials and it was a little disheartening to see all that waste. I might even right Jiffy Lube a letter, requesting them to implement better waste management procedures. I just imagined all the Jiffy Lube's around the country producing that much unnecessary waste and I felt so overwhelmed. It's amazing that we're not all swimming in the trash that we produce every day.

As disheartening as it was, it was also great fun. I think I'll definitely do it again. Maybe I'll check out a grocery store, just to see what is actually thrown out. I meant to bring it along and forgot on my way out! Next time, I'll try to remember my camera so I can share my finds with you.

Cheap gas isn't always cheaper

Ever notice that some gas stations are able to consistently offer gas that is 10 cents cheaper per gallon than the other gas stations around town? People flock to these stations and wait in long lines to get the "cheaper" gas. Are these stations just trying to set competitive prices to attract customers or is there something more sinister going on here?

Where I live, Arco is usually a good 10 cents less per gallon than other stations like Mobil, Shell, or Chevron. It seems like a great deal, until you realize that they don't accept credit cards. Who carries $50 in cash to fill up their tank? But wait! They accept ATM cards! No problem. So you fill up your tank on the cheap and use your ATM card to pay for it. Except, it probably isn't much cheaper if you realize that you're being charged $1.00 for the convenience of using your ATM card. D'oh!

We can also factor in that when you use an ATM card or cash you are not receiving any rewards that you would if you were using a cash back credit card (and you should be). Personally, I would receive 3% back on my purchase.

So if gas is $3.67 at Arco and I fill up 15 gallons, we could thus calculate:

$3.67 x 15 = $55.05 + 1.00 = $56.05

But if I pay the extra 10 cents at another gas station and get the same amount of gas and use my credit card, I pay:

$3.77 x 15 = $56.55 - $1.70 (3% cash back) = $54.85

Blimey! Paying more for gas actually works out to be cheaper in the long run, even if I don't pay the $1.00 ATM charge...and I don't have to wait in the long lines at the "cheaper" gas station!

Lesson be learned - sometimes it pays, to pay more.

Is it time to stockpile food?

Sam's Club (Walmart's warehouse division) announced today that they will be limiting rice purchases to four bags per customer, amid supply and demand concerns. Costco is also limiting sales of flour and rice at some of their stores.

They claim that business owners, like restaurateurs, are stockpiling food out of fear of global food shortages generated by media reports. The U.N. is calling the food shortages, "a silent tsunami" that is devastating the world's hungry and driving up world food prices.

Is this simply a case of panic, or are we going to be facing even more dramatic increases in food prices? Heck, the price of rice is already 66% more than it was at the beginning of 2008 and global food prices have risen 57% in the past month. How much higher can it go?

Are you worried? Is it time to hoard food, just in case? Or will that just make the crisis worse?

Happy Earth Day!

Go out and do something good for the Earth!

Evaluating a Prosper Loan

Back when savings interest rates were 5% or more, there wasn’t a lot of incentive to run out and look for investments that would provide a higher yield. You could earn a decent rate of return on your money with no risk and no work on your part. Now that savings interest rates are down, it doesn’t make much sense to keep a huge chunk of cash in a savings account where it’s only earning 3%, especially with current inflation rates at 4%. That means that for all the money you save earning only 3%, you’re actually losing 1% of the value to inflation.

I’m not saying that you should run out and take all the money from your savings account and move it riskier investments. Everyone needs to have some cash liquid and secure in case of an emergency or unexpected expense. You just don’t want to keep it all stock-piled in an account that’s earning less than the current rate of inflation.

So, I started contemplating the various options for investing my money. I figured that it would be worth giving Propser a try because credit card companies have been raising their rates and clamping down on consumer credit, causing people to look for other options to get a lower interest rate on their debts. After being in debt myself for so many years, I feel for those who are struggling with their credit now. When I was in debt, I was able to get lots of 0% interest offers, so I was paying very little interest on my debt. I think if I actually had to pay interest (and some people are paying more than 15% on thousands of dollars!) it would’ve taken me years longer to pay it off.

I’ve been browsing the listings for a while, trying to use my psychic powers to determine who the dead beats are and who is trustworthy enough to make good on their financial commitments. Sure, I could just use their credit rating to help me choose, but a listing offers so much more to go on than just a letter score. As I browsed, I realized that there were some very subtle, and non-subtle, red flags that (I hope) can help lenders choose borrowers that a minimal risk.

1. Financially irresponsible behavior.

Make sure that your borrowers have their priorities in line. If they claim they’re taking out a loan to pay off high-interest credit cards and padded a little extra to pay for a vacation, then you should probably take a pass. If they were serious about getting out of debt, they would wait to take a vacation until after they have paid off their debts.

2. High revolving credit balances.

If they don’t have a good explanation for their high revolving credit card balance, I assume the worst. I want to hear an explanation as to how their habits have changed and what positive steps they are taking to get on the road to debt recovery. If I don’t see those things in their listings, I assume that they are liable to making the same mistakes again.

3. Any delinquencies or public records.

I take my finances very seriously, and I would want anyone who borrows money from me to take it seriously too. Delinquencies are a big no no. NO NO I will not lend to you.

4. Vague business plans.

If it’s a business loan, I want to see a solid business plan and why it’s going to succeed. Starting your own business is a risky venture, but you can minimize the risk if you have a solid business plan in place.

5. Lots of missing or vague information.

I want to see that the person has taken some time and effort to make their listing as informative as possible. If they didn’t bother to give detailed information about their expenses, credit card accounts, etc. then that shows me that their not concerned with helping lenders make an informed decision.

6. Inadequate income to handle unexpected events.

Make sure that they have enough extra income in their budget to make all their payments and handle any other unexpected expenses that may arise. If their income and expenses barely leave them enough money to pay the minimum on their cards, than they are more likely to have to make some tough decisions and either miss a payment or take on more debt what something unexpected happens.

7. Borrowers who are also lenders.

I find this one hard to understand - borrowers, who claim to have high-interest credit cards, making loans to other people on Prosper…and then using it as a selling point! It’s like saying, “I’m not only a member, I’m the president.” ?????? My feeling is that if you have credit card debt, any money you have should be focused on paying off your own debts. That’s a guaranteed return on your money with 0% risk.

Using these guidelines, I lent about $300 to about 5 different borrowers with an average interest rate of 11.23%. I stayed more towards the conservative side, but even still that’s a lot better than 3% in my savings. I’ll be posting back to report how well my choices turned out and whether or not I picked winners or losers. I’m crossing my fingers for all winners!

Curious about checking it out? Prosper is offering a $25 sign up bonus for lenders after you fund your first loan.

Why you need an ING Direct account

ING Direct is one of the best high-yield savings accounts out there. I've been a customer with them for years, and have never had a problem with them unlike other banks. Why do I like them so much?

• They pay a competitive 2.96% APY.
• There are no minimums and no fees.
• They link to your current checking account for easy transfers, BUT money is not instantly available (it takes about 2-3 days to transfer to checking) so I'm not tempted to spend it.
• They offer automatic savings plans.
• Their referral plans allow you to earn extra cash for your savings goals.
  
• They have great customer service. They're always helpful and knowledgeable (unlike some places).
  
• Their website is easy to use.

Really, I can't say anything bad about them, except for the fact that they used to have better rates, which is not necessarily their fault. The days of 5% savings accounts are dead for now so I'll take my 3% and run.

So, if you're still stuck with a low yield savings account, consider signing up with ING Direct using one of the links below. They'll give you $25 just for signing up with an initial deposit of $250, and I'll earn $10 for the referral. Then you can start referring all your friends and earning even more money for your savings goals.

Orange Savings Account Links - Earn 3% with no minimums (remember you must start with $250 to earn $25)

ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus


Electric Orange Savings Account Links - Earn up to 3.4% with more than $100,000

ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus
ING Direct $25 Savings Account Opening Bonus

Don't think you have the money to start on your savings goals? Here are some quick and easy ways to save money fast and get you on your way.

1. Compare auto insurance rates online.
2. Use the library for books, DVDs, CDs, and magazines. Then, sell your old stuff on Half.com.
3. Pack your lunch. Need some inspiration? This is an amazing site with creative, kooky lunchbox ideas.
4. Stop eating fast food. Period.
5. Sign up for a good cash back credit card and earn money for all of your purchases (but don't carry a balance).
6. Buy all your produce at the local farmers market. I end up paying nearly half for my fruits and veggies than I would at the grocery store.
7. Find a carpool buddy.
8. When eating out, share an entree with a friend. When drinking out, stick with beer or wine instead of fancy (and expensive) cocktails.
9. Drive at a slow and steady speed to increase fuel efficiency.
10. Use Freecycle to find items you need for FREE.

Following these tips, you'll easily save $250 in no time. Feel free to add your own tips in the comments and share your experiences with ING Direct.

Oh my dental woes

My teeth are quickly becoming the bane of my existence and a drain on my wallet. Just a couple weeks ago, I went in to get a root canal and got a temporary crown put in. It hasn't been giving me too many problems...until two days ago when I was eating kettle corn. I looove kettle corn and was chomping away when I hear CRACK. I had accidentally bit into a kernel with my bad tooth. I run to the mirror and check it out, and it looks fine. Whew. I thought for sure I was going to have to go in for another costly dentist visit, but it seemed just fine.

Then last night, I was flossing away while playing Scrabble with my boyfriend. Why I felt so compelled to floss at that moment, I'll never know, but all of a sudden, I look down and see that my tooth is on the floor! There is nothing more humbling then to see your tooth falling out of your mouth (unless you're 5 years old, of course).

The first thing that goes through my mind is, "Crap! That's going to be another $200!" I contemplated going around with a big hole in my mouth and living off a liquid diet for the next 4 days, just so I wouldn't have to pay any more money at the dentist.

Luckily, Recapit came to my rescue and for $5 I was able to cement my tooth back into place. Let's just hope that my teeth stay in my mouth until I go back to the dentist and I don't have to shell out any more cash for my chompers. If my teeth keep this up, I'll never reach my grad school savings goal!

Attending grad school without going broke

The heat is on to jumpstart my grad school savings. I recently got my financial aid letter and realized that my $1,000 a month savings goal is going to fall drastically short of the actual cost of attending grad school without incurring any more student loan debt.

Now, I realize that student loan debt is not all bad, but I already have $8,000 of student loan debt from my undergraduate studies and I’m not interested in getting any more, especially because the loans that were offered were unsubsidized loans with about 6.8-8.5% interest. It might be worth it if I was going into a high-paying field, but teaching? C’mon!

After doing the math, I realized I’ll need to save at least $2,356 for the next 6 months to cover the estimated annual budget. GULP.

Here’s the breakdown:

Estimated Budget

Registration fees and health insurance $9,645
Books and supplies $1,881
Living expenses $18,411

Total: $29,937

Fellowship ($7,000)
Current savings ($3,000)
*Federal Perkins Loan ($1,800)
**Teach Grant ($4,000)

Total Needed to save $14,137

Total to save each month (6) $2,356

* Interest is 5% and I don’t have to pay interest until 9 months after I graduate.
**This program is new so the details are still fuzzy. I’m 95% sure that I’ll qualify for this federal grant.

Seems nearly impossible for me to accomplish, but I’m sure with a little creativity and hard-work, it can be done. The question is, how does one go about saving $2,400 a month on a small salary?

I'm already living at home to minimize my expenses. It may not be a glamorous life but Grams likes the company and I can save the majority of what I earn. I'm also considering taking on a part-time job for the next couple of months to increase my income. I get home fairly early from my "day job" so I have a good chunk of time in the evenings to take on something extra.

Most of the budget isn't tuition; it's mainly just living expenses. If worse comes to worse, I suppose we could live in a tiny room...but I don't think my boyfriend or the cats would appreciate it. I'd like to avoid eating PB&J and ramen for the next 2 years and avoid a lot of the stress that comes from being dead broke.

Of course, the wheels in my head are spinning trying to come up with more ways to avoid getting into debt again. I’m determined to avoid making the same mistakes I made the first time around. And you know, as I come up with my brilliant schemes, I’ll be posting them here.

Why a Recession is Good for Us

The media has done a good job worrying us about the future. Sometimes, listening to the news, I convince myself that I should be building a bomb shelter and stockpiling food to deal with the impending world crisis. What with global warming, food shortages, and the upcoming economic collapse, we’re all doomed! Gas is creeping near $4 a gallon. Food is getting more expensive every day. People are filing for foreclosures left and right. Everything seems to be coming together to create a perfect mess.

But actually, when you stop to think of it, these things aren’t so bad after all. In fact, it’s about time these things started to happen.

The way I see it, the economy has been behaving like a teenager who’s just left home for college. At first, they eat all the junk food they want. They get a credit card and buy, buy, buy. They drink and party and stay up late. They think that life is just grand. But then, the consequences set in. They’re fat, broke, and hung over and realize that it’s about time to grow up.

That pretty much sums up how our economy has been behaving for the past 10 years. Now, we’ve got to suck it up, pay the consequences, and work off that Freshman 15! The good news is that once we start getting our act together, we’ll enjoy the benefits of our responsible behavior. Here are just some of the positive effects that I see coming our way.

1. People will get creative.

You know the old saying, “Necessity is the mother of invention.” Well lately, we haven’t had much necessity. Easy credit has put the world at our fingertips. Now that it’s gone, we’ll just have to get creative to find ways to enjoy the same quality of life that we’re used to. Just think of all the breakthroughs in alternative energy that we’ve made in the past few years. Once we started to feel the burn of high oil costs, people started going to the drawing board to find a solution. Now, we’ve got algae fuel, energy producing knee braces, and revolving doors that produce generate power, among numerous other unthought-of possibilities. I have faith that we’ll pull together to see this thing through and end up with some great innovations as a result.

2. We’ll lose weight.

Food in America has been notoriously cheap and easy. Packaged foods and fast foods provide convenience and so far have been relatively cheap. Now that food is getting more expensive, people may have to get more creative with their eating habits and turn to healthier, inexpensive alternatives like lentils, beans, and other whole foods. Forget the South Beach Diet; try the Recession Diet.

3. People will talk more about money.

Have you noticed that ever since people started buzzing about a recession, people are talking a lot more about money? They’re not bragging about their most recent purchase or that big raise they got (thank god); they’re talking about their problems. People feel more comfortable admitting their mistakes when they think they’re not alone. Who wants to talk about their credit card debt when Sally is gushing about her expensive new sports car? Maybe, people can start coming out of the financial closet and create dialogues about smart money choices. Sharing knowledge is one of the great things about being human - we don’t have to experience something ourselves to learn from it. As people open up, more people will be able to draw upon their experiences to make wiser financial decisions.

4. There will be less traffic.

People think twice about driving their car when gas costs almost $4 per gallon. There will be more people carpooling, taking public transit, and just plain not driving. As a result, there will be fewer cars on the road and less traffic. HALLELUJAH! I’d gladly pay more for gas if it meant sitting in my car for fewer hours. As an added bonus, people will realize that driving like a jerk costs them money. No more people speeding past you on the freeway and driving like maniacs (ok, we can wish right?)

5. We’ll reduce our impact on the environment.

Saving money and helping the environment go hand in hand. Walking instead of driving, turning off unused lights, buying less…all of these things cut back on energy use and make the world a greener place.

The next time you here people complaining about the shrinking economy, don’t fret. Just think about how great life is going to be. You’ll be more creative, look great in your bikini (or speedo) this summer, have some stimulating conversations, spend less time in traffic, and be one with nature. Recessions are great, aren’t they?

When are you going to receive your tax rebate check?

Hooray for May 9th!

That's when I'll be receiving my tax rebate check. That baby is going right into savings. That's right. Unlike the government, I think a healthy economy is based on savings. How else are people going to have the money to invest in capital? Then again, I'm probably preaching to the choir. :)

Do you know when you're going to receive your check? Are you counting down the days?

In case you're curious, here's the estimated schedule from Money.com:

Direct deposit payment
If last 2 digits of your SS# are:	Your rebate should be sent by:
00-20	May 2
21-75	May 9
76-99	May 16

Paper check
If last 2 digits of your SS# are:	Your rebate should be sent by:
00-09	May 16
10-18	May 23
19-25	May 30
26-38	June 6
39-51	June 13
52-63	June 20
64-75	June 27
76-87	July 4
88-99	July 11

Let's hope you're not getting your refund by check and your social security number doesn't end in 88-99. :)

Debt Mind Trap #5: You think shopping is a hobby.

Friend A: What do you want to do today?

Friend B: I don’t know. What do you want to do?

Friend A: Hmmm…I don’t know. We could go to the mall?

Friend B: I guess. There’s nothing else to do.

Ok, so Friend A and Friend B might be kind of boring people, but I’m sure this sounds vaguely familiar. You don’t know what else to do, so you just go shopping. There are countless “entertainment centers” with little else to do but shop and eat. You walk around. Browse the shops. Buy an overpriced pretzel, coffee, or cheese-thing-on-a-stick. It’s all very uninspiring, but it passes the time.

Even if you don’t buy something, it’s still a dangerous habit. Just by sheer proximity you are increasing your chances of spending money on something you don’t need. You may be able to escape without buying something the first time, but window shopping plants little seeds of discontent. Even I find things that I didn’t know I needed until I saw them at the store. Yes, I neeeeeed that fancy garden tool. I didn’t know it existed before now, but I NEED it. J

There are tons of other things to do if you just do a little research. I love Yelp to find free events and festivals nearby. Make a list of all the things you’ve ever wanted to do and when you get stuck you can just refer to your list for inspiration. The world is a big place, full of possibilities. Don’t waste your life in a mall!

So there you have it - the 5 Debt Mind Traps to avoid. If you can recognize these thought patterns before you swipe the credit card, you're ahead of the game. Stop and acknowledge your thoughts for what they are - a road block on your path to financial freedom. Then you will feel more empowered to make better decisions and stop the cycle of credit card debt.