Save America

Posted on February 25 2009

Hitting negative .5% in 2005 and then in January of 2007 dropping to negative 1.2%?

Instead of saving most Americans are using credit. The credit card companies certainly love this fact, since they continue to bring in billions of dollars each and every year. In 2006 the credit card companies profited $79 billion in interest and late fees.

Having money saved up is extremely important. The most beneficial part of savings is when an unexpected expense occurs. Instead of using credit cards, you can use your savings, but only for emergency purposes. Emergencies and unexpected expenses go hand in hand and believe me they will happen to you. Be ready!

Here are some simple ways to save money:

• Sit down and create a monthly budget. Know your debt to income ratio so you can start saving a certain amount each month.
• Always ask yourself before a major purchase if it’s wanted or needed.
• If you write a check or use your debit card, always round up when balancing your account so you can hide money. A quick example would be a charge for $12.27 Instead of balancing out the exact amount, round it up to $13.00. I’ve been doing this for years and it works great.
• Pay off credit cards so you can put that money into savings.
• Have an amount directly deposited out of your paychecks into a separate savings account.
• Before going to the grocery store, make a grocery list and stick to it. This will eliminate compulsive buying. And if possible leave the kids at home.

If we begin to save money again, I truly believe we can get through this difficult time we are all in. Saving money will help people eliminate unwanted debts, live a healthier lifestyle, and help us understand how God wants us to live. He doesn’t want us to live under the bondage of debt. Let’s save America!!

Jeral Croaker Family Life Credit Counselor