Today's post is about Debt Collectors...BOO!!! We all will encounter them at some time in our life so here are a few tips about those very nasty, little buggers that won't leave you alone. I found these facts on an article on my yahoo page and read through it. For those of you who don't have yahoo or haven't seen the article...here are some of them. This is kind of lengthy but worth reading!!! I do not in anyway encourage anyone to not pay their debt, or attempt to take care of your financial well being. These tips are intended to put you back into control over your debt instead of the debt collectors!!!
1. They are taught that all debtors are "compulsive liars" and then trained to ask you to borrow the money from a friend, a relative, or your 401k. That is just bad advice!!! But it's not their job to give good advice...so I am here to tell you...TELL THEM NO!! Be the compulsive liar they think you are!!! (see sometimes lying is a good thing) actually you can tell them that is really not their business and that would be the truth. You can also tell them you will look into that and call them back but do not offer any information!
2. The more money they collect the bigger their paychecks are. So remember that when they don't get that payment from you today they will for sure try again tomorrow. I'll tell you how to get away from the phone calls in a minute.
3. These people do have the amazing power to reduce your debt amount on credit cards sometimes as much as 15-35%...but that means you have to have the full amount ready and on hand to pay right then and there. The offer goes off the table once you tell them you can't pay it all right now...but (see #4)
4. These companies pay pennies on the dollar on your debt when they buy them from the business you owe the money to...so you do have some bargaining power yourself...start at .25 cents on the dollar offer and if they don't accept it then ask them what they will accept. And bargain again!!!! Don't be afraid and calculate it out before you call them back...cause you will call them back!! Right???
5. These folks that call you have a "heard it all" attitude because they have. They consider what you are telling them (your story) a "HLS" hard luck story. So, they roll their eyes, which you can't see or hear, they act sympathetic and they write down everything you are saying that might link you to a source of income, or resource, or future contact!!! So, don't tell them "Your Story". Keep to the facts. And when they venture from the facts simply say "I didn't call you to talk about ______. I'm here to talk about money."
6. If they say they need to get a manager on the line...it usually isn't a manager. It's just another collector who is helping out his buddy in the next cubicle!! So, don't open up your wallet because they say the magic word "manager". And don't ask for one...chances are they don't exist. Actually they do exist to a degree but I can bet you they aren't in the office at the dinner hour when these people are calling you.
7. Did you know there is a statute of limitations on debt??? In Oregon the statute of limitation on credit card debt is 6 years from the opening date of the debt statute 12.08. You can go to http://www.creditcards.com and up at the top is the little search box and type in statute of limitations. It will give you all 50 states and you can go from there to find out..NOW...they cannot sue you or put it on your credit report if it is beyond the limitation...HOWEVER...if you make a payment in any way to the debt collection agency the opening date begins again, AND/OR if you acknowledge the debt the clock starts over!!!
I always send my payments directly to the source of the debt...not the collection agency!!! After six years they can't put it on my report!!!
8. If you settle into a payment plan...they will seem either very excited for you or very bored with you and this is to put you at ease so you start talking...giving them that information that they seek. They can only get it from your mouth, so keep it shut! Speak only about the money. Believe me they are asking about your Uncle Tom up north that you mentioned earlier and what they are trying to find out is have you lived in another state?, what is your stream of travel in the U.S., and who can they call and harass later if you don't come through with your obligated payment plan you just settled for.
9. They can call you at work, at home, on your cell phone, at your moms etc...HOWEVER...they cannot call you again at any number if you specifically say "please do not call me at this number regarding this issue again". You may have to say it five times (once for each number they call) but if you are paying your debt to the original agency then they have no need to be calling you.
10. Debt collectors collected over 8 billion dollars last year...that money went back into the economy so they are doing this country a service. Please don't be rude to them. They are just doing their job (as much as it must suck, although the pay is enormous) just talk about money if you must talk to them, or politely decline the conversation and ask them not to call this number again.
The first step to taking on debt collectors is to get your credit report!!! Next post will be about those credit reports and how to fix them up a little!!! Keep your chin up, your mouth closed, and your fists tight and together we can keep those debt collectors at bay!!!
TTFN
Friday, September 30, 2011
Thursday, September 29, 2011
Former Debt Erased Equals Income
Ok so today has been uneventful, however there has been a lesson learned in the last two days! I am feeling extra wealthy today as I have moved out of the motor home and into the house. This is all circumstantial as someone moved out and a bedroom opened up as was planned. I spent half the day yesterday moving in, getting organized, and setting up a bed. As I sat and pondered my situation a revelation came to me...I am moving up in the world but the steps I am taking are enormous although they seem so small. They say "baby steps" in taking on something new...and I am taking baby steps but each one is a milestone in itself. The other revelation I had was "OMG I have a full u-haul storage of stuff I have to get moved by the 3rd of next month". So that means sorting, moving, hauling, decision making, and hard work! The bonus is this...I gain $60.00 a month income by not having to pay that storage...income stream!!! My former debt just erased equals income. I don't technically make any more money than I was but I get to add that back into the budget....hence making it income. Remember people...The Money Is Here!!! You just have to change your whole outlook on money as something positive in your life and really expound on it! Speaking of work...I need to get after it! So this blog is short...quick update on the previous posts, still waiting on that book about Tax Lien Certificates, got my dental and medical insurance applications approved today (got a personal phone call about it...nice), and have homework to read up on Life Insurance...so on that note...have a good life! It is in your control!
TTFN
TTFN
Tuesday, September 27, 2011
Income Streams...A New Way To Look At Money!
Ok so Readers,
I spent a good part of yesterday creating a new stream of wealth. It turns out that if you have a web page or blog such as this you can put an advertisement on your page through ad sense. And each time someone clicks on an ad you get paid. Now I don't really know how lucrative this is going to be but it is just something I thought I would try and see if it works. All it cost me is a little time. So, if you are reading this please tell your friends about this blog and ask them to follow and if they see an ad they might be interested in then to click on it...voila I just made some more money. So the way they decide how much you make is in their formula. You see they have a formula that is something like value divided by popularity or something and they come up with a magic number i.e. $1.76 per click and then Google gets some of that revenue and you get some. I will keep you informed of my progress on this money stream.
I do have two more ad spaces created but haven't figured out how to get them on the page yet, but I will. Then I increase my income stream to three! Hey that might be a way of keeping track of how I am streaming towards my financial goal of $500,000.-- in the bank! Stream number one of income is my job, stream number two ad on blog, stream number three the previously mentions Tax Lien Certificates, stream number four is a restitution check that I sometimes get, not reliable but it does count..
Now on a more personal note...personal finances that is. I did receive one check in the mail so this week the bank account is not overdrawn...stream... I signed up for accident insurance and dental insurance for the awesome price of $40.00 per month. I know I have some dental work that is coming up and therefore it is time to get the insurance and save myself the cost of it and I know I am covered if I had some stupid trip and fall kind of accident and hurt myself, which I am prone to do at least once a year. Twice in one year I tripped and broke my ribs, fell in a hole in my own backyard once, and stupid stuff like that. So this is a preventative move in my financial picture...like in chess...this is a knight move! And the Bishop was getting my credit report and scores, and the Rook move is making sure I keep paying my current bills and don't let anything go to collections...make the phone call. I made two calls today to try and reduce $800.00 of medical bills. In one case she is going to send me some paperwork to fill out for assistance in paying for it and in the other case I am going to write a letter to the supervisor to argue my case. I also have that darn speeding ticket which right now is sitting at $190.00 I am going to write a letter for that one and see if I can get it reduced to half at least.
So all of these things are about money in one way or another and they all affect it in different ways. Between the income streams, the handling of business, the insurance coverage, and the investigative work done so far on my credit, I feel richer already!
TTFN!!!
I spent a good part of yesterday creating a new stream of wealth. It turns out that if you have a web page or blog such as this you can put an advertisement on your page through ad sense. And each time someone clicks on an ad you get paid. Now I don't really know how lucrative this is going to be but it is just something I thought I would try and see if it works. All it cost me is a little time. So, if you are reading this please tell your friends about this blog and ask them to follow and if they see an ad they might be interested in then to click on it...voila I just made some more money. So the way they decide how much you make is in their formula. You see they have a formula that is something like value divided by popularity or something and they come up with a magic number i.e. $1.76 per click and then Google gets some of that revenue and you get some. I will keep you informed of my progress on this money stream.
I do have two more ad spaces created but haven't figured out how to get them on the page yet, but I will. Then I increase my income stream to three! Hey that might be a way of keeping track of how I am streaming towards my financial goal of $500,000.-- in the bank! Stream number one of income is my job, stream number two ad on blog, stream number three the previously mentions Tax Lien Certificates, stream number four is a restitution check that I sometimes get, not reliable but it does count..
Now on a more personal note...personal finances that is. I did receive one check in the mail so this week the bank account is not overdrawn...stream... I signed up for accident insurance and dental insurance for the awesome price of $40.00 per month. I know I have some dental work that is coming up and therefore it is time to get the insurance and save myself the cost of it and I know I am covered if I had some stupid trip and fall kind of accident and hurt myself, which I am prone to do at least once a year. Twice in one year I tripped and broke my ribs, fell in a hole in my own backyard once, and stupid stuff like that. So this is a preventative move in my financial picture...like in chess...this is a knight move! And the Bishop was getting my credit report and scores, and the Rook move is making sure I keep paying my current bills and don't let anything go to collections...make the phone call. I made two calls today to try and reduce $800.00 of medical bills. In one case she is going to send me some paperwork to fill out for assistance in paying for it and in the other case I am going to write a letter to the supervisor to argue my case. I also have that darn speeding ticket which right now is sitting at $190.00 I am going to write a letter for that one and see if I can get it reduced to half at least.
So all of these things are about money in one way or another and they all affect it in different ways. Between the income streams, the handling of business, the insurance coverage, and the investigative work done so far on my credit, I feel richer already!
TTFN!!!
Monday, September 26, 2011
Beginning Tax Lien Certificates
Dear Readers,
Oh wait I don't know if I have any readers but...I'm gonna write anyway...Dear Readers so the newest development in becoming "Rich" is I have discovered something really cool and if it works then the "riches" will be here sooner than I think. It's called "Tax Lien Certificates" or "Tax Lien Deeds". Now apparently the way these work are as follows..1. The property owner has not paid their taxes. 2. The property is now in possession of their county. 3. The property is for sale for the price of the taxes owed 4. You have to bid on these properties and have the cash on hand to win and seal the deal. That is how the Deeds work (I think), and so item 1 and 2 apply for certificates but number three is 3. the owner does not wish to lose the property and makes a deal with the county in which the county offers to have an investor come and pay the taxes (hence you acquire a certificate and not a deed, you don't own the house) 4. so you the investor pay the taxes to the county and get 18%(which is the rate by law ) interest on your money which is then 5. repaid to you plus interest when the county receives their money from the home owner. They keep their house, the county gets their taxes, you get the interest on your money. Everybody wins! Now if the home owner does not pay their taxes on the agreed upon time limit set by the county (again I think) then the home reverts to the county as owners and they put the deed up for sale. One thing I am certain of is that if you purchase one of these Deeds then all mortgages, taxes, and liens owed on that property become null and void and you own it out right. Of course you do begin to pay property taxes in your name on your new property.
I ordered a book that cost me $19.99 plus shipping and of course all kinds of DVD's and such were available to purchase too but I declined that offer. I also did some checking into getting health insurance, and dental insurance. For those of you who don't know me...that would be most anyone...I have very bad teeth! I have one that is being pushed out by the gums themselves and is very loose...about to fall out and wants to take its neighboring buddy with it. So, the cost of accident insurance and dental insurance is going to be $40.50 a month...the good news...my boss offered to give me a raise to cover that cost provided the chief financial officer (his wife) says it is in the budget. Of course it doesn't kick in until my 90 day review and we are on 45 days plus! So, that's what's up in my world of finance.
Take care people...and if you haven't read the face book post about the 80 year old man who suggested how to fix the United States budgetary problems...here was his solution...
Offer all 40 million working folks fifty and over one million dollars each with the stipulation that 1. They must retire and that opens up 40 million jobs...employment crisis over 2. They each have to buy an american made car...auto crisis over 3. They each have to pay off their mortgage or buy a house...real estate crisis over! Now that was good financial advise! I hope the president takes it cause I am 50 and sure could use a new car and a house and retire comfortably! Lastly he asked that congress etc retire on social security and medicare and see how long that takes to fix.
Peace to all!
Oh wait I don't know if I have any readers but...I'm gonna write anyway...Dear Readers so the newest development in becoming "Rich" is I have discovered something really cool and if it works then the "riches" will be here sooner than I think. It's called "Tax Lien Certificates" or "Tax Lien Deeds". Now apparently the way these work are as follows..1. The property owner has not paid their taxes. 2. The property is now in possession of their county. 3. The property is for sale for the price of the taxes owed 4. You have to bid on these properties and have the cash on hand to win and seal the deal. That is how the Deeds work (I think), and so item 1 and 2 apply for certificates but number three is 3. the owner does not wish to lose the property and makes a deal with the county in which the county offers to have an investor come and pay the taxes (hence you acquire a certificate and not a deed, you don't own the house) 4. so you the investor pay the taxes to the county and get 18%(which is the rate by law ) interest on your money which is then 5. repaid to you plus interest when the county receives their money from the home owner. They keep their house, the county gets their taxes, you get the interest on your money. Everybody wins! Now if the home owner does not pay their taxes on the agreed upon time limit set by the county (again I think) then the home reverts to the county as owners and they put the deed up for sale. One thing I am certain of is that if you purchase one of these Deeds then all mortgages, taxes, and liens owed on that property become null and void and you own it out right. Of course you do begin to pay property taxes in your name on your new property.
I ordered a book that cost me $19.99 plus shipping and of course all kinds of DVD's and such were available to purchase too but I declined that offer. I also did some checking into getting health insurance, and dental insurance. For those of you who don't know me...that would be most anyone...I have very bad teeth! I have one that is being pushed out by the gums themselves and is very loose...about to fall out and wants to take its neighboring buddy with it. So, the cost of accident insurance and dental insurance is going to be $40.50 a month...the good news...my boss offered to give me a raise to cover that cost provided the chief financial officer (his wife) says it is in the budget. Of course it doesn't kick in until my 90 day review and we are on 45 days plus! So, that's what's up in my world of finance.
Take care people...and if you haven't read the face book post about the 80 year old man who suggested how to fix the United States budgetary problems...here was his solution...
Offer all 40 million working folks fifty and over one million dollars each with the stipulation that 1. They must retire and that opens up 40 million jobs...employment crisis over 2. They each have to buy an american made car...auto crisis over 3. They each have to pay off their mortgage or buy a house...real estate crisis over! Now that was good financial advise! I hope the president takes it cause I am 50 and sure could use a new car and a house and retire comfortably! Lastly he asked that congress etc retire on social security and medicare and see how long that takes to fix.
Peace to all!
Wednesday, September 21, 2011
Some Small Advice
Ok so today in my journey of financial stability I inquired of the financial world some definitions of some of their terminology...for instance...securities, mutual funds, annuities, options, stocks, brokerage, managed accounts, and a few others I can't think of off the top of my head. What I learned was fascinating! And it is all starting to come together. Some advice I have gathered from those in knowledge of the world of high finance goes like this...first of all set goals and write them down on a piece of paper no matter how out of this world or inconceivable they may be. Start small and go big!!! Anything you want to buy, invest in, or acquire. The other thing one needs to do is somehow manage to save at the minimum three months worth of your monthly expenses in a bank account...a DO NOT TOUCH account. There is yet another thing one needs to do and that is to start thinking about insurance...hmmm...I've been to the ER approximately twice in the last ten years and have not been to a doctor much more than that. I stay healthy! I keep ahead of that game as much as possible. So, to me health insurance is not a priority but according to most adivsors you really should have health insurance and then put the deductible amount into that DO NOT TOUCH account as well. Then once you have established that...you can begin to look at life insurance. Sounds like a lot of saving to me and with a limited amount of income I'm not sure how long it will take or how much I need to start saving but I will do the calculations and let you know. The good news is...I get paid tomorrow and I still have $10.00 in my pocket! Woo Hoo!!!
TTFN
TTFN
Tuesday, September 20, 2011
My Financial Picture
Today's date 9/20/2011. I'd like to take a moment and clarify my situation. I moved from Bayfield Colorado on July 3rd. I moved here with just enough money to get here, the aforementioned u-haul, two dogs, two cats, and ownership of one horse (although she has not arrived here yet and will not til next spring), one flatbed 5x8 trailer. These are my assests. Value? About $2100.00 No car, no home, no job, no money. I had arranged to live in my sisters motor home in her driveway til winter if it was available and it was. I immediately went down to the human resource office and applied for food stamps. The least I could do was offer some food contribution. I receive $200.00 a month in food stamps (now called food benefits).
I did manage to get a job and began working in a financial brokers office on August 3rd. Not too bad in today's economy to land a job in 30 days and considering I do not have a background in finance. I am a former Preschool Teacher/Business Owner, that's how I got the job! This intrigued me and inspired me to see how far I can go in the world of finance. So the end result is this blog, and a lot of work ahead of me.
I made an "end of the year" budget...sort of just layed out my income and some bills that followed me here that need my attention and need to get paid. I am only working 16 hours a week and take home $287.00 every two weeks. So I set up my budget for every two weeks and factored in everything from cell phone to dog food.
Already I have some goals that I'd like to see achieved. There are things I would like to buy and need. So, I made a short list of some goals and the cost involved in getting these items. Guess I need to prioritize that list some. It seems a little random and tires on the car that I borrow to get to work and back are probably more important than a snowmobile! Ok so....
Today I spent many hours pouring over my credit report. It is my understanding that in order to secure your financial future you need to take a proactive stance. Already I feel empowered by simply taking the time to get my credit report and credit score (which is rated 560-567) a very poor credit score! Yes I know how it got that way. Actually in my life I have not put much stock in the whole "credit" thing, byt the way I am 50 years old this year. I found that the more money I made the more I spent. So my spending habits were atrocious. After reviewing my credit score I feel as though I have a place to start. A jumping off point, a launch pad. I enlisted the help of Privacy Guard, a credit reporting , identity, and life assistant kind of program offered by my bank. This is not a plug for them but they were really helpful and answered my 50 questions and stayed on the phone with me for as long as it took, and believe me it took a long time, to answer my questions. I have not yet bought those penny stocks that I mentioned I would...procrastination. I feel as though I don' t have enough information gathered in my little pea brain yet. I am working on it though for I have been taking some really small online e courses in stocks and options. I am happy to report that I now understand what a stock option is. I am going to participate in a "webinar" this evening too. We'll see how that goes and what I learn.
Wow, after reading through this I guess I'm on the right track. That's it for now...TTFN!
I did manage to get a job and began working in a financial brokers office on August 3rd. Not too bad in today's economy to land a job in 30 days and considering I do not have a background in finance. I am a former Preschool Teacher/Business Owner, that's how I got the job! This intrigued me and inspired me to see how far I can go in the world of finance. So the end result is this blog, and a lot of work ahead of me.
I made an "end of the year" budget...sort of just layed out my income and some bills that followed me here that need my attention and need to get paid. I am only working 16 hours a week and take home $287.00 every two weeks. So I set up my budget for every two weeks and factored in everything from cell phone to dog food.
Already I have some goals that I'd like to see achieved. There are things I would like to buy and need. So, I made a short list of some goals and the cost involved in getting these items. Guess I need to prioritize that list some. It seems a little random and tires on the car that I borrow to get to work and back are probably more important than a snowmobile! Ok so....
Today I spent many hours pouring over my credit report. It is my understanding that in order to secure your financial future you need to take a proactive stance. Already I feel empowered by simply taking the time to get my credit report and credit score (which is rated 560-567) a very poor credit score! Yes I know how it got that way. Actually in my life I have not put much stock in the whole "credit" thing, byt the way I am 50 years old this year. I found that the more money I made the more I spent. So my spending habits were atrocious. After reviewing my credit score I feel as though I have a place to start. A jumping off point, a launch pad. I enlisted the help of Privacy Guard, a credit reporting , identity, and life assistant kind of program offered by my bank. This is not a plug for them but they were really helpful and answered my 50 questions and stayed on the phone with me for as long as it took, and believe me it took a long time, to answer my questions. I have not yet bought those penny stocks that I mentioned I would...procrastination. I feel as though I don' t have enough information gathered in my little pea brain yet. I am working on it though for I have been taking some really small online e courses in stocks and options. I am happy to report that I now understand what a stock option is. I am going to participate in a "webinar" this evening too. We'll see how that goes and what I learn.
Wow, after reading through this I guess I'm on the right track. That's it for now...TTFN!
My First Blog!
Ok people so I have decided to try and write a "blog" if you will. Almost like a diary only open for public view, comment, and suggestion. Hopefully there will be some helpful hints and good advice as well as an interesting story to be had by all. From Rags to Riches is going to be all about how I moved here with not much in my pockets, a 16 foot u-haul full of belongings, no money in the bank, no car, no job, and a promise of a place to live and how I reach my goal of becoming a financial advisor! Hence the riches! I am also going to invest in penny stocks and follow it and post the results. So this being my first note...if you read this...please let me know. It would be nice if I can help just one person go "FROM RAGS TO RICHES".
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