The war, taxes, the economy, increased health problems, crime on the rise, overwhelming divorce rate, corruption in corporate America, and, oh yes, Janet at the Super Bowl! Where does it end With so much going wrong, whats going right in the world
It is times like these that I find myself mired down in the muck spewing forth from every media outlet. Like water dripping on a sponge, this negativity begins to seep in and pervade my thoughts and influence my reactions to the world around me. Often, a bad attitude or a grumpy mood can be traced directly to what I have been exposing myself to.
Look at many of the recent studies about TV violence and childrens behavior. The evidence is clear that the thoughts and actions of kids are significantly altered when exposed to violent acts for extended periods of time. Are adults any different Sure its important to keep up with current politics, the war, the economy and even Pop culture but when is enough, enough Dont get me wrong, Im not vowing to stick my fingers in my ears, close my eyes and yell, Find a happy place! Find a happy place!
I still follow the news. There are very significant events happening in the world these days and I do believe that it is important for me to be informed. I also enjoy watching a few TV shows. Just because Im cutting back on my media consumption doesnt mean that Im shutting the Soprano family out of my life! So a few people get whacked here and there. That doesnt mean that there are not some redeeming qualities to gangster life okay, so there arent. Regardless, the Sopranos and I been though too much together over the past six seasons and recently one of my favorite actors, Steve Buscemi, joined the cast.
I have, however, made a specific effort to be very aware of the information I consume. Along with this effort I have created a diet, of sorts. Balancing the protein, carbohydrates and fat that I eat is no different from balancing the harshness that I partake of from news and entertainment; all in moderation, with a little exercise on the side.
The moderation mantra is, of course, a good philosophy for most areas of life but most particularly for that, which enters our minds. I recently heard an NPR interview with Governator Arnold Schwarzenegger. He was talking about the impact that health and fitness has had on his life and the role that it continues to play. He stated now, read this with your best Arnold accent, A healthy body is a healthy mind. While certainly this holds true Id like to take that a step farther using an Arnold accent, of course, A healthy mind is a healthy world! Ready for a diet
© 2004 by Dr. Robert A. Eubanks
Article URL: http://www.bridgetosolutions.com/pages/8/index.htm
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About The Author

Dr. Robert A. Eubanks is the founder of Bridge to Solutions Coaching. He coaches people around the country via telephone to improve organization, time management, goal setting and to create the best darn life possible! For a free 30 minute coaching session, e-mail bridgetosolutions@yahoo.com or visit www.bridgetosolutions.com.

Introduction
One of the easiest "things" that can happen in life is the ratcheting up of a large credit card debt. For whatever reason, making purchases with credit cards seems easier than spending cash to obtain a product or service.
Maintaining high levels of credit card debt is not prudent. The interest rates associated with most credit cards is high. In fact, many people have managed to rack their card balances up so high that only the minimum payment is made each month. As a result, these people are taking years if not decades to pay down their credit card balances, all the while wasting an incredible sum of money in interest payments alone.
In this article, a number of strategies to reduce credit card debt are presented. These tips are general in nature but will provide a person with credit card debt a solid plan for reining in credit card balances.
Overall Strategy
Target the highest rates of interest. If you can, transfer the balance to another credit card, where you will achieve a zero or low interest rate for a set period. While this balance is not costing interest you can target other debts that are. Make sure you are prepared for when the offer period runs out and have another balance transfer offer http://www.chooseacreditcard.co.uk/balancetransfers.html ready to take over. You should look to have your credit card application http://www.creditcard-applications.gb.com a few weeks before your current offer period runs out. If you cannot transfer the balance then pay off as much as you can afford, so the balance reduces as quickly as possible.
Take Advantage of Credit Card Offers
Credit card companies are very competitive and as such there are some very good 0% balance transfers http://www.chooseacreditcard.co.uk/balancetransfers.html and purchase offers http://www.chooseacreditcard.co.uk/0InterestCreditCards.html available. Look to take advantage of these, but make sure you have a plan in place on how to deal with the balance when the offer finishes. Remember that the debt has not gone away.
Debt Consolidation Loan
As mentioned previously in this article, credit card accounts usually have high interest rates. The combination of high interest rates and free spending patterns can result in the rapid escalation of credit card debt.
A debt consolidation loan can be an excellent tool to assist in the reduction of credit card debt. Consolidation loans carry interests rates far below those of credit cards. In the long run, a great deal of money can be conserved through the use of a debt consolidation loan.
Chop Up Credit Cards
While in many segments of society, the word "self restraint" is pass

Reducing debt usually isnt a high priority for people until they have already gotten into trouble with overspending. Using a few basic guidelines, and debt calculations, can help you see when your debt load is getting into the danger zone.
Budgeting Guidelines
First off, creditors use budgeting guidelines when reviewing and approving credit. If your debt exceeds the financial communities recommended guidelines, then you have a higher risk of credit applications being denied.
Getting, and keeping, your debt in line with recommended budgeting guidelines, is an important step in debt reduction. Use the following recommended budgeting guidelines the same ones used by Financial Institutions to review the items in your budget:

Housing 35% - Mortgage or rent, taxes, repairs, improvements, insurance, and utilities;
Transportation 20% - Monthly payments, gas, oil, repairs, insurance, parking & public transportation;
Debt 15% - Credit cards, personal loans, student loans & other debt payments;
All other expenses 20% - Food, insurance, prescriptions, doctor & dentist bills, clothing & personal;
Investments & Savings 10% - Stocks, bonds, cash reserves, retirement, rental real estate, art, etc.

Debt Income Ratios
The second step is calculating your debt income ratio. Once you know what your ratio is, you will understand just how important debt load is to your overall financial picture. Your debt income ratio is the percent of your monthly take-home pay that goes to paying debts.
You calculate it by taking the amount needed to repay debts each month, including rent or mortgage, and divide by your take-home pay your net pay after taxes. Remember, this is "Debt" ratio, so only include actual debt repayment in the calculation.
Credit To Debt Ratio
Just because you pay off a credit card is no reason to close your account. One little known fact about the Credit to Debt Ratio is the reverse effect it has on your credit score. If you pay off a credit card, and close the account, you are actually negatively impacting your credit score.
The reason for this negative effect is in the calculation of the Credit to Debt Ratio itself. This ratio is the relationship of your debt total vs. your credit limit.
You calculate it by dividing the total credit limit of all credit cards and loan accounts by the total of the actual debt spent total. Now, if you pay off a credit card, you are reducing the actual debt, which is great, but, if you close the account, you are also dramatically reducing the credit limit you have, and usually by a higher percentage than the debt reduction.
Pay Yourself First
Essential to long-term financial success, and protecting your future, is paying yourself first. While this may seem easy to do, it happens to be the last thing most people do, instead of first. Debts and other financial obligations, money for entertainment, and other spending always seem to take a higher priority. All I can say is, STOP! Think about it, if you arent worth being paid first, then who is Always put something away in your savings, and leave it alone. It doesnt matter if its only $5 a week, just do it!
Snowball The Credit Cards
Last, but not least, is making extra payments, not just the minimum payments, on your credit cards. You have probably already seen this many times, but it just cant be stressed enough. Paying just $10 extra a month on a credit card, above the minimum required payment, can cut your repayment term in half, if not more! So, squeeze out that extra payment, however small, every month, and take advantage of the compounding effect of snowballing your debt away. The Power of Financial Knowledge
Remember, you dont have to be a financial whiz to understand whats going on with your credit and debt. Just a few simple calculations, and an eye on the future, will go a long way to help you succeed financially and keep your debt under control. Be safe, be smart, do the math!

About The Author

Article courtesy of: DebtSteps.com offers comprehensive reviews of your options for debt relief. From budgeting to bankruptcy, debt consolidation, and credit counseling. DebtSteps.com is where you can get the answers to your questions absolutely free.
Copyright 2004 DebtSteps.com, all rights reserved. Reprinted with permission.

It happens to the majority of us, credit card debt accumulates and before we quite realize it, we are carrying a debt load that is far beyond our means. When this happens, we need to take immediate positive steps to knock down the debt as quickly as possible. One of the most efficient ways to do this is to reduce the amount of interest we pay by shopping around for a better rate and having our balances transferred over. By doing this, we pay more towards the principal, thereby reducing the duration of the loan and saving ourselves potentially thousands of dollars over the lifetime of the loan.
Typically, a credit card carrying a balance of $5000 dollars, with an interest rate of 17.5 % and a minimum monthly payment of $150 would take you 3 years and 10 months to pay off. The total interest accrued would amount to $1, 846. However, if you were to transfer your credit card debt to a lower interest rate loan of 7 %, that same $5000 paid in increments of $150 a month, would be paid off in 3 years, 2 months, substantially reducing the amount of interest to just $564. Thats a savings of $1,282.
There are several options available for lowering your interest rates. Each one has its benefits and drawbacks. By educating yourself, you can choose the one that is best for you.
Consumer Credit Counseling Service
Consumer credit counseling services offers to consolidate your debts into one payment, negotiating with creditors on your behalf to have late fees waived, interest rates lowered and loans extended. Counseling Services will require a donation or payment to cover costs and handling fees. You need to weigh these costs to determine if you would still come out ahead by paying a company to negotiate a better interest rate for you; a service that you may be able to do yourself.
Choose a reputable firm that will handle the consolidation in a way that preserves your credit scores. Prior to the consolidation, due dates should be changed to correspond with the counseling services payment schedule, since many counseling services only send out checks twice a month, on the 1st and the 15th. If these dates do not harmonize with the due dates on the cards, they will show up as late payments on your report. In addition, its important to realize that you need to proceed with caution with these companies because not all are reputable and many remain unregulated. Watch for the following signs that may mislead you into trusting a company you shouldnt:
understand the term "non-profit." It does not necessarily mean the company is legitimate or that you will get a better rate. The laws governing a non profit organization are vague. Many companies qualify for this title by arranging finances to indicate that the company has not profited, while paying their employees large salaries. To find out if a CCCS is legitimate, check with the National Foundation for Consumer Credit NFCC and the Better Business Bureau in your area. Be wary of companies claiming you can lower your monthly payments-this is a fallacy. As of March 25th 2004 the last two banks to accept lower payments discontinued this practice. Question companies that offer lower interest rates than their competitors. All creditors work off the same interest rate reductions and minimum percentage payments on balances so therefore it is highly unlikely to have this lowered. Be familiar with the current interest rates on the cards you carry and ask that you choose which cards to consolidate. You already may carry balances with interest rates that are lower than the one they are offering you. If so, request that you be able to exclude those balances from consolidation.
You have to decide if there is a benefit to going to a Consumer Credit Counseling Service or if you can do their job just as effectively yourself. A consumer can often negotiate with creditors themselves for a better interest rate. One option is to shop around for a better interest on credit cards and to transfer the balances from the high cards over to the lower card. Contact your credit card company and tell them you have been offered a better rate at another company and if they plan on matching or beating that rate. If they do not rise to the challenge then transfer your balances to the new card. One option for transferring your balances is to take out a home equity line of credit.
Home Equity Line of Credit
A home equity line of credit is a loan taken out against the equity in your home, in other words your home is offered as collateral. These loans are usually offered at low interest rates. As with any credit, you should weigh the benefits and costs before deciding. Bare in mind that failure to repay the loan, with interest could result in the loss of your home.
The credit limit on the line is derived at by taking a percentage of the homes appraised value and subtracting the balance owing on the mortgage. The line of credit amount is also based on your income, credit history and additional debt load.
The home equity line of credit works on a variable interest rate, based on the prime rate. Lenders usually charge prime rate plus a 2 percent margin. By law, equity lines of credit must have a cap on how much the interest rate may increase over the life of the plan. Some also limit how low your interest rate may fall if there is a drop in rates.
Home equity plans may set a fixed period during which you can borrow money. At the end of this draw period you may have the option of renewal, or if no renewal option exists, then the plan may call for full payment at the end of the term.
As with any contract, you must read the terms and conditions carefully, as many plans have fees, charges and hidden costs. Some of the costs involved in establishing a home equity line of credit include property appraisal fees, application fees, closing costs and attorney fees. In addition to these costs, you may expect to pay transaction fees every time you draw on the line.
The benefit of opening a Home equity line of credit is that the minimum payments are low, often set at just the interest or interest plus a few percentage points. Be aware that with a variable interest rate, monthly payments may fluctuate. If you sell your home you will probably be required to pay off your loan immediately.
No matter which option you choose, the main goal should be to reduce those high interest rates while paying the lowest penalty for doing so. Weigh the pros and cons of all options carefully and choose a road that best suites your financial situation.
Stay Informed
It is important to stay informed about your credit before you apply for any loan. An excellent way to begin taking control of your financial future is to obtaining a copy of your credit reports before you see a lender. Today you can get your free instant credit reports from the major 3 credit report agencies online. This way you can see exactly what the lender will see. When obtaining your credit reports, you will want to make sure you get your credit report scores as this is what lenders base most of their decision on. The higher your credit score the lower your interest rate will be and vice versa. So be a wise consumer, get you

Reducing debt usually isnt a high priority for people until they have already gotten into trouble with overspending. Using a few basic guidelines, and debt calculations, can help you see when your debt load is getting into the danger zone.
Budgeting Guidelines
Creditors use budgeting guidelines when reviewing and approving credit. If your debt exceeds the financial communities recommended guidelines, then you have a higher risk of credit applications being denied.
Getting, and keeping, your debt in line with recommended budgeting guidelines, is an important step in debt reduction.
Use the following recommended budgeting guidelines the same ones used by Financial Institutions to review the items in your budget:

Housing 35% - Mortgage or rent, taxes, repairs, improvements, insurance, and utilities;
Transportation 20% - Monthly payments, gas, oil, repairs, insurance, parking & public transportation;
Debt 15%* - Credit cards, personal loans, student loans & other debt payments;
All other expenses 20% - Food, insurance, prescriptions, doctor & dentist bills, clothing & personal;
Investments & Savings 10% - Stocks, bonds, cash reserves, retirement, rental real estate, art, etc.

Debt Income Ratios
The second step is calculating your debt income ratio. Once you know what your ratio is, you will understand just how important debt load is to your overall financial picture. Your debt income ratio is the percent of your monthly take-home pay that goes to paying debts.
You calculate it by taking the amount needed to repay debts each month, including rent or mortgage, and divide by your take-home pay your net pay after taxes. Remember, this is "Debt" ratio, so only include actual debt repayment in the calculation.
Credit To Debt Ratio
Just because you pay off a credit card is no reason to close your account. One little known fact about the Credit to Debt Ratio is the reverse effect it has on your credit score. If you pay off a credit card, and close the account, you are actually negatively impacting your credit score.
The reason for this negative effect is in the calculation of the Credit to Debt Ratio itself. This ratio is the relationship of your debt total vs. your credit limit.
You calculate it by dividing the total credit limit of all credit cards and loan accounts by the total of the actual debt spent total. Now, if you pay off a credit card, you are reducing the actual debt, which is great, but, if you close the account, you are also dramatically reducing the credit limit you have, and usually by a higher percentage than the debt reduction.
Pay Yourself First
Essential to long-term financial success, and protecting your future, is paying yourself first. While this may seem easy to do, it happens to be the last thing most people do, instead of first. Debts and other financial obligations, money for entertainment, and other spending always seem to take a higher priority. All I can say is, STOP! Think about it, if you arent worth being paid first, then who is Always put something away in your savings, and leave it alone. It doesnt matter if its only $5 a week, just do it!
Snowball The Credit Cards
Last, but not least, is making extra payments, not just the minimum payments, on your credit cards. You have probably already seen this many times, but it just cant be stressed enough. Paying just $10 extra a month on a credit card, above the minimum required payment, can cut your repayment term in half, if not more! So, squeeze out that extra payment, however small, every month, and take advantage of the compounding effect of snowballing your debt away.
The Power of Financial Knowledge
Remember, you dont have to be a financial whiz to understand whats going on with your credit and debt. Just a few simple calculations, and an eye on the future, will go a long way to help you succeed financially and keep your debt under control. Be safe, be smart, do the math!
Related articles:
Compare the pros and cons of debt consolidation loans, service companies, and credit counseling.

http://www.debtsteps.com/consolidate-debts.html

Understanding how your credit score can affect your debt relief choice

http://www.debtsteps.com/credit-score.html

Copyright 2004 DebtSteps.com, all rights reserved. Reprinted with permission.
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Publication is permitted so long as the resource information at the end of the article remains intact, and links are live..
Please email articles "AT" debtsteps.com providing a link to the location of the article, or a copy of the newsletter.

About The Author

Debs is the editor of www.DebtSteps.com where you can get the answers you need about debt relief, consolidation, credit counseling and more. Free subscrption and money management worksheets http://www.debtsteps.com/debt-help.html