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Now that you are unemployed, hoard your cash.  Activate all of your benefits.  Don’t pay off your outstanding credit cards.  Pay only the minimum amounts required.  The reason?  You really don’t know how long you will be unemployed. 

Do not…repeat…do not attempt to get a loan or a new credit card to help pay for expenses.  You don’t need a new debt at this time. 

Live below your means.  If you don’t need it, don’t buy it.  You are unemployed.  And…did you know you do have a new job?  That reflection of you in the mirror is your boss.  Your job is to find a job; it is a new job and a job deserving of your utmost attention.

Set work hours.  You will need organized attention in order to find a job. 

Get up early.  Before you are ready to work, you will need to shower, dress, fix your hair and put on your shoes.

Is there a workspace in your home where you can go to “work”?  A small area can be converted into your office.  Keep it simple and don’t invest a lot of money into it.

Now is the time to tend to your paperwork.  Write a new job description.  Update your resume.  Create a list of firms and individuals for distribution and keep good follow up records.  Set up files and phone logs.  You will need to work as hard for yourself as you did for your ex-boss.

Keep your network of people alive.  Let them know about your job search and where you can be reached.  You never know what company is looking for you.  Make yourself known and available. 

Acknowledge your feelings and emotions, but don’t wallow in them.  The old saying goes like this…”Tough times don’t last but tough people do.”

After listening to the latest news report, I am more convinced that the government stimulus package should have been given each tax payer. Just think…if we all received money to pay off our credit cards, to bring our mortgage payments up-to-date and to finally be able to fill our gas tanks and to fill our fridge with healthy meals instead of fillers to stretch meals.

No more would the credit card companies be able to complain about delinquent payments or having to write off payments not made. Foreclosures would be a thing of the past. The banks would have money; the mortgage companies would be able to lend money for building new projects or updating older homes. Credit card companies would be able to extend credit and invite new creditors. A clean slate would be each taxpayers lot in life.

But then dreams don’t cost money and it is money the taxpayers don’t have. Credit card companies continue to raise interest and I can’t help but think they are fudging on their accounts in order to “beg” for more government money. Not only do we have to pay for increased interest rates but we also have to pay the taxes for money “lent” to the credit card companies who should be using this money to make it right by the consumers.

Quite frankly, the bill collectors are an attractive option. Offering us to repay pennies on the dollar for outstanding credit card debts and living through a couple of years of bad credit. I can live with that.

If only it were that easy. Unfortunately, we are geared to purchase the latest gadgets and the most up-to-date wardrobes. Who can afford bad credit for a couple of years? I can, but then I am a baby boomer. I don’t need anything else since anything purchased now is more on the want side of the page and not the need. But someone younger, starting out in any of life’s major changes needs credit and wants to have at least a good credit rating. I am content with my 10-year-old car; it runs like a champ. But someone younger wants something new every two or so years. And if there are children in the home, keeping up with the latest fashion trend does cost money.

The taxpayers, with a stimulus package, would have gotten the economy on the right track. Corporations are for corporations – not for the taxpayer.

Let’s face it.  Credit card companies think only of themselves and their profit margin.  By doing so, they resort to sneaky practices and the consumers (you and me) are totally unaware of some of them, if not all of them. 

The first one that comes to mind is retroactive rate increase.  Unfortunately credit card companies were given until next year to raise interest rates before there is a “freeze.”  Anyone is able to come to the conclusion that the credit card companies are looking for any excuse to raise interest rates prior to the cutoff date. 

The next is a good one – universal default.  That means if you have fallen behind on a payment to one of your credit card companies, than other credit companies can raise your interest on any other credit cards you may have, even if you have been paying on time.  It is a sneaky practice and is done so with the thought that even though payments are done on time, there is always that outside chance the payments may not be on time in the future. 

If you have multiple cards with the same company, the one with the highest interest rate will be paid last.  Obviously more interest is collected – another sneaky practice. 

Now this is really a trap.  A credit card company will move the due date around, from evening to the morning of the due date.  Most individuals assume that they have until the evening of the due date to pay.  Not so anymore.  Bingo…you’re late with your payment!

CEO’s of the major credit card companies will be meeting with the President later this week.  Hopefully these sneaky practices will be addressed.  Credit card companies have received millions of bailout money and still they continue to “jab” their customers and  “nickel and dime” them.  I firmly believe we just may be better off working with bill collectors paying pennies on the dollar.  Credit card companies aren’t willing to work with their customers.  True, your credit report will be blemished but it won’t be long before you can once again regain a good credit report.  And…at a loss to the credit card companies.