Signs Of Trouble

There are clear signs that financial trouble is brewing. Some of these indications of trouble are:
♦ Always being short of cash.
♦ Always carrying debt and paying interest on loans other than for a mortgage or automobile purchase.
♦ No idea where “it” all goes.
♦ No budget.
♦ No growth in investments.
♦ Uncontrolled or Impulse buying.
♦ Having trouble buying the necessities of life.
If you have one or more of these signs of trouble, there are some things you can do right now to put yourself back on the right path. Here are some things to look at:
1) Pay off high interest debts first. Focus on high percentage interest first ratherthan high total interest.
2) Move all your high interest debts to lower interest accounts like a line of credit or a consolidated mortgage.
3) Pay more on your mortgage. Some mortgages let you pay more each month or once per year. Do it, because the extra payment goes directly against the principal.
4) Refinance your mortgage to a variable rate. This will give you the lowest interest rate. Use a mortgage broker to get the best interest rates for you. In most cases the mortgage broker will charge you nothing.
5) Look over the Money Saving Tips given in the Scrooge Guide, determine which are the top 10 for you and make a plan to implement them right away. This will increase your available cash.
6) Develop a budget and plan for excess to be available for investment.
7) Invest in ETF’s and high dividend yielding stocks. Exchange traded funds are tops for growth, safety, liquidity, and taxation. They track the market or a market segment and are the best vehicle to invest in. They may outperform mutual funds two to one in yearly growth. Dividends on good quality blue chip stocks will usually continue to be paid out even when the stock value doesn’t grow much. This ensures some income in all years regardless of stock value.
8) If you need help - get it! Don’t wait until you are in a desperate situation. A financial planner can help you develop a plan to get out of debt right now.
9) Immerse yourself in information about saving money. Surround yourself withfrugal friends. The concentration principal says that whatever you are focused onwill become the strongest force in your life.
10) Buy, beg or borrow these books & magazines:
♦ So You Want More Money, by George Caners
♦ The Millionaire Next Door, by Stanley & Danko
♦ The Scrooge Guide
Please remember we at the Scrooge Guide specialize in helping people get out of debt and offer a number of services in this area. Contact us for more information.

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