ROANOKE TIMES
Copyright (c) 1997, Roanoke Times
DATE: Thursday, January 9, 1997 TAG: 9701100014
SECTION: CURRENT PAGE: NRV-2 EDITION: NEW RIVER VALLEY
COLUMN: home front
SOURCE: Sarah Burkett
As we greet a New Year we usually enter it with a list of resolutions: goals for the new year, changes to make, things we didn't do last year that we think we will do this year, etc. When you make your resolutions, as one of the first include "I will evaluate and improve my financial situation." Be sure this is one of the resolutions you do accomplish. If it hasn't been checked off by tax time, do the evaluation as you pull information together for your income taxes.
Begin by reviewing the 10 Financial Danger Signs
1. Pay only minimum amount of credit-card balance.
2. Each month's credit-card balance seems higher.
3. Miss payments or pay late bills.
4. Frequently use checking account over-draft privileges.
5. Use credit or saving to pay routine bids.
6. Receive letters from creditors.
7. Not talking to spouse about money OR only talking to spouse about money.
8. Depend on overtime pay, bonuses, moonlighting to cover regular expenses.
9. Deplete savings or have no savings cushion.
10. Take out new loans to pay old ones.
Do you find that any of these signs are relevant to your financial situation? Are there several or just one? Most of the signs are indicators that there is a shortage of funds. Changing your financial practices can help improve your financial situation, although it will take some time.
Consider these changes
1. Reduce use of credit cards. Depending on your willpower this may mean pulling the cards out of your pocket or destroying them.
2. Set aside one area in the house for financial information as a way to avoid misplacing or overlooking a bill.
3. Keep track of what you spend for a month, large and small purchases. Review list to see what is a necessity and what you can cut out or reduce in future months.
4. Make a spending plan that lists how your available funds will be spent, stick with it.
5. Make a plan to reduce your debt before you take on any more.
6. Make a "payment" to a savings account at least once a month.
7. Involve the whole family in the process, if everyone is working toward the same goal success will be more attainable.
8. If the task seems to overwhelming don't hesitate to seek help. Contact either your local Cooperative Extension Office or Consumer Credit Counseling Services.
LENGTH: Medium: 55 linesby CNB