Have We Learned To Use Credit Responsibly?

The thunder and lightning carrying on outside represented my struggle well. Two evenly matched forces were doing battle inside my head. The need to save money whenever possible, and my solid stance that using a credit card to pay for something should be avoided at all costs. Let me be clear, I do not think that credit cards themselves are evil. When used correctly, they can be a valuable tool in a person’s financial tool belt that can actually save money.   However, I have a huge problem with some of the business practices and policies of credit card companies. My […] Read more »

Why You Should Never Use a Home Equity Loan to Pay Off Debt

Why You Should Never Use a Home Equity Loan to Pay Off Debt

Have you ever thought about taking out a home equity loan to help pay off debt? There are a lot of financial gurus that will advise you to dip into your home’s equity when you have a pile of debt you need to get paid off. But I believe paying off your debt with a home equity loan is not a wise move, and I’ll tell you why in just a minute.   Why Some Gurus Recommend Home Equity Loans For Paying Off Debt But first, I want to cover why some “financial gurus” say you should consolidate your debt […] Read more »

Credit Card Companies Aren’t Providing Credit Scores For YOUR Benefit

The credit card companies are at it again. Remember, these are the same companies that think you’re so stupid that they actually created a commercial that suggests it would be a great idea to buy things for your friends just to earn credit card rewards. What are they up to now? Credit card companies are offering to give you your credit score for free. On the surface, it sounds like a good deal for consumers. Obtaining your credit score will usually cost you somewhere around $20. The credit card companies are doing us such a nice favor by providing us […] Read more »

Debt Collectors Harassing You?- Here’s What You Can Do

debt collectors harassing

Dealing with overdue debt stinks. Dealing with a debt collector harassing you can be just plain scary. When you have debt that’s gone bad and been placed in a collection agency, it very easy to avoid the situation or even completely ignore it when you feel like there is no way you’ll be able to pay it. That’s why some debt collectors will resort to whatever it takes get your attention, even if it’s illegal.   Some Debt Collectors Do Crazy Things Most debt collection agencies are very professional and do their best to follow the rules on debt collection […] Read more »

My New “Celebrating Financial Freedom” Course!

Celebrating financial freedom online get out of debt course

If you’ve been following my posts here on EOD for a while now, you may know that I offer a popular Christian get out of debt course that I’ve taught at various venues over the years. The course has always been offered in a physical version with a workbook and CD’s. I’ve been asked many times if I have the course available in an online format, and I’ve always had to say “no”. But not anymore. You Can Win Access to the Course for Free!  (Continue Reading)   You Asked, I’m Making it Happen Over the last few months, I’ve […] Read more »

Credit Card Companies Think You’re Stupid

Over the weekend I saw a credit card commercial that had me shaking my head. In the commercial, two woman are having lunch at an outdoor restaurant when one woman suggests the others’ friends are simply inviting her to events so they can pay with their credit card and earn credit card rewards points. When the bill comes, woman #1 whips out her credit card and offers to pay. The commercial ends with the two staring at each other, one wondering if she is being used, the other hoping her friend won’t figure it out. Seriously, do credit card companies […] Read more »

Goin’ Commando With Credit

If you ever ask me about how to get out of debt, I have a variety of answers, depending on the situation.  Probably the number one answer I give is “spend less than you make”.  When you start asking more questions about how to get started, I’ll usually tell you that the first step is to cut up your credit cards. You just don’t need them. They only serve as a drag on your financial situation. When you use a credit card to make purchases, it’s too easy to spend money without thinking about it, because swiping a card doesn’t […] Read more »

You Definitely DON’T Need a Credit Score

This guy thinks he needs a credit score

Do you have a credit score?  Probably so.  Do you have any idea what your credit score is?  Maybe you do, maybe you don’t.  Do you really believe that it’s totally necessary to have a credit score?  Most people do, and I think they are wrong. First, let’s take a quick look at exactly what your credit score is and why you have one.  Your credit score, also known as the FICO score, was created by the Fair Isaac Company (Thus “FICO”) to estimate a person’s credit worthiness.  Your FICO score is really just a number that tells people how […] Read more »

When Should You Give Up?

Photo from Flickr by Brian Carlson, Houston, Texas

I’ve been thinking a lot lately about difficult situations. When is enough enough? How do you know when you should just focus your energy elsewhere? Sometimes life can really make you feel like you are beating your head against a brick wall. A lot of the articles on Enemy of Debt talk about persevering. However, there may be times when it is a smarter financial move to just give up. Here are some financial examples of when you might want to say, “Enough!” Making payments on something that isn’t worth it This could be a house, car, or something else. […] Read more »

The Absolute Best Way to Use Your Credit Cards Responsibly

Personal finance bloggers, writers, and TV personalities love to talk about credit cards.  I hear and read them give advice about using cards in ways that will maximize your credit score, they tell you how to find the “Best” cards for you, and they give you info on how to get the most lucrative credit card perks like airline miles and cash back. Most of these gurus generally give good solid advice (for those that use credit cards), and most people need good advice when it comes to using credit cards in a responsible manner, because when it comes to […] Read more »

Your Credit Score — It’s Not a Measure of Financial Responsibility

If I received a quarter for every time someone told me I “needed” a credit score I would be super rich right now. There are many myths surrounding the credit score and believe it or not, it’s the financial world itself that continues to spread these myths. Ask any educated finance graduate if you need a credit score and you’ll most likely hear a “default” answer of ABSOLUTELY. Ask them why you need a score and not only are you likely to get an evil eye roll, the next words out of their mouth will probably be…ARE YOU KIDDING ME? […] Read more »

Surprise, Your Credit Report Stinks

Credit reports are a funny thing that even the most seasoned of financial experts have trouble understanding. With all of the “myths” and “misconceptions” about credit scores swirling around it can be difficult to decipher myth from the real truth. Recently my friend went to a car dealership in search of a new vehicle to replace their old vehicle. Unfortunately, they didn’t have the money saved up to purchase the vehicle (I advised paying cash makes the most financial senseJ), and were going to have to finance the vehicle. When applying for any loan or line of credit you are […] Read more »

Credit Card Emergency Funds – An Alarming Trend in Society

The following is a guest post by Jacob from My Personal Finance Journey, a personal finance blog offering actionable personal finance advice with the goal of achieving long-term success. In particular, Jacob focuses on long term investing and asset allocation strategy analysis, deciding how to prioritize new funds as they come in to various spending requirement areas, and how to develop a lifestyle of frugality. Several months ago through the magic of LinkedIn, Brad and I were able to find out that we actually lived in the same city in Virginia. This was quite an awesome find, being as that the personal […] Read more »

It Adds Up – Financial Adages Help Us Learn from Others

I have a friend who likes to say, "It adds up." He says this when he's referring to saving a little money here and there. Well, of course it adds up, and when we're saving money, it seems to take forever to amount to anything appreciable. But, that's not the case when it comes to spending money, especially when we're buying things with a credit card. Read more »