READER'S ROCK LIFESTYLE MAGAZINE VOL 2 ISSUE 4 NOVEMBER 2014 Vol. 1 Issue 9 March 2014 - Page 23

be tempted to use the last one, certainly afford $20. Then we noticed something. Not only were freeze it in a block of ice. Trying we not paying down our credit cards, the to unfreeze a credit card will give balances were actually increasing - thanks you plenty of time to think about to the magic of compound interest. We just how important that purchase realize if we continued, we'd never get our is. credit cards paid off. We stopped charging · Start with the smallest card amount and pay the biggest and slowly started paying a little extra on the cards. Introducing a New Feature - Finances With Fran Most of our regular Readers Rock subscribers are familiar with me as the YA author of the Finding My Escape Series, but what you may not realize is by day, I'm a financial guru. I'm a degreed accountant, QuickBooks ProAdvisor, financial amount you can on it until you About this time, my husband heard about a get it paid off, then go to the next card and pay it off. seminar put on by two guys named Dave Ramsey and Roy Matlock. (For those of you · Set aside a little money every familiar with Dave and his program, this time you get paid in savings - was before his Total Money Make-Over even if it's only $5 or $10. You'll Days.) Dave and Roy were innovative for be surprised how quickly it adds the time (mid 80's) because they actually up. Ideally, you want to have had the nerve to get up in front of a group three months of your salary of credit-happy Americans and say that saved up in case of an credit was "bad" and that you should cut emergency. Helping you get out of the red & into the black! consultant, and former Commercial up your credit cards and pay them off. Thanks for letting me share with you. If you Relationship Manager for Bank of America. Now while I don't agree with everything have questions about money and how to I also ruthlessly practice what I preach. In Dave preaches, I do have to agree that manage it, you can post them to our new the 27 years since my husband and I have credit cards can be dangerous. If you Book Dollars & Sense been married, we've managed to pay off charge $500 on a credit card with an 18% page. our house and have paid cash for our last rate and made the minimum payment of four cars. We aren't wealthy by any stretch $15 per month it would take your 47 of the imagination, but we've managed to months to pay off. That's almost four years! learn a few things about money, and now Most car loans aren't much longer than I'd like to share it with you. that. And that's if you don't add any When my husband and I were first married, additional charges to the card. our idea of eating out was going to Sonic "But Fran," you say, "I pay my card off every on two-for-one burger night. We spent month." To which I would reply, that's all every dime we took in and then some. well and good until the month when Credit was a way of life for most Americans, something catastrophic happens (sudden and we were no exception. We did manage illness, loss of job, etc.) and suddenly you to save a small down payment for a small can't pay it off. I'm not completely anti- house within about a year and a half of credit card, but I do firmly believe they marriage, but we purchased virtually should be used for emergencies only. everything to go in it from furniture to the So here's the advice of someone who's lawn mower with credit. It was no big deal. managed to get completely out of debt: Our minimum payment was $20 per month and even on our tight budget we could · If you have credit cards cut all but one of them up. If you think you'll $