Original Article Written By Joan Goldwasser, Kiplinger.com 
Striking a blow for freedom and transparency, consumer-friendly rules mandated by the Credit Card Accountability Responsibility and Disclosure Act of 2009 took effect on February 22, Washington’s Birthday. Not sure what this means to you? We have answers to your questions.
I know that my bank can’t raise my interest rate [...]

– The majority of Americans know the rates they are paying on their credit card and their credit rating
– Despite this awareness, they continue to carry high interest credit card debt and many do not know how to improve their credit scores
– Of those who know the rates on their credit [...]

Back in January 2010, I finally dove in and invested $1,000 of my own money in a site called Lending Club. Lending Club seems to be the first company in the P2P lending space who understands all aspects of P2P Lending, from both the borrowing and investing side, and brings them seemlessly together in a simple yet powerful, user friendly way. In this article I want to talk about the way lending club can be used as both a way to earn incredible returns with much less risk than other methods, as well as a way to borrow at lower rates than traditional banks to consolidate debt.

Borrowing from Lending Club was very simple.. I used PayPal for my initial deposit, so it was quick & easy. Within a few minutes I had the money in my Lending Club account and began looking at loans to invest in. I knew I wanted to diversify my risk among as many loans as possible, so if a particular borrower defaulted (did not pay back) their loan then it would not ruin my portfolio return. I invested $50 with several people who needed debt consolidation loans to pay off high interest credit card debt. I looked at their profiles first to see if I felt they would be good risks lend my money too. My criteria was to look for people with good credit, at least 680 FICO scores, good jobs with at least 2+ years, preferably 5+ years, and low debt to income ratio below 40% ( ratio of the amount of their payments to the amount of income they report). Over several days I invested in 29 different loans. That was back in January 2010. It is now mid-April and my portfolio is performing great, with a net annualized return of 13.97%. I am very happy and just put more money into Lending Club. If this return can continue I believe this may be one of the most important financial innovations of our lifetime. I believe this because returns on Lending Club are not related to the stock market, real estate, or other asset classes that are volatile and uncertain.

My experience is on the investing side, so I personally have not borrowed from lending club. However, I have several clients and friends who have borrowed using the P2P method on Lending Club and had success. It works great to implement your own “Debt Melt Down” strategy using the Lending Club loan as a consolidation tool to create a margin which then you can use to accelerate pre-payments on the lending club loan and eliminate your debt much quicker. Unfortunately, as of right now Lending Club does not offer debt consolidation loans which include a mortgage, but if they do in the future this will be a huge market for them.

In 2008, credit card delinquency rates in the United States hit a four-year high, according to Equifax, a credit card analysis firm, and continue to rise in 2009. A few factors may have been responsible for pushing consumers over the edge, including the mortgage crunch, rising energy costs and a decreasing savings rate.
In times of [...]

Original Article by Liz Koh
I saw this recent article written by Liz Koh and thought it was very timely given that in the new year finances are a focus for almost everyone.  I have recently seen some close friends as well as clients who have had the status of their finances in their marriage greatly [...]

 
At this time of year, many people pause to reflect on what they’d like to change about their lives going forward – lose a few pounds, take a class, spend more time with the kids. Often, these goals revolve around personal finances.
But if you’ve been battered by economic forces beyond your control (as many have [...]

Original article By Sandra Block – Edited by Robert Weinberg
Here’s another good reason to pay attention to mail from your credit card company: You could soon receive a notice that the interest rate on your credit card is going up. That’s the bad news. The good news? Well, there isn’t much, but how about this: [...]

Finally some sensible credit card rules have been passed to go into effect as of July 1, 2010.   According to Demos a pubic policy research organization
1. Prohibit banks from retroactively increasing the interest rate their customers must pay on existing balances.
2. Prohibit banks from allocating payments to lower-rate balances first to maximize finance charges
3. Ban [...]

Retailers are offering a slew of payment options to cash-strapped consumers. But will these new methods end up costing shoppers more?
How you pay for holiday purchases this season is just as important as the size of the deal you get.
As banks slash consumers’ credit card limits and restrict new accounts to those with stellar credit [...]

With the economy slowing and holidays just around the corner, many consumers may be looking to credit cards to help them get through the heavy shopping season. While that may be a good short-term solution, you want to make sure you don’t overlook the long-term impact on your credit rating. After all, the actions you [...]

We’ve all heard about high tech online and email scams that are used by criminals to trick consumers out of their money. But now, some scammers are relying on good old low-tech skills to steal money from consumers… sometimes without being detected for months!
Authorities are reporting increased “credit card shaving” activity. Credit card shaving–or resurfacing–occurs [...]

Original Article written by Edward Jamison Esq. Edited by Robert Weinberg
Many people have never checked their credit score. They have always used credit wisely and have probably never been denied a loan. Long story short, they have never really had a good reason to worry about their credit score.
They do now.
Why? Because banks are systematically [...]

One of the primary ways banks make money each year is through the fees they charge their customers. While some of these fees are understandable and unavoidable, like safe deposit box fees, others are totally within the control of the consumer. An example of a
controllable fee is a late payment fee. Banks like it when [...]

If you have had past credit issues or are having trouble getting approved for financing, it is important to get on a path towards improving your credit history as soon as possible.  One way to rebuild poor credit is by getting a secured credit card.  A secured credit card is similar to a debit card but [...]

Credit cards are one of the most pervasive forms of your financial picture. On a daily basis, they provide the flexibility and freedom to reserve a hotel room, travel without carrying cash, and purchase just about anything at anytime.
As such, your credit cards can have a major impact on your financial wellbeing and even your [...]

What is the true cost of debt? Does it go beyond the interest we pay on the debt? Does debt rob us of a brighter future?
Besides the obvious interest we pay on debt, what is the true cost of debt on our ourselves and our families?
Study after study has linked so many illnesses, divorces, broken [...]

In this post I am going to cover a topic which has seldom been spoken about on other personal finance & debt related sites/blogs: The Concept of Credit Positioning. For those of you who are already in a deep debt situation or behind on payments, this strategy will not be of help, but for [...]

Most Americans have between 5 and 10 credit cards. Some even carry up to 50. But how many is too many? The important thing to understand is that it is not the amount of credit cards you have, but instead how much you spend and how much you can afford to pay [...]

Originally Posted on February, 20th 2008 
I speak with some people on a daily basis who refuse to believe that the credit card companies have the ability to raise their rates whenever they want.  When you see articles like the one from USA Today I have posted below, it is really hard to deny.  Now, more [...]

Originally Posted on December 27, 2007 

The gist of the situation is that many American consumers are now leaving their credit card payment obligations behind to take care of more pressing ones, such as their rising mortgage payments, increasing fuel costs and other financial hardships. I have written about this subject in the past and it [...]

Originally Posted on October 30th 2007 

I was reading a recent news article on Yahoo! Finance (http://news.yahoo.com/s/nm/20071028/us_nm/usa_creditcards_debt_dc) about how mortgage borrowers are using credit cards to get cash so they can make their mortgage payments, and in turn delay the default on their homes.
At first glance, one may ask why people would continue to get themselves [...]

Most would answer “very safe” because the card is right there with you, either tucked securely in a wallet or locked in the safe. But beware…it might not be as protected as you think. There’s a scam lurking about hotels, and it’s not coming from hotel employees–it’s from people outside the hotel altogether.
Here’s how it [...]

Experian, the credit reporting agency, released a study last week that showed that subprime consumers (Experian credit score under 620) are more likely to be 30 days late on their mortgage payments than their credit card payments. The study also found that over the past four years, credit card lending to subprimers has increased 137 [...]

I was watching Warren Buffet- Billionare Next Door on CNBC and he had two pieces of advice for young people.
1. Stay away from Credit Cards
2. Invest in yourself – To earn more money, through education, course, self improvement, etc.
I found that to be very powerful yet simple advice. Over the last week I helped 3 [...]

Notifying all bureaus with one phone call
1-888-5-OPTOUT is an automated service run jointly by the four main credit bureaus. With one phone call you can opt out of pre-screened mailings from all four bureaus.
1. Call 1-888-5-OPTOUT.
2. Select option 2 to skip a message about an internet email (described below).
3. Select option 2 to opt out [...]

Thanks for shopping at TJ Maxx…but your credit card info is now fair game.
That’s right, if you shopped at TJ Maxx over the past few years, your credit card may be one of the 45 million – yes 45 million – that was accessed and copied in the biggest data leak ever. The card info [...]

In “Secret History of the Credit Card,” FRONTLINER and The New York Times join forces to investigate an industry few Americans fully understand. In this special report, correspondent Lowell Bergman uncovers the techniques used by the credit card companies to earn record profits and get consumers to take on more debt.
“The almost magical convenience of [...]

Credit Card Debt Realities
The average American carries over $5,000 in credit card debt. Does that sound familiar?
With a typical interest rate of 16 percent, it would take 12 years to pay that off, assuming the cardholder makes only the minimum payment and doesn’t charge any new purchases. Worse, that person would pay an [...]

The Credit Card Minimum Payment Warning Act, which aims to accomplish
exactly what the name suggests, has been in the works for a few years. It
recently gained the support of several consumer groups including the
Consumer Federation of America and the Consumers Union, among others.
If passed, the act will require credit card companies to disclose
information about the [...]

We all know that the Federal Reserve (Fed) controls interest rates, but it is even more important to understand why they are adjusting them. Adjusting rates essentially increases and decreases the amount of money circulating within the economy. The Fed is acting as the throttle and the break for economic growth and inflation control. If [...]

By Ismat Sarah Mangla, Money Magazine reporter
September 18 2007: 4:17 PM EDT
NEW YORK (Money) — After the Federal Reserve’s half-point cut in interest rates Tuesday, homeowners may experience some welcome – if small – relief.
Borrowers with home equity lines of credit (HELOCs) will notice savings immediately, says Keith Gumbinger, vice president of HSH Associates.
A HELOC [...]