Investors become unnerved by inflation as evidenced by Wall Street sell-offs when CPI numbers go up. When interest rates increase, cost to borrow increases making it more difficult for corporations to borrow for expansion, earnings decrease and stock prices stagnate.

Inflation numbers since 1926 average about 3.1%. In 1980, inflation peaked at 14%. High interest rates attract investors to bank certificates of deposit. However, investors often overlook and misunderstand "real rates of return". If a bank certificate of deposit earns 5% annually and inflation index reads 2.5%, then your "real rate of return" becomes 2.5% (5%-2.5%). When bank certificate of deposits paid 16% in 1980, real rate of return provided a measly 2% (16% - 14%), and then U.S. investors paid tax on that 2%. If you choose bonds or certificates of deposit as investments, consider laddering your maturities (e.g. with $100,000 to invest have $10,000 come due every year for ten years).

Stock or equity securities out perform bonds and certificates of deposit with returns exceeding inflation numbers. However, when inflation increases, stocks go down in value initially. Stock investing seeks long term returns which average about 11% since 1926. Since inflation averages about 3.0% during same time period, stocks provide an 8% real and reasonable rate of return. Stocks, including stock mutual funds, confront investors with greater short term risk while offering higher real rates of return over long term time periods. This risk reward trade off allows you to purchase your green eggs and ham during any economic cycle.

"I learned there are troubles of more than one kind./Some come from ahead and some from behind." - Dr. Seuss

Before you apply for a loan you will want to make sure that you can comfortably cover payment, this is your opportunity to get your credit back on track - don't turn this into a situation where your credit will end up worse than it was. It is important that you pull out your pay stubs and review all your living expenses such as rent, car (gas, maintenance, insurance, etc), food, utilities, clothing and all other living expenses and make sure that you are not going to over-extend yourself. It's too easy to put yourself on road to financial ruin, always remember to be responsible with your debt load and that banks will lend you money to point where you will be dependant on loans of rest of your life - after all that's banks business is to make money from loans. I personally have never taken out a loan to maximum of what a bank will lend as it is almost always too much because they usually calculate your loan on before tax dollars and fact is you need to live off of after tax dollars. To find more about loans or credit cards you can visit http://www.loans-source.info and http://www.only-the-best-credit-cards-online.com.