Preparing to Invest: How to get started

Written by Tim Gorman

Investments can be a source of great potential earnings. The two most common reasons that a person does not invest are either they do not haverepparttar money or they do not know how to get started. These are some ways to prepare for investing and some things to consider before investing.

Saving Money to Invest * Lower debt Everyone has debt and most will always have some debt, however if you have outstanding credit card debt, then this may not be a good time to invest. Credit card debt can be consuming andrepparttar 146410 best way to become financially stable and to create and atmosphere in which you are able to save money, you must pay off high interest rate credit cards. If you have more than two credit cards or your cards have reachedrepparttar 146411 maximum limit and you are making minimum payments then you should invest all extra money into paying off these debts before investing in other ways.

* Create Emergency Funds Everyone should have an emergency fund for unexpected debts or accidents. Financial advisors will recommend that you have at least three months of funds or 15% of annual income to fall back on inrepparttar 146412 event that you lose your job or incur unexpected expenses.

* Maximize Employment Benefits If your employer offers a 401 K plan, be sure that you are taking full advantage of this plan. Strive to put inrepparttar 146413 maximum amount allowed each month. You may not think of this as an "investment" however, 401 K and similar plans are some ofrepparttar 146414 best investments a person can make for their future.

Bankruptcy vs. Credit Counseling: What Should I Do?

Written by Tim Gorman

Credit Counseling and bankruptcy are both ways to relieverepparttar stress of debt. However, they are very different and it is important to understand both before making a decision as to which is best for you.

Credit counseling is a program designed to help those who are in a state of debt and cannot find a solution to their debt problems. They offer services that will allow you to work with a certified credit counselor to devise a plan that is tailored to your specific needs and goals. Credit counseling agencies often provide services for free and will help to educate you about how to avoid financial problems inrepparttar 146409 future by offering debt management classes or seminars. They do not erase your debt. Instead they work with you to budget money so that you can pay offrepparttar 146410 debt often times by debt consolidation. Collection will continue while using a credit counselor, however, in most cases companies who are owed money will try and work with you to help you payoff your loans. Credit counseling services often help you to reestablish credit afterrepparttar 146411 loans are paid.

Bankruptcy is very different.

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