How the Federal Minimum Wage Increase Affects You

The Federal Minimum Wage increased on July 24, 2008 to $6.55. This raised the minimum wage by $.70. Approximately 2 million Americans make minimum wage. This results in approximately an additional $5.60 a day, $28 a week and $112 a month for a 5 day work week. An additional increase will occur next year and raise the minimum wage to $7.25 an hour. Twenty-three states including the District of Columbia have a minimum wage higher than the new federal requirement which affects approximately 60% of American worker and are: Alaska, Arizona, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Hawaii, Illinois, Iowa, Maine, Massachusetts, Michigan, Missouri, Nevada, New Jersey, New York, Ohio, Oregon, Pennsylvania, Rhode Island, Vermont, Washington and West Virginia.

The poor and middle class are greatly affected by the current recession. The minimum wage could not have come at a better time, however it is not enough. Many Americans are struggling just to make end meet and to buy basic necessities and have to use credit cards just to buy food and gas.

The average family is spending approximately $4,655 more on basic necessities such as food, housing and gas. Child care costs have also increased for those with children under age 5 to $1,508 a month and for after-care with older children to $622 a month.

Americans will have to find ways to reduce expenses and make their money stretch further. If you like to eat steak for dinner substitute it for chicken or fish, eat hotdogs and beans for dinner or breakfast food for dinner. Fix tuna casserole or other types of casseroles for dinner to save money on food costs. You can also shop at wholesale stores, buy items or sale, use coupons, carpool to work, shop at thrift stores or discounts stores such as Ross, Marshalls or JC Penny.

The key is to cut expenses in every area you can. You will have to make sacrifices to make ends meet but it is possible. Think of creative ways to save money by reusing items, holding a yard sale or bartering services with others who have businesses. It will take a lot of hard work and discipline to make it through these tough times but if you make it through you will know that you are a survivor. Good luck to you.

IndyMAC - How Does This Affect Your Part 2

The FDIC created a website to help IndyMAC customers to determine if their account is fully insured which will help answer customer questions about their IndyMAC accounts at http://www4.fdic.gov/dip/Account_Search.asp.

The FDIC was started in 1933 in response to bank failures. Types of accounts covered by the FDIC are: savings, checking, trusts, CDs, IRAs and other deposit accounts and are insured up to $100,000 per depositor in each bank or thrift the FDIC insures.

The FDIC insures deposits only. It does not insure securities, mutual funds or other types of investments.

Securities including mutual funds, that are held by a broker, or a bank's brokerage subsidiary are not insured. The Securities Investors Protection Corporation (SIPC), replaces missing stocks and other securities in customer accounts up to $500,000, including up to $100,000 in cash, if a member brokerage or bank brokerage subsidiary fails. For more information contact:

Securities Investor Protection Corporation
805 15th Street, NW Room 800
Washington, DC 20005-2215
202-371-8300

Check Your Bank's Rating

There is a FDIC bank "problem list" that is not published to prevent consumers from closing their accounts. There were reportedly 90 banks on the list as of the end of the first quarter. Those that receive a rating of 4 or 5 are put on the list (Reference from CNN Money)

However, with 5 large bank closings this year you may want to find out the rating of your bank. A rating of 1 is the highest, a rating of 5 is the lowest.

1. Go to bankrate.com and search for Safe Sound or Safe Scan
2. Then select bank or credit union
3. Search by institution name (select the first letter of the name of the bank) or search by other criteria

List of "Problem Banks" Taken from Bankimplode.com

Citigroup - $83.3B/$36B/$22.7B (7)
Posted on July 18, 2008 9:03 AM
Merrill Lynch - $47.25B/$34.4B/* (1)
Posted on July 17, 2008 8:36 PM
JP Morgan Chase - $11.0B/*/$6B (3)
Posted on July 17, 2008 7:15 AM
Wells Fargo - $2.9B/0/$23B (2)
Posted on July 16, 2008 12:40 PM
US Bancorp - $1.6B/*/* (0)
Posted on July 15, 2008 12:13 PM
National City - $200M (0)
Posted on July 14, 2008 5:45 PM
Lehman Brothers - $7.2B/$6B/$42 (2)
Posted on July 11, 2008 10:05 AM
Wachovia - $6.8B/$10.5B/$30.4B (4)
Posted on July 10, 2008 11:23 AM
Bank of America - $4.4B/*/$31.4B (4)
Posted on July 8, 2008 12:16 PM
Barclay’s PLC - $6.4B/$7.8B (0)
Posted on June 30, 2008 6:02 PM
HBOS PLC - $2.5B/$4B (0)
Posted on June 25, 2008 1:45 PM
Canadian Imperial Bank of Commerce(CIBC) - $6.7B (0)
Posted on June 23, 2008 11:44 AM
Morgan Stanley - $23.2B (0)
Posted on June 19, 2008 1:38 PM
Fifth Third Bancorp - $155M/$2B (0)
Posted on June 18, 2008 5:16 PM
Goldman Sachs - $6.2B (3)
Posted on June 17, 2008 5:15 PM
Washington Mutual - $1.6B (2)
Posted on June 14, 2008 5:35 PM
Royal Bank of Scotland - $3.6B/$24B (2)
Posted on June 4, 2008 5:34 PM
Societe Generale SA- $13.7 /$8.5B (0)
Posted on June 4, 2008 3:08 PM
BNP Paribas SA-$2.5B/ $0 cash (0)
Posted on June 4, 2008 2:39 PM
UBS - $45.0B/$41.5B (2)
Posted on June 1, 2008 11:22 AM
Royal Bank of Canada - $1.4B (0)
Posted on May 29, 2008 6:07 PM
Bank of Montreal (BMO) - $611M (0)
Posted on May 29, 2008 1:02 PM
Mizuho MFG - $5.4B (0)
Posted on May 22, 2008 2:09 PM
Bayern LB - $9.8B (0)
Posted on May 19, 2008 7:42 AM
WestLB AG - $4.8B (0)
Posted on May 19, 2008 7:35 AM
Natixis - $3.4B (1)
Posted on May 19, 2008 7:31 AM
HSBC Bank PLC - $6.6B (0)
Posted on May 19, 2008 5:32 AM
Credit Agricole SA-$13.8B (0)
Posted on May 12, 2008 5:18 PM
Credit Suisse - $5.95B (0)
Posted on May 2, 2008 5:20 PM
Deutsche Bank - $18.6B (1)
Posted on May 2, 2008 5:19 PM
Mitsubishi Financial Group - $760M (0)
Posted on April 23, 2008 12:54 AM
SunTrust - $718.7M-$1.5 B (1)
Posted on April 13, 2008 6:33 PM
Bank of NY Mellon - $118M (0)
Posted on April 9, 2008 11:19 AM
Sovereign Bancorp - $1.580B (0)
Posted on April 8, 2008 1:29 PM
IKB - $12.91B (0)
Posted on March 20, 2008 8:13 PM
DZ BANK AG - $2.1B (0)
Posted on March 7, 2008 9:52 PM
HSBC - $26.5B (0)
Posted on March 5, 2008 5:25 PM
Commerzbank - $855M (1)
Posted on February 15, 2008 9:48 AM

Sources: Bankrate.com, CNN Money, Bank Implode

Check to See If Your Bank is On Bove's List

As of March 31, the FDIC put 90 banking institutions with $26.3 billion of assets on its "problem list." This list did not include IndyMac, which had about $32 billion of assets, and close to $19 billion of deposits.

On July 12, 2008, Dick Bove, a veteran banking analyst for Ladenburg Thalmann & Co., released a report entitled "Who Is Next? The report states that the banking system as a whole "is not anywhere near the danger that existed in the late 1980s and early 1990s despite all of the whining by public officials."

The report includes a list of banks and thrifts that are in the "danger zone." Bove ranked the list of 107 banks and thrifts with more than $5 billion in assets by two measures of risk which represent about 79% of the banking industry assets.

Some of the institutions listed were: Flagstar Bancorp, Downey Financial, Bank United Financial, Corus Bankshares, Doral Financial, IndyMac Bancorp, FirstFed Financial, Oriental Financial Group, Washington Mutual, BFC Financial, FirstBanCorp. and Santander BanCorp.

Washington Mutual released a statement, On Monday, to dispute Bove's list saying it had recently raised $7.2 billion in capital. "The company significantly exceeds all regulatory 'well-capitalized' minimums for depository institutions. In addition, WaMu has current excess liquidity of more than $40 billion and a national franchise with approximately $150 billion in retail deposits," it said.

More than 300 banks could fail in the next three years, said RBC Capital Markets analyst Gerard Cassidy, who had in February estimated no more than 150 banks.

Five banks that have failed thus far in 2008 are: IndyMac Bank, Pasadena, Calif., Douglass National Bank, Kansas City, Mo., First Integrity Bank, NA, Staples, Minn., ANB Financial, NA, Bentonville, Ark, Hume Bank, Hume, Mo.

Check to see if you bank is on Bove's list by searching on google and clicking on the link .pdf file from dealbreaker.com.

Also check to see if you bank is FDIC insured by calling 1-877-275-3342 or visit the FDIC website and click on the Bank Find link under the Consumer Resources section to search for your bank.

How to Save Money With Coupons

With the economy on a down-slide today, it is most important that we consumers save money as best as possible. One way of doing this is through an old reliable method known as "Coupon Clipping". There are many ways of obtaining coupons today and sacrificing the time to do so is well worth the savings. One way is investing $1.50 by buying the Sunday paper.

There are loads of coupons and what is great is that most coupons do not expire for months. Furthermore, you may use them at other places besides the supermarket. Places of acceptance CVS, Target, Kmart, etc. Now for the places such as Sam's Club, they do not accept manufacturer's coupons. But all is not lost, they have a mailing list of their members and mail out their own coupons.

Other places to obtain coupons are directly from the stores via the Internet and CVS has set up little kiosks within their stores. All you have to do is swipe your CVS card and coupons print right out and the other great part is that you do not have to use them that same day. Get on the coupon emailing and postal mailing lists, Valupak, does this via the Internet and postal mail for establishments within your area.

I get coupons for the salon, car wash, home repairs, etc. Going to the dealership to have maintenance done on you car can be expensive, not if you are on their mailing list. You can receive coupons for low cost or free oil changes, free 10-20 point inspections, 10-20% percent off of repairs and so forth.

These savings can add up all it takes is a little time and you can spend $150 per week and save almost $100. Beware of groups and clubs that want you to pay for your savings, what you pay them per month to receive their services you can get for free. Other savings come in the form of registering your email address with companies/stores you shop at on a regular basis. They will email you the latest sales and coupon codes for extra savings. Stores that do this are: Macy's, J C Penney, CVS, and so forth. Some will even send you links to receive free samples.

Example of how I make coupons work for me. On a Sunday night while relaxing and watching television I sit down with my coupons, weed out the expired ones, take out the coupons I will need, and clip fresh coupons from the Sunday paper. I have a small plastic portfolio that I keep in my car all times just in case I stop at the store. I went shopping at the CVS last month, I did what I call coupon shopping. That is only buying what I had coupons for, items that I need. My total came to $95.00, with my CVS card and CVS coupons and manufacturers coupons my new total was $40.00. That is a savings of $55.00. Furthermore, I was able to obtain more CVS bucks.

I am a single woman and I need to save has much as possible. Furthermore, don't forget to refinance, this is advice from Harrine Freeman. Refinancing has also saved me money. Well until next time, clip coupons and save, save, save.

Teri Ghaffaar
ebonytulipcollection@gmail.com

End Rising Gas Costs By Getting a New Car

According to Vehix.com, the following ten cars can be bought for under $14,000.
http://comcast.vehix.com/tv/topTenLists.aspx?&list=Least%20Expensive%20Vehicles%20for%202008#commentsTop_ctl00_ContentPlaceHolder1_comments

The following cars are the 10 most fuel efficient:
Toyota Prius
Honda Civic
Smart Fortwo
Nissan Altima
Kia Rio
Toyota Camry
Toyota Yaris
Mini Cooper
Honda Fit

Visit the Vehix website to find other fuel efficient cars and rankings for 2008.

IndyMac Closing - How Does This Affect You

On Friday, July 11, 2008 one of the largest banks in the county IndyMac, sadly closed its door. Customers were turned away and forced to wait until Monday to make their transactions. This is the second largest failure of a financial institution. On July 14, 2008, the bank will be taken over by the FDIC. Customers who have $100,000 or less in the bank will be able to get their money bank. Customers who have more may only get a portion of their money bank. This action brings more light to the economic crisis our country is experiencing. Take heed to this and start changing your spending habits and develop a plan to protect yourself. Here are 6 ways to protect your money.

1. Research. Look at the bank or mortgage company's financial history for the past five years. If the company revenue has been steadily declining you might want to consider switching companies.

2. Negotiate. Call your bank or mortgage company to find out what would happen if the business went under and what are your options. Develop a plan to protect yourself.

3. Diversify. Make sure your bank is FDIC insured. If not, move your money to a bank that is. If you have more than $100,000 in your bank, split the account into multiple accounts. Open additional accounts at others banks to keep the balance below $100,000.

4. Plan. Consider buying a safe for your home or apartment and keeping some money in your safe in the event your bank closes and you need to access money quickly.

5. Protect. Pay bills on time or before time. Don't wait until the last minute to pay a bill because with this economy you never know what may happen and you increase the chance that you may be charged a late fee.

6. Deposit. Perform bank transactions early in the morning. This ensures your deposit will be applied the same day. Don't wait until the last minute to make transactions, this increases the chance that your transaction may not be applied to your account the same day and may cause a check to bounce.

New Gas Program Offers Gas at $2.49 a Gallon

Current gas prices range from $4 to $5 a gallon depending on where you live. Discounts are non-existent or no longer available to drivers. I have spoken to several baby boomers and they said “it has never been this bad”. Many Americans are struggling just to make ends met and driving is now seen as a luxury. What can we do to ease the pain at the gas pump?

First, I recommend writing your congressman and the White House and demand lower gas prices. Also, write the major oil companies such as BP, Shell and ExxonMobil and demand they lower their gas prices. Second, reduce trips to the gas pump by rolling the windows down instead of using the car air conditioner, combine nearby trips on the same day, buy or trade in your gas-guzzler for a more fuel-efficient car. Third, you can comparison shop by using sites such as GasBuddy or MSN to find the cheapest gas in your area.

A fourth option is to buy gas and locked in prices at the GasLockedin website. The program was created by AGRP along with advertisers and is called the National Gasoline Relief Program designed to reduce gas prices. You may have seen the commercial offering gas at $2.49 per gallon. Many car dealerships are offering gas at $2.99 a gallon for a period of time in exchange for buying a car.

The AGRP is a much better deal because each advertised offer covers the difference of the national price of gas to $2.49 a gallon with 15 gallons per offer. A gas card is sent within 7 days of finishing all requirements. This program requires your participation in any advertiser program of your choice in exchange for the gasoline. This program is available in approximately 97% of the country. All you have to do is enter your zip code to see if the program is offered in your area. Good luck on your search for cheaper gas!

5 Ways to Boost Your Credit Score

Your credit score is one of the most important factors in your financial life. The current recession makes it even harder for consumers to get approved for a loan or line of credit which is why it is so crucial to have good credit.

If you have good credit and can afford to make purchases during this time you can get some great deals. However, if you are already in debt, don't have an emergency fund, savings account or retirement account you need to reevaluate your spending habits. While you are working on improving your spending habits you can also follow these 5 tips to boost your credit score so when the time is right you can make a purchase and get the best deal possible.

1. Change your mindset. You have to change the way your currently spend money and develop good spending habits so you make good choices when making purchases, buy in terms of needs vs. wants.

2. Get current on late bills. Pay old or late accounts immediately. Setup payment plans for bills that cannot be paid in full.

3. Establish credit. Open a secured account if you have bad credit or no credit to re-establish credit history. Use non-traditional forms of credit to establish history such as Pay Rent Buy Credit (Payment Reporting Builds Credit).

4. Keep balances low. Keep your credit card balances at 50% or below the credit limit. This shows you have good spending habits are not seen as a credit risk.

5. Don't open new accounts. Don't open any new accounts more than once every year when trying to improve your credit history. You will be seen as a credit risk and this will lower your credit score.

Appearance in Essence Magazine

Check out my interview in the July issue of Essence Magazine pages 73, 74 and 76 in the article titled The 30 Day Debt Diet. Enjoy!

Harrine Freeman
CEO/Owner, H.E. Freeman Enterprises
www.hefreemanenterprises.com

How to Save Gas with Your SUV

This is a bad time for Americans. The prices of many items are increasing. According to Money Magazine the cost of prescriptions drugs has increased, pharmacy co-pay prices have increased 25%, the cost of milk has increased by 14%, the cost of college tuition by 6%, the cost of eggs by 31%, the cost of bread by 14% and the cost of gas by 21% since last year. These statistics can be alarming but there are many ways to reduce costs in other areas to ease the burden of the rising prices.

The cost of gas has crimpled many Americans. For SUVs owners getting gas can be a nightmare. Some SUV drivers have to fill up multiples times a week and costs can range from $400 a month to $600 a month. That is the same amount of money some Americans pay on their monthly car payment. To help ease the burden when getting gas for your SUV follow these 5 tips:

1. Keep your trunk empty. Remove heavy and unnecessary items from your trunk, cargo bed and the inside of your SUV. Traveling with a lighter load helps improve your gas mileage.

2. Maintain a constant speed. Maintaining a constant speed reduces the amount of gas needed to rev up the engine to go faster, is better for the economy and will keep you from filling up more often.

3. Ditch the fancy tires. When your fancy tires wear out buy the standard tires that were on the SUV when you purchased it. This will improve gas mileage and save you money when buying new tires. The standard tires also provide a better ride especially on the highway, save the fancy tires for short trips.

4. Carpool. If gas prices are hurting your pocket, start carpooling. Offer to pick up co-workers or friends who work near your job. Make sure you charge enough money to cover the increasing costs of gas and inform your carpool riders that the price may increase as gas costs increase.

5. Regular maintenance. Perform regular maintenance on your SUV at the scheduled intervals, make sure you get regular tune-ups, oil changes, check tire pressure, air filters, and check your tires for wear. This will improve gas mileage and save you money in the future.

These tips will save you money and ease the burden of the increasing costs of gas during this summer.

Upcoming Events

October 2008
October 4, 2008, Capital Bookfest, 10-6pm

August 2008
August 9, 2008, Booksigning with the Author's Den, 1-4pm
August 14-16, 2008, Southern States Book Tour

July 2008
July 11, 2008, B. Dalton Booksigning, 50 Massachusetts Avenue, NW, Washington, DC, 4:30-6:30pm
July 13, 2008, Student Loan Teleseminar, Washington, DC, 7-8pm
July 16, 2008, The Women Network Seminar/Booksigning, 6-9pm, Jin Lounge, Washington, DC 6-9pm
July 24-26, National Black Arts Festival, Atlanta, GA

June 2008
June 6, 2008, Enterpreneurship Seminar, HOBY, George Washington University, Florence Hollis Hand Chapel, 2-3:30pm
June 7, 2008, Booksiging at Barnes & Noble, 21 Grand Corner Ave, Gaithersburg, MD, 1-3pm
June 11, 2008, Credit Repair Teleseminar with the Women Network, 7-8pm
June 21, 2008, Booksiging at Urban Knowledge Bookstore, Mondawmin Mall, 2301 Liberty Heights Avenue, Baltimore, MD 2-4pm

5 Ways to Save Money on Summer Vacations

Summer vacations are not what they used to be. This summer's vacation may prove to be difficult for many Americans due to the country's current economic situation or "recession". In years past Americans couldn't wait for summer vacation. They planned months in advance for their vacations and talked on and on about how much fun they would have. With the high cost of gas and food summer vacation may not exist this summer for some Americans. People are really cutting back and trying to find ways to save money to offset their increasing expenses and to just live day to day. If you can afford to go on vacation without charging it and having to pay for it later – do it! Here are 5 tips to help save money when you are planning for your summer vacation.

1. Snacks. Buy snacks and a few drinks and pack them in your suitcase before you leave. This will tide you over when you get hungry while on vacation until you are able to eat a full meal. This will also help you save you money that would be spent on midnight snacks.

2. Think Ahead. Plan at least six months to one year in advance for vacations. This will prevent you from going into debt just to have fun.

3. Shop around. Shop around to find the best deal. Visit websites like Kayak, Hottickets, AAA, Costco or Hotels.com to find comparison shop for airfare and hotels or vacation packages.

4. Safety. Buy traveler's checks instead of carrying credit or cash because they can quickly be replaced if lost. Take only one credit card only for emergencies.

5. Enjoy yourself. The most important thing to do while on vacation is - have fun, but don't overextend yourself by splurging on unnecessary items. Create a small list of items you want to purchase and stick to it. The worst feeling is to return from vacation and get bills in the mail from items charged while on vacation.

Beware of Identity Theft Protection Companies

Taken from the Associated Press, May 22, 2008.

Todd Davis has dared criminals for two years to try stealing his identity: Ads for his fraud-prevention company, LifeLock, even offer his Social Security number next to his smiling mug.

Now, Lifelock customers in Maryland, New Jersey and West Virginia are suing Davis, claiming his service didn't work as promised and he knew it wouldn't, because the service had failed even him. Attorney David Paris said he found records of other people applying for or receiving driver's licenses at least 20 times using Davis' Social Security number, though some of the applications may have been rejected because data in them didn't match what the Social Security Administration had on file.

Davis acknowledged in an interview with The Associated Press that his stunt has led to at least 87 instances in which people have tried to steal his identity, and one succeeded: a guy in Texas who duped an online payday loan operation last year into giving him $500 using Davis' Social Security number. Paris said the fact Davis' records were compromised at all supports the claim that Tempe, Ariz.-based LifeLock doesn't provide the comprehensive protection its advertisements say it does."

It's further evidence of the ineffectiveness of the services that LifeLock advertises," said Paris, who is lead attorney on the three new lawsuits, the latest of which was filed this month.Davis learned about the fraud in Texas when the payday-loan outfit called to collect on the loan, he said. He didn't get an alert beforehand because the company didn't go through one of the three major credit bureaus before approving the transaction.

Davis said it's possible driver's licenses have been issued to other people in his name because of the widespread availability of his personal information and because of what he described as the flimsy mechanisms in place to report that kind of fraud.Paris noted that LifeLock charges $10 a month to set fraud alerts with credit bureaus, even though consumers can do it themselves for free.

But Davis stands by his company and his advertising gimmick, which has appeared in newspapers and on billboards, radio and MTV. He even broadcasts it by bullhorn on walking tours through crowded downtowns."There's nothing on my actual credit report about uncollected funds, no outstanding tickets or warrants or anything," he said. "There's nothing to indicate my identity has been successfully compromised other than the one instance. I know I'm taking a slightly higher risk. But I'll take my risk for the tremendous benefit we're bringing to society and to consumers."

The lawsuits, for which Paris is seeking class-action status, highlight the fundamental limits on how much security identity-theft companies can provide. Companies like LifeLock can help guard against only certain types of financial fraud by helping consumers set up alerts with credit bureaus, which inform them when someone tries to open a new line of credit or boost their credit limit to finance a buying binge, for example.

The services don't guard against many types of identity theft such as use of a stolen Social Security number on a job application or for medical services, or even the instance of an arrestee giving police a stolen Social Security number to shield his own identity.

LifeLock is also being sued in Arizona over its $1 million service guarantee, which the plaintiffs claim is misleading because it only covers a defect in LifeLock's service, and in California by the Experian credit bureau. Experian accuses LifeLock of deceiving consumers about the breadth of its protection and abusing the system for attaching fraud alerts to credit reports.Security experts say complaints about the company reinforce the time-honored wisdom of keeping your Social Security number secret."

There's been a lot of marketing, a lot of hype about LifeLock," said Paul Stephens, director of policy and advocacy with the Privacy Rights Clearinghouse, a nonprofit consumer advocacy organization. "The question is, 'How much protection does it really buy you?'""There is no company that can guarantee they can protect you (completely) against identity theft," Stephens said. "Absolutely nobody can do that."

6 Ways to Save on Airline Fares

With the current economic crisis (recession) that we are experiencing in America, this summer will be an expensive one. The cost of gas, food, dairy, clothing and air fares will increase. American Airlines plans to start charging $15 for the first bag checked in, all others bag can be checked in at no charge. United Airlines and US Airways charge a $25 fee each way for a second bag checked in. Plan ahead so you don't get caught in the price increase that will occur this summer. Here are 6 tips to help you save money on buying an airline ticket.

1. Start with the airlines first. Many airlines have specials that are not advertised on their website. You can call the airline directly and ask about current specials or sign up for the airlines free newsletter or airfare alert service to find out about discounted air fares.

2. Find deals. Shop around to find the best deal. Visit websites like www.travelocity.com, Kayak, Hotwire, Priceline, Orbitz, Cheaptickets or Hotels.com to find cheap rates for hotel, airfare and cruises. You can also try using smaller airlines such as airline travel booking websites such as www.cheapflights.com.

3. Book in advance. Try booking your flight at least 2 weeks in advance to save money.

4. Be flexible. Try booking your flight during the week and avoid flights near holidays unless you are specifically doing holiday traveling. You can also search for flights with one or two stops instead of non-stop flights to save money.

5. Fly big. Book flights that fly out of larger airports to save money.

6. Ask for membership discounts. Some airlines offer discounts to students, senior citizens, government employees, AAA members, and other organizations. Contact the airline to find out what discounts they offer to see if you are eligible.

Don't Let the Cost of Gas Crimple You

For the past year now I have not really realized the effects of the price of gas until this week. Prior to the price hike I could fill up my gas tank with a mere $12. I bragged to all my friends and family about how I could fill up my car with less than $20 a week. I loved my car and was glad I had didn't have a gas guzzler. Unfortunately that slowly began to increase.

One month it took $15, then $20, then $22, then $27, then $30, now I am at $33 for a fill-up. Now I know many of you are saying, that doesn't even fill up half my gas tank and I should be happy, but I am not. I didn't get to where I am in life by spending money frivolous. I did so by comparison shopping to find the best bargains, unfortunately this expense is not something I can negotiate.

What myself and everyone can do is complain about it to Congress by writing letters and depending a dramatic decrease in the price of gas. Inform your current State Legislators that if they do not lower the price of gas they will lose your vote. This is very critical since this is an election year. You may not feel you have the power to make a difference, but one voice can and if they hear all of our voices we can make a change. In the meantime here are 4 tips to help ease the cost of gas:

1. Combine nearby trips on the same day - this will save you time and money

2. Drive the speed limit - this reduces the amount of gas needed for your car

3. Buy your gas in the morning - gas is more dense in cold weather and in the early morning in the summer month you will get more for your money

4. Check your tires - ensure you tires are properly inflated helps prevents less friction on the road and helps tires last longer

Upcoming Events

May 2008
May 12, 2008, WUFO 1080AM, Interview with Pat Freeman, Buffalo, NY, noon-1pm
May 16, 2008, Interview w/iM4radio, Lanham, MD, 10am
May 17, 2008, Featured Speaker at Univ. of MD Eastern Shore, Princess Anne, MD

June 2008
June 6, 2008, Enterpreneurship Seminar with HOBY, George Washington University, Florence Hollis Hand Chapel, Washington, DC
June 7, 2008, Barnes & Noble Booksigning, 21 Grand Corner Avenue, Gaithersubrg, MD 1- 3pm
June 11, 2008, Credit Repair Teleseminar with the Women Network, 8-9pm
June 21, 2008, Booksigning at Urban Knowledge Bookstore, Mondawmin Mall, 2301 Liberty Heights Avenue, Baltimore, MD 2-4pm

5 Ways to Survive In This Economy

We have had recessions in America in the past which has affected various industries such as agricultural and manufacturing. The last recession we had was in 2001. There have been 8 recessions in the past 40 years and since 1945 there have been 11 recessions.

The shortest recession lasted 6 months while the longest lasted 16 months. A recession is defined by Webster's as: an extended decline in general business activity, typically two consecutive quarters of falling real gross national product (GDP) or the state of the economy declines; a widespread decline in the GDP and employment and trade lasting from six months to a year.

The economy is classified as being in recession only if there is a widespread decline in the economy that includes an overall decline in production, employment, personal income, industrial sales, and total manufacturing and trade sales. The decline must be long enough to be classified as "substantial and significant." This recession included industries such as housing, oil, employment and manufacturing. We know we were in a recession because:

1. Shares price dropped sharply
2. There were frequent employee layoffs
3. Several business went bankrupt
4. There was a rise in unemployment
5. There was a decline in employee income
6. There was a decrease in sales of manufactured products
8. Americans received an economic stimulus package refund
9. Interest rate reductions by the Federal Reserve z times in the past x months
10. There was an increase in negative savings rate
11. Economic issues developed in other countries
12. Value of the dollar sharply declined
13. ising costs of products or services

Here are 5 ways to protect yourself during a recession:
Protect your investments - call your broker and adjust your portfolio to limit the effects of the recession and money lost during this time. Ensure your portfolio is adequately diversified.

Stay calm - don't make rash decisions based on your emotions. Before making any changes think about your situation and wait one or two days and think about a solution. Get advice from friends or family members who have previously had financial crises.

Reevaluate your existing mortgage loan - review your existing mortgage loan to see if you got a good deal on your mortgage loan. If not, it's time to refinance to a lower fixed interest rate that will provide a level of stability to help you get through these difficult times.

Reduce your debt - create a debt payoff plan to identify the total debt owed, the minimum monthly payment and balance on each account. Create a plan to pay off each bill and find ways to reduce expenses to get extra money to pay down debt.Update your resume - if you are currently employed and as a general rule of thumb, each time you start a new job or new position with your existing company revise your resume. Update it at least once every 6 months. Take training class or learn a new process or skill at work to make yourself seen as a valuable asset to the company. Also, begin networking with staff outside your department to make alliances to staff that can provide leads, and other information on finding a job.

Good luck!

Financial Tips for College Grads

Managing Credit Card Debt
1. Stop spending. Don't spend money you don't have. This will result in your owing more money. Use your credit card for emergencies only.

2. Educate yourself. Educate yourself about credit and your credit rights. Read as much information as you can about credit cards. Start by reading the credit card agreement or disclosure that was sent to you when you first received your credit card in the mail.

3. Setup a debt payoff plan. Setup a debt payoff plan to prioritize your bills. By using the debt snowball method you will be able to quickly pay off some of your debts. Start by paying off the smallest bills first, then use the money paid towards a previous bill and apply it to the next bill and continue this process until all your debts are paid.

4. Pay more than minimum monthly payment. If pay the minimum monthly payment you will end up paying 2 to 3 times what you actually charged due to the interest and finance charges that accrue on your balance. Try to send extra towards your balance each month.

5. Pay with cash. Pay for purchases with cash until your credit card balances are paid in full. If you pay for an item with a credit card you end up paying 112% the original cost of the item.

Investing in 401K's/IRAs
1. Start with your company's 401K as soon as you are hired for your first job. Do research to see what plan has the best options to help you achieve your retirement goals.

2. Start small. If you are not working setup your own IRA with at least $100 a month if you can afford it and then work you way up to saving 10% each paycheck towards your retirement.

3. Diversify. Control your risks by investing in various mutual funds that are a combination or low, medium and high risk to limit your losses.

4. Focus on long term growth. You have to be willing to leave your money untouched for the next 5 to 10 years. Otherwise you won't be able to see the benefits of your money growing.

Financial Planning
1. Plan for a family

2. Buy insurance – health, life, disability

3. Pay off those student loans and credit card debt

4. Plan for retirement early on, i.e. in your 20's

Find out if you will receive an Economic Stimulus Package Refund

Economic Stimulus Payments Information Center

Updated April 25, 2008
Starting in late April, the Treasury will begin sending economic stimulus payments to more than 130 million households. To receive a payment, taxpayers must have a valid Social Security number, $3,000 of income and file a 2007 federal tax return. IRS will take care of the rest. Eligible people will receive up to $600 ($1,200 for married couples), and parents will receive an additional $300 for each eligible child younger than 17. Millions of retirees, disabled veterans and low-wage workers who usually are exempt from filing a tax return must do so this year in order to receive a stimulus payment.

Even though April 15 has passed, there is still time for retirees, disabled veterans and others who normally do not file a tax return to submit a 2007 form to receive an economic stimulus payment.

The IRS website has a calculator to determine if you will receive a refund.

The Basics
You can search for the following topics in the irs.gov Newsroom section
Basic Information on the Stimulus Payments
IRS Will Send Stimulus Payments Automatically Starting in May; Eligible Taxpayers Must File a 2007 Tax Return to Receive Rebate
Facts about the 2008 Stimulus Payments
More Information on Stimulus Payments Posted to IRS.gov; New Details for Recipients of Social Security, Veterans Benefits
Special Economic Stimulus Letters Reach Mailboxes in March
Special Economic Stimulus Payment Packages Go to Social Security, Veterans Recipients

Economic Stimulus Payment Calculator
A new online calculator will give you an estimate of the stimulus payment you may be due. Just answer a few questions and the calculator will do the rest.

Economic Stimulus Payment Schedule
Payments will start May 2. The last two-digits of your Social Security number and whether you opted for direct deposit into your financial account or a paper check will determine when you receive your payment.

Stimulus Payment Scenarios
What does it look like for you?
Married with Qualifying Children
Married without Qualifying Children
Married Filing Separately, with or without Qualifying Children
Single (Head of Household) with Qualifying Children
Single without Qualifying Children

You May Be Eligible Even if You Normally Do Not File a Tax Return
If you have at least $3,000 in certain types of income, you may be eligible for the economic stimulus payment. You also may be able to use a Free File - Economic Stimulus Payment. See the special types of benefits or income that qualify below:

Especially for Social Security Recipients
Information for people who receive retirement, disability or survivors' benefits
Especially for Veterans Affairs Recipients
Information for people who receive pension, disability and survivors' benefits
Especially for Railroad Retirement Recipients
Information for people who receive Tier 1 Railroad Retirement benefits
Especially for Low-Wage Workers
Information for people who receive a wages, salary, tips, etc. or who are self-employed
Especially for Military Combat Personnel
Information for members of the military serving in a combat zone

Frequently Asked Questions
We have the answers to your questions in Answers to Frequently Asked Questions

Rebate Scam Alert
Be aware that identity thieves are already pushing scams involving the stimulus payments. At least one telephone scam is making the rounds using the proposed rebates as bait. IRS Warns of New E-Mail and Telephone Scams Using the IRS Name; Advance Payment Scams Starting, has more details.

Free Help Available with Free File
Free File is the fast, easy and free way to file your federal income tax return. If your adjusted gross income was $54,000 or less in 2007, you can use Free File to prepare and e-file your taxes online.

If you normally don't file a tax return but need to file one for 2007 solely to receive your economic stimulus payment, you may now select from the list of companies on the Free File - Economic Stimulus Payment page.

Information For Businesses
IRS To Issue Guidance on Special 50-Percent Depreciation Allowance
2008 Economic Stimulus Act Provides Tax Benefits to Businesses
News Releases, Audio Files, Fact Sheets and Legal Guidance

Check out the complete list of IRS-issued news releases, audio files, fact sheets and legal guidance related to the stimulus payments.