The Debt Diet-Step 6: Part 1

This step involves increasing your income. This part is the key to paying down your income. This is can be done one of two ways. You can cut back on your expenses or increase you income. If you can do both, you will be that much farther ahead. Here is what the experts say about increasing your income.

What if you’ve gone through the first five steps and you can’ t free up enough money to start repaying your debts in a big way? Then you have three choices. You can consider whether the big-ticket items in your life�your home, your cars, private schools�are truly necessary. You can go through your home and your possessions and see if there’s anything of value to sell. You can earn more money, either on your current job or�more likely�by taking on a second one. The other alternatives? Credit counseling and bankruptcy�but you’re not there yet. For now, let’s see what you can accomplish on your own.

Here are some options you may want to consider.

Moving. Is your housing sabotaging your ability to make ends meet? It is for a lot of people. During the last decade or so, we were so afraid that if we didn’t buy right now we’d be priced out of the only neighborhood we wanted to live in. It may be that selling your house is a solution you have to consider. Yes, the conventional wisdom is that your house is the asset you’ll retire on (and often retire in)�the most valuable asset in your portfolio. But unless you can afford to make the payments, it’s also the one that can be your Achilles heel. Perhaps you can trade down�swapping a larger house for something more manageable and less expensive. You also may need to consider renting for a while. As long as you can keep the cost of moving reasonable (recruit your friends), renting will save you the cost of homeowner’s insurance. (You’ll need renters insurance, but it’s much cheaper.) You’ll save on yard care and�depending on where you relocate�may be able to cut your commuting costs as well.

Going carless. There probably is�if you dig down deep and consider it�another, less-expensive way for you to get back and forth to work each day. Could you get by without a car for a while? That wouldn’t only save you the cost of paying for the car itself and it’s upkeep, but for gasoline, auto insurance, parking. And if you can’t go carless, how about trading in your pricey car for one that runs just fine but is used and less luxurious.

Putting your children in public school. The thought of moving their children from one school to another is often overwhelming to parents. If you’re not willing to do that, how about applying for financial assistance from your current school?

Your Debt Diet Journal on Oprah.com
Does the thought of making big choices overwhelm you? Are you wrestling with a difficult decision? Write about it in your Debt Diet Journal online. Here’s how:
� Go to Oprah.com’s Online Journal. Click on “My Journal.” After you’ve logged in, scroll down to “Start a Debt Diet Journal today.”
� Add images to your page, edit what you’ve written, or delete entries completely at any time.
� When you’re ready to save your entry, you can choose to keep your journal private, or share what you’ve written with others.
� Start writing in your Debt Diet Journal today!

Journaling is a great way to get to the root of a problem. Somehow looking at it in print makes it that much clearer. I have used journaling for many things in my life and it does help facilitate change. Decreasing your spending and increasing your income is a very important part of achieving debt freedom.

Investments in Online Forex Trading

Online Forex trading can be a great way to learn and make money at the same time. Of course, online Forex trading is a lot like the stock market - you can make money and you can lose money. So while this may seem like a great thing to get into, you really should research it thoroughly before you plunge right in. If you don’t at least have an idea what you are doing, you can really get in over your head.

Online Forex trading is where individuals buy and sell different currencies in the hopes of making a profit. The idea is pretty simple, but predicting the patterns of exchange rates can be a challenge. The exchange rate is simply how much of one currency it will take to buy another currency. The object is to sell the same currency for more of your currency than it cost you to buy it. For example, if you buy a certain amount of euros for one hundred dollars, the object is to sell or trade that same amount of euros for more than one hundred dollars. This way you get back your initial investment plus a profit.

One reason that online Forex trading is appealing to some people is the hours that you are able to trade. A lot of investments that you can get into are open for buying and selling only at certain times of the day. However, because it is always daytime somewhere, and because the internet is functional at all times of the day, online Forex trading is not limited in this way. If you are a person that sleeps days and works nights, this can be a great idea. You don’t have to be awake at hours that are normally your bed times to monitor or alter your investments. Trading times will be when you decide. Also, if you are on a regular daytime schedule, but you don’t decide to sell until nightfall, that is still not a problem. Exchange rates are constantly changing, and you don’t have to wait twelve hours to react to a change.

You can get a lot of advice about online Forex trading from online sources. However, if you do this, remember to use good judgment when deciding what advice to follow. Anyone can give you pointers, but it is your money, so it would be your loss if you listen to untrained people. As with all investments, be careful, do your research, and use your common sense.

Saving on Tuition with CLEP Exams

CLEP Exams are one of the best ways available to save money on college tuition. The College-Level Examination Program allows you to test out of introductory classes. You are able to buy study guides for the classes for about $20 each and the cost of the test ranges from $50-$100. They can be gotten thorough any large bookstore. Your college counselor can tell you how to sign up for the classes and you can also sign up for the tests through the CLEP website. Taking these tests can save you years and thousands of dollars when it comes to getting your college degree.