What Should I Do If I Lose My Job? To Have Insurance or Not to Have Insurance.

Unemployment has been hanging around in the 9% range lately and is likely to get worse. But when your laid off and no longer have insurance benefits, what do you do? To have insurance or not to have insurance that is the question.

I am perfectly healthy. What's the big deal if I dropped my insurance through my employer because it costs too much?

If you dropped your insurance get it back right away. If you are unable to get your insurance back from your employer until your next open enrollment, look into getting your own policy. It doesn't matter how healthy you are right now. Tomorrow could bring a whole different story. All it takes is a sudden illness or terrible accident to tell that story. My motto has been lately: Hope for the best, expect the worst. One of the most common reasons for bankruptcy is unexpected medical bills that people could not afford to pay. Having health insurance is a great way to reduce your financial burden if you or any of your family falls ill or is injured. Having health insurance doesn't automatically protect you from bankruptcy. You can still end up in bankruptcy from high co-pays or costs that are not covered under your policy. At least with insurance you have some protection. Without it you have none.

I understand how expensive health insurance is. Employers have been passing more and more costs on to employees for coverage, which in turn means higher premiums, higher co-pays, or less coverage. This continues to happen because health insurance costs keep getting higher and higher at a fast rate and employers are having a hard time picking up the costs, and companies are under pressure to increase earnings or reduce losses. Having the employee pick up more of the tab helps the companies numbers.

Whatever the cost you need insurance. If your current plan is too expensive check into the less expensive options the next time your open enrollment comes around. You'll have to what until the fall since companies don't usually let you change your plan until open enrollment comes up. They usually only allow changes for life changing events such as marriage, divorce, or job change. Check with your human resources department to be sure. If you have already cancelled your insurance and cannot start up again until the next open enrollment check into short term coverage through a private plan until you are eligible to get back on your company plan.

Should I wait and see what choices I have after Washington passes the health care reform bill?

That would be a no. First off don't wait for Washington to save you. We don't know how long it will be to pass the bill. If it gets passed at all. You need health insurance coverage right now. You cannot afford to wait months or even years to get coverage. Also, it is highly likely their will be significant changes will go into effect immediately. The transition could take months before any of the changes kick in. In the meantime, you need coverage. You can always drop it if and when any reform takes place. Think about paying your premium monthly rather than annually. That way you will be able to drop your coverage when you need to.

A lot of people are saying not to count on health care reform. Here is what is wrong with the Health Care Reform Bill. Obama's health care care plan will be written by a committee whose head says he doesn't understand it, passed by a Congress that hasn't read it, signed by a President who smokes, funded by a treasury secretary who did not pay his taxes, overseen by a surgeon who is obese, and financed by a Country that is broke. What could possibly go wrong?

What Should I Do If I lose My Job? Part 2.

In part 1 of "What Should I Do If I Lose My Job?", we discussed the ugly truth with unemployment being at a high of 9.4% and climbing and you still face a chance of losing your job.

We also looked at several options where you should and should not get funds to make up the difference in your lose of income. Credit cards and home equity loans = Bad. Emergency fund (that's what it's for) = Good. So what other options may good or bad? let's take a look.

If I can't pay my bills can't I use the money I have available in my 401K?


Do whatever you can to avoid tapping into your retirement savings. It may seem like a quick and easy solution to your cash flow problems now, but down the line it can be very damaging to your financial future. You will need that money in the future for your retirement. When you spend what you have today you have less for tomorrow. And when you are older is when you will need it. Don't think you have a long way before retirement or you'll just boost up your savings when you start working again. Most people never do. Also, your new job may not pay as much as your previous one did.


If you feel that pulling the money out of your 401K is your only option than transfer your money into an IRA to prevent paying the 10% early withdrawal penalty. Instead of taking the lump sum you can take it as you need by taking withdrawals from the IRA as you need them. You will only have to pay penalties and taxes on the amount you withdrawal. Try to minimize the the amounts you you withdrawal instead of the whole thing all at once until you go back to work. At least that way you'll salvage some of your retirement.

I don't have any money in savings. What do I do?


I want you to start finding ways to save money right now! This is no joke. Start building an emergency fund. If you don't have an emergency fund you must start taking steps to increase your income and reduce your expenses so you have a savings reserve. There is nothing more important than establishing an emergency fund that can carry you through for at least eight months.

Mega Millions Has a Winner For a $333 Million Jackpot...

Mega Millions has a winner for the $333 million jackpot. Actually two winner and here are the Mega Millions winning numbers for the August 28 drawing: 1-17-31-37-54 (one, seventeen, thirty-one, thirty-seven, fifty-four) Mega Ball: 31 (thirty-one).

I would love to say I was the winner, but unfortunately I am not. If I did win I would be looking forward to choosing either a lump-sum cash payment or annuity payment. If there is a jackpot winner tonight of the $333 million and he or she chooses the annual payment plan, they would receive $12.8 million per year, before taxes, for the next 26 years.

A lump sum option is based on how many U.S. Treasury's that half of the ticket sales can purchase on the day that the winner claims the prize. A jackpot of this size would result in a lump sum of approximately $194 million before taxes.

A total of 12 states participate in the Mega Millions including: California, Georgia, Illinois, Maryland, Massachusetts, Michigan, New Jersey, New York, Ohio, Texas, Virginia and Washington. I had to go out to our state line of Nevada and California to get my now non winning ticket.

So what could you buy with $333 million? Well, you could:

Get 127,439,724 gallons of gas.


Buy 714,408 shares of Google.


Buy 145,038 Panasonic 58-inch plasma TVs


Buy 876 Rolls Royce Phantoms


Buy one Phoenix Coyotes team

If there is a winner tonight it would be the third highest jackpot. Number one being $390,000,000 on 3/6/07 and the second $365,000,000 on 2/18/06.

The winning tickets, which are worth an estimated $166.5 million each, were purchased in San Gabriel, California and the Bronx, New York.

Although I didn't win tonight it certainly was fun to imagine what if.

What Should I Do If I Lose My Job?

Is there a chance I can still get laid off this year?

There is a chance you can get laid off any year, but you still have a chance you'll get laid off this year especially. With July's unemployment at a high of 9.4% and the economists predicting it will continue to get higher until sometime next year, you may still lose your job.

You need to prepare to protect your family so that you can still pay your bills while you apply for a new job. Because of increasing unemployment finding a new job might be a pretty hard task. That is why it is imperative that you build an emergency fund that can cover your household expenses for at least eight months. You probably won't be able to save that over night, but the sooner you get started the better. Check out our tips on how to cut back and help you save to build your emergency fund.

If you are counting on living on your credit cards or a home equity loan you might think again after reading about what's happened with those credit options these days. In case you haven't heard banks are not in the lending mood lately.

You might even want to start job hunting right now while you are currently employed so you have an idea what job options are out there. You never know you might find something that pays more. Network as much as you can and check job postings in your field. If you come across something that you are not up on get schooled in it right away. In down economy employers aren't looking for employees that meet only part of their requirements. There is likely a large pool that they can choose from with plenty of qualified people who meet all of their requirements. Do everything you can to make sure your a top candidate.

I am not worried. Even if I get laid off I'll still get unemployment right?


Probably, but it won't be for the full amount you were once paid. You will still need something to supplement your income with and that will probably be your savings. The hard truth is maximum unemployment benefits are usually 50% of your former wages. Also, you only get those benefits for a limited time. Usually, you can only receive unemployment for 26 weeks. In economic times like we are having now Congress can vote to extend unemployment benefits for an additional 13 weeks. Based on standards set by federal law, unemployment is handled by your state.

Check out the link "Find Unemployment Insurance Filing Assistance" at servicelocator.org to find your state's rules.

Can't I just use my credit cards or get a Home Equity Loan to live on if I lose my job?


You must start putting money aside in a savings account or mutual fund. The credit that people have been relying on for years is not that easy to obtain right now. If you don't have the credit available or the bank reduces your limits because their nervous that you are all of sudden charging or taking cash advances you could be without a way to pay your bills.

If you are thinking you may lose your job. I guarantee someone else is thinking it too. Probably your bank. Remember bank are way ahead of you. They know if you lose your job you will go right for your credit cards for cash to pay your bills. Not having a job increases the chances you won't be able to keep up with the payments on that money you cash advanced. With the banks already in bad shape they will begin to cut back on what you borrower if you make them nervous in any way. Credit lines are being reduced all the time. I hear the same story every day. The bank lowered my limit or the bank closed my credit card.

If your credit lines haven't change yet, don't think you are out of the woods because you have a great credit score and credit history. Soon as you start running up balances on your credit cards you are going to send up a red flag with your bank. You could be waving your credit lines good-bye. The will be gone just when you need them most. The best thing to do is start putting money aside for an emergency.

Best Ways to Deal with Credit Card Debt.

Questions regarding credit card debt are the most popular here at Financial Elite. So instead having to search all over the blog for the most popular questions and answers we're going to wrap them all up in one post.

If the credit card companies lower my limits will it hurt my FICO credit score?


Yes. You are measured by a series of calculations through your FICO credit score that determine how good a credit risk you are. How much debt you have accounts for 30% of your score and is one the biggest factors that makes up your FICO credit score. One of the primary ways this is done is by the debt to available credit ratio. Debt is how much you owe on all of your credit cards. Your available credit is total amount of credit lines that have been extended to you. The more debt you have the lower your FICO credit score. Your debt to available credit will get much worse if your credit limits are cut.

So if you have a $10,000 limit on a credit card and let's say you have a $2,000 balance owed on it. So your debt to available balance would be 20% ($2,000 is 20% of $10,000). Now let's say the credit card company lowers your limit to half of what it once was to $5,000. That would cause your debt to available credit ratio to double to 40% ($2,000 is now 40% of $5,000). This will undoubtedly have a negative consequence your FICO credit score.

The best way to keep your FICO credit score unaffected is to pay off your debt.

Can credit card companies and collectors harass me at work?

Receiving harassing phone calls from credit card companies and collectors about late payments can be very embarrassing. Especially if you are caught off guard or can't talk in private.

So can credit card companies harass you at work? The Fair Debt Collection Practices Act (FDCPA) restricts the types of tactics that credit card companies or debt collection agencies may use. They are unable to call you at work if they know your employer prohibits these types of harassing calls. Once you tell the credit card companies or debt collectors that you cannot receive calls of this type at work, they have to stop calling you at work. It's best to follow up with a letter to them putting this in writing. Let them know you know your rights by informing them that under provisions 145 of the U.S. Code, section 1692b-c, the letter constitutes formal notice to stop all future communications with you except for the reasons specifically set forth in the federal law.

Collectors also cannot call your home so often that it would be considered to be harassment. They also cannot call you before 8:00 a.m. or after 9:00 p.m. To learn more about your rights under the FDCPA visit credit.com.

Should I Take Out a 401K Loan To pay Off My Credit Card Debt?

I have taken out 401k loans before but, I have taken them out to use as down payments for buying homes. All in all no matter what you take the 401k out for the concept is the same.

Unless you are not able to make your credit card payments at all and your FICO credit score is in jeopardy, this might not be a good idea right now. Be aware you can end up paying taxes twice on the money you borrow. If your FICO credit score has already gone bad due to late payments and your interest rate has sky rocketed to 30%,a 401K loan might be looking pretty good and you might think the tax penalty may be worth it.

The problem is we are in the middle of a recession. There is a possibility that you may loose your job. I have friends who have been with their company for years, In some cases over fifteen years, who have lost their job. No matter how much seniority you have you can still get laid off without any warning. If you were to be laid off and you have an outstanding 401k loan, you will have to repay the loan within a short period of time. Typically the time frame is 90 days. If you don't pay it off within that time frame your 401K loan will become a 401K withdrawal. This means you will have to pay tax on the entire amount. On top of that you will have a 10% early withdrawal penalty if you are under 55 when your service ends. Would you be able to pay back the 401K loan if that were to happen? You certainly wouldn't be able to take it from a credit card would you?

Something else to consider is your retirement. If you no longer have a your 401K, what else do you have for retirement? If retirement isn't on your mind it needs to be. If you can't pay your credit cards you may be thinking of bankruptcy. There are other options before things go that far, but the good thing with bankruptcy is(if there such a thing when it comes to bankruptcy)the money in your 401K or IRA is protected under bankruptcy law. You will not be required to payoff your credit card debts with your retirement savings. Don't blow your retirement on paying off your credit card debt.

Collection Agencies Keep Calling Me About My Credit Card Debt. Should I Pay Them?

First of all don't pay anyone without verifying who they are or what the debt is. Debt collection agencies will call you if you have debts to pay. Debt Collection Agencies will also pursue old debts that you never paid off, in hopes that you will pay it just to get them to stop calling and harassing you. But beware! With the economy the way it is there are plenty of scams these days. Most of the time the debts don't exist. They are the result of identity theft, clerical errors, or credit reports that have not been updated. Other debts are so old the debt collection agency no longer has the right to legally sue to collect. I have seen court orders sent to people just before the legal time period is about to pass in hopes of being able to collect. I have also seen debts sold to other collection agencies in an attempt to extend the legal time period. Starting the clock all over. Within 30 days of being contacted by them, be sure to send the debt collection agency a letter explaining you do not owe this money and request proof that the debt is legit. Make sure the letter is certified and have them send you a copy of the bill to prove that it is true. If within 30 days the debt collection agency does not provide proof of the debt, they can longer keep contacting you. Also, they cannot list the debt on your credit report. You should always review your credit report at least once a year. Visit annualcreditreport.com to get a copy of your free credit report. All of the three credit bureaus, Equifax, Experian, and Transunion, are required to provide you with one free credit report a year.

Need Credit Card Relief? Phase One is About to Begin.

The first installment of Obama's credit card company smackdown is about to start. Soon consumers will be receiving more notice when terms are changed and a chance to reject interest rate increases providing struggling consumers with credit card debt with some relief.

Starting August 20, credit card companies will be required to give customers 45 days advance notice before making major changes to credit card terms and now have to mail bills 21 days before the due date.

The previous laws allowed credit card companies 30 days before changing terms and 14 days to mail bills.

Another interesting option allows consumers to reject changes to their terms, which include interest rate increases and they will now have the option to pay off their balances at their current rate over the next five years.

Rejecting an interest rate increase will cancel the credit card. At the same time taking five years to repay the card can result in a higher minimum payment. At least under the new rules the minimum balance cannot go up more than double.

When the balance is too large to allow the consumer to repay the debt within five years, without doubling the minimum payment, the credit card company is able to make the determination to extend the time frame or determine a new interest rate.

Stay tuned for stage two.

How Should You Handle Panhandlers?

I am sure with the current economic state we're in panhandling is on the rise. I firmly believe that helping others is part of wealth building. Whether it's giving back to God at church, donating to a charitable cause, or helping a homeless person.

Giving should be from the heart and when it is from the heart I feel it's gives a feeling of abundance. To feel as though you can give acknowledges that you have plenty and all you need. Those who receive should feel the same abundance upon receiving. Feelings of abundance just promotes more abundance. But how do we know that those we help really need it? Are some doing it as there sole source income with no intention of getting a job, starting a career, or starting their own business?

Panhandlers can turn up at e variety of places. Especially the more aggressive ones. Places they can be found are:

- ATM banking machines.
- Entry ways to stores or restaurants.
- While existing your car or while your waiting at a stop light.
- Possibly offering a gift like a stick of gum in exchange for a donation
- Solicit at night.
- Invade your personal space and block you or begin initiating inappropriate touching.
- Camp out in front of a business in hopes that the owner will give them money to go away.

Cities like Chicago and Atlanta have passed laws banning panhandling. Orlando, Florida requires panhandlers to get a permit to do so. A 2002 study in Canada reported that panhandlers earn an average of $638 a month (in Canadian dollars).

So how do you know if the person who is asking you for money is actually in need?
A couple of weeks ago while waiting in the drive-thru at In 'N Out, looking forward to my double double cooked animal style, a panhandler approached my car. Telling me he and his family where from out of town and out of gas. They were stranded. I grabbed the spare change out my console and handed it to the gentleman. He thanked me and went on his way. After he left I thought who takes their family on a trip and doesn't have enough money for gas.

Yesterday, while getting gas, a young man approached me. Telling me a similar story. He was out town and out of gas and here to see his daughter. I usually don't have any change on me because I mainly use my debit card. I went to my console and had remembered that I had gave the change I had to the gentleman in the drive-thru two weeks earlier. So I asked him where his car was. Thinking well I'll use my debit card to get him a couple of gallons of gas and get him where he needs to go. Turned out his cars was miles away. And from what he told me on where his car was there were plenty of other gas stations in that area. Why was he at this one? It made no sense to me.

I quickly realized that there was probably no car out of gas. That he was just trying get money out of people. This also made me think this was a way to weed out those actually in need and those who were just turning panhandling into a part time or full time job. If they ask for gas money-buy them gas. If they need something to eat-get them something to eat. I think by offering to get the panhandler exactly what they are asking for separates the have from the have nots and beats the haves at their own game. What do you think?

The Book of Job and How I Paid Off $60,000 in Credit Card Debt.

With bankruptcy looming, a pending divorce, and thoughts of suicide dancing in my head salvation was calling me. Although, I attended church regularly and was familiar with the book of Job as a book in the Bible I had never actually read it. Something kept telling me to read that book. Ringing in my head over and over again. Read, read, read. The book of Job would pop up in different situations as if it were a sign to read it. So finally I did.

The book of Job, for those who don't know, is the story of a wealthy, pious man whose good life turned to ashes because God allowed Satan to test Job's faith.

Job's tale begins in heaven, when God praised him as an example of human faith. Satan, called "the accuser" in the biblical record, dismissed Job's faith, saying that he was righteous only because God had blessed and protected him. Satan proposed that if Job lost his wealth and loving family, Job would curse God to his face. God gave Satan the freedom to destroy anything but Job's life itself. Thus began the story of tested faith and adversity.

Satan swept down like a plague. Within one day, Job's herds had been stolen by nomadic raiders, his ten children died, and Job himself was struck, no financial wealth, I had lost my extended family in the form of my in-laws, and a recent doctors visit revealed I had high blood pressure. I felt that my wealth and family were lost and I had a potentially life threatening disease.

Just like Job I felt desperate and despairing. I would cry out to God about my life, feeling loathsome and hopeless. How could I have let this happen and why wasn't God helping me? But God was helping me. He led me to read this book.

I had come to realize that I was not alone in this and it has happened before and it will happen again to possibly me and others. Just like the very economic crisis we are experiencing today with people losing their homes and jobs, debt piling up, and many people in despair it all will pass.

Eventually, Job's fortune and family were restored two-fold. Just as mine were. Things didn't happen on their own and they won't get fixed on their own. You need to take action. Just as I realized Job had everything returned to him, I knew I could too, but I had to do something about it. Thousands of people are having financial problems right now. No matter how bad you feel right now things will get better. Just as others have gotten into debt, others have gotten out too.

First step: Check out just how bad things are. How bad or good is your FICO credit score?...

Coping with Divorce and the Beginning of Paying Off $60,000 in Credit Card Debt

Despite the predicted millennium disaster and threat of complete computer meltdowns throughout the world the year 2000 started like any other. We all survived the turn of the century unscathed. The year began just like any other, but the amount of debt that I had was ever mounting and reaching a peak at $60,000. The stress, the worry, and the lack of seeing the light at the end of the tunnel was just sucking the life out of me.

Before I was married I had lived a debt free life (other than my car loan), but after my first marriage I quickly developed my first wife's bad financial habits. The debt, although a decision of free will, was escalating year after year. I allowed this debt to mount mainly because my wife wanted a lifestyle that we could not afford. Not that I enjoyed the lifestyle just as much in the beginning. But whenever I had addressed the situation I was put down for not making enough money. So I would cave every time she wanted to spend money we didn't have. I would slap the vacations, dinners out, etc right on a credit card. I am probably sounding like a wimp, but I did put up with it. I now have to live with those choices, but just like everything else in life things pass in time.

As the debt began to come to head and every credit card was reaching it's breaking point I had enough. I had initiated another discussion about the debt, but was met with the usual you are loser, you don't make enough money, and so on. I had been a 10 year employee of one the country's biggest banks, I went to work everyday, had won numerous awards for sales, was a loyal husband, never drank to excess, never gambled, never beat or hurt my wife in any way, but was still treated like I was a failure.

I couldn't believe I had let this happen. Especially, with all my years of education and working in finance. My credit and had been perfect before my marriage, not that it wasn't at the time, I was still making payments on time, but all the credit cards were on verge of being at their max and the straw was about to break the camels back.

This madness had to stop. My wife had bad credit before our marriage so any financing was always done one my credit. The fact that I was about to put the kibosh on the spending did not go well. Shortly after that I was told it was probably best I move out. Even though we, or I had financial problems as she would tell it, I still loved my wife and I did not think this was a good idea, but I did comply fearing things would get worse and the fact that she did tell me things would get ugly if I didn't.

I moved into my own apartment and really kept our separation hush-hush for a while. I had counseled so many young tellers on the importance of good credit and encouraged them to save diligently for their retirement. I trained them all well for those I still keep in touch with have top notch credit scores and are continuing to mass a great retirement. I was so ashamed to tell anyone about my financial plight. Eventually, I confided in my friend Michael, who had a secret of is own. He was single, but actually had more credit card debt than me. This had given me a feeling of not being alone with all that debt and that if two long term bankers had debt I was sure we were not the only ones. Michael and I had discussed filing bankruptcy. It was kind of like if you do it I'll do it. Neither of us took the leap and in future posts I'll show not making the decision to file bankruptcy was a good one.

Even though I knew I was not the only one who had a massive amount of debt I was devastated. Not only was I facing divorce I couldn't believe I had been so stupid. Depression had set in and even though I would never end up making the decision to file bankruptcy I did have thoughts of suicide(another good decision I decided against). I am Christian and although I was familiar with the book known as Job I had never read it. It did come up time and time again and I had finally decided to read the book from the Bible and the book of Job had started me on my way to paying off my $60,000 in credit card debt...

Obama's Mortgage Rescue Plan Is a Joke

Some 20 million homeowners currently own homes worth less than their mortgages. The first stage of Obama's "Making Home Affordable Plan" allowed borrowers to get a loan for up to 105% of their homes value. According to the Treasury Department a whopping 20,000 loans have been refinanced so far. A whole 105%? Are you kidding me? Who does that help? People who bought a home last week.

Last month the limit was raised to 125%, which is better, but most people are down 50% from the value they bought their homes for, according to Zillow.com, a real estate Web site. More than one in five borrowers are currently underwater. A 125% loan value helps, but it's really nothing. And with interest rates back up - again who does that help?

Now the White House wants 500,000 trial loan modifications by November. Get me a chair I think of going to fall down. Wait I am sitting down. Put a cushion underneath me. 500,000 out of 20 million. Wow!

So first, $20,000 homes have been re-financed. Second, 500,000 loan modifications can be expected by November. This is a drop in the bucket. Hello, 20 million homes are upside down. Helping 520,000 home is better nothing, but again 20 million homes.

Well, hold on a second, the Obama administration says it is on pace to help up to four million homeowners over the next three years. Four million is a step in the direction, but 3 years. The world is going to be over in 2012 for sure. Not by a natural disaster, but there is going to mass chaos.

More and more people are trying what we call "Buy and Bail". Where borrowers by a bigger and better home and let their upside down home go into foreclosure. Thus ruining their credit for years and adding more foreclosures to the mix. Also, the number of people falling behind on their payments continues to grow. Especially, now as unemployment continues to rise. An additional 1.5 million homeowners fell into foreclosure in the first half of 2009, up 15% from a year ago.

One woman from Michigan wrote, "Obama's plan is a joke. The banks are a joke, fax, fax, fax, call, call, call and no response for months. Even Washington rep can't get an answer or help, what a sham!!!" A friend of mine got her house payment modified. The bank forgave the late payments, but didn't change her house payments. The payments really needed to be lowered. She will probably end up late again.

If this is a joke I don't think anyone is going to be laughing if we don't pick up the pace soon.

TV's Batman Lends a hand to Lending Tree

While listening to CNBC a unmistakable voice hit my eardrums. TVs Batman, Adam West, does the voice over for a super hero based commercial for "Lending Tree". Being a Batman Fan I recognized the actors voice immediately. I thought it was cool. Check out the spots.

Does Your Bank Support New Ways to Achieve Financial Stability?

During these challenging economic times, everyone is being more careful with their money. So get out your pencils and calculators. Bank of America is giving consumers a stress free way to get a handle on financial matters: free financial guidebooks featuring content from the editors of Money Magazine.

An element of the bank's partnership with Time Warner, the three Money Magazine guidebooks are part of the Money & Main Street editorial platform -- one more way Bank of America is reaching out to people to help them overcome financial challenges, meet financial goals and navigate the economic environment. release of guidebooks coincides with the launch of the new financial literacy website, a comprehensive online resource offering critical money management content, tools and information, launched on July 20.

A consumer friendly resource, the Money Magazine guidebooks tackle questions like how to build a bigger cash cushion, streamline finances and even how to avoid money arguments at home. They also feature informative graphics and statistics, easy to understand worksheets, action plans and tips on topics ranging from budgeting, real estate saving for college and credit.

Each guidebook covers a unique topic -- Real Estate, Budgeting & savings and Managing Credit & Debt. They will be inserted in issues of four Time Warner magazines: Real Simple, Money, Fortune or Time. The Real Estate guidebook will be available in July, the Budgeting & Savings guidebook will be available in August, and the Managing Credit and Debt guidebook will be available in October.

Customers will also be able to get copies of the guidebooks in banking centers in mid-August or download copies from the new financial literacy website.

"We want to be known as the bank that helps you find solutions and gets you through these tough times," said Traci Holcmbe, a Hartford, Conn, Bank of America banking center manager.

We have said it before and I am going to say it again. The lack of leadership in government did not cause this economic turmoil. Our lack of financial knowledge did. Learn as much as you can can and be ready the next time this happens. This has all happened before and it will happen again.

The Brakes Get Put on the "Cash For Clunkers" Program...Update.

Wow! Someone actually listened to me and extended the "Cash for Clunkers" program. I am sure they didn't really listen to me, but who knows. Maybe the Obama Gang realized a good deal when they saw one.

The House of Representatives actually found a way to muster up another $2 billion on Friday to carry on the program that blew its $1 billion wad in just a week. The program is however facing opposition in the Senate.

Under the program any trade in vehicle needs to have a combined city and highway fuel economy of 18 miles per gallon or less. Vehicles meeting the criteria that are traded in are to receive a voucher for $3,500 to $4,500 for the gas guzzlers.

Finally a program comes along and appears to be working. I was amazed they actually upped the Annie another $2 billion. But of course that could be short lived if the Senate doesn't go for it. It's just like government officials to string us a long and when something finally starts to go it's like wait a minute this can't be right. We better put a stop to that.

This program is designed to help spur the struggling auto industry and help get fuel inefficient cars off the road. It's a win-win situation. Let's keep programs like this going and quit wasting money on the deadbeat programs that aren't.