Let me give one advice. Get rid of debt. And with that I mean Credit Card Debt, yep, Im spelling it with all caps because it can be THAT BIG and THAT IMPORTANT. Been there, done that. Im not going there again. What I learned: Start from the smallest debt. And close the cards quick. Those interest rates go way up and take so much from the minimum payment due, believe me. If you can merge all debt together and avail of a loan, great. Then cut those cards in half. Keep one in case of very very extreme emergency.

Last year, I had four credit cards, all of them almost maxxed out. I learned my lesson the hard way so I cut all of them except one, which I religiously maintain up to now. Credit cards are a double-edged sword. You need to know how to handle your finances well and treat is as hard-earned cash. Do not go spending away what will be expected money on credit card debt. That’s what did me in. I always had the attitude of saying to myself, “Oh, I’ll be getting money next week so I can use my card today” and suprise! Next week, the money comes, and there is a need for it someplace else – like the kid’s school bus fees. So the cycle begins.

I am not saying credit cards are all bad. If you know how to handle them well, you can take advantage of 0% credit cards and 0% balance transfers, even reward points and frequent flyer miles!

Since I am making big money on the side, my resolve to really have a substantial amount of savings has hardened and Im determined to make 2007 my YEAR.

For those who need help, there is a Credit Counseling Agency who can help you. The CESI Organization has credit counseling services which are free, confidential and comprehensive. You can seek help over the phone, online or on their web site. They have four easy steps: 1. Contact them for a free consultation. 2. Complete a budget analysis 3. Have a spend diary. 4. They will then recommend you to a Debt Management Program.

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