Chicago Bankruptcy Lawyer Blog

The same principle that makes credit cards convenient also makes them dangerous. With plastic, there's no amount of cash holding you back from making a purchase. At least, not until now.

MasterCard recently announced a new program that could revolutionize budgeting for those of us prone to retail weakness and other forms of overspending. With inControl, consumers can place monthly credit limits on certain kinds of stores or purchases. Once the limit is reached, your card stops working - and, in theory, you start saving.

Continue reading "Could New Program Keep Chicago Credit Cardholders From Overspending?" »

Have you ever gone to the store to pick up some bread or run into Target for paper towels - only to come away with a cart full of purchases and a $100-plus receipt?

You're not the only one. Stores rely on a few tricks to distract consumers from saving money and instead lure them into spending it, explain Chicago bankruptcy attorneys. Fortunately, once you know what to look out for, keeping your wits - and your cash - can be a piece of cake.

Continue reading "Watch Out for Store Tactics Meant to Lure Chicago Shoppers into Overspending" »

Memorial Day weekend is here, the kids are almost out of school, the temperature is rising - but for some Chicago residents, that summer vacation is on hold.

But dealing with debt doesn't mean you have to forgo your warm weather getaway - at least, not if you use some strategic planning to snag the most affordable travel rates for the best-priced destinations. Remember, a vacation is about getting away - it's about rest, refreshment and relaxation. Nowhere in that definition is there anything about spending big bucks. So how can you make it happen?

Continue reading "Bankruptcy Can Make Affordable Summer Vacations Possible By Lowering Debt" »

All work and no play might make for good finances - but it doesn't make for much fun.

Fortunately, Chicago consumers are realizing that they can loosen the purse strings a bit and still run a tight economic ship, according to Chicago bankruptcy attorneys - and a recent story on Msnbc.com.

If you've been scrimping and saving these past couple years, you've hopefully built up some emergency savings, contributed to your retirement and - best of all - paid down some of that annoying debt burden (maybe you were lucky enough to receive a tax refund to boot). The good news? You probably have room for a splurge now and then. The key is to monitor the size and amount of those splurges so you don't end up back where you started - stuck with a large amount of debt.

Continue reading "Chicago Consumers Start Spending on Splurges After Months of Saving" »

A few years ago, most people thought of cutting coupons as a hobby for little old ladies.

This year, we're realizing those little old ladies were onto something. Call it a silver lining to the recent recession: after coupon use decreased for several years straight, it skyrocketed a whopping 27 percent in 2009 -- the second-largest increase ever, according to The Nielsen Company.

Coupons make sense - when used correctly. It's a pretty simple formula, really. If you need to make a purchase, then using a coupon to do it can save you a lot of money with very little effort. Be careful, though - if you use coupon clipping as an excuse to buy what you don't really need, you might end up adding to your debt.

Continue reading "Cash-Strapped Chicago Shoppers Start Clipping Coupons to Save Money" »

Can there ever be too much of a good thing? Maybe when it comes to budgeting.

Don't get me wrong - sticking to a budget is not only smart, but it can help you kick start a savings plan and even pay down credit card debt and other obligations. Problem is, Chicago consumers have heard so much about the merits of bankruptcy since the recession started that many of us are beginning to tune out. We've been oversaturated.

Going without a budget might save you some work, but it will cost you. Whether you've got a stable salary (is there really such a thing?) or no income whatsoever, a budget is just a way to ensure the money in your bank account goes towards the things that matter most to you - whether that means saving for a house, a vacation to Hawaii or finding freedom from debt.

Continue reading "Having a Budget Can Help Chicago Residents Start Saving and Pay Down Debt" »

Saving money often presents a problem. You know you need to start saving, but you can spare so little thanks to your debt, you figure why even bother.

Well, I'm going to let you in on a secret: every little bit counts. It's better to save one dollar than to save no dollars at all. And if that one dollar is what it takes to get the ball rolling on your fresh financial start, then it's worth a lot more than its paper value.

Most folks tell themselves saving would be easier if they just made a little more money. But chances are when you finally get that much-needed raise, you'll quickly find other uses - and excuses - for your cash. However, if you can set aside just a couple bucks each month starting now, you'll kickstart a habit that can last you a lifetime, no matter how much you get in your paychecks.

Continue reading "Change Your Financial Mindset to Start Saving Money" »

Gone are the days when losing weight or kicking a smoking habit were top New Year's resolutions. This year, it's all about the money.

And for good reason. With millions of Americans facing foreclosure, out of work or otherwise struggling to pay the bills, it's time for a real change. It's time we stopped procrastinating and making excuses and instead started saving. Don't worry; it's easier than it might sound. And as an added bonus, creating a spending plan can actually help you achieve other changes in your life - like quitting cigarettes or eating more healthfully.

Unlike many folks fear, a spending plan doesn't have to take all the fun out of your shopping. But it can streamline your life by helping you make more realistic choices.

Continue reading "Start the New Year Right with a Realistic New Spending Plan" »

It's said that everything is best in moderation, even good things. That's why I'm here to make the case for saving LESS.

Don't get me wrong, saving is still the underlying theme of most posts on this blog. Unless you're about to get a massive raise at work - or, you know, have a money tree growing in your backyard - stashing cash is the only way to make more money. It's a way to give yourself a raise, no boss needed. A realistic budget can be a great tool for allocating the things you might like, but don't really need, to the things you do need - like enough money to pay the utilities bill and your rent or mortgage.

But I've seen folks go overboard and actually endanger their well-being because they're so intent on maximizing savings. It's easy to identify a luxury good when looking for places to cut back - cable TV, a gym membership, restaurant meals and your 30th pair of shoes, for instance. It gets more complicated when figuring out how to scrimp on the necessities.

Continue reading "Chicago Bankruptcy Lawyers Say Even Saving is Best in Moderation" »

June is a sneaky month.

It holds no major holiday, no income tax payments, no back-to-school shopping, but somehow it always costs me an arm and a limb. Just as I've finished paying off my Christmas shopping damages, I get bombarded with graduations, bridal showers, weddings, Father's Day and birthday after birthday (seriously, does everyone in my family have a birthday between May and July?). If I was a parent, I'm sure I'd also be dealing with out-of-school kids clamoring for a vacation and trips to the amusement park (oh wait, that's the job of my significant other!). Goodbye, relaxing summer.

That's the bad news. Here's the good news. I've finally learned to expect this rash of warm-weather expenses, which means I've been able to plan for it. Anticipating the spending spree hasn't entirely eliminated the pain, but it's helped a lot. I know because I haven't added to my debt. What's the secret? I've been using cash, not credit.

Continue reading "Chicago Bankruptcy Lawyers Suggest Swapping Cash for Credit to Save on Gift Giving This Summer" »

When the stock market took a dive last year, so did most retirement funds. But it's not just Wall Street doing damage to our savings - it's our own impatience. Since the recession began, people have been pulling the plug on their retirement money, cashing out to pay for present-day expenses like bills and groceries.

Even I'm not immune to stealing from my own piggy bank. When I changed jobs a while back, I cashed out the earnings from my profit-sharing plan with the full intention of re-investing them. That didn't exactly happen. I learned a valuable lesson: if you have money in your primary account, you will spend it. Gas prices were going up and it was pretty convenient to have that extra cash cushion. But the problem is that, now, it's gone for good.

Continue reading "Chicago Bankruptcy Lawyers Help You Hold On To Savings" »