While inflation has pushed the prices of most products to a sky-high level over the past decade, it has been enough to drain off the wallets of the middle-class consumers in the US. In fact, if you look back, you’ll find many inventions in the last decade that were made to help consumers save more money so that the national debt level could be brought into control.

Unfortunately, all such inventions have already been misused and irrespective of the money-saving technologies, the US has yet incurred the highest amount of national debt. With the debate over the raising of the debt ceiling hovering around the US government, it has become a necessity for all Americans to save money religiously and boost the US economy.

Though the debt relief services in America are trying their best to assist the consumers in reducing their debt burden, yet there is no such havoc response in the riding debt profile in US.

For more information on debt & credit please visit : http://www.creditmagic.org/

Tips for a fatter piggy bank this year

Have a look at the 5 sneaky money saving strategies that’ll help you secure a safe financial future.

1) Start a savings account, a high yield one

The biggest hindrance that bars you from saving money is not being into the habit of saving money. The best and the most effective way of getting into the habit of saving money, is to open a savings account with a reputable bank. As you deposit money from your salary into the savings account, you can gradually create a dedicated savings account. This is a certain way of achieving your financial goals and paying down your financial obligations as soon as possible.

2) Create a budget to restrain your expenses

Your very next step towards your money-saving endeavor would be creating a perfect, strict and frugal budget. Though it is a fact that Americans hate following a budget, yet it is a pre-requisite to leading a debt-free life. Rather than seeking help from legal debt relief services who’ll charge you hefty fees for their services, it’s better to follow a budget and keep a track on your expenses. Always try to keep a balance between what you make each month and what you spend. Make sure that every month, your income is more than your expenses.

3) Start contributing to your 401 (k) account

If your employer provides you with a 401 (k) account, make sure you contribute a portion of your gross monthly income to it. Not only is it a great way of saving money, it will also provide you tax benefits after retirement. This is the best way you can secure a safe financial future and lead a happy retired life. In case of a financial emergency, you may also withdraw money from the 401 (k) account and utilize it in meeting your emergency financial needs.

4) Reconsider your insurance coverage

You must be having your insurance policies and when you’re going through a credit crunch and are looking for ways to save money, stop to reconsider your insurance coverage. While you had taken your insurance policies, you might have been in a particular financial condition. Now, if your financial state has deteriorated, you must abort some coverage that you do not need. Review all your policies and check where you’re paying more or for no reason. Speak to your insurance lender and get that particular coverage cancelled to value your dollars.

5) Look for free stuff

If you’re an entertainment buff and you’ve misused your cards in buying tickets of concerts, you need to become a bit more responsible, now that you’re in danger. To cut down entertainment expenses, look for free shows in theatres; hunt for free events in your localities. This will help you satisfy your quest for entertainment and will also help you save your dollars at the same time.

Making minor but consistent changes in your everyday life will certainly help you boost your savings. Stop using your car, try carpooling instead. Stop eating out, make your own dinner and save those extra dollars to utilize them in paying off your financial obligations. If you think you can’t manage your debt on your own, get help from the legal debt relief services so that you do not find yourself buried in debt in 2011.

Thanks to grace for this guest post.

Ok, so Christmas is just round the corner, and if you haven’t already started your shopping…then what are you waiting for? But just before you get your wallet out… have a think – could you save yourself some money?

Christmas is going to cost you a lot this year, and finding things ‘on the cheap’ can be quite hard.

So that’s why I’ve put this short guide together, to help you reduce the cost of Christmas the easy way.

1) Use price checkers to lower the cost of presents

There are plenty of websites that provide free ‘price-checking’ facilities, so you can compare the price of your desired item from several retailers, and find out which one offers it the cheapest.

Price-checking facilities can help you save some serious cash at Christmas. For example, last year – I used a price-checker to find the cheapest retailer of the latest computer game for my son, and found that one retailer was offering it $20 cheaper than another one!

So, just do a search for ‘price-checker’ on a search engine and take a look at the results!

2) Use discount vouchers

Shopping for food, drinks and presents can be a real drag, and before you know it, you’ve spend $100s. So, to help you reduce the cost of your shopping, you should take a look at the selection of discount vouchers on the internet.

Just search for ‘discount vouchers’ on a search engine and you should be provided with plenty of links.

Some vouchers will offer you the chance to get 50% off at your favourite retailers, while others will allow you to buy cheaper food, drinks and other items.

Discount vouchers aren’t just available online, you can find them in your local paper and some retailers may even give them out once you have shopped there.

3) Shop online

This is the easiest way to do your Christmas shopping – you can order everything you need online and have it delivered straight to your door.

Online shopping tends to be cheaper than shopping in your local store. The demand for products can be much higher online, and retailers lower their prices to compete with each other – so look out for the cheapest online stores, and like the first point in the guide…check the prices using a price checker to make sure you’re getting the best deal.

So, there you have it, a short but sweet guide on how to reduce the cost of Christmas and stay out of debt… the easy way. (for more debt information visit ThinkMoney)

Of course, there are many other ways in which you can save yourself money over the festive period, but the ones mentioned above are certainly worth a try!

Thanks to hannah for this guest post.

When I sat down and took a hard look at the debt I was facing, I wondered to myself if there was an optimal way to pay off all my loans and credit cards. It was not enough throwing every last cent I had to pay everything off in its entirety as the interest charges that were being added to my principal was not helping me eliminate my debt faster. At one point, my $9,000 balance on my Mastercard at more than 18.5% APR was charging me almost $200 as minimum payment. More than 3/4 of that payment was to cover interest only!

I immediately go to my local bank for a consultation to see how they can help me. I was looking to consolidate my debt at possibly a lower interest rate. That way I thought, there will only be one payment made every month and it will be easier to keep track of my progress. Now the lady I had my appointment with wasn’t very helpful. She advised that with my current credit rating, job history, and credit history, the best I can hope for was a personal loan at 12.5% and the chances of getting this was very slim. I politely declined and walked away. Most of the interest rates I had for most of my loans were far below 12.5%.

In comes MBNA in my life and I was saved. I was browsing around a popular forum, RedFlagDeals, and found out about a 0% balance transfer promotion when you open a Platinum Plus Mastercard. Being the Money Monkey that I am, I applied online, and followed up on the phone a week after. The approval process was quick and painless and upon approval, the balance transfer was setup over the phone. I had it deposited to my chequing account and used it to pay off one of my higher interest loans (the Mastercard was already paid off at the time I applied for the MBNA card).

What’s the catch?

• The 0% interest rate only applies to balance transfers made in the first month or two
• The 0% interest rate is only in effect for one year starting on the day the card was approved
• There is a balance transfer fee between 1% and 2% of the total amount transferred but the folks at MBNA were able to cut it down to half of that if you ask politely (this was last year, October 2008, so things might have changed)

Now these guys at MBNA are not crazy. They are banking on the fact that most people are not diligent enough to pay the balance off by the time the promotion is due. After a year from approval, the interest kicks in at 18% up to 24% on the entire balance!

Who do you recommend this for?

• Newly grads with high levels of debt from school (assuming these grads have income to pay off the balance by the time the promotion ends)
• Investors
• Anyone who can and will pay off the debt before the promotion ends (use the money to purchase big-ticket items, or earn a return > 1% for one year)

Who is this not for?

• Anyone else who wants the money but can not foresee having enough cash to pay it off before it’s due will be eaten alive by the high interest rate – do not fall in to the trap!

In my case, I used the$10,000 to pay off some loans and as I save up money from my primary income to accumulate $10,000 by the due date (which is this November), I put the funds into an ING savings account that earns me money while it’s parked. I have calculated the total interest saved and total interest earned by using this 0% promotion to be almost $900 for the year. Not too shabby!