AARP Master Your Debt E-Book

Jordan E. Goodman

• Herausgeber: John Wiley & Sons
• Kategorie: Fachliteratur
• Sprache: Englisch

Seitenzahl: 342

Veröffentlichungsjahr: 2011

Beschreibung

AARP Digital Editions offer you practical tips, proven solutions, and expert guidance. The world of borrowing and debt management has changed dramatically, leaving people confused about how best to secure their financial future. This book is the only guide with detailed advice to help you become debt free or master the debt you have, based on the latest laws and new government programs and policies implemented under the Obama administration. Is the information and advice on debt management different than in years past? Definitely. In this savvy, engaging guide, bestselling financial expert Jordan Goodman will tell you how to * Win the mortgage game: avoid foreclosure, obtain the best refi, and modify your mortgage even if it is "under water" * Clean up your credit report and dramatically boost your credit score * Negotiate new terms and payments for burdensome medical bills, student loans, and credit cards * Protect yourself from the devastation of identity theft * Master the new credit card rules, and avoid the rate and fee traps * Learn a revolutionary strategy that will help you become mortgage free in 5 to 7 years, change the way you pay all your bills, and save hundreds of thousands of dollars Master Your Debt recommends many pioneering strategies as it lays out an innovative plan for achieving the elusive goal of financial success. The book is filled with helpful web sites, toll free numbers, associations and government agencies, and vetted companies and services to help you implement this advice. In today's volatile economy, getting out of debt is the key to surviving and thriving, and author Jordan Goodman provides you with the strategies and tools to live debt free.

Leseprobe

MAKING YOUR MONEY WORK FOR YOU

Maybe you’re thinking it’s time to review your investment strategy and make the most of the money you have today. Maybe you’ve already built a financially successful retirement egg and want to protect what you’ve built. Or maybe you need to bulk up your earnings to ensure your family’s future.

Welcome to money for grown-ups. Where do you turn for credible information?

Dedicated to helping you protect your assets, stretch your dollars, and bolster your longterm security, AARP can offer you powerful solutions. Whatever your strategy for managing money, we’ve got suggestions that will help – from saving money on that next big purchase to planning your charitable giving. If you’re taking your job to the next level or building up a second career, we’ve got strategies that will help you make your mark.

You may think your money — or your financial advisor — should be working harder for you. You may be watching market trends and seeing new opportunities. And, of course, you want to protect yourself and your loved ones from scams and data breaches. We can give you the support you need.

And turn to us for fun, too. (Is it time for that car, that trip, that weekend home you’ve always wanted?) Because that, too, is what this time of your life is about.

AARP is a nonprofit, nonpartisan membership organization that helps people 50 and older improve their lives. For more than 50 years, AARP has been serving our members and society by creating positive social change. AARP’s mission is to enhance the quality of life for all as we age; lead positive social change; and deliver value to members through information, service and advocacy. This information in this book is for educational purposes and does not constitute financial advice.

Table of Contents

Title Page

Copyright Page

Dedication

Acknowledgements

Introduction

I Hear What You Are Saying

You Have Power

There Are New Answers for a New Era

A Word about My Favorite Secret

How to Approach This Book

CHAPTER 1 - How Did We Get Here? And Where Are We?

A Long Time Coming

A New Era

Other Kinds of Loans

CHAPTER 2 - Find Out Where You Stand

First, Determine Your Net Worth

Analyze Your Cash Flow

Do a Risk Test

Analyze Your Debts

Are You in Trouble?

CHAPTER 3 - Other People Are Grading You, Too

How Credit Reports Work

Check Your Credit Reports

What to Look For

It’s Your Score That Really Counts

How to See Your Scores

Do You Have a Good Grade?

You Can Improve Your Credit Score

CHAPTER 4 - Avoiding a Modern-Day Identity Crisis

Learn the Basics

Then What?

Prevention Is Easier Than Cleaning Up Later

About Fraud Alerts and Credit Freezes

You May Already Be a Victim

CHAPTER 5 - Win the New Mortgage Game

How to Shop for a Mortgage

The ArcLoan—One Variable-Rate Loan That I Like

Should You Refinance?

Home Equity Lines

Reverse Mortgages

Shared Equity Arrangements

Paying Off Your Mortgage Early

CHAPTER 6 - Mortgage Free in Five to Seven Years

Why It Works

It’s Not for Everyone

Do It Right

Broaden Your Scope

CHAPTER 7 - Credit Cards: Just Because It’s Called MasterCard Doesn’t Mean It’s ...

A Look at the Landscape

Finding the Best Card(s) for You

How Many Cards Should You Have?

A Debit Card Is Not a Substitute for a Credit Card

All That Fine Print

The List of Shame

And Now, On to the Good Stuff

How to Wipe Out Your Balances Once and for All

CHAPTER 8 - Car Deals: Making Sure You’re in the Driver’s Seat

But First, Do You Really Need a Car?

Shop Before You Shop

Make the Most of Incentives

Should You Use a Buyer’s Agent, Broker, or Buying Service?

How to Pay for Your Car

Getting the Best Loan

Fixing the Loan You’ve Got

CHAPTER 9 - An Education in College Costs

Baby Steps: Save, Save, Save

High School: Learn How the Financial Aid Game Works

Senior Year of High School: Tough Decisions

After College: The Bills Come Due

New Options from Uncle Sam

CHAPTER 10 - Don’t Let Bad Luck Derail Your Finances

Doing Debt Triage: How Much Trouble Are You In?

Prioritizing Your Bills

Finding Cash: Desperate Times, Desperate Measures

Working with Creditors

Student Loan Troubles

Call-In Credit Counseling

How to Choose a Credit Counseling Agency

The Debt Management Plan

Those Pesky (or Worse) Collection Agents

Saving Your Home by Fixing Your Loan

Get the Right Kind of Help

Foreclosure: The Last Resort

Staying Healthy without Making Your Bank Account Sick

CHAPTER 11 - Surviving Bankruptcy

There Are Two Forms of Consumer Bankruptcy

The Chapter 7 Means Test

Get Help

Before You File

What about Your House?

What Happens When You File

Life after Bankruptcy

Rebuilding Your Credit Score

CHAPTER 12 - Debt Strategies for Every Age

In Your Teens and 20s: Clean Living

The 30s and 40s: Building Wealth, Getting Squeezed

In Your 50s: Countdown to Retirement

The 60s and Beyond: Early Retirement

Over 75: The Second Half of Retirement

CHAPTER 13 - Permanent Mastery, Going Forward

Attitude Is All

Polish Your Skills

Guiding Principles

APPENDIX - Resources

About the Author

Index

Copyright © 2010 by Amherst Enterprises Ltd. and Lynn Sonberg Book Associates.

All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey. Published simultaneously in Canada.

No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, [phone], fax [phone], or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, [phone], fax [phone], or online at www.wiley.com/go/permissions.

Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.

For general information on our other products and services or for technical support, please contact our Customer Care Department within the United States at [phone], outside the United States at [phone] or fax [phone].

Wiley also publishes its books in a variety of electronic formats. Some content that appears in print may not be available in electronic books. For more information about Wiley products, visit our web site at www.wiley.com.

Library of Congress Cataloging-in-Publication Data:

Goodman, Jordan Elliot.

Master your debt : slash your monthly payments and become debt free / Jordan E. Goodman with Bill Westrom.

p. cm.

“A Lynn Sonberg book.”

Includes index.

eISBN : 978-0-470-59586-2

1. Finance, Personal. 2. Debt. 3. Consumer credit. I. Westrom, Bill. II. Title.

HG179.G6754 2010

332.024’02—dc22

2009041476

To my mother, Norma Bromberg Goodman, who first nurtured my interest in personal finance and who has always supported with love and enthusiasm everything I do.

Acknowledgments

Master Your Debt would not have been possible without the generous and skillful contributions and extremely hard work of many talented people.

Foremost among these contributors is the team of Lynn Sonberg and Roger Cooper, who worked with me to hone the original idea of the book into its final form. Lynn skillfully guided the work from the original proposal through the research, writing, and editing process, always staying on top of the many details and maintaining a high standard for accuracy and clarity in the work. Roger was instrumental in framing the book’s direction.

The writing and research team also did a remarkable job of combining skillful writing with exhaustive research on many topics related to debt and credit. Linda Stern used her many years of experience covering these topics at Reuters to write most of the text, weaving in many real-life case studies with all the explanations of the massive changes occurring almost daily in the debt and credit world. Bill Westrom of Truth in Equity (www.truthinequity.com), America’s leading expert on mortgage and debt acceleration techniques, generously gave his knowledge, time, and resources to make sure that the sections on acceleration strategies that are so novel and powerful are as clearly and accurately explained as possible.

The team at John Wiley & Sons was also instrumental in making this project a reality. Executive Editor Debra Englander immediately embraced the concept of explaining how Americans need guidance in navigating the new and changing world of debt that is affecting them in their everyday lives. Kelly O’Connor edited the manuscript with great care and skill. Joan O’Neill, the publisher of the Professional and Trade Division at John Wiley, was extremely supportive of the book from conception through publication. Paul Dinovo created the eye-catching cover design. Senior Production Editor Stacey Fischkelta was responsible for overseeing the production of the book. The staff of Cape Cod Compositors, Inc., undertook the meticulous job of copyediting the manuscript. Herman Estevez skillfully took the photograph for the back cover.

My hope is that you, the reader of Master Your Debt, will use the knowledge you gain from this book to maximize the opportunities and avoid the pitfalls that this new era of debt brings to consumers in America. By combining the knowledge you glean from this book with all of the resources that I put at your disposal, you should be able to maintain the best credit rating possible, get the best deals available for all the kinds of loans you take on, and pay your debts off years sooner than you ever thought possible!

Jordan E. Goodman January 1, 2010

INTRODUCTION

Master or Victim? You Decide

Forget what you think you know about using other people’s money. The game has completely changed.

The world of debt—everything from credit cards to mortgages and student loans—is completely different than it was just a few years ago, in the middle of the current decade. In this book I want to share the many secrets of debt management I’ve discovered that can help consumers all along the credit spectrum. I’ve studied the latest products and the newest rules, and also have some good information about the kinds of loans and credit card deals we can expect to see in the future. I want to share that with everyone, but mostly, I want everyone who reads this book to understand this: You can master debt and make it work for you. You can win the debt game.

The financial marketplace is always evolving, but recent developments have been especially dramatic—a sea change brought about by a credit crisis, a deep recession, and a new administration. Many loan products that were prevalent don’t even exist now, and there are new ones taking their place. Those easy zero percent interest credit card deals have dried up, as have the most exotic mortgages and the “Bad credit? No problem!” attitudes of many car dealers. Private Student lenders have left the business in droves and may disappear altogether.