July 2008 Archives

Barbara

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We got an email via Ask The Expert recently with some great questions about credit. I thought all of you might benefit from a little credit Q&A as well, so here are some highlights of my response to the reader:

Q: Is it a good idea to get a credit report for myself? I have heard that requesting your own credit report decreases your score; I don't even know what my score is.
A: Anytime a person requests their own credit report or score (also known as a self-inquiry), neither is affected. You can request a credit report from each of the three credit reporting agencies (Experian , TransUnion  and Equifax ) annually free of charge . However, you'll have to pay for your credit score, which you can do at any of the previously mentioned credit reporting agencies. To find out where you stand currently, I'd recommend purchasing your score.

Q: I have one credit card that is two years old with a $3,000 limit that I don't use — have never used — what is this doing to my credit score?
A: This credit card that you don't use increases the available credit you have, so you're using less of your possible credit, which is a good thing. You've also had it opened for a while, so it may be helping your length of credit history. One thing you want to consider with this card is that because you don't use it as frequently, you might not catch any fraudulent activity as quickly.

Q: I have another credit that my mom thinks I should switch to a miles rewards card. Is switching the balance a good idea and what will it do to my credit score? Can I ask them to decrease my interest rate?
A: If you decided to switch the balance to a new card, you may have an inquiry by the credit card company that could affect your credit score. If you think that the rewards you'd get from a new card would be worth it, switching may work for you — be sure that you research all the terms of the new card before you make any changes. If you stick with your current card and are interested in lowering your rate, I'd say ask. If they say no, at least you tried!

We'd like to talk more with you about credit in some upcoming posts! What credit questions do you have?

Staci

One of the benefits of building a new home (and selling your current one) is the opportunity to take stock of the things you really need or want — and purge those that you don't.

I've spent the better part of the past month sifting through stuff I've accumulated during the seven years I've been in my house. It's the longest I've ever lived in one place as an adult, and the first time I've had an entire unfinished basement for storage, so you probably can imagine the sorting and purging I've had to do!

What I kept were things that had meaning and memories for me, like the German mushroom-shaped music box from my infancy, my beloved collection of Kodak Brownie cameras , and many photos, scrapbooks, and yearbooks.

And what I didn't keep? Well, early on I'd made the decision not to have a rummage sale — I just didn't have the time or energy to organize one. Instead, I had a "free sale" where I invited my friends and family members over to take what they wanted. My best friend Charlie got a wooden caddy he'd been coveting for years. My mother took back many of her own belongings. Barbara got artwork, vases, assorted paper products, and lots of books. She was thrilled to have them, and I was thrilled to give them a new and deserving home.

Everything else I didn't need or want was hauled off in three tax-deductible trips to my local Goodwill . The rest was packed into a PODS container  and shipped off to storage.

Now there's an idea I wish I'd thought of: They bring you the container, you load it up at your leisure, and then they take it off to storage and deliver it when you're ready. Genius!

Have you experienced your own great purge, maybe after moving out of the dorms at the end of the school year? Was it as cleansing for you — both physically and emotionally — as it was for me?

Barbara

Reality check: Summer is withering away and Fall classes are on their way. How are you soon-to-be college freshmen out there doing? Are you ready to be on campus?

Six years ago (-ish, I'm not dealing with my rising age very well these days!), I was preparing to jump across the Nebraska/South Dakota border to begin my college career. And it was about this time that my parents and I made a trip up north to the University of South Dakota for Fast Track registration  to meet my advisor and register for my first semester of classes.

There were also some other informational sessions to attend on things like the dorms, financial aid and student activities to name a few. However, my biggest concern was getting my student ID, or rather taking a good photo for my student ID.

Very important, indeed.

Now, you can go ahead and worry about the ID card like I did, but make sure you're also taking advantage of all the other information which will be presented to you. Summer orientation sessions — as well as those held in the week leading up to your first classes — are an awesome resource. It's the chance to learn more about the campus from other students and get a feel for the lay of the land.

Pay special attention to any information you get from sessions with financial aid officers. I know it's not as glamorous a topic as all those fabulous student organizations, but understanding the financial aspects of college is key to your success on campus. Don't be afraid to ask questions!

For those of you who've attended an orientation session already — what information or advice did you get that you could share with other readers?

Staci

Today when I made a deposit at a Wells Fargo ATM, up popped a message about our Someday Stories^SM promotion, which runs through July 25.

Now, I realize should've brought this cool contest to your attention earlier, so my apologies. You've only got a few days left to enter!

The Someday Story^SM contest is all about you and your someday. Someday you'll go to medical school, someday you'll pay off your student loans and start that nonprofit organization you've been dreaming of — you get the idea. All you have to do is tell us the true and aspiring story of your "Someday" dream, and your winnings could help make it real.

Here's how it works:

Share with us your Someday Story hopes for a chance to win $100,000. Each week a story will be selected to win $1,000 as "The Story of the Week." On September 17, we'll narrow the submissions to the top five, whose story will be filmed for the website. Once the videos are up, it's in the hands of the visitors to the website who will vote for their favorite story.

Visitors to the site also will get to vote for one of three worthy causes — Boys & Girls Clubs of America , Habitat for Humanity , and Junior Achievement  — to give them a chance to win too. Wells Fargo will donate up to $250,000 for the cause that gets the most votes.

Check out the contest rules for all the necessary legalese, including how to enter online or by mail.

What are you waiting for? Tell us your "Someday" today!

Barbara

My something finally arrived!

Now it’s time to share my Somethingstore.com  package unveiling with you. I know you've waited with baited breath to see what I got, so check out the video to watch me open my something!

Kathy

I spent the long weekend for the 4th of July  with my husband's family on the Oregon coast. The town puts on an amazing fireworks show  for the 30,000 or so spectators that flock to the beach for the holiday — it's a really professional show set to patriotic music. Good stuff.

However, there were a couple of things about holiday revelry that kind of turned me off. First, it was almost impossible to tell when the official show began due to all of the illegal fireworks being set off on the beach as sundown approached. I could not believe how many REALLY big fireworks, mortars, smoke bombs, rockets, roman candles, noisemakers, etc., people were lighting — even as the city's official show was going on! It was unbelievably distracting and very dangerous — I watched no fewer than a dozen fireworks explode on the ground. While I don't know if there were any injuries, I did hear the wail of ambulances going all night long!

Furthermore, I talked to some of the officials putting on the city's fireworks show, and they guessed that there were hundreds of thousands of dollars worth of illegal fireworks going up in smoke that night. I just can't believe that people will spend that much money just to hear something go boom. To me, it just seems like burning money.

Adding insult to injury was the mess that people left behind on the beach once they left. We spent the better part of four hours on Saturday cleaning up thousands of cardboard launch pads, bottle rocket sticks, Saturn rocket cartridges, etc. The beach was littered with trash, and the carelessness of all the people who left it really shocked me!

Now I admit that I have never been a big fan of personal fireworks, since I didn't light them as a kid (fireworks were expressly prohibited on Air Force bases  — you just didn't go there.) So maybe there's something about them that I'm missing…

What do you think of fireworks for personal use? Are they worth it?

Barbara

I don't have to tell you how much it hurts to fill up my gas tank. You probably feel it, too. I've had to stop watching the pump as I fuel my vehicle. As I approach $30, I always feel like I should almost be done pumping, only to realize I still have more than five gallons until my tank is full.

It's just too painful to watch!

Rising gas prices are top of mind for many people these days, and school administrators and students are no exception. Both groups are searching for solutions to curb higher prices at the pump .

Some schools are offering hybrid classes  with a portion of the classes held in person and the other portion online or through remote video systems. I've also heard of some schools discussing shorter school weeks.

Students are turning to other methods, as well. Online class  registration has surged at many colleges and universities. Even traditional students who'll live on campus are altering their college choice  based on traveling costs.

I'm curious if any of you readers have been affected: Is the higher cost of commuting changing your education plans?

Caroline

When I was just out of college, working at my first job, grocery shopping was no fun. I carried a calculator with me to make sure I didn't run my bill over $40 each week. I bought lots of hot dogs, mac-n-cheese and generic pop . Back then I longed for the day when I'd just be able to walk into a grocery store and buy whatever I liked.

Fast forward to today. I've been buying whatever I like at the grocery store for the past 10 years. But now, with two little ones at home and another one in college, and price of gas  three times what it was when I was a struggling recent grad, I'm taking some tips from that younger, poorer version of myself.

I've embarked on an experiment to see how many store-brand  items I can buy, and which ones are truly unacceptable substitutes. For some items, I've always bought store-brand: paper towels, aspirin, that sort of thing. But recently I've started wondering why I pass by the store-brand on other items. Typically store-brands run anywhere from $.30 to a dollar or more cheaper per item. So I've started branching out and I've found that most times store-brands are practically indistinguishable from their brand-name counterparts. I really haven't hit a clinker yet — store-brand breakfast cereal was a particularly tasty surprise — and I'm saving upwards of a $1 per box.

I don't know why I'm getting such a kick out of saving money this way now — when it bothered me so much in my younger days. Probably because now it's a choice, and back then, it wasn't.

If you're in post-college penny-pinching mode — are you doing anything to save money that you hope is just temporary?

Dinna

A few weeks ago, I sent a graduation card to my cousin’s son. He graduated from high school with honors and will be going to UCSF   this fall. The family is very proud!

Seems like we’ve had quite a few parties to attend lately—graduations, weddings, bridal showers, and baby showers. Plus, more are on the way. While I'm very thankful to be included in all the celebrations, I can’t help but notice that things are starting to add up!

It's not just the cost of the gifts. When you add in the cost of flights, hotels, outfits to wear at the parties, etc., celebrating can get expensive. Even gas   is becoming a factor as I just paid $4.55/gallon to fill up my tank!

I’m trying to balance these kinds of expenses while still sticking to a budget, but admittedly, I'm struggling.

How do you budget   for celebration expenses? Or do you have any ideas to keep costs down? Share your ideas here.

Editor’s note: Speaking of celebrating, the Student LoanDown team is taking the next few days off to fete the 232nd birthday of our nation. A very happy Independence Day to everyone! We’ll be back the week of July 7.