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DEBTSMART® EMAIL NEWSLETTER 
ISSN 1538-6740 
May 19, 2004 Issue 74

Tools for financial success! A Free E-Mail Newsletter from DebtSmart Online and Press One Publishing.

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Publisher: Scott Bilker, mailto:publisher@debtsmart.com

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IN THIS ISSUE

==> Cool Quote

==> Letter from the Publisher

==> Prisoner in Paradise Seeks Lifeboat

==> Household Math™: Early Mortgage Payoff

==> I bet I can save you thousands of dollars!

==> Living on What’s Left

==> DebtSmart Help Center

==> Trimming the Fat from Your Budget

==> DebtSmart® Resources

==> Subscribe/Unsubscribe/Disclaimer Information

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COOL QUOTE 
“I will help you as long as you help yourself. When you stop helping yourself, I stop helping you.” 
--Aaron Kinney Sr.

Click below for quotes from all previous newsletters: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?04&7428

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LETTER FROM THE PUBLISHER 
by Scott Bilker

Hi,

Home prices have been skyrocketing! And with low rate mortgages coming to an end, it’s going to get tough on buyers and sellers.

The June issue of Money Magazine (probably on newsstands today) is a special report on Real Estate. If you’re in the process of getting a home you may want to check out this issue. And I’m not just saying that because they did an article on DebtSmart.com. :)

The article is on page 43 and is titled, “Card sharp: The king of extreme credit tells all.” Check it out if you get a chance.

Regards, 
Scott

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PRISONER IN PARADISE SEEKS LIFEBOAT 
by Scott Bilker

Aloha Scott!

Been living here in already expensive Hawaii for 30 years and FINALLY stagnant local economy surges (low interest/ real estate boom/, sending cost of living from outer stratosphere to the moon!! :(

I have about $20,000 spread over five cards (in three years time) in non-frivolous, "survival" debt racked up from rough times lately and inconsistent work, yada, yada, yada. I've been making minimum, never late payments and the occasional "transfer dance" to take advantage of lower interest rate offers. But man! Am I tired of the Dance!!

Of course the end is nowhere in sight with this strategy, even with not using these cards for many months. I'd like to know if any of your material deals with debt "termination", that is, dealing with the "Fat Cats" with an approach of like: "Hey Dudes...What's my final payment amount?!" (Well, maybe I'll have to address them not in my regional dialect!) I want to negotiate a rock bottom payoff to each "Card Dude" (sorry...think I've been here waaay too long!) and am working with my bruddah (er, brother), on a possible home equity loan he is getting.

He has been down my road before, with the "Big Debt Bomb" and might help by loaning me payoff money at around 5% interest (to him, which will go towards his loan) Yes, he is THE SAINT!!! Again, does your book go into detail about this scenario? Please help, this monkey on my back is gettin' too heavy!! Mahalo Amigo!! --Roland

Click below to read article: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?05&7428

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HOUSEHOLD MATH(tm): EARLY MORTGAGE PAYOFF 
by Scott Bilker

This problem submitted by DebtSmart® reader Sofia Dailey.

Assume a person is buying a $150,000 home at a rate of 7% interest on a 30-year loan, with the usual 20% down payment (so the loan would be $120,000). This person also has $20,000 in cash reserves. In which of these two scenarios would this person end up paying less money over the course of the loan?

1) Putting down the $20,000 as a down payment, increasing the down payment to $50,000, and lowering the loan amount to $100,000

2) Taking out a $120,000 loan at 7% and then putting the $20,000 as a first payment towards that loan.

3) Both (1) and (2) are exactly the same.

Click below to solve problem: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?06&7428

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I BET I CAN SAVE YOU THOUSANDS OF DOLLARS!

Are you frustrated by the insanely high interest rates you’re paying on your credit cards? Are you outraged by overlimit fees and late fees?

What can you do?

You can fight back!

How?

By contacting your banks and getting them to reduce your interest rates and waive fees. It’s true!

I’m so sure that my latest book, “Talk Your Way Out of Credit Card Debt” can save you thousands of dollars that if you get this book, I’ll include my first two books, “Credit Card and Debt Management” and “How to be more Credit Card and Debt Smart” as gifts!

If you don’t believe you’ve saved enough from following my advice then simply send back my latest book and keep the others as a gift.

Order right now by clicking below: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?07&7428

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LIVING ON WHAT'S LEFT 
by Terry Rigg

Are you one of those people that pay your bills no matter what? That is an admirable trait to have when managing your money. You made the bill and you feel you are responsible for paying it. Good for you.

Now let's talk about how much money you have to cover your household expenses after you pay all of those bills. Your household expenses would include your groceries, car gas, school lunches, and all of the other stuff that it takes to run a household. Do you have enough to pay this bill?

All too often, people tend to...

Click below to read article: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?08&7428

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DEBTSMART HELP CENTER 
by Scott Bilker

Hi,

Helping you with your debt is very important to me personally! If you've been reading my articles, you know that I always encourage self-help as a first step. However, being buried in debt can be very overwhelming, which is why you may want to explore other options.

One of those options is professional, ongoing help with credit counselors. I've started to personally check out certain companies so I can recommend the ones that are worth considering!

If you would like to speak with a representative from a...

Click below to read more: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?09&7428

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TRIMMING THE FAT FROM YOUR BUDGET 
by Nancy Twigg

When my husband, Michael and I decided it was time for me to quit my full-time job, the first thing we did was pull out our family budget and go over it with a fine tooth comb. If I was going to quit, we knew we had to cut our expenses to the bare minimum until his then-new business was up and running.

People trim fat from their budgets for various reasons. Sometimes after the...

Click below to read article: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?10&7428

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DEBTSMART® RESOURCES

DebtSmart® Books, software, reports, in-print and downloads: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?01&7428

Archive of DebtSmart® Email Newsletters online: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?02&7428

How to use DebtSmart® articles FREE in your e-zine or on your web site: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?03&7428

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HOW TO SUBSCRIBE OR UNSUBSCRIBE FROM THIS NEWSLETTER

All recipients of DEBTSMART® EMAIL NEWSLETTER have signed up voluntarily for the newsletter via our website.

TO SUBSCRIBE to this newsletter, click on the below link and complete the subscription form: 
http://www.debtsmart.com/cgi-pl/go/040519_en.cgi?00&7428

Please contact mailto:comments@debtsmart.com with any comments, problems, or concerns.

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The author(s), Press One Publishing, and DebtSmart.com shall have neither liability nor responsibility to any person or entity with respect to any loss or damage caused, or alleged to be caused, directly or indirectly by the information contained in this email newsletter and/or at the DebtSmart.com web site. The information, methods and techniques described may not work for you and no recommendation is made to follow the same course of action. Every effort has been made to verify the accuracy of all content contained herein. However, there may be mistakes; typographical, mathematical, or in content. This email newsletter and the DebtSmart.com web site have been created for your entertainment only. You must always seek the proper professional advice before taking any financial or legal action. You have been warned.

Copyright © 2004 Press One Publishing. All rights reserved. Please do not reprint, or host on your web site, without explicit permission. However, if you found this newsletter helpful, we grant you permission, and strongly encourage you, to e-mail it to a business associate or a friend. Thank you.