Beating Inflation in Your Own Smart Way.......
From Live Royally, Spend Smartly.....Jul 21st,2008
Folks, we have all experienced a rise in price of everything from bread, cereal, fruits, vegetables, movies, airlines, cars, car-rental, hotels, vacations, fuel, shipping, postage etc......Not much that anyone can do about the rise except:
1. Break the mold, and aggressively shop where you have never shopped before. What does that mean? Have you bought a book online? Have you bought a gift through eBay? Have you shopped at the Vegetable-Fruit-Markets instead of the big chain stores? What About Me> I am experiencing a deflationary environment with my aggressive shopping techniques, even though it takes a bit more time to search, shop and find.
2. Break the mold, and open up credit card accounts that offer "free money". This includes Discover, Chase, Citibank, American Express and other big institutions. I am not even close to recommending to go deeper in debt, but actually trying to get you to get new credit cards, get free money if you charge one time or $100 or $500 in first x months. In addition, get 0% APR if you credit is good so that you can transfer any balances from your old debt. After you are done with the card, close the card and wait for the next offer. What About Me> I have been opening and closing Credit Cards and experiencing a deflationary environment with my aggressive moves by getting 10K ThankYouPoints that get me $100 of free gasoline cards, even though it takes a bit more time to search, shop and find.
3. Break the mold, and open bank accounts that offer $25 free, to $125 free, to $250 free (getting rare) with a deposit amount of $25 to $100. Close the account after 3-6 months, and then wait for the next offer. What About Me> My wife just received $125 for a Chase account that she opened with $100, and before I close it, I will have her refer me to get $25 referral fee, and I will get $125 for opening the account.
4. Break the mold, and start collecting stuff that you do NOT use at home, of a decent value. Wireless Mouse that you do not use anymore that is still in great condition, and can be sold on eBay/Craigslist/Amazon/etc for $10 to $50. Laptop charger/adaptor that you do no need anymore since you just upgraded your laptop, or have a spare that you do not use anymore. Unlocked cell phone, novels, study-guides, text-books, Computer Games, PS2 Games etc. What About Me> Just sold my old memory for $98, all of my 3 spare adaptors of my old laptop for $60, and some books for $28. Getting ready to sell some PS2 games and Game Boy DS games on eBay.
5. Break the mold, and look at the credit cards that you have and replace them with the ones that offer you 5% cash for purchases at Gas Stations, Drug Store and Groceries. Read the terms carefully (words like upto will be critical). Also, make sure they do not class the Sam's Gas Station as a regular store (and not a gas station). What About Me> My wife and I have been using the 5% cards which nets us a pretty penny since our average credit card usage per year is $30K, and we carry ZERO balance on our cards.
6. Break the mold, and start aggressively shopping for CD rates so as to build a small ladder. What About Me> I am no where close to retirement, but have been dealing with a bank that will match ANY rate in Chicagoland for the term I choose. This makes my job a LOT easier, and keep my personal information protected by keeping the accounts only at one bank.
7. Break the mold, and start aggressively saving money for yourself and your significant other. This simply translates to sacrifice. Avoiding the dumping of products from the 'easy to grab locations near checkout', or 'buying that expensive coffee', or 'going out to lunch everyday' or 'buying 32 oz gulp drinks' or 'getting groceries from gas station convenient stores' or 'whatever.....'. We are Americans that show that we do NOT have time, but have MONEY. It is really the opposite. We have ample time and should go the extra mile to avoid those 'high margin purchases', and stick that money in a kitty for the future. We are our own worst enemy in stealing our own future from ourselves, but spending 'tomorrow's money today'. What About Me> No way.....Never. We have been drinking water at McDonalds/Burger-King/Taco-Bell/TGIF/Bennigans/etc restaurants for 10+ years now, and just recently, America has caught on to the craze of drinking water. Can you imagine the number of $1 and $2.50 worth of drink-money that is sitting in our pockets!
America, it's time to Sit down and Compute the quarters/dollars like the Indian, Chinese, Koreans, Japanese and many other countries are doing today. That is precisely why their savings rates (in their nation) are in double digits, and ours barely approaches a positive number!!!!!
Hope that this helps you go 'hmmmmmmm'......What About Mua?
Enjoy That Weekend (but watch that wallet!)