Guzzling Gas?
By Daphne | July 23, 2008
Demand for gasoline is down. If the price for gasoline stays down it means that gas prices will decrease. Though if they decrease too much then people will stop doing what they are doing now - driving slower, taking public transportation, driving less or carpooling.
When demand is high, prices increase. When demand decreases, the prices go down. A prime example of this is 35MM film. Five years ago if you went on vacation you would probably buy a lot of film to capture your vacation memories. Now more people will make sure that there is enough space on your memory card for all of the moments that will be immortalized.
For people who still use film, the prices have decreased greatly for film and developing. Waiting to have your film processed is even a lot faster than before.
The decline in oil prices overall could be a good thing but also bad because many may go back to their old wasteful habits.
On the bright side it only takes about a month for someone to form a habit. It is possible that enough people have made the change only because it was financially disadvantageous for them. According to the Energy Information Administrationdemand for gasoline in the United States has fallen by hundreds of thousands of barrels of oil from a year ago. During that same period, gas prices have been steadily increasing. Lower fuel prices would be better for te economy, but for the long term, renewable sources of energy would be best.
Topics: July 2008 | No Comments »
ATM or Credit Card?
By Daphne | July 22, 2008
When you need cash for something make a wise choice. If you choose to use an ATM make sure it is one in your bank’s network so you don’t have to accrue extra fees. Another tactic is to use your credit card and pay off the amount in full when the bill comes. If you have to pay a fee for using a bank outside of your network the fees could run as high as $5 for your transaction. Do you really need cash that badly?
If you only need a small amount of cash, ask a friend who is with you to spot you the cash until you can get to a cash machine. Then pay the friend back when you get money.
When using a credit card, instead of cash, treat it like cash. If you were only getting $40 from the cash machine then spend less than $40. Don’t forget that you still have to pay this off. If you were using cash, would you spend as freely?
A debit card could help but depending on what you are paying for, using a debit card may not work as well. If you are purchasing gas, some stations will freeze part of your account and you will not be able to access some of your funds.
Using cash allows you to really keep track of your expenditures but for the times when you run out of cash or can’t get to the bank or ATM a credit card will work just as well.
Another benefit to using a credit card instead of an ATM for some purchases is that you will not have to use a cash machine that is out in the open, because you never know who is watching you. ATM skimming crimes are also on the rise. A false front or magnetic device is placed on the ATM and after you make a transaction, the thieves drain your account. Even if they drain your account for the amount that is allowed in a day you still have to go through the hassles of straightening everything out with the bank.
When you can use CASH and get a receipt so you can keep track of your spending.
" width="400" height="410" wmode="transparent" /]
Topics: July 2008 | No Comments »
Frugal Confidence Booster
By Daphne | July 21, 2008
Is living within your means getting you down? Don’t let it.
If you weren’t raised that way or haven’t changed your mind set about your finances then spending less than you take in or can reasonably afford.
I was thinking about this over the weekend because I would like to have my kitchen remodeled and buy a credenza to replace another piece in my living room. I could just charge all of these items and worry about the payments later.
Getting the most for my money is important and since I am not quite sure what I want my new kitchen to look like, or if I really want the credenza I will wait. Waiting also gives me a chance to save up more money and be able to pay for the project.
Sometimes living within your means requires waiting. Rather than spending money on what you can afford and having to replace the item soon or sooner that you should have to, wait and buy better quality so you will avoid having to replace things as often.
Spending money on quality always costs less. So for now I will choose to wait on my home improvement and decorating projects, until I can afford what I really want.
Is living within your means getting you down?
If you weren’t raised that way or haven’t changed your mind set about your finances then spending less than you take in or can reasonably afford.
I was thinking about this over the weekend because I would like to have my kitchen remodeled and buy a credenza to replace another piece in my living room. I could just charge all of these items and worry about the payments later.
Getting the most for my money is important and since I am not quite sure what I want my new kitchen to look like, or if I really want the credenza I will wait. Waiting also gives me a chance to save up more money and be able to pay for the project.
Sometimes living within your means requires waiting. Rather than spending money on what you can afford and having to replace the item soon or sooner that you should have to, wait and buy better quality so you will avoid having to replace things as often.
Spending money on quality always costs less. So for now, I will choose to wait on my home improvement and decorating projects, until I can afford what I really want.
Topics: July 2008 | No Comments »