LIFE LETTER

Credit card tips and tricks

Statistics Canada recently announced that the Canadian debt-to-income ratio hit a record 148.1%. This means that for every $10,000 of earnings, we average $14,810 of debt.

Yes, that also means that many actually carry far, far more than that.

With interest rates at record lows and the very easy availability of credit, it can be easy to slip into the bottomless pit of consumer debt. At most professional sports venues, we get offered a “free” item, like a shirt, blanket or toque, simply for applying for another credit card, usually with our favorite team’s logo on it. But what can we do? Consider the following credit card tactics:

Avoid the minimum payment – Credit card issuers are now required to disclose more to their cardholders regarding time to pay. For example, Greg received his statement for $5,075.23 of purchases. The statement clearly indicates that the interest rate charged if he doesn’t pay the full amount by the due date will be 19.99%. It also states, “If you make only the Minimum Payment each month, we estimate it will take 42 years and 4 months to fully repay the outstanding balance.”

Choose a card with benefits for you - To encourage us to use the credits cards offered to us, lenders offer a number of incentives. If you are going to use a credit card, there might as well be something in it for you. Choose a card that gives you “points” or “cash- back,” or one with a fixed, low interest rate. Use the latter if you are carrying a balance from month to month and don’t have better borrowing options.

Avoid carrying a balance - It can be so easy to fall into the trap of keeping up with the neighbors – buying things we don’t really need with money we don’t really have to impress people we don’t really like. It is very important to know that if you do not pay the full balance by the due date, any new purchases on the card start getting charged interest (remember the 19.99%?) from the date of purchase.

Avoid cards with annual fees - Some credit cards come with a yearly charge just for the privilege of using it. The issuer charges each merchant a small percentage of every credit card purchase, so there really isn’t a need to charge this annual fee. However, some credit cards that offer certain bonus points may still be a good value if the volume of purchases and points earned far outweigh the yearly extra charge. For example, Leanne runs a small business and charges all her business expenses on a credit card that earns her travel points. She pays the balance every month, on time, and earns enough points to cover the cost of her family winter getaway every year.

Time larger purchases - This means being aware of each credit card’s closing date. Let’s say you are going to buy some new furniture. The statement period for the credit card you will use (and earn points with) ends on the 7th of the month, but payment isn’t due until the 29th. Making the purchase on or shortly after the 8th of the month will actually give you free use of the lender’s money for up to 51 days, as long as you pay the full balance on the due date. Consider arranging a future payment for the day before the due date as soon as you get your bill.

Want help reaching your financial goals? Call today!

Cyril H. Fried

Cyril Fried Financial Services Inc. Suite 104, 17704-103 Ave., Edmonton, AB T5S 1J9

780 481-8950 cyril.fried@sunlife.com

Copyright © 2011 Life Letter. All rights reserved. (2011-01)

Property presented by Barry Candelora of Realty Executives Polaris

Click on picture to view tour

3Bdrms!2Baths! Bungalow with 1594+Sq.Ft.of Living Space on 53.37 Acres of Land! 2nd Partial 600 Sq.Ft. Residence & 28×60 Double Detached Garage/Workshop W/New Pressure Tank with The Best Tasting Water out there from The 110Ft.Well & 11 Gal/Min!! Just 5Kms West of Evansburg! The Main House has been Upgraded(Effective Age is 15 Yrs!)With a Wood Heater Stove, New Berber Carpet, Laminate Flooring & Lino, Oak Kitchen with A Lg. Island, 6 White Appliances w/a BI. Stove Top & Oven! Oversized Dining Room with 12+ Seating! Living Room has 2 Lg. Corner Windows for Lots of Light! 3 Good Sized Bdrms+Den! With a Lg. 4Pc. Bath/Stack Front Load Washer/Dryer! 2Pc.Bath off The Back Door! The Main House is on a Concrete Pony Wall with 2×6 Walls! Part Basement has The Infloor Heating System! There is a Lg. Metal Storage Building, Corrals, 3 Livestock Waters, & Green House! Lots of Open Land that the Current Owner Grows Grass for Extra Revenue$$! Also..The Northeast Corner You can build a Gas Station/Food Store?! A Must See! MLS E3246719

Property showcase by Tyson Moroz

This extraordinary walk-out bungalow features over 5000 sq. ft. of living space and is located on a near 1/2 acre lot facing onto the fairway of the Stony Plain Golf Course. The view is spectacular, with large windows that project the perfectly manicured landscape to the south a natural creek that divides you and the neighbors and to the east. You literally have to see it to believe it! This home has rare or even never seen before qualities for a urban home. Let’s begin with the 7-9 custom car attached garage and add to that a rear covered R.V. (coach) parking with full hookups. Once inside the home you’ll be engaged by the cathedral ceilings, oak pillars, 8 appliances in the kitchen, vaulted ceilings, 2 gas fireplaces, built in sound, custom spiraling oak staircase, walkout basement, nanny suite, heated basement and garage floors, exposed aggregate driveway, and so much more. In total this home has 4 bedrooms, 5 bathrooms, 1 office/den and everything comes in extra large. In summary it’s not just a gracious home it’s a WAY OF LIFE!  Additional photos and information at www.TysonMoroz.com

The Power of Print

The Power of PrintSome listing agents tell their clients that print is dead and the Internet is the only way to sell a home. Don’t believe it!

There are millions of listings online. That’s because it’s effortless and inexpensive for agents to promote properties on the Internet. The problem is, with so many listed properties online, how will your home get found?

Homes & Land magazine makes it easy for qualified homebuyers to see your listing. Here’s how: According to the National Association of Realtors®, most buyers purchase a home within a twelve mile radius of their current residence. Homes & Land annually distributes tens of thousands of magazines in your local community at accessible locations. We reach active homebuyer all around you. That’s why it’s important to make sure your agent advertises in Homes & Land magazine.

Still not convinced that magazines are an essential resource for homebuyers? Consider these facts:

1. 85% of all adult Americans picked up a magazine in the last 30 days.¹
2. Even with the booming popularity of the Internet, in the 12 years after Google was founded (1997), magazine readership increased 11%.²
3. Magazine effectiveness is growing and consumers are remembering magazine ads more. Ad recall has increased 13% over the past five years.³
4. Magazines are the most effective medium for generating web traffic.⁴

The bottom line is that print = action. If you want to sell your home for the best possible price and the least amount of hassle, make sure it’s advertised with Homes & Land magazine. We know that the Internet is an important part of any marketing strategy, so you’ll also benefit from our complete marketing portfolio that includes a high-traffic website, HomesAndLand.com; partnerships with over 20 websites; as well as our direct mail programs.

To learn more about how Homes & Land can help sell your property, go to HomesAndLand.com/HomeSeller. After you’ve seen the video, talk to your agent about advertising your listing with Homes & Land.

Fire Safety Tips for the Holiday Season

By Jacqueline Sharon

Welcome to one of the happiest times of the year! It’s the holiday season – with festive gatherings of family and friends, and the warmth of this special time of year wrapped around every household.

Protect those fond memories and the loved ones under your roof with a few common sense fire safety tips.

With the hustle and bustle of seasonal entertaining, it’s easy to forget about a pot on the stove or a dish in the oven – one of the easiest ways to ignite an accidental cooking fire. Set a timer to remind yourself when it’s time to turn off the heat. Remember to keep flammable items like cookbooks and oven mitts away from your cooking surface. When frying using grease or oil, keep a lid handy in case the contents do catch flame so it can quickly be smothered. While baking soda can also put out a grease fire, quite a large amount is required which may not be readily available. Considering the kitchen is probably the likeliest place for an accidental fire, a fire extinguisher located nearby may just be your most important kitchen investment.

Another common cause of accidental house fires is careless smoking. Supply an outdoor ashtray and make it a firm rule that all guests smoke outside. If you are a smoker, consider taking it outdoors as well. You’ll smoke less and your house will smell better. At the very least, don’t smoke in bed. It’s far too easy to fall asleep with a lit cigarette.

Candles really add a pleasing ambiance to your home, especially during the holidays. The warm glow and festive aroma make a great addition to your living room, but make sure they are placed well away from curtains, kids, and pets, in a secure candle holder.

When the weather outside is frightful, it’s time to break out the space heaters for a bit of added warmth. Use common sense, keep away from curtains, rugs, and upholstery, and follow the manufacturers’ operating instructions.

Flammable materials such as paint, solvent, and fuel should be store outside the home if at all possible. If you need to store those items indoors, make sure they are placed well away from any heating sources.

Electrical fires are often preventable, especially if you don’t exceed the recommended light bulb wattage on your lamps and light fixtures, make sure all cords are in good condition with no fraying or cracking, keep cloth and paper away from lampshades, and don’t remove the ground plug from an appliance or other electrical item so it can be plugged into a two-prong outlet.

It goes without saying that smoke alarms are an absolute necessity for every household. Smoke alarms should be installed on every level of your home, including the basement, and preferably in every bedroom or at the very least, within 10 feet of each bedroom door. Test your smoke alarms weekly, and replace the batteries every six months. For optimal performance, replace your smoke alarms every 10 years.

When the entire family is gathered together for the holidays, it’s a great time to review your fire escape plan. Go over exactly what each person is to do if the smoke detector goes off, and plan at least two routes of escape, windows included, from every room. If you do encounter smoke, feel the door with the back of your hand before you open it and make sure it isn’t hot to the touch then stay low and crawl out. Plan a designated meeting area away from the house where everyone gathers when they’ve made it out safely to ensure each family member is accounted for. And don’t stop for treasured mementos on the way out. Every second counts!

If your holiday tradition includes a decorated evergreen tree inside, make sure it is at least three feet away from any heat sources including fireplaces, radiators, candles, heating vents, and lights. Make sure you decorate with indoor lights only and that they are in good condition. Artificial trees should be labelled “fire retardant”, while live trees need to be watered daily and removed once the needles start to fall. Make sure your tree is not blocking any exits and turn off decorative lights when you’re leaving the house or going to bed.

Be smart, stay safe, and have a happy holiday season. Best wishes from everyone at Homes and Land of Edmonton!