The Wall Street Journal recently reported on the "insidious and unforgiving Law of Household Economics." Don't remember this one from Econ 101? It goes like this: "For every financial windfall that comes into your home, there will be an equal, unexpected household cost." The article's author recited several first-hand experiences, such as the garage sale that netted just enough to cover the cost of a van window that was broken while transporting items to the sale.
Matt's View
We experienced the Law of Household Economics earlier this summer when our air conditioner died at about the same time that we received our economic stimulus rebate check. Thankfully, we place a high value on an offsetting law called the Law of the Emergency Fund.
Checking your credit report may seem about as exciting as flossing your teeth, but it's important to your financial health. Syndicated personal finance writer Gregory Karp
devoted three recent columns to the topic, reminding us of some of the basics and adding some helpful tips. The basics include making sure to order your free credit reports through AnnualCreditReport.com
. You are entitled to one free report per year from each of the three main bureaus. A helpful tip is to stagger your requests, one every four months, giving you something of a free credit monitoring service. Examine each report for errors (such as a wrong address). If you find one, follow the online instructions to file a dispute.
In order to obtain your credit score you'll have to buy it. If you're in the market for a mortgage, you may want to order scores from all three bureaus. Doing so through Fair Isaac Corporation
(FICO), creator of the credit score, will set you back a little under $50. Just curious to know your number? Karp suggests ordering a single FICO score through Equifax for $7.95. You can buy it while ordering your credit report through AnnualCreditReport.com. As for keeping your score healthy (750 or above is preferable), pay all bills on time, use less than 30 percent of your available credit (less than 10 percent is better), and don't close old accounts even if you don't use them.
Matt's View
When checking your credit reports you should also look for any signs of identity theft, such as an open credit line that you did not authorize. If you spot any suspicious activity, follow these guidelines
from the Federal Trade Commission.
Today, there's a lot of stuff that can be recycled--newspapers, magazines, bottles, cans, plastics. But there's a lot of other stuff, especially newfangled containers such as juice pouches, the cellophane-type material that encases packages of cookies, and energy bar wrappers, that can't be recycled. Until now. As reported in the Wall Street Journal, a company called TerraCycle
is taking such materials and turning them into umbrellas, shower curtains, backpacks, binders, computer bags, and more. It's called "upcycling" - taking something disposable and turning it into something more useful and valuable. You can find upcycled products at Target, OfficeMax, and Walgreens.
Matt's View
TerraCycle pays schools, churches, and other non-profits to collect the packaging materials from specific branded products. Check its web site for more information.
In a related story, Home Depot recently announced that its stores now accept compact fluorescent light bulbs for recycling.
I don't usually use this space for promotional purposes, but I'm making an exception to announce that NavPress will soon publish my first book, "Money, Purpose, Joy." The book is about clarifying what's most important in life--understanding what makes our lives meaningful and joyful--and then allowing those priorities to guide our use of money. I've been dreaming and praying about writing this book for over 10 years, and I've spent the better part of two years writing and editing the book. It's been an amazing adventure--full of discouragement, elation, and many emotions in between--so I'm thrilled that the book will soon be available. And I pray that "Money, Purpose, Joy" will be used to impact many lives for good.
Matt's View
One reason for letting you know about the book right now is that this eNewsletter will soon start carrying an ad promoting pre-orders of the book. Pre-orders are important because they can impact retailers' decisions about carrying the book. So, in a twist on Chicago voting procedures, please order early and order often!
