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any people have a primary spendingpersonality that may affect how they use money. J. Grady Cash wrotea book entitled
Seven Deadly Money Mistakes 
in which he identifies seven spending personalities.In this newsletter edition, we will feature three of the most common personalities including impulsebuying, fanatical shopping, and passive buying.Stay tuned next month when we will discuss morespending personalities.Keep in mind that we understand that consumersacquire debt for various reasons. We realize thatmany times family or medical emergencies cancreate financial circumstances beyond your control.Tis article is simply intended to provide someinsight on how you may relate to money andquestion certain spending habits.
Impulse Buyer
Scenario:
Ellie goes to the grocery store to buy a loaf of bread and a gallon of milk. She leavesthe store with bags full of food. Her next stop isthe discount department store and she plans onpurchasing a toy for her niece’s birthday. When sheis in the store, she starts browsing through the aislesand puts some items in the cart that she thinks aregreat deals and absolute necessities. As she is leavingthe store, her jaw drops when she looks at herreceipt and realizes that she spent nearly $100 onpurchases that she did not plan on buying.
Solutions:
Ellie should have considered stickingto her list at both stores. Large grocery orders areusually better planned ahead of time instead of buying a lot of food randomly. She should not havebothered to browse at the department store, whichcan easily lead to impulse spending. If she saw something that she may want to buy, Ellie shouldhave walked away and thought about the purchasefor 24 hours.Like any spending personality, impulse buyingexists in people to varying degrees. In severesituations, impulse buying can become a habitand a clinical addiction. Impulse buyers enjoy the instant gratification and the emotional rushfrom buying. For most people, impulse buying is apersonality that exerts itself more frequently withsmaller purchases rather than larger purchases.
Fanatical Shopper
Scenario:
Doug prides himself onbeing able to find the lowest pricein town. Every week, he studiesall of the advertisements in theSunday paper and makes lists of the items he is going to purchaseat every store. He also cuts outall of the coupons and spends many hoursorganizing them. His Sunday routine wouldinclude traveling to Store #1 because they have toothpaste and juice on sale. Te samestore also has shampoo on special. But, heplans to go to Store #2 even though he has todrive 7 miles out of his way because it is 20cents cheaper when he uses a coupon.
Solutions:
Tis short scenario indicatesthat Doug is certainly concerned abouthis finances because he does put fortheffort to find good deals. However, he may need toconsider the time and resources in an attempt tosave just a small amount of money. With gas pricesat record highs, driving around town to find thelowest price may not always be the best solution.Fanatical shoppers have a compelling desire tocontrol money, perhaps an insecurity that they  will not have money in the future. Terefore, they see every purchase as a win or lose proposition. If they do not get the lowest possible price, they feeldefeated. Te ironic thing about fanatical shoppingis that quality, time, and money are often ignoredduring the quest for the best deal.
Passive Buyer
Scenario:
Linda does not like to shop, especially for major purchases. She needs a new laptop forher small business and has limited knowledge of technology. She goes to an electronics store anda persuasive sales associate convinces her that sheneeds a state-of-the-art computer even though sheknows she only needs it for simple tasks such ase-mail and word processing. As a result, she willspend $4,000 for her new laptop.
Solutions:
 Although Linda doesnot know much about computers,she could have researchedprices online or looked atadvertisements to find averagecosts for a basic laptop. Shecould have also gone to the store witha friend or relative that was more familiar withcomputers.Passive buyers can be a salesperson’s dream.Some have the potential to be good shoppers,but feel they don’t have time or do not placea high priority on saving money. Tey do notcomparison shop and are too embarrassed toask questions even if they do not understand.Passive buyers do not want to appearuneducated. Tis can leave them vulnerableto salespeople talking them into expensive“extras” such as extended warranties.
 Volume 4 #7
Do You Have a Spending Personality? FDR Client Reminders • Debt 101Frugal Organizational Ideas Inspiring Thoughts • Spare Change 
1-800-655-6303
 Welcome to the Freedom Debt Relief monthly newsletter! As part of ourongoing goal to enhance our services, we will be sending you a monthly newsletter filled with interesting articles and helpful financial tips andadvice. We hope you enjoy this issue, and that you find the enclosedinformation helpful as you continue on the road to financial freedom.
For years, society never recognized compulsive spendingas a psychological addiction. In fact, some individuals wouldmake jokes about this problem. Many retail stores still sellnovelty items such as mugs and t-shirts that read, “Borno Shop,” and “When the going gets tough, the tough goshopping.” At this time, most psychological professionals doacknowledge compulsive spending as a disorder. As withother addictions, compulsive debtors use shopping as a way to escape from emotional problems and stress in their life.Similar to Alcoholics Anonymous (AA), a 12-step programcalled Debtors Anonymous (DA) exists for individuals whoare trying to overcome compulsive spending. If you think youmay have a compulsive spending problem, consult a licensedtherapist or visit www.debtorsanonymous.org for moreinformation on the organization and meetings in your area.
Beyond Your Personality
Do You Have aSpendingPersonality?
 
 Visit us on the web!
Did youknow that you can view your accountinformation online? We have recently enhanced our web site for our clients. Goto www.freedomdebtrelief.com and click on the tab “Current Clients.” Ten, nearthe bottom of the page under the heading“Existing Client Login for AccountInformation” click on the button, “Click Here.” Enter your e-mail address, andthen follow the instructions to create apassword and validate your information. You will now be able to view thisinformation online!
ax Debt?
If you owe money to theIRS and would like information onhow to reduce your tax debts, pleasecontact our sister company, Freedomax Relief at 1-800-455-6AX. Our taxattorneys and tax specialists are eager toimmediately start helping you resolveyour tax troubles. In addition, existingFDR clients are eligible for a $100 referralbonus if they refer someone to Freedomax Relief.
 American Consumers Union
FDR has a partnership with the American Consumers Union in order toprovide additional support to our clients with respect to creditor harassment. All FDR clients are automatically given membership into the AmericanConsumers Union, and are given the fulluse and support of the advocacy group,at no additional charge. Tis is a terrificbenefit for our clients and we are happy to be able to provide this service to ourclients at our expense. You can visit themonline at www.myacu.org.
***
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E-mail:support@freedomdebtrelief.com
Client Reminders
D
isorganization may cause additionalstress in your life. It may alsoaffect your finances. Accordingto the National Association of ProfessionalOrganizers (NAPO), it costs an average of $10per square foot to store items in your home anddisorganization may cause “crisis” purchases, which involves buying duplicates of misplacedor broken items and last-minute shoppingat premium prices. If your bills and mail is adisorganized pile of paperwork, this could resultin missed due dates and late fees.Controlling your clutter does not alwayshave to entail hiring a professional organizer orbuying expensive bins and furniture. You may be able to use containers and objects that youalready have in your home if you follow someof the tips listed below. Keep in mind that asyou begin to organize, you will more than likely come across things that you no longer use. ry tosell them and make extra cash.
Is that really trash?
 Your family may throw away many boxes and household itemseach week. Before you toss something, considerif it will help organize clutter. For example, youcould use empty cereal boxes to make magazineholders. (Detailed instructions are listed on thissite: www.allfreecrafts.com/recycling-crafts/magazine-holder.shtml ). Empty tissue boxescan also be a solution to hold all of those plasticgrocery bags. Wash empty glass jars and cans anduse them to store a variety of small objects suchas office supplies, craft beads, nails, or screws.Kids also can have fun decorating these typesof objects. In addition to saving money andorganizing your home, reusing items can alsohelp the environment. Using a tin can as a penholder is better on your desk than in a landfill.
 Be a multi-tasker!
 Just becausea product is normally used in a kitchen orbedroom does not mean it can not be used inother areas of the home. For example, use icecube trays to organize jewelry. Spare trash canscan be used as hampers or to store odd-shapedobjects such as rolls of gift wrap. When choosingfurniture, consider pieces that have multiplefunctions and a lot of storage. Coffee tables with drawers or shelves can store magazines,books, and remote controls. Dressers can alsoserve many purposes in the home rather thanthe bedroom. If you are starting out, considerbuying a pre-owned dresser and use it as a V stand in the living room. Te drawers can hidea lot of the miscellaneous items that may createclutter. Dressers can also give you extra storagein the kitchen and serve as a microwave stand.If you have an old dresser that you no longeruse, consider putting it in your garage to storevarious odds and ends. Refinishing old dresserscan also be a fun and creative project.
 Baskets and Boxes:
 You probably have shoe boxes that may be taking up spacein your closet. Consider using them to storedocuments, small toys, or other loose objects. You can also reuse shoe boxes as a gift box by  wrapping the bottom and top separately. Basketsare also a good storage solution for many roomsin the house. Save baskets from gifts that youmay receive or products that you buy. If you cansew, consider lining the baskets with fabric likethe expensive sets that are sold in stores.
Discount and dollar stores:
If you do need to purchase storage ororganizational solutions, check out your discountand dollar stores first for inexpensive items suchas plastic bins and utensil organizers. You may also be able to find some interesting containersand other organizational devices at thrift stores.
 FrugalOrganizing Ideas
Some people may say that they do nothave time to get organized. Below is achecklist of some quick organizational goalsthat you can accomplish this week!
Put an “outbox” by the door. Familymembers can put library books andvideo rentals in this box to ensure that

and late fees.
Sort mail immediately. Remember totoss junk mail as you receive it. If youare still receiving credit card offers, visitwww.optoutprescreen.com or call 1-888-567-8688 to opt out of these mailings.Eliminate unwanted catalogs in yourmailbox by visiting www.catalogchoice.org. The Direct Marketing Associationweb site (www.the-dma.org) can alsohelp you remove your name fromgeneral junk mail lists.
Search the Internet for variousorganization tips. You can start withwww.organizedhome.com, a site thatincludes helpful articles and a variety of printable planners and checklists
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any credit card companies targetcollege students, especially during student orientations at thebeginning of the semester. According to a study conducted by the U.S. Public Interest ResearchGroup Education Fund (U.S. PIRG), 80%of the survey participants reported that they received an average of nearly five solicitations permonth. Oddly enough, these students do nothave to meet many requirements in order to getapproved for a credit card. Tey do not need tohave an income or a credit history.In recent years, much controversy hassurrounded the issue of credit cards on collegecampuses. Nellie Mae, a national loan servicingorganization, reports that nearly half of undergraduates carry an average of four creditcards and a balance of $2,327. Approximately seven percent of undergraduates are saddled with balances that exceed $7,000. A survey alsoconducted by Nellie Mae indicates that studentsacquire credit card debt by charging education-related items such as school supplies andtextbooks along with incidentals such as food,clothing, and toiletries. Many consumer advocategroups are working towards getting legislationpassed to regulate credit cards on campuses. Inthe meantime, if you are a college student, below are some tips that may help you reduce some of these costs so you will be less likely to succumbto the allure of credit.
Create a budget.
You may want to createa budget and learn to stick to it. Consult yourparents if you need any help. Budgeting is avaluable skill that you will use after you completeyour education. Te financial web sites listedbelow have budgeting tools and calculators thatcater to young adults and college students.• You Can Deal With It: www.youcandealwithit.com• What’s My Score: www.whatsmyscore.org•ruth About Credit (CARE) Program: www.truthaboutcredit.org
Save money on textbooks.
Te U.S. PIRGstudy indicates that 55% of undergraduates usecredit to purchase textbooks. Campus bookstoresusually sell new textbooks at premium prices. You may consider other alternatives such asborrowing books or buying used books fromstudents that previously took that class. Look forsigns on campus or see if the university suppliesa list of classified ads. You may also consultonline used book sources such as www.textbookx.com, www.half.com, and the textbook sectionof www.barnesandnoble.comand www.amazon.com. Also,remember to sell your textbooksat the end of the semester forextra cash. If you need softwarefor a particular class, web sitessuch as www.journeyed.com and www.gradware.com offer popularsoftware at discounted prices forstudents.
Get a part-time job.
If it will fit into your course schedule,consider getting a part-time jobto cover some of the costs associated with college.Consult the career services division of the collegeor perhaps your school may offer a work-study program, in which you can work on campus.Some colleges and universities may also allow students to apply work-study earnings towardtuition. Campus employment usually has limitson the amount of hours students can work so the job does not affect their studies.
 Avoid the free gifts.
U.S. PIRG reportedthat 76% of the study participants claimedthat they signed up for a credit card on campusin order to receive a free gift. Tese freebiesusually include inexpensive items such as t-shirts, Frisbees, snacks, mugs, or water bottles. Although it may seem harmless at the time, these“gifts” may cause you to acquire a significantamount of debt. In five years, you probably willno longer have the t-shirt or mug, but you may have a credit card balance for years to come.
Consider credit card alternatives.
Instead of a traditional credit card, you may consider a prepaid debit card that includevarious features geared to young adults. Unlikecredit cards, they carry no risk of debt oroverdraft fees; cardholders can only spendthe amount of money prepaid onto the card. Additionally, prepaid cards offerthe protection of a credit card andthe opportunity to build credit.Te cards are generally accepted wherever credit and debit cardscan be used. According to Mintel,a consumer research firm, parentslike the idea of prepaid cards. Treein five (62%) respondents withchildren attending or planningto attend college are interested inhaving their children use a prepaiddebit card rather than a credit card.Many prepaid cards come withsafety features like allowing parentsto monitor spending or requiringauthorization for online use.
Money-saving tipson how college students can avoidcredit card debt
Inspiring Thoughts
With self-discipline mostanything is possible.~Theodore Roosevelt
 Y 
ou have probably heard the saying,“Good things come to those who wait.” Tis piece of inspirational advicecould relate to your current debt situation. Asmuch as you would like to, you will probably not get out of debt overnight. It may requireseveral years for all of your debts to be settled. Although times may seem bleak on somedays and you feel like your financial goals areimpossible to achieve, there may be a part of you that knows you must find the strength topersevere.In our consumer-driven society, it may bedifficult to think that delayed gratificationbrings about good fortune. If you want to makea purchase, credit card companies want you tobuy it immediately. Why wait when you canhave it now? Generous credit lines also allow consumers to use credit to cover daily livingexpenses. Establishing a budget does not seemnecessary when you can simply charge a largeorder of groceries instead of waiting untilpayday. As most of us know, these habits cancause a dangerous cycle of debt. While you are “waiting” for all your debts tobe settled, below are some tips that may helpyou now and throughout your financial future.
Don’t give up.
Tere may be times whenit seems like collectors constantly call and theunexpected expenses are endless. Despite thesehard times, try to stay strong and keep in mindthat good things come to those who wait.
Learn new things.
 You can also use thistime to educate yourself on various financialissues. Check out budgeting tools andcalculators online. Borrow books from yourlocal library on money-related topics.
reat yourself.
 Working towards a debt-free lifestyle does not mean you have to depriveyourself. When you reach short-term goalsthroughout your program, reward yourself.It does not have to be extravagant, just smallpleasures that will encourage you to moveforward.
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