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 Volume 4 #8
Children & Commercialism FDR Client Reminders • Spare Change Credit Corner • Frugal DIY Do You Have a Spending Personality? (Part 2) 
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.
ou are watching V with your childand they see a commercial for the latesttoy that features their favorite character. Your child will more than likely become excitedand say: “I want that!” Research shows that this ishow product makers want kids to react. According to a national survey commissionedby the Center for a New American Dream,children aged 12 to 17 will ask their parents forproducts they have seen advertised an average of nine times until the parents finally relent. Watching television commercials may seemlike a harmless activity for children. However,companies use commercial spots and otheradvertising methods to promote new productsto young consumers. Te Institute of Medicinereports that advertisers spent more than $10billion targeting youth through V ads, coupons,contests, and packaging designed for children.Exposure to an abundance of advertising canmake parent and child shopping trips stressfulexperiences and may affect the future spendinghabits of children. Below are some tips to helpchildren make smart choices in a consumerculture.
Limit TV time.
 According toCommonSense Media, a non-profit organizationdedicated to improving mediadirected towards children, theaverage American child views40,000 commercials eachyear on broadcast V. Tatamounts to approximately 100 commercials per day!If you are watching V  with your child and they insist that they want a toy or product shown in acommercial, consider havinga conversation with them. ellthem that you wonder if theproduct is really as wonderfulas the commercial claims. Youmay also want to ask themif they currently have a toy that did not live upto its expectations or was not as fabulous as thecommercial implied. Tis type of dialogue may help children make better purchasing decisions.If you are interested in how the amount of television and other electronic media exposureaffects children, you may want to visit the website for the Center for Screen-ime Awareness at www.screentime.org.
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Te effect of television commercialscan surface when you take your childrenshopping. Tis gives young kids an opportunity to see all of the toys and products advertised incommercials. You are bound to hear pleas and whines begging you to buy them stuff. Considerhaving your kids start a master list of things they  want. If they demand that you buy somethingfor them in a store, tell them they cannot haveit now. If it is really important to them, they canadd it to the list. When birthdays and holidayscome around, tell children they can pick a certainnumber of items from their master list.
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 As the holiday season approaches in a few months, advertisers are gearing up now by airing many commercialsfor items that children may request on their holiday list.Tere is nothing wrong withmaking a child smile for aspecial occasion, but cateringto every one of their wishesmay not always be a wisechoice. Oftentimes, childrenthat are showered with giftsfrom relatives on birthdaysand various holidays becomeso overwhelmed that they may lose appreciation for theitems. If grandparents, aunts,and uncles insist on splurging,suggest one or two toys along with savings bondsso children can learn the importance of saving forthe future.
Be aware of how toys andgames represent money.
Certaintoys and games on the market may give childrenmisconceptions about money. Pay closeattention to games that simulate a shoppingexperience or include play credit cards ormoney. Tese products may claim that they teach children financial responsibility, but inactuality, they may be promoting consumerism. When choosing toys, you may want to visitthe site for the organization Playing for Keeps(www.playingforkeeps.org), an initiative of the Association of Children’s Museums thatpromotes creative and imaginative play. Tissite lists many timeless and unbranded toysfor various age groups. Te Center for a New  American Dream also publishes a free downloadentitled: “ips for Parenting in a CommercialCulture.” You can access this publication at www.newdream.org/kids/brochure.php. Accordingto this brochure, “Whether it’s playing games,cooking, reading together, or just sharing space with the V off, remember that the best thingyou can give your kids is you.”
hildren &ommercialism 
Helpful Web Sites for Children
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(www.pbskids.org/dontbuyit/buyingsmart) Tis site sponsoredby PBS shows children how to “get mediasmart” and question advertising gimmicks.
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(www.umsl.edu/~wpockets) Tis site offers younger childrenonline stories about subjects related tofinances.
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(www.escapefromknab.com) Tis site is aneducational simulation that is intended toteach children about daily financial choicesand budgeting.
 
Client Reminders
 Visit us on the web!
Did you know that you can view your account informationonline? We have recently enhanced our web site for our clients. Go to www.freedomdebtrelief.com and click on the tab“Current Clients.” Ten, near the bottom of the page under the heading “Existing ClientLogin for Account Information” click onthe button, “Click Here.” Enter your e-mailaddress, and then follow the instructionsto create a password and validate yourinformation. You will now be able to view this information online!
 American Consumers Union
FDR has a partnership with the AmericanConsumers Union in order to provideadditional support to our clients with respectto creditor harassment. All FDR clients areautomatically given membership into the American Consumers Union, and are giventhe full use and support of the advocacy group, at no additional charge. Tis is aterrific benefit for our clients and we arehappy to be able to provide this service toour clients at our expense. You can visitthem online at www.myacu.org.
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Customer Service Phone No:1-800-655-6303FAX No: 650-393-6800Hours of Operation:
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E-mail:support@freedomdebtrelief.com
U
nless you are abusiness owner, youmay not realize thatcredit card companies chargebusinesses fees (usually 2% to4% of the total cost of the sale)to accept credit cards. Tisinformation may make you wonder why retailers wouldbother with credit cards at all.Te answer is easy. Researchindicates that consumersspend considerably more whenusing credit cards. Accordingto Cardweb Research (www.cardweb.com), consumersspend 212% more whenthey pay with a credit card.Terefore, stores may use many gimmicks to encourage creditcard spending. Below are somestore sales tactics that may persuade you to splurge with acredit card.
Spend at least $7.00 to use your card at a convenience store.
 Atone time, credit cards weremainly used at departmentstores or for major purchaseslike furniture. In today’ssociety, consumers can usea credit card to pay for theirmorning paper or have apizza delivered. Accordingto Convenience Store News,an estimated 45 million Americans are willing touse credit or debit cardsfor purchases of $5 or less.Consider using cash for smallpurchases. If a store requiresyou to make a minimumpurchase amount, you willmost likely buy more than youneed.
Open an account andsave.
Many chain retailersoffer a store credit card totheir customers. Employeesare usually trained to persuadecustomers to complete acredit card application atthe checkout counter. Salesassociates persuade customersby telling them that they can save a certain percentageoff of their purchase. Dueto technological advancesin recent years, customers will know the outcome of their application in minutes. Applicants usually just needto swipe another major creditcard along with entering someother basic information intoa pin pad. If approved, thecashier issues a temporary credit card so the customercan use it until they receive theplastic one in the mail. Whenit comes time to re-establishyour credit, you may want tothink twice about opening upa store account at a register.Checkout lines and retail
Credit Corner
Continued on page 3.
 As you strive to settle your debts, most of you havemade a commitment to rely on cash instead of creditcards. After you complete your debt negotiation program,you will probably want to re-establish your credit. As youprobably know, credit cards can cause serious financialproblems if they are not used properly. Periodically, thiscolumn will discuss a credit card issue and give you tips on responsible creditcard use. Tis month’s topic is sales tactics to make you spend more with credit.
Let the Wallet Buddy help youmake purchasing choices.
The Center for a New American Dream isan organization that advocates consumingresponsibly to protect the environment. In order to help consumers to “think before they buy,” thisorganization offers a Wallet Buddy available for download at www.newdream.org/walletbuddy.pdf. You can put it over a debit card or on the
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“Do I need this and do I need it now?” and “Is itworth the money?” This may help you stop andthink before buying excessive purchases.
Credit freeze laws arestreamlined in certain states.
Asecurity freeze gives consumers the ability to
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anyone trying to open up a new account for credit or services in their name. When a securityfreeze is in place at all three major creditbureaus, an identity thief cannot open a newaccount because the potential creditor or seller of services will not be able to check the credit
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credit, he or she can lift the freeze temporarilyusing a PIN so legitimate applications for creditor services can be processed. Most states givethe credit bureaus up to three business days tolift or remove the freeze after a consumer makes
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 Arizona, Idaho, New Mexico, Utah, Wyoming,and Washington, D.C., will be able to lift or 
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bureaus using a PIN. This same provision goesinto effect in January 2009 in Delaware, Indiana,Maryland, Montana, Nebraska, and Tennessee.The rules for using a security freeze varyacross the country because of different statelaws governing their use. To learn more about
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News, financial tips, and otherinformation regarding personalfinancial freedom
 
T 
he phrase “do-it-yourself” or DIY mostly refers to home improvement orcraft projects. In order to save money,you may be able to apply the DIY concept toother areas of your life. Below are some tipsthat may help you review your budget and findtasks that you can do yourself instead of payingsomebody else.
Beautify  yourself.
Accordingto Beauty Store BusinessMagazine, an averageretailer that offers bothsalon and beauty productscan generate $400,000 peryear. If you have become accustomed to frequentvisits to the salon or spa, this luxury can start toseem like a necessity that is difficult to eliminatefrom your routine. As you strive to settle yourdebts, you may consider forgoing a manicureor pedicure appointment and perhaps doingyour own nails at home. Visit this site: www.nailcareguide.com/nail_care_yourself.htm fortips on DIY nails. You can read about frugal haircare tips at www.thehappyhousewife.com/frugal-hair-care, courtesy of the Happy Housewife, which is an online community that offers tipsfor families living on one income. If you areinterested in making your own natural beauty products, visit www.mybeautyrecipes.com. Tissite states that some of the homemade productsmay be less expensive than purchasing store-bought goods.
Clean your ownhouse.
Busy schedules couldinspire some consumers to hirecleaning services. According to theU.S. Department of Commerce,more than 10% of all U.S.households paid a professionalservice to clean their homes. Itmay be convenient, but quitecostly. Costhelper.com estimates that an averagetwo-story house can cost $104-$180 per session.Establish a cleaning schedule or chore sheet soeach member of the household can contribute.If you want to save money on cleaning products,the reehugging Family web site lists 25 non-toxic homemade cleaning solutions (www.treehuggingfamily.com/25-safe-non-toxic-homemade-cleaning-supplies).
Cook at home.
TeU.S. Department of Agriculturereports that Americans spent 47percent of their food budget oneating out. You can usually cook meals at home for a fraction of a cost. If you are short on time,consider preparing food in largequantities and freezing it so it willbe ready throughout the week. “Brown-bagging”or taking your lunch to work can also be lessexpensive than dining out or ordering take out. You may also want to keep staples such as peanutbutter, bread, and dry soups at work instead of remembering to pack a lunch. You can check outthe “Brown Bag Calculator” on the Community Bank web site. It estimates how much interestyou can earn if you invest the money that yousave on lunches. o access this online calculator,visit www.dodcommunitybank.com and thenclick on “Calculators” followed by the “BrownBag Savings” link.
Make your own gifts.
 A pricelesshomemade treasure may bring more happinessthan an item purchased at themall. For some inexpensiveand creative ideas, visit craftstores or look in magazinesto spark your imagination.Examples include collectingold photographs of yoursiblings and making a colorfulscrapbook. You can also write a poem to yourspouse and frame it. Check out the DIY network at www.diynetwork.com/diycrafts and on theDo-It-Yourself GIFS web site at www.do-it-yourself-gifts.com. Te holiday season is still afew months away, but the following web site, www.christmas-ideas.net may help you get a geta head start on ideas for low-cost homemadegifts. Gift-making is often more economical,but plan early because some projects may betime-consuming. If you run out of time or thecompleted project is not what you had in mind,you may be forced to purchase a gift at the lastminute, which defeats the purpose of savingmoney.
Educate yourself.
Tere willalways be some fields of study that requireformal education. But, if you have an interestin a specific topic or field of study, consideralternatives to expensive classes. ake advantageof the resources at your local library. If your localbranch does not stock a particular book, many libraries can locate the item via inter-library loan.One way to find interesting reading materialis to visit shopping sites such as www.amazon.com and www.barnesandnoble.com. Insteadof always buying the book, contact your locallibrary to see if they can find it with the ISBNnumber. You can also visit bookstores and perusethe aisles of topics that spark your interest. Many stores also have quiet reading areas that allow you to browse through books to see if you wantto purchase it. Again, ratherthan always buying it, see if you can get a copy throughyour library. As you may know,you can also find vast amountsof information online as longas you consider the source.Remember that education isa lifelong process! We learnsomething new everyday.
Frugal
Do-It-Yourself 
stores are usually busy and hectic. Tis type of environment may cause you to make impulsivedecisions. If you really want a credit card froma particular store, it may be best to think aboutthe choice before you make a snap decision justto save 10 or 20 percent. Keeping a revolvingbalance on the card can quickly surpass thatamount of savings. Don’t bother telling thesales associate that you do not think you willget approved. Many stores will still give you thediscount, but the inquiry will appear on yourcredit report. oo many inquiries may affectyour credit rating.
Buy now and make no payment for three years.
Stores that sell furnitureand large appliances are notorious for offeringdeferred payment sales. Receiving your purchasenow and not paying for it for years may seemlike a wonderful option. Tese sales alsopromote that there will be “no interest” duringthe deferment period, which also may sound likea great deal. However, many consumers fail toread the fine print before signing the paperwork.In most cases, these contractsstate that if you wait untilafter the deferment period tostart making payments, you will be paying the accruedinterest from the date of yourpurchase, which can resultin an outrageous amount of money. Before agreeing to thistype of contract, be sure thatyou can pay off the balance within the defermentperiod. Consider the fact that your situationmay change during this time and you may notbe able to make payments as early as you wouldlike. Also, consider how long it will take to pay off the balance if you simply pay the minimum.Online calculators such as “Te rue Costof Paying the Minimum” on www.bankrate.com/brm/calc/MinPayment.aspor “Te Deferred Payment” on www.banksite.com/calc/defercan help you discover how much interest will accrue. If it will take you ten years topay off a piece of furniture by simply paying the minimum,consider what it will look likeat that time.
Continued from page 2.
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