With Black Friday just five days away, I’d like to take this opportunity to remind you to steer clear of retail store credit cards.
Of course, more than a few of the stores you visit on Friday will try to lure you in with big promises …
“You’ll save 10 percent on today’s purchase by applying for a retail store credit card,” they will tell you.
Just about every major clothing and electronics store has promotion aimed at getting people to sign up for a store-specific credit card.
But retail store credit cards will hurt your wallet and your credit score. Avoid them at all cost!
Here’s just one downside to consider: Many stores promote their store-specific credit cards by offering a 10 or 15 percent discount on same-day purchases if you open an account.
Let’s do the math and see how this adds up …
Imagine that you are buying a pair of $60 jeans from the Gap when the cashier tells you that you will get 10 percent off your entire purchase—$6—if you open a Gap credit card.
You figure it is a wise move, so you sign up on the spot. After all, you’ll save $6, or so you think.
But consider all the different ways you might end up spending MORE money:
– If you do not pay this and subsequent bills immediately, you will have to pay interest
– Especially during the holidays, you will be more likely to make purchases you cannot afford.
I should take advantage of this offer, you might think, piling a few more items in your shopping cart and justifying the excess purchases because you are buying gifts.
But you are probably not staying within your budget, so that $6 you “saved” will cause you to make a rash decision to blow your holiday shopping budget.
– You have added a credit inquiry to your credit report. Credit inquiries count for 10 percent of your credit score, so your score drops a few points.
This might not be a big deal, unless you plan to open another credit card, apply for a home loan, or get a car loan in the next few months.
If you do, you might pay higher interest rates, which means that $6 “savings” just cost you a bundle.
– Ever heard of retail therapy? Having credit cards in your wallet strengthens your ability to make emotional buying decisions by creating opportunities for you to charge things you do not need.
My point is that you most certainly do not save a single dollar by opening retail store credit cards.
Still not convinced? Think of it this way: Why would retail stores promote these cards with discounts unless they know they can eventually make money off the retail store credit cards?
There are other reasons retail store credit cards are a bad idea. Click here to read about the impact retail store credit cards have on your credit score.
Tag: Personal Finance
This guy is stuck …
Here is his problem..
- He has over $41,000 in credit card debt.
- He has other unsecured loans totaling $12,000.
- Although he hasn’t been late on his bills yet, he can’t seem to get caught up and doesn’t think he will ever dig himself out of this debt.
- When he puts his debt into a debt reduction calculator, it says that it will take him 21.6 years to pay everything off at his current pace.
(Can you say …. STUCK?)
He emailed me and asked for my advice… I explained to him his three options:
Option #1 – Continue to pay the bills for 21.6 years.
Option #2 – File for Bankruptcy
Option #3 – Negotiate his debt with his creditors.
Let’s review…:
Option #1 – Continue to pay, which needs no explanation. This client did call the credit card company and got his interest rates lowered, however, by following their payment plan; he will be paying for 21.6 years.
That is like being held hostage by your credit card company for 21.6 years. I say “held hostage” because I believe that.
Yes, he took out the debt, but to pay on $41,000 in credit card debt for 21.6 years… is a crazy thought and in my opinion, other options need to be looked at.
Option #2 –Bankruptcy. If he qualifies for a Chapter 7 bankruptcy, he will have no more debt, however, the bankruptcy will be on his credit report for 10 years.
He can easily repair his credit (to 720+) after the bankruptcy, which can be done in 1 ½ to 2 years.
There are two downsides to this option;
- The bankruptcy on his credit report. That will impact his ability to borrow for the next 2-3 years.
- Does he qualify for a Chapter 7 Bankruptcy? Believe it or not, many people cannot qualify for a bankruptcy because their income is too high.
If this is the case, he will have to file a Chapter 13 Bankruptcy. That means he will have to repay all his debt plus have a bankruptcy on his credit report.
Let’s move on to Option #3.
Option #3 – Renegotiate his credit card debt with the credit card company.
Here is what I know for sure:
- Your credit card company will not negotiate with you unless you stop paying your bills. They may tell you differently, but this is what I know to be true.
- Your credit card company will lie to you so you continue to pay. I’m sure this is not their “policy,” but when you combine eager employees looking to get their bonus with vulnerable debtor – this happens.
- Once delinquent, they will put your phone number into an auto dialing systems. This means you will get up to 8 calls per day trying to collect payment. … Ouch!
- If you understand how to negotiate with your credit card company (and I don’t), I hear from numerous clients that they will offer you a settlement somewhere between 15-40%. Meaning, if this gentleman did it right, he would pay off his credit card debt for between $7,950 – $21,200. You read that correctly, he would pay off $53,000 in debt for between $7,950 and $21,200.
- After you pay off your debt, our clients are getting back to a 720+ credit score in approximately 18-24 months.
The biggest problem with Option #3, is having the stomach to handle the negotiations… because it is very stressful and daunting. And, if you don’t know the proper way to negotiate, you will pay more than you should.
If this sounds like your situation, listen up.
I’m going to put together free information designed for those that have more than $20,000 in debt and would like to know and understand all their options.
If you want to be informed about this information, give me your name and email below!
Once I do the interviews or webinars, I’ll email them to you.
I know this is a long email… thanks for reading!
If you have debt over $20,000 and this post seems to be written for you, submit your name and email below. I’ll provide you additional free information that I hope will help you choose the right option for yourself.
7 Ways to Live the Good Life on a Budget
Let’s face it, if you’re being honest, you really want more money. However, you don’t want it simply for the idea of having more actual dollars in your bank account, but to live a better more fulfilling life. Having access to money certainly allows this happen, but when you’re in the process of getting things going, it may feel like this “fulfilling life” is out of reach. The good news? No matter what your income situation is, you don’t need to skimp out on what life has to offer. If you’re looking for some fast and easy ways to start living the good life, read on…
Dine like royalty
Enroll in a cooking class or download some recipes online and improve the quality and presentation of the food you eat.
Vacation for free
Offer to housesit or house swap with a friend for a free stay somewhere different. This works really well when you have friends who live in different states.
Learn something new
Nothing makes you feel alive and like you’re on the right track quite like learning something new. Take advantage of all the opportunities to get a free online education.
Trade services
When times are tight, a lot of service-oriented businesses have to look at more creative ways to get their needs met. If you have a talent that a local service provider can benefit from, consider proposing a trade of services.
Enter local contests
You may not win, but chances are if you enter enough times, you’ll win something down the road. It may not seem like much, but a free dinner or a massage could come at just right time.
Get involved in your community
Laughter and fun are what’s really at the heart of living the good life. Local community organizations are a great way to find new opportunities for this. Consider getting involved in a local church or other organization for free events and socialization.
Look for deals
You may want to try that new fabulous restaurant everyone is talking about, but the meal may currently be out of your price range. Instead, look for coupons or special “deal” nights to help control costs. You may even want to go for lunch instead. Many local businesses offer special discounts to get more business during their non-peak hours. This can translate to big savings for you. You get the same experience at a fraction of the cost.
Share your money saving tips for others to benefit from below!
20 Keys To Financial Success
Your money and what you do with are very personal matters. If managed wisely, your money can lead you down the path of financial freedom and living the life of your dreams. If managed poorly, you can spend your days in debt worried about how to make ends meet. Luckily, personal financial success can be obtained by following a few principles of good money management. Even if you’ve made a wrong turn, you’re only a few decisions away from the path to success. To help you on your way, keep these personal finance tips in mind:
- Start saving money for retirement as early as possible.
- Don’t skip out on health insurance.
- Avoid unnecessary health costs by staying healthy.
- Live below your means.
- Start saving early and save frequently.
- Building credit is good, but not every offer for credit is good for you personally.
- Always determine whether debt is going to increase your wealth or just put you more in debt.
- Keep your investments diversified. You never want all your eggs in one basket.
- Learn everything you can about credit and how to increase your credit score. The money you save from lower interest rates will more than make up the effort and time you spent.
- Learn how to budget your monthly expenses.
- If you’re self employed, charge what you’re worth.
- Keep good financial records.
- Find ways to give into self-gratification other than retail therapy.
- Don’t bet on bonuses, inheritances or other potential lump monetary sums.
- Keep control of your money.
- Find new ways to increase your income potential.
- Invest in yourself.
- Track your spending habits and look for areas you can improve or spend less.
- Make wise purchases. Shop around for the best deals and highest quality products.
Have a tip that wasn’t included? Share it below for others to benefit from!
The Secret to Personal Wealth Through Time Management
You’d be hard pressed to find someone who hasn’t heard the familiar saying, “time is money.” We all know it’s true, but at some point we’ve lost the correlation as to just how much wasted time really affects our financial growth. There’s a lot to be said about time management and its effect on your wallet. It basically boils down to the simple fact that what you decide to do with your time directly affects your personal financial growth.
When you realize this, you come to the understanding that as much care should be given to what you do with each hour of the day as you give to how you spend or allot your income. There’s a basic truth that the more value you can produce, the higher your income potential will grow. If you can produce twice the amount of value in half the time, then you’ll effectively quadruple your income potential. If you’ve been one who’s prone to pushing off organizational tasks, this is a solid argument for taking that necessary admin time to really make sure you’re getting the true value out of every minute you’re awake… and possibly even the minutes while you sleep!
How should you organize your day to take the most advantage of the wealth opportunities out there?
To make this decision, you really need to decide what you want from your day. What are your time management priorities?
- Do you need more independent time to focus on projects?
- Do you need more organization so you can double up on tasks and get more done in less time?
- Do you need help handling tasks that are taking you away from income generating tasks?
The time you spend analyzing your needs and desires will be rewarded with a more streamlined and efficient plan of action. You’ll also see what’s really important to you so it will be easier to prioritize tasks. Maybe cleaning the house yourself isn’t as beneficial as hiring someone so you’re freed up to write more blog posts or finish up more client work. It’s possible you might need to restructure your work day to find more time to work without distractions.
Whatever your desires, take time to structure an outline of how you want to spend your time. For instance, you might want to plan your schedule in blocks of time per day or even by days like the following plan:
- Monday – catch up work day
- Tuesday & Wednesday – no distraction work days
- Thursdays – conference calls and meetings
- Fridays – winding down, tie up loose ends and get ready for the next week.
However your overall plan is laid out, the point is to create something that works for you and allows you the freedom to really create more value.
What should you focus on day-to-day?
The above will help you structure your long-term time management goals, but the real action gets done on a day-to-day basis. For this, you need to break down each day by what you absolutely need to get done. This is best accomplished with a simple method that easily duplicated. Let’s face it – a sculptor doesn’t start with a beautiful piece of art. They have to spend each day focusing on small elements that will eventually give way to their masterpiece. The same is true of your daily time management.
Every night or every morning, make a list of what specific things you need to complete that day. Don’t make a huge list, just decide on three to four things you absolutely MUST finish that day. This will help keep you focused throughout the day when distractions come in. Obviously, some days just tend to snowball with emergencies and potential fires to put out, but overall you should notice a huge improvement in what you’re getting done with the simple daily task list.
Final words of wisdom…
When you’re planning, there are certain traps that can lead to wasted time. To help you avoid some of these common pitfalls, try a few of these tips:
- Always try to multi-task errands whenever possible. Don’t expend unnecessary gas or expensive time with wasted trips.
- Be honest and over-allowing when factoring in how much time you think it will take to complete a task. If you have three task to do that day and they each take four hours to complete, chances are you won’t get them all done.
- Plan out your day in blocks of time. For the most effective productivity, you need to have a 20 minute break every hour and a half. This allows you to reset and actually work for longer “optimal” periods of time throughout the day. Schedule your to-dos around these 90 minute blocks and you’ll notice a vast improvement in not only what you get done, but also the quality of your work.
- Set a timer for when you browse social media sites or you’re doing research. Both of these activities can zap your time without you even realizing it. Setting an alarm to go off in a set time will help keep you in check and will force you to do what you absolutely need to do before your time is up.
- Don’t be afraid to close the door, ignore phone calls or to just say no. Everyone always seems to want a piece of your most valuable asset. Honestly, can you really afford to throw your time away to please someone else? If you know you’ll increase your bottom line by spending another hour doing a certain task, do what you need to do to make sure that time is uninterrupted.
By now, the phrase “time is money” should have taken on a new significance! Share what you plan on doing to increase your wealth through the use of time management below!
Best Finance iPhone Apps
Sometimes all we need to keep track of our personal finances is a little convenience and information whenever and wherever we are. These apps help you gain the freedom you desire to make informed decisions and keep an eye on things no matter what you’re doing. From bill paying to watching your stocks, you can find an app for just about anything you need to help manage your finances. Here are some of our favorites to get you started:
Pageonce Money & Bills App
This app had its beginning as a Personal Assistant and has evolved into probably the most comprehensive personal finance app available. You can track bills, bank accounts, credit card transactions, frequent flyer miles, cell phone usage, investments and so much more. The basic app is free or you can download the pro version for $12.99.
Snap Tax App by Turbo Tax
Is filing your taxes as easy as 1,2,3? With the Snap Tax App, it could be. First, you take a picture of your w2 form. Then you fill out a few questions. Lastly, review your information and e-file your taxes. SnapTax is $9.99, which includes federal and California state preparation and e-file.
Yahoo! Finance App
Need to keep track of all of your stocks? This app is not only convenient, but beautiful as well. The colorful interface helps you see at a quick glance how your stocks are performing. Need the latest financial news? Don’t worry, it’s in there too! The best part? It’s FREE!
Mint.com iPhone App
Love Mint.com? Then you’ll love having access to all of your information wherever you are. Check accounts, make budget decisions and manage your personal finances in real time and on-the-go.
Bill Tracker & Debt Tracker Pro
Two great apps from SnapTap, Bill Tracker and Debt Tracker Pro create a complete personal finance system at your fingertips. Track information about each bill including due date, amount due, whether the bill has been paid, confirmation numbers for payments and more with Bill Tracker. Get a handle on any debts with DebtTracker. DebtTracker can calculate a payoff plan for your debt using the popular debt snowball strategy or give you a customized plan.
Mobile Banking Apps
When you’re on the go and you need to access your accounts quickly, these apps will help keep you up to date.
Wells Fargo Mobile App
Bank of America Mobile App
USAA Mobile
Chase’s Bank Tracker Mobile App
Now that we’ve shared ours, it’s time to let us know your favorite personal finance apps! Leave your comments and suggestions below!
Build Credit: The Three Keys to Creating Good Debt
At first glance, the words “good” and “debt” don’t seem to be a symbiotic match, but there are indeed some instances where creating debt does generate a surplus of income or personal wealth. There are certain schools of thought that agree if a debt is going to increase your potential for income, it could be a good opportunity. However, many people don’t stop and think before they agree to take on a new financial responsibility. If you’re currently considering obtaining a debt to help get you through a specific situation you may want to keep these following advice in mind.
Always Question Your Motives
A good rule of thumb to follow when considering creating a debt is to ask yourself the following question.
“How is borrowing this money going to help me make money or get me out of debt?”
If you’re using credit to do your basic living, you’re not helping yourself pay down your debt, or even create new income. You may feel temporarily relieved, but in actuality you’re increasing your debt and just pushing off the inevitable need to pay until another day. If you approach debt from the perspective of using it help you create wealth, you’ll have a much healthier personal financial situation.
So, in short, if your motive is to create more debt, it’s not a good idea to keep digging yourself into a hole. However, if you are using the debt to increase your opportunities to generate more or new income, it may be the right move for you.
Determine What Is A Good Debt
An easy way to decide what a good debt for you would be is to determine to what degree that debt will increase your wellbeing or expand your potential financial growth. For some ideas, consider these five scenarios for creating good debt:
- Take out a loan to start a side business or to expand your current business. However, you’ll want to get the loan in your business’s name as soon as possible so that your liabilities are divided.
- Get a college education.
- Take a class or learn a skill that will help you be more employable. This can be anything from going to therapy to becoming a better communicator or even taking a sewing class so that you can sell your creations on Etsy.
- Consider getting a consolidation loan with lower interest rates.
- Buying a home or some other investment that is going to increase in value is also good debt, albeit with a bit of risk. Before you buy a home, you have to think worst-case-scenario: If this home never increases in value, can I always afford the payment?
Investing in Your Family
It isn’t a traditional approach to personal finance or debt to consider investing in your family, however, while it may not increase your revenue stream directly, it does increase the overall quality of your life and the future of your family. The main factor to consider before you agree to the debt is to honestly answer, “Can you afford to pay it back?”
If you don’t have solid proof that you can pay it back, it would not be financial prudent to consider it a good debt. The key here is establishing solid proof that you can pay it off. Many people have a feeling they can pay it back, but don’t run the numbers to determine whether that feeling is based on fact. To establish proof, you need to know exactly what you need to live on each month and exactly what income is coming in. If you have enough left over to cover the new debt comfortably, than it might be something of value to consider. Some examples of investing in your family include:
- Investing in your family’s future by sending your kids to college.
- Hiring a tutor for your children.
- Sending your overworked spouse on a vacation to relive their stress.
- Buying a home that your family is going to live in forever might be good debt even if it’s a seller’s market and the home is likely to lose value.
When it comes right down to do it, life is a balancing act. Some people preach that you should never use credit unless it can increase your income. All other debt is bad debt. That isn’t always the case, and you can’t live your life by absolutes. There are some times in life when you will need to use credit and pay interest for things that will increase you or your family’s well-being. The trick is in making educated financial decisions and balancing the risk of the debt versus the opportunities it will create.
How have you used debt to increase your wealth or help your family? Share your stories below!
Getting Unstuck
Over the last months we’ve asked you to share your stories of credit and personal finance.
Well, I now have to confess that I’m a little embarrassed…
You see, I am about to share shocking stories I have never shared with anyone before. After all, you’ve shared your stories with me, so now it’s my turn…
www.NeverBeStuck.com
The purpose of sharing stories is to learn from another person’s life choices. I’ve had bruises up and down my arms, and I’ve been practically illiterate. I’ve spent $50,000 more than I earned. I’ve been in financial wreckage…
But I got unstuck.
And now I’m going to tell you the exact process I used to get unstuck financially each and every time I found myself in a jam. Because you so generously shared your personal story with me, I’ve created a series of FREE videos that teach you the exact formula for getting instant results, instant income, and instant change.
Here we go…
Philip Tirone
P.S. Once, I actually led a secret life. Watch the video now.
The Best Places to Buy Used
Having extra money to put towards bills or savings is always a great feeling. It’s even better when you’re able to do it without changing much in the way of your purchasing routines. This is where buying used comes in. Let’s face it; an item with a slight amount of wear and tear at significant price reductions can often be worth losing that “new” feeling. Not only will you save some extra cash, but you’ll also be starting new environment-friendly practices.
So, what types of things are best purchased second-hand? Honestly, you can find just about anything available used with a little digging. Some of the more common items include:
Clothing
Jewelry & Accessories
Baby Items
Children’s Toys & Furniture
Books
Furniture
Exercise Equipment
Jewelry & Accessories
Baby Items
Children’s Toys & Furniture
Books
Furniture
Exercise Equipment
Games
Refurbished Computers & Parts
Music
Tools
Automobiles
Homeware Items
Appliances
Refurbished Computers & Parts
Music
Tools
Automobiles
Homeware Items
Appliances
The biggest issue isn’t typically what to buy, but rather where to buy it from and how to tell if it’s a good deal. This is where a little research comes into play. Here are a few tips to keep in mind:If it’s a major purchase, such as furniture, scan through local ads or furniture store websites to see what the going value of similar items you desire to purchase are before buying something used.For smaller items, set a budget of what you want to spend. If you know you want some new kitchen appliances, determine ahead of time roughly how much you want to spend on each item. Try to find things under budget to allow some wiggle room in case something is higher than you expected.
Today, there are a myriad of options for buying used products from online auction sites to second-hand stores. Here we take a look at your best options for buying used online:
ONLINE
eBay
eBay is an excellent option to check and compare the going rates of certain items. Whatever you are looking for, you’re pretty much guaranteed to find it here. It’s always a good idea to watch for shipping charges and to check the prices of similar items to make sure you’re getting the best deal. The best benefit of eBay, however, is getting into the habit of selling your unwanted items first and using that money to make your new purchases. It’s an endless cycle of savings!
Craigslist
If you’re looking for something local, Craigslist should be the first place you look. There are a numerous amount of computer and phone apps to help keeping up to date with Craigslist easier. Before using this service, there are a few tips you should consider:
Always make sure to see the product before agreeing to purchase it.
If it’s an electronic product take all steps necessary to make sure it works.
BUYING LOCAL
Thrift Stores
If you’re willing to browse through a mass of items, thrift stores can offer some excellent finds. When it comes to quality, always make sure to do a thorough inspection of what you plan to purchase. Check for holes, tears, missing buttons and stains on clothing. For other items, check for cracks or other signs of hard use.
Second Hand Stores
The amount of second hand stores has increased as people are looking for more economically viable options to purchase the things they need. You can find used stores dedicated to a variety of items such as clothing, baby items, games, books, and sports equipment. The quality of the items you purchase is typically higher than a thrift store as the store goes over all incoming items before accepting them. It is still a good idea to be able to check the working functionality of electronic or bigger purchases. Bonus Tip: Some stores have some wiggle room when it comes to prices. If something is just a little bit out of your budget, try asking for a discount.
Flea Markets, Swap Meets & Garage Sales
Want a fun way to spend an afternoon and get some great deals? Try a local flea market, swap meet or garage sale. You never know what you’ll find at these places, and it’s important to know what you want or to have a set budget before going. Impulse purchases are high at these types of venues and your budget restrictions will help you avoid making unnecessary purchases.
OTHER OPTIONS
Trade With Friends
Sometimes you don’t need to actually buy anything to get the benefit of finding used products. In some cases you can get a great find by exchanging your unwanted items for someone else’s treasure. A fun way to do this is to host a barter party. Pick a category such as clothing, tools, movies, books or even video games and have everyone bring items they’re willing to part with. At the party everyone makes trades with each other. It’s a fun way to have an inexpensive evening of entertainment and get some new things as well.
Hand-Me-Downs
When you need something new, the best place to start looking is by asking your friends and family if they have anything they are willing to sell you. You’ll be helping them get rid of something they don’t want and you’ll be saving some extra cash by getting the items used.
Today, there are a myriad of options for buying used products from online auction sites to second-hand stores. Here we take a look at your best options for buying used online:
ONLINE
eBay
eBay is an excellent option to check and compare the going rates of certain items. Whatever you are looking for, you’re pretty much guaranteed to find it here. It’s always a good idea to watch for shipping charges and to check the prices of similar items to make sure you’re getting the best deal. The best benefit of eBay, however, is getting into the habit of selling your unwanted items first and using that money to make your new purchases. It’s an endless cycle of savings!
Craigslist
If you’re looking for something local, Craigslist should be the first place you look. There are a numerous amount of computer and phone apps to help keeping up to date with Craigslist easier. Before using this service, there are a few tips you should consider:
Always make sure to see the product before agreeing to purchase it.
If it’s an electronic product take all steps necessary to make sure it works.
BUYING LOCAL
Thrift Stores
If you’re willing to browse through a mass of items, thrift stores can offer some excellent finds. When it comes to quality, always make sure to do a thorough inspection of what you plan to purchase. Check for holes, tears, missing buttons and stains on clothing. For other items, check for cracks or other signs of hard use.
Second Hand Stores
The amount of second hand stores has increased as people are looking for more economically viable options to purchase the things they need. You can find used stores dedicated to a variety of items such as clothing, baby items, games, books, and sports equipment. The quality of the items you purchase is typically higher than a thrift store as the store goes over all incoming items before accepting them. It is still a good idea to be able to check the working functionality of electronic or bigger purchases. Bonus Tip: Some stores have some wiggle room when it comes to prices. If something is just a little bit out of your budget, try asking for a discount.
Flea Markets, Swap Meets & Garage Sales
Want a fun way to spend an afternoon and get some great deals? Try a local flea market, swap meet or garage sale. You never know what you’ll find at these places, and it’s important to know what you want or to have a set budget before going. Impulse purchases are high at these types of venues and your budget restrictions will help you avoid making unnecessary purchases.
OTHER OPTIONS
Trade With Friends
Sometimes you don’t need to actually buy anything to get the benefit of finding used products. In some cases you can get a great find by exchanging your unwanted items for someone else’s treasure. A fun way to do this is to host a barter party. Pick a category such as clothing, tools, movies, books or even video games and have everyone bring items they’re willing to part with. At the party everyone makes trades with each other. It’s a fun way to have an inexpensive evening of entertainment and get some new things as well.
Hand-Me-Downs
When you need something new, the best place to start looking is by asking your friends and family if they have anything they are willing to sell you. You’ll be helping them get rid of something they don’t want and you’ll be saving some extra cash by getting the items used.
10 Tips for Being Dollar Store Savvy
The dollar store can feel like a frugal shopper’s dream come true. Everything is one set price, so there’s no need to comparison shop. They’re usually not very busy, so you have plenty of space to browse for deals. Even better, the stock is always changing, so there’s always something new to see. However, like most things, if you’re not careful even the dollar store can be a retail trap of overspending. To help keep you dollar store savvy, keep these tips in mind before heading out the door:
THINGS TO CONSIDER
1. Set a budget.
Just because everything is a dollar doesn’t mean you won’t overspend. In fact, the lower price point can lure you into putting more things into your cart than a shopping trip at a regular store. Bring only the cash you plan to spend or set a budget and firmly stick to it.
2. Check for quantity.
One way dollar stores make money is by selling you individual items you’d typically get bundled together such as socks, hair accessories and housewares. So while it’s only a $1 per item, you may have only been spending 75 cents per item in a bundled package at another retail store.
3. Check for quality.
Cheaper isn’t always better. If the item ends up breaking or you have to replace it sooner than expected, then you’re actually losing money. Always check the overall quality of the item and determine whether the cheaper version will hold up as well as the regular priced item.
4. Avoid certain consumables.
Products such paper towels, toilet paper and even food are not good dollar store buys. The reason for this is the quantities are usually off from regular store products. For instance, paper towels have bigger sheets so you use the roll faster. Food is usually in smaller quantities than you’d get at other stores. Light bulbs may be cheaper, but they are not energy-efficient which means you’ll be replacing them move often. Keep in mind the usages and quantity when buying consumables.
5. Avoid food products.
If you’re already a savvy shopper than you know that you can get better food deals with coupons at your regular grocery stores. You’ll also avoid getting inferior products or products with smaller quantities.
BEST THINGS TO PURCHASE
1. Paper Products
Keep in mind tip #4 and avoid paper towels and toilet paper. However, other paper products such as greeting cards, wrapping paper, books, office supplies and stationary can provide excellent savings at a dollar store.
2. Holiday & Seasonal Decorations
Seasonal items are fun and help capture the essence of the season or holiday you are celebrating. However, those extra items can add up. Dollar stores typically have a great array of inexpensive alternatives, especially if you’re the creative type. Before doing any holiday decor shopping always stop by your local dollar store to check out what they have.
3. Children’s Toys & Games
Given the fact that most toys don’t hold a child’s interest for more than a few months anyway, the dollar store can be a great resource for toy and game purchases. You’ll want to check quality on some of the products, but most items are fairly good substitutes. Puzzles and workbooks are great dollar store purchases.
4. Household Products
You can find an amazing assortment of household products at the dollar store from home decor to kitchen and tableware and even cleaning supplies. You’ll always want to check on the quality and if it’s worth the specific use you have for it. It may be cheaper to get a $1 baking dish if you know you’re using it for a potluck and don’t want to worry about getting it back. It’s also a good find for children’s dishes and bedding.
5. Storage Items
Storage items can be fairly expensive. Even at discount stores you’ll find yourself paying $5 or more for storage options. At the dollar store every piece is only a $1. They often have unique storage options as well. You’ll wan to visit at different times to check out new products that may make storing things in your home more effective.
How do you use your local dollar store?
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