CAMBRIDGE CREDIT OFFERS NEW ONLINE EDUCATION TO HELP CONSUMERS THROUGH THE ECONOMIC CRISIS

Your Money 2.0 launches this week offering expert advice on financial challenges.

With more than 200 million Americans active on the Internet, Cambridge Credit Counseling is increasing its online education efforts. This week, Cambridge launches its new online news program, Your Money 2.0. The weekly program will highlight the most relevant financial stories of the day, and provide insight as to how these events may affect the average consumer. In addition, Your Money 2.0 will focus on the very best financial tools available online so consumers can be as informed as possible when making financial decisions. Personal finance websites, blogs, and other important Internet resources will be among the topics regularly featured on the program.

“The Internet connects the world, and it is becoming a fantastic medium to provide financial education,” noted Christopher Viale, president and CEO of Cambridge Credit Counseling Corp. “Cambridge’s Your Money 2.0 will have the ability to reach a mass audience and help empower individuals to regain control of their money.”

The program builds off Cambridge’s successful Learn Now or Pay Later webisodes, which were released throughout 2008. Your Money 2.0’s weekly format will allow for a more immediate delivery of pertinent education, helping ordinary consumers manage their finances as the country suffers through its worst economic downturn since the Great Depression.

Weekly programs will be available on the company’s YouTube page, and will be offered for free to financially themed sites across the Internet. Anyone interested in learning more about Your Money 2.0 should contact Thomas Fox, Community Outreach Director, at 413-241-2362 or via e-mail at tfox@cambridgecredit.org. Subscriptions to releases are available at the company’s YouTube page.

To view a Your Money 2.0 promotional package, please visit www.youtube.com/CambridgeCredit.

ABOUT CAMBRIDGE CREDIT COUNSELING CORP.
Cambridge Credit Counseling Corp. is a professional debt counseling agency, dedicated to educating young adults on the importance of sound financial management and to providing financially distressed Americans with education and debt management services appropriate to their needs. For more information on this article or to schedule an interview, please call 413-821-6919.

Visit Cambridge Credit Counseling Corp. online at http://www.cambridgecredit.org/. To learn more about Cambridge and the community, please visit www.youtube.com/CambridgeCredit.

Cambridge Credit offers free financial literacy webisodes to help Americans in trying financial times.

Cambridge Credit Counseling Corp., 67 Hunt St., Agawam, MA, 01001

FOR IMMEDIATE RELEASE
Contact: Thomas Fox
Cambridge Credit Counseling Corp.
413.821.6919
tfox@cambridgecredit.org

CAMBRIDGE CREDIT OFFERS FREE FINANCIAL LITERACY WEBISODES TO HELP AMERICANS IN TRYING FINANCIAL TIMES.

Cambridge Credit Counseling Corp expands its online financial literacy programs.

Agawam, MA - Tuesday, April 29, 2008 - In an effort to broaden the reach of its educational programs, Cambridge Credit Counseling has begun offering free video broadcasts of webisodes from its Learn Now or Pay Later financial literacy series. The first installment of the series has been posted on Cambridge’s YouTube page, which can be accessed by visiting www.youtube.com/CambridgeCredit. Each webisode offers advice to consumers dealing with basic credit and debt issues, knowledge of which have become increasingly important as the nation’s economy continues to slow.

“Social networking sites have a great potential to help create a more financially literate society,” notes Christopher Viale, president of Cambridge Credit Counseling Corp. “In light of the critical concerns facing consumers these days, this series is a perfect resource for individuals who need practical advice they can immediately incorporate in their financial plan.”

Cambridge’s Learn Now or Pay Later webisodes will be posted weekly, with the first installments concerning topics such as credit reports and scores, budgeting, identity theft, and dealing with bill collectors. Consumers are encouraged to subscribe to the series, which is free, so they may receive notification of the latest posts as they are made available.

“This public service series is testament to Cambridge's commitment to providing financial education,” continued Mr. Viale. “The American public needs practical advice to survive the challenges we face as a nation, and Cambridge is proud to serve.

ABOUT CAMBRIDGE CREDIT COUNSELING CORP.

Cambridge Credit Counseling Corp. is a professional debt counseling agency, dedicated to educating young adults on the importance of sound financial management and to providing financially distressed Americans with education and debt management services appropriate to their needs. For more information on this article or to schedule an interview, please call 413-821-6919.

Visit Cambridge Credit Counseling Corp. online at www.cambridgecredit.org. To learn more about Cambridge Credit Counseling Corp. and the community, please visit www.youtube.com/CambridgeCredit. For more helpful information, check out the Cambridge Credit Counseling Corp. Financial Literacy blog at www.cambridgecredit.blogspot.com.

Financial literacy seminar at Western New England College

Cambridge Credit Counseling Corp., 67 Hunt St., Agawam, MA, 01001

FOR IMMEDIATE RELEASE

Contact: Thomas Fox
Cambridge Credit Counseling Corp.
413.821.6919
tfox@cambridgecredit.org

CAMBRIDGE CREDIT EDUCATES COLLEGE SENIORS ABOUT LIFE AFTER GRADUATION

Financial literacy seminar at Western New England College to focus on making the right financial choices after graduation.

Agawam, MA - Thursday, February 28, 2008 - On Saturday, March 1, 2008, Cambridge Credit Counseling Corp. will once again participate in Western New England College’s “Life After College Explained” seminar series. For the last several years, representatives from Cambridge’s Education Department have helped to educate students about the proper management of credit and the steps to building wealth.

When it comes to credit, college students are among the most vulnerable consumers. From the moment they set foot on campus, they are the focus of intense marketing efforts, particularly on the part of the major credit card banks. This is despite the fact that students rarely have meaningful full-time employment during their college years. Over the past few years in particular, rising levels of student loan and credit card debt have combined to place a unique burden on graduates. Many are entering the workforce with large monthly debt payments that not only prevent them from giving full attention to their career, but that will continue to hinder them as they pursue the American Dream of homeownership.

The seminar series at Western New England College is a cooperative effort to help graduates deal with the financial demands that will be made on them as they begin to live independently. Christopher Viale, president of Cambridge Credit Counseling Corp., is looking forward to the opportunity. “We are honored that WNEC has invited us to help prepare their seniors,” Viale noted. “The forward thinking approach of the university is exactly what will help to prepare our youth for the financial challenges that await them after graduation.”

The one-hour seminar will focus on credit scores, the cost of credit, and the importance of establishing an appropriate budget to meet financial goals. Each seminar participant will also receive a copy of Cambridge’s Learn Now or Pay Later financial literacy guide for young adults.

Other area colleges interested in establishing a seminar for their graduating seniors are encouraged to call Thomas Fox, Cambridge’s Community Outreach Coordinator, at 413-241-2362.

About Cambridge Credit Counseling Corp.
Cambridge Credit Counseling Corp. is a professional debt counseling agency dedicated to educating young adults on the importance of sound financial management and providing financially distressed Americans with education and debt management services appropriate to their needs. For more information on this article or to schedule an interview, please call 413-821-6919.

Visit Cambridge Credit Counseling Corp. online at www.cambridgecredit.org. To learn more about Cambridge Credit Counseling Corp. in the community, please visit www.youtube.com/CambridgeCredit. For more helpful information, check out the Cambridge Credit Counseling Corp. Financial Literacy blog at www.cambridgecredit.blogspot.com.

Cambridge Credit Counseling – Christopher Viale Interviews

The New Year has started off rather busy as many consumers are looking for advice on how to manage their finances. Along with the increase in the education Cambridge is providing is an increased interest from the media as to the state of America’s consumers. Recently, our president, Christopher Viale, was interviewed by Bankrate.com for several important articles that address the financial concerns facing Americans.

To view these articles, please click on the links below.

Tallying the true costs of debt

6 powerful debt-paydown strategies

Tackling debt as a family

National poll: What, us worry about debt?

What will you do with your economic stimulus check?

Earlier this week, the Bush administration passed the $168 billion economic rescue package. According to details, most taxpayers will receive rebates of $600 to $1,200, with families receiving an additional $300 per child. The goal is to get this money into consumer’s hands so that they will spend it - fighting off a looming recession. So far, most polls indicate that people will be taking their check from the government and doing the exact opposite. Roughly 25% of consumers plan to spend their money, while the remainder plans to save it, or reduce their debt.

So, what do you plan to do with your rebate check?

Community-based organizations combine efforts to help strengthen local families.

The financial challenges that face today’s consumers are unique in our country’s history. Credit card debt currently exceeds $900 billion dollars, energy prices are soaring, and personal savings rates are in the negative. Trying to successfully manage the average budget these days has become increasingly difficult, even for the most financially savvy consumer, and the consequences for those who aren’t can be devastating. To help consumers within its community who have special needs, Cambridge Credit Counseling Corp. has teamed with Clinical and Support Options, Inc. to provide financial counseling and education.

“I believe that the financial information and guidance Cambridge will provide to the adults and families we serve will have a positive effect on their everyday lives and help give them a measure of hope for a positive financial future,” stated Lee Weissman, Director of Fund Development for Clinical and Support Options, Inc. “Counseling and financial literacy can only make people stronger and more self sufficient, which is a perfect complement to CSO’s mission of enhancing lives and strengthening families.”

Cambridge will offer its wide array of credit and debt management services, including fundamental budgeting and planning advice, to help CSO’s clients regain control of their finances. In addition to financial literacy seminars, Cambridge will provide one-on-one counseling sessions for individuals who require personalized assistance in managing their debt and building savings.

"We are happy to be working with an agency of Clinical and Support Options’ stature,” remarked Christopher Viale, president of Cambridge Credit Counseling Corp. “CSO provides such a valuable service to the community, and the inclusion of Cambridge’s support to its members will truly help change lives in a positive manner.”

Advice to First-Time Homebuyers

As the sub-prime mortgage market continues its remarkable collapse, it’s only natural that lending practices are getting tighter, particularly for those applicants with weak credit histories. But according to a recent survey by the Federal Reserve, 41% of America’s banks have tightened loan standards for prime borrowers, as well. Translation: Even if you have good credit, it’s becoming much harder to qualify for a mortgage.

The mortgage industry is in shock from the sub-prime disaster that continues to rock our financial markets. Part of the current problem is that too many adjustable rate mortgages were given to too many unprepared or undeserving borrowers. Today’s prospective homebuyers should view this as an opportunity to learn more about the mortgage process, to determine whether homeownership is actually within their financial means.

Unfortunately, we’ve come to regard homeownership as a right, but it’s a privilege to own your own home. Rather than lose that privilege by failing to consider the responsibilities that go with it, consumers need to prepare themselves financially long before they sign a mortgage agreement.

Cambridge offers this advice to those looking to buy their first home:

The monthly mortgage payment quoted by your lender is almost always based on your gross income - your income before taxes and other deductions are taken out. That may help you qualify for a nicer house, but that money isn’t truly available to you for your mortgage or any of your other expenses, either. Instead, you should think in terms of your net income - what you actually bring home.

Your new home will more than likely be bigger than your former living space, so you should expect higher energy bills. Be sure to ask the current occupants what their monthly averages are so you can plan accordingly.

You may need to make significant purchases to furnish the additional living area. Be sure to estimate how much furniture you’ll need and what the cost will be, including delivery.

After you have a good idea of your increased expenses, develop a projected monthly budget. If you find that you’ll be struggling to maintain your obligations or that you’ll be unable to set aside monthly savings (anywhere from 5 to 10% of your net income), you might want to reconsider homeownership at this time.

If you can afford your new home, be sure that you have a financial emergency fund equal to three months’ worth of these new expenses, before you buy. Accidents happen. The American Dream can quickly become a nightmare following an unexpected financial setback, but an emergency fund can help get your family through tough times with your home intact.

Talk with friends and family members about their home-buying experiences. Do some research on the Internet, and consider taking a homeownership course if one is available in your area. The more information you have before you move can make for a better experience when you receive the key to your new home.

Money stresses are devastating American families.

by Thom Fox
Community Outreach Coordinator
Cambridge Credit Counseling Corp.

Every day in this country, an army of non-profit agencies works diligently to provide support and bring much-needed services to millions of Americans. These organizations address a wide range of important social conditions, from housing to healthcare, but referral networks between social service non-profits and credit counseling agencies are inconsistent. To eliminate one common omission, Cambridge Credit Counseling is encouraging non-profit organizations to establish relationships with credit counseling agencies that can address their clients’ financial concerns.

Studies indicate an increasing correlation between many common social problems and indebtedness. Findings suggest that the inability to pay debts, combined with demands from creditors, often exposes debtors and their families to harmful levels of stress, contributing to insomnia, anxiety, depression, increased marital tension and, most startling, the deterioration of parent-child relationships[1].

More troubling are the studies that focus on debtors receiving harassing phone calls and letters from creditors and collections agents. These individuals were much more likely to suffer mental and physical complications than debtors who were not the subject of aggressive debt collection. Such studies reinforce the belief that money problems undermine both individual health and family structure. The conclusion of one researcher summed up what health professionals had theorized for years, “Findings would suggest that the current system of resolving disputes between creditors and debtors is far too costly, both to the debtors and to society at large[2].”

As the financial pressures of our society increase, the family and social bonds that keep us together become strained. It’s difficult enough to raise a family these days, adding the burden of debt produces a volatile situation. Cambridge Credit is urging non-profit organizations to reach out to credit counseling agencies to help their financially distressed clients. As a national organization, Cambridge offers its assistance to every community service agency in America. Those interested in learning more about the services offered by Cambridge can contact Thomas Fox, the organization’s Community Outreach Coordinator, at 413-241-2362.

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[1] Ryan, M. (1996). Social Work and Debt Problems. New York: Little Brown & Co.

[2] Caplovitz, D. (1974). Consumers in Trouble: A study of debtors in default. The Free Press.

Reviewing Your Credit Profile

by Thom Fox
Community Outreach Coordinator
Cambridge Credit Counseling Corp.

It’s important to realize that if your credit score is poor, it won’t necessarily remain that way forever. Your current score is simply a snapshot of your credit profile at any given point in time. As long as they are accurate, negative credit notations that appear on your reports will only remain for seven years, and then they must be removed. Bankruptcy notations are treated differently. They stay on your report for ten years. In the meantime, it’s your responsibility to make sure that every new addition to your report shows evidence of better payment patterns.

Credit reports and scores are very time-sensitive items. Your score from three months ago is probably not the same score a lender would get from the credit reporting agencies today. If you do have negative notations on your report, even before the seven years have passed, if you’ve re-dedicated yourself to meeting your obligations on time, your credit score should begin to reflect these efforts. If you can be patient and make the necessary adjustments, it is possible to improve your overall credit profile and your credit score. The bottom line is, it’s up to you to improve your credit performance from this day forward.

Perform a Credit Check-up
To begin the process of improving your credit profile, order a copy of each of your credit reports from TransUnion, Experian, and Equifax, the country’s three major credit-reporting agencies. Many businesses and lenders report information to only one or two of the agencies, but rarely to all three. This causes the information in your reports to vary greatly. Reviewing each of your reports will provide you with a clearer picture of your overall credit profile.

During your check-up, be on the lookout for errors contained within your credit reports. It has been estimated that more than 40% of the reports on file contain mistakes. Do you have negative entries on your report that are incorrect, invalid or that have been in some way misrepresented? You should also look closely for unauthorized inquiries, incorrect mailing addresses and Social Security numbers, as these may indicate that you have been a victim of identity theft.

If you do find errors within your report or discover that you’re a victim of identity theft, there are steps you can take to correct the items in question. As stipulated in the Fair Credit Reporting Act (FCRA), both the credit reporting bureau and the information provider (the person, creditor or organization that provided information about you to the credit-reporting agency) are responsible for correcting inaccurate or incomplete information in your report. They won’t make these fixes on their own, however; it is up to you to notify them of any mistake.

Managing Credit Responsibly
The following are some additional strategies you may make use of when attempting to improve your credit profile.

Keep the balances as low as possible on your credit card accounts. High outstanding debt can have a negative effect on your score.

Pay off debt rather than move it around. The best way to improve your score in this area is by paying down your revolving credit accounts. In fact, owing the same amount but having fewer open accounts may actually result in a lower score.

Don’t close unused or old credit cards as a short-term strategy to raise your score. Shutting down credit accounts lowers the total amount of credit available to you, and it also gives additional weight to any balances you do have when it comes to calculating your credit score. Closing your oldest accounts can actually shorten the length of your reported credit history and make you seem less creditworthy.

Don’t open a number of new credit cards that you don’t need. This approach could backfire and actually lower your score.

Don’t open a series of new accounts in a short period of time. If you have only been managing credit for a little while, don’t open a lot of new accounts too rapidly. New accounts will lower your average account age, which will have a negative effect on your score, especially if you don’t have a lot of other credit information.

Re-establish your credit history if you have had problems in the past. Opening new accounts responsibly and paying them off on time will help raise your score in the long term.

Add positive information whenever possible to show stability in your credit profile. If you have extremely poor credit or have even filed for bankruptcy, don't let your credit status go dormant. The faster you begin to re-establish positive credit, the faster you'll improve your credit profile. One way to achieve this is to get a secured credit card.

It’s okay to have credit cards, but you must manage them responsibly! In general, having credit cards and installment loans (and making timely payments) will raise your score. Someone with no credit cards, for example, tends to be a higher risk than someone who has managed credit cards responsibly.

Improving you credit profile takes time. Unfortunately, negative items tend to affect your credit score much more quickly than positive items. Late payments can negatively affect your score in just a few months, whereas paying bills on time may take 6 to 12 months to generate a significant improvement in your score. The best course of action is to adopt healthy credit habits and maintain them.

Seniors Gamble Their Retirement on “Risky Business”

by Thom Fox
Community Outreach Coordinator
Cambridge Credit Counseling Corp.

Instead of playing shuffleboard or golfing in Florida, many recent retirees are engaging in a more dangerous activity - entrepreneurship. An increasing number of seniors are opting out of the traditional retiree lifestyle to become players in the 21st-century economy, choosing instead to start businesses ranging from dry cleaners to sandwich shops. Experts are worried, however, that they’re often using portions of their retirement funds to get things up and running.

While these authorities recognize the importance of a healthy and fulfilling lifestyle, starting a business is notoriously risky. Statistics show that two-thirds of all new businesses fail within the first few years. When retirement funds are used as seed money, the risk may outweigh the anticipated return.

If you are in your golden years and want to contribute to the economy, you should seek guidance from as many business experts and community sources as you can before investing in a new business. It’s recommended that individuals set aside 80% of their annual income for each year of retirement. With our rising life expectancy, people naturally need to increase the amount of their retirement savings. Using the money it has taken decades to save is quite chancy.

How can you ensure that your investment is worth the risk?

Write a business plan: Writing a business plan is a good way to see if your idea is realistic, and it will force you to conduct valuable research. If you discover that the local market is over-saturated or that businesses similar to yours have failed, it can save you a tremendous amount of money.

Immerse yourself in your chosen industry: You’ll need to become an expert within the industry you’ve chosen. Join related industry or professional associations before you start your business to get the edge you need.

Get professional help: Talk to your local Small Business Association (SBA), a personal Financial Planner, your Tax-Accountant, basically anyone who can offer the support you need in your venture.

Seek alternative financing: Your idea may be attractive to other investors. Consider applying for an SBA loan or bank loan before tapping into your valuable retirement savings.

As with any aspect of personal finance, it’s best to be prepared for every outcome. Starting your own business can be rewarding, but you don’t want to jeopardize your retirement savings by investing beyond your capacity for loss.

Save Some Green by Thinking Green

by Thom Fox
Community Outreach Coordinator
Cambridge Credit Counseling Corp.

Global warming has been the focus of a great deal of attention recently, from full-length documentaries to world-wide concert broadcasts urging consumers to “think green.” But what if there were a way to help the environment and save money in the process? Well, there is and it’s quite simple – avoid impulse purchases.

Every day, advertisers urge consumers to spend their money on the newest, most advanced products, and many people have difficulty resisting such temptations. That’s because shoppers typically focus on their wants, not their needs. Beyond such unnecessary spending, however, is the obvious fact that every MP3 player, laptop, PDA or other gadget has to come from somewhere on the planet, and additional energy must be expended to bring these products to market. Despite the best efforts of manufacturers and shippers, there are tremendous amounts of waste involved in the processes that create and deliver the goods we seem to think we can’t live without.

For example, the creation of a desktop computer requires more than 700 different materials, including metals that must be mined, oil that has to be extracted from wells, and chemicals that must be produced in factories. The manufacturing processes that combine these resources also require large amounts of energy, mostly involving the burning of fossil fuels. This often results in the release of CO2 and other pollutants into the air, contributing to the planet’s natural greenhouse effect. In fact, for every pound of electronics in a typical computer, an astounding 8,000 pounds of solid and liquid waste are created!

Analyzing your wants and needs not only helps curb your reliance on credit, it can also be good for the environment.

To learn more about Cambridge Credit Counseling Corp., please click here.