The Debt Diva’s Top Ten Tips to Financial Stability

Make it your New Year’s resolution to get your finances in order for 2009!

Columbia, MD – December 11, 2008 - 2008 has been a tough year for consumers as they faced challenging economic conditions. The U.S. Department of Labor reports unemployment has increased by 8.5 percent since November of 2007. In addition to job losses, consumers are dealing with credit markets that have tightened and living costs that have increased. But the New Year is just ahead and with it will come new opportunities for Americans to become financially secure. The Debt Diva, Clarky Davis, says consumers should focus their New Year’s resolution on becoming financially stable in 2009.

Americans have a lot to overcome financially. A record 1.35 million homes were in foreclosure in the third quarter, a 76 percent increase from last year, based on a report from the Mortgage Bankers Association. In addition, the average amount of debt per credit card borrower has increased nearly eight percent since November of 2007, as indicated by TransUnion LLC. These factors along with the rise in unemployment resulted in an increase in consumer bankruptcies according to the American Bankruptcy Institute, which says filings rose more than 39 percent this November.

Even with all of this economic turmoil, Americans are busy shopping in the midst of the holiday season. But when the holidays are over and the bills start arriving, they may regret all those extra gifts and expenses. According to Consumer Reports, only 65 percent of credit card users predict they will have holiday debt paid off by the end of January.

“What I love about the New Year is the opportunity for a fresh start. There is no better time to focus on the future,” says Davis. “After the economic roller coaster ride of 2008, who isn’t looking forward to a new beginning?”

Davis says gaining control of your finances takes work, but once you make the effort to evaluate your spending and follow a new routine, it will be easier to spend less, pay off debt and save more money.

The Debt Diva’s Top Ten Tips to Financial Stability in 2009:

1. Make your finances a priority. You may have spent more during the holidays, so the New Year is the perfect time to make a change.

2. Stay calm and don’t make any major financial moves like cashing out your 401k. The recession has been here since December of 2007 so there is no need to panic.

3. Reevaluate your spending habits. Go through your last six months of bank statements. Do this every two months in 2009 to make sure you stay on track.

4. Build a monthly budget and set financial goals by creating a plan to stay on track.

5. Create a lifestyle that fits your budget. Find ways to cut back where you can. For example, trim your cable package, turn down the thermostat and reduce your dining out.

6. Pay with cash. Stop using credit cards and live a cash-only lifestyle.

7. Find a part-time job to make extra money.

8. Pay down debt. Make it a priority to pay down credit card debt. The longer you keep a balance on your credit card, the more money you are loosing.

9. Start an emergency savings fund. Start small and build the reserve as backup when you are faced with unexpected expenses such as health emergencies or necessary car repairs.

10. Keep your spirits up. Don’t look at these changes as deprivations, but as powerful steps you are taking to get your finances in order.

“Keep a positive outlook,” says Davis. “Realizing what you can do to take control of your finances is the first step, but following through and sticking to your plan is the challenge. Making this one New Year’s resolution and sticking with it will help you make important lifestyle changes that will last long after the recession ends.”

Throughout 2009, the Debt Diva will provide tips and advice to create a stable financial footing through her Website at www.thedebtdiva.com. Also check her site for the upcoming Debt Diva Guides, on ways to save on everything from entertainment to, to staying in shape, to household expenses and even pet care.

About The Debt Diva

Clarky Davis has more than five years of experience in the debt management industry and more than 10 years of hard-won personal experience with credit cards and debit cards. The money saving tips the Debt Diva offers have all been tested and proven by the glamorous girl herself. Davis now offers these hard-won insights to others seeking to maximize their tight budgets and deal with debt.

About CareOne Services

CareOne Services was formed in 2002 to provide consumers with multiple solutions to complex money problems. CareOne Services Inc. boasts a unique Financial Fitness Center that examines each consumer's individual financial situation and develops a personalized solution to help the consumer get out of debt and strengthen his or her financial footing.

Contact: Clarky Davis
CareOne Services, Inc.
8930 Stanford Blvd.
Columbia, MD 21045
Phone: (410) 925-9769
Email: cdavis@careonecredit.com
Web: www.careonecredit.com