Florida is Getting Family Finances Back on Track
From the Florida Times Union, Jacksonville.com:
By Deirdre Conner
Dawn Lockhart, president and CEO of Family Foundations, says the nonprofit financial counseling agency is seeing a vastly increased number of families interested in becoming proactive about their financial security.
“I think people are taking it more seriously than they were,” she said.
Although painful, the economy sounded a “warning bell” that has been heeded by many, Lockhart said. And despite seeing more and more families in need of foreclosure and bankruptcy counseling, it has also seen families come in with higher savings account balances than in the past.
Whether you’re emerging from the ashes or looking to bulk up your family savings, the key is to start with small, achievable goals, said Ron Allen, a Jacksonville consumer advocate and financial adviser.
“People always tend to bite off more than they can chew,” he said, “and then it fizzles.”
Allen’s own resolution is to save $10 a week, a step he recommends to many people.
He rattled off a list:
- One less fast-food meal and one less to-go coffee
- One DVD rented instead of going to the movies
- Lower the thermostat by one degree in the winter, and set it one degree higher in the summer
- Drive 60 mph instead of 65, and save 24 cents on each gallon of gas
Robert Wilbert sees the wreckage of financial mayhem play out day after day as Jacksonville Area Legal Aid bankruptcy attorney, whether it’s by clients’ own hand or because of predatory practices.
Some key red flags he cautioned about: advertisements claiming they can get you out of debt because of a “new law in Congress” or a bill collector who calls about a bill you don’t recall having. Ask for the bill in writing, Wilbert said, or consult with the nonprofit Family Foundations if you need credit counseling.
Ultimately, he said, for some, 2011 may have to be the year in which starting over is the only way out.
“If you have no way to pay credit cards and the bill collectors are causing you stress, think about getting a fresh start in bankruptcy,” he wrote in an e-mail. Businesses, he pointed out, use this financial tool all the time, because it can be the best course of action.
But Wilbert’s first advice is this: With unemployment stubbornly high and job security no longer what it used to be, buy only what you need to survive and don’t use credit to buy it.
