AICCCA's 5 Sure Fire Financial Resolutions For 2004


Fairfax, VA - January 08, 2004 - Countless new years resolutions have already been abandoned for 2004. However, it is never too early to make resolutions that will affect your new year's financial outcome.

"Following a simple financial plan is the key to eliminating debt this year," said Dave Jones, president of the Association of Independent Consumer Credit Counseling Agencies. "There is no excuse for turning away from the type of fiscal responsibility that will lead to financial freedom."

For consumers who wish to start the new year with smart and simple financial decisions, AICCCA offers these five financial resolutions.

You must learn what you owe - You will not get very far in planning your financial future unless you understand what you're planning. Take an inventory of your debt because it is critical to success. Add up your credit card bills and understand your entire outstanding debt, not just the minimum monthly payments. And never assume anything. It is important to check your entire personal debt as often as you pay bills.

Can't hit a bull's - eye without a target - A monthly spending plan is crucial in setting a financial pattern for the new year. And once you have the target in your sights, you are on your way to eliminating debt. Knowing how much you will spend each month will allow you to not only prioritize your expenses, it will also get you thinking about where you may be able to cut costs. Soon, you will be able to pay off much more than just the minimum payments on your debt.

Track your expenses and use trial and error - When reviewing your payments and expenses, be honest with yourself. Don't be afraid to adjust your spending if you decide changes for the better can be made. A rigorous spending plan is important, but unfortunately, life's expenses are not so predictable. Shifting your resources may be essential in continuing to pay off your debt, and sacrifices may need to be made in order to keep within your aforementioned financial goal. Review your phone bill, cable expenses and entertainment spending such as restaurants, movie theaters and sporting events, for example. Determine if some of those expenses can be eliminated.

Designate a few minutes each week for a financial review - Your spending plan will not work unless you stick to it. It is important to evaluate your spending every week in order to keep your priorities in order. Pick a specific time during the week to audit your check registry and grade yourself on your spending plan. Are you living within your means and continuing to pay down debt?

Build an emergency fund - While you may have very little money to put into savings, a rainy day fund is never a bad idea. Emergencies will happen, and when money is needed, withdrawing from savings is a much smarter way than using a credit card to cover the cost. Advisors recommend striving toward putting at least 10 percent of each paycheck into emergency and long-term savings.

Don't wait to seek assistance, and get help if necessary. You can take advantage of AICCCA's services by calling 800-450-1794 or visiting www.aiccca.org. Take an active role in your financial situation, and make a resolution this year to eliminate yourself of debt.

Founded in 1993, Association of Independent Consumer Credit Counseling Agencies (AICCCA) is a national membership organization, established to promote quality and consistent delivery of credit counseling services. AICCCA and its members are focused on improved creditor relations, efficient processes and advanced technology to best serve clients and creditors. AICCCA members are independent nonprofit agencies that advocate for debtors, counsel millions of consumers annually nationwide and provide debt management services to consumers with excessive unsecured debt. For more information or to contact an AICCCA member office call (800) 450-1794 or visit www.aiccca.org.