Getting the Most from Your $5

It’s so easy to impulse shop when the amount you’re spending is only about $5. How many times have you wanted to stop for coffee or pick up a cute pair of earrings off the clearance rack because they were only $5? How many times have you actually justified it and made the purchase.

For most people, $5 is no big deal. But, spending $5 here and $5 there is what throws many budgets off track. It’s amazing how fast it adds up.

Let’s put this in perspective a little. Here is a list of some things you can buy for $5 (give or take some spare change):

· A latte or mocha from Starbucks

· A foot long sandwich from Subway

· A kids meal at most fast food restaurants

· A regular size combo meal from many fast food restaurants

· Ear phones from Big Lots for your MP3 player

· A rotisserie chicken from the grocery store

· About two gallons of gas for your car

· Two lunches from a public school cafeteria

· Four gallons of milk

· Two to three pounds of boneless, skinless chicken breast

· One pound of deli meat on sale at the grocery store

· Two loaves of whole wheat bread from most grocery stores

· A whole watermelon and three to five pounds of bananas from Aldi

· A package of socks or under garments from Wal-Mart 

Let’s say you stop for a mocha or a latte twice a week, and you eat a fast food meal once a week. You’re paying $15 for two cups of coffee, a burger, fries and soft drink. That same $15 can get you: four gallons of milk; enough chicken breast to feed a family of four twice that week; and enough fruit for the family to have at breakfast and lunch for an entire week.

The coffee and fast food may be worth it to you. That’s your choice. This just gives you a little perspective and may help you beat that impulse the next time you’re ready to spend $5.

 

 

Beware of This New Scam to Steal Your Identity

Members of other credit unions have been receiving calls on their cell phones from an automated system, telling them their account is blocked. To “unlock” their account, the system prompts them for their debit card number, pin and security code. People who have provided the information have had their accounts depleted almost immediately.

At this time, we are not aware of any Neighborhood Credit Union members who have been affected. However, this is a good opportunity to remind you of some important information about protecting your identity.

1. Never, never, ever give your credit card, debit card or account number, or any other personal information to someone over the phone, unless YOU called them. Even if a seemingly innocent charity calls you for a donation, and they only accept credit cards, do not give them your credit card information. Have them mail you a form or get their web address so you can pay online. To be sure it’s a valid organization, check the home page for a link to a secure site. Secure web addresses start with https. Be sure the “s” is there so you know it’s secure.

2. Never give your personal information to an automated system, especially one telling you your credit union account is blocked. Neighborhood Credit Union will NEVER call you – through an automated system or a live person – to ask for your account number or any other personal information. If you get a call like this, hang up and call the credit union immediately to report it. If you can, write down the number the call came from, so we can give that information to the appropriate authorities.

3. Never respond to an e-mail that looks like it’s from us, if it asks you to provide any type of personal information. We will NEVER send you an e-mail asking for this information.

4. If you have already provided information to someone who asked for it either by phone or e-mail, call the number on the back of your card and report the incident. You may have to change your passwords or have a new card issued.

Technology is making it easier for identity thieves to prey on innocent people. Don’t be their next victim.

 

Beat the heat with Ice Coffee on the Cheap

The Dallas area is experiencing one of the hottest summers on record. It’s so hot that even the most dedicated coffee drinkers are trying their favorite java on ice. That can get expensive, though, if you’re visiting your local coffee house every day. Here’s a way to beat the heat without breaking your budget. The whole process takes no longer than it would to fix a hot cup of coffee.

· Start with leftover coffee. That’s right…leftover coffee. Every time you have coffee left in the pot, don’t pour it down the drain. Pour it in a pitcher and store in the refrigerator.

· Purchase your favorite creamer from the grocery store. You can get an entire quart of regular or fat free half and half for about $2.50, and it doesn’t go bad as fast as milk does. Half and half can last in your refrigerator up to month. Flavored creamers may be a bit more in price, but you’re still getting a lot of creamer, and those last even longer, because they are non-dairy.

· When you’re ready for ice coffee, fill the cup of your choice with ice. Crushed is best if you have an ice maker with that option. Fill the cup about ¾ full of coffee, than add your creamer to taste. This may take some adjusting the first time you make it.

· If you like your ice coffee sweet, add whatever sweetener you keep in the (sugar, Splenda, Agave nectar).

· If you like your ice coffee flavored, use a flavored creamer, or you buy flavored syrups at many local grocery stores. Target and Wal-Mart sell vanilla and sugar-free vanilla. Albertsons and Tom Thumb sell the same brand of syrup Starbucks uses in several different flavors.

· To make your ice coffee taste like a flavored ice coffee from McDonald’s, use five pumps of flavor and a ¼ cup half and half for a 20 oz. drink, and 10 pumps of flavor with a ½ cup of half and half for a 32 oz. drink.

Your initial investment to buy creamer and flavored syrup will be under $10, and you’ll get at least 10 cups of ice coffee out of that investment – maybe even more. The best part, aside from saving money, is having ice coffee right there whenever you want it, and being able to control the fat and calories. Try it. You may never buy another cup of ice coffee from you local coffee house again.

How Will You Pay for College?

 With summer more than half over, many families are trying to figure out where they’ll get the money to pay the college tuition bill next month. If you don’t have the money the pay it outright, there are other options to consider.

Scholarships.com
Scholarships.com is the largest free and independent college scholarship search and financial aid information resource on the Internet and is recognized by thousands of high schools, colleges, and universities nationwide. This site assists students and their families in not only finding college scholarships, but helping them explore valuable financial aid opportunities they may not have discovered otherwise.

Student loans
There are two types of government issued student loans. Subsidized loans are for students who demonstrate a financial need. Interest does not accrue while students are in school at least half-time. Unsubsidized loans don’t require student to demonstrate financial need, and interest begins accruing as soon as the loan is issued. The college reviews the loan application and determines the amount the student can borrow. Student loans are a good choice, because they have a low interest rate and are in the student’s name.

Parent loans
Parents may apply for a PLUS loan to help pay for a child’s education if the child is still considered a dependent. These are also low interest loans, but certain eligibility requirements must be met. Click the link for complete details.

Home Equity Loans
If you own your home and have been living there for quite some time, you may have equity that you can borrow against to fund a college education. When you get your loan at Neighborhood, you can choose between a Home Equity Loan and Home Equity Line of Credit.

Retirement Funds
Drawing on retirement funds to pay for education expenses is generally frowned upon because it depletes your retirement income, but it’s doable. When an IRA withdrawal is used to pay for qualified education expenses, the money is exempt from the 10% early distribution penalty usually incurred on withdrawals before age 59½. However, you may be subject to higher income taxes when you withdraw education funds from a traditional IRA, because withdrawals count as income. Withdrawals can be used for tuition and fees, as well as room and board or other supplies.

The prospect of paying a big tuition bill can be frightening. Hopefully these resources will lead you in the right direction.

Benefits of a Community College

 It’s that time of year when young adults pack up, turn out the lights and head off to college. But going away to college isn’t the only option. More and more people are turning to community colleges for higher education. Here are some reasons why:

  Cost
 Community colleges are considerably less expensive than four-year universities, even though a lot of the classes are exactly the same. The average cost of tuition and fees for 30 credit hours at a Dallas County Community College is $1,230. That’s generally an entire year of college. In the University of Texas System, the average cost of tuition and fees is for one year is $3,700. That’s just the average. Some are more than $4,000.

Schedule
 Many people who attend community college also work a full-time job. Community colleges understand this and offer classes both during the day and at night to accommodate those students. That makes it easier to get an education without going broke.

Location
 If you choose a community college close to home, you will not incur additional fees for housing and food. Housing costs are generally as much as tuition at a four-year university, so living at home saves thousands of dollars a year.

All Ages
 Most colleges will enroll students of all ages, but community colleges are known for their age diversity. Their enrollment is made up of young adults who either can’t afford or are not academically ready for a four-year university, adults starting school later in life and professionals taking courses to improve work performance.

Flexibility
 You don’t have to have a degree plan to attend community college. Take one course at a time, take vocational courses for specific job or start on a degree track with the intention of eventually transferring to a four-year university.

Whether you’re looking at school for yourself or you have a young adult in the house who wasn’t ready to attend a four-year college, community college may be the option you are looking for.

 

Click here for a list of community colleges in Texas.

 

Do Outlet Stores Have the Best Deals?

Outlet malls promise great deals and big bargains on quality, name brand merchandise. Is it hype or can you really save money at these stores? It really depends on where you shop.

A true outlet store saves you money because they sell merchandise in discontinued colors or last year’s styles. Or, they sell merchandise with slight imperfections often invisible to the naked eye. Factory stores offer similar savings, with one extra perk. Some factory store merchandise is made just for the factory store and can’t be found elsewhere. Factory stores eliminate the middle man and pass the savings on to the customer.

The Nike Factory store at Tanger Outlet in Terrell, Texas offers truly great bargains on shoes for all sizes. Shoes selling for over $100 in a retail stores are as low as $40 in the factory store. Most kids shoes at the Nike factory start at $29.99, which is a great deal. However, you can often get a better deal when you purchase kids’ Nikes at a department store and stack coupons on top of already reduced prices.

Osh Kosh B’gosh at Tanger Outlet recently had an amazing sale on kids jeans for $9. That was a 70 percent savings off the original price of $30 a pair. That sale was available at all Osh Kosh stores, which are only located in Outlet Centers. The deal was also available online, with a $6 flat shipping rate. That was a true bargain. Osh Kosh merchandise sold in department stores rarely, if ever, gets that low.

Old Navy at Tanger Outlet Center also had a sale on jeans for kids and adults. The price was $10 for basic jeans – a savings of nearly 50 percent. However, the same deal was available online and at all Old Navy stores. It’s still a good deal, but not if you’re driving past several Old Navy retail stores just to shop at the outlet.

The key to shopping outlet malls is to know your prices before you shop. Do your research on sales, too. Find out which stores are at the mall you plan to shop, and look up those retailers online for their sales and regular prices on the items you need. A little extra effort is worth it to save big bucks.

Here is a list of Outlet malls in the DFW area:

Allen Premium Outlets

820 West Stacy Rd., Suite 428
Allen,TX 75013
972-678-0558

Tanger Outlets

301 Tanger Dr., Suite 103
Terrell,TX 75160
972-551-3007

Grapevine Mills

3000 Grapevine Mills Parkway, Suite 252
Grapevine,TX 76051
972-724-2558

Gainesville Outlet Shops
4321 N. I-35
Gainesville, TX 76240
940.668.1888

Texas Tax-Free Weekend – Do You Really Save?

Texas tax-free weekend will happen this year on August 20, 21 and 22. The tax-free weekend gives consumers a break from sales tax on clothing and footwear priced under $100. Backpacks and messenger bags are also exempt from sales tax, and this year, so are various school supplies. Tax-free weekend saves you roughly $8 on every $100 you spend. Here are some pros and cons to consider when planning your shopping trips this month.

Timing
Most schools in the Dallas area will start on August 23^rd this year. Some will start even earlier. If you wait until the weekend before school starts to shop for clothes and supplies, you risk not finding everything you need.

Savings
A lot of stores are having their back-to-school sales now. Check with those stores to see if the items you need will be on sale during tax-free weekend, as well. If not, you have to figure out which one gives you the most cost savings – a store sale or a sales tax exemption.

Crowds
A lot of people shop on tax-free weekend. That means longer check-out lines, more people to fight in the school supply bins and parking spaces that are harder to find. If crowds are not your thing, it may not be worth the savings for you.

Texas tax-free weekend is a great concept, but saving money isn’t always a given. If there’s a pair of shoes or a great outfit you’ve been eyeing for a while but can’t justify the cost, this may be the time to save a little money. But do the math. If all the pieces of your outfit come to $100, you’ll pay exactly $100. If you can wait for that outfit to go on sale for 25 percent off, you’ll only pay about $81, including sales tax. If you buy it at 10 percent off, plus tax, you’ll still only pay about $97 and change.

The key with anything you buy is to shop smart. Don’t ignore a larger than life sale to save $8 on tax-free weekend. Do the math first and shop when it makes sense for you.

Fore more information about Texas tax-free weekend, click here.

Take a Cheap, Last Minute Vacation on Oil-Free Beaches

The end of summer will be here before we know it. With oil-free beaches just a five-hour drive from the Dallas Metroplex, you still have plenty of time for a fun, family getaway. Galveston beaches are clean, oil-free and ready to show visitors a good time.

Many people have avoided Galveston in the past two years because of devastation caused by Hurricane Ike. That damage is no longer an issue. The beaches are open, publicly accessible and fully functioning.  Restaurants and stores are back in business. And, lodging has been restored. It’s also available at bargain pricing, because property owners just want people to start coming back to Galveston.

Here are some tips for enjoying a great vacation at bargain pricing.

Lodging
Summer is usually the most expensive season for lodging in Galveston, but condo owners and hotels are hungry for business. Expedia.com is currently offering four and five star hotels for $100 a night – sometimes a little bit less if you book more than three consecutive nights. For even cheaper options, search for condo rentals on Vacation Rentals by Owner. All of the condos listed on this site are privately owned and rent for much cheaper than the condos owned by the management companies in the same complexes. Plus, there’s the added advantage of negotiating. Many people don’t think to do this, but there’s nothing wrong with making a lower, yet reasonable, counter offer on an owner’s published rate. We know of one person who recently offered $550 cash, for five nights total, on a house that was renting for $200 a night. The owner accepted the offer.

Free Activities
Most beaches are free. Just walk on and have fun. There are some private access beaches that cost money, but unless you need an entire beach to yourself, the level of tourism in Galveston is still low enough to enjoy public access beaches without a lot of crowds. Take a walk, play games, splash in the warm gulf water or just chill under an umbrella.

Take a ride on the ferry that goes across to Crystal Beach. You can ride your vehicle onto the ferry and go exploring when you get to the other side. Or, you can just walk on and enjoy the ride from the deck. You’re almost sure to see Dolphins swimming along side the boat, and if you go during sunset, there are some great, free photo opportunities.

Tour the Strand - an eclectic and historic area of Galveston. There are fun shops, good eats and lots of free, live entertainment at night. If you feel like splurging, be sure to stop in at La King’s old fashioned ice cream parlor and candy factory. Just about everything they sell is made on-site, and it’s delicious.

Don’t let summer pass you by without a little down time. For more information on fun things to do in Galveston, click here.

Home Warranties Can Be a Budget Saver – Especially When the A/C Breaks

Nothing makes you appreciate air conditioning more than several consecutives days of 100+ degree heat in Texas. Unfortunately, every appliance has a shelf life, and more often than not, your A/C will die in the middle of the summer when it tends to run constantly. If you have to replace it completely, you’re looking to pay somewhere between $2,000 and $5,000 for a new unit. If you use a home warranty service (not just for new homes), it will cost a lot less.

John and Amy’s A/C unit bit the dust back in June. Within five days, they had a completely new, energy efficient A/C system and it cost them about $150, including the service call.

“We have a home warranty service,” said John. “It’s the best thing we’ve ever purchased.

“I hate making that $33 payment every month, but it sure pays off when something like this happens,” said Amy.

A home warranty service can be a great asset to your budget – especially if your appliances are starting to age. Most home warranty services cover all major appliances – none of which are cheap to replace. John and Amy actually had to call on their warranty service twice in June. Each time they call for service, they pay a service call of $60, which covers everything except a replacement appliance. If the appliance has to be replaced, there’s a small cost on top of that. John and Amy paid $88 to replace their air conditioning system. That’s not even five percent of the normal replacement cost.

Home warranty services are better than extended warranties on individual appliances for several reasons. First, extended warranties are designed to end before the appliance typically will die. Second, a home warranty service covers all the appliances in your home, as well as plumbing problems, electrical problems and even telephone wiring.

Is it really worth the cost? Let’s do the math.

  $400 – annual cost of warranty

  $120 – two service calls in June

+$ 88 – A/C replacement

  $608

Compared that to the thousands of dollars they would have been out, it was definitely worth the cost this year, which is only about half over. Are there times when they may not use their warranty service at all during the year? Probably. But even if they paid $400 a year and did not use their service for three years straight, they would have more than made up for the cost of it this year

Think about it this way. The average person pays at least $1,000 each year for homeowners insurance (which does not cover appliance replacement from normal wear and tear) but rarely ever makes a claim the entire time they live in their home. You know your appliances will break every so often and die eventually. Will you be prepared for the expense that comes with it?

Read more on home warranty services here, including pros and cons, reviews on specific warranty programs and more.