How Can I Erase Old Debts?

1.  Order a free copy of your credit report from annualcreditreport.com;

2.  DO NOT PAY FOR A COPY OF YOUR CREDIT REPORT;

3.  Review your credit report and look for contact information for collectors;

4.  Mail a letter (w/ proof of mailing) to each agency asking whether it has a record of the debt and how much you owe, and keep a copy;

5.  If the agency claims to have a debt, state that you want to verify that the debt is valid but do not discuss repayment (to do so would imply that you believe the debt is valid!);

6.  DOCUMENT EVERYTHING BY LOGGING DATES & KEEPING RECEIPTS FROM THE USPO;

7  If you hear back within 90 days and the debt is valid (ie verified), reply (ONLY BY MAIL) saying that you willing to pay 30 cents on the dollar for the original amount owed and not the amount owed after fees and penalties;

8.  Agencies will try and settle for 50 cents on the dollar

9.  REMEMBER THAT IF THE DEBT IS OLD, TEH AGENCY PROBABLY PAID JUST 10 CENTS ON TEH DOLLAR

10.  If you don't hear back within 90 days, and you have documented your correspondence, you can ask the 3 credit agencies (Equifax, Experian, and TransUnion) to remove the black marks from your report, 

Cramer: 20 Stocks for Life

Here is Jim Cramer's list of 20 great stocks with long-term potential:

1. Caterpillar (CAT)

2. Glodman Sachs (GS)

3. ConocoPhillips (COP)

4. XTO Energy (XTO)

5. Transocean (RIG)

6. Hologic (HOLX)

7. Inverness Medical Innovations (IMA)

8. CVS Caremark (CVS)

9. McDonald's (MCD)

10. Freeport-McMoRan (FCX)

11. Hewlett-Packard (HPQ)

12. Corning (GLW)

13. Google (GOOG)

14. International Game Technology (IGT)

15. Pepsi (PEP)

16. Procter & Gamble (PG)

17. New York Stock Exchange (NYX)

18. Union Pacific (UNP)

19. Boeing (BA)

20. Sears Holdings (SHLD)

Click here for a current update on how there stocks are trading. For more stock advice from the Mad Man himself, visit Thestreet.com

Jim Cramer: Six Steps to Smart Budgeting for Life

hen trying to get their finances in order, people commonly ask "How should I go about putting together a solid long-term budget?" According to Jim Cramer, there are six (6) steps to smart budgeting for life:

1. Learn from the past: Put together a comprehensive record of your past income and spending;

2. Judge your past: How much could you have saved?;

3. Create your short-term budget (ie 3 months and 6 months);

4. Create your long-term budget by incorporating your future expenses like buying a house;

5. Hold yourself accountable each month, which is the single most important thing you can do to plan for long-term wealth; and

6. If you fail, take drastic measures. For example, automate your savings or drastically cut expenses.

For more information read Jim Cramer's book "Stay Mad for Life" (Simon & Schuster 2007)

Jim Cramer: How To Stop Yourself From Becoming Poor

According to Jim Cramer, everyone must do the following three things to avoid becoming poor:

1. You absolutely must create a budget for yearly, monthly, and even daily expenses;

2. You must have health insurance; and

3. You cannot carry a balance on your credit card

For more information about Jim Cramer, visit The street.com.

Vacation For Rent By Owner

Thinking of buying a ski condo pr possibly renting one you already own?  If so, you need to consider a few BIG questions according to Christine Karpinski, author of "How to Rent Vacation Properties by Owner" (Kinney Pollack Press).

The first issue is location.  In a ski-condo market that means being on or near the slopes.  Also consider the extras (ie multiple bedrooms, hot tub, fireplace etc...).  According to Karpinski, the traveling public today wants more amenities like flat-screen TVs, hot tubs and big bathrooms.

The final big question is:  Who's going to be in charge of the rental process?  If your looking to do it through a property management service, it might be better to buy where there are managers on site with experience and history.  If you choose to do the renting yourself, you gain anywhere from 30 - 50% of what a property manager may charge.

Click here for more information (including useful links) about how to rent vacation properties from Ms. Karpinski or visit Homeaway.com.

Unexpected Wealth

The prospect of a new, expanded generation of unprepared heirs has spawned an entire industry of financial advisors and estate planners:

- Sudden Money Institute, who counsels those who stumbled abruptly into vast sums of money

- Family Wealth Alliance, which helps ultra-high-net-worth families find the right kinds of staffing;

- Relative Solutions, which helps heirs make sure their relationships don't destroy family-run businesses; and 

- Wealthbridge Partners for families whose net worths exceed $200 million

Rafting on the "Deliverance" River

Interested in whitewater rafting?  Although the Chattooga isn't the first river to have commercial rafting operations (see Green River, CO), it does have the aura of the ultimate rafting trip because of the influence of the movie "Deliverance."

Click here for more information about rafting down the Chattooga River, which starts in North Carolina and runs along the Georgia-South Carolina border.

See also the following New York Times article "Riding the Rapids on "Deliverance" River,"  which provides a background on how the 1972 Academy-award nominated film introduced millions of Americans to this stunning stretch of river.