Saving Money While on Cruise Vacations

As spring and summer come around, many people start planning and taking their vacations.  One of the most popular vacations is a cruise.  A cruise is great in many ways: you have unlimited food, around the clock entertainment and activities, there are great activities for everyone to enjoy, and you can see multiple, interesting ports of call.  It's also a great way to take a vacation if you are a family or in a large group since you're all together in one place (there's only so many places you can go on the ship) and it's easy to find something everyone will like to do and eat.

However, just because you're on vacation doesn't mean you should just take a vacation from your sense of financial responsibility. Most all cruise lines give you a passenger card, which lets you back on the ship from a port of call, but also essentially is like your credit card while on board. All too often, passengers just give their passenger card to buy a drink at every event on the ship, thinking "It's easy, just give them this card and I'll get a drink" or "Hey, I'm on vacation, I deserve it!" Yes, you do deserve some of it, but just realize that you have to pay $10 for that mixed drink you had during the ship orientation when you get your final bill the morning you leave.

Another area on the ship and at ports of call that you may be tempted to spend a lot is shopping. Although many of the shops on board will tempt you with "Great Deals," most of these deals are no better than deals you might get during a good sale at your local department store.  Try to limit your purchases to rare and unique items that are low to moderately priced.

The best advice is try to limit your purchases with the passenger card, and ALWAYS, ALWAYS keep track of how much you have spent with the card. Keep all receipts you get, so that way when you get your final bill on your morning of disembarkation, if there are any discrepancies, you can show all your receipts to the front desk as proof of what you spent. Although it's rare for the billing to be off (unless your passenger card was stolen), mistakes do happen, and it's your responsibility to make sure everything is accurate. 

Finally, do enjoy your cruise and your vacation. Cruises can give everyone in your group a great time, and when you get back home, you can feel good that you had a great time without blowing your budget. Have fun!

Saving Money on Books

As the weather gets warmer, many of us head out to the beach, the park or other outdoor area carrying our favorite book. However, all too often, I see people walking out of the neighborhood bookstore carrying overpriced books that they could have bought much cheaper by doing some easy comparison shopping.
The internet makes comparison shopping a breeze in today's world (when before you had to drive store to store or call around every store in your area asking for prices).

Most books bought at regular bookstores are overpriced and it's unlikely you'll read the book more than once or maybe twice, so always try to see if you can get the book used. You can then turn around and try to sell the used book again, or if you can't sell it, at least you won't feel so bad about spending $20 or sometimes even $30. Also, books depreciate in value very fast; just look at the last new book you bought a few months ago, and see how much it's worth on Craig's List. Some books may be used multiple times, such as cookbooks or reference books, but with the internet almost everywhere, usually it's just easier (and faster)to get online and look these things up.

Also, one of the best sources of books that is also often the most overlooked is the local library, where the books are free to read (even if you are just visiting an area for a while, many libraries will let you rent books for free or for a very small fee). The only caveat with renting books from the library is that sometimes you have to wait a while for new releases or popular books, but if you don't mind waiting, this is your best bet.

Although e-books are becoming more and more popular, once you read the book, you can't return it or turn around and sell it, like traditional books. Sometimes e-books are cheaper than traditional books, but many publishers have not discounted the books (since there's no cost for printing the paper version) as much as expected. If it's a e-book you really want to have because it's "cool," just remember the extra price you're paying for that "cool" factor.

If you need a new book, use the internet to comparison shop. A very good tool is the Google Shopping website (http://www.google.com/products), which compares online stores, but also looks at nearby stores in your area (if you need the book sooner). Google shopping also tells you which bookstores have the books in stock, but it's always best to call the store yourself to double check before you head out there. Many times books ordered online are much, much less expensive than books bought in the store and many times even come with free shipping or the cost of the book plus shipping can often be cheaper than the in-store price (which is usually always the list price, whereas online stores often give a discount from the list price). The only exception to buying new books in the store is at a warehouse store, like Costco, where books are discounted from the list price and you can return in the book later than the 2 weeks that other traditional book stores give you (just make sure you keep the book in very good condition).

Happy Reading!

5 Easy Tips to Save Money

Here are 5 simple tips to save money next time you head to the store:

1. Buy discounted gift cards online. If you know you have to buy something from Target or Best Buy, visit a site, such as plasticjungle.com, and buy a gift card for less than the face value (for example, a $30 Best Buy card sells for only $28.20). Only caveat is you have to buy the gift cards ahead of time (so you need to plan your purchases).

2. Use your cash back card (but pay off the full balance each time). Using your cash back card can help you save on things you buy, but only if you pay off the balance in full each billing cycle. Otherwise, you are just wasting more money by paying the extremely high interest rates the credit card companies charge. By paying off the full balance, you pay zero interest and improve your credit score in the process.

3. If you shop somewhere frequently, it might make sense to sign up for the store credit card. An example is the Target credit card, which saves you 5% off everything. Since many people by a wide variety of groceries, home goods, etc at Target (or a similar store), it makes sense to get a credit card from here since you can get 5% off (again, it only makes sense to do this if you pay off the balance in full each month). However, make sure you only sign up for a card you shop frequently already before you have the store credit card (not one you convince yourself that you will shop there more now that you have a credit card for that store).

4. Use online coupons. Most all stores accept online coupons now (unlike before when there was a lot of fraud), so visit sites like Coupon.com or Coupon Mom to print out free coupons to save you on a wide variety of things. It's basically giving you a free discount.

5. Use the ship to store option. If you live near a store or will be driving near a store where you bought something online (e.g.  from WalMart.com or BestBuy.com), just choose the ship to store option and you save on any shipping costs. If you'll be passing by that store on your way home from work or from the grocery store, just stop by there and pick it up, and you pay nothing for shipping. Added bonus: many credit cards give you more cash back or extra airline miles for buying things from certain stores, but only if you buy online. So just buy the item you need online, and have it shipped to the store, then you save on shipping (shipping to store is usually always free), and get the bonus airline miles, points or extra cash back for free.

Maximizing Reward Points at the Grocery Store

How can you use your grocery store's reward points to maximize their benefits? Just by shopping smart.
First, sign up for the reward programs at any stores you go to, it's free and they just need your name, address and phone number (they usually have privacy notices so you won't get bombarded with other junk mail).

Next, make sure to shop at one store regularly. For example, in southern California, Ralph's grocery store offers 10 cents off per gallon for every 100 points you get from shopping there (and $1 = 1 Ralph's point). If you're already going to be spending money from grocery shopping, doesn't it make sense to try and get as much of it back as possible? Also, if the prices are comparable, buy things there to get the extra points vs. getting them at another store where you get no points, no cash back.

Also, like I mentioned in the previous blog, if you're paying with a credit card, use a credit card that pays you more cash back (or more airline miles, hotel points, etc) for use at a grocery store. As a caveat, make sure to check the prices at a grocery store for the items you regularly buy. If the prices are going up, then the points might not be worth it, and you should take your business elsewhere. The grocery business is very competitive and stores are fighting for your business, so it makes sense to use it to your advantage as a customer and take advantage of these free points programs next time you head to the grocery store for your weekly shopping trip.

Smart Finances with a Credit Card - Part 1 (Getting Cash Back)

How can you use your credit card to maximize savings on everyday purchases? If you have multiple cards, use them to maximize benefits. For example, Discover, American Express, Chase all rotate categories when you can get up to 5% back on purchases. January to March, Discover offers 5% back on travel purchases (airline tickets, hotels, cruises, car rentals) and purchases at restaurants, so rather than just reaching for any credit card, reach for the one that gives you 5% off this month. For March, they offer 5% back on Grocery store purchases.
Of course, there's one catch. You can only get up to a certain amount back, but you at least get some money back for your purchases that you would ordinarily make. Although a 1% cash back is standard for many credit cards, next time you're about to pay at the grocery store or pay for that cruise, see which credit card will give you the maximum benefit, and use that one rather than just getting the first card you see.

However, these type of rewards only make sense if you can pay off your balance each month. If you only pay off the minimum amount on your credit card statement, you get killed with the interest rate. That's how these credit card companies make a lot of their money. So, before you start trying to get cash back, pay down any outstanding balances, not only to improve your credit score, but also to make sure you're not a victim of those ridiculously high interest rates.