While credit cards are a product that has declined in popularity due to the international financial crisis, they are an interesting alternative that may be necessary in many cases. In this article we are a small tour of what must be analyzed to choose the credit card for each person.

At first you have to know what it is used the card. Accordingly, look for different options. For example, if required for personal use, almost any will suffice us. But if you need to make purchases abroad or online, we must be attentive to details.

As basic options, it is recommended always to think of Visa or MasterCard, which have a strong presence in most countries of the world. Made after this election, it should also be thinking why bank eligible. In general, the big banks offer credit lines, and often beneficial or essential to have this same bank in a savings account, which also allowed to use the automatic debit to pay the bill for the card.

An important tip is to consider whether any of the supermarkets that we buy are offered credit cards, because in many cases could be determining the gains that are achieved with these special cards, while use in other sectors.

After considering these variables, we can use tools called comparators cards, which allow us to easily compare the cards offered by banks. Its use is simple and saves time, but then it is advisable to continue further analysis.

It is also important to stay informed about the latest news about credit cards, because banks often make offers point or launch new products with great benefits. For this, we can make use of blogs and newspapers specialized digital-oriented economy and finance.

The extension of credit has been established for many companies and financial institutions in the instrument of penetration and market depth, and hence the source of increased risk of loss and impairment of assets, then the waves of uncertainty when you do not have the personal advice or to mitigate the risks of bad credit.

Credit Risk .- "It is the possibility of loss due to failure of the borrower or counterparty in transactions direct or indirect resulting from the non-payment, partial payment or lack of timeliness in the payment of the agreed obligations." (The important thing is to set the value at risk (VaR)) "

It is important that banks or credit must judge the solvency of their current and future borrowers and efficiently manage your portfolio, taking into account that "to extend credit" can engage in three types of risks: 1) Risk of illiquidity, 2 ) Instrumentation and legal risk, and 3) Risk Solvency. The first refers to the lack of money by the debtor to pay, reflecting the failure of not being able to make payment within the predetermined period or undertaken after the date that was scheduled under the contract. The second caution or lack of knowledge in the conclusion of agreements, contracts, preparation of promissory notes, bills of exchange, or legal instruments that require the debtor to pay (information asymmetry) and the third risk could be incurred for lack of real analysis and identification of the subject of credit that has no assets or collateral for the payment of its obligations. This requires that the following procedure is adopted for research and credit analysis, reflected in a scoring of CEDIT. (Record qualifying clients). This is the basis for developing the model to be developed by financial institutions under the New Capital Accord (Basel II). To identify the probability of credit risks; adapting widely accepted models.

Therefore lending institutions should establish efficient patterns of administration and control of credit risk that are discussed in the business, in resonance with their own risk profile, market segmentation with the characteristics of the markets in which operations and products it offers, so it is necessary that each institution develop its own framework, which ensures the quality of their portfolios and identifying, measuring, control / monitor and mitigate exposure to risk and the expected loss in order to maintain adequate coverage of, or technical heritage.

The methodology for the management and control credit risk phases: identification, measurement, risk control and monitoring are essential to mitigate the risks: (See Administration and control of business risks by Felix Campoverde)

The criterion for the formulation of policies for granting credit to conservative or liberal, should not depend on whims and will of the directors, but in many circumstances and situations: Credit by type of customers and products, profiles of the prospectus credit , endogenous and exogenous factors (market) of the lender, and that granting a credit implies the need to balance the imperative of investing in the customer (business view) and, secondly, increasing the financial needs and costs (economic view). Depending on the situation at all times and circumstances, the institution must establish conditions or other policies for granting credit. For example, interannual periods, depending on the seasonality of the product or depending on the economic situation. (If you recall the issue presented in administration and control of business risk analysis of credit remains quantitative and qualitative).

The symptoms and signs of the behavior of the credit portfolio is essential for the classification of current and future clients, this methodology and analytical techniques based on historic performance of credit operations and quotas, to determine the expected loss on Based on the probability of default, the level of exposure and severity of loss for calculation of these components must have a database of at least three years immediately preceding, containing sufficient information to calculate expected losses .

To calculate the expected loss should be considered such factors as: 1) Probability of default (Pi), 2) exposure level of risk (E), 3) recovery rate (r), and 4) severity of loss (1 -r).

Its formulation is: PE = E * Pi * (1 - r)

Understood:



Probability of default (Pi), is the possibility of occurrence of partial or total failure of a payment obligation or the breaking of a contract claim, a contractually specified period;

Exposure level of credit risk (E) .- It is the present value at the time of the breach in flows which are expected to receive from the credit operations;

Recovery rate (r) .- The percentage of recovery carried out on loan have been breached;

Severity of loss (1 - r) .- It is the measure of loss that the lender would suffer after making all efforts to recover funds that have been missed, at this time are executed or guarantees must be received as dation in payment. It is worth noting that the severity of the loss is equal to (1 - recovery rate);

Expected loss (PE) .- It is the expected value of loss from credit risk in a given time horizon, resulting from the probability of default, the exposure level at

default and severity of loss.

To mitigate credit risk is often borne in mind that through information obtained from the client and the business relationship is a series of alarms that should be investigated and tested successfully:

* Arrears in payment of bills.

* runaway expansion in a short time. - (You must check their financial capacity).

* orders over consumption.

* Request repeated renewals .- (Evaluate each petition demanding guarantees to them.)

* Non-payment of taxes and social security contributions.

* expenses disproportionate to the activity .-

* decline in the local budget.

* Other ...

Emerge from these specific provisions, the individual analysis of each subject, estimates of credit losses, which are formed on one segment of the portfolio, under the current regulations of each country. (Control Agency). "You can not measure what you do not know" why should be identified to measure the probability of default.

The executive of Credit as part of its operational process should always be considered:

* Each credit application is an opportunity.

* Do not prejudge, but listen with interest

* Give credit to the softness and humility (not to give it as a favor)

* Rules can enrich knowledge

* Ensure that the client knows the contractual deadlines.

* Be fair and consistent in terms of discounts and surcharges

* Do not allow the customer to bring the negotiating

* Ensure that the figures are correct

* Do not pretend to have knowledge that does not really have (ask, investigate and guide)

* Look at the tree (advantages and disadvantages of credit)

* Thinking that is not only good but easy recovery.

* Do not commit prematurely to the Customer

* Do not give hope when there are none.

* Do not attribute the rejection of credit to other people

* Never assume an attitude of flight to the customer.

* Accept responsibility and make decisions quickly

* Simplify customer operations

* Check frequently the policies and procedures as Collections and Credit laws.

Remember that the success of this loan in full recovery of investment, and for this we must mitigate the risks in the process of granting and recovery.

"A GOOD CREDIT GRANTED A CLIENT well served"

Usually the people is not given the education necessary to acquire a debt, therefore, often with poor learning experiences arising from a wrong use of them. Lack of control can lead a person to mortgage their future finances and sometimes, indefinitely.

Debt, particularly through credit cards, give a feeling of power that is greater than in reality, therefore, if it is not clear this point you can enter a spiral of debt that can easily impair a person's monthly budget.

Complementing the above, the use of debt may be in some cases, the result of mismanagement of personal finances, who can not achieve their goals with their income trying to do it through debt. The problem is that if the person does not know to manage their income, will find difficult to manage their debts.

The debt obligations (mostly monthly) which reduce the income of people forced to set aside money from its budget to honor commitments with financial institutions.

The wrong use, indiscriminate and uncontrolled of debts can lead to physical and emotional collapse of persons and their families. So always be emphasized that a person must at all times control of their debts and not the reverse. Once, talking with a psychiatrist told me that most of his private practice was for patients with financial problems (caused by debt) and problems related to sex. That is, it can be inferred that the debt and enrich the sex therapists.

A negative and erroneous use of the debts, the debtor can bring your personal and financial information to enter risk rating systems, which almost immediately, it will hamper access to credit with other banks. As can be converted to an unwanted person for financial institutions.

Remember

A person should always have control of their debts and not the reverse.

"Gearing" which means that a person, a partner or a company can buy goods and services through debt which has not been able to acquire their regular income.

Better use of personal finances and / or business, which can be seen, among other things, when real interest rates are negative. Ie, inflation exceeds interest rates offered by banks on savings instruments, therefore, it is better for people to buy goods and services through debt and then save it where you buy the full effect.

Support for emergencies, although not ideal, a credit card can help to overcome an emergency, whether that of medical or other reasons. Even to pay for important things like education of the debtor or another family member.

Using credit cards for travel: All travelers know that when renting a car, take a cruise in the Caribbean or a hotel to pay (among other things), always required a credit card customer, so therefore, they are of the utmost importance when traveling.

Debts are not revalued In countries with recurrent high inflation, as is the typical case of Venezuela, debt has an additional advantage is that debts are not revalued but remain constant. Example: You buy a car in Venezuela and within a year this car will be worth more than you paid to buy it. You buy an apartment in Venezuela and one years in that apartment would be worth more than you paid to buy it. Wages and salaries, but do not increase in the size you want, usually have an adjustment year, although decreed by the central government. But a debt remains constant over time, ie, if you borrowed U.S. $ 10,000, this sum will not grow over time. Therefore, taking into account that there is a principle of finance which states that "it is better today than $ 1 $ 1 tomorrow," intuitively, we can imagine that as time passes, it becomes easier or less heavy for the fact the debtor to pay a specified debt.

Create a positive endorsement from financial institutions. The way you pay your credit cards is a wonderful endorsement for the banks when you want to borrow larger amounts, such as car loans or mortgages.

The debts are the buyer to share the purchase with a creditor does not agree with more gain in profitability of the property purchased. Example: suppose you want to buy an apartment for rent, if you do, then you're buying the property with money from two entities, you and the company or financial institution that gives credit. But all gains and rental income will join his pocket as a whole.

I will give some tips so you can better deal with credit cards.

Do not abuse their use. Credit cards give a false sense of ability to pay, which means that often fall into the temptation to purchase or consume products or services unnecessary.

If you are buying expensive goods, such as a TV, furniture or electronic equipment of great value, preferably using the extra funds or any type of credit fixed.

Try to use credit cards for low value purchases.

Try to make the payment of the credit card as soon as possible just bill your credit card, and will generate less interest. To do this you know the exact date of your billing card, and use tools such as home banking (online banking), automated teller machines (ATM) or call to get the amount to pay and file it as soon as possible.

Likewise with the purchases. Suppose you are buying something expensive and need to do significantly with the credit card, do so in the days of billing, for example, if your invoice on 6, make your purchase on the day between 7 and 9 or so. With that, consumer will benefit because this will be reflected from the next billing, which has yet to spend a long time and then have the regulatory months 30 days to make the minimum payment on your card where the consumer will reflected. Remember that every time you make a consumer credit card minimum payment INCREASE it. With this technique you delayed this increase by almost 30 days.

Finally and most importantly, ATTEMPT TO PAY A MINIMUM PAYMENT AMOUNT TO THE MAYOR. If you can not, however much effort you make, pay an amount greater than the minimum payment required by the bank, then believe me, start to worry about their financial situation!.

Credit is a Catch-22: You have to have it to get more. Today, even consumers with limited credit histories find that getting approved for higher credit limits is difficult because skittish lenders would prefer to deal with people who are surer bets.

But what if you're new to the credit game and are looking for a lender to make that first leap of faith?

This question was posed to a few credit experts.

Gail Cunningham, a spokeswoman with the National Foundation for Credit Counseling, said young people face a growing problem establishing credit because of limited credit and work histories and, in some cases, not having a fixed address for very long.

Kayce T. Ataiyero Kayce T. Ataiyero Bio | E-mail | Recent columns

"What [credit] issuers like is stability. They like you to work where you work and live where you live and of course these college kids don't have that," Cunningham said. "Anyone trying to get credit [for the first time] right now is going to have a much tougher time than even a year ago."

Still, there are some routes to establishing credit. One option is applying for a store credit card.

Store cards, the charge accounts offered by retailers, are typically easier to get than bank cards. So experts say it might be worth it in the long run to use a store card to help build your credit. The downside is that store cards aren't the darlings of the credit world because of low credit limits and interest rates around 20 percent. With rates that high, you'd have to be careful in using the card and making payments.

"If you have a store card with a 19 percent rate, you need to discipline yourself to only spend what you can pay off each month," Cunningham said. "Then it doesn't matter what the rates are."

Another option is "piggybacking" on someone else's credit. Piggybacking is when a person with a limited credit history becomes an authorized user on the account of someone with more established credit, such as a parent or spouse. Your credit profile benefits from the spending habits of the primary account holder, giving you the boost you need in building your own credit. This can be a tricky option for the person whose credit is being piggybacked, however, because they are on the hook for your spending. If you slack off in making payments you could damage a key personal relationship.

A third option: a secured credit card. Secured cards are backed with your own money, so depositing $500 into your card account gives you an equal amount as a credit line. Making purchases on the card and paying the bill each month helps establish credit history because the data is reported to the credit bureaus in the same manner as unsecured cards. When inquiring about a secured card, be sure to ask the lender if they report to all three credit bureaus.

Whatever route you choose, it's important to manage wisely the credit you're granted, said David Jones, president of the Association of Independent Consumer Credit Counseling Agencies. That means paying all bills on time, including rent, utilities and other accounts that may be reporting to credit agencies. It also means paying more than the minimum, so don't charge more than you can afford to pay off reasonably each month. And don't try to acquire too many accounts at once because multiple credit inquiries look bad to lenders.

"The surest way to build credit is by honoring your commitments and making your payments on time," Jones said.

John Ulzheimer, president of consumer education for Credit.com, agreed, adding that young people can build credit in as little as six months if they do the work. Typically, you have to have three credit accounts open for at least six months to generate a credit score.

Courtesy: Chicago Tribune - ‎Jul 16, 2009 by Kayce T. Ataiyero

Of all the numbers attached to you -- Social Security, cellphone, your lucky one -- few are as important as your credit score. A credit score is a numeric summary of your credit history, ranging from 300 to 850, and it gives lenders an idea of whether or not you're a good credit risk.

If your score is 750 or above, the world is your oyster, purchased with a platinum card.

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But try to get a loan with a score below 600, and the banks will be tighter with their money than your uncle's pants after Thanksgiving dinner.

And even if you do get the loan, it will not be at the best interest rates.

Five things make up a credit score: Payment history (35%), debt level (30%), length of credit history (15%), diversity of credit accounts (10%) and number of new attempts at getting credit (10%). The key to achieving and maintaining a good credit score is balancing all five.

John Ulzheimer, president of consumer education for Credit.com, and Gail Cunningham, vice president for public relations at the National Foundation for Credit Counseling, can help you master the credit juggling act. They say:

Pay on time. Late payments are at the top of a slippery slope that leads to collections, judgments and repossessions -- the credit assassins.

Keep debt low. Just 10% of your credit limit is preferable. If that's not doable, shoot for 50% or less. This is especially important if your credit limits have been cut by card issuers, which can make your account look maxed out.

Be prudent. Don't take the bait for every card offer you get in the mail or for the discount dangled in front of you at a department store. The more attempts you make to get credit, the lower your score.

Keep tabs on your credit. A free report is available at annualcreditreport.com. Check for errors or omissions. Report any mistakes immediately. You can buy access to your score at various places, including .

Don't be hasty. Part of your credit history is showing how long you've been able to manage your credit responsibly, and closing an account shortens that.

Mix it up. Having a car loan, mortgage and credit cards show you can manage several types of credit at once.
Courtesy: Los Angeles Times, By Kayce T. Ataiyero, July 19, 2009

As consumers, we have many options for credit counseling, whether online or face to face with a credit counselor. The advantages of credit counseling at any stage of our financial lives is a benefit that we can not afford to lose.

1. What is Credit Counseling
2. Tips for budgeting
3. Making Financial Plans
4. Goal Setting Financial
5. Continue progressing financially
6. Attention to detail
7. Credit Management
8. Leave Your Mark
9. Work Toward Financial Freedom

1. What is Credit Counseling
Saving money is the goal of credit counseling. Credit counselors suggest practical solutions that everyone can follow. These include multiple ways to save money by starting and living on a budget and improving credit, consolidating debt management and setting financial plans and goals. A credit counselor can help consumers through a credit counseling service. Advice on credit is available to assist all who ask. Consolidated credit counseling is also available for those who have multiple loans or financial obligations. The repayment term consolidated credit solutions might be longer, but the monthly payments are generally lower than that associated with their original debt. Use caution if you want to choose your home as collateral for a loan and consolidate through a second mortgage. If you do not make your payments, you could lose your home. A credit counselor will give you practical solutions to their needs for payment of a debt. The consumer credit counseling is not very difficult to find. A credit counseling can help address the housing authorities, credit unions, universities, and military bases. Some may charge a fee for advice when you need a loan. If you are working with a program to help pay their debts, creditors can work with you on the decrease in monthly payments. Other sites can help you find a credit counseling on the Internet, through local offices of debt relief, by telephone, through your financial institution or consumer protection agency, and even through friends and family. Often, the best advice comes from someone who has recovered from a debt.

2. Tips for budgeting
When preparing a budget should consider all of their household income. This includes sources like tax increases, and bonuses. Then they should consider their expenses. A credit counselor may be the best source of help is that their costs fairly. Attending credit counseling sessions can be a valuable resource for all families and businesses. Must take into account your monthly bills such as mortgage payments, rent, telephone bills, including special expenses like movie tickets, salon expenses, and restaurants. Average number of times they go out to eat. This part of the budget can be very revealing, and many people find ways to reduce spending and start saving immediately. A list will help you weigh the differences between what they spend and what they are doing with the revenues. The budget is determined during a period of time determined by you. Advice on credit that can help you make a short term budget for a trial period or a long-term lifestyle change permanent. A credit counselor will guide you to deposit more in a savings account. Good credit counseling will require this practice, and some consumer credit can not have more than 10% of their income. The focus should be on creating the habit of saving, so some credit counselors suggest that you keep what you feel comfortable to begin. You can always increase or decrease the amount through time. If you are really serious about long-term plans, life-changing budget, then the service consumer credit counseling can help you with a detailed budget that do not put financial stress on you and your family.

3. Making Financial Plans
The first step in making financial plans should be to contact a credit counselor. He or she is an expert in credit that can recommend and provide the best and most professional advice. Your plan will include tips on managing your payments, as well as educate them on ways to save money. Your credit counselor to assess your current financial situation by examining your income and expenses. You must be honest and include all costs, even those that are not monthly, such as a vacation planned for the front more. Your credit counselor will use your list of financial resources and obligations to help you develop a strategy against creditors for payment. In some cases, can advise you see a file bankruptcy. In most cases, however, credit counselors try to avoid bankruptcy and will be an education for you and learn principles of money management. They can also help correct your credit report in a less dramatic presentation of the bankruptcy. A credit counselor may have you consider consolidated credit options as part of its financial strategy. The service consumer credit counseling can help you find the best plan for the consolidation of its budget based on your income and expenses. After a strategy is in place, your credit counselor will set financial targets that are affordable and realistic. The credit counselor has some financial goals and financial plans. The plans help you pay your creditors, while the goals help you live within your means and keep a well managed budget that you can live. This will help you develop lifelong learning practices that will be converted into good financial habits.

4. Goal Setting Financial
The financial goals requires a careful process with a credit counselor. Your credit counselor may suggest that budget planning can help in achieving their goals. The financial success will be the result of targeting, which should not be too high beyond what you can achieve, they have to be realistic. This is the reason why the consumer credit counseling is so important. From a goal is sometimes necessary when financial issues are needed to evaluate and repair. Some companies, such as "Take Charge America Online articles scenarios that may be similar to yours. Reading people's opinions can help encourage you when you set your financial goals. You will have good news every month if you follow their plans and achieve their goals. Track your progress periodically. The time it takes to become debt free are the emotional benefits of each succeeding month. To continue the monitoring and evaluation of credit with their advisor and review your goals when necessary. The life changes required to adjust the budget in their credit counseling sessions. Your credit counselor will be able to help you see that your savings are to derive maximum benefit. You can even choose to continue visiting your credit counselor who recommends a service on a regular basis by a number of years to ensure that the progress you have made will remain a permanent asset to your financial life and your financial freedom.

5. Continue progressing financially
Progress means you will maximize your savings while you minimize your debt with the help of your credit counselor. The credit counseling you receive will assist you in the long-term success, and work step by step progressive. It is easier to make changes to the principle that will become a positive part of your financial life later. Credit counseling is a tool and an asset. Continue building its slightly practical solutions for the financial progress. Your credit counselor will give you tips and guidelines, but you can also take advantage of their reunion to get real solutions. An important aspect of financial progress is to keep up and ahead even in the midst of life changes. If a baby comes, there is a union or a divorce or buying a new home, these changes will become part of your credit profile which advises aid. If you need advice on the consolidated loan assistance or simple strategies for budgeting, advice on consumer credit is always a source of the positive force that helps you when you need it. If you are behind in their progress. Even if you feel it takes a long time to recover, in fact that time is to their financial life. Find solutions to your credit counselor. The management of debt and remain financially strong sometimes requires help. Help is always a direct advice of consumer credit. The money savings is your ultimate goal, and train a credit counselor to help specifically on that. The process begins with the progress of credit counseling, and tools needed for success are in your hands.

6. Attention to detail
They include small details such as fees or shipping fees. Consider that you pay just send a payment. A credit counselor can help you create online payment options if you are not familiar with this. You will have the option of having your payments automatically deducted from your checking or savings account or you can make a one-time payments every month. You must weigh the options yourself and decide what is best for their lives. By sending payments through the postal service, will not only pay for postage, but also the risk that your payments arrive late. This in turn causes a fee to be added to your next bill. Your credit counselor can help you make these decisions, and weighed all the options. Balancing their accounts every month is crucial. There may be a method to balance exactly the penny or rounding to the nearest dollar. It is important that you inform your credit counselor about the method you use. Small changes can make a difference. When you go for credit counseling help, your credit counselor may suggest you balance the penny, if you have had difficulty controlling spending, even in small quantities. In general, the information must be presented when you bring your financial information in a session on the help of credit counseling. Some of the details can be found on websites, such as a clear solution of the debt. Examples of details of the debt amount and the time you have to pay their debts through various means.

7. Credit Management
Credit counseling may be helpful for the implementation of the credit. This class includes consumer credit repair or improve their level of credit account, use of credit cards, and knowing how much is going to pay when you get your statement. Repair your credit score requires strategies that a service consumer credit counseling can help you with that. There are several methods you can employ. One method may involve consolidated advice on credit. If a credit counselor advises you to consolidate your debts, then you're sure to find the best possible resources for you. Proper use of credit cards may also require help from credit counseling. Some people are frustrated with your credit history and make the decision not to use credit cards at all. The fact is that credit is necessary, because no credit is equal to bad credit. Using three to five different credit cards from major companies such as Visa or MasterCard, you will be able to rebuild your credit faster and more efficiently. Keep balances low and watch your spending. A credit counselor is a good source of support when you need to keep costs to a minimum. Take a credit card to help. Proper use is part of the credit counseling. Some people also believe that paying a credit card balance in full will be to their benefit. The opposite is true. Keep a small current balance on their cards. This is a way of demonstrating that you can handle credit well, and help you increase your credit score stars. The charge on the balance of interests will have the value of the bonus points you receive on your credit report.

8. Leave Your Mark
The hard work you do to be financially free, you must remember, your credit counselor, and your credit report. Do not take advice from an expert on credit is a tough job, and should always be rewarded for their efforts. Some awards will be imposed in a natural way, like the powerful feeling that will undermine their debts one by one. Time heals a credit report and stigma that can come along with debt. Credit counseling is so important, as is his checkbook. A good credit counselor will be patient, you have class, and understand your financial situation. You should feel comfortable in his presence and look forward to your consumer credit advice meetings. It's a feeling of freedom that you know that you will be debt free and that you achieved this by being educated by the best advice of credit counselors can offer. Afírmese and leave your mark on the desktop allowing credit counselor that he or she used as an example for others. You can indirectly help hundreds d person, simply by its success in the financial world. You will definitely leave its mark on your credit report once it is repaired and the progress is complete. Even if bankruptcy or poor credit accounts have been for years, you should know that nothing is forever and everything can be improved. The consumer credit counseling may be your best resource for such repairs. Credit counseling is not something to fear, but rather is a very good thing.

9. Work Toward Financial Freedom
Financial freedom can be a dream or a reality in various moments of his life. Credit counseling may still be a good resource. The key is to stay financially free. This can happen with a variety of methods. The investment is one where they can grow their savings in the long term or short term depending on the investment. There are risks involved that you should discuss with your credit counselor. A credit counselor can give you options to invest or can lead to additional resources once you are ready. Companies like "MetLife" offer educational resources on the Web that you can see while taking a decision. Insurance companies offer unique forms of investment such as annuities. His advice service on consumer loans may have more resources at hand in print or online. Pay is to work towards financial freedom. This ensures you have money for their needs and their children. The money for their children may be placed into a savings account or a checking account checks. This is a simple way to start saving. Another way to make the money work for you is to use the principle of reciprocity. When you give money, which can come back to you. This can be in the form of a tax write-off or otherwise, but this principle is used by people who are economically free and can be budgeted in your profile on credit counseling. Whatever method you choose, the use of educational resources that the consumer credit has to offer further advice can help you achieve financial freedom you deserve.