What's in Your Wallet?

One of the things that I find helpful in preventing me from spending money I don't have comes from the idea that Dave Ramsey presents - spending money out of envelopes. He suggests that you set aside envelopes with cash in them to track how much you spend. Using the "Cash Only" method is a great way to track your spending. I sometimes will carry only $20 in cash on me for the week and try to make it last all week.

 Sometimes carrying cash isn't all that helpful when you have to use a credit card for a purchase. Usually those are online purchases that present great deals on things. I have been using a pre-paid debit/credit card for a year now. I have 10% of my paycheck automatically moved to this card through direct deposit. This is the money that I use for random purchases I really don't need but just want. For example, a new pair of jeans or Starbucks Coffee. Setting a finite amount of money causes you to think differently about the purchases you make and it leaves the bulk of your money safe for bill paying. If you don't use all of the money each pay period then it carries over.

The card I use is The Suze Orman Approved Card - It was easy to set up and well, I've been a Suze Orman fan for years.  I am not endorsed by her but I do like her card for several reasons. 

1. I like how it can notify you of your spending and gives you a running tally of what's left.  You can set it up to text you after each purchase. I did turn mine off after a few weeks because it got a little annoying.  I opted for the emails instead.
2. To be able to set up different funds on the website is great!  Whether it's a vacation fund or a Christmas fund, you can set it up. Maybe this is where your carry over money goes each pay period.  
3. You've heard people mention having an emergency fund.  You can set that up here as well.  My 52 Week Money Challenge will be going into this. 

There are some things to know about The Approved Card.

• Monthly fee is $3.
• If you don't use Direct Deposit you will experience a lot of other fees.

EVERYONE AND THEIR GRANDMOTHERS seem to be on this prepaid debit/credit card idea. There is something lucrative about these cards or else celebrities and banks wouldn't be in on it. With so many choices,   I encourage you to do your research and figure out what would work best for you.  Everyone's needs are just a bit different.

Here is a SHORT list of a few banks/companies that offer them:

BB&T
Paypal
Green Dot
Rush Card
*Western Union
*Target Red Card 
*Blue Bird

Of the cards listed, the only ones that seems to be the better options are Western Union, Target Red Card and Blue Bird. Again, I stress to you - DO YOUR RESEARCH!   What works for one person will not work for everyone.

Educate. Empower. Economize.