Top 7 Tips for the Smart Shopper(Part 2)

4-Resist the new vehicle lure.

With the exception of hearth and home, the motor vehicle constitutes the average American's single most important fixation. Far more than transportation, it is for many the embodiment of beauty, pride, status, and individuality. There’s no product more forcefully promoted or representing such a substantial portion of disposable income than one's vehicle, and the potential for financial dilemma is real.

5-Never pay credit card interest.

A credit card has a single purpose—a convenience when neither check nor cash is handy. Most importantly, when the monthly statement arrives, pay the full cash balance before the date that interest is charged. Follow this rule and you’ll stay out of trouble. If for any reason you cannot regulate your credit card use in this manner, destroy your cards, swear off cold turkey, and fashion your life accordingly.

6-Avoid inappropriate life insurance.

The purpose of life insurance, as its title suggests, is to deliver a predesignated sum of money to a named beneficiary in the event of an insured’s death. Take note that there’s nothing about it to suggest it’s either a savings instrument or an investment program. So, if you or your family need a death benefit, purchase that and nothing else.

7-Reject unsolicited sales pitches.

If the 21st century will be remembered for anything, it will be the perfection of technology to deliver low-cost advertising. With the proliferation of e-mail spam, together with rock-bottom telephone costs that facilitate high-pressure phone bank operations as well as prerecorded phone pitches and junk fax, the public will continue to be deluged with hype. In general, nothing of good comes from unsolicited offers.