How much will you spend on Christmas?

NFCC POLL REVEALS FORTY PERCENT OF AMERICANS WILL SPEND ZERO ON HOLIDAY PURCHASES

Washington, DC – The November poll hosted on the National Foundation for Credit Counseling (NFCC) website, www.DebtAdvice.org, revealed that 40 percent of respondents do not intend to spend any money on holiday purchases, as they anticipate experiencing further financial distress in the future.

The poll sends a strong signal that in spite of the increase in sales during Black Friday and Cyber Monday, a significant number of people lack enough confidence in their financial future to begin spending, even on traditional holiday expenses.

“Historically, consumers have put aside their financial concerns during the holidays, even if to their detriment, and spent at some level,” said Gail Cunningham, spokesperson for the NFCC. “These figures provide a snapshot of the desperate situation in which consumers find themselves, and how seriously they are taking their situation.”

Of note is the statistically significant increase reflected in the year-over-year trend. The NFCC posed the identical set of poll questions in the same month one year ago. Between November 2010 and November 2011, there was a six percentage point increase in the number of consumers who indicated they will spend zero dollars during the holiday season, evidence of the depth of the financial despair in the country.

Also disturbing is that slightly more than half of all poll respondents indicated they would cut back on holiday spending, as their financial situation is worse this year than last. Combining those who will cut back on spending with those who will not spend at all, a full 91 percent of consumers are clearly concerned enough about their financial circumstances that they will remain on the spending sidelines this holiday season.

Looking at the two categories with the lowest responses, seven percent revealed that they will spend as they did in 2010, and a modest three percent will spend more than they did last year.

“Consumers are doing themselves a disservice if they do not reach out to a legitimate credit counseling agency for help surviving these difficult economic times, as there may be solutions available that have not been considered,” continued Cunningham.

For professional assistance regarding your financial questions, consider an appointment with a certified consumer credit counselor at an NFCC Member Agency. To be automatically connected to the Agency closest to you, dial (800) 388-2227, or to locate a counselor online go to www.DebtAdvice.org. For assistance in Spanish, dial (800) 682-9832.

The November poll question and results are as follows:

This holiday season I will…

A. Spend as I did last year because my financial life is stable = 7% (2010 = 7%)

B. Cut back on spending, since I am worse off financially this year = 51% (2010 = 57%)

C. Spend more than last year because I am in a better financial position = 3% (2010 = 2%)

D. Not spend at all, because I anticipate further financial distress = 40% (2010 = 34%)

FIVE THINGS TO DO BEFORE LEAVING HOME ON BLACK FRIDAY

Washington, DC – For many, shopping on Black Friday has become as much of a Thanksgiving tradition as turkey, with friends and families whipping up a shopping strategy along with the dressing and gravy.

The National Foundation for Credit Counseling advises consumers to shop smart by planning ahead. Following are five steps consumers should take before hitting the stores on Black Friday, helping them enjoy their shopping excursion without harming their pocketbook.

· Beware of special credit card offers – Issuers are tempting consumers by offering incentives such as no interest balance transfers, extra perks by meeting certain spending levels, and increased cash back in specified categories. However, no deal is a good deal if you can’t afford it. Responsible shoppers will commit to spending no more than what they can repay in full when the bill arrives, regardless of how many bonuses are tacked on.

· Know what you currently owe – Review all existing debt obligations, tallying what you’ve already spent and committed to repay. This reality check may put a temporary damper on your holiday mood, but that’s better than digging the financial hole even deeper.

· Create a plan – Knowing who you’re shopping for, what items you hope to find, and most importantly, how much you intend to spend is critical to a successful shopping day. Commit in advance to stick to your plan, and enlist an accountability partner if necessary, as it is very easy to be caught up in the excitement of the moment and get off course.

· Find the best deals at home – Shop from home before heading for the stores. Compare prices online, as well as local circulars for sales in your area. Be aware of time restrictions, as some prices may only apply during certain time periods throughout the day. Once the actual shopping begins, going directly to the store which has your item at a good price will save you time, gas, money and frustration.

· Remove all unnecessary cards from your wallet – Spreading purchases across multiple cards makes you feel as though you’re charging less and can trick you into overspending. Designate one card for holiday spending, and remove all others from your wallet. This will not only help you stay within your budget, but will also lessen the damage in case of loss or theft.

“It is important for consumers to shop with their head, not their heart,” said Gail Cunningham, spokesperson for the NFCC. “Preparing in advance will help you stick to your budget, in spite of the decorations, carols and Santa himself beckoning you to spend.”

The Great American Smokeout on November 17th

ARE YOU ADDICTED TO YOUR BAD FINANCIAL HABITS?

Washington, DC - The Great American Smokeout on November 17^th is a day dedicated to helping consumers overcome their addiction to the smoking habit. The nationwide event encourages people to put down their cigarettes in favor of a healthier lifestyle.

The National Foundation for Credit Counseling (NFCC) also supports a healthy lifestyle, one which includes financial health. “In addition to the known health risks associated with smoking, it is also damaging to your pocketbook,” said Gail Cunningham, spokesperson for the NFCC. “A pack-a-day- habit can easily cost $150 per month, often taking money from priority expenses such as housing, groceries or gasoline.”

Smoking certainly isn’t the only habit that can be costly to your financial well-being, nor is it the only one that can become addictive. In this economic environment where consumers often struggle to make ends meet, they may resort to desperate measures when in need of money. Since quick fixes are often habit-forming, the NFCC recommends evaluating the following behaviors, giving consideration to kicking your own financial addictions.

Payday Loans - On the surface, getting the cash you need may seem worth it at any cost. But it’s that cost and the addictive nature of seemingly easy money that can become financially back-breaking. To obtain a payday loan, you write a post-dated check for the amount of the loan plus any fees the lender tacks on. You then receive the amount of money you initially needed to borrow, promising to pay back that amount plus the fees. The term of the typical payday loan is one to two weeks, at which point the lender cashes your post-dated check. Most payday lenders will charge a certain dollar amount per $100 borrowed. For example, they may charge $15 for every $100 they loan you. Thus, if you needed $300 until your next paycheck arrived, your post-dated check would be for $345. What’s $45 when you desperately need $300? Here’s the catch…that $45 represents an Annual Percentage Rate of 390 percent. You wouldn’t dream of taking out any other type of loan with triple-digit interest. And, if this isn’t bad enough, many consumers cannot repay the loan at term, and end up rolling it over, thus adding on more fees and interest.

Pawn Shops – People can do several things at pawn shops. They can borrow money by putting up something of value as collateral in exchange for cash, they can sell their merchandise outright, or they can buy the merchandise that is for sale at the shop. There are bargains at pawn shops, but only for those buying the merchandise, not for the sellers. Typically, the person pawning the merchandise receives a sum of money (usually nowhere near the true value of the item) which he or she agrees to repay with interest. If the loan is repaid by the end of the term, the merchandise is returned to the owner. If the loan is not repaid, the consumer can renew the loan, or the merchandise is forfeited. What’s the problem? Again, it’s the interest and fees, with APRs typically in the triple-digit range once all charges are included. Further, some studies have shown that only 60 percent of pawners end up reclaiming their merchandise, thus they have essentially sold an item for cents on the dollar, something they wouldn’t otherwise do.

Rent-to-Own – Everyone wants nice things, and if the family is coming over for the holidays, you may be tempted to spruce up your home. A quick trip to the furniture or electronics store could confirm that a new living room set and flat panel TV are out of your price range. Then you notice an ad for similar items with affordable monthly payments. It seems too good to be true, and guess what, it is. The problem once again lies in the interest and fees. For instance, if you bought a $200 item and agreed to make the seemingly affordable weekly payments of $15 for 78 weeks (basically one and one-half years), you’d end up paying $1,170 for that $200 item at an APR of 388 percent. Adding insult to injury, it is likely that you could have purchased the same item at a traditional store for a fraction of the overall cost.

“People wonder why anyone would agree to the terms imposed by payday loan companies, pawn shops and rent-to-own businesses. The answer is that consumers who utilize such concerns typically do not qualify for loans from banks or credit unions, and would not be approved for in-store lines of credit. Nonetheless, people need to understand that even though there is always a cost to credit, when that cost becomes unreasonable, the consumer is better off considering other options or doing without. The real answer lies in breaking your addiction to these easy money solutions by probing to understand the root of the problem and resolving it,” Cunningham continued.

If you need assistance breaking your financial bad habits, reach out to an NFCC Member Agency where you’ll find legitimate help through a trained and certified credit counselor. To be automatically connected to the agency closest to you, dial (800) 388-2227, or to locate an agency online, go to www.DebtAdvice.org. For assistance in Spanish, dial (800) 682-9832.

The National Foundation for Credit Counseling (NFCC), founded in 1951, is the nation’s largest and longest serving national nonprofit credit counseling organization. The NFCC’s mission is to promote the national agenda for financially responsible behavior, and build capacity for its members to deliver the highest-quality financial education and counseling services. NFCC Members annually help more than three million consumers through close to 800 community-based offices nationwide. For free and affordable confidential advice through a reputable NFCC Member, call (800) 388-2227, (en Español (800) 682-9832) or visit www.nfcc.org. Visit us on Facebook: www.facebook.com/NFCCDebtAdvice, on Twitter: twitter.com/NFCCDebtAdvice, on YouTube: www.YouTube.com/NFCC09 and our blog: http://financialeducation.nfcc.org/.

South Carolinians Are Getting Out of Debt with Help From Family Services, Inc.

Individuals and families should be advised that there is help available to clean up personal financial wreckage fueled by the recession. Michaele Pena, Director of Family Services, Inc’s Consumer Credit Counseling Services encourages consumers to be proactive and seek free credit counseling. Family Services, Inc.’s Debt Management Program is designed to help reduce high interest rates and set up a payment plan to pay back unsecured debt. There is no minimum debt that is required to participate in the program, “You do not have to be in a delinquent status to explore the debt management program or enroll,” advises Pena, “Get help early rather than later. One of our licensed financial counselors will work with you and outline options that may help you improve your financial situation.”

Family Services, Inc.’s Debt Management Program works to help credit burdened consumers pay off their unsecured debt within five years and receive free financial literacy education. Consumers are invited to attend free counseling over the phone or in person to learn where their money is spent unnecessarily, develop a personal budget that they can live with, how to take the initial steps towards improving their credit by paying their monthly bills in a timely/consistent manner, and determine if they qualify for the Debt Management Program. In 2011’s third quarter, 9 previously credit burdened individuals successfully completed Family Services, Inc.’s Debt Management Program and collectively paid back $223,176 while they were enrolled in the program. Year to date, 45 credit burdened individuals successfully completed the program and collectively paying back $1,241,499; an average of $27,588.

“Clients who successfully complete the program are always very thankful for our help. The debt management program provides an alternative to filing bankruptcy.” Pena states, “I am quick to remind our clients that they did the hard work, with guidance and encouragement from their counselor and the Debt Management Program staff. Graduates of the Debt Management Program prove that financial hardships can be turned around to the positive. It takes dedication to live within your means financially and following the program to be debt free from all unsecured debts.” For information on how you may benefit from Family Services, Inc.’s Debt Management Program contact Michaela Pena at 843735.7840 or visit www.fsisc.org

OVERWHELMING MAJORITY OF CONSUMERS WOULD CHANGE FINANCIAL INSTITUTIONS TO AVOID PAYING DEBIT CARD FEE

OVERWHELMING MAJORITY OF CONSUMERS WOULD CHANGE FINANCIAL INSTITUTIONS TO AVOID PAYING DEBIT CARD FEE

NFCC Advises Consumers to Talk Before They Walk

Washington, DC – The October online poll conducted by the National Foundation for Credit Counseling (NFCC) revealed that only three percent of more than 2,400 respondents would continue using their current debit card as usual if a fee were imposed.

“People have become very aware of how they spend their money, even small amounts, and that’s a good thing,” said Gail Cunningham, spokesperson for the NFCC. “The poll results send a strong message, but at this point that message remains a sentiment. Only time will tell if people will follow through and actually change long-ingrained habits.”

As financial institutions evaluate their options, consumers should do the same and be prepared for any changes that might impact their accounts. The NFCC offers the following pros and cons of financial decisions based on the poll results:

· Find a bank that doesn’t charge debit card fees = 62 percent

o Pro – Keeps the availability of a debit card while avoiding fees.

o Con – Changing financial institutions is difficult, particularly if you have direct deposits or drafts associated with your checking account. If you elect to change, don’t close the old account until three months after you open the new one, thus allowing time for all transfers to be in place. Check out the convenience of that bank’s ATM machines and usage fees, along with the cost of new checks.

· Begin paying with cash = 22 percent

o Pro – Controls spending, as you can’t spend beyond what you have.

o Con – Carrying large amounts of cash can be dangerous and inconvenient.

· Begin paying for purchases by check = 8 percent

o Pro – Maximizes the use of the existing checking account which may already have a fee associated with it.

o Con – Using checks can be inconvenient, with some places not accepting that form of payment. Additionally, there is the chance of over-drafting the account and incurring penalties.

· Begin charging purchases = 5 percent

o Pro – Charging creates a credit file and resulting credit score. If handled responsibly, this can work in a person’s favor for future financial needs.

o Con – Credit makes overspending easy. If not handled properly, charging goods and services can result in financial disaster.

· Keep using my debit card as usual = 3 percent

o Pro – Avoids the potential hassle of changing banks.

o Con – Adds a new fee per the terms of the financial institution.

“As with any financial decision, consumers need to do their homework and evaluate all options to determine which is best for their lifestyle,” continued Cunningham. “The bottom line is that banks have the right to assess fees, and consumers have the right to choose who they do business with. Before leaving, however, consumers should ask the bank to waive the fee, citing how long they’ve been a customer, how many bank products they are using, and associated balances. No one wants to lose a valuable customer, so be sure to talk before you walk.”

For professional assistance regarding your financial questions, consider an appointment with a certified consumer credit counselor at an NFCC Member Agency. To be automatically connected to the Agency closest to you, dial (800) 388-2227, or to locate a counselor online go to www.DebtAdvice.org. For assistance in Spanish, dial (800) 682-9832.

The October poll question and results are as follows:

If my bank were to impose a fee related to debit card use, I would…

A .Keep using my debit card as usual = 3%

B. Find a bank that doesn’t charge debit card fees = 62%

C. Begin paying for purchases with cash = 22%

D. Begin paying for purchases by check = 8%

E. Begin charging my purchases = 5%

Note: The NFCC’s October Financial Literacy Opinion Index was conducted via the homepage of the NFCC Web site (www.DebtAdvice.org) from October 1 - 31, 2011 and was answered by 2,404 individuals.

The National Foundation for Credit Counseling (NFCC), founded in 1951, is the nation’s largest and longest serving national nonprofit credit counseling organization. The NFCC’s mission is to promote the national agenda for financially responsible behavior, and build capacity for its members to deliver the highest-quality financial education and counseling services. NFCC Members annually help more than three million consumers through close to 800 community-based offices nationwide. For free and affordable confidential advice through a reputable NFCC Member, call (800) 388-2227, (en Español (800) 682-9832) or visit www.nfcc.org. Visit us on Facebook: www.facebook.com/NFCCDebtAdvice, on Twitter: twitter.com/NFCCDebtAdvice, on YouTube: www.YouTube.com/NFCC09 and our blog: http://financialeducation.nfcc.org/.

The Dangers of Co-Signing Credit Applications

by: John Ulzheimer

The Credit Card Accountability, Responsibility, and Disclosure Act of 2009 requires that people under 21 have a co-signer or a job in order to open a credit card. Further, the same law requires lenders to confirm an applicant's capacity to pay their debt for any other loan. This has thrust the prospect of co-signing for loans (or asking for someone to co-sign for you) into a new light of popularity.

When you co-sign for a loan or a credit card you are taking on equal responsibility and equal liability for the repayment of the debt. This means you are essentially responsible for payments if the loan goes delinquent. And, your credit reports will reflect the status of the account, which can include any negative credit reporting.

There's a fairly popular misconception that you can co-sign for a loan and not be liable for its repayment. This so-called "co-signer for credit only" designation doesn't exist in any legitimate lending environment and is not recognized by lenders. You either are or are not liable for payment, and when you co-sign you are definitely liable.

Notwithstanding the dangers of the debt going into default, co-signing can be problematic even if the debt's payments are always made on time. Simply being in debt is half the problem when you co-sign. Almost all lenders pull your credit reports and credit scores when you apply for credit and co-signed debts will appear on your credit reports. This means they will influence your credit scores and can cause them to be lower than if you had not co-signed.

Your debt to income ratio, the amount you owe relative to the amount you make, is also a key factor in mortgage financing. The more you owe the less attractive you're going to look to other lenders, even if all of your payments have been made on time.

There's a reason why someone has asked you to co-sign for them. They either don't make enough money to qualify for the loan on their own or their credit isn't good enough to stand on its own. Either way, you're getting involved with a co-applicant who isn't an acceptable credit risk on their own. Keep this in mind before you sign the dotted line because once you do, you've fully committed.

John Ulzheimer is the President of Consumer Education at SmartCredit.com, the credit blogger for Mint.com, and a Contributor for the National Foundation for Credit Counseling. He is an expert on credit reporting, credit scoring and identity theft. Formerly of FICO, Equifax and Credit.com, John is the only recognized credit expert who actually comes from the credit industry. Follow him on Twitter here.

2nd Annual Youth Financial Literacy Summit

FOR IMMEDIATE RELEASE – October 10, 2011

UPCOMING NON-PROFIT EVENT PROMOTES 2^nd ANNUAL YOUTH FINANCIAL LITERACY EDUCATION SUMMIT DURING THE AFTERNOON.

North Charleston, South Carolina – The Homeownership Resource Center, a division of Family Services, Inc.’s financial literacy education programs are designed to improve the financial literacy and budgeting skills of individuals and families to help them learn how to more effectively manage their money, improve their credit and make smart spending decisions. Financial Literacy Education is particularly critical for teens and young adults. Teens that learn to budget and save their money are able make smart spending decisions and build healthy financial behaviors that will positively impact their future “We have noticed an increase in requests for financial literacy education from parents and students alike” states Carolyn Lecque, Family Services, Inc.’s Facilitator and Trainer, “it is so important that young adults learn about the value of money and how to manage their money so that they will become responsible consumers who are not at risk from financial pitfalls such as predatory lending or abusing credit cards.”

To educate and create awareness of the benefits and importance of managing money and credit to youth in the Charleston area, The Homeownership Resource Center in collaboration with Junior Achievement will host their 2^nd Annual free “Youth Financial Literacy Education” Summit on Saturday, March 10, 2012 at Charleston Southern University in North Charleston from 1:00 p.m. until 5:00 p.m. The Financial Literacy Summit will conclude with two popular Christian bands (TBD) beginning at 6:00pm. The concert is free for anyone to attend.

YOUTH FINANCIAL LITERACY EDUCTION SUMMIT DETAILS:

WHAT: Day of financial workshops for youths 13-22.
Evening of live Christian music for youths and adults (TBD)

WHEN: Saturday, March 10, 2012

Financial Literacy Education Classes 1:00 p.m. – 5:00 p.m.

Christian Rock Concert will begin at 6:00 p.m.

WHERE: Charleston Southern University, 9200 University Boulevard, North Charleston, SC 29406

WHY: Help our youth reach the peak of financial literacy and success

HOW MUCH: FREE

For additional information, to register for summit contact:

Lauren Jonas, AmeriCorps VISTA Volunteer

The Homeownership Resource Center, a division of Family Services, Inc.

Direct: 843.735.7846 Ÿ Email: ljonas@fsisc.org Ÿ Online: www.fsisc.org

MyMoneyCheckUp

National Foundation for Credit Counseling Launches MyMoneyCheckUp™

by Gail Cunningham

Comprehensive financial self-assessment tool to help consumers evaluate financial health,
make positive changes

Washington, DC – The National Foundation for Credit Counseling (NFCC) today launched a new online financial resource tool for consumers, MyMoneyCheckUp™. This free tool, available on the NFCC Web site, www.NFCC.org, or at www.MyMoneyCheckUp.org, is designed to provide an assessment of a consumer’s overall financial health and behavior in four designated areas of personal finance: budgeting and credit management, saving and investing, planning for retirement, and managing home equity.

This new tool was created to align with the U.S. Treasury’s Financial Education Core Competencies, and is an example of successful collaboration between community-based nonprofit organizations, academic institutions, and the public and private sectors.

“The NFCC is proud to bring this new financial education resource to consumers,” said Susan C. Keating, president and CEO of the NFCC. “People are eager to take control of their financial well-being, and the MyMoneyCheckUp tool is definitely the place to start.”

The tool provides customized feedback to users, allowing individuals and families to monitor and assess their financial lives, and consequently, adjust their behaviors in order to maximize their economic empowerment.

After answering a series of topic-specific questions, a personalized assessment of the individual’s overall financial health and associated behaviors is generated. With areas of concern identified, the analysis suggests changes that consumers are encouraged to implement in order to become more financially independent. The traditional red, yellow and green traffic light colors signal whether the consumer should continue on their current money path (green), proceed with caution (yellow), or stop and make a change (red). Individuals can also complete an optional budget to further help them assess their financial health.

NFCC’s implementation of this tool was made possible by a contribution from Citi Community Development.

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“Online platforms that permit underserved people to monitor their economic progress are extremely valuable in making financial empowerment sustainable,” said Natalie Abatemarco, Director of National Programs for Citi Community Development. “Citi has developed and supports similar tools in conjunction with other programs that provide access to savings and credit-building, and we will continue to work with our partners to enable people to remain actively engaged in their own economic empowerment.”

The original version of this tool – created for research purposes - was developed through the support of the Social Security Administration’s Financial Literacy Research Consortium as well as an Engagement Impact grant from The Ohio State University’s Office of University Outreach and Engagement, in partnership with the following researchers: Stephanie Moulton & Cäzilia Loibl, The Ohio State University; J. Michael Collins, University of Wisconsin, and Anya Savikhin, University of Chicago.

Although the tool is now available to any consumer on www.NFCC.org or www.MyMoneyCheckUp.org, it will also be offered through NFCC Member Agencies and partners beginning in the fourth quarter of 2011, thereby increasing awareness and participation.

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The National Foundation for Credit Counseling (NFCC), founded in 1951, is the nation’s largest and longest serving national nonprofit credit counseling organization. The NFCC’s mission is to promote the national agenda for financially responsible behavior, and build capacity for its members to deliver the highest-quality financial education and counseling services. NFCC Members annually help more than three million consumers through close to 800 community-based offices nationwide. For free and affordable confidential advice through a reputable NFCC Member, call (800) 388-2227, (en Español (800) 682-9832) or visit www.nfcc.org. Visit us on Facebook: www.facebook.com/NFCCDebtAdvice, on Twitter: twitter.com/NFCCDebtAdvice, on YouTube: www.YouTube.com/NFCC09 and our blog: http://financialeducation.nfcc.org/.

HOT TOPIC! Do's and Don't for telling your spouse about debt

NFCC PRESS RELEASE

For Immediate Release

Contact:

October 3, 2011 Gail Cunningham

(202) 677-4355 - direct

(240) 672-2700 – cell

gcunningham@nfcc.org

ONE IN FOUR AMERICANS WOULD NOT INFORM SPOUSE

OF FINANCIAL DIFFICULTIES

Washington, DC – The National Foundation for Credit Counseling (NFCC) September online poll revealed that twenty-four percent of more than 1,400 respondents would not tell their spouse if experiencing financial difficulties.

Reasons given for withholding the information included the fear that it would worry the spouse (nine percent); that the spouse is unaware of the debt (eight percent); that it would damage the relationship (seven percent).

“Even if well-intentioned, withholding financial information from a spouse is not a sign of a healthy relationship, either emotional or financial,” said Gail Cunningham, spokesperson for the NFCC. “It is encouraging that the majority, 76 percent, would share the information with their spouse so that they could work together to resolve the situation.”

Even though having a discussion around money can be difficult, particularly if it is long overdue, it is a topic that ideally should be addressed early in a relationship, preferably before tying the knot. “People bring financial baggage into a relationship that they often don’t deal with until there is a problem, making it challenging to have a constructive conversation,” continued Cunningham.

To help facilitate a positive conversation about financial issues, the NFCC recommends the following Do’s and Don’ts of a successful discussion:

· Don’t approach the subject in the heat of battle. Instead, set aside a time that is convenient and non-threatening for both parties.

· Do make it a casual conversation about a serious subject, respecting the fact that each person has valid opinions and concerns.

· Do be honest about your current financial situation. If things have gone south, continuing the same lifestyle that was possible before the change in income is simply unrealistic.

· Do be open to adjusting your lifestyle. If spending cutbacks or second jobs are necessary, resist whining. It’s likely that your situation will be temporary, and you could end up regretting the pity party you hosted.

· Don’t hide income or debt. This is known as financial infidelity. Instead, bring financial documents, including a recent credit report, pay stubs, bank statements, insurance policies, debts and investments to the table.

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• Don’t point the finger of blame. That’s a real conversation stopper.

· Do probe to understand long-held financial attitudes, often present since childhood and ingrained by observing how parents addressed money issues.

· Do acknowledge that one may be a saver and one a spender, understanding that there are benefits to both mindsets and agreeing to learn from each other’s tendencies.

Once everything is out in the open, it is time to make decisions about how to handle your finances in the future:

· Do make a plan to deal with any skeletons that came out of the financial closet. Such surprises can greatly compromise your ability to obtain future credit opportunities. Now is the time to deal with them.

· Do construct a new joint budget that includes savings. Emergency situations drop into your life at the most inopportune times. Without a rainy day fund, the financial hole becomes even deeper.

· Do decide which person will be responsible for paying the monthly bills. It is likely that one person will be a good fit for this task, while the other finds it burdensome.

· Do allow each person to have independence by setting aside money to be spent at his or her discretion.

· Do decide upon short-term and long-term goals. It’s ok to have individual goals, but you should have family goals, too.

· Do talk about loaning money to family members and friends. Decide if it’s something you’re each comfortable with, or should be taboo.

· Do talk about caring for your parents as they age, and how to appropriately plan for their financial needs, if necessary.

“Court records show that financial stress is one of the main causes of divorce. Taking action now could prevent a disaster later,” commented Cunningham.

For professional assistance working through financial problems that have never been addressed, consider an appointment with a certified consumer credit counselor at an NFCC Member Agency. To be automatically connected to the Agency closest to you, dial (800) 388-2227, or to locate a counselor online go to www.DebtAdvice.org. For assistance in Spanish, dial (800) 682-9832.

The September poll question and results are as follows:

If I were experiencing financial difficulties, I

A. Would tell my spouse so that we could work together to resolve = 76%

B. Would not tell my spouse, as they have no idea about the debt = 8%

C. Would not tell my spouse, as it would worry them = 9%

D. Would not tell my spouse, as doing so would damage our relationship = 7%

Note: The NFCC’s September Financial Literacy Opinion Index was conducted via the homepage of the NFCC Web site (www.DebtAdvice.org) from September 1 - 30, 2011 and was answered by 1,430 individuals.

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The National Foundation for Credit Counseling (NFCC), founded in 1951, is the nation’s largest and longest serving national nonprofit credit counseling organization. The NFCC’s mission is to promote the national agenda for financially responsible behavior, and build capacity for its members to deliver the highest-quality financial education and counseling services. NFCC Members annually help over three million consumers through close to 800 community-based offices nationwide. For free and affordable confidential advice through a reputable NFCC Member, call (800) 388-2227, (en Español (800) 682-9832) or visit www.nfcc.org. Visit us on Facebook: www.facebook.com/NFCCDebtAdvice, on Twitter: twitter.com/NFCCDebtAdvice, on YouTube: www.YouTube.com/NFCC09 and our blog: http://financialeducation.nfcc.org/.