3 Ways to Survive This Financial Recession – What to Do When Investments Are Not an Option

Dear Homeowner:

If there ever was a time to protect your wealth, this is it.

Real estate values are plunging nationwide for the first time in U.S. history.

Like it or not, it’s affecting us all.

More than 50 lending institutions have gone bust so far. And every quarter, major Wall Street firms like Citigroup, Merrill Lynch, and Bear Stearns are losing billions.

I stayed at the Sheraton and the Los Angeles Hotel the other day. I paid for my stay using my credit card. The hotel declined my card even though I had a $15,000 limit and never ever missed a payment.

Even the credit card companies are now running scared and making decisions that make no sense.

The banking system is reducing all access to credit, even this market and makes it difficult to buy a home, car or even borrow to send kids to school.

So what is the best investment at the time of the financial crisis?

Have you ever heard the expression cash is King. In a time of great financial downturn, you need to hoard every bit of cash you can.

And here are some of the ways to protect yourself in this wild west financial economy:

1. Pay off your mortgage:

Yes, I told you to hoard your cash and now I am telling you to pay off your mortgage.

Since the beginning of time, the home has always been a safe investment. If you lose your job or your salary is slashed, think about this…

…if your home is paid off you always have financial security and peace of mind.

Nobody can take your home away from you if you own it.

When the market return backs to normal you can always sell this at a later stage.

And if your retirement is fully wiped out, no credit card payment methods Los Angels then you can always apply for a reverse mortgage so that you never have to worry about a part time job in retirement.

There are three ways to do this; pay extra, use the bi-weekly method, or the mortgage acceleration system

2. Pay of debt and improve your credit score.

I know this sounds so obvious. The banks are tightening credit. There only a few consumers in the market who will get access to limited credit.

And the limit credit will only be given to consumers who have the best credit score. No matter what your credit score is right now, there are always a few ways to improve your credit in the short term.

3. Invest in CD’s, bonds or money market account

The rates of return is so low that it makes no sense to invest in these at all.

You are right.

But what’s the alternative. It is better right now that investing your money in the stock market and watch as this is stolen by Wall Street. This is only temporary measure till the market return back to normal and the recession is over.

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