We’ve got the government stepping in to regulate a lot of the credit card industry (recall the age of tighter credit), the banking industry and even debt collectors and their practices. They’re stepping in to take a look at cell phone carriers now.

In a surprising move by the FCC, regulators are pushing forward some proposals that would require cellular telephone carriers to begin notifying customers of charges that exceed their plan limits. What? Yep, you guys heard it right. The Federal Trade Commission wants to hold cell carriers’ feet to the fire when it comes to passing unbelievable monthly bills to their customers.

What’s even more amazing is that the FCC wants our opinion about the new proposals.

It looks like our thinly veiled plan to inundate the FCC with all those complaints about outrageous cell phone bills has finally caught somebody’s attention. In a statement released some time in the not so distant past, the FCC has claimed to have received hundreds of complaints when it comes to consumers who have been stuck with outrageous cell phone bills due to extra charges such as roaming, text messaging, and data usage and feel like it’s now high time to do something about it.

Carrier’s Position

Previously, cellular carriers have always ducked under the legal radar on this one since all that fine print they stick into their contracts cover the fact that we’re supposed to know a few things: when we’ve moved out of our coverage area and start roaming; whether or not we have text messaging or data plans; whether we should expect to be duly billed for said services. But the truth of the matter is, most people don’t read the fine print and, unless the sales rep tells them about the surcharges, many are ignorant about the huge bills that such services can generate if these aren’t included in their plans.

My Position

Now, I am a huge stickler for personal responsibility when it comes to having to pay “stupid tax”. We all have to pay a little from time to time, but most of us can keep these types of expenses under wraps by paying attention to the details of contracts and phone usage. I’m not sure how big a fan I am of having the FCC step in and help those who can’t seem to help themselves to a few extra texts over their allotted number. But, I can’t argue that it would be nice for my cellular carrier to let me know when I’ve entered into the realm of extra charges. I mean, I’m a pretty busy person and a notification can bring to my attention, what might end up being an expensive oversight.

Cellular Billing Regulation: Will This Resolve Billing Issues? The Reality

In reality, I think that the cellular carriers already have a notification system in place that allows them to notify their customers of when they begin to accrue extra charges in certain situations. What I think will happen is that laws will be put into place that will require them to expand these existing notification systems to include additional services that result in larger bills. And there will be a lot of fuss and muss in the negotiations between the FCC and the cellular industry, but in the end, there will be a compromise. And, in an age where unlimited is the norm, most of us won’t be seeing much of any change to our cellular service or bill.

Here’s more coverage of the latest consumer issues besetting the public.

This is a post from The Smarter Wallet.

Will Cellular Billing Regulation Resolve Billing Issues?

Did you know that when it comes to internet banking, credit unions are winning the race hands down? According to a study published by ForeSee Results, a whopping majority of folks who bank with credit unions are happier with their online experience than with more traditional banks. Plus, the top 5 big banks rate the worst. Here’s why:

Customers of credit unions trust their financial institutions more than any other customer / banking relationship.

Credit Union vs Bank: Why Credit Unions Are A Top Banking Choice

First and foremost, credit unions fly under the radar when it comes to negative publicity. Because most are very small and are community-oriented, they dodge the ball when it comes to scandal. Banks are perceived as untrustworthy when they are represented negatively in the press, and let’s face it, when it comes to brand identification, perception is everything. And the numbers don’t lie. Big banks have experienced a 40% increase in bad publicity this year, which directly relates to a 15% decrease in customer trust compared to a 2% increase in negative publicity for credit unions and a 5% increase in lack of trust.

Plus, because credit unions have a more local presence, the experience of working with them is generally perceived as more personal. Who doesn’t like it when they enter their bank and the teller already knows your name, the name of your children and asks about your dog that was sick last week? All of this breeds trust in a relationship, which leads to increased customer satisfaction and ultimately, increased business for the credit union. There are several reasons why joining a credit union makes sense.

Credit unions communicate better with their customers.
I know, it’s hard to believe with all the emails and junk mail you get from your bank, but credit unions simply do a better job when it comes to reaching out to their clients and letting them know about pretty much everything that’s going on. They also do it in the way that 65% of the customer base wants it done, via email. Why go through the expense of mailing out a bunch of stuff people don’t want or interrupting personal or work time via meaningless text messages?

Credit union websites are easy to use.
Easily, one of the biggest drivers of credit union success in the online world is the sheer simplicity of their websites and intuitive functionality. We’ve all been to those big bank websites and spent up to 15 minutes just simply looking for the login boxes. Then you have to find the bill pay function, or the account summary page or the place to change your mailing address. Most credit union sites understand that you are on their website to perform a necessary function and put these front and center on their sites, leaving all the bells and whistles to the big dogs. I’m not saying that having these bells and whistles on your site isn’t nice, but most of the time, it’s unnecessary. What is necessary is the ability of your customers to find what they need and be able to use it. Credit unions have this aspect down to a science.

The reason that I bring all of this information to the table is this. People like you and me are creatures of habit. We bank where our parents banked, where their parents banked, or where our jobs bank. Even if we are unsatisfied, we continue to bank in the same way, at the same place. Many of us are stuck in unsatisfying relationships with traditional banks and never realize that there are other options. So if you’re looking for a place to open an online savings account, credit unions offer a highly satisfactory alternative to traditional banking. They have all the same services and are generally much less expensive than traditional banks, perhaps including online banking. Take time out and take a look at your local credit union and see what they can do for you!

This is a post from The Smarter Wallet.

Credit Union vs Bank: Why Credit Unions Are A Top Banking Choice

Planning to buy a used car? Try out a model from Kiplinger’s list.

Buying a new car in this economy is simply not a practical undertaking. Most of us simply cannot afford to shell out $20,000 or more all at once, and very few of us can afford another payment. So, what do you do when you find yourself in the market for another vehicle? You buy used. Gently used cars are a great way to put yourself into a reliable vehicle for thousands less than you can buy new. Here are a few of Kiplinger’s picks for the best used vehicles.

Best Used Cars: Kiplinger’s Top Picks

2005 Honda Civic EX Sedan
The number one best pick is the 2005 Honda Civic EX Sedan. This little number ranks high on the list for its exceptional reliability, outstanding gas mileage, and high resell value. If classy economy is what you are looking for, try one of these on for size. This one comes in at around $12,000 on the lot and $11,500 if you buy from a private party.

2007 Ford Five Hundred SEL
Next comes the 2007 Ford Five Hundred SEL. This car is quite a bit larger and somewhat more luxurious than the Honda, which comes with a price bump, that believe it or not, is not that much. This car gets around 25 miles per gallon average (21 local/29 highway), which is about 10 miles per gallon less than the Honda, but the increased cabin space can more than make up for the difference. You can pick this one up on a lot for around $13,900 or from an individual for about $12,800.

2006 Infinity G35 Sedan
For all of you luxury car lovers, take a gander at Kiplinger’s next pick. The 2006 Infinity G35 Sedan will give you the luxury you want on the road without breaking the budget. The 6 cylinder motor produces an impressive 280 horsepower, giving this car plenty of get up and go without sacrificing gas efficiency. This car is priced to sell at $19,250 at a lot and $18,200 privately.

2005 Lexus LS 430
Another luxury sedan entry on this list is the 2005 Lexus LS 430. This car tops many Kiplinger’s lists including Best New Car in 2007. This car gives its drivers pure driving pleasure and buying used allows you to save up to half of the original sticker price, coming in at $26,200 on a lot or $24,000 privately.

2005 Toyota RAV4
One of the only SUVs to make this list is the 2005 Toyota RAV 4. This perky little crossover pre-dates all of Toyota’s current design woes and this car actually won Best Small SUV when it was new. Gas mileage is also comparable to many standard family sedans coming in at 24 mpg residential and 29 mpg highway. Average used car price for the RAV4 is $13,000 on a lot and $12,000 privately.

2007 Honda Pilot
The 2007 Honda Pilot LX is the other SUV entry on this list. Slightly more expensive than the RAV4 but it doesn’t have the Toyota baggage. It also adds plenty of extra cargo space making this vehicle the ultimate weekend warrior. You can pick this nugget up for around $17,000 on a lot and $16,200 from an individual.

2006 Volkswagen Golf GL
The 2006 Volkswagen Golf GL is an odd looking, incredibly safe and economical car that you can park in any parking lot with ease. You can be the soccer mom without investing in a minivan; you can also fit the groceries in the car without it having to be a station wagon. And the best part is that it’s the cheapest entry on the list, coming in at $11,000 retail and $10,200 privately.

2006 Hyundai Sonata GLS
The 2006 Hyundai Sonata GLS is a stylish, economical and practical family sedan that offers drivers a great way to get the same caliber car as the Toyota Camry and Honda Accord without the sticker shock. This car has won the Kiplinger’s Best in Class award two years running, making this car a real value. You can pick up this car for $11,500 on the lot or $10,800 from an individual.

2006 Acura TL
If sporty is what you seek, check out the 2006 Acura TL. This car combines the safety and reliability of the Honda brand and adds luxury that is almost unparalleled. This car gets high marks for safety, reliability and high resell values, making it a great car for the money. You can pick this one up for around $21,000 retail and $19,800 privately.

This is a post from The Smarter Wallet.

Best Used Cars: Kiplinger’s Top Picks

One effect of the economic recession? We want to save more money. And one area to evaluate for savings is in the area of insurance. After all, car insurance costs can be a huge expenditure in our budgets. That is why it is essential for us to make sure we are getting the best coverage for our dollars. Here are five great strategies that I have used to lower my auto insurance premiums and get the best value out of my driving dollars.

Reduce Car Insurance Prices & Costs With These Tips

1. Compare prices and speak to someone in person. It is essential that you know what all the other insurance companies are offering as far as auto insurance quotes. If you have had a policy with the same place for years, go online and do research on some of the top competitors. Most auto insurance companies offer easy quotes online. I suggest checking Geico, Progressive, Stare Farm, and Allstate and any other big name company with a good reputation. Here’s a list of web sites that can offer you additional leads:

Auto Insurance Sites

From these resources, gather your quotes, and if you find that your current insurance premiums are higher, then call your agent and discuss your findings. Inform the agent that you are trying to cut costs in these tough economic times and will be forced to switch agencies if the premiums are not lowered. They will want to keep you. Believe me! I got the best policy (price-wise) with Allstate, using this strategy.

2. Combine policies. If you currently pay for homeowners insurance or renter’s insurance, then you’ll want to combine this policy with your auto insurance policy. Most insurance companies offer a multiple policy discount if you have more than one insurance policy with them. This is another discount that I received with my Allstate policy.

3. Make sure you get all the discounts for which you qualify. Every insurance company has discounts that are offered. The trick is to make sure that you address every one that you qualify for on your plan. This is where “calling the agent and informing them of a cheaper policy” comes into play. They will come up with every discount in the book to get your policy lower and keep you as a customer.

Here are the ones listed on my policy: multiple policies, good payer, antilock brakes, premier plus, and passive restraint (air bags). You may also qualify for other discounts if you are a member of a business organization or a member of the military. Geico.com has a drop down box on their quote page asking if you are a member of specific organizations. Use this tool to compare the discounts from other companies with those of your current insurance company.

4. Find out if you qualify for a discount on your car insurance policy if you work from home. Do you work from home? Then your car can be designated as being used “for leisure”. I actually work from home; therefore, my car is considered a car for leisure. This qualifies me for more discounts on my auto insurance policy. Basically, if your car qualifies as being used for leisure, it is being used less, which cuts down on your accident risk. If you work from home, then call your insurance company and inquire about this discount.

5. Increase your deductible if you have emergency savings already in place. If you have already saved up a substantial amount of money in your cash and savings accounts, then you could consider increasing your deductible. Given that you have a backup savings fund to cover possible mishaps, you can afford to raise your deductible (and take some additional risks). Sure, you’ll increase the amount of money you’ll have to pay out of pocket before the insurance coverage kicks in, but the higher deductible can save you a substantial amount of money on your monthly premiums. And that, my friends, is money in the bank.

This is a post from The Smarter Wallet.

Reduce Car Insurance Prices & Costs With These Tips

Do have a lot of jewelry? Is a lot of it unused or unwanted? Jewelry boxes are sometimes overflowing with shiny trinkets, many of which haven’t been worn in years. They have sat in that jewelry box largely ignored because outside of sentimental value, they have had very little resale value other than the neighborhood garage sale.

In the past, the price of gold, while not dirt cheap, has been low enough that melting down and reselling gold hasn’t been the most lucrative of businesses, but over the past couple of years, that has changed. As of early 2010, gold is bringing in over $1,000 per ounce and many experts believe that not far into the future, it’s going to be much higher (just check out this gold chart update). Some experts say that $3,000 per ounce is not out of the question over the next few years. For the curious, here’s more information on spot gold prices.

This surge in pricing has caused numerous startup businesses to offer to take your gold and give you, “top dollar” for it. As we will see, “top dollar” is a very relative term. Top dollar to you and top dollar to them are very different.

One of the most popular companies in this buy and melt business is Cash4Gold. They advertise that not only will they give you top dollar for your gold, but all you have to do is drop that old bracelet in to their pre-printed envelope, send it to them, and within a few days, a check will arrive in your mailbox. According to Cash4gold, it’s that easy.

But let’s look under the covers shall we?

Recently, Cash4gold has taken a lot of criticism. It doesn’t take much Googling to find numerous accusations of scams. One of the most telling entries comes from a former Cash4Gold employee.

Cash For Gold: Seller Beware! Is Cash4Gold A Scam?

This employee tells quite a story, stating that Cash4Gold checks are sometimes made for 1 cent to unsuspecting customers. The allegation here is that the amount of the check is purposely much lower than its actual value with the hope that the customer will not know the true value of their gold. If the customer calls to dispute the check amount, customer service representatives will then raise the amount of the check to a more favorable amount to appease the customer. But even the newly raised rate won’t scratch the surface of the value of the gold. Their argument is that the seller should accept less for their gold in exchange for the convenience of easy selling.

In addition, the Cash4Gold whistleblower says that the check date is usually days earlier than when the check is put into the mail. They do this because the terms of the agreement state that the customer only has 10 days from the check date to dispute the check amount so if their payout isn’t received in the mail until 9 days after the check date, the customer only has a limited amount of time to dispute the payment. How many people with full time jobs will find time to do their homework and determine what is truly owed them, and how many people will read the fine print and know that this rule even exists?

Is There Any Defense For Cash4Gold?

There are strong indications that Cash4Gold has been pulling some tricks on consumers, given the sheer number of complaints it’s received — as I firmly believe in the saying “when there’s smoke, there’s fire”. But I also strongly believe in that other saying “seller beware”, which may in fact, pin some of the blame perpetrated by con artists upon the consumers themselves. While there are irregularities that hound the reputation of this cash for gold company that I feel need to be addressed and resolved in ways that are fair and just, consumers too, have some accountability and need to face certain responsibilities for falling prey to predatory business practices.

Some questions to ponder: is Cash4Gold actually doing anything wrong by offering the customer such an insultingly low price for their gold? Now any company that manipulates the check dates of the payouts they make is certainly in the wrong, but as far as the prices set — should they be liable for this? Remember that we’re in a free market and that convenience has a price.

You’ll need to pay for somebody to sell your gold for you, you’ll need to pay for the convenience of handling and processing your jewelry and your payment, and you’ll need to pay for the “free” appraisal. Don’t forget that regardless of where you take your gold, you will not receive the actual value of this asset. In this case, you are paying companies like Cash4Gold to make the process of selling your gold as convenient as possible. Sure, they have to cover their costs. And perhaps it is their right to offer you any price they wish and it’s your obligation to have some idea of what to expect for the gold you are selling. You have the choice to take them up on their prices….or not. I can only echo that well known warning: Seller Beware! Yes, beware of internet scams. Always make sure that you are in the driver’s seat.

This is a post from The Smarter Wallet.

Cash For Gold: Seller Beware! Is Cash4Gold A Scam?

IDENTITY GUARD® is an identity theft protection service that protects your mobile and Internet lifestyle, and personal, sensitive information. I use the Internet for banking, paying bills, personal and business communication, shopping and researching so I’m someone who’s always on guard about my identity, wondering if a service like IDENTITY GUARD® is worth signing up for. As it stands, this is a credit monitoring service that promises to track and protect your credit, identity, Internet and mobile life.

IDENTITY GUARD® Review: What IDENTITY GUARD® Does For You

Unless you receive a bill or notice, how do you know when someone has hijacked your identity? Often, the perpetrators establish false addresses to hide their crimes. But services like IDENTITY GUARD® monitor all types of activities involving your identity. They automatically check your credit scores from all major credit reporting agencies.

Your IDENTITY GUARD® personal identity dashboard includes a public records report, as well as monitoring alerts and messages. You’ll be able to get an ID Risk Assessment to let you know how likely you are to become a victim of identity theft. An IDENTITY GUARD® membership also entitles you to all 3 credit scores and analysis (and more!) so you know exactly what is affecting your credit rating. Here are its award-winning features:

• Receive all 3 of your credit scores
• Daily 3 bureau credit monitoring with alerts
• Public record monitoring
• PC World #1 rated service
• Credit and debit card monitoring
• Social security card monitoring
• Personal data protection
• Quarterly credit updates
• Bank accounts monitored
• Up to $1 million ID theft insurance
• Fraud victim assistance
• PC security suite
• Convenient online financial calendars

Can You Trust This Identity Theft Protection Service?

IDENTITY GUARD® offers a thirty-day free trial period. You can call to cancel the membership before the monthly fee of $14.95 is billed. PC World has also rated IDENTITY GUARD® as a top identity theft protection service. This service also offers good value as one of the cheaper services that offers all 3 scores (and more) at an affordable monthly rate.

With the 30 day trial, I would think that it’s worth trying out IDENTITY GUARD®. When I decided to try out this identity protection service, I wanted to see my 3 credit scores along with an evaluation. My husband and I noticed some issues with our credit information which we then worked to resolve over the span of a few months. To me, this paid service was worth every penny to give us transparency over our credit records, and to help us prevent possible future identity theft.

Identity Theft Facts

According to the Federal Trade Commission, “1 in 6 Americans will be a victim of identity theft this year alone. In the last twelve months 9.93 million people have had some type of identity theft crime committed against them. Victims spend on average, $1,200 in out-of-pocket expenses and an average of 175 hours in efforts to resolve the many problems caused by identity thieves.”

When someone uses your identity, it causes a plethora of problems. You can become financially liable for bills you did not incur. You can be accused of committing crimes you know nothing about. You can get accused of motor vehicles accidents even if you aren’t currently driving. Identity theft is difficult to prove and can dramatically alter your life for years after the theft occurs.

Types of ID Theft

There are several reasons people steal your identity. Let’s consider some of the most common types of identity theft and where they occur:

• With medical information bureau identity theft, a thief uses your identity to get medical benefits. This can reduce your own medical benefits and cause confusion about your medical treatment in an emergency.
• Social security theft occurs when a thief uses your social security number to secure employment, generate possible tax bills and even collect an instant online tax refund.
• Criminal theft happens when a thief uses your identity as a “get out of jail free” card or to avoid paying fines. You could wind up with a criminal record even if you’ve committed no crimes.
• A DMV ID thief can get a driver’s license in your name and can start collecting infractions ranging from parking tickets to a DUI.
• Financial identity, which is the theft we hear most about, occurs when a thief uses your identity to apply for credit cards or make major purchases including vehicles and real estate.

These are just the kinds of issues you hope to sidestep by using an ID theft protection service. Now these services aren’t expected to solve all your credit issues (there’s no guarantee that they can stop every kind of ID theft), but certainly, the more vigilant you are and the more proactive a stance you take against ID theft and credit monitoring, the healthier your credit is bound to be.

Alternatively, depending on how well you’d like to keep an eye on your credit information, you may instead opt for annual free credit reports (but not credit scores) via AnnualCreditReport.com, but you’ll have to order this information on your own on a regular basis to keep track of your own credit.

This is a post from The Smarter Wallet.

IDENTITY GUARD® Review: Identity Theft Protection Service

You’ve got your savings in a good high yield savings account and your online stock broker accounts have been doing well. But are these enough to cover the needs of your dependents when you’re no longer around?

You know you need life insurance yet you keep putting it off. Unfortunately, life insurance doesn’t typically get cheaper as you get older. Waiting and putting things off means that you could end up paying more every month for the same life insurance policy. When you figure out the basics of life insurance, you can make an educated decision based on your financial circumstances.

What Is The Purpose Of Life Insurance?

Based on the terms of your life insurance policy, its purpose is to cover expenses for your family or business associates after you die. These expenses may include health care bills, funeral fees, mortgage payments and the cost of continuing business operations without you. If you’re shopping for life insurance, here are a few resources to help you get started:

How Much Life Insurance Should You Carry?

There is a simple way to determine the amount of life insurance you need. Before you purchase a policy, you should figure out:

1. The total monetary amount of your short term needs. Short term needs include final expenses such as hospital bills, funeral costs, attorney fees, taxes, probate, outstanding debts and unforeseen expenses.

2. The total monetary amount of your long term obligations such as mortgage payments, loan repayments and college tuition.

3. The yearly cost of living to maintain your lifestyle multiplied by the years you expect to live that lifestyle (this typically includes your family’s lifestyle).

4. Add items 1, 2 and 3 then subtract that amount from your current net worth, which should include current and future payments from social security.

The number you get at the end of these calculations represents the estimated amount of life insurance you should purchase.

Determining The Length Of Your Life Insurance Policy

Determining the length of the insurance policy is another important factor. Term life insurance covers you for a specific period of time, such as 10, 20 or 30 years. Whole life insurance, also called permanent life insurance, covers the insured person for life. As a result, the premiums for whole life insurance are higher. On the other hand, whole life insurance builds cash value over the life of the policy while term insurance has no cash value at the end of the term if you are still alive. Also, the cash value of whole life insurance is tax-deferred.

Should You Buy Whole Life Insurance or Term Life Insurance?

Now that you know that there are two basic types of life insurance, let’s break them down further. There are three types of term life insurance: level, decreasing and increasing. With level premium term life insurance, the premiums are set with increases for inflation every two years. This is frequently an affordable way to get life insurance. Decreasing term life insurance is often purchased as mortgage protection insurance with the benefit decreasing along with the outstanding balance of the mortgage. For growing families that are paying down a mortgage, this is an ideal policy. Increasing term life insurance increases as you get older without ongoing proof of good health (e.g. without the need to prove that you’re in good health as you age). This is beneficial for people who may experience declining health with age and who don’t want their premiums to go up as a result.

There are also three types of whole life insurance including: single premium, survivorship and universal. Single premium life insurance is paid out in one large payment so beneficiaries can use the funds right away. Survivorship life insurance policies insure two lives to provide for the beneficiaries in any event. Universal life insurance policies allow you to change the death benefits and premiums as your beneficiary’s needs change to give families greater flexibility as their financial situation grows and changes.

Clauses To Check Out Before Your Final Decision

Before you make a final decision about life insurance, check out a few key clauses in your policy. The incontestability clause lets you know the length of time given an insurance company to question or disagree with any payouts they’re required to make against your policy. The standard time period is 2 years. The suicide clause specifies whether the policy is invalid or restricted in the event of suicide. Lapse and reinstatement clauses let you know the penalties for failure to pay premiums. “Simultaneous death of insured and beneficiary clauses” refer to rules covering the situation of who dies first and what payout is made in such circumstances.

This is a post from The Smarter Wallet.

Life Insurance 101

Some ways to stay healthy on a budget.

I had a back operation last year with one of the top orthopedists in the country and my insurance did not pay a dime for it. But the surgery, anesthetist, nurses and hospital stay for 3 days cost me a total of $2,000. Of course, the country was Mexico and the city was Monterrey, which is known for its first-class medical care. Had I used my insurance and had I gotten the operation in the United States, my final co-pay would have been closer to $5,000.

Image from ehow.com

How To Get Healthy Without Going Broke

That said, here are some suggestions for getting healthy without having to go broke in the process:

1. Go abroad for health care.
If you are planning an elective surgery, it would be a good idea to consider going to Mexico, especially Monterrey, which is about 150 miles south of Laredo and McAllen, Tx. They have the latest technology without the insane prices found in the United States (and they speak English). Pick a surgeon with a stellar record and a long experience. When I had my prostatectomy, my surgeon had done 200 kidney transplants, so I knew that my surgery was a piece of cake for him. Total cost in a clinic: $500 plus medication, which is much cheaper in the land of the Aztecs.

2. Cross the border for a better exchange rate.
Hundreds of Winter Texans in the Rio Grande Valley enjoy the services of medical doctors and dentists on the other side of the border, even though they have full access to Medicare. Now that the peso has fallen 40% in relation to the dollar, it’s a good time to take care of those expensive root canal operations. Cost in the States with crown work: up to $3,500 without insurance, and$1,200 with insurance. Cost in Mexico: between $300 and $600 dollars depending on where you go, so shop around.

3. Go for generic items. Ask for free samples.
Health.com recommends that you talk to your doctor about the cost of drugs during your doctor’s visit. “Are there any generics or similar medicines or ones in the same class that are less expensive and which I can try first?” is a key question that you should never hesitate to ask your doctor. Here’s more on how you can save money with generic drugs.

Ask them also whether they have some samples: my wife was able to last 2 months on samples given her for her cholesterol. That’s what those samples are for, so don’t be ashamed to ask; it’s a good idea to make friends with the nurse or the doctor’s aide. They are invaluable when it comes to getting free samples.

4. Make lifestyle changes.
Another extremely important suggestion from Health.com: “For many chronic medical problems, treatment should start with lifestyle changes,” says Edward Jardini, MD. When I discovered I was borderline diabetic, I asked my doctor what I could do, visualizing a ton of pills and insulin. He wisely answered: “Lose 20 pounds and you won’t need any pills.” Don’t take medication if you have the option of changing your lifestyle. It’s a lot cheaper and you will end up much healthier.

5. Try negotiating (or haggling).
Finally, do not hesitate to bargain or negotiate with hospitals and doctors. They’d rather get your money immediately than allow a protracted payment plan. I have used the $20 a month gambit successfully to obtain sizeable discounts, even on MRIs. You may have to reveal some of your financial problems to gain some sympathy and results, but, hey, a penny saved is a penny earned according to Ben Franklin. And he knew what he was talking about.

Here are a few more articles on the subject:

• Discount Health Plans vs Health Insurance
• Our National Health Care System Needs An Overhaul
• No Medical Insurance, No Health Care
• Thoughts On Health Insurance and Health Care Reform

This is a post from The Smarter Wallet.

How To Get Healthy Without Going Broke

As insurance costs become more and more expensive, people are cutting corners in order to feel protected without paying the high price for coverage. Those who have already been diagnosed with medical conditions are especially susceptible to making costly mistakes when it comes to medical coverage. These costly mistakes occur when consumers see advertisements for so-called discount health plans that promise affordable health care with no deductibles or co-pays. These plans also promote heavy discounts on care and pharmacy bills.

Image from sfgate.com

Discount Health Plans: The Real Story

Those of you who are drawn in to signing up for these discount health plans are many times under the illusion that they are actually buying health insurance. However, the discount health plans which are also known as medical discount plans are NOT insurance. In their own right, the plans may have some use because of the discounts they do offer, but it’s also a good thing that the Federal Trade Commission (FTC) is stepping in to alert consumers about the differences. Consumers need to be aware of the fine line between what they think they’re getting and what they are actually getting.

What Are the Differences?

There are two general types of discount health plans offered. The first is usually specific to a category of care such as dental only or vision only. The second is a group of health plans that include different categories and forms of health care in one plan. The plans charge on a monthly basis and essentially offer discounts on health care costs. By contrast, with insurance coverage, you still pay a monthly premium and depending on your specific plan, medical care is also paid for by the provider.

Are Discount Health Plans Worth It?

For those of you who have pre-existing conditions or find insurance just too expensive to afford, discount medical plans may be an option. But the answer will come down to the reality of whether you need insurance or a discount heath plan. Research is the best method for making this determination. Here are a few tips for figuring out what you need:

• Shop Around — You may think that you can’t afford insurance but it may be worth it to look around at what is being offered. There are many affordable health insurance plans online and many sites even provide a free quote without obligation. Before you say you can’t afford it, check around. Also, check with the Better Business Bureau for information on companies with which you are not familiar. Here are some sites that offer health insurance quotes, products or leads that you may want to pursue:
  • eHealthInsurance: Offers Individual & Family plans, Small Business plans, Short Term Insurance and Medicare Options.
  • InsureMe Health Insurance: Get health insurance quotes from StateFarm, Farmers’, Kaiser Permanente, etc.
  • USInsuranceOnline.com: Get free health insurance quotes.
  • NetQuote: The smartest way to save on insurance.
  • 2Insure4Less.com: Save 50% or more on health insurance.
• Speak With Your Doctor — If you have a regular physician, contact their offices and ask if a discount medical plan would help your situation. The office should be able to answer your questions about the difference between how discounts vs insurance works. They should be able to tell you how their own filing and billing system works. TIP: Some medical providers will actually give you a decent discount if you inquire, therefore allowing you to skip the need to purchase a discount plan altogether.
• Look at the Provider List — When researching a particular discount health plan, find the list of providers for your locality on their website. If that information is not listed, then call the company directly to ask for the list. There is no point paying for a plan that you can’t use.
• Don’t Sign Before Reading — Any contract being offered will contain fine print. Identify the clauses that deal with refunds and cancellations to ensure that if the discount plan is not beneficial to you, then there is a way out.

For more on health care topics, check out:

• Our National Health Care System Needs An Overhaul
• No Medical Insurance, No Health Care
• Thoughts On Health Insurance and Health Care Reform
• H1N1 Flu Vaccine Shortage: All Flu Vaccines In Short Supply!

 
This guest post is by Arjun Rudra, who runs the site Investing Thesis: Credits Towards Financial Freedom. If you enjoyed this post, please consider subscribing to his feed.

This is a post from The Smarter Wallet.

Discount Health Plans vs Health Insurance: Pros and Cons

When I read this article on how our health care system was frittering away money, it annoyed me to no end. I’m one of those people who feels I’ve done a lot of things right when it comes to personal finance, but I have an Achilles’ heel — it’s the necessary spending that I’ve had to do to ensure the good health of my family. You see, when it comes to one’s health, there’s a lot of things here that can be out of our control — accidents happen, infections happen, and even incurable diseases can alight upon you one day when you least suspect it and change your life forever. No matter how much saving, investing and earning you’ve done in your life, you may end up having to spend your hard-earned money on ridiculous things such as $1,000 tooth brushes and $140 tylenol pills, if you aren’t careful. And this is through no fault of your own.

I may sometimes come across as someone with a morbid sense of humor (black humor is my defense mechanism and my way of coping with tough issues), but I’ve always believed that if you’re a resident of the United States, one of the best ways to preserve your net worth is to simply STAY HEALTHY. Time and time again, I’ve seen the sick in this country suffer all the more — not just from their health problems, but also due to the games that health insurance companies and the medical industry play. I’ve read that the #1 cause of bankruptcy for many households is ill health, especially when it’s experienced by the breadwinners of the family.

Our National Health Care System Needs An Overhaul

Here’s why getting sick or falling ill spells doom to the financial well-being of many Americans: if you’re a breadwinner and you get sick, you may qualify for disability insurance — that is, if your employer has this to offer. But tons of people don’t have such insurance, much less have ANY kind of insurance to cover them when they do fall ill. So if you ever suffer the misfortune of developing a chronic or life-threatening illness, you may not only lose your livelihood, but you could also drain your life’s savings once you find yourself in the grip of the U.S. health care industry. So it’s simple then, isn’t it? My advice is just this: avoid bankruptcy by taking care of your health. I’m sorry to say if it doesn’t seem all that practical. I’ll admit that it isn’t, since sooner or later, our health will eventually falter. What we really need desperately is health care reform!

For more on this matter, please check my articles:

• Thoughts On Health Insurance and Health Care Reform
• No Medical Insurance, No Health Care

Personal Finance Articles

• Wise Bread: 10 Tips To Lower The Cost of Banking
• Bargain Babe: Dealing With Banks? Read The Fine Print First
• Lazy Man and Money: The Key To Living Frugally
• CoDR: Carnival of Debt Reduction
• Simply Forties: Carnival of Money Stories
• Taking Charge: Carnival of Personal Finance
• Miss Thrifty: Festival of Frugality

This is a post from The Smarter Wallet.

Our National Health Care System Needs An Overhaul