Bank fees continue to go higher and higher, which means that avoiding them is more important than ever! With fees deducted directly from your account, it can be tough to notice that may have been charged hundreds of dollars per year just for the privilege of using your own money! Fortunately, you can cut these fees to nearly zero by taking just a few easy steps:

1) Switch to a free checking account. Some banks now charge as much as $15.00 per month in fees if your checking account fails to meet a minimum balance, which can often be quite high. With banks aggressively competing for deposits right now, there is absolutely no reason to pay these fees. Wachovia and Washington Mutual (now Chase) currently offer free checking accounts, and Bank of America is even offering a bonus of up to $100 when you open and use a new account!

2) Pay your bills online. Many banks offer free online bill payment services, which are generally reliable and quite convenient as well. With stamps costing 44 cents, you’ll pocket an extra $32 per year if you mail in six bills per month or $52 per year if you pay an average of ten monthly bills.

3) Set up overdraft protection. Overdraft fees at most banks have soared to $35 per item, becoming a major profit center at many institutions. As these fees run rampant, angry consumer have spurred Congress to consider limiting them. However, you can easily avoid these fees by setting up overdraft protection. Your bank will simply link your checking account to your credit card. Beware, though, these overdrafts will incur your credit card’s high cash advance interest rate so you still need to avoid being overdrawn.

4) Avoid using other banks’ ATM machines. You’ll often incur two fees when you use an ATM machine that is not operated by your bank — one from your bank and one from the bank or company that owns the machine. These often total $4.00 or $5.00; an outrageous amount to charge on a small withdrawal. Be especially wary of those privately owned machines that are often found in convenience stores or restaurants, as the fees they charge are generally even higher!

In October 2008, my church pastor challenged the congregation to tithe for three months. We took the challenge. At the time tithing was a big leap of faith for me and my husband. The week after our first tithe I lost my job causing a large financial blow to our budget. However, we knew that all of our possessions and money belong to God and giving 10 percent of our gross income should be done no matter what our circumstances.

We made a decision to continue tithing and to adjust our budget to allow us to give to God first. We have had tight weeks financially even with a budget. There have been times where we have said, ‘I don’t know how were are going to pay for this doctor’s visit’ and then we’ll receive a check for the right amount. Since we started tithing I truly have seen what Matthew 6:28-31 (NIV) states. “And why do you worry about clothes? See how the lilies of the field grow. They do not labor or spin. Yet I tell you that not even Solomon in all his splendor was dressed like one of these. If that is how God clothes the grass of the field, which is here today and tomorrow is thrown into the fire, will he not much more clothe you. O you of little faith? So do not worry, saying, ‘What shall we eat?’ or ‘What shall we drink?’ or ‘What shall we wear?’” We constantly remind ourselves of those Bible verses.

Our pastor talks about tithing several times a year and it seems as though many churches are trying to get more creative when it comes to encouraging tithing. I recently came across information about reverse tithing. After realizing they were going to be in the red, St. Andrew Church in Milford, Ohio held a “Reverse Tithing Sweepstakes” in which church members purchased raffle tickets for $50 and within a month and a half they raised $55,000. The sweepstakes gave the congregation a chance to receive back 10 percent of what everyone else gave. The first place prize was $5,500 and 10 prizes of $550 were awarded as part of the raffle.

Another church in Alabama gave away $50,000 to its members, but there was a trick. They couldn’t spend it one themselves or give it back to the church. They called it a “Faith Stimulus Package.” In these tough economic times, it seems any creative ideas can help a church continue to thrive. To view a video from St. Andrew Church, click on the attached link.

Many celebrities seem to be having trouble unloading their homes in this troubled housing market, right along with many other Americans. Here’s a list of a few celebrities slashing their asking prices.

Britney Spears: Britney Spears slashed the price of her Beverly Hills mansion from the original listing price of $7.9 million last September to about $7.1 million in February, only to drop it again in June to $6.5 million. She bought the house for $7.1 million in January of 2007. According to real estate site Zillow.com the 7500 square foot home is only worth $4.8 million.

Alex Rodriguez: Baseball star Alex Rodriguez listed his Coral Gables, Florida home last fall for $14,876,000, dropped the price in February to $12.3 million and dropped it again in June to $11 million. And it looks like he has very recently dropped the price by yet another $1 million. He paid $12 million for it back in 2004, so it looks like ARod could be losing money on this home.

Jon and Kate Gosselin: Fans of the show Jon and Kate Plus 8 saw the couple move out of their Pennsylvania home last fall. It was on the market in the winter for $350,00 and is now listed at $315,000. But judging by the headlines lately this is probably not one of their primary worries.

Joan Rivers: Joan’s New York City penthouse hasn’t been on the market long so it’s tough to say how quickly it will sell. It’s listed right now with Sotheby’s for $25 million.

Donald Trump: According to The New York Observer, Donald Trump has knocked $20 million off the price of his Park Avenue penthouse duplex. The price dropped from $51 million to $31 million.

Bill Gates: Bill Gates got a deal, perhaps because of the real estate market. He purchased a home and land once owned by Wild Buffalo Bill Cody for $8.9 million. The home was once listed at $12 million and received a few price cuts before getting picked up by Gates.

Sometimes we all need to get cash in a hurry (or at least think we do) for that must-have purchase, can’t miss investment or incredible weekend out with our friends. If your wallet is empty, your credit cards are at the limit, and your bank account is running dry, there are still plenty of ways to easily access the money you need, but the cost is just never, ever worth it. Easy cash is usually easy for a reason: an unconscionably high price. Here are some of the dumbest ways you can get some quick cash and much smarter alternatives to each:

Payday Loans. In some communities, ads and storefronts offering these loans are seemingly everwhere. They promise you up to $1,500 cash in as little as one hour and with no credit check. The fees on these loans range from $10 to $30 per $100 borrowed, and repayment is usually due within two weeks. Do the math on a $300 loan with a fee of $30 per $100 borrowed: To get a little cash for two weeks, you’ll need to repay $390 which equates to 30% simple interest or a whopping 780% annual percentage rate!

Alternative: With all of these choices, ask yourself if you really need the money right now. If you absolutely must have it, try to borrow from friends or family.

Credit Card Cash Advance. Your credit card may make easy cash just a few minutes away and as close as any ATM machine. Avoid the temptation! Rates on cash advances are usually 10% – 12% higher than they are for regular credit card purchases, and you could incur extra fees as well. Plus, if you are paying down a credit card balance over time, the highest rate charges are considered to be repaid last, which means that this high interest debt could hang around for months or years to come!

Apply for a Person-to-Person Loan: Social lending is a rapidly growing market for personal loans where individuals lend money to each other. You provide a description about what you need the money for and how you will repay it, and individuals chip in as little as $25 each to fund your loan. A host of online lending networks handle all of the administration and help match lenders and borrowers.

Borrow from a Pawn Shop. If you have something of value, like jewelry or electronics, a pawn shop will provide you with a quick loan for as little as $20 to as much as several thousand dollars. If you don’t pay back your loan in a set period (often 90 days) the pawn shop will sell your collateral to fulfill your debt. Sounds simple, but it’s rarely a good deal for the consumer. Interest rates are once again quite high, with an annual percentage rate of up to 240% allowed in many states, and the value offered for your goods is usually just 50% – 70% of what the pawn shop thinks they can sell it for should you not return to claim your item.

Alternative: Try to sell your items for more yourself via a garage sale, eBay or Craig’s List. Video games or musical instruments you no longer want may sell quite quickly, or try to get cash for that gift card you got for Christmas but still haven’t used!

Cash in Your Retirement Accounts. This is along the lines of the old saying ‘Water, water everywhere, but not a drop to drink!’ You may have good retirement savings but no cash to spend today. Raiding these funds could prove to be quite costly, and not just because you are taking from tomorrow to pay for today. The government provided strong tax incentives to encourage you to save this money and thus makes it tremendously unappealing to borrow from yourself. An early distribution from your IRA is a fully taxable event PLUS you’ll incur a 10% penalty.

Alternative: Take a short term loan from your IRA. Under lesser known rules, you can ‘borrow’ cash from your IRA for up to sixty days, once every twelve months. You are technically doing an IRA rollover, but just rolling the money over to the same account. Be careful though, the IRS shows absolutely no leniency if you miss that sixty day repayment deadline!

Every Tuesday we profile a great Twitter-user here on Out of Debt Christian. To qualify, the tweeters must provide informative and interesting tweets about money. This week is no exception. Today we profile Pete from Bible Money Matters. The 33-year-old Minnesota husband works in advertising and launched his blog, Bible Money Matters, about a year and a half ago. He tweets under the name @MoneyMatters.

OODC: How did you get started blogging and tweeting?

@MoneyMatters: I started blogging in January 2008 at biblemoneymatters.com just for fun as a place to put down my thoughts on money, faith and a variety of other topics. At the time it just seemed like something fun to do in my spare time. It has moved from that, a hobby I did in my spare time, to more of a second job. Luckily I still enjoy writing, and the fact that I’m able to make a little money doing it is just gravy. I started using twitter a few months after I launched my blog. I see twitter as a great way to build relationships, promote your blog and build traffic, as well as a fun way to waste time.

OODC: How has being a Christian impacted your relationship with money and debt?

@MoneyMatters: Being a Christian has a big impact on every facet of my life, not the least of which is in my finances. The bible has a lot to say on matters of money, and how it impacts us, and I try to take a lot of those things to heart. Some things that have taken on even more importance for me in the past year and a half through my studies include how the bible cautions against going into debt, being careful of becoming materialistic, and how it stresses the need to be generous in our giving to others. The bible contains over 2300 verses pertaining to money, and I’m only beginning to scratch the surface! The common sense wisdom that you’ll find about money in the bible is truly timeless.

OODC: You recently wrote about considering our budgets as a statement of faith that can reveal a lot about our fears, loves and needs. What do you hope your budget reveals about you?

@MoneyMatters: One of my guest contributors, a missionary in Papua New Guinea named Craig Ford, actually wrote that article. I do agree with what he says, however. I think the ways in which we spend our money really show a lot about what we value and where our priorities lie. I hope that my budget reveals how I value having a good financial plan, the importance of tithing and giving to our fellow man. Unfortunately, I know for sure that it probably reveals a bit too much about my love of gadgets, something I’m trying to work on!

OODC: Can you tell us about your biggest money mistake and what you learned from it?

@MoneyMatters: It can be hard to pinpoint just one “biggest” money mistake that I’ve made, there have been so many. The one I usually come back to though is signing up for a bunch of credit cards while in college, just to get the free t-shirts and frisbees. While it wouldn’t have been so bad if it had ended there, I also actually used those credit cards. Now I realize from experience just how much debt can weigh you down, and that truly the debtor is slave to the lender. I try to live my life now without using credit or debt in most situations. The only debt I currently have is my mortgage. The credit cards that I signed up for in college have long since been cut to pieces!

OODC: What do you hope people get out of your Tweets and blog posts?

@MoneyMatters: On Twitter I hope to add value to everyone who reads my tweets. Whether it’s sending out links to great articles, passing on thought-provoking money quotes, or just engaging in a discussion, I try to make everyone feel glad that they’re following me. I try not to get too one dimensional, or send out too much self-promotional fluff, but I try to add value.

On my blog my main aims are to try and educate others about their finances, give people access to important financial news of the day, and share my faith in Christ with others. I hope I’ve been successful to some small degree in helping others through both twitter and my blog.

OODC: Who are some of your favorite money tweeters?

@MoneyMatters: Some of my very favorite money tweeters lately include @mattjabs, @fcn, @MH4Christians, @FrugalDad, @flexo, @moolanomy, @jdroth and @MMarquit. In addition to that I recently put out a monster list of 125 personal finance twitter users that you should follow. It’s a good place to start for anyone interested in personal finance and twitter!

If you’d like to be considered for an upcoming Twitter Tuesday Profile, just tweet me!

It’s hard to find a person not impacted by the economy. And I am no exception. Although my husband and I are blessed to both have small businesses that have been doing very well, we have family members who have experienced the ups and downs of this economy. If you’re wondering how layoffs, the housing slump and drooping retirement accounts could have a positive side, keep reading. Here is a personal look at how some of my loved ones have been impacted by the economy. I’d love to hear how yourfriends and family members have been doing, too.

The Positive

My sister lost her job last summer which could have been a big negative. But it prompted her to start her own business which has turned into a big positive. She’s doing something she loves, living with more freedom, experiencing less stress and enjoying the fruits of a successful small business.

I have several close friends who have been able to buy homes that they wouldn’t have otherwise been able to purchase. One friend bought her first home a few months ago. It was a foreclosure that would have been way out of her price range a few years ago.

The Negative

Some relatives of mine have not been able to afford their mortgage for the last few months. While I don’t know all of the details, it’s likely that the economy had some role in their situation. It looks like they’ll be filing bankruptcy and possibly lose their home.

Many good friends and church members have been laid off this year. They’ve faced unemployment unexpectedly. On the positive side, I have seen them respond with optimism and resilience as they trust God during this tough time.

A Little Bit of Both

My mother founded a no-kill animal rescue program in Iowa. While the economy has forced many people to give up their pets, the outpouring of care and willingness to adopt animals in need has increased significantly.

Another friend’s small business lost several huge clients at once, bringing his income down to a fraction of what it once was. He eventually sold his pricey condo so that he wouldn’t end up losing it in the future. He’s now renting and has a new plan to pay cash for a moderately priced home next year. There’s no denying his life was dramatically changed by the economy and as he experiences the freedom of living debt free it will all have been for the best.

Have you watched the fantastic TLC realty show The Lottery Changed My Life? The show visits a variety of lottery winners including a janitor, truckers, and a team of Midwestern lunch ladies. The show interviewed them about what it was like to win big and strike it rich.

Some spent the money on toys like cars, motorcycles and spa treatments. The young British woman spoiled her sister by paying for her breast enlargement. One family started a foundation in their late son’s honor that helps families dealing with pediatric cancer pay their bills. When it came to the lunch ladies, most were still serving up food at a local school and living very modestly. I was a little surprised that pretty much everyone they featured on the show seemed to have been responsible with their money. Perhaps most heartwarming is the winner who used his money to become a Hollywood producer, then adopted five children orphaned by a tragic accident.

But for some, the incredible wealth they obtained overnight was quickly squandered and actually lead them to financial ruin. According to financial experts, 70% of lottery winners squander their money within a few years. Many winners experience broken families and friendships that are torn apart by the sudden rush of money. Statistics also show that there is a 90% chance that the money will be gone by the third generation. Most lottery winners are know nothing about wealth management, and unfortunately many are naive about even the basics of sound financial planning.

The incredible shock and euphoria of becoming an instant millionaire leaves them very susceptible to questionable investments and especially con-men. In fact, lottery winners are such popular targets for fraudulent schemes that most lottery boards recommend that they immediately change their phone number to an unlisted one. Ironically, lotteries also refuse to let winners remain anonymous for both publicity and public accountability reasons, so they are certainly not hard for the bad guys to find.

If The Lottery Changed My Life has you excited about becoming the next instant millionaire, remember that the odds of that happening are so astronomically small that the chances of few events on Earth even compare. If you do play the lottery, consider it entertainment and not an investment. Use money you would otherwise spend on other fun things and absolutely never spend a dollar that you can’t afford to lose. Alternatively, there are some great free online lotteries that provide much of the same entertainment without the cost. Good luck!

The US unemployment rate hit 9.5% in June, a 26-year high. It’s predicted to go even higher in the coming months. But how does that compare with other countries? Check out this list of International unemployment rates collected by the Central Intelligence Agency. These are countries with higher unemployment rates than the US.

Morocco 10.00
Turks and Caicos Islands 10.00
Jamaica 10.10
Saint Pierre and Miquelon 10.30
Barbados 10.70
Antigua and Barbuda 11.00
Guyana 11.00
Ghana 11.00
French Polynesia 11.70
Colombia 11.80
Niue 12.00
Puerto Rico 12.00
Albania 12.50
Iran 12.50
Grenada 12.50
Algeria 12.90
Jordan 12.90
Tonga 13.00
Cook Islands 13.10
Georgia 13.60
Spain 13.90
Saint Helena 14.00
Tunisia 14.00
Maldives 14.40
Montenegro 14.70
Croatia 14.80
Bahrain 15.00
Oman 15.00
Saint Vincent and the Grenadines 15.00
Wallis and Futuna 15.20
Dominican Republic 15.40
West Bank 16.30
Netherlands Antilles 17.00
New Caledonia 17.10
Kyrgyzstan 18.00
Iraq 18.20
Sudan 18.70
Serbia 18.80
Comoros 20.00
Saint Lucia 20.00
Timor-Leste 20.00
Cape Verde 21.00
Gabon 21.00
Mozambique 21.00
South Africa 21.70
Micronesia, Federated States of 22.00
Dominica 23.00
Mayotte 25.40
Honduras 27.80
Bosnia and Herzegovina 29.00
American Samoa 29.80
Cameroon 30.00
Mauritania 30.00
Equatorial Guinea 30.00
Libya 30.00
Mali 30.00
Macedonia 34.50
Yemen 35.00
Marshall Islands 36.00
Afghanistan 40.00
Swaziland 40.00
Kenya 40.00
Kosovo 40.00
Gaza Strip 41.30
Lesotho 45.00
Nepal 46.00
Senegal 48.00
Zambia 50.00
Djibouti 59.00
Cocos (Keeling) Islands 60.00
Turkmenistan 60.00
Burkina Faso 77.00
Zimbabwe 80.00
Liberia 85.00
Nauru 90.00

These days budgets definitely seem tighter, spending is reined in and giving beyond the tithe may seem impossible. But giving beyond your 10% tithe doesn’t have to mean giving more money. Here are a few examples of ways you can give without spending more money. It’s about giving your time, your talents and your love.

Mow Yards for the Elderly

In my area there’s an organization called Diligent Hands Gracious Hearts. They team up volunteers with elderly residents who need help caring for their lawns. Many are widows who can no longer tackle the task themselves. If you like to mow and you’ve got a lawnmower this could be a great option for you. Time time commitment isn’t much, but it’s definitely a need in most communities.

Volunteer in Your Church

Chances are your church needs greeters, ushers, or Sunday school teachers. If you’re not serving in your church body, find out a way to put your gifts to use. Your church would benefit from your help.

Bake Cakes for Orphans

The Lord put this one on my heart a few months ago when I heard that children at an orphanage in our area don’t get birthday cakes. Thankfully, an opportunity to help in my area presented itself, but I have a feeling this is the case in many orphanages across the country. Baking a cake doesn’t take much time or money. Chances are you already have the ingredients in your kitchen.

Deliver Food to the Needy

Whether it’s Meals on Wheels or another organization in your area, the only thing required for this type of service is a vehicle and an hour or two. You’ll probably discover that delivering the food isn’t even the most important part– it’s the love and compassion you show the people you meet.

Encourage Others

Head to a soup kitchen, homeless shelter or an area where homeless people congregate. Just befriend them. Talk to them. Pray with them. You won’t spend a dime, but the time you give could mean a lot to someone else.

What ways are you serving without spending money?

A cancer diagnosis can be a devastating blow to your family, your emotions and your finances. Thankfully there are many organizations offering free medical assistance, free resources and free support for those battling cancer.

Cancer Financial Assistance Coalition: CFAC is a comprehensive listing of available resources to help cancer patients financially. Search by diagnosis, by type or by zip code.

Pretty in Pink: Started in 2004 by a North Carolina doctor, this organization provides financial assistance and free resources to uninsured or underinsured people diagnosed with breast cancer who live in North Carolina.

American Cancer Society: Provides free resources and free wigs through local chapters.

NeedyMeds: Offers free help to those who can not afford their medications for a variety of diseases and illnesses including cancer.

Bristol-Myers Squibb Patient Assistance Foundation: This drug manufacturer offers free pharmaceuticals to those who have no insurance.

Air Charity Network: This organization offers free flights to patients needing transportation for medical treatments.

Arizona Assistance in Health Care: This organization will begin taking applications August 1, 2009. They provide financial assistance with non-medical bills to cancer patients.

CancerCare: This organization offers free professional support services for anyone affected with cancer.