Dealing with Credit Card Debt

www.letsforgetdebt.com - An excellent informative site and service to help anyone with credit card debt. A step by step video talking about the ...

I am on a CRUSADE to help others with their finances - what other things can I add to my web site to help?

May 21, 2007 by Joseph Sangl | Posted in Personal Finance

http://www.josephsangl.com is the web page.

The TOOLS page has lots of FREE tools that can be used to better plan spending, debt reduction, and saving.

I write a small article every day that appears on the front page that seeks to inspire, instill HOPE, assist others to achieve financial freedom.

Any help or suggestions you provide are MUCH appreciated!

the power of compounding & starting a savings plan early in life...how the differences in credit scores (good & bad) influence interest rates, and how interest rates effect the amount of money you actually pay over time.

The rule of 72 is pretty cool too. Divide the yield you receive on your investment into 72. Tells you how many years it will take to double your money. -- 72/yeild = # of years to double your money

Please help with this financial question about debt collectors?

Apr 24, 2008 by chapisag7 | Posted in Other - Business & Finance

A long time ago I owed money to my college like $1000 or so I was planning to pay when I got the money but like a month after I got into that debt I got a call from an NCO collector about that telling me about the debt. I told him that I was going to pay but I needed more time because $1000 isn't that easy to save up, then he sayed do you want to settle this in court and I admitt it scared me. I then sayed if it could be payed monthly so then I gave him my banking account so he could charge me the monthly fees. I was paying off the fee and when it got to $100 only I couldnt pay so I told him to cancel that month because I was in a financial crisis and he said that he didnt care and he would start the paperwork for court, I then got mad and sayed I really dont care and I hung up. I didnt hear from them till today I got a phone call from the number 18778470092 and it was a machine so then I googled it and I got to this site and read all the stuff and feel like I got ripped off and in a way treated really bad when they couldnt do that. And by the way I payed more than what i owed because supposedly they charge for their services and also I think if I remember it was $5 or $10 per check.so it added up to like $1500, it would of been $100 more but I didnt pay. I was very stupid in believing their threats and taking their insults. Did I get ripped off and do you think the college got payed? Can anyone help me with this? Here is my email for help

chapisag@hotmail.com

Please help! Thank You!
I got this info from another website please see it.

NCO was fined a record $1.5 million by the Federal Trade Commission in 2004 for putting false information on consumers' credit report. In other words, they're crooks.

Here's Bud Hibbs' report on NCO and his advice on dealing with them:

http://www.budhibbs.com/debtcollectorpages/nco_financial_systems.htm

Other websites that are helpful in dealing with outlaw debt collectors:

http://www.budhibbs.com/First.htm

http://www.naca.net/debt-collection-abuse/

http://www.fairdebtlawyers.com/

http://www.myfairdebt.com/

http://www.consumercounselgroup.com/

http://www.westonlegal.com/debtcollection.htm

I would file a complaint with the FTC and go talk to or call your college financial office.

Where can I find a generic legal disclaimer for my website?

Aug 19, 2006 by toomuchspam | Posted in Other - Business & Finance

After recently starting a blog focused on topics related to personal finance and eliminating debt, I think I need to add a disclaimer to my website that the information contained on the site is not meant to be financial advice but is just my opinion.

Is there anywhere on the web where I can find a generic disclaimer and/or terms of use that would protect me from any potential problems?

You could look at other similar web sites and copy their language. But that may not wholly protect your (you should speak with your attorney about this).

Mother of Autistic son needs to find site to make cards?

Sep 06, 2007 by prettygirl | Posted in Special Education

I am a mother of a son with Autism I am looking for away to make behavior cards where i can put my images from my own pictures or images and transfer them to computer and print them out and laminate them but I cant seem to find a program that is free or I just dont know how to do it on my computer I tried using my Note pad on com but it wont let me add the images or pictures if there is any one out there who can help me i would be very much in your debt thanks it is so hard to try and find this kind of thing I am not to good on the computer anyway thanks

try the school. They helped me make picture cards that are also magnets for the fridge. the teachers can show you how.

How stupid was I back on the day of 12/30/00?

Sep 06, 2007 by sob_125 | Posted in Buying & Selling

I had $11,000 in cash save up.
I was debt free.
I was 21 years old and it was just about to turn 2001.

I needed a car and I spent it all on that car, the whole $11,000 and I was broke just like that. I had no money for partying, beer, private dances at strip clubs, dating sites to meet chics, add-ons to my car like a nice stereo system or neon lighting undernear the car or attractive seat covers or floor mats or anything to make my car more fun, I had no money for anything off EBAY, basically, I had no money for anything expect for just food and gas and clothing and here I was 21 years old and I should've enjoyed myself. I've wised up. I look back and think I made a very stupid decision spending it ALL on a car.





And for all you people who reply saying I should've not partied anyway and stuck with my studies, when IS good time to truly party, enjoy yourself, and enjoy strip clubs, making out with the opposite sex, and cool add-ons to your car? You tell me

Look on the bright side...it is a lesson learned at an early age that some never take into account. Because it has become a
"pain in your side" so to speak you are that much keener about your future financial personal and business activities.

Is it realistic to expect $15/day profit from Google Adsense ads on a small article (6 -12+ articles) website?

Apr 18, 2007 by Yolky E | Posted in Other - Internet

I was planning to start with small sites with 6 -12 articles as the basis of the site. They would generally have 2 affiliates ads on the site. I would be adding more articles on a regular basis and submitting some articles to popular article directories. The sites would be similar to www.debt-credit-zone.com or www.carviewpoint.com. I have seen claims of making $1 to $30 a day or more, from these types of sites from Adsense ads but find it hard to believe you can make even $15 from any such site with ordinary content on it unless there is a huge and extraordinary amount of traffic going to it, which would not be a normal situation or expectation.

It will not be easy because the ste is new, has little to no traffic, and it depends on the quality of the articles you have. If you have original high quality articles, it may be quicker. But if you are simply using articles already found in article directories, then it will not be easy.

The good thing with Adsense is you don't really need gazillion traffic to earn more. You just need to have the right type of website.

One website with 10,000 uniques a day can earn $50 a month while another may earn $5,000. It is not easy to predict how much you will earn from Adsense. The only way you can learn about how your site will perform with Adsense is through trying it.

The amount you can earn will depend on the

1. Responsiveness of audience to the ads = A travel website that provides information on travel to Spain will attract visitors looking for ways to arrange their travel and spend money on their vacation to Spain. Your site provides the info, but the ads will provide hotels, travel agencies, tourist destinations, car rentals -- ads that are likely to get the attention of the users of your site. This is a site that will most likely do well with Adsense. However, if you are a gaming website where the main purpose of the user is to play games on your site, then Adsense will not perform as well.

2. Ad format = some types of ads do better than others depending on your content and layout. In our case, large rectangles in the middle of the content is the best, while leaderboards do not generate as much as income. Skys are the worst for us. Experiment and measure the results via channels and see which formats work best for you.

3. Ad placement - check Google's heat map as they have tested where the best placements are https://www.google.com/support/adsense/bin/answer.py?answer=17954&ctx=en:search&query=adsense+heat+map&topic=0&type=f

4. Ad colors - sometimes ads blended into the content works wonders, but sometimes ads that contrast your site colors work best

5. Number of ad units on a page = we are allowed maximum of 3 ads + 1 ad links + 1 search box on a page. Maximize the allowed number based on the resulting look of your page (you don't want an overkill of ads). Users going to your page and reading your content may ignore the banner or rectangle at the top of the page, but may click on the ad at the bottom of the article

6. Smartpricing - the big unknown in Adsense. No one knows how this actually works. But it can affect the pricing of the ads on your site. If the advertiser paid for $0.50/click - but your site is smartpriced - then the cost may be discounted lower (e.g. $0.25). So you may try to develop a site based on high paying keywords but if smartpricing gets to you, then you may not get as much per click as what you are expecting from your keywords.

Here is Google's explanation of smart pricing https://adwords.google.com/support/bin/answer.py?answer=9562&query=smart+pricing&topic=0&type=f

Google's smart pricing feature automatically adjusts the cost of a keyword-targeted content click based on its effectiveness compared to a search click. So if our data shows that a click from a content page is less likely to turn into actionable business results -- such as online sales, registrations, phone calls, or newsletter signups -- we reduce the price you pay for that click.

Experiment with the factors above (except smartpricing, which you can't control), and see which combination works best. Remember though that not all sites do well with Adsense - even if you get gazillions of traffic but your visitors are not interested in looking for ways to spend their money, they won't be interested in your ads and won't click.

I was wondering if this guy is for real?

Nov 30, 2006 by Mark C | Posted in Personal Finance

Hey, I was looking on this site, and came across the add for chris peters lending that goes like this:
Hello, I am chris peter.Do you need a loan.Are you financially down?Are you in debts?Do you want to pay up your bills?I give out loans at 3% interest rate.I give out loan to personal and business loan to Business Men and women who are into Business transaction, and so forth.
There is also another guy on here that does the same thing. I have contacted them both, and this guy is asking for a non collateral downpayment of $170 through western union. The other guy wants proof of my id. I was wondering if this is right, or are they scammers? I want to know before I continue to the final step with them, Thank you.
ok, update. He gave me his name, company address, house address, city, state, country, and telephone number. He told me to call him to make sure this was right, and he said that he could call me if he wanted to. He also gave a scan of his passport.
update. I also asked him if I could bring the info he gave me to the police and also contact the police in his state in order to verify him and what not, and he said that it was perfectly fine.
ok, to Inneed of help, please email me, I want to talk to you about this, as I have several emails that I want to compare as well.

don't do it is a scam,and fraud

Should we give money to poor ppl?

Mar 26, 2007 by smart-doctor-egypt | Posted in Community Service

ZAKAAT (Alms)
Ramadan is the month of giving and benevolence, the Messenger was more benevolent than a falling rain. Muslims are encouraged to emulate the Messenger of Allah (saas), to assess and pay their Zakaat during the month of Ramadan, thus combining the two pillars of Islam at the same time.

Zakaat (alms) is the name of what a believer returns out of his or her wealth to the neediest of Muslims for the sake of the Almighty Allah. It is called Zakaat because the word Zakaat is from Zakaa which means, to increase, purify and bless.

Who Should Give Zakaat
The obligation of Zakaat is mandatory on every Muslim who possesses the minimum Nisaab, whether the person is man, woman, young, old sane or insane. Because the proof of Zakaat in Al-Qur`an and Sunnah is general and does not exclude young or insane. Allah (SWT) stated that: "Of their goods take alms so that thou mightiest purify and sanctify them..." (Al-Qur`an, 9: 103)

Imam Ibn Hazim said that every Muslim young or old sane or insane needs to cleanse his or her wealth with Zakaat because of generality of the evidence. Anas bin Malik reported that the Messenger of Allah (saas) said: "Trade with the money of the orphan, lest it is eaten up by Zakaat." (At-Tabraani) In another Hadith `Amru bin Shuaib related from his grandfather that the Messenger of Allah said:

"Whoever is entrusted with money of an orphan should trade with it and should not leave it sitting to be used up by charity." (Tirmidhi)

The point of reference in these reports is that the Messenger (saas) urged the trustee on the estate of people who due to age or other reasons cannot manage their own financial affairs, to invest it in a business that will yield a return and make it grow until they are in a position to do so themselves. For, if proper investment is not made with an ophan's inheritance, it will be depleted by charity, thus leaving the orphan with little or nothing.

The Nisaab
The Lawgiver, Allah has prescribed the minimum amount that is obligatory for Zakaat in different ranges of properties, and that minimum amount is known as nisaab. The reason for nisaab is to ensure that no one is forced to give Zakaat out of what he or she does not have, and that no wealth goes without Zakaat. Nisaab is also an insurance against the tyranny of the state to tax the poor and or the neediest as is the case in many countries. Nisaab is a reference point for the average Muslim who is not sure whether he possesses the minimum wealth on which Zakaat is obligatory. The wealthy need not worry about the Nisaab. Zakaat is obligatory on their entire wealth and must be paid out at the end of financial year that they set for their Zakaat.

The Nisaab will not be valid unless it fulfills two conditions:
1) The amount that has reached Nisaab must be the excess or surplus known as "faadil" from one's essential needs such as food, clothing, housing, vehicles, tools and machinery that is used in business. The essentials for living are exempted from Zakaat.

Although what constitutes nisaab may change from one country to another, the amount that is needed for the basic needs of living in different countries is very similar, because the market place determines the prices, whether it is an official market or a non-official market. In the poorest countries people do without or live below the poverty standard, and that is why many go hungry or without basic essentials.

However, we must realize that Zakaat is an act of worship (ebadah) like Salaat. The element of intention (niyyah) is necessary, and we should not overly rely on state agencies to determine for us the requirements of our religious duty. The so called the "consumption basket" (that is poverty level as determined the social security administration which are updated every fiscal year) may not be the same as what Islam considers minimum Nisaab.

In the industrialized countries, the consumption basket may include items that are not necessarily essential, such as entertainment, extra clothing, variety of food, eating in restaurant or eating at home, owning more than one car as opposed to having three cars in the driveway, drinking water as opposed to juices, eating regular food or special "health" food. This is why I believe it is essential that we do not lose site of the fact that Zakaat is ebadah of wealth, like salaat and fasting. Non Muslims may consider all the things mentioned above as essentials while Muslims will not. Indeed, no Muslims in good standing will attempt to hide behind the label of consumption basket so as to evade Zakaat.

Nisaab eliminates the possibility of injustice or unfair treatment of the Zakaat payer. To suggest that if we do not follow the rules of International Monetary Fund or the arbitrary figures of social security administration or department of agriculture we will be doing injustice to the Zakaat payer is ludicrous.

2) Nisaab must mature, that is the money is not liable for Zakaat unless it has remained a full year in the possession of a person. This is the understanding of the majority of the scholars. Imam Abu Hanifah (raa) said: "What should be considered is the existence of nisaab at the beginning and the end of the Zakaat year set by the payer". It does not matter if the nisaab money increases or decreases during the calendar year, as we will explain later.

This condition does not include farm produce, for it is due on the day it is harvested. Allah (SWT) stated: "... But render the dues that are proper on the day that the harvest is gathered..." (Al-Qur`an, 6: 141) According to Imam Al-`Abadi, (raa) Zakaat money is of two kinds: one that by its nature can not be invested and Zakaat of this category is due on the day of harvest. This includes all the farm produce that is liable for Zakaat. The other is wealth that can be invested in the hope of a good return, like cash, gold or silver, because the opportunity is there that cash in one's hand can be invested for a good return. This includes currency investment, merchandise and livestock. Their Zakaat is not due until they have matured in one full year.

The proof of this condition is the Hadith related by Ibn `Umar that the Messenger of Allah (saas) said: "He who acquires property is not liable for Zakaat on it till a year passes." According to Ibn Rushd (raa) this is the understanding of the majority of scholars, including the four rightly guided Khalifahs.

Zakaat Of Salaries
The condition of yearly term maturity applies to the commodities on which the Lawgiver said Zakaat is due, and this includes silver, gold, modern paper currency and livestock. Paper currency is analogous to silver, therefore, it takes the case of silver. There is no Zakaat on salary, earned income from wage earners or professionals or independent contractors until such money matures in a full year. There is no such thing as paying your Zakaat on the day you receive your paycheck. What the wage earner must know is that he or she can purify that money with charity (sadaqah) anytime they cash the paycheck. Allah (SWT) states: "And in their wealth and possessions (was remembered) the right of the needy, he who asks and he who (for some reason) was prevented (from asking)." (Al-Qur`an, 51: 19).

We can deduce from the concept of "yearly maturity" of wealth on which Zakaat is due as encouraging, among other things, saving on the part of the Zakaat payer, and enhances the chances for eradicating poverty, because if the poor receives his rightful share of Zakaat there will be the possibility that he can take Zakaat money and invest it and become a Zakaat payer instead of recipient. This possibility will be lost if he receives few Zakaat dollars every month. To say that the wage earner just brings his check home and spends everything on necessities and lives from check to check with nothing left over means the person is eligible for Zakaat.

Using farm produce as analogous to salary for Zakaat is wrong analogy. As Imam Al-`Abadi said, these are two different categories of money. $2, 500.00 cash can be invested by the person and expect a good return whereas it will be difficult to invest a bushel of corn. It can be traded as a commodity, which is what it is. This why we must know that analogy has rules that must be followed before it is applied. Certainly the jurists are unanimous that earned income, known as almal al-mustafadah, should either be added to existing money and wait until that amount reaches maturity and then give their Zakaat; or if there is no money on hand the time one possesses this money, he or she should wait one full year before assessing it for Zakaat.

Zakaat is one of the five pillars of Islam and a vital element in the religion of Islam. It is the twin sister of Salaat. In Al-Qur`an, Allah (SWT) stated: "So establish regular Prayer and give regular Alms; and obey the Messenger; that you may receive mercy." (Al-Qur`an, 24: 56) Also, "...Establish regular Prayer and give regular Alms, and loan to Allah a beautiful loan...." (Al-Qur`an, 73: 20) "And they have been commanded no more than this: to worship Allah, offering Him sincere devotion, being true (in faith); to establish regular Prayer and to practice regular charity; and that is the religion right and straight." (Al-Qur`an, 98: 5)

In a famous Hadith reported by `Umar Bin Khattab (raa), the Messenger of Allah (saas) responded to Jibreel (as) and said: "... Islam is to testify that there is no deity but Allah and Muhammad is the Messenger of Allah, to perform the prayer, to pay Zakaat, to observe fasting in Ramadan, and to make pilgrimage to the house of Allah if you are able to do os...." (Bukhari, Muslim)

There is consensus among Muslim scholars that it is mandatory on every believer who is financially able. Whoever knowingly denies this obligation, while he possesses the minimum amount, would be considered a disbeliever and a renegade from Islam. Whoever is stingy, or tries to cheat, is considered among the wrongdoers. Zakaat is mandatory on four categories of items.

1. Farm produce of seeds and fruits, such as wheat, barley, rice, dates, raisins, cocoa, pistachios, coffee, cashews. Allah (SWT) stated: "O you who believe, give of the good things which you have (honorably) earned, and of the fruits of the earth which We have produced for you..." (Al-Qur`an, 2: 267) Also: "... But render the dues that are proper on the day that the harvest is gathered..." (Al-Qur`an, 6: 141) Thus, these two verses and many others indicate that Zakaat is due on farm products that reached the minimum amount (nisaab). No farm product is liable for Zakaat unless it is a product that is considered as food and can be stocked or saved naturally without refrigeration. If the produce is perishable fruit, such as grapes, there is no Zakaat. But if one sells them they will pay their Zakaat on the profit earned when it matures.

The nisaab is 612 kilos, which equals 1,346.40 lb. There is no Zakaat on produce that is less than this amount. If the farm produce or crops grow dependant on rainwater, or without any man's labor or irrigation, Zakaat due is one-tenth of the total. If it is grown by irrigation, then the Zakaat due is half of one-tenth of the total produce. There is no Zakaat on fruits like apples or oranges or vegetables which are perishable and need refrigeration for long storage, but they should be considered as any income if the profit earned from their sale reaches the amount of Zakaat, then Zakaat should be given.

2. Cattle, including camels, cows, sheep and goats, that are freely graze and are raised for trade and production. For Zakaat to be obligatory, the number must reach the nisaab. The nisaab of camels is five, of cows 30, of sheep and goats, 40. By freely grazing is meant the animal goes out to feed without the owner buying or bringing it feed or hay. If it is not a grazing animal, there is no Zakaat in the stock by itself. The stock will, however, be considered as articles of trade, then will be assessed for Zakaat as articles of trade when the profit earned from their sale reaches the amount by itself or in combination with other articles of the trade.

3. Merchandise and goods of trade and commerce. This includes anything that is obtained for the business of buying and selling: land, animals, food provisions, fabric, cars, spare parts, etc. This inventory is evaluated annually and assessed for Zakaat, whether the value is the same as the amount spent on it, more, or less. The owners of grocery stores, like any other business, must evaluate every item and give their Zakaat. Simple bookkeeping of inventory, orders, cash on hand, and credits, that is non-delinquent loans, will give one a good picture of the zakaatable assets. But if one is unable to account for everything in the store or shop, he should assess it according to his ability until he is sure that his conscience is clear.

There is no Zakaat on what is within one's dwelling or property which includes food, drinks, furniture, houses, animals, cars, clothes and shoes. The only exception is gold and silver. There is no Zakaat on assets from rentals or lease, whether they are apartment units, taxi cabs, etc. That is, there is no Zakaat on the apartment units, buses or cars for rental like yellow cabs company or trucks for rental or equipments. But there is Zakaat on the proceeds or incomes from these rental assets if these assets reach the executable amount, either by themselves or in combination with other assets.

Business Activities
Many scholars are of the opinion that any business activity that brings any return to the entrepreneur or investor should be assessed for Zakaat. If the activity has a prescribed nisaab, such as gold, silver or paper currency, that nisaab is applied for Zakaat. But if the business has no declared nisaab, its nisaab is the nisaab of commerce, one reason being that most business activities are considered as commerce and because, in actual fact, it is not factitious business name, such as GM, Apple or GE that is taxed for Zakaat, it is the individual investor. We do not tax cooperations such IBM, Apple, GM or Rajihy Bank but the individual investors, share holders and owners of these corporations.

Indeed, there are enough rules in Zakaat books to cover all types of business activity, be it cash or risk investment. If the business activity is analogous to commerce, it should be assessed the same rate as commerce. To subject the business to a different Zakaat rate of 10%, which is the rate of farm products instead of its correct rate of 2.5%, the rate of commerce, is unfair and unjustified. Besides, there is no proof, even a weak one, to justify this unfair arbitrary taxation. The difference between 2.5% and 10% is high. The Zakaat system is not like a state revenue collection, but Allah's `ebadah. However, if a business person decides to give more than 2.5% after deducting all the expenses including depreciation, Allah (SWT) will accept it from him.

4. Gold and silver, whether used for commerce or jewelry. Allah (SWT) states: "...And there are those who bury gold and silver and spend it not in the way of Allah: announce unto them a most grievous penalty. On the day when heat will be produced out of that (wealth) in the fire of hell, and with it will be branded their foreheads, their flanks and their backs. This is the (treasure) which you buried for yourselves: taste you, then, the (treasures) you buried." (Al-Qur`an, 9: 34-35). By hoarding is meant refusal to give it in the path of Allah, which includes Zakaat.

In a hadith reported by Abu Hurairah (raa), the Messenger of Allah (saas) said: "For the owner or possessor of gold and silver who does not fulfill its obligation, on the Day of Resurrection it will be cast into sheets of fire and be branded on his forehead, side and back. Whenever it cools it is to be repeated for him in a day whose length is the length of fifty thousand years, until the judgement is rendered among the people." (Muslim). By its obligation is meant assessing it for Zakaat. In another version: "No possessor of a treasure who does not give its Zakaat."

Zakaat is mandatory in gold and silver, irrespective of its form: in coins, raw or nugget, or jewelry for wearing, or for rent, because of the generality of evidence of Zakaat without any detail. In a report by Abdullah bin `Amr bin `Aas (raa), he related that a woman came to the Messenger of Allah with her daughter. On the daughter's wrist were two heavy gold bracelets. The Messenger asked her, "Do you pay Zakaat on this?" She replied, "No." The Messenger said: "Would it please you that Allah will encircle you with two bracelets of fire?" The reporter commented that she took them off and threw them down in front of the Messenger, and said: "They are for Allah and his Messenger." (Ahmed, Tirmidhi).

The Messenger's wife reported that: "The Messenger entered into my house and saw in my hand a huge ring made of silver, so he asked, `What is this?' I replied, `I made them to beautify myself for you, O Messenger of Allah.' He inquired, `Do you give their Zakaat?' I said, `No,' or `Allah willing.' He said: `It will suffice you in the hellfire.'" (Abu Dawuud).

Zakaat is due on gold when it reaches the amount of (nisaab), which is 20 Dinaar. According to a hadith, the Messenger said: "No Zakaat on you is due until it reaches 20 dinaar." (Abu Dawud) The Islamic dinaar (currency) is one mithqal, a unit of weight which weighs four and one quarter of a gram. Thus, the nisaab is 85 grams. This is equal to $30.00 US dollars.

Similarly, there is no Zakaat on silver until it reaches five oqiyah, because the Messenger said: "There is no Zakaat on less then five oqiyah." (Muslim/Bukhari) Oqiyah is equal to forty Islamic dirhams. The nisaab is 200 dirhams. One dirham is equivalent to 595 grams. The zakaatable amount in both the gold and silver is a quarter of a tenth only.

Paper Currency
There is Zakaat on modern paper currency because it is equivalent to silver. During the early days of Islam, silver and gold were the currency of exchange minted into dirham for silver and dinaar for gold. Silver, not gold, had a larger circulation. Thus many scholars are of opinion that silver should be the standard for the paper currencies of today because that is more advantageous to the Zakaat payer, as it raises the minimum nisaab whereas gold lowers it. Although both metals are no longer circulated, they are still considered as a security against ever fluctuating paper money.

Silver should be used as a standard to assess Zakaat annually, not paper currency, even if the currency is hard currency like the US dollar, Yen and Deutch Mark or Pound Sterling. Because these currencies are backed by political decisions that may not have anything to do with the economy, the value and strength of this paper money depends largely on all haram usury system of interest rates.

Thus, the Zakaat payer should look up in the local newspaper's financial or business section for the price of silver which is currently about $3.82. per ounce. The nisaab, then, is 596 x .04=28.80 ounce multiplied by$3.82= 90.91. therefore. The nisaab is about $100.00, as of December 17, 1991.

The nisaab should be based on the market value of the currency. If the money is hard currency, there will be no problem, but if the money is a non-marketable currency, like most currencies in the third world countries, the nisaab should be based on the black market, which realistically reflects the value of the currency on the money market. In any case, the silver rate should be used to assess the Zakaat.

If the nisaab is determined, the zakaatable amount is 2.5%, or .025 multiplied by the amount. For instance, if the zakaatable amount is $56,000.00 it will be 56,000. x .025 = $1,400.00.

Zakaat is due on gold, silver, and or paper currency, whether it is cash in hand or credit in the hands of borrowers. Zakaat is due on debts or cost of merchandize or rental money. If the borrower is a wealthy person that you know will pay back the debt, the lender (that is Halaal lending free of usury) should include that money in the assessment and give its Zakaat. However, one can delay Zakaat on a loan until he receives payment, then return its Zakaat for the past years that he was unable to assess for Zakaat. If the borrower is poor or is refusing to pay the debt, there will be no Zakaat on the money until the lender receives the money. Then he will assess it for Zakaat of one past due year, but there will be no Zakaat in the years before that.

There is no Zakaat on precious stones such as diamonds, or metals such uranium, regardless of their value. Gold and silver, of course are assessed for Zakaat. However, if a person possesses any of these stones or metals, he should give their Zakaat like any other articles of trade. If a person possesses diamonds or any other precious stones as an edge against inflation or for ornaments, there will no Zakaat on these.

How To Give Zakaat
Zakaat may be assessed and returned in two ways:
a) Make a record of all money earned, either daily or monthly, which has reached the nisaab and remains in the treasury. The Zakaat of that money would be due one year later on the same day the money was earned and reached nisaab. This means every month's income must be set aside and assessed for Zakaat and so will be the case for the rest of the months. For instance, the income of January, 1991 will be assessed for Zakaat in January, 1992, and the income of February, 1991 will be assessed for Zakaat in February 1992, etc. This method of assessing Zakaat is very difficult because it entails complete bookkeeping of daily or monthly earnings.

b) The best way is to set a day or a month, preferably Ramadan, for your annual Zakaat return calendar, say Ramadan 1st, 1412. One year later on the same day Ramadan, 1413, your Zakaat is due and payable. Whatever is in the savings is due for Zakaat, regardless of whether all the amount in the savings reaches a year or not. For instance: if you have $20,000.00 in the savings account on the 1st of Ramadan, 1412 and one year later by the 1st of Ramadan, 1413 there is $50, 000.00, your Zakaat will be assessed for $50,000.00, that is: $50.000.00 x .025= $1,250.00. If, on the other hand, by the 1st of Ramadan, 1413 the amount in the savings is $15,000.00, your Zakaat will be for the amount in the savings, that is $15,000.00 x .025= $375.00. This method is the best because it is easy to assess, meets one's obligation and relieve one's conscience.

The Recipient Of Zakaat
Knowing who qualifies as recipient of Zakaat is an important aspect of Zakaat collection in Islam. Fortunately, Allah (SWT) has been merciful to us in that He Himself spelled out the people eligible to receive Zakaat. In Surah Tawbah He stated:

"Alms are for the poor and the needy; and those employed to administer (the funds); for those whose hearts have been (recently) reconciled (to truth); for those in bondage and in debt; in the cause of Allah; and for the wayfarer: (thus is it) ordained by Allah, and Allah is full of knowledge and wisdom." (Al-Qur`an, 9: 60) In this verse Allah enumerated the people who deserve this divine welfare, and they are as follows:

The poor and the needy. These are individuals, and those under their care, to live on. By the poor and needy is meant the people whose income or salaries, or whatever material goods they have, fall short of the cost of living in a given environment and economy. The poor and the needy should be given what will suffice them and their families for one full year. The needy who want to get married and have no means should be given enough for this purpose, and so, too, the student who needs money for tuition, rent, food, and books. The working poor should be given supplementary Zakaat. But the wealthy, or any person with enough income to live on should not be given Zakaat, even if they asked for it. Instead, they should be warned and admonished for asking for what does not belong to them.

In a hadith reported by Abdullah bin `Umar, the Messenger of Allah (saas) stated: "A man keeps on asking others for something till he comes on the day of Resurrection without any piece of flesh on his face." (Bukhari/Muslim). This hadith indicates a humiliating appearance before Allah (SWT) that awaits a person who asks illegally.

Some said: this hadith implies Allah will punish a person with the very limb, the face, that he used to impress on others to give him their money unlawfully.

In another hadith reported by Abu Hurairah, the Messenger of Allah said: "Whoever asks people for their money so as to get rich, he is asking for flames of fire. It is up to him to ask for more or less (he should beware)." (Muslim) This hadith indicates the severity of the punishment, the more one asks the more punishment, the less one asks the less the punishment.

In another hadith, reported by Hakeem bin Hizaam said: I begged the Messenger of Allah and he gave me. I begged again, and he gave me. I begged again and he gave me. He then said: "This money is green and sweet; he who receives it from people with a cheerful heart, Allah will bless him in it; he who receives it, with an avaricious mind would not be blessed in it. He will be like the person who eats without being satisfied; and the upper hand is better than the lower hand" (Muslim)

This hadith gave an analogy between money and green, ripened fruit that people love to eat. Thus, it indicates that both are greatly loved but easily finished. For money that is easy come easy go, one must be careful about the punishment that awaits the illegal eater. If a person asks for Zakaat and there are no signs of wealth, and he does not know that he should not ask, or a person who is well and able, who can work, but does not; if these people do not know that it is not permissible for them to ask, it may be given anyway.

In a hadith reported by Ahmed, Abu Dawud, and Nasa'e, two men came to the Messenger of Allah (saas) and asked for Zakaat. He looked at them closely and found them strong and able, he said, "If you want I will give you. But you should know that the wealthy or an able person who can work has no share in Zakaat" (Ahmad)

Those who administer the Zakaat department, assigning people for collecting, bookkeeping, making lists of people eligible for Zakaat, and a financial calendar. These people will receive Zakaat as compensation for their work, even if they are wealthy. This does not include a person who works as an agent for one or two wealthy people to take Zakaat for himself. They should donate their time for Zakaat disbursement and do it with honesty and truthfulness. If they can not, they should be paid or rewarded for their time. In a hadith related by Abu Musa Al-Ashi`ari (raa), the Messenger of Allah said: "A trustworthy Muslim executor is the one who executes completely what has been entrusted to him of Zakaat money in good faith." (Bukhari)

That is, he will give the Zakaat money to any of the eligible recipients of Zakaat. He should carry on the duty voluntarily, but if he can not distribute the money without being paid, the Zakaat payer should pay him for his work. The payment for the service of distributing Zakaat should not come out of Zakaat money.

The new converts to Islam whose hearts we want to harmonize into the fold of Islam, either because their faith is weak or we are afraid of their being harmed, should be given Zakaat to strengthen their Iman or until we no longer fear their harm.

The bonds person who has contracted with his master to buy himself out of bondage deserve Zakaat and should be given enough to pay off their debt to the master and be freed themselves; similarly, Muslim prisoners of war if their freedom is tied to monetary payment, deserve Zakaat sufficient enough to secure their release.

On the other hand, if a pearson accidently killed someone and have no means to pay off the blood money, he should be helped from Zakaat funds.

The people in debt are of two kinds:

(A) The guarantor, who takes the responsibility of someone else's debt so as to reconcile the two warring parties, to extinguish the fire of fitnah between them. If the person requests Zakaat money to pay off this debt he should be given it, which will encourage him to continue in this noble cause.

In a hadith reported by Qubaysah Al-Hilaaly (raa), he said I was under debt (hamaalah) and I came to the Messenger (saas) and begged him to help me pay it off. The Messenger told him: "Wait until we receive charity, so we will command that it be given to you." However, the Messenger stated: "O Qubaysah, begging is not permitted except for one of three categories of people:

A man who has incurred debt (as guarantor to reconcile blood wit) for him begging is permissible till he pays that off, after which he must stop it; a man whose property has been destroyed by calamity which has smitten him; for him begging is permissible till he gets what will support life or will provide him reasonable subsistence; and a man who has been smitten by poverty, the genuineness of which should be confirmed by three knowledgeable members of his people; for him begging is permissible till he gets what will support him, or will provide him subsistence. Besides these three, Qubaysah, begging is forbidden for every other persons, and one who engages in such consumes that which is forbidden." (Muslim)

(B) Whoever incurs debt and has no money to pay it back will be given from Zakaat to help pay his debt, whether the amount is large or small; or his creditor should be paid directly on his behalf, so long as it is paid off.

Zakaat can be given in the path of Allah. By this is meant to finance a Jihad effort in the path of Allah, not for Jihad for other reasons. The fighter (mujahid) will be given as salary what will be enough for him. If he needs to buy arms or some other supplies related to the war effort, Zakaat money should be used provided the effort is to raise the banner of Islam.

The wayfarer. This is the traveller who in a strange land runs out of money. He or she deserves Zakaat, enough money to take him back to his country, even if he is wealthy and can find someone to loan him the money. On his part, he should take with him on his trip sufficient money, if he is wealthy, so that he will not need Zakaat. Zakaat money can not be used to pay off other obligations, such as giving Zakaat money to people you are obligated to take care of by law; or Zakaat money can not be used to pay for hotel and food expenses.

It is, however, permissible to give Zakaat to a wife or family member, provided it is not part of their daily living expense money, but is needed to pay off a debt for one's wife if she can not pay it. So is the case for one's parents if they can not pay their debt.

Zakaat money may be given to members of the family for their expenses if one is not obligated to take care of them financially. The wife can pay off a debt of her husband with Zakaat money, because he may be among the eight eligible recipients and she is not obligated to spend on him as he is on her.

The eight eligible recipients of Zakaat can be denied their right to Zakaat without proof from Al-Qur`an or Sunnah. In a hadith reported by Ibn Mas`ud, his wife Zaynab heard the Messenger of Allah order women to give Zakaat, so she asked the Messenger (saas): " O Messenger of Allah, you commanded us to give Zakaat, and I have jewelry that I wanted to assess for Zakaat, but my husband Abdullah bin Mas`ud claimed that his son deserves it more than anyone." The Messenger replied: Your husband Ibn Mas`ud is right. Your son deserves your charity more than anyone." In another hadith reported by Salman bin `Aamir, he said the Messenger of Allah said: " Charity to the poor is only charity, but charity to the rest of kind is charity and maintenance of relations (sillah)." (Nisaee)

No loan should be written off as Zakaat because Zakaat is taken and given. Allah (SWT) said: "Of their goods take alms...." (Al-Qur`an, 9: 103) And in a Hadith the Messenger has been reported as saying: "Allah has mandated on you Zakaat to be taken from the wealthy and to be given to the poor." Thus, writing off debt is not taken. For instance, If you loan a person money, you can not write off that loan as a Zakaat. However, it could be written off as sadaqah charity. Furthermore, loan, delinquent or not, is considered an absent money, therefore, it should not be transacted in Zakaat. for Zakaat is assessed only in cash in hand. Besides, debt money is valued less than cash in the hand, and using that money for alms is like exchanging good money for bad.

The assessor of alms should try to give his Zakaat to an eligible person, but if he makes a mistake and gives it to an ineligible person it is accepted. In a hadith related by Abu Hurairah, he said the Messenger said:

"A man expressed his intention to give charity, so he came with his charity and placed it in the hand of an adulteress. In the morning the people were talking and saying charity was given to an adulteress last night. The donor said: O Allah, to thee be the Praise - charity to an adulteress! He then again expressed his intention to give charity, so he went out with it and placed it in the hand of a rich person. In the morning the people were talking and saying charity was given to a rich person. The donor said, O Allah to You be the praise - charity to a rich man! He then expressed his intention to give charity, so he went out with his charity and placed it in the hand of a thief. In the morning the people were talking and saying charity to the thief. So the man said, O Allah to You be the praise (what a misfortune that charity has been given) to the adulteress, the rich and the thief! Then someone came to him and told him your charity has been accepted. As for the adulteress the charity might become the means whereby she might restrain from fornication. The rich man might perhaps learn a lesson and spend from what Allah has given him, and the thief might thereby restrain from committing theft. (Muslim/ Bukhari)
http://www.islamfortoday.com/beliefs.htm

The answer is: YES
Please do not mind but I--and many other readers--- would nave preferred a shorter, more concise, question
Thank you for drawing our attention to to the need for giving in charity.

credit card ebay?

Jul 25, 2008 by Kc M | Posted in Adolescent

I have a mastercard but my parents control it (i can buy whatever i want but i can't go into debt and they can add money to it or take it away whenever) I am selling things on ebay (my parents know) to make money to buy an Ipod touch of the apple site (i don't want to buy it anywhere else) how can i get the seller to buy through credit card without giveing them all my info so i won't get any money stolen? Also I jhave paypal but apple.com doesn't accept paypal. If I use paypal through ebay how can i get the money on my credit card? I DON""T HAVE ANY CHECKS AND I CAN"T ORDER ANY!!!!

could i send the money by paypal to my moms credit card and ask her to add it to my credit card for me?
im not paypal verified because it asks for checks ,, and i don;t have them
idk Y!A suggested i post here

why can't your parents just transfer money out of your account into their own and write a check for you?

and why is this in the adolescent section? lol sorry, but i don't think many teens know how all this stuff works.

Why are many Americans very irresponsible with their money???

Aug 10, 2007 by maxman71 | Posted in Law & Ethics

Those of you who used to participate in yahoo's previous "Comments" feature following news articles on their site (the "Answers" is the new forum), may recall many posts I made going back about 2 years ago. In those posts, I warned people about the growing debt problems in the US; the use of the "paper equity" in people's homes as if it was an ATM. In addition, the US has enormous unsecured debt in the form of credit cards, as well as car loans, etc. Add further to that the massive government debt and trade deficits, well it just isn't a pretty picture. Further, the US Social Security System is an absolute mess, which will require some very painful measures to rectify. I saw all this coming to pass over 2 years ago, and sold my home in CA, paid off all my debts and configured my lifestyle to prepare for what I saw as a significant economic dislocation developing. That economic dislocation appears to be upon us. Why did so many people take on debt they had no business doing?

It started with the American dream. Everybody must OWN a car and a house. This means we have to get into debt. Nobody can pay cash right away fro the car and the house. They never said " Rent could be more suitable for your case" or they invented more reliable means of public transportation in most of the states. So, you have to buy the car, you have to get the loan, you have to pay interest.. and after the car is paid off, it is too old, so let's get a new car with new loan.. and this image developed to car+house+computer then ipod, then iphone followed by the $$$ flat screen which you will buy on credit card.. it is a mess my friend.. economical mess has to do with some of the 60's and 70's society values. In USA we are used to be in debt in some way and it is OK. In other countries debt is very minimal or even doesn't exist.

7 Android Apps For Managing Your Money

If you’re feeling a fiscal squeeze right now, you’re not alone. If you want to keep your financial house in order, your trusted Android phone can help you keep your credit card debt down, streamline your spending and even help you stash some cash for a rainy day.

Here are a few Android apps to help you handle your money better.

One of the best tools to use to see the big picture of where and how your money is spent is Mint. View all you accounts under one app, from credit card balances to checking and savings accounts. As you can see from the screenshot, you can even set bill reminders (no more overdue fees!) and even track budgets automatically. That last one is crucial if you want to make sure that you spend on only things that matter.

Controlling spending is one thing you need to practice if you want to save money for more important matters like school expenses or a retirement fund. One way to do that is to make sure that when you go out and shop that only buy stuff on your list. OurGrocery is an app that can help there, and you can create lists for all the places you shop, not just your local grocer.

If you’re drowning in credit card debt, it’s often a struggle to stay afloat financially when big balances are up to your neck. That’s where the Debt Snowball comes into play, giving you the satisfaction of paying off smaller debts first so that the feeling will encourage you to do the same for bigger ones. What’s more, you can use the above handy app to keep yourself motivated in paying off your loans and balances.

Read more...

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