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Q: Are there any personal government grants that I could apply for that will help me pay off personal debt?

A: There are different kinds of government grants which you can apply for.  If you are looking for help to pay off your student loans, you can read this post, and this article too.  More information can also be found on this post.

If you are a first-time homebuyer, you can find more information about grants which you can avail of in this article.

You can also read this article on the Best Place to Find Grants, Loans and Financing for Entrepreneurs if you are seeking information about grants for business owners.

Related articles

• Are There Any Programs That Can Help Pay Off My Student Loans? (askthemoneycoach.com)
• Get Financial Coaching With The Zero Debt Kit (askthemoneycoach.com)

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When it comes to setting financial priorities for 2010, it’s all about planning and crossing some major “to do’s” off your list as early as possible …. this way you start off the New Year on the right foot and you score some big financial victories early on … to keep you motivated and on track all year long…

Here’s what to do and how to do it …

a. File your taxes early.

Not many people actually enjoy the process of filling out their taxes every year. But it’s the law, and most of us do have to file a federal income tax return annually. Why stress yourself out (and your accountant) waiting until the very last minute to get this task done? Instead, set a goal date well before April 15 to submit your tax returns to the IRS.

Tip/Resource: If you made $49,000 or less in 2009, you can get free tax help and preparation by an IRS-trained and certified volunteer through the VITA program. That stands for Volunteer Income Tax Assistance. Call the IRS at 800-829-1040 or log onto the the IRS website at www.irs.gov to find a local VITA site in your area.

The Payoff: Getting this chore accomplished early will give you peace of mind, help you avoid crowds at the Post Office, and also get a check back early from Uncle Sam if you’re due a refund. Owe the government? Filing early – or at least on time – will help you too as you’ll avoid late fees and penalties.

b. Get financial help where needed.

There’s no shame in asking for help when necessary, especially in a tough economy. Think about the economic problem areas in your own life, or the aspects of your finances where you struggle financially, and reach out to a reputable, qualified professional who can guide you in those areas.

Tip/Resource: Don’t believe the misconception that hiring a financial pro is “too expensive.” You can hire a fee-only financial advisor for a one-hour consultation, for as little as $50 to $100 via the National Association of Personal Financial Advisors. Just log onto http://www.napfa.org to find a good financial planner in your city.

The Payoff: Getting financial help can put you back on the right track. It also means you’ll no longer bear the burden of fixing your economic problems all by yourself.

c. Draw up a will.

About 70% of Americans don’t have a will, and that’s a huge financial mistake. Besides creating a budget, few things in the world of personal finances evoke so much procrastination as making a will. But having this essential estate-planning document is a cornerstone of good financial planning.

Tip/Resource: Can’t afford to hire a lawyer to create a will? Then make one inexpensively using a professional online service, such as Legalzoom.com ($69) or BuildaWill.com ($19.95).

The Payoff: Creating a will allows you to scratch off a major “to do” item on your financial planning checklist. It will also be a low-cost way to help safeguard your family in the event of your death.

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Using proper credit and debt management strategies is essential to getting back on financial track, post holidays.

Here’s what to do and how to do it ….

a. Establish a Strict Debt Payoff Plan

You don’t want the debt you racked up in 2009 to follow you into the holiday season of 2010. So set a tight timetable for how quickly you will pay off charges you made over the December holidays. Three months is a reasonable goal to pay everything off.

Tip: Take the amount you put on credit cards, say $600, and divide that by 3 …. therefore you have to pay $200 a month to eliminate your holiday debt. (That $200 is in addition to any other payments you may have already been making if you’ve been carrying balances on your VISA, MasterCard, etc.)

The Payoff: By slashing your debt, you’ll save tons of cash in finance charges and avoid the trap of living paycheck to paycheck.

b. Scrutinize your Credit Card Statements/Agreements

As the credit crunch continues, banks are closing credit card accounts, raising interest rates, and lowering credit limits. They’re also imposing a host of new fees and changing the fine print of many agreements. You don’t want to run afoul of any new rules that may be imposed … so know what they are and abide by them to the letter.

Tip/Resource: Consider going to a trustworthy non-profit agency such as the National Foundation for Debt Management (http://www.NFDM.org) if you have serious problems and need free credit counseling or a debt management plan.

The economic downturn and credit crunch have highlighted the importance of achieving and maintaining a great credit rating. Having poor credit not only puts you at risk of getting rejected for things such as mortgages and auto loans. It also means you’ll pay more for car insurance and life insurance, and could hurt your chances to get a new job or receive a promotion on your existing job.

The Payoff: Having excellent credit can help you earn or save hundreds of thousands of dollars over your lifetime because you’ll improve your career prospects, and get the best loan rates and terms on an array of financial products and services.

c. Pull your credit reports and scores

If you want to acquire top-notch credit, the first step in doing so is to:

a) Pull each of your credit files from the three major credit reporting agencies – Equifax, Experian and TransUnion; and

b) Get your credit scores, which are calculated based on the information contained in your credit reports. A shocking number of people have never seen their own credit files, nor received their credit scores. And such ignorance is costing them gobs of money. A survey from Washington Mutual and the Consumer Federation of America concluded that being in the dark about their credit, and how the credit-scoring system works, is costing individuals in America as much as $28 billion a year.Without pulling your credit reports and credit scores, you can’t give yourself a proper financial checkup – let alone improve your credit rating.

Tip/Resource: Get free copies of your 3 credit reports from http://www.annualcreditreport.com. Get your FICO credit scores from http://www.myfico.com. (FICO scores aren’t free; they cost $15.95 each).

The Payoff: Knowing what’s in your credit reports can help you dispute mistakes (and 70% of credit files contain errors). You can also make sure you haven’t been the victim of identity theft, which happens a lot during and after the holiday season (when a thief steals your personal information and uses it to open unauthorized credit accounts).

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