A recent National Foundation for Credit Counseling (NFCC) online poll revealed that close to one in five consumers, 18 percent, believe that carrying credit card debt over from month-to-month is a responsible way to manage finances.

“This data suggests that not only are many Americans are using credit cards to fund a lifestyle their income can’t support, but they are comfortable doing so,” said Gail Cunningham, spokesperson for the NFCC.

Consumers need to be aware of the consequences associated with continually carrying credit card debt from month to month, some of which are below:

· Interest on a credit card is typically calculated on an average daily balance. For those who carry a balance over from the previous cycle, interest is not only charged on the unpaid balance, but on any new purchases added to the balance.

· With interested added onto the balance month after month, consumers end up paying interest on the interest.

· Carrying a balance has the potential to negatively impact a person’s debt to credit ratio, one of the main components of credit tscores.

· A higher balance decreases the amount of credit available for future purchases.

However, there can also be disadvantages to charging too little. At the other end of the spectrum, a similar number of respondents, 21 percent, indicated that they do not use credit cards. While this approach to money management can avoid many financial pitfalls, it too has its problems:

· Although it is possible to pay cash or use a debit card for daily expenses, these types of transactions are usually not reported to the credit bureau. Most people need credit for major purchases such as a house or car, but without a thick and positive credit file, credit may be denied.

· Without credit cards, people miss out on the convenience of being able to purchase items or pay for services when cash is not readily available.

· Carrying cash is risky, as the money could be lost or stolen, whereas credit cards often offer consumer protection features including those against loss.

· Credit cards provide a safety net for emergency situations.

The majority of poll respondents, 61 percent, believe that paying credit card debt in full each month is the only responsible way to manage personal finances. The benefits associated with this type of behavior far outweigh any disadvantages and include the following:

· Timely bill payments and a low credit utilization ratio are typically the top weighted elements in credit scoring models. Therefore, this type of behavior could have a positive impact on an individual’s credit scores.

· The convenience of using credit can be enjoyed without paying any interest or penalties.

· The entire line of credit remains available for future use.

· Stress and worries of being over-extended are avoided.

People who repeatedly find themselves unable to satisfy their monthly debt obligations in full could benefit from talking to a certified credit counselor at The Village Family Service Center. Contact The Village at 1-800-450-4019 or www.HelpWithMoney.org.

Gas Leak

FARGO, N.D. (August 19, 2013) – Fargo firefighters responded to a report of a gas leak and fire at New Horizons Manor 2525 Broadway at 2:14 p.m. Propane was escaping from a relief valve and the flames were extending about 5 feet above the valve in a fenced area outside the building. Several large propane tanks were nearby. Fire fighters under cover of a protective hose line shut off supply valves and the flames started to subside. The flames suddenly went out but propane gas continued to escape. At that time Fire Command gave the order to evacuate the building. Residents were escorted across the street and sheltered in nearby businesses. FM Ambulance brought units to the scene to shelter residents and 3 city buses were requested to provide Air Conditioned shelter. The Salvation Army also responded to provide liquids for residents and first responders as the outside temperatures were warm. Fargo Police were also on scene to control traffic for residents crossing Broadway.

The leak was stopped and residents were allowed to return after the building was checked for propane vapors by the Fargo Hazardous Material team.

The propane company said a defective relief valve allowed propane to escape and was ignited by the igniter in the vaporizer. There were no injuries and no fire damage.

Grunewald Named Big Iron

Farm Show Exhibit Coordinator

at Red River Valley Fair Association

West Fargo, N.D. – The Red River Valley Fair Association has hired Emily Grunewald as the Big Iron Farm Show Exhibit Coordinator.

Grunewald has extension experience in the trade show and fair industry. Her primary responsibilities will involve Big Iron Farm Show exhibit spaces, coordination of the show schedule, and livestock shows at the Red River Valley Fair.

Grunewald has a strong background in ranching and fair experience. Her prior position was at the Santa Cruz County Fair in Watsonville, California, where she was the Exhibit Representative. Grunewald is a partner in the Walker Ranch Cattle Company in Salinas, California.

The Big Iron Farm Show is a subsidiary of the Red River Valley Fair Association. Big Iron Farm Show will hold its 33rd annual show September 10-12, 2013, in West Fargo, North Dakota.

Is Adoption Right for You?

The Adoption Option, a partnership between The Village Family Service Center and Lutheran Social Services of North Dakota is holding a FREE informational meeting about adoption, Tuesday, September 17, 6:30 p.m., The Village Family Service Center, 1201 25th St. S., Fargo.

This meeting is open to North Dakotans who are considering adopting a child.

Caring professionals with knowledge and experience in adoption issues will answer questions and provide education regarding the opportunities, strengths and risks of adoption.

Find out about all the adoption options including infant, identified, interstate, and relative adoption, plus a special focus on international adoption. Open adoption will be explained and the issues of cost and waiting periods will be addressed.

For more information, call 1-800-627-8220.

Parents Projected to Spend $241,080

to Raise a Child Born in 2012, According to USDA Report

WASHINGTON, August 14, 2013 – The U.S. Department of Agriculture (USDA) released its annual report, Expenditures on Children by Families, also known as the Cost of Raising a Child. The report shows that a middle-income family with a child born in 2012 can expect to spend about $241,080 ($301,970 adjusted for projected inflation*) for food, shelter, and other necessities associated with child-rearing expenses over the next 17 years. This represents a 2.6 percent increase from 2011. Expenses for child care, education, health care, and clothing saw the largest percentage increases related to child rearing from 2011. However, there were smaller increases in housing, food, transportation, and miscellaneous expenses during the same period. The 2.6 percent increase from 2011 to 2012 is also lower than the average annual increase of 4.4 percent since 1960.

“As the economy continues to recover, families are naturally cost conscious. This report gives families with children a greater awareness of the expenses they are likely to face,” said USDA Food, Nutrition and Consumer Services Under Secretary Kevin Concannon. “The report is also a valuable resource for courts and state governments in determining child support guidelines and foster care payments.”

The report, issued annually, is based on data from the Federal government’s Consumer Expenditure Survey, the most comprehensive source of information available on household expenditures. For the year 2012, annual child-rearing expenses per child for a middle-income, two-parent family ranged from $12,600 to $14,700, depending on the age of the child.

Grand Forks Sets

Sales Tax Collection Record

Sales tax collections have set a new monthly record in Grand Forks. The City brought in more than $2.1 million for the month of August, the highest amount recorded since the inception of sales tax in 1985.

This marks the first time this year the sales tax collection has topped the $2 million mark, and only the fourth time in the City’s history. The August revenue represents the sales tax collected for the month of June 2013.

Sales tax revenue for the City of Grand Forks is about 2% higher than the same time last year.

For the 2013 calendar year, the sales tax collected totals nearly $13 million, up more than $263,000 from the same eight month span in 2012.

Fargo Receives $50,000 Grant to

Study Use of Compressed Natural Gas

FARGO, N.D.– The City of Fargo has been awarded a $50,000 North Dakota State Energy Program grant to study the feasibility of using compressed natural gas (CNG) to operate some city vehicles.

The ND State Energy program teams with the US Department of Energy to issue funding for worthwhile energy projects that help reduce our dependence on foreign oil and make better use of available resources while reducing cost and emissions.

Fargo’s Renewable Energy and Conservation committee has been working with the ND Department of Commerce and select cities across the country that have already begun to utilize CNG in their fleets for the past few years to reduce fuel costs by using abundant and lower emission natural gas.