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Your Friend the Secondary Market – Part 1

Ahh, shopping. For some it is a relaxing past time. For others, it might as well be Dante’s tenth circle of Hell. For the savvy shopper, shopping can be both fun and stressful. It’s a good time when we exercise our wit and get a great deal on something. At the same time, trying to determine if we are getting a good deal can be stressful and difficult.

When we go to the store, or log on to your favorite online shopping website, we usually only consider a few basic factors when deciding what to purchase. Of course, at the top of that list is price. If we can find a better price somewhere else, we are more than likely going to spend our money elsewhere. We also consider convenience. Is the shopping experience easy? If I purchase something online, do I have to pay for shipping or is that cost wrapped up into the total cost? If purchasing online, am I willing to wait days, even weeks, to receive my merchandise? Usually we are willing to pay a little more if purchasing from that vendor is more convenient.

Another factor that many don’t consider but should is the existence of secondary markets. Secondary markets are just what they sound like, a secondary place to buy what you want. These are epitomized (unfortunately) by the used car dealership. A market that sells goods that have already been used. Of course, purchasing items on a secondary market means there are even more factors for a shopper to consider when deciding upon a purchase, but ultimately, they provide additional value to new items you purchase and they let you buy items at a discount. Today we will look at one way to use secondary markets to your advantage and in a later post, we will look at a second way to utilize secondary markets advantageously.

The first, and perhaps best way of using a secondary market is to avoid losing money instantly. Everyone knows the age-old saying when buying a new car: the second you drive it off the lot, expect its value to nose-dive. Unfortunately, this is true; it is perhaps the greatest disappearing act in the world of finance (excepting the stock market; that can lose your money faster than anything else). The mere act of taking a new item and turning it into a used item by a simple purchase depletes its value. For new car buyers this is bad news, for someone willing to consider purchasing a used car, this provides an opportunity. Why take that financial hit if you don’t need to? Let someone else suffer those economic losses and buy a used car that will not decrease (as fast) in value.

This theory holds true for other items as well. Used goods simply are more cheap to purchase. So, next time you need a new something, take a look at eBay, Amazon Marketplace, or Craigslist before heading to the local department store. You will probably find it’s easy to find what you need and at a much better price.

What do you think readers? How have your experiences with secondary markets saved you money?

Article publié pour la première fois le 31/07/2013


5 Things You Can Buy Refurbished

People are always looking for new ways to save money and considering purchasing factory refurbished products is a great way to do this.  Refurbs may not be the best option for you either because of your comfort level or your desire to buy new, however, they are worth a look.  Before you start your search, here are some questions from the Practical Home Theater Guide that you’ll want to ask before buying a refurbished product:

  • Is it a factory-refurbished product?

  • Is the refurbished unit being sold by a manufacturer authorized dealer?

  • Does the refurbished unit have a valid U.S. warranty?

    At least it should come with a typical 45 to 90-day Parts and Labor warranty.

  • Does the retailer offer a return policy for the refurbished unit in case you are not completely satisfied with your purchase?

    Expect at least 15-days return policy. This is important so that you can inspect the product yourself before a final decision.

  • Is it possible to get an extended warranty for the refurbished item?

    This does not imply that you should purchase an extended warranty – rather it shows to what extent the retailer is ready to backup the refurbished product.

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Article publié pour la première fois le 11/08/2010

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These are the carnivals where I was featured this week.  Enjoy!


Best of Money Carnival @ Personal Finance by the Books – Oh, You’ll Pay!  Interest that is.

Carnival of Personal Finance @ Budgeting in the Fun Stuff – 5 Stupid Things You Can Do With Your Money

Carnival of Money Stories @ Squirrelers – Online Grocery Shopping – Worth it?

Carnival of Financial Planning @ Squirrelers – 7 Days to a Budget


As long as you are browsing the interwebs, here are some of the articles that I found worthwhile this week:

The $100 Discussion @ Punch Debt in the Face

It’s Still A Good Idea To Buy A House In This Economy @ Free From Broke

5 Main Money Gobblers @ Sweating the Big Stuff

25 Baby Steps to Frugality @ Home Ec 101

Article publié pour la première fois le 03/09/2010

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7 Days to a Budget

If you’re like me, you can sit down for hours at a time and enjoy looking over your budget.  If you’re normal, you have neither the time nor the inclination to spend a perfectly good evening crunching numbers.  I’m assuming that most people are ‘normal’ (at least in terms of budgeting) and for that reason, I have broken the process into seven, doable steps, so that by this time next week you will finally be on a budget. 

What a budget will do:

  • Help you get out of debt.
  • Help you set and achieve financial and savings goals.
  • Help you conserve your resources.
  • Help you anticipate financial problems before they occur.

What a budget will not do:

  • Keep itself – budgets do require monthly maintenance.  
  • Keep track of every little expense – budgeting is about your BIG financial picture; like when lots of little things start to add up.
  • Magic – budgets do not do magic, that part is up to you.

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Article publié pour la première fois le 24/08/2010

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Around the Interweb – Week of June 14th






Article publié pour la première fois le 19/06/2010


Article publié pour la première fois le 09/09/2010