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Mastermind – The Best Personality Type

Image via Wikipedia

A few of the best personal finance blogs have decided to post on a theme. It’s a personality type blog carnival.

After taking the Jung Typology Test, I discovered that I am an INTJ; a Rational Mastermind. Specifically I am I(78%) N(12%) T(75%) J(44%).

What does that mean, you ask?

It means that I am rare. Fewer than 3% of the population has my personality type, which is Introvert iNtuition Thinking Judgement, but the intuition is close to Sensing, making me almost an ISTJ, or a Guardian Inspector.

From Wikipedia:

I – Introversion preferred to extraversion: INTJs tend to be quiet and reserved. They generally prefer interacting with a few close friends rather than a wide circle of acquaintances, and they expend energy in social situations (whereas extraverts gain energy).
N – Intuition preferred to sensing: INTJs tend to be more abstract than concrete. They focus their attention on the big picture rather than the details and on future possibilities rather than immediate realities.
T – Thinking preferred to feeling: INTJs tend to value objective criteria above personal preference. When making decisions they generally give more weight to logic than to social considerations.
J – Judgment preferred to perception: INTJs tend to plan their activities and make decisions early. They derive a sense of control through predictability, which to perceptive types may seem limiting.
S – Sensing preferred to intuition: ISTJs tend to be more concrete than abstract. They focus their attention on the details rather than the big picture, and on immediate realities rather than future possibilities.

To summarize the personality of a mastermind: We are big-picture planners. We see patterns other people miss and use that to solve complex puzzles and problems. It’s not possible to follow a thought through the head of a mastermind, because thinking comes with a ton of free association. We may be watching an episode of Spongebob, and something Patrick does will trigger a domino-effect of seemingly unrelated thoughts that will lead a conclusion, out of nowhere. Often, we aren’t aware of the process.

We don’t do crowds, at least, not often. Good conversation with good friends is better than a party full of people we barely know. Crowds are draining. A quiet night at home is a good night, but that’s not saying we-re shy. We just don’t enjoy keeping up with small talk and polite chatter. Get us on a topic we’re passionate about and you won’t shut us up. Get us in a group of people we care about, and we can be the life of the party.

As a group, we are ambitious and deliberate. We are capable of making firm decisions, confidently. Confidence is one of the hallmarks of a mastermind, but one I don’t have to the normal extreme.

We are ~~obsessive~~ focused. When we get set on a problem, we focus in a way that leaves other people stupefied. Time goes away. The rest of the world fades. You may have to shout to get our attention. Sometimes, our minds will drift in the middle of a conversation, and we’ll lose track of who’s saying what. It’s rude, but that doesn’t change the way we are wired.

We don’t do emotion. We are rational and get frustrated with people who make decisions based on emotion. This makes it hard to connect with others, but that’s okay, because it’s better to have a few extremely close friends than a crowd of mere acquaintances. Unfortunately, this can make relationships difficult, too. The benefit to dating or marrying an INTJ is that we carry our focus into relationships. We take our relationships seriously.

We are inwardly-focused, so we spend quite a bit of time examining ourselves. This can lead to a long series of self-improvement projects, but none get taken on as a mere fad. They are planned and dissected before even being mentioned to others, let alone undertaken.

We take criticism well, but if you can’t back up the critique with facts and reasoning, don’t bother. Rational, remember?

We are driven by a need to understand. Once we understand, a given project or line of thought may be abandoned. Until we understand, very little can shake our focus.

Self-promotion is difficult, since we don’t get into the heads of others well. They should be able to see the obvious benefits without being told, right?

Now, to cross a bit of the ISTJ into the mix.

An Inspector is duty bound and loyal, to an extreme. They are dependable workhorses. Under stress, they can get stuck on the things that could go wrong, which would explain why I miss out on the confidence brought by being a mastermind.

To summarize me:

I am a planner.
I am extremely focused, to the point of obsession.
I am driven to learn new things, constantly. Few of those things are incorporated into my life, long-term.
I don’t cheat. Taxes, games, relationships, etc.
I am intensely loyal, but to very few people or causes. I don’t end relationships quickly or easily. That said, when it’s time for them to be over, I can break it off with little regret.

Security, improvement, planning, learning, thinking, loyalty, honesty, integrity.

That sounds about right.

Now you know a bit about how I tick. What’s your personality type?

How to Prioritize Your Spending

Finance, Uncategorized

Don’t buy that.

At least take a few moments to decide if it’s really worth buying.

Too often, people go on auto-pilot and buy whatever catches their attention for a few moments. The end-caps at the store? Oh, boy, that’s impossible to resist. Everybody needs a 1000 pack of ShamWow’s, right? Who could live without a extra pair of kevlar boxer shorts?

Before you put the new tchotke in your cart, ask yourself some questions to see if it’s worth getting.

1. Is it a need or a want? Is this something you could live without? Some things are necessary. Soap, shampoo, and food are essentials. You have to buy those. Other things, like movies, most of the clothes people buy, or electronic gadgets are almost always optional. If you don’t need it, it may be a good idea to leave it in the store.

2. Does it serve a purpose? I bought a vase once that I thought was pretty and could hold candy or something, but it’s done nothing but collect dust in the meantime. It’s purpose is nothing more than hiding part of a flat surface. Useless.

3. Will you actually use it? A few years ago, my wife an cleaned out her mother’s house. She’s a hoarder. We found at least 50 shopping bags full of clothes with the tags still attached. I know, you’re thinking that you’d never do that, because you’re not a hoarder, but people do it all the time. Have you ever bought a book that you haven’t gotten around to reading, or a movie that went on the shelf, still wrapped in plastic? Do you own a treadmill that’s only being used to hang clothes, or a home liposuction machine that is not being used to make soap?

3. Is it a fad? Beanie babies, iPads, BetaMax, and bike helmets. All garbage that takes the world by storm for a few years then fades, leaving the distributors rich and the customers embarrassed.

4. Is it something you’re considering just to keep up with the Joneses? If you’re only buying it to compete with your neighbors, don’t buy it. You don’t need a Lexus, a Rolex, or that replacement kidney. Just put it back on the shelf and go home with your money. Chances are, your neighbors are only buying stuff so they can compete with you. It’s a vicious cycle. Break it.

5. Do you really, really want it? Sometimes, no matter how worthless something might be, whether it’s a fad, or a dust-collecting knick-knack, or an outfit you’ll never wear, you just want it more than you want your next breath of air. That’s ok. A bit disturbing, but ok. If you are meeting all of your other needs, it’s fine to indulge yourself on occasion.

How do you prioritize spending if you’re thinking about buying something questionable?

Selling Your Car

Finance

: English: Jalopy car in Joshua Tree National Park in Hidden Valley Campground (Photo credit: Wikipedia)

When it’s time to replace your car, most people focus on the new car, instead of the old, but that is ignoring real money. Your old car–unless it has disintegrated–still has value. Sometimes, it’s just time to ask yourself, “When should I sell my car?”

When you’re looking to sell your car (like with We Will Buy Your Car), you generally have several options:

Tow & crush. If your car has been wrecked, doesn’t run, or is just old and beat up, you may be stuck with calling a junkyard and accepting $50 for them to pick up your car and crush it for scrap.
Trade it in. This is probably the least hassle, but–other than #1–doesn’t pay well. Dealerships are willing to pay something under what they will get at a wholesale auction, which is quite a bit less than the blue book value.
Sell it yourself. Now you’re thinking, “He’s going to buy my car! Oh, bother.” It can be a pain, but it’s also the best way to get a decent price for your wheels.

When you sell your car, there are a few things to keep in mind, much like when you sell something on Craigslist.

Don’t be alone. There are bad people in the world, but they don’t like witnesses. Bad things are much less likely to happen if you have company.
Know your price. Specifically, know three price: your dream price, the price that would make you happy, and the absolute lowest price you are willing to accept. Make sure you figure these numbers out ahead of time. Know what you are comfortable with before it comes time to close the deal.
Check IDs. The buyer is going to want to test-drive your car. That’s fine, but you want to make sure you know who is driving off in your car. “Officer, Sumdood took my car. He was wearing jeans.” That won’t get your car back.
Clean it up. Get the car detailed before you show it to a potential buyer. A sparkling-clean car will almost always bring in a few hundred extra dollars. It’s well worth the expense.

Following this plan should make the sale go as smoothly as possible and bring you the most possible money.

Readers, what have you done to dispose of an old car?

This is a sponsored post written to provide some insight into the world of used car retail.

Why I chose a prepaid credit card

Finance

This is a guest post.

You can’t get credit without a credit card, and you can’t get a credit card without good credit. This is a dilemma that many people find themselves facing, whether they are trying to re-establish their credit or build credit for the first time. In fact, this is the dilemma that I found myself in. My solution was to get a prepaid card, and here’s why.

The Real Deal with Prepaid

Prepaid credit cards have earned a mixed reputation over the years. While it’s true that they usually have more fees than a regular credit card, they also offer a financial solution for people who don’t have good credit. And you should also keep in mind that they don’t charge interest because the cash that you are using is yours to begin with. The important thing to remember about prepaid cards is that they are a means to an end; once you rebuild your credit, you’ll find it much easier to apply for a card with better rates and fewer fees.

In addition, prepaid cards offer several advantages. The most important one for me was the convenience of having a card that I could use to make purchases. Prepaid cards look and work exactly like regular credit cards (you don’t have to enter a personal identification number to use them), so the only one who knows it is prepaid is me. And while I use cash for everyday purchases, there’s no avoiding the need for a card when you have to shop online or pay for gasoline at the pump, for example. Most digital merchants only accept payments from cards linked to large financial brands like Mastercard and Visa, and my card gives me a way to buy what I need from whoever has it in stock. In addition, my prepaid card offers me a way to keep track of all of my purchases electronically, which is helpful since I am trying to keep a closer eye on my budget.

Prepaid cards also offer security. Cash can easily be lost or stolen, but if you lose a prepaid card, you can easily get a replacement. More importantly, your balance is protected by a replacement guarantee from your bank, which comes in handy if you ever have to dispute fraudulent charges.

Perhaps the most convenient factor of a prepaid card, though, is how easy it is to get one. You don’t have to have a bank account in your name to receive a prepaid card. However, if you do have an account, you can easily link it to your prepaid card.

Changing my spending habits and getting out of debt hasn’t been easy for me, but one way for me to show creditors that I am getting better at managing finances is to build my credit with my prepaid card. It’s also a way for me to eventually be able to make big purchases that are necessary, such as a car, and hopefully one day, a home. Prepaid isn’t for everyone, but if you find yourself considering this option, it’s worth a second look.

Link Roundup

Misc

Wrestling season is wrapping, leaving me more time to do the other things I care about. One more week, and we cease being over-scheduled for a while.

The situps aren’t going nearly as well as the pushups did last month. I hit 50 this week, but two days later was down to 35. Every time I’m about to get into the groove, I over-do it and hurt my back. I don’t like situps, much.

Finance links:

Couple Money is giving away a netbook for their 6 month blog anniversary. Subscribe and follow them on Twitter. Head over for the details.

CNN’s 20 best money websites. I didn’t make the cut, so I’m sad.

Trent talks about Litterless Juice Boxes. The dollar store near my house sells them for one third the price of Amazon.

We’ve got another example of governments failure to run a cost/benefit analysis.

Credit Card Glossary

Finance

As evil as credit cards are, most adults have one. Have you ever wondered what percentage of those people know the details of[ad name=”inlineright”] their credit card agreement, or even what all of the terms mean?

Here’s a quick list of the terms and their definitions.

Average daily balance – This is the balance most card companies use to calculate your interest. They add the balance each day and divide it by the number of days in the billing cycle. This number times the interest rate is (roughly) the interest you have to pay.
Annual Percentage Rate(APR) – This is the interest rate expressed as the interest accrued in one year. The actual calculation is much more complicated.
Balance transfer – If you’ve ever paid your VISA with your Mastercard, you’ve done a balance transfer. These often have a great introductory rate and a lousy permanent rate.
Cardholder agreement – This is the contract that defines all of the terms of your card: interest, default consequences, payment terms, and everything else. You should never sign for a card without reading and understanding this document.
Charge-back – If you dispute a charge on your card, the issuer may issue a charge-back, and take the money back from the merchant to return to you.
Credit line – This is the amount you are able to charge. You should fear this number and stay as far away from it as possible.
Default – When you stop paying your card, you become delinquent. If it goes on too long, you will be in default. Read: screwed. This is when they crank your interest rate to the sky and cut your limit to match your balance. It’s also the point that affects your credit rating.
Due date – This is the day which, if you miss it, will cause you to acquire an extra $15-39 fee for the privilege of misreading your calendar. Always pay your bill before this date.
Finance charge – This is the actual interest accrued for the billing period. This is money you are paying for the privilege of borrowing the rest of the money. Next month, you’ll pay a finance charge on this money, too. Yay!
Grace period – For most cards worth owning, you get 20-25 days before the issuer starts charging interest. The best way to manage your card is to pay it off completely twice a month. That way, you’ll never use up your grace period and never pay a cent of interest.
Introductory rate – Many cards will offer a crazy-low interest rate for six months to lure you in…like crack. They’ll get you hooked, then raise the rate and force you to charge new toys at the higher rate. Ideally, you’ll never carry a balance, so you’ll never have to worry about the introductory rate.
Minimum payment – If debt has an evil heart, this is it. If you pay nothing but the minimum required payment, you will be in debt for the rest of your life. Always pay more, even if it’s just an extra $20.
Over-the-limit fee – If you ignore your credit limit and keep spending, you’ll get hit with another $15-39 fee for the privilege of not controlling your irresponsible impulses.
Periodic rate – This is your APR expressed in relation to a specific time frame, usually as a daily periodic rate. For example, if your interest rate is 18%, your daily periodic rate is 18/365 or 0.0493%
Pre-approved – When you get a pre-approved card, you are actually just getting a notice that you have been pre-screened as not being too much of a deadbeat for that particular card. You will still have a full credit check before the card is issued.
Secured card – If you’ve got lousy credit, sometimes your only choice to repair it is to get a prepaid card. You give the company $200 and they will let you charge $200. They are almost always loaded with fees and are usually a very bad deal, but if it’s the only game in town…?
Universal default – Sometimes, if you default on one card, every other card you have decides to gang up on you, because your “risk profile” has changed. Yet more proof of the evil that is credit-card debt.
Variable interest rate – Some card tie your rate to the Prime interest rate, so when that changes, your rate does, too.

Did I miss any terms?