Tue. Jun 19th, 2018

Credit

Five Bad Habits That Really Take a Bite Out Of Your Finances

Last time, we discussed good habits which—over time—would turn into a good foundation for financial success. This time, we wanted...

Credit Rehab: What Should You Do to Have Healthy Credit?

No matter where in the world you are, your credit score will greatly determine the quality of life that you...

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Value of a Buck: Four Reliable Tips to Save Money

dd - Value of a Buck: Four Reliable Tips to Save Money

Money is a subject that can be quite touchy to discuss. A lot of people tend to feel that any discourse about how to better save money is a criticism on how they do things. This is the last thing that we want you to feel. If you do feel that you are in an okay place there is no harm in picking up more information that can better serve you.

If you do feel like you need a bit of help with how you save money, there’s no shame in that in the least!

Auto-Transfer Banking

If you’re paid through a bank, this is something that you should get into. It is highly possible to set up a savings account in the same bank where your payroll is processed. You can have them schedule an automatic transfer whenever your salary comes in.

This method is pretty convenient because your savings is already deducted before in reaches you. So there’s already a set amount that is put aside and is growing out of sight.

Say Goodbye to Cable TV

Cable subscriptions aren’t really worth it these days. Not only are the expensive but chances are you aren’t using it anyway. Also, there are better options out there like Hulu or Netflix. Online streaming provides better options for audiences since they get to choose to watch when they want to watch something.

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Learn to Cook

You would be surprised at the total amount you spend when you eat out in dining establishments. When you take up cooking, you ultimately save money since a trip to the grocery yields bigger portions for a fraction of the amount you spend at a restaurant.

Making it a point to cook and pack lunches for work is a great way to save a lot of money.

Live a Healthy Lifestyle

Good health is a treasure. A lot of savings accounts get gutted because of poor health. If you make it a point to live a healthier lifestyle, you won’t be as prone to sickness. Just because you’re leading a healthy lifestyle doesn’t mean you should spend more.

You can totally exercise from your home and eating healthier is a good way to save money too. Dropping any vices not only saves you money but it will also keep your wallet healthy as well.

Always Remember

The earlier you start, the bigger and better the yield will be for you way down on the road. Financial stability and the peace it can bring cannot be overstated. There are so many people scrambling to gain financial stability and realize that they should have started earlier. You still have time. Getting started today is better than getting started one year from now.

What do you do to save money? Which of our tips would you be inclined to follow?

Five Bad Habits That Really Take a Bite Out Of Your Finances

ff - Five Bad Habits That Really Take a Bite Out Of Your Finances

Last time, we discussed good habits which—over time—would turn into a good foundation for financial success. This time, we wanted to shine a light at bad habits that we’re all guilty of doing. We believe that knowing about bad habits can really help identify and acknowledge existing issues. After all, the best way to pull out a weed in your garden is to first know that it’s a weed.

Not Having a Financial Plan

Finances can be tricky to handle a lot of the time. Budgets can be hard to stick to and even if you do have a budget, it can go awry. So you can imagine how disastrous it can be to have no budget at all. A financial plan is an integral part of financial handling.

Ignoring Debt

Debt can be a necessary part of life. For example, student loans are necessary if you’re ever planning on reaching higher education. In our experience, we have seen a lot of people ignore their debt until it was looming. The interest rate compounds and adds several thousands of dollars on top of the principal loan.

By ignoring the debt, you’ve set yourself back by a lot more than you already should be taking on.

debt - Five Bad Habits That Really Take a Bite Out Of Your Finances

FOMO

The fear of missing out (FOMO) is quite real in the age of the internet. Social Media has made it very easy to compare lives with each other. It seems that everyone else is always dining out or going on exotic vacations or even buying the latest gadget.

This constant bombardment of someone else’s “highlight reel” can really temp people into buying things that they do not really need or afford. If you let FOMO dictate your purchasing, you’ll be staring bankruptcy more often than you’d like.

Family Bail Out

Everyone has been guilty of this one time or another. This refers to asking mom or dad or other relatives to help you out of a tight financial spot. Doing this once or twice can be pardoned—it’s when you turn it into a ritual that it becomes a true problem.

When people think they have a constant source of bail-out, they tend to be looser with their spending.

Being an Emotion-Driven Consumer

When you let your emotions dictate your purchasing decisions, you set yourself up for failure. You end up spending more than what you intend to because it will “make you feel good”. Every emotion-driven purchase you make can be a big chunk of your finances.

The common justification for this is that “this will be the only time”. Once you give in to the habit of being an emotional buyer, that’s what you’ll be for a long time.

Always Remember

Bad habits can be broken. It will require significant effort and a lot of discipline on your part—but it CAN be done. We’ve seen it happen. Just because you’re in a bad spot in your finances right now does not mean that you will always be in that spot. Once you’ve identified the core reasons why you are presently in that financial bind, seeking solutions will become a lot easier.

Try to review the five bad habits that we shared, which ones are you guilty of?

Make It a Habit: Money-Centered Activities You Should Get Used To

mon - Make It a Habit: Money-Centered Activities You Should Get Used To

When it comes to your finances, it’s not enough to have a budget and have a steady source of income to achieve success. When it comes to your personal finances, good habits are truly necessary. Good habits are pretty hard to break once you’ve gotten used to them. We firmly believe that every person should be made aware of certain money-centered activities that they should get used to.

Activities like:

Establishing a Money Review Hour

We understand that each day can be packed with work and other activities which do demand a lot of your time. A lot of people, however, keep making that excuse to keep them from facing the reality of their financial situation.

A money review hour can sound intimidating. After all, who wants to spend an hour a day going over financial accounts, bills, and payables? Well, we gave it the name ‘hour’ because it usually takes that long at the start when you’re still gathering everything together.

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The Money Review Hour should be about tallying how much you’ve spent this particular day and how much your budget still has left until your next payday or when your source of income comes in. So it’s best to do this when you’re at home and the day is almost done.

Seeking Out Financial Literacy Seminars

Additional knowledge should always be welcome. The past ten years have been tenuous at best. There were a lot of layoffs and people suddenly coming to terms with the fact that they were so unprepared for sudden loss of income.

One of the things that we wish was taught in school is financial literacy. However, more time was given to other things—but that doesn’t mean that you no longer have the chance to learn important skills about your money management. Seeking out financial literacy seminars would help you better understand your current financial state and find out more ways how to consistently improve that state.

Seminars often have the insight and advice that you may actually need.

Always Remember

Positive money habits are a good backbone for your financial success. It is nearly impossible to start and sustain a savings plan if you do not have good money-centered activities which turn into habits. It might be a little challenging to establish those good habits but effort will always payoff—this is something that we will always remind you of.

So think back on the present money-centered activities that you do. Which ones can lead to positive money habits?

Credit Rehab: What Should You Do to Have Healthy Credit?

img4 - Credit Rehab: What Should You Do to Have Healthy Credit?

No matter where in the world you are, your credit score will greatly determine the quality of life that you will lead. After all, the healthier your credit, the better deals you get. Your credit score is something that you build over several years.

Here are a few things you should do to keep your credit score healthy:

Always Pay on Time

You would be surprised how many people’s credit score suffers because they consistently pay past due date. If you’ve got a lot of payables, it would be important to note when they are due. Set up an alarm or even set up an automatic transfer in your bank.

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Paying on time shows establishments (especially credit establishments) that you are financially responsible and not likely to run out on a debt.

Dispute Errors

Despite your enthusiasm at staying on the right side of your credit score, errors still do happen. This is why it is very important that you keep a sharp eye on your credit reports. You should check your credit score every four months or even less.

If you spot any errors, it would be important for you to dispute them immediately. Identity theft is something that has been plaguing a lot of people so you should be proactive about keeping your credit score safe.

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Always Remember

Even if your credit rating right now is in the gutter, everything is not lost. Credit scores can be rehabilitated. All it takes is a lot of planning; strict monitoring of your expenses and payments schedules, and discipline—lots of it. You are, after all, trying to get banks and financial institutions to see that you are making progress.

When it comes to the health of your credit, effort always pays off. What’s your present credit score look like? What do you do to make sure that it stays healthy?

Writing It Down: Handy Things You Can Use to Plan Your Budget

budget - Writing It Down: Handy Things You Can Use to Plan Your Budget

When you are handling your own finances, there is a very big chance that you’ve read an article or two about the idea of budgeting. Budgets are really helpful and there are a lot of different ways on how you can plan them.

In our experience, here are the best things you can utilize when you’re planning your budget:

img - Writing It Down: Handy Things You Can Use to Plan Your Budget

An App

Yes, there IS an app for that. In fact, there are a lot of apps to choose from when it comes to your budget. There are apps which allow you to record your expenses and even give you an idea how much you are saving.

There are some which allow you to record your cash and credit records. Before you choose an app, you had better make sure that the app that you choose has a good security feature.

An Excel File

You would be surprised at how handy MS Excel can be at a time like this. You can make use of the macros and formulas to calculate any projected savings or expenses. The many different tabs can help you keep track of different categories.

excel - Writing It Down: Handy Things You Can Use to Plan Your Budget

There are actually pre-made templates that can help you with household budgeting. Try it out and don’t worry too much if you think it’s all complicated at first. Eventually, you’ll become really familiar with the shortcuts or you can even use the tutorial that’s pre-built into the program.

Always Remember

A budget is a key ingredient in financial success. When you’ve got a good budget plan, you’re better prepared for your day to day, weekly, monthly, and even annual expenses. A budget plan may seem intimidating at the start but don’t fret. A budget can be your very best friend before long. There are a lot of other options for you to use when it comes to planning your budget!

What do you use when you plan your budget?