Tactics That Keep Your Personal Finances Protected
Do you ever feel like your finances control you and not the other way around? This feeling that you have no control is common, but it can be eliminated if you apply some practical strategies. The following tips can help you not only breathe a sigh of relief, but also take some measures to get back control of your finances.
In this economy, it’s best to have multiple savings plans. Savings accounts, high-interest savings accounts or checking accounts, regular checking accounts, money-market accounts, stocks and gold are all sound places to keep your money. Look for new ways to invest your money, and make sure you keep it safe.
Keep an envelope with you in your purse so you can put receipts and cards in it. It will come in handy for storing business cards, receipts, and other small documents. This way you can ensure you have all the documents you need for your records. Try comparing credit card statements to see if they contain double charges.
Use two to four credit cards to enjoy a satisfactory credit report. If you only have one card, your credit score will rise, but slowly. If you have more than four, it is an indication that you have difficulty dealing with your finances. Use two cards to start, then add new cards as needed to build your credit.
If you are struggling with very old debts, educate yourself on when they expire. Find out if the statute of limitations on your debt has passed, and don’t pay a collector who tries to collect time-barred debt.
Turn your unwanted items around the house into money in your pocket with a simple yard sale event. Let all of the neighbors know about the upcoming garage sale – one might even offer to sell items for them in exchange for a small commission. You can have a creative garage sale!
A great way for frequent travelers to be rewarded for their travels is through a frequent flier plan; most airlines offer these programs. Most credit cards have some sort of rewards program that allows you to redeem points for cash or gifts. These frequent flier miles may be redeemed at various hotels for rooms that are free, or sometimes for discounts on your stays.
Prevention is the best remedy for credit card debt. Take a step back and think before making purchases on your credit card. Ask yourself how long it will take to pay off. If you can’t pay off the charge in a month, and it’s something you don’t really need, avoid it.
Knowing the value of ones possessions can make all the difference in preventing a person from throwing out or selling an item for next to nothing, when it was really a valuable item. A valuable antique may still end up being sold, but it will garner significant rewards if its value is accurately assessed before it leaves the home.
It can be helpful to talk with a relative or friend who works with finances to get insight on how to properly manage your money. If one doesn’t know any finance professionals, a good substitute is a friend or family member who is especially good with their finances.
If someone is looking to buy something that cost a lot, they should ask for advice from the family. If the item is something that everybody can use, then people will be more willing to give some money towards getting it.
Try setting up an automatic bill payment through your bank to ensure you pay on time. You may be unable to pay your credit cards off all at once, but by making timely monthly payments you will be establishing a good credit history. If you set up an automatic payment, late payments never happen and you can pay more than the minimum if you happen to have some extra funds free.
During the years, financial problems might arise even when you plan carefully. It’s good practice to be aware of the grace period, as well as the late payment fees for your rent. Read your lease in full before signing it to ensure that you are not surprised by something later on.
Your highest interest card should be the first that you pay off. Though paying them off equally sounds more reasonable, the high interest fees will prevent you from paying it off at any rate. With credit card companies poised to raise rates again, this can be a wise move.
Debt does not have to work against you. Consider that your good debts are invested in something, much like real estate. On the average, real estate increases in value and you can save at tax time by using mortgage interest as a deduction. Student loans from college can be looked at as a good debt as well. There are many loans out there for students that have lower interest rates that don’t have to be reimbursed until graduation.
It bears repeating: Letting your financial situation get out of control is immensely frustrating. With an open, eager mind and good guidance, whipping your finances into shape will not be an issue. Follow our handy tips to get your finances back on track.
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