Bankruptcy & Foreclosures

In dealing with the subject of managing one’s personal finances on a daily basis, there are reoccurring themes that seem to come up time and time again. This isn’t a coincidence but rather a testament to the fact that modern living involves certain financial responsibilities that affect nearly everyone. The good news is that there are some steps we can all take to save dollars around every corner.

Automobiles:

There are thousands of dollars that can be saved over the lifetime of a car by selecting a model that combines a low purchase price with low financing, insurance, gasoline, maintenance, and repair costs.

Ask your local librarian for new car guides that contain this information. The Federal Trade Commission has a good Fact Sheet on purchasing a new car.

Having selected a model, you can save hundreds of dollars by comparison shopping. Call at least five dealers for price quotes and let each know that you are calling others. Also, be smart by knowing the dealers’ costs by checking new car pricing guides. Web sites that provide information on car buying are:
The Kelley Blue Book
Edmund’s
Autobytel
Cars.com
Intellichoice

Banking:

Checking
You can save more than $100 a year in fees by selecting a checking account with a low (or no) minimum balance requirement that you can, and do, meet. Request a list of these and other fees that are charged on these accounts.

Automatic Teller Machine (ATM) fees can mount up quickly if you use your ATM card at teller machines where a service fee is charged. Estimate the amount of cash you spend each week and consider withdrawing that amount from your accounts. Use your ATM cards only for an emergency.

Banking institutions often will drop or lower checking fees if paychecks are directly deposited by your employer. Direct deposit offers the additional advantages of convenience, security, and immediate access to your money.

Consider enrolling in a banking online program if you can find a low-cost or no-cost program. Save in postage for bill paying and enjoy the convenience of paying bills when you want to (by specifying payment dates) rather than when you find time to pay.

Savings and Investment Products

Before opening a savings or investment account with a bank or other financial institution, find out whether the account is insured by the federal government (FDIC or NCUA). An increasing number of products offered by these institutions, including mutual stock funds and annuities, are not insured.

To earn the highest return on savings (annual percentage yield) with little or no risk, consider certificates of deposit (CDs) and treasury bills or notes.
Once you select a type of savings or investment product, compare rates and fees offered by different institutions. These rates can vary a lot and, over time, can significantly affect interest earnings.

Credit Cards

You can save as much as a thousand dollars or more each year in lower credit card interest charges by paying off your entire bill each month. If you do this and select a credit card company that provides “cash back,” then this can be even another benefit.

If you are unable to pay off a large balance, pay as much as you can and switch to a credit card with a low annual percentage rate (APR). For a modest fee, RAM Research Corp. (800-344-7714) will send you a list of low-rate cards. You can obtain a list of low-rate cards by accessing http://www.ramresearch.com on the Internet.

You can reduce credit card fees, which may add up to over $100 a year, by getting rid of all but one or two cards, and by avoiding late payment and over-the-credit limit fees.

Reduce your junk mail by contacting the big three credit bureaus or just dial Optout 800-353-0809 which services (Equifax 800-556-4711, Experian 800-353-0809 and Trans Union 800-680-7293) and tell them you don’t want your name given to credit card companies or other firms seeking new customers.

Rebate cards can appear attractive, offering everything from cash-back to airline points, to phone bill discounts, to saving at the gas pump. In return, the fees and interest rates for such credit cards may be higher than you could get otherwise. Also, what good is a “free” airplane ticket if you get it from an expensive card and have to charge a jillion dollars to earn the benefit?

Learning for Life’s site highlights these and many other helpful financial management tips in their wonderful resource 101 Financial Tips.