It is true that America is now in an economic recovery and becoming stronger and a lot of its citizens are now getting back on their feet because of this recovery, you still cannot let your guard down and commit mistakes that can ruin your financial stability.
Here are some errors that people tend to commit that can lead to a downfall of their finances, and things you can do to avoid such errors.
Even though interest rates have a low value, it is not a reason to not accept it. Even if it is just a 0.01 percent interest rate on your savings, you should take it. You can easily find FDIC insured savings accounts by just shopping with a 1 percent interest and usually it has no fees and has easy availability to your cash via electronic funds transfers.
Paying more for less is what banks are trying to make their clients use this recent threat where they charge fees for basic deposit accounts if the Federal Reserve cuts interest rates even further. There are a lot of different online banks where they are offering their checking and savings account free-of-charge; pays interest and many of them are offering free ATM networks and reimbursement deals.
An average credit card charges around 16 percent in interest thus becoming a big asset for the bank but a big liability for the car owner. There are credit cards that offered interest rates and it is a great idea to get it and throw away your old credit card.
Having an error in your credit scores can affect the future house or car that you are planning on getting, but there is also some other negative effect that you should be aware of.
There are a lot of insurance companies, apartment rental agents and other employers who requiring the copy of your credit scores to check if you are financially stable.
Being able to check if your credit scores are correct is a good way to stabilize your finances.
Based on the recent research, around 52% of Americans who are turning 65 will develop a disability serious enough to require any form of long term care. The cost of long term care continues to increase based on Genworth and Association for Long Term Care Planning’s cost of care data, which you can see below.
Despite this alarming information, there are still some people who opt not to plan for long term care. People should start taking necessary steps to protect their finances from expensive care cost by getting long term care insurance, which helps pay for different types of long term care services.
Let this be your new guide to money management, to have a better understanding of your finances because it will lead to a more financially stable life.