5 Things Women Should Know ~ How to get your financial life in order

Posted in: FYI Articles,Household | January 27th, 2010

Organizing your financial life does not have to be complicated. I know from time to time I have felt overburdened when trying to comprehend or organize my paperwork. Especially when preparing to do those dreaded tax forms. Ugh! Well now you don’t have to.

Below are some tips to get you started in getting your financial life back in order:

Credit is the Key ~

Credit scores and credit history are more important today than ever. The better your score, the better your rates and fees. To build credit, make a point of keeping an active account — such as a car loan or credit card you’ve had for a while — with a lot of history. Of course, always make payments on time. If you have little or no credit to work with, start with a store credit card, which sometimes can be easier to obtain. Pay your bill on time every month and you will gain a credit history that will help you get that larger credit later on.

Be an informed Shopper ~

Don’t be afraid to ask questions and shop for better rates and prices. A mortgage loan , for example, usually is the largest financial transaction you’ll make in your lifetime; therefore, it pays to do some research. You might spend an hour grocery shopping to purchase $100 – $200 worth of groceries. Looking for the best deals for your money. And maybe even sorting through a stack of coupons that can really give you great savings at the register. You should spend at least that amount of time shopping for your mortgage. It could save you thousands of dollars every year in the long run.

Cash is King ~

When faced with the decision about whether to pay with cash or credit card as opposed to credit, go with cash or debit. A lot of creditors are changing rates and limits on credit cards. Especially now that the government has given banks stricter rules to follow. When faced with that, being able to pay with cash or a debit card or check is better. Don’t drown yourself in credit card debt.

Plan your Savings ~

A successful plan is one with terms that will work for you. Research the sundry options for plans that will fit your savings goals. The internet is a great place to start for more information and comparison shopping.

Balance your Checkbook ~

With online banking, this isn’t necessarily as much to keep track of your balance, but to see how you’re spending your money. You should balance your checkbook so you know exactly where your money’s going. It’s really more that you’re paying attention to what you’re spending. It’s how to determine what areas you can spend more or save more. And to see what could actually be eliminated altogether. There are months when it seems we spend way too much on eating out. Those are unnecessary expenses. So, we work to make sure that there are foods in the home, especially foods that can be thrown together quickly because there are times that we get too busy to cook.

Renting movies to watch at home is a much cheaper option than going to a movie theater. And it saves quite a bit since we can eat whatever snacks we want without draining our bank account. Theater concessions are so expensive!