December 29, 2009
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Tips For A Financially Healthy New Year, Pt.2
Get ready to take control.4. Set goals: Know what you want and put a plan in place to accomplish it. Some examples are to cut spending; pay down credit card debt; contribute more to your IRA or 401K; or simply become more aware of fees attached to everyday activates like ATM fees. A helpful suggestion is to always pay down the credit card debt carrying the highest interest rate.
5. Get organized: Gather all your credit card receipts, expenses, utilities, bank statements, and all important documents. Be sure to share the location of value documents with a trusted family member or friend.
6. Know what you're being charged: Compare credit card terms and conditions; compare ATM and service fees; compare shipping and handling fees between the United States Postal Service (USPS) and other carriers; question all fees on bills, credit card statements, and bank statements. In short, check fees and handling charges on all contracts and anything you plant your signature on.
7. Review insurance policies: Check health, dental, and eyewear insurance policies for co-pays and deductibles. If your insurance policy gives an option to change deductibles, consider doing so. Check property insurance also. Insurance companies have a habit of over insuring property. A rule of thumb is to always consider replacement costs. Remember you don't have to replace land, only the building that sits on it.
8. Switch to online banking and bill paying. Most banks and credit card companies offer incentives for online banking and electronic paper statements. You'll save the cost of postage as well. Online bill paying also helps manage bills to help you become more on time efficient. Paying bills online also makes you more environmentally friendly. The average American uses 151 pounds of Greenhouse gases and 37 pounds of water waste in paper production each month. You can calculate how much you can save by visiting http://www.ebillplace.com/cda/ebillplace/tools/greencalculator.html