The Blue Business Plus Credit Card from American Express Review

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The Blue Business® Plus Credit Card from American Express is a popular small business credit card with a fairly standard rewards program and no annual fee. Like many other Amex business credit cards, the rewards program is based on Membership Rewards, a proprietary portal that allows you to redeem for a wide range of merchandise and cash equivalents.

Blue Business Plus is meant for business owners with good to excellent credit. It competes with a number of other popular small business credit cards, including  Capital One Spark Miles for Business. Blue Business Plus also competes with American Express’s color-coded business card family, which includes the Plum Card, Business Green Rewards, Business Gold Rewards, and the Business Platinum Card.

Key Features

These are the most important features of the Blue Business Plus Credit Card from American Express.

Welcome Offer

Earn 15,000 Membership Rewards® points after you spend $3,000 in eligible purchases on the Card within your first 3 months of card membership.

Membership Rewards and Redemption

Get rewarded for business as usual. Earn 2X Membership Rewards® points on everyday business purchases such as office supplies or client dinners. The 2X rate applies to the first $50,000 in purchases per year, and 1 point per dollar thereafter.

You can redeem accumulated Membership Rewards points for general merchandise, travel, transportation (including Uber rides), gift cards, statement credits, and other items at Amex’s Membership Rewards portal. Point values vary by redemption method, with merchandise generally worth $0.01 per point and statement credits worth $0.006 per point.

Introductory APR

There is a 0% introductory APR for 12 months from account opening date on purchases. For rates and fees of the Blue Business® Plus Credit Card from American Express, please visit this rates and fees page.

Regular APR

Following the end of the introductory period, variable regular APR applies. It’s currently 13.24% to 19.24% variable, based on your creditworthiness and other factors.

Important Fees

Blue Business Plus has no annual fee or fees for additional employee cards. Foreign transactions cost 2.7%. Late and returned payments cost up to $39 each. See rates and fees.

Spend Above Your Credit Limit

Blue Business Plus comes with a spending limit. However, cardholders can spend above their credit limits without first applying for a higher limit, provided they pay off the amount spent above the limit in full by their statement due date. Above-limit spending is not unlimited – according to American Express, it “adjusts with your use of the Card, your payment history, credit record, financial resources known to American Express, and other factors.”

Additional Business Benefits

Blue Business Plus comes with a nice lineup of business-friendly benefits, including digital receipt storage, expense tagging and tracking, and the ability to designate an employee as your account manager and dispute resolution point person.

Credit Required

This card requires good to excellent credit.

Advantages

  1. No Annual Fee. Blue Business Plus doesn’t have an annual fee. That’s a nice contrast to other popular small business cards.
  2. Long Introductory APR Period. Blue Business Plus’s 0% APR introductory period lasts for 12 months from account opening. That’s much more generous than many fellow competing business cards, and in line with top low APR consumer credit cards. Once the introductory APR period ends, variable regular APR applies.
  3. Good for Business Owners Without Stellar Credit. Although Blue Business Plus requires good to excellent credit, it’s not the most exclusive card out there. If you don’t have major blemishes on your credit record, there’s a good chance you’re going to be approved for this card. That’s certainly not the case for more exclusive American Express business products, such as Business Gold Rewards and Business Platinum.

Disadvantages

  1. Has a Foreign Transaction Fee. Blue Business Plus comes with a 2.7% foreign transaction fee, so it’s not ideal for business owners who frequently travel abroad. If you’re looking for a piece of plastic that doesn’t penalize you for setting foot in other countries, try one of the Capital One Spark cards.
  2. Points Accumulate Slowly. Blue Business Plus earns just 1 Membership Rewards point per $1 spent after the first $50,000 in purchases each year. That’s a slower rate of accumulation than some direct competitors, including Chase Ink Business Cash Credit Card.
  3. Point Values Can Be Low. Come redemption time, Membership Rewards points’ values vary based on what they’re being redeemed for. Merchandise redemptions are usually worth $0.01 per point, but cash equivalents can be worth much less – $0.005 or $0.006, in some cases. By contrast, the Capital One Spark family’s miles or cash back points are always worth $0.01 apiece, while Chase Ink Business Preferred‘s points can be worth as much as $0.0125 at redemption or even more when points are transferred to travel partners. If you’re looking for a generous business loyalty program, look to that card.

Final Word

American Express has a somewhat deserved reputation as an issuer of gold-plated and platinum-plated cards with luxurious fringe benefits, impeccable service, and generous loyalty features. Many of the company’s high-end cards live up to this image – but not all of them.

The Blue Business® Plus Credit Card from American Express is a middle-of-the-road rewards card that doesn’t require massive revenues or an off-the-charts credit score – a true business credit card for the rest of us. Blue Business Plus’ broad appeal does come with some drawbacks, including a so-so rewards system, but there are worse cards out there. If you don’t qualify for a more generous American Express card at the moment, it’s not a bad place to start.

For rates and fees of the Blue Business® Plus Credit Card from American Express, please visit this rates and fees page.

Source: moneycrashers.com

Chase Adds Terms Allowing Ability To Check Checking/Deposit/Investment & Utility Accounts For Card Approvals

Chase has added new terms regarding information they are allowed to access, it states (emphasis ours):

We may obtain and use information about your accounts with us and others such as Checking, Deposit, Investment, and Utility accounts from credit bureaus and other entities. You also authorize us to obtain credit bureau reports and any other information about you in connection with: 1) extensions of credit on your account; 2) the administration, review or collection of your account; and 3) offering you enhanced or additional products and services. If you ask, we will tell you the name and address of the credit bureau from which we obtained a report about you.

This is likely due to Project REACh, or the Roundtable for Economic Access and Change which aims to consumers with no credit score access to credit cards. Some large financial institutions (JPMorgan Chase, Wells Fargo, U.S. Bank) have agreed to share information.

Hat tip to Proud Money

Source: doctorofcredit.com

How to Find Felon-Friendly Apartments After Getting Out of Jail

Yes, you can rent an apartment as a felon — just do your research.

Do you have a felony on your record and happen to need a new place to rent? Well, it may seem daunting to try and find a place that won’t require a background check but it is possible to find felon-friendly apartments.

No background check apartments are rarer but they do exist and are a great option for renters with a not-so-appealing stain on their background. Let’s dive into how to find felon-friendly apartments if you have a record.

Can I rent an apartment if I have a felony record?

Apartment for rent sign.

The short answer is yes, you can rent an apartment with a felony record. However, renting an apartment with a felony record is tricky because almost every landlord or apartment complex runs background checks on future tenants.

They’ll often check everything from your credit score to your criminal history, so it’s best to share with the landlord that you have a felony — it will definitely show up. Unfortunately, landlords can reject your application on the spot if they see a felony.

While some may do this, there are some landlords that will look past it.

How to find apartments that accept felons

Starting the search for apartments that accept felons is overwhelming. It’s difficult to know where to look, what to put on your application, what to leave out of your application and how much to disclose.

The best thing to do is to educate yourself and know where to start looking and how to best prepare for the application process. Here are four tips for finding felon friendly apartments:

1. Search for no background check apartments

Criminal background check.

A great place to start is by searching for apartments that don’t run a background check. While many apartments include a background check as part of the standard application process, not all do. This is great news for you as you’ll be able to apply for the rental without having to worry about your felony appearing on the background check portion of the application process.

You can also take the time to search for “second chance rentals.” Here, you’ll be able to find listings that don’t typically ask for background checks and are often felon-friendly apartments. Everyone needs a place to live and there are landlords who are willing to give felons that second chance they need to get back on their feet, find stable housing and have a place to call home.

2. Find an individual landlord

Another way to go about finding apartments that have no background check is to search for individual landlords or private renters as opposed to apartment complexes.

By having an individual landlord, you’ll be able to take the time to discuss your situation one-on-one. Be honest and upfront about your background check. By doing this, they may look past your felony as they get to know you personally and not purely based on your background check.

A realtor is also a good way to find places to rent. They have different resources and may already know where to look for you. Using a realtor may cost money compared to looking on your own, but, you’ll likely be able to find a place to rent more quickly and get settled into a new home right away.

3. Use local and national resources

There are many local and national resources that help those who have felonies get housing. Start by looking into your local non-profits and see if there are any programs that help people with felonies get back on their feet.

A great place to get help is with The U.S. Department of Housing and Urban Development aka HUD. They offer low-income housing to those in need and also have a list specifically for felon-friendly apartments.

Another place to seek help is with The Lion Heart Foundation. Their goal is to help give people the tools to restart their lives. On their website, they have a list of felon-friendly apartments in every state. Again, by starting your search with places that’ll work for you right away, you’ll save time and stress in the house-hunting process.

4. Be prepared for a more challenging application process

Handshaking over a contract.

Being prepared for the application process is crucial in finding apartments that accept felons. Here are some ways you can better prepare yourself:

  • Write a letter: Handwritten letters are personal and convey a sense of caring. Take the time to write the landlord your story. This way they can start to feel a personal connection. Also, telling your story about your felony and how you’ve changed might make it so they don’t reject your application right off the bat.
  • Have a character witness: Landlords want to make sure they’re renting to good tenants who pay on time and don’t cause trouble. Having someone else vouch for you and your good character is very helpful in convincing a landlord to rent to you.
  • Offer to pay more: Whether it’s a higher security deposit or maybe two months’ rent upfront, paying more might help you to rent an apartment. This also shows that you are serious about renting and can pay on time.

Finding a home

While finding a felon-friendly apartment is difficult, it’s not impossible. There are several different resources and tools to use when searching for a new home.

Having the knowledge of where to start and who to ask for help is the best place to start. By knowing what you’re getting into, the experience will be less stressful and daunting. Like anything, it might seem overwhelming but you can do it!

Source: rent.com

5 Strategies for Paying Off Car Loan Early

Is your monthly car payment a burden to your budget? Paying off your car loan early can earn you much-needed financial freedom and save you potentially hundreds (or thousands) of dollars in would-be interest. 

You can pay off your car loan early using several effective strategies, but before you do, consider any potential penalties and effects to your credit score.

The True Cost of a Car Loan

It’s no secret that cars are our worst big-ticket investment. Unlike houses, which typically increase in value over time, and education, which theoretically opens the door to higher earning potential, cars lose their value over time. In fact, a new car depreciates in value as soon as you drive it off the lot and will lose 20% to 30% of its value in the first year.

That’s a big deal, especially given the average cost Americans are spending on new cars in 2021. According to KBB, that hard-to-swallow number is over $40,000, up more than 4% over 2020.

That means Americans are shelling out $40,000 for a car that, in a year, will be worth anywhere from $28,000 to $32,000, representing an $8,000 to $12,000 loss.

But there’s more than just the sticker price to consider. In addition to sales tax (average of 10.12% in 2020, though it varies by state), be prepared to pay interest on your car loan. Right now, the average car loan interest rate (also referred to as APR, the annual percentage rate, though there’s a difference) is over 4%.

APR includes the interest rate, in addition to other fees, like loan origination fees or mortgage insurance. You should use the APR, not the flat interest rate, when calculating what you’re paying.

Your APR will depend on the current market and your credit score. The better your credit score, the lower your APR. If you have a weak credit score and can put off buying a car, it is advisable to build up your credit score before applying for a loan.

For 2021, rates are expected to hover between 4% and 5% for 48-month (four-year) and 60-month (five-year) loans. 

Car Loan Calculator: An Example

Interest on a car loan adds up. Let’s take the $40,000 new car as an example, with a $995 dealer fee. Assume you put $2,000 down and have a tax rate of a clean 10% and an APR of 5%. You’ve agreed to pay off the loan over 60 months, or five years. (The typical car loan is anywhere from three to seven years; the shorter the loan period, the higher the monthly payment.)

In this scenario, the total cost of the vehicle after tax and dealer fees is $44,995, minus your $2,000 down payment. That leaves $42,995 to be financed. Given the 5% interest rate over 60 months, your monthly payment would be $811.37.

Over 60 months, you will end up having paid $50,682.20 (including down payment) for a car that, with taxes and dealer fees, cost just $44,995. That means, over five years, you’ve paid $5,687.20 in interest. 

And let’s just ignore the fact that, due to depreciation, that car that you’ve just paid $50,000+ on is now worth just $18,752.41 (average value of 37% of original cost after five years).

Use The Penny Hoarder’s car loan calculator to figure out how much you’ll pay with real-life numbers that match your scenario.

How Car Loan Interest Rates Work

Paying off your car loan early, if you can afford it, seems like a no-brainer then. However, before you start strategizing about how to pay off your car loan ahead of schedule, do some digging to determine what kind of car loan you have.

In an ideal world, your loan will be a simple interest loan. If you have not yet purchased your car, only consider lenders that will offer you a simple interest loan. This means the interest is calculated entirely on the principal balance of the loan.

But if your lender charges precomputed interest, that means they will calculate how much you will pay in interest over the life of the loan and include that in your total balance. That means, even if you pay off your car early, the payoff quote will include all the interest you would have paid had you kept the loan open. In this case, there are absolutely no financial savings in paying your car loan off early.

One other element of your loan to research is payoff penalties. Payoff penalties are legal in 36 states and allow lenders to charge you a penalty (usually a fixed percentage of the remaining balance) for paying off your car loan early. In this case, it may be more expensive than what you would have paid in interest over the life of the car loan.

Will Paying Off Your Car Loan Early Hurt Your Credit Score

It is not likely that paying off a car loan early will hurt your credit score, but it could be keeping you from growing your credit score. Regular, on-time payments account for roughly 35% of your FICO credit score, making it the most important factor. Making monthly payments on a car loan is a great way to show lenders you are responsible with repaying your debts.

In addition, lenders like to see a nice mix of credit (mortgage, car loan and credit cards are the big three). Keeping your car loan open also helps extend the length of your credit history. If you have no other open credit (like a credit card), keeping your car loan open may be advantageous in building up your score if you eventually intend to buy a house.

5 Strategies for Paying Off Your Car Loan Early

If you have a simple interest car loan, your credit is in good standing and your loan doesn’t have any payoff penalties, it may be wise to pay off your car loan ahead of schedule. Not only will you avoid spending heaps of money on interest, but it will also give you the financial freedom of hundreds of dollars back in your monthly budget.

The best advice for paying off a car loan early: treat it like a mortgage. If you are a homeowner, you have likely heard that making an extra (13th) payment toward your mortgage principal every year can shave years off your loan. If you pay even more toward the principal each year, you can easily get your 30-year mortgage down to 15 years—and you’ll be able to drop PMI (private mortgage insurance) costs much earlier.

Of course, home loans tend to be much bigger than vehicle loans, so the potential to save is much larger, but the logic works the same with your car loan.

These strategies for early payoff are all effective, if done right:

1. Make One Large Extra Payment Every Year

If you can count on your grandma slipping a fat check into your Christmas card every year without fail, don’t use that money to splurge on alcoholic eggnog (OK, maybe one bottle). Instead, apply it directly to your car loan as a lump sum.

If you have autopay scheduled online, you can log into your account and simply arrange to make a one-time payment. If you’re old-fashioned and pay by phone or mail, simply call your lender and let them know you’d like to make an extra, one-time payment toward the principal.

Apply this logic to any unbudgeted (aka, not-planned-for) funds, like a bonus at work or a tax refund.

2. Make a Half Payment Every Two Weeks

Talk with your lender to see if you can switch to biweekly payments, instead of monthly. If your lender allows you to pay half of your monthly loan amount every two weeks, you will wind up making 26 half payments. Divide 26 by 2, and you get 13 full months of payments, paid over 12 months. That means, by the end of the year, you will have essentially made an extra car payment.

Just check your budget first to ensure that kind of payment plan is feasible.

3. Round Up

Rounding up to the nearest $50 or even $100, if you can swing it, is a great way to add extra money every month to the principal. For example, if your monthly payment is $337, you could round up to $350 or even $400 to essentially pay an extra $13 or $63 a month. This will wind up knocking a few months off the life of your loan.

If you have autopay scheduled, log onto your loan platform and see if you can add the additional funds toward the principal each month so you don’t even have to think about it.

4. Resist the Urge to Skip a Payment

Some lenders may let you skip one or two payments a year. So kind of them, right? Wrong. They do this knowing it will extend the life of your loan, meaning they will rake in even more of your hard-earned cash in interest fees.

Unless you fall on very hard times, fight the urge to skip a payment. You will wind up paying more in the end if you do.

5. Refinance, but Exercise Caution

If you had a poor credit score when you bought your car and opted for a seven-year loan to keep payments low, it might make sense to refinance. Perhaps you’re two years into the loan, you’ve got a higher-paying job, and your credit score is in great shape. You could potentially refinance at a lower APR and build the loan out over 36 months, saving you two years and lots of money in interest.

But borrower beware: Don’t refinance to get a lower monthly payment by extending a loan, as you will end up just paying more in interest. 

When You Shouldn’t Pay Off Your Car Loan Early

As we’ve seen, it doesn’t always make sense to pay off your car loan early. But there are more reasons to hold your horses than just payoff penalties and precomputed interest.

Here are some other reasons not to pay off your car loan early:

  • Lack of emergency savings. Bankrate reported early in 2021 that most Americans could not afford a $1,000 emergency. Just 39% have enough to cover such an unexpected expense. If you are a part of that 61% without a well-padded emergency fund, prioritize adding funds to a high-yield savings account to protect yourself and your family should the unthinkable happen. And it’s not just your family’s medical emergencies; you may need to cover a deductible on your renter’s insurance in the case of a break-in, the cost of an unexpected car repair or even a terrifying trip to the vet when your dog eats something he shouldn’t.
  • Higher-interest loans. If you have a reasonable interest rate on your car loan but are drowning in credit card debt, focus on the debt that has the highest interest rate. Credit cards historically have interest rates in the high teens, so they make the most sense to pay off first. If you are free of credit card debt but have a mortgage or student loans, compare those interest rates to that of your car loan to figure out which makes the most sense to pay down with extra funds.
  • Lack of credit history. If you refuse to get a credit card and don’t yet have a house, a car loan is your best bet for building your credit score. Keeping your car loan open could positively affect your credit score.
  • Investments. For most drivers, car loan APRs are not terrible. If you have some extra funds and are thinking about paying off your low-interest car loan, consider instead investing in your retirement fund or even buying a few stocks on your own. The average stock market return is about 10%. Obviously, you could wind up losing money, but in general, if you invest and hold, over time, you should expect your money to grow.

Timothy Moore is a managing editor for WDW Magazine, and a freelance writer and editor covering topics on personal finance, travel, careers, education, pet care and automotive. He has worked in the field since 2012 with publications like The Penny Hoarder, Debt.com, Ladders, Glassdoor, Aol and The News Wheel. 

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Source: thepennyhoarder.com

Can Missing Just One Payment Affect Your Credit Score?

By now you’ve probably begun, or perhaps even finished, your Christmas shopping.

And while December is a month filled with countless distractions one thing remains crystal clear, which is that you cannot forsake your obligations to lenders just because you’re distracted.

I just returned from a trial in Pennsylvania where one of the parties made countless excuses for why he couldn’t pay one of his loans on time and was constantly 30 to 60 days late.

The excuses ranged from falling down and hurting his knees to his dog being exposed to chemicals in his home.

And while everyone is sympathetic to the external pressures of life, due dates are never to be forsaken and lenders don’t care about your excuses.

Great Myths of Credit Scoring

One of the great myths of credit scoring is that minor late payments can’t hurt your scores if you quickly catch the account back up.

This is true BUT only if your late payment is isolated AND historical, meaning the account isn’t CURRENTLY delinquent.

In the world of credit scoring there are two categories of derogatory information; minor and major. The dividing line between the two categories is very clean.

Historical delinquencies that have not gone 90 days past due or worse are considered minor derogatory items. Everything else is considered a major derogatory item.

So, to be clear, minor would include only historical 30 and 60-day delinquencies.

Major would include defaults, any record of being 90 days late or worse, repossessions, tax liens, judgments, collections, foreclosures, bankruptcy, settlements, and accounts that are currently delinquent.

The influence on your credit scores is drastically different between a minor and major derogatory item.

Delinquency Vs. Major Derogatory Item

Using the only FICO credit score estimation tool in existence, I simulated the difference in scores between people who have never been delinquent on anything versus those who are currently delinquent, but not in default.

For those who are currently 30 days delinquent their scores were considerably lower, normally around 35-50 points in my simulations.

For those who were currently 60 days delinquent (but not in default) their scores were always over 100 points lower that those who have never missed a payment.

This is where the confusion begins because neither a 30 day or 60 day delinquency is considered a “major” derogatory item yet their influence on a consumer’s score is significant, which seems counterintuitive until you get a better explanation.

Scoring systems, like FICO and VantageScore, are designed to predict the likelihood that you’ll go 90 days delinquent soon after you apply for credit.

By being currently delinquent, even just 30 or 60 days, you’re making the credit score’s job easy because you’re currently proving that you’re willing to be past due on credit obligations, thus the drastic score drop.

There’s something else to keep in mind, and this isn’t a secret in my world although it’s not well known by consumers.

When you’ve got a “30 day late” on your credit report that means you’re actually at least 30 days late on the obligation.

Lenders are not permitted to report late payments to the credit bureaus until the borrower has gone a full 30 days past the due date.

So, if you’re a week or two behind on your loan payments those won’t ever be reflected on your credit reports, although you’ll likely have to pay late fees.

In fact, a 30 day late on a credit report actually means you’re 30-59 days late on the obligation. A 60 day late on a credit report actually means you’re 60-89 days late on the obligation, and so forth and so on.

Point being, even if an account is showing on the credit report as just being 30 days late it’s possible that it’s actually 40, 50 or almost 60 days late.

This is another reason credit scoring systems are so harsh on consumer’s who have currently delinquent accounts on their credit reports.

What’s the possible harm?

You may be thinking, “well, if I just catch up on the payment and I avoided going 90 days past due (major derogatory) then my score will recover.”

You’re exactly right, although you’re not going to fully recover your score but it will bounce back quite nicely.

However, this still doesn’t prevent significant downside to being currently past due.

Lenders only update your credit reports once a month. That means if you have an account that is showing up as being currently past due it will be that way for a full month.

And, that means your credit scores will likely be lower, and maybe considerably lower, for 30 days straight.

Many credit card and line of credit creditors pull your credit scores every month to determine if they still want to do business with you.

That practice is called “Account Management” or “Account Maintenance.”

Just look at your own credit reports and you’ll likely see a long list of inquiries that fall into those two categories.

If one of your creditors pulls your credit score during their account management process and sees that it has dropped due to the currently late account, they’ll likely react by closing your account, lowering your limits, or raising your interest rates.

John Ulzheimer is the Credit Expert at CreditSesame.com, and a credit blogger at SmartCredit.com, Mint.com, and the National Foundation for Credit Counseling.  He is an expert on credit reporting, credit scoring and identity theft. Formerly of FICO, Equifax and Credit.com, John is the only recognized credit expert who actually comes from the credit industry. The opinions expressed in his articles are his and not of Mint.com or Intuit. You can follow John on Twitter here.

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Source: mint.intuit.com

17 Biggest Home Buying Mistakes & How to Avoid Them

Whether you’re a first-time homebuyer looking for a starter home or a seasoned homeowner ready to upgrade or downsize your property, the buying process is similar. From searching for the perfect place to call home to putting in an initial offer, it’s an exhilarating and life-changing adventure for new and experienced buyers alike.

And with such a major decision on the line, it’s important to make sure you don’t come to regret your decision in the future or miss out on your dream home by making a common — but avoidable — mistake.

17 Home Buying Mistakes to Avoid

Simple missteps like overestimating your DIY skills or making a lowball offer can put a damper on the excitement you feel during or following the home buying process. And they can cost you money, stress you out, and give you buyer’s remorse.

But, if you know what the most common mistakes are and you prepare in advance, you can bypass them — and the negative side effects they come with.

These are the most common home buying mistakes you should seek to avoid.

1. Not Reviewing Your Budget

Before you buy a home, you need to know what you can afford. This means taking a deep dive into your budget and reviewing your current costs and expenses, as well as estimating any new costs and expenses you’ll take on from owning a home.

For example, additional or increased costs may include:

  • Your monthly payment for rent or a mortgage
  • Property taxes
  • Homeowners insurance
  • Repairs and maintenance
  • Landscaping
  • Homeowners Association (HOA) or condo fees
  • Furniture
  • Utilities

You should also budget for a home emergency fund to cover potential problems like broken appliances or unexpected repair and maintenance costs.

If the estimated costs are too high, it might mean you have to rethink your budget by lowering your price range or reducing your homeowner expenses.

Knowing what you can afford beforehand ensures that you only look at houses within your budget and aren’t tempted to overspend.

2. Overlooking the Community

A house is one thing, but the community it’s in is another. Many homebuyers become excited about a particular property and fail to pay attention to the neighborhood or area it’s in. However, where a home is located can have a significant impact on your quality of life and overall happiness.

For example, pay attention to location-based factors such as:

  • The property’s proximity to an airport, dump, or train tracks
  • Whether it’s a family-oriented neighborhood
  • How close it is to amenities like public transportation, schools, and parks
  • How far it is from your place of work
  • Where necessities like grocery stores and gas stations are located

It’s also useful to look into future developments in the area, like commercial buildings, apartment complexes, and public spaces. If you’d prefer to live away from busy public areas, purchasing a property close to a future strip mall might not be a great option for you.

Or, if you want to be part of an up-and-coming area, planned developments give you a clear idea of what to expect in your neighborhood in the next few years, like new restaurants or off-leash dog parks.

Take some time to think about what you want to be close to or far from before you start your home search. Consider your interests and lifestyle to determine where your ideal property would be located, then use the information to ensure you wind up in a community that you feel good about.

3. Forgetting About Maintenance Costs

The great part about renting is that you don’t have to worry about the costs of homeownership like appliance repairs, building upkeep, or landscaping. But you do have to cover these expenses when you buy a new home.

As with forgetting to make a budget, forgetting to consider ongoing maintenance costs has the potential to wreak havoc on your finances. And avoiding maintenance and upkeep will only end up costing you more money in the long run because it will lead to larger repairs and more serious problems.

Homeowner maintenance includes a variety of recurring tasks, such as:

  • Mowing, trimming, and weeding
  • Snow removal
  • Applying paint and stain
  • Cleaning gutters
  • Pressure washing decks, patios, and siding
  • Chimney cleaning
  • Exterior window washing
  • Servicing your heating and cooling system

Depending on the home, it may also include tasks like replacing shingles, treating hardwood floors, or hiring an arborist to prune your trees.

When it comes to getting these jobs done, you can either take them on yourself or hire a professional to do them for you. However, both will cost you some combination of time and money.

Most home maintenance tasks require equipment. So if you plan to tackle them yourself, expect to cover the costs of equipment, like buying a lawnmower or a ladder or renting a pressure washer. And, if you hire a contractor to do your home maintenance for you, you’ll of course need to pay them.

Maintenance costs aren’t included in your mortgage loan, so you need to be able to cover them out of pocket. When reviewing properties, consider what kind of maintenance the property will need and whether you can afford it. Not only does it cost money, but it also takes a lot of time.

If a high-maintenance property isn’t a fit for your lifestyle or budget, look for something that requires less work, such as a newer home or lower-maintenance property like a condo.

4. Not Getting a Preapproval

One of the first steps you should take on your journey to homeownership is to get a mortgage preapproval. A preapproval is the amount a bank agrees to lend you based on factors like your savings, credit score, and debt-to-income ratio.

Having a preapproval tells you exactly how much a bank will allow you to borrow, giving you a maximum purchase price for your home.

Without being preapproved, you have no idea how much a mortgage lender is willing to give you or what your interest rate will be. This means you’ll be house shopping with no real budget in mind. You won’t even know if a bank will approve you at all, meaning you could be wasting your time even looking for a home in the first place.

Before you think about booking a showing or talking to a realtor, book an appointment with your bank or a mortgage broker. Find out exactly how much you have to work with so you can view homes within your price range and budget.

5. Only Looking at a Few Properties

Buying a home is a major undertaking, not just financially, but emotionally as well. Only looking at a handful of houses won’t give you a realistic picture of what’s on the market, what home prices are like, or whether something better is out there.

Book multiple showings to get a feel for your options. Even if you think you’ve found your dream home early on, there’s no guarantee you’ll get it. Keep your options open and check out a wide variety of properties to give yourself some perspective.

Who knows, you might find a hidden gem or dodge a bullet simply by taking your time and not limiting your options to a handful of properties.

6. Not Having a Real Estate Agent

When embarking on a home buying journey, you may be tempted to save yourself some money by opting to go without a buyer’s agent. But for most people, that’s a mistake. Unless you’re well-versed in real estate law and property negotiations, you should have a good real estate agent.

After all, their fees are typically covered in your mortgage as part of the closing costs of the home, meaning you don’t have to pay for them out of pocket.

But that’s not the only reason you should have a realtor when buying a property. A buyer’s agent provides many benefits, such as:

  • Networking with other realtors and property owners to find new and upcoming listings
  • Having access to property listing tools such as the MLS
  • Negotiating offers and conditions
  • Helping you to find a broker, lawyer, or other professional you may need
  • Handling important paperwork
  • Ensuring you’re aware of any important disclosures

An experienced buyer’s agent will work for you, helping you to find the perfect property not only for your lifestyle and budget but based on what’s available. They’ll take on the heavy lifting when it comes to paperwork, showings, and communicating with sellers and their agents, giving you a chance to focus on more important things.

7. Not Making a Wants vs. Needs List

Some people jump straight into viewing properties without evaluating their needs versus their wants. But it’s a common mistake that complicates the home buying process and causes decision paralysis. When buying a home, it’s essential to know what you need in your new home compared to what you would like it to have.

For example, if you have a dog, a yard could go on your needs list, while something like a pool or walk-in closet might go on your list of wants. If a lack of closet space would be a deal breaker for you, you might list the walk-in closet as a need for you instead.

You can give this list to your realtor, which will help them to filter through potential properties to show you. This saves both of you from wasting time viewing homes that won’t work for you.

And, it encourages you to get your priorities straight by forcing you to think about what you really need to be happy and fulfilled in your new home. Plus, knowing what you want gives you a better idea of your budget and which bonus features or upgrades you can afford.

If you don’t make a list, you could end up buying a property that isn’t a great match for your lifestyle.

8. Taking on Too Much Work

Fixer-uppers tend to be romanticized in reality TV shows about house flipping and interior design, but they’re a lot of work. Overestimating your DIY skills and taking on a house that’s going to require a significant amount of time and money to renovate or repair can quickly turn your motivation into buyer’s remorse.

On top of a mortgage payment, you’ll have to cover the costs of materials and labor for any upgrades or renovations that need to be done. If you’re handy, you can save money on labor, but you’ll still need tools, supplies, and a serious time commitment.

If you have to hire professional contractors to complete the work for you, expect costs to be relatively high depending on what you need done. If a home project goes over budget — which happens often — you don’t want to be left in a bad financial situation and an unfinished home.

Before moving ahead with a home purchase, consider how much work you’re willing to take on and how much of a renovation budget you can afford.

9. Buying in the Wrong Market

In real estate, there are two basic types of extreme markets: a buyer’s market and a seller’s market. In a buyer’s market, there are a variety of homes available for you to view and consider, meaning sellers are more likely to try to entice you with competitive prices and other incentives.

In a seller’s market, there aren’t many homes up for sale, so buyers have to compete against one another to win bidding wars. This often results in paying over the asking price, which increases monthly mortgage payments and possibly even your down payment.

The best time to buy a home is in a buyer’s market. Sometimes, waiting for a season or two to buy will save you a significant amount of money and keep you from the stress and uncertainty of buying in a seller’s market.

If you’re able to, buy when the market is in your favor and not working against you.

10. Feeling Uncertain

If you feel uncertain about a home, an offer, your real estate agent, or your financial situation, it’s not the right time for you to buy. Purchasing a house is one of the biggest financial commitments you’ll ever make, so you need to feel confident that you’re making the right choice for you, your budget, and your family.

If something feels off, carve out time to figure out what’s causing your uncertainty. It’s normal to feel nervous about taking on a home loan, especially if you’re a first-time homebuyer, but watch out for feelings of apprehension, uneasiness, or even dread.

Your home buying experience should be positive, so if your gut is telling you to reconsider, it might be best to take a step back and reevaluate.

That’s not to say you shouldn’t buy a home at all. It just means you need to change something about your situation, such as getting a new real estate agent, looking at more properties, or lowering your budget. Consider what will make you feel confident about buying a home and don’t move forward until you feel comfortable, positive, and satisfied.

11. Making a Lowball Offer

Making a lowball offer on a property is a rookie mistake that many seasoned and first-time homebuyers make. It offends home sellers, starting negotiations off on the wrong foot and sometimes even ending them altogether.

Sellers often spend a lot of time working with their real estate agents to price their homes based on the market, comparable homes in the neighborhood, and the state of the property. Just like you need to work within a budget for your home purchase, they need to make a certain amount of money from their home sale.

Lowball offers are rarely accepted and don’t provide much benefit to either party.

When making an offer on a home, listen to your real estate agent and offer a fair price. Being respectful and considering the true value of a home in your offers makes them more likely to be accepted.

12. Not Talking to a Broker

While a bank is often the first place you go to find out how much you can get approved for, they’re not your only option. A mortgage broker can provide you with a variety of different mortgage rates and terms from different lenders, allowing you to choose the best offer.

As with your bank, you’ll need to provide financial information like pay stubs, your credit score, and details about your assets and debts. The broker will use this information to shop around and find you the best interest rate and mortgage terms based on your financial situation.

Often, they can find you a better deal than what your bank is offering. However, make sure your broker has your best interests in mind. Don’t take out a mortgage with a disreputable or unestablished lender just to save some money.

A good broker can save you a lot in interest, so they’re worth talking to regardless of whether you choose to go with one of their offers.

13. Having a Small or Nonexistent Down Payment

There are a variety of different loans when it comes to buying a home, each with different down payment requirements:

  • VA home loans, which are for veterans and require as little as 0% down
  • Conventional loans, which are the most common for those with strong credit and no military service
  • FHA loans for borrowers with poor credit and low down payments

If you’re opting for a conventional loan, you’ll likely need to have a hefty down payment, especially if you want to avoid having to pay private mortgage insurance (PMI). Typically, you have to pay for PMI if you don’t have the minimum down payment required by a lender, and it’ll cost you anywhere from $50 to $200 per month.

Most lenders prefer to have at least 20% of the purchase price as a down payment. So, if you were buying a home for $350,000, you’d need to have $70,000 cash to put toward your mortgage.

Not planning for a sufficient down payment can put a huge damper on your home buying experience. It affects how much a lender will give you, your interest rate, and whether you have to pay PMI. Plus, it impacts your cash flow and the funds you have to put toward closing costs, renovations, and repairs.

Make sure you know how much you need in advance and plan ahead to avoid a disappointing and disheartening experience.

14. Going Without a Home Inspection

When you make an offer on a house, you have the option to make it dependent on a home inspection. Some lenders even make it a requirement of your mortgage terms. But if they don’t, or if you’re buying your property without a loan, you may choose to go without a home inspection.

But skipping a home inspection can cost you a lot of money and stress down the road.

Home inspectors are certified professionals who inspect a property’s condition. They review the structure, plumbing, electrical, exterior, and interior elements of the home and provide you with a report detailing any issues they find. For example, a home inspector would catch wiring that is not up to code or water damage in the basement.

These reports help you to avoid major repairs and give you an overview of the property’s condition. This can save you from buying a home that needs a new roof or that has a mold problem. Seeing as home inspections typically cost between $300 and $500, they’re often worth it.

Even if you choose to move ahead with a home purchase after you receive your inspection report, you can use it to renegotiate your offer based on any repairs that need to be made.

For example, if the report noted that the railing on the deck needs to be replaced, you could either request that the seller have it fixed or reduce your offer by how much it would cost a contractor to do.

15. Not Including the Right Conditions in an Offer

Your real estate agent will help you to figure out which conditions to put in your offer, but the most common include:

  • Home inspection
  • Financing
  • The sale of your current home
  • Closing date
  • Fixtures and appliances
  • Who pays which closing costs

You can also request an appraisal or survey, repairs, or specific cleaning tasks.

Conditions protect you so that you don’t commit to purchasing a house before you know you have financing and a home inspection in place. And they keep you from walking in on moving day only to find out the appliances weren’t included in your purchase price.

Base your conditions on the property you’re interested in and make sure they’re fair and within reason. Add too many unreasonable conditions to an offer and you risk getting rejected by a seller.

16. Not Seeing a House Yourself

Although video tours are OK, they don’t give you the full sensory experience of a home. You don’t pick up on any strange smells or noises, and you don’t truly get a feeling for the size or condition of the space or the neighborhood it’s in.

Even having a friend or family member view a home in your stead is a better option than going with video alone — especially if you won’t be able to visit yourself before you make an offer.

Ideally, though, you should visit and view a home yourself before you commit to buying it. If you happen to be buying a home in another state or country, try to plan a trip beforehand to look at houses. If you can’t do that, consider finding temporary housing to stay in after you arrive so you can search for a home in person.

If you don’t, you could end up buying a property you aren’t completely happy with or one that has unexpected issues.

17. Not Checking Your Credit Rating

Buying a house means having a solid grasp of your personal financial situation, including your credit score. Knowing your credit score keeps you from encountering any disappointing surprises when you talk to a bank or broker about getting preapproved for a mortgage.

Monitoring your credit score gives you a chance to improve it before you apply for a mortgage, increasing your chances of being approved and getting offered more competitive rates.

Check your credit score before you get too far into the home buying process to see what your rating is and whether you have any recent dings like late payments that may affect your interest rate or mortgage terms.


Final Word

Buying a house is meant to be an exciting and enjoyable experience. With such a major personal and financial commitment on the horizon, you want to do everything you can to avoid buyer’s remorse after you sign the dotted line.

Prepare yourself by getting your finances in order, having a clear idea of the kind of place you want to call home, and understanding the current market to have a happier, more successful home buying experience.

Source: moneycrashers.com

How to Survive the Rent When Your Roommate Moves Out

Even if you intend to stay, your landlord could annul the lease entirely if your roommate decides to unceremoniously break the lease. However, a good landlord will likely let you attempt to survive paying the lease on your own or give you time to secure rental assistance. Even if your credit score needs work first, there’s no better time than the present to start improving your score. And you’ll find that the measures you take to improve your credit are good for your finances in general. If you’re looking for a flexible side hustle that could turn into your primary source of income, look into bookkeeping. It’s the No. 1 most profitable business, according to an article in Inc. And you can earn up to an hour, reports Intuit, the creator of QuickBooks. Thankfully, a free website called Credit Sesame will take a look at your credit report and let you know exactly what you need to do to improve your score.

1. Find Someone New

Like dating, finding someone new can do wonders for getting you back on your feet after a roommate breaks the lease. You’d probably still have a bit of a rough patch during the transition, but looking for a roommate to sublet the apartment from your previous roommate can completely resolve the problem. Ready to stop worrying about money? AmOne keeps your information confidential and secure, which is probably why after 20 years in business, it still has an A+ rating with the Better Business Bureau.

2. Get a Side Hustle Earning up to $69/Hour

You don’t have to be married to face some of the drama that comes with a messy divorce. Whether you have a roommate who’s been casually dropping hints that you should be looking for a new roommate or they’re downright spelling it out, the prospect of that person leaving can feel like you’re about to lose everything the two of you worked so hard to maintain. The benefit? You’ll be left with one bill to pay each month. And because personal loans have lower interest rates (AmOne rates start at 3.49% APR), you’ll get out of debt that much faster. Plus: No credit card payment this month. Ready to get to work? Without a roommate and the rent savings that person provided, you might lose interest in paying anything more than the monthly minimum on your credit cards. But if those credit cards bear gaudy interest rates, you might not be making the best use of your dollars.

3. Stop Paying Your Credit Card Company

You don’t have to be an accountant or good at calculus to start your own bookkeeping business, either. As long as you’re motivated, a company called Bookkeepers.com will teach you everything you need to know. It’s one of the leading training courses in the field, and it’ll even give you the first three classes for free. Along with looking for a roommate, make things easier on yourself by searching for a side hustle before your roommate makes their departure official. Even if you manage to convince them to stay, whatever factors urging them to bail in the first place could suddenly re-emerge — embarrassment could inspire them to slip away without warning. Source: thepennyhoarder.com Check out these tips for giving yourself a fighting chance of surviving a lease when a roommate gets cold feet and abandons the lease. Get the Penny Hoarder Daily

4. Have a Safety Net

Be sure to ask some critical questions. Can they reliably pay the rent? Do they smoke or drink? How do they feel about guests? Make sure you’ll be compatible as roommates. It takes two minutes to see if you qualify for up to ,000 online. Your credit score is like your financial fingerprint. Everyone’s is different — and for different reasons. That means everyone’s strategy to improve their credit score will look different… but how in the world are you supposed to know where to start? Privacy Policy <!–

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Remember: Sharing a space with a roommate isn’t about being best friends, though it’s nice when your best friend happens to be a great person to split living costs with. It’s more important to live with someone you can coexist with and rely on. If you’ve just learned this the hard way, we apologize for any salt that accidentally dusted that wound.

5 Simple Steps to Increase Your Credit Score in 30 Days

Excited woman checking out her credit score
By fizkes / Shutterstock.com

Is your credit score in tip-top shape? Your financial security might depend on it.

Bad credit can lead to bad news: Your credit score can affect whether you get a credit card or loan, how much you pay for insurance, and even whether you get a job.

While you may think there’s not much you can do to improve your credit, that’s not true. Since long before I wrote my first book more than 20 years ago, I’ve been helping people repair their credit.

My latest attempt is the following video. It offers five simple steps anyone can use to improve their credit and their credit score.

Don’t need to improve your credit? Then share this with someone who does.

The video is about 12 minutes long. So, sit back, relax, check it out and let me know what you think! And be sure to check out the additional resources below.

Additional resources

  • Help with debt: Click here to explore reputable, nonprofit credit counselors.
  • Budgeting assistance: Click here for our favorite budgeting app.
  • Lower your monthly bills: Click here to find a bill negotiator.
  • Cancel unwanted subscriptions: Click here for a service that optimizes your expenses.
  • Credit card management: Click here for an app that helps you pay off credit cards faster.
  • Pay-for-delete letter example: Click here, or simply search the web for “pay for delete letter.”
  • Goodwill adjustment letter example: Click here, or simply search the web for “goodwill adjustment letter.”
  • Get a free copy of your credit report: Click here to go to AnnualCreditReport.com.
  • Listen to us: Click here to check out our weekly podcasts.
  • Subscribe to Money Talks News: Click here to get great money advice delivered to your inbox daily.
  • Subscribe to our YouTube channel: Click here to watch all our videos.
  • Follow us on Facebook: Click here to visit our page and give us a like. Thanks!

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Source: moneytalksnews.com

How Rising Inflation Affects Mortgage Interest Rates

Rising inflation can shrink purchasing power as prices of goods and services increase. This, in turn, can affect interest rates and the cost of borrowing. While the inflation rate doesn’t have a direct impact on mortgage rates, the two do tend to move in tandem.

What does that mean for homebuyers looking for a home loan and for homeowners who want to refinance a mortgage? Simply that as inflation rises, mortgage rates may follow suit.

Understanding the difference between the inflation rate and interest rates, and what affects mortgage rates for different types of home loans, matters in terms of timing.

Inflation Rate vs. Interest Rates

Inflation is defined as a general increase in the overall price of goods and services over time.

The Federal Reserve, the central bank of the United States, tracks inflation rates and inflation trends using several key metrics, including the Consumer Price Index, to determine how to direct monetary policy.

What to Learn from Historical Mortgage Rate Fluctuations

Inflation Trends for 2021 and Beyond

As of May 2021, the U.S. inflation rate had hit 5% as measured by the Consumer Price Index, representing the largest 12-month increase since 2008 and moving well beyond the 2% target inflation rate the Federal Reserve aims for.

While prices for consumer goods and services were up across the board, the biggest increase overall was in the energy category.

Rising inflation rates in 2021 are thought to be driven by a combination of things, including:

• A reopening economy

• Increased demand for goods and services

• Shortages in supply of goods and services

The coronavirus pandemic saw many people cut back on spending in 2020, leading to a surplus of savings. State reopenings have spurred a wave of “revenge spending” among consumers.

Although the demand for goods and services is up, supply chain disruptions and worker shortages are making it difficult for companies to meet consumer needs. This has resulted in steadily rising inflation.

Fed Chair Jerome Powell said in June 2021 that he anticipates a continued rise in the U.S. inflation rate in 2021. This is projected to be followed by an eventual dropoff and return to lower inflation rates in 2022.

In the meantime, the Fed has discussed the possibility of an interest rate increase, though there are no firm plans to do so yet. Some Fed bank presidents, though, have forecast an initial rate increase in 2022.

Recommended: 7 Factors that Cause Inflation – Historic Examples Included

Is Now a Good Time for a Mortgage or Refi?

It’s clear that there’s a link between inflation rates and mortgage rates. But what does all of this mean for homebuyers or homeowners?

It simply means that if you’re interested in buying a home it could make sense to do so sooner rather than later. Despite the economic upheaval in 2020 and the rise in inflation that’s happening now, mortgage rates have still held near historic lows. If the Fed decides to pursue an interest rate hike, that could have a trickle-down effect and lead to higher mortgage rates.

good mortgage rate, especially as home values increase.

The higher home values go, the more important a low-interest rate becomes, as the rate can directly affect how much home you’re able to afford.

The same is true if you already own a home and you’re considering refinancing an existing mortgage. With refinancing, the math gets a bit trickier.

You might want to determine your break-even point when the money you save on interest charges catches up to what you spend on closing costs for a refi loan.

To find the break-even point on a refi, divide the total loan costs by the monthly savings. If refinancing fees total $3,000 and you’ll save $250 a month, that’s 3,000 divided by 250, or 12. That means it’ll take 12 months to recoup the cost of refinancing.

If you refinance to a shorter-term, your savings can multiply beyond the break-even point.

If your current mortgage rate is above refinancing rates, it could make sense to shop around for refinancing options.

Keep in mind, of course, that the actual rate you pay for a purchase loan or refinance loan can also depend on things like your credit score, income, and debt-to-income ratio.

Recommended: How to Refinance Your Mortgage – Step-By-Step Guide 

The Takeaway

Inflation appears to be here to stay, at least for the near term. Understanding what affects mortgage rates and the relationship between the inflation rate vs. interest rates matters from a savings perspective.

Buying a home or refinancing when mortgage rates are lower could add up to a substantial cost difference over the life of your loan.

SoFi offers fixed-rate home loans and mortgage refinancing. Now might be a good time to find the best loan for your needs and budget.

It’s easy to check your rate with SoFi.

Photo credit: iStock/Max Zolotukhin


SoFi Loan Products
SoFi loans are originated by SoFi Lending Corp. or an affiliate (dba SoFi), a lender licensed by the Department of Financial Protection and Innovation under the California Financing Law, license # 6054612; NMLS # 1121636 . For additional product-specific legal and licensing information, see SoFi.com/legal.

SoFi Home Loans
Terms, conditions, and state restrictions apply. SoFi Home Loans are not available in all states. See SoFi.com/eligibility for more information.

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
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Source: sofi.com

Easy Ways to Free Yourself From Debt

Wedding decor / Shutterstock.com

You’re ready to be debt-free. Bravo!

If you want to live free of debt, you can. And if you’re committed to the idea, you’re ready to take the next step.

Here are some steps to get started on the road to financial freedom.

1. Wipe out debt with this little-known strategy

There’s a way to dig yourself out of debt that many people don’t know about: personal loans.

With a free website called Credible, you could erase all of your credit card debt in record time. Credible gives you real prequalified rates on loans available without any impact on your credit score. Credible will match you with a low-interest loan to pay off all your credit cards at once — potentially saving you thousands in interest charges.

It’s free to check your rate online, and it only takes two minutes.

2. Find cheaper car insurance in minutes

Slashing your biggest expenses is a great way to find extra money to pay down debt.

Example? Car insurance. Simply shopping your policy could save you hundreds.

In the past, shopping for a new policy would take forever. First, you’d have to call the insurer, provide lots of information about yourself and your car, and by the time you finished there was no guarantee you’d get a better quote.

That was then. Today, finding cheaper car insurance rates is a breeze.

These days, you can use a comparison site like The Zebra to compare rates from 200 providers all at once, giving you every option possible — saving you up to $440 a year. Yep, in just two minutes you can save yourself $440 a year. Now that’s some serious savings.

Take two minutes, try it yourself, and see how much you can save.

3. Hire a professional to figure it all out

Identifying your spending patterns and where you can cut back is the key to getting ahead of your credit card debt.

A good financial adviser can help you figure out exactly how much money is coming in and going out each month, including your mortgage or rent, insurance, utilities, credit card payments and other bills.

If you need help finding a financial adviser, a great place to start is with SmartAsset’s free financial adviser matching tool, which connects you with up to three qualified financial advisers in five minutes. Each adviser is vetted by SmartAsset and is legally required to act in your best interests.

If you’re ready to be matched with local advisers who will help you reach your financial goals, get started now.

4. Pay no interest for up to 18 months

Why pay interest when you don’t have to? Unless you’re one of the relatively few people who actually pays off his or her credit card in full every month, you’re carrying an expensive balance and paying lots of interest. If that’s you, you should be using a 0% APR credit card.

The best 0% APR credit cards offer no interest on new purchases for up to 18 months. The choice is simple: Make sure you’re using one of these cards to help maximize your savings.

5. This lazy trick will save you $126 at checkout

Another way to find extra money to pay off debts? Save money whenever you shop.

Getting the best price when shopping online is a hassle. After you’ve compared prices and searched coupon codes, you end up frustrated before you even bought anything. But there’s a better way.

With just one click, a free shopping assistant called Honey instantly applies the best promo codes and discounts straight to your shopping cart in seconds — saving you an average of $126 a year. No more coupon hunting!

Listen, you’re going to buy the stuff you need. You might as well pay less. Even if it’s not huge savings, every bit gets you closer to living that debt-free life.

Start saving yourself more time and money, just add Honey — it’s free.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Source: moneytalksnews.com