A Guide for Beginners: Tips on How to Establish Credit When You're Just Starting Out

More than 50 percent of American adults either have a poor credit score or are credit-invisible.

If you’re one of these people, it’s time to act.

credit card

As an adult, few things are more important than a good credit score. With good credit, for instance, you can easily secure loans at low-interest rates.

In this article, our focus is on people who have never had a credit score. If you’re just starting out, you need to know how to establish credit the right way.

Keep reading for more insight.

Get a Credit Card

A whopping 183 million Americans have at least one credit card and for good reason.

A credit card offers a convenient way to pay for purchases while earning certain rewards. It’s also an ideal way to start building a credit history.

You’re probably wondering, “Don’t credit card companies check an applicant’s credit score before approving them for a card?”

Well, that’s correct, but not all credit cards have this requirement. In fact, there are cards designed for people who don’t have a credit record. These are secured credit cards.

When applying for a secured credit card, you’ll give the card issuer a deposit, which will also become your credit limit. For instance, if you put down a $500 deposit, you’ll get a credit card with a $500 limit.

As you start using the card and paying the balances, you’ll build a payment history. Credit rating agencies will pick up this information and off you go!

Secure a Credit Builder Loan

If you’re unable to get a secured credit card or simply don’t like the idea, there’s another ideal option: a credit builder loan.

As the name suggests, this loan is designed for consumers who want to start building credit for the first time, as well as credit-active consumers who want to rebuild bad credit.

With a credit builder loan, a lender approves you for a certain amount of money. There’s a catch, though. You can only access the money after paying it off!

Let’s illustrate.

You apply for a $200 credit builder loan, repayable in equal monthly installments for a year. You’ll make these payments using your own money until you reach $200, plus interest. In the process, you’ll build a payment history, which is what you need to establish credit and grow it.

Think of this facility as a savings account with a credit-building benefit.

Get Credit for Your Regular Bills

As a person who’s just starting out, you probably also just started paying rent and other bills, such as the internet, cell phone, and electricity.

These bills don’t normally show up and credit reports, but when your goal is to establish credit, there’s a way you can make them boost your credit. Services like RentTrack can put a rental bill on your credit report. As you continue paying the bill on time, your credit will keep improving.

Keep in mind, though, that not all credit rating systems take this information into account. This tip is worth giving a shot, nonetheless.

How to Establish Credit Simplified!

When it comes to credit, every consumer begins on a blank slate. However, strategies for establishing and building credit vary. With this guide on how to establish credit, you now know the steps you can take to start building your credit history the right way.

Putting Dreaded Credit Card Debt Behind You

Getting rid of credit card debt isn't really an easy task to accomplish, especially if you have a tremendous amount of credit card debt. Rest assured that you can pay off all your dreaded debt, even if it takes a bit of time.

Your first line of defense in tackling credit card debt should be the art of conversation. You need to telephone each credit card company that you have a debt with in order to inquire about the possibility of getting a lower interest rate on your debt. Not all credit card companies that you speak with will be willing to cut the interest rate on your debt, but nonetheless, it seems like there are always some companies who will cut interest rates for their consumers. It may also be a good idea to send letters to the credit card companies that you have balances with in order to request substantially lower interest rates.

credit card debt

The next thing you should do if you want to put your credit card debt behind you is save up some money to demolish your debt. You should definitely be paying a lot more than the minimum payment due on each credit card each month if you wish to get rid of your debt. Interest accumulates quite rapidly on any credit card balances that you may have, so be sure to throw quite a bit of extra money at your credit card debt whenever possible. Making double, triple or even quadruple payments towards credit card balances each month is an excellent idea. If you can’t afford to make at least double payments towards your credit card bills every month, consider finding an additional job so that you can earn more cash to pay down your debts. Even having an additional part-time job will help you in your quest to get rid of credit card debt forever.

If you have a particular credit card that seems to have a very high interest rate term, you will want to try to pay off any balance that you have on that card as soon as you possibly can. Since interest accumulates on credit card balances each and every month, you need to get rid of the card balances with the highest interest rate terms first, especially if you want to pay off your debt quickly. Review all the recent credit card balance statements that you have in order to find out which card companies charge the highest interest rates on your balances.

Stock Investing For Dummies

Stock investing for dummies. That hurt, isn't that right? Relax, it is only a title. It is additionally a call to wear extreme shield if you need to make it in the stock investing game. It is truly a dog eat dog proposition over here on Wall Street. Fortunately, you can make it. If you got your covering on then the time has come to do fight however first you require a couple of weapons. I have included three killer strategies that will help any level stock investor on their way. You won't read about the vast majority of these anyplace else so appreciate and recall forget to online paper trade first, you will read that again on the grounds that it is so imperative. Good fortunes playing the stock investing game: It is exceptionally profitable if you gain from the pros. Here we go:

Bringing home winners

Stocks that go out at or close to their highs for the day are great candidates to bring home and ride out for maybe a couple days. In any event, they are by and large profitable in the opening of the market the following day. The market makers are generally discovered covering their short positions in the opening fifteen to thirty minutes. What as a rule ends up happening is there is a hole up made and that pop frequently gives a decent brisk pickup. The danger in this procedure is the potential for negative news (IE: minimize, and so forth) to work the contrary impact. Obviously, this is the danger that you generally manage as a swing trader and that is one of the all the more engaging parts of day trading - no medium-term positions. All said and done, this is an awesome move. In my initial days, I did this trade a considerable amount and did.

stock investing

Keep in mind to online paper trade first.

Purchasing ETFs

This has turned out to be progressively prominent. These days, there are just around at least one ETFs for each part. No, "Stock Investing For a Dummy" article would be finished without discussing ETFs. Hurray Finance gives a pleasant rundown that will reveal to you each ETF known to man. The pleasant thing about trading the ETF is that you stay away from the previously mentioned hazard that an individual stock holds. Purchasing an ETF or shorting an ETF (here you have the additional advantage of not having the uptick administer) in a hot segment gives you a pleasant hazard/remunerate proportion. Keep in mind to online paper trade first.

Shorting strategies

Shorting isn't for everybody and that is most likely something worth being thankful for. I lost a major lump of cash from the get-go by making the oversight that such a large number of rehashes. I shorted stocks in a solid buyer market. This conflicts with everything that I presently remain behind. I profit since I work with the market, not against it. It is exceptionally difficult to reliably profit shorting stocks when the general trend is running the other way. For reasons unknown, traders frequently need to battle this, however, they once in a while win on a steady basis. So, you ought to be comfortable with how to short and when to do as such. All things considered, the bear market travels every which way and if you are endeavouring to long stocks in that environment you would run into similar issues those traders do that short in an up trending environment.

While shorting I hope to get the energy of a probable falling stock. Stocks fall harder and quicker than they do climbing. Enormous cash can be made if you short appropriately.

It is savvy to consider the accompanying elements that can work to support you if you will be shorting: regularity (as already said), area shortcoming, and so forth...

There is a notice that I trust you notice. Whatever you do, if you don't mind spare yourself cash and sorrow - DO NOT short a stock since "you suspect." DO NOT short a stock since "it appears as though it must go down." Have a vital reason moved down with great research before considering shorting? Except if you wind up in a clearly bearish market I would not by any means get associated with shorting until the point that you have a couple of long periods of trading experience. Keep in mind to online paper trade first.

Managing Of Personal Finance Can Help You In Time Of Crisis

The financial crunch in the contemporary era has made people to take note of their personal finance in a proper manner. People are now more concerned about the ways by which they can ensure an efficient running of their household and also ensure the aspect of saving. When you have a proper grip on your personal finance, then that ensures you are at economic stability. The stability is needed in the world of trembling finances. Also, a stable finance will help in coping up with any kind of financial crisis in a proper manner.

manage your finance

The planning

The three main components of personal financing are the aspects of budget, spending and saving.  To have a proper planning, you need to make a proper assessment of your assets. The assets should include both movable and immovable properties. Then the next step is to shed light on the aspect of income. You need to form a single source by accumulating all your income sources. The next step involves creating a list of the expenses. Make the chart by using detailed expense list. This will help you in creating a proper budget. When you lay down everything in a detailed manner, then you understand how much you are spending and what you need to save. Also, you identify those areas which are unnecessary spending.

Change a little

When get all the details in front you become aware of the areas that need changes. You also discover new income sources. With a little effort from your side, it can be ensured that you get the best out of the plan made for your personal finance.  Also, you need to have a check at the daily expenses that you make. While making a budget plan ensure to chalk out a plan about the daily and monthly expenses. Also, include the aspects of holiday expenses and the various luxuries.

Set goals

The setting of goals plays a very crucial role in managing a proper finance of your household. The goals can be small term or long term. It can be about getting a new set of curtains to getting a new house. However, if you have a proper planning, then you can work in accordance with it and reach the goal in a smooth and hassle free manner. When you are setting the goals remember to label them with a certain time period. This will help you to get motivated and work towards it. Also, any unwanted intervention in your financial life will be handled by you in a better manner.

Stick what you have set

When you make a plan then stick to it. Try not to deviate from your plan as that will disturb your personal finance. However, if you have any changes in any of the factors, then you need to accommodate the change. If you have enhancement in your income or decrease in it, then you need to set your goal and budget in accordance with it. The same is the case when your expense faces a sudden increase.

Make Further Adjustments 

Optimizing personal finances is a work in progress. Once you start, it is essential to review what you’ve done regularly. The experts suggest sitting down once a month to track your progress and adjust plans for the future. 

The idea is to find areas where you could do better. For example, if you exceeded the budget for betting online, you might need to learn how to stop gambling. If you performed above expectations in some areas of personal finance, take a moment to commend yourself for a job well done. Make sure to stick to those patterns, and adjust only areas that could use improvement.

HOW TO DO A PROPER FINANCIAL PLANNING FOR YOUR FAMILY?

Can you imagine life without your family? No, right? It is not even something you want to do. Everyone on this earth wants their family to live happily and without any hassle or problems in life. To ensure this lifestyle for your family, apart from regular meet-ups, love and affection, material and financial security are essential as well. This cannot be ensured without proper financial planning for your family. 

financial planning

Your family deserves to have a safety net of its own so that if any problem befalls in the future, your family as a whole can respond to it and solve it immediately. It gives a sense of security which ultimately, results in peace of mind and calmness of the inside. It will rid you of tensions in the future because you will be at peace. After all, you are better organized and prepared.

While financial planning for your family can be a bit tricky and confusing, it is something that you must do. Read on to understand how to do proper financial planning for your family and to avoid mistakes and confusion.

1. SET GOALS

The first thing you do when you set out to do financial planning for your family is to define and outline your goals and aspirations.

You will need to plan for a house that you would want to buy 3 years from now or 5 years from now, for the college that your child would go to, for any family vacations that you would want to go to. All these dreams and aspirations need to be thought about and the decision has to be taken about what all goals you wish to achieve so that you can accordingly work to arrange your finances. Once you decide your goals, you can plan how much to save and how long it will take to save that amount.

2. TRACK YOUR EXPENSES

Once you have a clear understanding of what your goals are going to be, you need to start tracking your expenses. You need to identify the sources of income, how much you spend in total, how much of your income goes into regular and unavoidable expenses and how much of it goes into irregular expenses. Further, you need to see where you can avoid and/or cut down expenses.

Making a monthly budget will do you good. Once you keep a track of your family’s incomes and expenses, you will get a better picture concerning financial planning.

3. A FAMILY ALLOWANCE

You can cut down on your unnecessary expenses by setting aside some part of your income for food, outdoor activities, entertainment, etc.

This way, you can design a monthly budget for your family where you can set target amounts for your savings as well as expenses. You must try and stick to these targets. This will help you keep a better track record of your expenses. You will be able to better organize your finances for your goal by identifying the right and the wrong and work to rectify it.

4. EMERGENCY FUND

As the name suggests, this fund is a portion of your income kept aside for any future emergencies that might befall you all of a sudden. It acts as a safety net. If you do not believe in keeping an emergency fund for your family, then you might be making a big mistake. It will secure your family’s future in the sense that should any mishap befall your family, you can respond immediately without wandering door to door for help. You will be shielded and guarded against any and every problem that you and your family might have to face.

5. SAVE/INVEST

Plan out for savings and where you want to invest your money. Saving is very important. Every member of your family should save something no matter how small the amount. Saving your decided amount is a must. And if you and your family judiciously meet your saving target, then you and your family are doing something right.  

When you and your family decide to invest, invest where the rate of return is high. They are extremely beneficial in the long run. But the only predicament that accompanies investments is that they are not risk-free. Their value is quite fluctuating and might even fall. Thus, if one wants to invest, you need to take up the calculated risk.

Nevertheless, if one is to do proper financial planning for one’s family, one must decide how much to save and/ or where to invest.

6. AWARENESS AND AN EYE FOR AN OPPORTUNITY

The best thing you can do to secure a better future for your family is to be aware and astute. Also, you need to keep an eye open for profitable opportunities and avenues for you to invest in. You need to make sure that you do not invest your money in a sham, you avoid frauds and be safe.

Identifying profitable areas to invest in requires a certain talent that everyone can possess with age and experience.

When you possess this keenness and astuteness, you are on the right path to financial planning.

7. FINANCIAL PLANNING FOR THE FAMILY NEEDS FAMILY

When you are doing financial planning for your family, you must include the family in this. Your family needs to be a part of this process. They need to give their inputs, express their fears against a decision, express their affirmation for a decision for you to do proper financial planning. It is stupid to plan for the material and financial security of your family without including your family in it. It will give you a holistic view and you will be able to analyze the pros and cons and thus, make better decisions.

Thus, it is not extremely difficult to plan for your family’s financial security. It requires planning, perseverance, and resourcefulness. And with these three qualities, you can achieve your family’s financial goals. Take help if you feel like that that is the better approach. But do plan for your family’s financial well-being.

How To Attract Young Professionals with Creative Benefits

An attractive salary isn’t enough to woo the top talent these days. Whereas previous generations may have been largely interested in earning the most money, millennials and Gen Zers have completely different concerns. Nowadays, young professionals are searching for workplaces that institute a healthy work/life balance or employers that are willing to contribute to their student loan debt. In short, if HR managers want their businesses tostand outto today’s best and brightest, they need to reevaluate the types of benefits and perksthey offer.

For instance, many young jobseekers desire positions that feature flexible working options such as varying start times and telecommuting. They also have a deeper appreciation of their mental health than their predecessors. Therefore,a workplace that offers health and wellness programs such as yoga or gym discounts can be much more attractive to them than other offices.

Sincea large portion of millennials are in dual-income households, they want companies that are willing to provide extended maternity and paternity leave when they start families. For those waiting longer to have children, companies can provide on-site pet care and other conveniences for their four-legged family members.

Times are changing, and so are the priorities of today’s job candidate. To avoid being left in the dust, your organization will have to reevaluate the benefits it offers. See the accompanying infographic for more ideas on how you can attract and retain exceptional young professional sat your business.



Infographic provided by The Jacobson Group

About the writer: Nikki St. Martin is VP of Marketing for The Jacobson Group, the premier insurance talent acquisition firm in the country. St. Martin is responsible for the ongoing marketing and branding efforts of The Jacobson Group.

What To Do When Inheriting A Property

Knowing what to do when inheriting a property can be pretty daunting, especially if you haven’t any property experience.

An elder loved one passes away, handing down a property worth hundred of thousands of pounds. The Will has been processed, probate complete and taxes sorted. Now what?

Inheriting A Property

Keep calm. It’s not easy to cope with an extremely valuable asset suddenly coming your way. The first step is to not panic, think clearly on your next steps and take your time.

Here’s what NOT to do

Don’t look to sell the property and cash in straight away. Sure you’ll get a large lump sum of cash to spend on whatever you choose, maybe a flash car or an expensive holiday. But think longer term. 

A car won’t give you an income but will eat up your cash quicker through insurance, maintenance and fuel.

You need to factor in timing of the market as well. Prices may have recently dropped and selling wouldn’t make the most of your asset. The UK market in some regions is in a decline due to Brexit, economic developments will therefore hit your sale income.

Look into local investment

If the area your property is situated in is undergoing major development, this may result in an upcoming property price hike. 

Key areas on the path of Cross Rail have seen major price increases over the last 4 years. Properties in the UB4 postcode grew by around £80,000 during this period. 

Just imagine selling before these price hikes and missing out on the extra value!

If you feel your area i going through heavy investment and prices will increase, it’s best to hold tight to your property until prices have undergone the sharp increase.

You can talk to local estate agents & property managers to get an idea of how the local market is looking.

The volume of houses for sale in that area may also indicate something is about to change. Potentially if people are holding off on selling, its usually if the area is a great place to live (so you may want to move in yourself!) or that people are biding their time for a better sale in the future.

Rent out the property

Renting out the property will provide you a steady income while maintaining full ownership.

Its not guaranteed, but property values increase over time (based on the last 30 years). Therefore while getting your rental income, the value of your house is increasing.

Lack of landlord experience?

Running a rental property isn’t smooth sailing. Fixing broken boilers, finding tenants, dealing with resident conflicts can take their toll.

An ever increasing option of what to do when inheriting a property is to get a property manager. A property manager can take on a range of services spanning from guaranteeing you rent, finding tenants, collecting payments or running maintenance. 

Rent Round offers a comprehensive search facility. Enter your postcode and property details and you can easily compare property manager fees & performance (free of charge)

Remortgage the property

Depending on the details of the property  handed over, you could be receiving a property with near enough the full properties value in equity.

If your not fully keen on selling, but could do with the additional income, remortgaging could be an option.

Remortgage will keep your ownership of the property and provide you with a lump some of cash from the mortgage provider.

Of course the mortgage will have to be repaid, but that can be easily recouped based on the rental income.

If you want to keep repayments low, then opting for an interest only mortgage will mean you defer payment of the actual debt until the mortgage term (which you could sell the house to cover).

Again if you’re unsure about how to rent a property & have no experience, Rent Round can help you get the perfect property manager to assist you and potential tenants.