Holidays are right around the corner, and this year, many of us are more worried about travel and gift costs than the joy that the holidays should bring. Military Benefit Association has a few tips to help you get through the next few months and protect your financial well-being.
1. Verify your charities.
Be sure you know if your donation is tax deductible for you. Also, be sure to know how far your generous dollars are going--some donation dollars end up going to professional fundraisers, mailings, and callers while some are volunteer-run. Check out the charities you give to on the internet and call to make sure the charity is registered at www.nasconet.org/agencies. Unfortunately, some charities don’t have the infrastructure to help their cause even if you give them money. Others end up being scam artists that take advantage of the generosity of others. Other great information on charitable giving can be found here: http://www.ftc.gov/bcp/edu/pubs/consumer/telemarketing/tel01.shtm
2. Register for online banking and overdraft protection.
Online banking is the easiest way to check your balances around-the-clock and make sure you're not overspending on gifts, travel, or other holiday necessities. Overdraft protection links credit cards to your checking account and bypasses $35-$50 overdraft fees in case you lose track.
3. Protect yourself from identity theft.
People lose and steal credit card information daily. One trick you can use to minimize damage is write "Ask for ID" on the back of the credit card in permanent marker (please avoid the magnetic strip and covering your signature). Cashiers will notice it and while you will have to show your id more often, it will protect you in case your card falls into the wrong hands. Many more helpful tips for avoiding credit and charge card fraud can be found here http://www.ftc.gov/bcp/edu/pubs/consumer/credit/cre07.shtm.
4. Protect and improve your credit score.
Many don’t know that it doesn’t take much to damage your credit score. This often happens around the holidays. It will be a new year, why not start it off with a fresh score? You get one free report each year from freecreditreport.com. If it is above 700, little needs to be done. Tips for improving your score are: pay off as much of your balance each month as possible, pay on time, and don't close old accounts. Part of a credit score is your available credit ratio, and an empty, paid off credit card is not a bad thing.
5. In debt? Pay attention to interest rates.
It would be silly to keep money in a checking account that is getting you only 1% interest when your credit card company is charging you 11% per month in interest. That's 10% you're losing on every dollar in your savings account. Pay off your debt before you start saving.
6. Plan for the future
If you're worried about what might happen to your family should you pass away unexpectedly, now is better than never to reconsider and enhance your life insurance plan. Visit www.militarybenefit.org to review life insurance available to military members, veterans, federal employees and their families.
Nice topic! I learned something. Keep updating.
ReplyDelete