Archive for April, 2015

6 Myths of "Good" Credit Card Use Debunked

Posted on April 30, 2015 by Saldutti

Credit cards can cause problems for those who overcharge and can’t pay their bills on time, but they can also be valuable tools for building credit history and reaping rewards. But to maximize credit cards as a valuable financial tool, you must use them correctly.  Unfortunately, many people believe they’re making smart moves with their credit cards when they’re actually doing the opposite. The Daily Worth blog outlines these 6 credit card moves that conventional wisdom might have told you were smart — but really aren’t. Canceling Your Credit Cards – It may seem like a good idea to cancel your…

Who Wants to Be a Millionaire?

Posted on April 29, 2015 by Saldutti

A recent study by Fidelity Investments focused on what it takes to become a millionaire without the help of a game show, and found that many people have the ability to accrue tremendous wealth, but that their windows for such financial success are closing.  Fidelity’s seventh annual “Millionaire Outlook” study looked at the potential investors have for moving up toward millionaire status. The key group in the study was the “emerging affluent,” which would be the people who seem to have both the resources and the interest/ability to live out their seven-figure dream. The key finding in the study is…

Save or Shred Part 2: Financial Documents

Posted on April 28, 2015 by Saldutti

If you haven’t already opted to go paperless, you might be swimming in a flood of receipts, bills, pay stubs, tax forms, and other financial documents. But it doesn’t have to be that way. Some of those papers need to be kept, but others can be shredded and tossed.  (For specific information on tax documents, check out our previous post here.)  The Daily Worth offers this guide on what to keep and for how long. Receipts – Receipts for anything you might itemize on your tax return should be kept for three years with your tax records. Home improvement records –…

Consumer Debt Tracking Service Teams Up with TransUnion

Posted on April 27, 2015 by Saldutti

Global Debt Registry, a tech startup working to provide clarity to the murky world of debt collection, is starting to build momentum. It recently announced a credit bureau partnership and is preparing for a possible jump into payday loans.  The startup uses a national reporting and tracking system to follow consumer debt in the same way that Carfax tracks used cars. Once banks register credit cards and other consumer loans in the database, Global Debt Registry maintains an audit trail of the debt buyers and collections agencies that buy and sell it. When a debt has been paid, the registry…

Millennials Just Say 'No' To Credit Cards

Posted on April 24, 2015 by Saldutti

Millennials may be so spooked by their chances in the job market and by student debt that they’re forgoing credit cards.  A survey found that approximately 36% of a group ages 18 to 29 years old never has had one.  The findings about millennial credit card ownership are based on a survey commissioned by CreditCards.com and conducted by Princeton Survey Research Associates International. “One of the biggest takeaways is just how quickly things have changed in a big way,” said Matt Schulz, CreditCards.com senior analyst. “When I was in college in the 1990s, every kid in my dorm had a…

A Good Spring Cleaning … For Your Finances

Posted on April 23, 2015 by Saldutti

Spring is here and summer is approaching – it’s not only a great time to spruce up your home and organize your closets, but it’s also an ideal time to clean up your finances. The wintry financial climate of the past year has probably seen quite a bit of grime build up on your finances as well, so, just like your home, they could probably use a good scrubbing.  The Daily Worth blog gleaned these ideas from some top consumer finance advisers: 1. Sweep Away Winter Bills – Here’s a scary statistic: Consumer Reports estimates that 7% of all shoppers go…

Falling Behind: Grim Outlook for Student Loans

Posted on April 22, 2015 by Saldutti

More borrowers are failing to make payments on their student loans five years after leaving college, painting a grim picture for borrowers, according to the Federal Reserve Bank of New York.  Student debt continues to increase, especially for people who took out loans years ago. Those who left school in the Great Recession, which ended in 2009, had particular difficulty with repayment, with many defaulting, becoming seriously delinquent or not being able to reduce their balances, said the New York Fed. Only 37% of borrowers are current on their loans and are actively paying them down, and 17 percent are…

Tight Credit Creates Challenge for Former Homeowners

Posted on April 21, 2015 by Saldutti

Only about 1 in 4 former homeowners who lost property during the housing crash will soon become buyers again as tight credit keeps many out of the U.S. real estate market, according to a National Association of Realtors study. Of the 9.3 million owners who went through foreclosure or were forced to sell at a loss, about 950,000 already have bought again and 1.5 million more are likely to make a purchase in the next 5 years, the trade group said today.  “They won’t be a significant factor to the housing market going forward,” said Lawrence Yun, chief economist at…

Warning Signs of Impending Financial Trouble

Posted on April 20, 2015 by Saldutti

Have you ever gone into debt just to cover fixed monthly expenses?  Do you dread opening up your credit card bills each month?  These are both strong indications of potential financial problems.  The Daily Worth shows us these 7 red flags that you’re in financial trouble, plus solutions to get you back on the right track. 1.  You Have No Idea How Much Money Is in the Bank The signs: You use your debit card freely and thoughtlessly, assuming you have money in the bank — but you’re not always right. You rack up overdraft fees on a regular basis….

New Apartment Buildings and Rents Expected to Rise

Posted on April 17, 2015 by Saldutti

Renting has gotten increasingly expensive in the past 5 years. The average U.S. rent has climbed 14% to $1,124 since 2010, according to commercial property tracker Reis Inc. That’s four percentage points faster than inflation, and more than double the rise in U.S. home prices in the same period. Even with a surge in apartment construction, rents are projected to rise an additional 3.3% this year, to an average $1,161, according to Reis. While that’s slower than last year’s 3.6% increase, the broader upward trend isn’t going away. The main reason: More people than ever are apartment hunting.   Young people…