In 2006, approximately 33 percent of Internet users used online bill paying. This number is expected to rise to 85 percent by 2008. Taking advantage of your bank’s online bill paying feature can help organize your finances. Not only do you eliminate the time it takes to write out a check, you save money on postage.
One credit card is enough. Having all your records arrive on one statement and paying only one bill can help you simplify your financial life. The best way to do this is to pay off the balances of every card but one. However, that isn’t always an option if you carry more consumer debt than you can pay off in a month. Tackle the card with the highest interest rate first when paying them off. Instead of closing accounts when balances are paid off, simply cut up the card.
If you have a FICO score above 720, you may qualify for a lower rate. Use one of the three credit bureaus (Transunion, Experian and Equifax) to get your credit report. You are entitled to one report per bureau per year for free, so don’t buy into the notion that you have to pay to access this information. Gather your credit card statements and call to negotiate lower rates once you have your credit score in hand. Never transfer balances onto a card that has a higher rate and be wary of cards that charge for transferring balances.
www.transunion.com
www.experian.com
www.equifax.com
Despite record amounts of disposable income, Americans had a negative savings rate in 2005 and 2006 for the first time since the Great Depression. Making saving automatic can help you beat the statistics and set aside more of your income for the future. If your employer offers an automatic deposit plan, allocate some of your earnings to go directly into a savings account. If you don’t see it, chances are you won’t miss it.
Whether you’re paying down debt or building your nest egg, automate the process as much as possible. Do the baby steps each day, week and month to whittle away at it. Focus on the positive steps you’re taking to empower yourself financially. Feel good about living on less money, and feel proud each time you write out a check to pay off your debt.
DID YOU KNOW? The average American adult receives eight credit card offers through the mail each month regardless of his or her credit history.
Source: www.debtscape.org
“I use online bill pay through my bank. It is so easy to use; I absolutely love it. No more stamps and no more writer’s cramp trying to write our return address on the envelopes! It keeps the list of bills I have to pay every month on one screen and even notes the date when I last paid that particular account. It has made my life so much easier.”
—Jennifer,
Mommysavers Member
Other articles from this issue:
If you're on Facebook, you can become a fan of our Uniroyal® Tire fan page for even more helpful tips.
Uniroyal® Tire is giving away one soccer ball every day this year. Read more and enter to win.
Register to win a $100 gift card from Uniroyal Tire in our monthly promotional drawings.
© 2010 Michelin North America Inc. All Rights Reserved.
