Escape Financial Problems » Tips

Set Your Financial Goals

admin — Fri, 06 Jan 2012 15:11:27 +0000

You wouldn’t start out on a long trip into unfamiliar territory without a road map, yet many people go through life without a concrete plan for their financial future. Setting financial goals is one of the most important steps for gaining financial control. When you have a goal, you have the motivation needed to follow a money-management plan. So always remember that you should set financial goals, no matter what your age.

Financial goals may be short-term, medium-term, or long-term. Short-term financial goals are things that can be accomplished in a relatively short span like within a 6 to 24 month period of time. Medium-term goals are those you wish to achieve in the next two to five years, such as wish to save money for college or for a future purchase or need.

Long-term refers to projects or financial goals that need funding five or more years from now. For long-term goals you probably have hopes for a comfortable retirement, the opportunity to go places and do things you’ve always wanted, buying a second home, starting a business, or a chance to provide security for your heirs. To keep your financial goals congruent with your personal values, reevaluate your goals frequently and adjust them when necessary.

Protect yourself from identity theft

admin — Fri, 23 Dec 2011 11:38:54 +0000

Today, we do many activities that put our important personal information at risk from identity theft – from writing a check at the store to charging merchandise in person or over the phone. You may not think twice about these transactions, but others might. Identity theft is the fastest-growing crime in America. Identity theft is when a criminal has someone’s identity for personal or financial gain, like stealing a credit card to make financial transactions in the victim’s name. To protect yourself from identity theft victim, you can learn and following these tips.

* Do not give out your personal information unless you initiate the contact or know the person or company with whom you are dealing. Also, never disclose personal information, such as a Social Security number or bank account number, in response to an email. Legitimate businesses will not ask you to do this.

* Do not disclose your credit card number to an online vendor unless it is encrypted and the site is secure.

* Do not write your Social Security number or telephone number on checks or credit card receipts.

* Remove all documents with personal information from your hard drive before discarding your computer or sending it in for repair.

* Shred discarded documents, including preapproved credit card applications, bank statements, store receipts and utility bills. “Dumpster divers” can gain access to your personal information if such items are thrown in the trash.

* Cancel all credit cards that have not been used in the last six months. Open credit is a prime target for thieves.

* Order your credit report at least twice a year and report any mistakes to the credit reporting agency in writing.

If you are a victim of identity theft, contact your local police department as soon as possible. If your identity was stolen in one jurisdiction but used in another, you may have to report the crime in both jurisdictions.

Good planning to avoid financial disaster

admin — Fri, 16 Dec 2011 04:05:57 +0000

It’s tough to get financial freedom in today’s fast-paced life. With mortgages, car notes and massive large amounts of credit card debt, most people struggle to cover all this expenses from month to month. With most people doing what they can just to pay their bills, few people are prepared for the unlikely event of a financial disaster that can come in many forms, such as a storm , a loss of job, or a sudden illness. But it isn’t all that difficult to make preparations that will help you in times of a money crisis. All it needs is a little of planning ahead of time.

Here are some points that can help you be prepared for the unexpected situation:

Get an ATM/Debit card - You may not regularly use cash or have a need for a debit card, but there are some circumstances where it may be necessary. If you don’t use one regularly, get one anyway and keep it in a safe place.

Sign up for direct deposit – With direct deposit, you will know that your paycheck will be in your bank account even if you cannot, for whatever reason, physically get to your bank. This will help you in the event of illness or natural disaster that may have your local bank temporarily closed.

Sign up for online bill paying – You can pay bills even if you aren’t at home via the Internet. You don’t have to use the service, but it may come in handy at a time when you least expect it.

Save some emergency cash – Financial experts recommend that you save at least three months’ worth of financial expenses. That’s difficult, but every little bit can help. Try to cut back on a few unnecessary items, such as that tall latte you buy every day. It adds up, and you never know when you may need to access that emergency cash.

A little bit of planning can go a long way when a financial emergency strikes. If you plan for it now, you will have fewer worries later.