A Guide to Personal Finance Tips
The world of personal finance can be a challenging one in which to get a good footing, but believe it or not it is possible. Even if you have fallen into the downward spiral of debt, you can get out of it. If you have experienced debt, you are equipped with the personal experience of what it is like and should have even more motivation to avoid it in the future.
You should begin to rebuild your finances immediately and can do so easily as long as you act responsibly and carefully with your money. In order to regain control of your finances, it is important for you to know what the financial terms below mean, and what they can help you accomplish.
Bankruptcy Credit Cards
If you have filed for bankruptcy, and have been approved, you have wiped your credit slate clean. After this, you will need to rebuild your credit and the easiest way of doing so is through applying for a credit card. After filing bankruptcy, you’ll have the same income, just without the debt, which will make getting a credit card easy.
Debt Consolidation Programs
In times of financial crisis, debt consolidation programs can really come to the rescue. Essentially, these programs will take all of your current debt and lump it together, or consolidate it. This way, you will be able to pay off this lump sum in just one payment per month rather than several.
Credit Card Counseling
When you feel that your finances are out of control, you may want to engage in credit card counseling. A trained credit counselor will look at your current situation and help you come up with the best plan for you to pay off your debt.
Debt Consolidation Loans
Debt consolidation loans can help you put your life back together. You’ll need to know how much debt you’ve got, and get a single loan to pay it all off. This way, you’re paying back one loan, usually at a much lesser interest rate, than several high interest payments a month.
College Credit Cards
College credit cards may be one of the reasons you are in debt. As a college student, it is suggested that you take out just one or two credit cards, to help build your credit. But always remember to pay your balance off in full each month and never overspend.
Debt counseling, like credit card counseling, will help you come up with the best plan in order to pay off any debt that you have. It is not limited to credit cards, so you can include student loans, medical bills, and even utilities.
Unsecured Credit Cards
Unsecured credit cards are those which do not require a deposit in order to get the benefits of having the credit card. In order to qualify for these types of credit cards, always make sure you pay your bills on time, pay off balances in full, and keep only a few credit cards at a time.
Credit Card Debt Loans
If you have too much debt piled up from unpaid credit card bills, you might want to consider credit card debt loans. These loans can help you consolidate your payments into one lump sum at an affordable interest rate. Remember, if you consolidate your bills, you will need to close your credit card accounts.
Online Credit Reports
It is always helpful to check your online credit reports at least twice a year. This will help you identify any unpaid debt, any errors to your credit history, and to keep an eye on your personal finances. This is also a great way to make sure that you have not become a victim of identity theft.
Credit Card Debt Consolidation
If your bills have really gotten out of hand, consider credit card debt consolidation. This will require you to close out all of your credit card accounts, but will help you pay them all off in one lump payment each month. Typically, the interest rate will be reduced by more than half.
Although the list above is not an exhaustive one when it comes to financial terms and definitions, it is a good start. As long as you understand what each of these terms is, and how understanding each can help you regain control of your finances, you will be well on your way to improved financial security.