7 PERSONAL FINANCE TIPS TO START YOUR NEW YEAR

by: Remie Longbrake | published: February 17, 2024

The first of the year is a great time to get organized and your finances are no different! You can use these quick tips below to get started and make 2024 your best year yet.

1. Get your credit reports

You can go to AnnualCreditReport.com for your personal credit report from the three main credit reporting agencies for free once every twelve months. These three companies are Equifax, Transunion, and Experian. You can also call 877-322-8228 to order these reports as well.

Check your reports carefully to make sure that all of the information is true and correct. If you find any inconsistencies be sure to report the incorrect information to the credit bureaus. If you have a bankruptcy or other negative information on file, by law this information can be on your report but in many cases after seven to ten years it should be removed of your report.

2. Call your insurance company or agent

If you have homeowners, renters, or auto insurance, be sure to shop around or ask your agent to shop for you. You should also ensure that you are getting all the discount that you qualify for. These can be multipolicy, being a safe driver, claims-free and more. Even some cars can qualify, such as having lane assist or ABS brakes, and accident avoidance. Get youthful drivers? Well make sure if they have good grades to get the good grade discount if the companies offers it.

For homeowners it can pay to check into rates as well. You can also increase deductibles, but say you put on a new roof, there might be a discount for that. Update the electrical, plumbing, or heat? There could be savings waiting for you. Check around and find out.

3. What about PMI?

What is PMI you ask? Well this is Private Mortgage Insurance. Essentially if you put down less then 20% on your home loan then you’re probably paying PMI. Have you paid more than 20% now, then ask your lender if PMI can be removed. Unfortunately, PMI alone could be $1,000 or more per year on your mortgage, so if you can drop it ask and find out.

4. Consider refinancing

Check with your current lender to “inquire” about refinancing options. I say in quotations because don’t let them just blindly re-run your credit. Get a good idea of what the new rates are before signing anything or pulling your credit. Be sure to ask about fees and points in addition to the interest rate. The new rate might not be a true savings when it’s all said and done.

5. Find a free checking account

Many credit unions offer free checking with a few, if any, conditions. If you’re paying for access to your own money, consider changing banks. There are some online banks (if you’re comfortable) that offer free checking. Banks like Chime, SoFi and Ally are some online options.

6. Open a savings account

If you do not already have a savings account, consider getting one. Find a bank or credit union with low minimum requirements or checking into the options I listed above along with options that are closer to where you live. Of course, ask what their fees are and being a savings account, what are they offering in regards to the interest rate on your money.

7. Update your balance sheet

If you’re not already tracking your expenses and assets now is a good time to start. You’ll want to list all your expenses and all your assets. Assets would include income, savings and checking accounts, retirement accounts, etc. Of course liabilities are just that, mortgage or rent, car payments, credit cards (with balances) and everything else that is costing you money. If you do this each year or biannually you can see over time and your balance sheet changes, hopefully for the better. And if you’d like a free balance sheet which is also called a net worth statement just email us.

Take the time to work through your personal finances and start today!

It is our recommendation to always consult with a licensed and reputable financial expert. This educational article is not specific advice. We strive to present quality, effective content. For specific references to our content please use our contact page.