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Your Student Loan Debt Doesn’t Have to be Stressful
This page may include affiliate links. Please see the disclosure page for more information. While the national economy appears to be improving, millions of Americans are still tied down with massive debt loads. For example, total student loan debt has climbed to $1.5 trillion with 44 million borrowers overall. Unfortunately, outstanding debt prevents people from starting a…
The post Your Student Loan Debt Doesn’t Have to be Stressful appeared first on Debt Discipline.
Your Student Loan Debt Doesn’t Have to be Stressful was first posted on May 25, 2020 at 9:18 am.
©2019 "Debt Discipline". Use of this feed is for personal non-commercial use only. If you are not reading this article in your feed reader, then the site is guilty of copyright infringement. Please contact me at brian@debtdiscipline.com
Source: debtdiscipline.com
Debt Consolidation Loans for Bad Credit – Our Top 5 Picks
Top 5 Debt Consolidation Loan Companies The specifics of your debt consolidation loan will depend on your creditworthiness at the time of your application. With that said, the following companies offer some of the best…
The post Debt Consolidation Loans for Bad Credit – Our Top 5 Picks appeared first on Crediful.
Source: crediful.com
The Worst Ways to Deal With a Bill Collector
Dealing with a bill collector is never fun and it can be particularly stressful when youâre sitting on a mountain of debt. Sometimes debt collectors fail to follow the rules outlined in the Fair Debt Collection Practices Act. If thatâs the issue youâre facing, it might be a good idea to file a complaint. But if youâre personally making any of these mistakes, your debt problem could go from bad to worse.
Check out our credit card calculator.
1. Ignoring Debt Collectors
Screening calls and avoiding bill collectors wonât help you get your debt under control. Debts generally have a statute of limitations that varies depending on the state you live in. Once it expires, the collector might not be able to sue you anymore. But you could still be responsible for paying back what you owe in addition to any interest that has accumulated.
In addition to the potential legal consequences of unpaid bills, letting old debt pile up can destroy your credit score. Unpaid debts can remain on a credit report for as many as seven years. So if your debt collector is getting on your last nerves, it might be best to stop hiding and face him head on.
2. Saying Too Much Over the Phone
If you decide to stop dodging your bill collectors, itâs important to avoid sharing certain details over the phone. You never want to say that youâll pay a specific amount of money by a deadline or give someone access to your bank accounts. Anything you say can be used against you and agreeing to make a payment can actually extend a statute of limitations that has already run out.
A debt collectorâs No. 1 goal is to collect their missing funds. They canât curse at you or make empty threats, but they can say other things to try and scare you into paying up. Staying calm, keeping the call short and keeping your comments to a minimum are the best ways to deal with persistent bill collectors.
Related Article: Dealing With Debt Collectors? Know Your Rights
3. Failing to Verify That the Debt Is Yours
When youâre talking to a bill collector, itâs also wise to avoid accepting their claims without making sure theyâre legitimate. Debt collection scams are common. So before you send over a single dime, youâll need to confirm that the debt belongs to you and not someone else.
Reviewing your credit report is a great place to start. If you havenât received any written documentation from the collection agency, itâs a good idea to request that they mail you a letter stating that you owe them a specific amount of money.
If you need to dispute an error you found on your credit report, you have 30 days from the date that you received formal documentation from the collection agency to notify them (in writing) that a mistake was made. Youâll also need to reach out to each of the credit reporting agencies to get the error removed. Theyâll expect you to mail them paperwork as proof of your claim.
4. Failing to Negotiate the Payments
No matter how big your debts, thereâs usually room for negotiation when it comes to making payments. If the payment plan your bill collector offers doesnât work for you, itâs okay to throw out a number youâre more comfortable with.
Sometimes, itâs possible to get away with paying less than what you owe. Instead of agreeing to pay back everything, you can suggest that youâre willing to pay back a percentage of the debt and see what happens. A non-profit credit counselor can help you come up with a debt management plan if you need assistance. Whatever you agree to, keep in mind that the deal needs to be put in writing.
Related Article: All About the Statute of Limitations on Debt
5. Failing to Keep Proper Documentation
Whenever you communicate with a bill collector, itâs a good idea to take notes. Jotting down details about when you spoke with a collector and what you discussed can help you if youâre forced to appear in court or report a collector who has broken the law. Collecting written notices from bill collectors and saving them in a folder can also help your case.
Bottom Line
Dealing with bill collectors can be a real pain. By knowing how to interact with them, youâll be in the best position to get rid of your unpaid loans and credit card debt (that is, if you actually owe anything) on your own terms.
Photo credit: ©iStock.com/Steve Debenport, ©iStock.com/RapidEye, ©iStock.com/JJRD
The post The Worst Ways to Deal With a Bill Collector appeared first on SmartAsset Blog.
Source: smartasset.com
How to Avoid the Financial Blunders People Make in Their 20s
Nobody is perfect when it comes to their finances â even millionaires slip up sometimes.
So when you start to think youâre worse off than your parents, or your nephew, or your friends, remember that all 20-somethings have made mistakes that can cost them big time.
But if youâre guilty of making some of these blunders, donât fret. You can still redeem yourself! Here are some of the worst blunders you can make, and tips to help dig you out of the hole.
Blunder No. 1: Not Getting Free Gift Cards When You Shop
What do you usually do with your receipts? You check out, they hand you a mile-long piece of paper, and you frantically stuff it to the bottom of a grocery bag. Pretty worthless.
But a free app called Fetch Rewards will turn them into gift cards. It partners with tons of brands to give you points for every grocery receipt you share. Then you can exchange them for gift cards to places like Amazon, Walmart, Chipotle and dozens of other retailers.
And itâs perfect for those of us who donât want to put a ton of work into this. All you have to do is send Fetch a photo of your receipt, and it does everything for you. No scanning barcodes or searching for offers â and you can use it with any grocery receipt.
When you download the app, use the code PENNY to automatically earn 2,000 points when you scan your first receipt. Then start snapping photos of your recent receipts to see how many points you can earn without a single trip to the store!
Not so bad for a useless receipt, right?
Blunder No. 2: Not Earning Anything On Your Savings
Youâve probably heard the best way to grow your money is to stick it in a savings account and leave it there for, well, ever. Thatâs bad advice.
But maybe youâre just looking for a place to safely stash it away â but still earn money. Under your mattress or in a safe will get you nothing. And a typical savings account wonât do you much better. (Ahem, 0.05% is nothing these days.)
But a debit card called Aspiration lets you earn up to 5% cash back and up to 20 times the average interest on the money in your account.
Not too shabby!
Enter your email address here to get a free Aspiration Spend and Save account. After you confirm your email, securely link your bank account so they can start helping you get extra cash. Your money is FDIC insured and they use a military-grade encryption which is nerd talk for âthis is totally safe.â
Blunder No. 3: Paying Too Much Interest To Credit Card Companies
If you have credit card debt, you know. The anxiety, the interest rates, the fear youâre never going to escapeâ¦
And the truth is, your credit card company doesnât really care. Itâs just getting rich by ripping you off with high interest rates. But a website called AmOne wants to help.
If you owe your credit card companies $50,000 or less, AmOne will match you with a low-interest loan you can use to pay off every single one of your balances.
The benefit? Youâll be left with one bill to pay each month. And because personal loans have lower interest rates (AmOne rates start at 3.49% APR), youâll get out of debt that much faster. Plus: No credit card payment this month.
AmOne keeps your information confidential and secure, which is probably why after 20 years in business, it still has an A+ rating with the Better Business Bureau.
It takes two minutes to see if you qualify for up to $50,000 online. You do need to give AmOne a real phone number in order to qualify, but donât worry â they wonât spam you with phone calls.
Blunder No. 4: Paying Too Much For Car Insurance
Whenâs the last time you checked car insurance prices?
You should shop your options every six months or so â it could save you some serious money. Letâs be real, though. Itâs probably not the first thing you think about when you wake up. But it doesnât have to be.
A website called Insure.com makes it super easy to compare car insurance prices. All you have to do is enter your ZIP code and your age, and itâll show you your options.
Using Insure.com, people have saved an average of $540 a year.
Yup. That could be $500 back in your pocket just for taking a few minutes to look at your options.
Blunder No. 5: Thinking You Donât Have Enough Money To Invest
Take a look at the Forbes Richest People list, and youâll notice almost all the billionaires have one thing in common â they own another company.
But if you work for a living and donât happen to have millions of dollars lying around, that can sound totally out of reach.
But with an app called Stash, it doesnât have to be. It lets you be a part of something thatâs normally exclusive to the richest of the rich â on Stash you can buy pieces of other companies for as little as $1.
Thatâs right â you can invest in pieces of well-known companies, such as Amazon, Google, Apple and more for as little as $1. The best part? If these companies profit, so can you. Some companies even send you a check every quarter for your share of the profits, called dividends.1
It takes two minutes to sign up, and itâs totally secure. With Stash, all your investments are protected by the Securities Investor Protection Corporation (SIPC) â thatâs industry talk for, âYour moneyâs safe.â2
Plus, when you use the link above, Stash will give you a $5 sign-up bonus once you deposit $5 into your account.*
Blunder No. 6: Assuming Life Insurance Is Expensive And Time Consuming
Have you thought about how your family would manage without your income after youâre gone? How theyâll pay the bills? Send the kids through school? Nowâs a good time to start planning for the future by looking into a term life insurance policy.
Youâre probably thinking: I donât have the time or money for that. But your application can take minutes â and you could leave your family up to $1 million with a company called Bestow.
Rates start at just $16 a month. The peace of mind knowing your family is taken care of is priceless.
If youâre under the age of 54 and want to get a fast life insurance quote without a medical exam or even getting up from the couch, get a free quote from Bestow.
1Not all stocks pay out dividends, and there is no guarantee that dividends will be paid each year.
2To note, SIPC coverage does not insure against the potential loss of market value.
For Securities priced over $1,000, purchase of fractional shares starts at $0.05.
*Offer is subject to Promotion Terms and Conditions. To be eligible to participate in this Promotion and receive the bonus, you must successfully open an individual brokerage account in good standing, link a funding account to your Invest account AND deposit $5.00 into your Invest account.
The Penny Hoarder is a Paid Affiliate/partner of Stash.Â
Investment advisory services offered by Stash Investments LLC, an SEC registered investment adviser. This material has been distributed for informational and educational purposes only, and is not intended as investment, legal, accounting, or tax advice. Investing involves risk.Â
This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.
Source: thepennyhoarder.com
5 Unwelcome Financial Surprises to Watch Out for in 2021
The last thing anyone wants to do right now is reflect on this year.
It was dreadful. Letâs move on.
Before you do, though, itâs a good idea to take stock of how your finances may have changed during the last 12 months and make any needed adjustments.
Here are five areas of your finances to check on so you donât get any unpleasant surprises in 2021.
Student Loans
If youâve been taking advantage of student loan forbearance since March â when all payments and interest on federally held student loans were suspended â itâs time to resurrect those payments.
Forbearance ends Jan. 31, 2021, at which point you start owing and accruing interest on your student loans. Donât delay reaching out to your student loan servicer.
If youâre on the standard repayment plan and are unable to make the payments, apply for an income-driven repayment plan, which could substantially reduce your monthly payments when the forbearance period ends. If youâre already on an income-driven plan, update your income to modify your monthly payment.
Credit Cards
Donât let the ghost of credit card purchases past haunt you in 2021.
If you want to start putting a dent in your credit card debt, we have plenty of options, including debt avalanche, debt snowball, debt snowflake and debt lasso methods.
However, if youâre having problems making payments, you should reach out to your lender to ask them about assistance or hardship programs.
Start by looking for a customer service number on a copy of your bill for your mortgage, credit card, auto loan or other loan. When you call, have your account number and a clear explanation about why you will be unable to pay the bill. Be sure to ask about all your options as well as how your payments, balance, interest rate and credit score could be affected.
Early Retirement Withdrawals
If you took a CARES Act withdrawal from your retirement account, you wonât owe the 10% penalty youâd usually owe on an early distribution before age 59 ½. Be prepared for the tax bill, though.
Normally, youâd owe income taxes on the entire withdrawal when you file your return for the year, but the CARES Act lets you spread the bill over three years. That means you need to be ready to pay one-third of the taxes by April 15, 2021.
Unemployment Taxes
If you received unemployment compensation in 2020, you may be in for a shocker. Your unemployment benefits are taxable, but more than one-third of Americans didnât know it.
If you didnât have taxes withheld from your jobless benefits, make sure you file a 2020 tax return even if you canât afford the bill. You can work out a payment plan with the IRS, and you may even qualify for certain tax credits that can offset the amount you owe.
Payroll Taxes
The IRS says employers that stopped withholding payroll taxes for the last four months of 2020, as ordered by President Trump, will have to collect those taxes during the first four months of 2021. That means if youâve been getting a bigger paycheck as a result of the temporary tax holiday, start preparing for a smaller paycheck now.
Make a bare-bones budget, and set aside any extra money you can so youâll be ready to live on less.
This was originally published on The Penny Hoarder, which helps millions of readers worldwide earn and save money by sharing unique job opportunities, personal stories, freebies and more. The Inc. 5000 ranked The Penny Hoarder as the fastest-growing private media company in the U.S. in 2017.
Source: thepennyhoarder.com
How to Negotiate Salary Increases and Promotions
There are only two ways to get extra money to save. Either you can cut your expenses or start earning extra income. While reducing your expenses is a good first start to sticking to your budget, thereâs only so many soy lattes and unused gym membership that you can get rid of. Itâs often much more productive to focus your energy on increasing your income.Â
There are a couple of different ways to earn more money. You might consider a side hustle or starting your own business. You can look for another job that pays more or try to get more money from your current employer. In this article, weâll take a look at how to negotiate salary increases and promotions and make sure that youâre getting paid what youâre worth.
The difference between a promotion and a raise
One important distinction to make is the difference between a promotion and a raise. A promotion is usually a change in job title and/or job responsibilities. A raise is just what it sounds like – more money. The two often come together, but not always. Be careful when you get a promotion that it comes with a salary increase commensurate with the added responsibilities youâll be taking on.
Know how much youâre worth
Knowing how much youâre worth is a key factor in the negotiations for a promotion and salary increase. There are many online sites where you can see the average salaries for just about every type of job out there. Compare several different sites to see where your salary fits in. If you can show data that youâre underpaid for someone with your experience, education and responsibilities, that can be something your manager can take to HR to approve your promotion and raise.
Track your accomplishments
If youâre looking to negotiate a salary increase or promotion, start by acting the part. Promotions and raises generally are backwards-looking. What that means is that youâre likely to get a raise for work that youâve done or are doing ALREADY. If youâre planning on talking to your supervisor about a salary increase or promotion, it can be helpful to track your accomplishments.Â
If youâve gone above and beyond your job description, or if youâve received praise from a customer or co-worker, keep notes of when and what. That can be useful ammunition to show why you deserve this raise. Avoid the temptation of comparing yourself to your peers – instead, look at the job responsibilities of the role youâre aiming for. If you have detailed descriptions of how youâve been doing those responsibilities already, youâll be well on your way to getting that promotion.
Have regular conversations with your supervisor
Healthy companies have regular conversations between supervisors and the employees that they manage. It is a trait of a good manager to care about the employment and advancement of the employees that they manage. Donât be afraid to talk with your supervisor regularly – ask her for constructive and timely feedback, and ask for concrete steps on what you would need to do to merit a promotion. Then document those steps and come back in a few months with details of how youâve met those steps and deserve a promotion and a raise!
Be prepared to come with a backup plan
Itâs important to understand the pay and compensation structure of the company youâre at. Many companies have pay âbandsâ or ranges of compensation for a given role. Knowing where your salary fits within that range can be helpful when youâre preparing to negotiate a salary increase.Â
Also, if the company has announced a hiring freeze or layoffs, it might not be the best time to ask for more money. Understanding the bigger situation can help you pick the right time to have the discussion. Be prepared for what youâll do or say if your supervisor turns your request for a raise down. Is there anything else that would be meaningful to you? Maybe itâs a more flexible working arrangement, deferred compensation like stock options or other types of non-monetary compensation.
Donât be afraid to leave
At the end of the day, youâll have to decide how much working at this job is worth it to you. Itâs always a bit nerve wracking to quit your job, but itâs generally much harder to get a significant raise without moving to a new company. You donât want to be hopping around from job to job every few months, but itâs also important to feel like you are getting paid the money that you are worth.Â
If you donât get the promotion youâre looking for, then it may be time to start exploring other options. After all, the best time to look for a new job is while you still have your OLD one (and donât have to worry about making ends meet)
The post How to Negotiate Salary Increases and Promotions appeared first on MintLife Blog.
Source: mint.intuit.com
Debt is a Four Letter Word
This page may include affiliate links. Please see the disclosure page for more information. For most of my adult life, I never really considered debt a four letter word. You know the type I mean. Those coarse, offensive type you start using as a teenager to act cool around your friends. I always viewed debt as a necessity, a…
The post Debt is a Four Letter Word appeared first on Debt Discipline.
Debt is a Four Letter Word was first posted on September 27, 2019 at 8:25 am.
©2019 "Debt Discipline". Use of this feed is for personal non-commercial use only. If you are not reading this article in your feed reader, then the site is guilty of copyright infringement. Please contact me at brian@debtdiscipline.com
Source: debtdiscipline.com
9 Ways We Paid Off $22,000 and Became Debt-Free in 22 Months
I spent my early 20s working hard and clumsily throwing money out the window. Then, I fell in love with a man whoâd done the same, and we decided to get married. The excitement of…
The post 9 Ways We Paid Off $22,000 and Became Debt-Free in 22 Months appeared first on Crediful.
Source: crediful.com