Finances

We all have quirks in our personalities, particularly when it comes to spending. Whether you’re in good financial standing or not, sometimes these qualities can keep you from achieving your financial goals. Fortunately, whatever your personality, there are ways to ensure you are not holding yourself back. Here are six personality types that can keep you from financial success and how to spot them:

1. The Spender

The spender may have the “you can’t take it with you when you go” attitude. They may spend well beyond their means and swipe credit cards to their max. Unfortunately, this can be a quick way to incur massive amounts of debt and hurt your chances for financial success. If you’re not saving, you’re not helping your future. (You can see how your habits are affecting your finances by viewing two of your credit scores for free on Credit.com.)

To avoid overspending, it’s important to not only create a budget to track your habits but to try and find the triggers that cause you to spend in the first place. Whether it’s your emotional state or the shopper’s high you get from a purchase, addressing these triggers can help you curb your spending.

2. The Risk Taker

Perhaps you like to take risks with your money. High risk can lead to higher rewards, right? At times, yes, but they can also leave you with less. For example, just because you are approved for a mortgage doesn’t mean you can afford that amount. If you take a risk on this purchase, you may stretch your budget beyond its limits. Finding the right balance can help you limit risk and keep you on track for long-term financial success.

3. The Procrastinator

You’ve heard the phrase, “Don’t put off for tomorrow what you can do today.” So if you’re ignoring or putting off your fiscal responsibilities, you could be spelling doom for your financial wellness. Making late payments, waiting to save for retirement, letting bills pile up, or putting off goals are all common examples of financial procrastination. Putting your finances aside will only make things worse.

Consider taking a bit of time each day or week to work on your finances. Also, you may want to sign up for automatic payments, which can make it easier to keep up with due dates. ...continue reading

Popular logic when you are trying to improve your finances is to consider drastic measures to create a noticeable difference but making these major moves is not always the best course of action and a series of small changes can have just as much impact, if not more.

Here are some savvy financial tips to consider and some insights on how you can implement some lasting positive changes to your financial situation. Including a suggestion to take an alternative view on reaching your goals, why you need to analyze your monthly costs, plus some tips that should help you keep more of your cash.

Think small to improve the bigger picture

It’s easy to adopt the mindset that paying an extra $30 or so extra toward your credit card debt payments is hardly worth the bother and won’t really make much of a difference.

It is perfectly understandable that you look at the balance and think how can I clear the debt in one go? But it often pays to take an alternative approach to clearing your debts and adding to your savings pot.

Those seemingly insignificant additional payments actually make a substantial difference to reaching your goals and rather than keep wondering how you are going to raise a chunk of cash in one go, start chipping away at your balances with these small additional sums of money.

It is a good strategy to think small as those extra payments will ultimately get you to where you want to be a lot quicker than if you keep holding back trying to raise enough cash to make what you might consider a meaningful contribution.

When you are committed to clearing debt and putting more toward your savings, don’t try to do it all almost immediately, make regular additional payments when you can and also try to make small changes to your finances to help you free up extra cash. ...continue reading

improve your credit scoreIf you’re having a difficult time getting approved for credit because you have a low credit score, working to improve your credit score can seem like a task that can take years to solve.

There are few quick shortcuts to improving a credit score, but there are some big moves that can raise it dramatically.

Here are some of the biggest moves you can make to improve your credit score:

Know your credit score

Start by checking your credit score at AnnualCreditReport.com for free. The three credit reporting companies must give you a free report once a year, so you can either get all three at once or spread them out by getting one every four months.

The score you receive represents your credit risk at a point and is meant to measure your future credit risk. Scores from the Fair Isaac Corporation, or FICO, are most widely used, with scores ranging from a low of 300 to a high of 850.

The higher the score you have, the more likely you are to be approved for credit and get the best loan rates for auto loans, home loan and credit cards, among other things.

Here’s a breakdown of what the scores generally mean: ...continue reading