5 Single Bloggers Who Paid off Massive Amounts of Debt

When I was single I was convinced there was no way I could tackle my debt on my own. Heck, I didn’t even think I could do it when I got married. But my husband and I have since paid…

The post 5 Single Bloggers Who Paid off Massive Amounts of Debt appeared first on Modern Frugality.

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Debt In The United States

This page may include affiliate links. Please see the disclosure page for more information. Let’s face it, debt in the United States is a problem. From our national debt, student loan debt, and consumer debt. Debt in the United States is a problem on all levels. Why is that? I’m a firm believer that it starts with…

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Debt In The United States was first posted on November 18, 2019 at 6:00 am.
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What Is the Fair Debt Collection Practices Act?

If you’re constantly getting hassled by debt collectors, you might be left feeling helpless and anxious. Maybe you’ve thought about putting an end to these relentless phone calls but didn’t know how. The Fair Debt Collection Practices Act (FDCPA) exists to protect us from unfair and abusive debt collection practices. 

In the following sections, we will discuss the FDCPA in greater detail so that you can feel better equipped to deal with debt collectors. If your situation fits the criteria, there may be something you can do about it.

What is the Fair Debt Collection Practices Act?

The Federal Debt Collection Practices Act (FDCPA) places restrictions on how third-party debt collectors act to handle situations in which they are trying to collect debts owed to another person or entity. 

This federal law limits the ways that collectors are legally allowed to make contact with those who owe. These restrictions include rules surrounding what time of day debt collectors are allowed to contact debtors as well as how many times they are allowed to contact them. 

If your rights, according to the FDCPA, have been violated, you have one year to file a lawsuit against the debt collection company as well as the individual debt collector. 

How the Fair Debt Collection Practices Act Protects You

The FDCPA was established to protect consumers from unfair debt collection practices such as being called at odd hours of the night, being harassed, and being wrongly accused of owing a debt. This federal law puts control back in your hands so that you can feel more confident about your interactions with debt collectors.

Here are some of the ways that this law protects you:

You are in charge of the communication: You have the power to place restrictions on when and how you are contacted by debt collectors. By law: 

  • Debt collectors are not allowed to contact you at inappropriate times such as early in the morning (before 8 a.m.) or late at night (after 9 p.m.).
  • You can request to not be contacted while at work.
  • You may choose to have an attorney represent you, in which case, the debt collectors would have to communicate with them. 
  • Debt collectors are not allowed to discuss your debts with family members, employers, family, neighbors or other third parties. 

If you have any specific demands for how you want the communication to flow between you and the debt collectors, you will need to form a written request. Under the FDCPA, any requests made over the phone will not be valid. For some guidance on what your letter should look like, take a look at the Consumer Financial Protection Bureau website to view some examples. 

Debt collectors can NOT harass or use abusive language/behavior towards you:  In the game of unpaid debts, things can get really ugly, really fast. No one likes to be asked to pay back money they owe over and over again, but there is a fine line between asking and harassment. It starts to become harassment once the debt collector starts to use misleading language or fear tactics in order to get you to do what they want. Some examples of this could include but are not limited to:

  • Using profanity.
  • Calling excessively and repeatedly.
  • Threats or violent language. 
  • Calling without properly identifying themselves. 

In many cases, this type of hostile behavior is indicative of a scam. The last thing you want to do is give your money to a scam debt collector. Be wary and observant of this so that you do not make this mistake. Jot down any instances where this behavior has occurred and use it to file your claim.  

Debt collectors must be honest: Debt collectors lying to you about how much you owe, what consequences you will face is something that the FDCPA does not tolerate. Debt collectors must not mislead or lie to you about:

  • How much you owe.
  • Whether or not it is past the statute of limitations.
  • Legal consequences/punishments if you do not pay. 
  • The company they are representing. 

Debt collectors are always obligated to be truthful about your debt situation, but they also have a right to say nothing at all. If you find yourself unable to get information from your debt collector, it might be in your best interest to seek out advice from a legal agency in your neighborhood.

Debt collectors have to play fair: In desperate situations, some debt collectors might resort to making threats to coerce you into paying your debts. Some examples of this type of behavior may include but are not limited to:

  • Asking you to write a postdated check to cover the debt.
  • Threatening to deposit or depositing your postdated check prior to its date. 
  • Threatening to take ownership of your assets as payment. 
  • Asking for and accepting more money than what is actually owed. 

Debt collectors are required to validate your debt: They will have to send you a validation letter to prove that you are responsible for the debt they are asking for. If you still feel like you need additional information, you may also request a verification letter. In accordance with the FDCPA, debt collectors have five days to send you a validation letter once they first make contact with you. The letter must state:

  • The amount of debt you owe.
  • The name of the creditor/entity that you owe payment to. 
  • That the collector will assume the debt is valid unless it is disputed during the allotted 30-day timeframe. 
  • That you are entitled to request additional information regarding the original creditor within 30 days of the first contact.
  • That if you choose to dispute the debt, you must submit a written request within 30 days. 

Final Thoughts

In the unfortunate circumstance that your rights are violated, you basically have two options. You can either file a complaint or sue the collection agency. Filing a complaint is pretty simple. In fact, a majority of the complaints received by the Consumer Financial Protection Bureau (CFPB) are regarding violations of the Fair Debt Collections Practices Act. 

The best thing you can do is keep a detailed record of the abusive practices to help prove your case. A lot of times, this malpractice occurs over the phone and can be hard to prove. Save evidence of all the phone calls, what time they took place, and notes about what was said. The more information you have about what happened, the better chance you have at proving your claim.

What Is the Fair Debt Collection Practices Act? is a post from Pocket Your Dollars.

Source: pocketyourdollars.com

Should You Refinance Your Student Loans?

Due to financial consequences of COVID-19 — and the broader impact on our economy — now is an excellent time to consider refinancing most loans you have. This can include mortgage debt you have that may be converted to a new loan with a lower interest rate, as well as auto loans, personal loans, and more.

Refinancing student loans can also make sense if you’re willing to transition student loans you currently have into a new loan with a private lender. Make sure to take time to compare rates to see how you could save money on interest, potentially pay down student loans faster, or even both if you took the steps to refinance.

Get Started and Compare Rates Now

Still, it’s important to keep a close eye on policies and changes from the federal government that have already taken place, as well as changes that might come to fruition in the next weeks or months. Currently, all federal student loans are locked in at a 0% APR and payments are suspended during that time. This change started on March 13, 2020 and lasts for 60 days, so borrowers with federal loans can skip payments and avoid interest charges until the middle of May 2020.

It’s hard to say what will happen after that, but it’s smart to start figuring out your next steps and determining if student loan refinancing makes sense for your situation. Note that, in addition to lower interest rates than you can get with federal student loans, many private student lenders offer signup bonuses as well. With the help of a lower rate and an initial bonus, you could end up far “ahead” by refinancing in a financial sense.

Still, there are definitely some negatives to consider when it comes to refinancing your student loans, and we’ll go over those disadvantages below.

Should You Refinance Now?

Do you have student loan debt at a higher APR than you want to pay?

  • If no: You shouldn’t refinance.
  • If yes: Go to next question.

Do you have good credit or a cosigner? 

  • If no: You shouldn’t refinance.
  • If yes:  Go to next question.

Do you have federal student loans?

  • If no: You can consider refinancing
  • If yes: Go to next question

Are you willing to give up federal protections like deferment, forbearance, and income-driven repayment plans?

  • If no: You shouldn’t refinance
  • If yes: Consider refinancing your loans.

Reasons to Refinance

There are many reasons student borrowers ultimately refinance their student loans, although they can vary from person to person. Here are the main situations where it can make sense to refinance along with the benefits you can expect to receive:

  • Secure a lower monthly payment on your student loans.
    You may want to consider refinancing your student loans if your ultimate goal is reducing your monthly payment so it fits in better with your budget and your goals. A lower interest rate could help you lower your payment each month, but so could extending your repayment timeline.
  • Save money on interest over the long haul.
    If you plan to refinance your loans into a similar repayment timeline with a lower APR, you will definitely save money on interest over the life of your loan.
  • Change up your repayment timeline.
    Most private lenders let you refinance your student loans into a new loan product that lasts 5 to 20 years. If you want to expedite your loan repayment or extend your repayment timeline, private lenders offer that option.
  • Pay down debt faster.
    Also, keep in mind that reducing your interest rate or repayment timeline can help you get out of student loan debt considerably faster. If you’re someone who wants to get out of debt as soon as you can, this is one of the best reasons to refinance with a private lender.

Why You Might Not Want to Refinance Right Now

While the reasons to refinance above are good ones, there are plenty of reasons you may want to pause on your refinancing plans. Here are the most common:

  • You want to wait and see if the federal government will offer 0% APR or forbearance beyond May 2020 due to COVID-19.
    The federal government has only extended forbearance through the middle of May right now, but they might lengthen the timeline of this benefit if you wait it out. Since this perk only applies to federal student loans, you would likely want to keep those loans at 0% APR for as long as the federal government allows.
  • You may want to take advantage of income-driven repayment plans.
    Income-driven repayment plans like Pay As You Earn (PAYE) and Income-Based Repayment let you pay a percentage of your discretionary income each month then have your loans forgiven after 20 to 25 years. These plans only apply to federal student loans, so you shouldn’t refinance with a private lender if you are hoping to sign up.
  • You’re worried you won’t be able to keep up with your student loan payments due to your job or economic conditions.
    Federal student loans come with deferment and forbearance that can buy you time if you’re struggling to make the payments on your student loans. With that in mind, you may not want to give up these protections if you’re unsure about your future and how your finances might be.
  • Your credit score is low and you don’t have a cosigner.
    Finally, you should probably stick with federal student loans if your credit score is poor and you don’t have a cosigner. Federal student loans come with fairly low rates and most don’t require a credit check, so they’re a great deal if your credit is imperfect.

Important Things to Note

Before you move forward with student loan refinancing, there are some details you should know and understand. Here are our top tips and some important factors to keep in mind.

Compare Rates and Loan Terms

Because student loan refinancing is such a competitive industry, shopping around for loans based on their rates and terms can help you find out which lenders are offering the most lucrative refinancing options for someone with your credit profile and income.

We suggest using Credible to shop for student loan refinancing since this loan platform lets you compare offers from multiple lenders in one place. You can even get prequalified for student loan refinancing and “check your rate” without a hard inquiry on your credit score.

Check for Signup Bonuses

Some student loan refinancing companies let you score a bonus of $100 to $750 just for clicking through a specific link to start the process. This money is free money if you’re able to take advantage, and you can still qualify for low rates and fair loan terms that can help you get ahead.

We definitely suggest checking with lenders that offer bonuses provided you can also score the most competitive rates and terms.

Consider Your Personal Eligibility

Also keep your personal eligibility in mind, including factors beyond your credit score. Most applicants who are turned down for student loan refinancing are turned away based on their debt-to-income ratio and not their credit score. Generally speaking, this means they owe too much money on all their debts when you compare their liabilities to their income.

Credible also notes that adding a creditworthy cosigner can improve your chances of prequalifying for a loan. They also state that “many lenders offer cosigner release once borrowers have made a minimum number of on-time payments and can demonstrate they are ready to assume full responsibility for repayment of the loan on their own.”

It’s Not “All or Nothing”

Also, remember that you don’t have to refinance all of your student loans. You can just refinance the loans at the highest interest rates, or any particular loans you believe could benefit from a different repayment term.

4 Steps to Refinance Your Student Loans

Once you’re ready to pull the trigger, there are four simple steps involved in refinancing your student loans.

Step 1: Gather all your loan information.

Before you start the refinancing process, it helps to have all your loan information, including your student loan pay stubs, in one place. This can help you determine the total amount you want to refinance as well as the interest rates and payments you currently have on your loans.

Step 2: Compare lenders and the rates they offer.

From there, take the time to compare lenders in terms of the rates they can offer. You can use this tool to get the process started.

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Step 3: Choose the best loan offer you can qualify for.

Once you’ve filled out basic information, you can choose among multiple loan offers. Make sure to check for signup bonus offers as well as interest rates, loan repayment terms, and interest rates you can qualify for.

Step 4: Complete your loan application.

Once you decide on a lender that offers the best rates and terms, you can move forward with your full student loan refinancing application. Your student loan company will ask for more personal information and details on your existing student loans, which they will combine into your new loan with a new repayment term and monthly payment.

The Bottom Line

Whether it makes sense to refinance your student loans is a huge question that only you can answer after careful thought and consideration. Make sure you weigh all the pros and cons, including what you may be giving up if you’re refinancing federal loans with a private lender.

Refinancing your student loans can make sense if you have a plan to pay them off, but this strategy works best if you create a debt repayment plan you can stick with for the long-term.

The post Should You Refinance Your Student Loans? appeared first on Good Financial Cents®.

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Smart Moves to Make with Your Tax Refund

The post Smart Moves to Make with Your Tax Refund appeared first on Penny Pinchin' Mom.

It is tax season!

You know the goal is not to get much of a refund.

However, a refund is always better than paying in!

But when that money shows in your account don’t go and blow it on what you want!  Make some smart moves with your refund.

Pay off debt

If you have debt then that means you should not have fun with any extra money. Nope. Every penny that you earn (beyond your regular income) should be used to pay off your debt.

While some experts will claim to pay the bill with the highest interest rate, I recommend paying the lowest balances first.  The reason is you see results.

If you are getting $2,000 back and owe $500, $1500 and $2500, pay off two of your bills. Now,  you’ve got one payment and can roll all three monthly payments into one and pay that largest bill off more quickly.

You see progress in moving from three debts to one and that alone can be enough to keep you motivated.

Build your emergency fund

Experts used to say that your emergency fund should be three months of income for a family.  After watching many struggle through the last recession, I recommend it be six-nine months instead!

I get that is a LOT of money to save up, but your tax refund can be the perfect way to build up your savings.  But don’t put it in your regular savings account. You don’t want to be tempted to spend it.

Set up a new account at your bank. Deposit your refund into the account that is for emergencies only. Don’t touch it.

Now you’ve got money earmarked for your emergencies and should never touch it unless absolutely necessary.

Invest in your future

It is fun to spend money now but if your retirement accounts have taken a beating (or if they are non-existent) it is time to make that investment.

Visit with a financial expert and set up an IRA or other type of retirement savings account and invest that money.  That $1,000 you fund today will be worth much more when it is time to cash it in.

Make upgrades

Look around your house for appliances or vehicles that may need to soon be replaced. When you catch a sale, make the investment now. Don’t wait for it to break down completely.

If you do wait, you may be forced to pay full price and your money won’t go as far. Being proactive and replacing what needs to be when the price is right is a smart money move.

Make home improvements

Look around the house to see what needs to be repaired or updated. Is the paint starting to peel on the trim? Is the carpet wearing out?

Your house is an investment you’ve made so you need to take care of it. Peeling paint can lead to dry rot. Old carpet could lead to more stains, odors or even damage to the subfloor (which could cost you even more).

Take care of your house so when the time comes to sell, it is in great shape so you can get top dollar.

Do something for yourself

There is nothing wrong with making an investment in your well-being. In fact, it could be a very smart move.

When you feel better about yourself and give yourself the opportunity to get or do things you don’t normally, it changes your perspective.  You get the chance to focus on you and that is a GOOD thing.

Splurge on that handbag. Go out to dinner. Set up that spa day. Just don’t go too overboard.

Spend it as a family

You can also get the family to weigh in what you can do with your refund. You may have no debt; an emergency fund and retirement looks great. That means you can do something fun!

Talk with the kids about what to do with the refund.  It may be a vacation or adventure.  It may mean buying a basketball hoop or bikes for everyone.

Work together to determine the best way to use the money.

A tax refund is your money. Use it wisely.

 

The post Smart Moves to Make with Your Tax Refund appeared first on Penny Pinchin' Mom.

Source: pennypinchinmom.com

All About the Statute of Limitations on Debt

All About the Statute of Limitations on Debt

Paying off debt can be an excruciating process, depending on how much money you owe. But your debts may not haunt you forever. Most consumer debts have a statute of limitations. That means that after a certain amount of time has gone by, collectors can’t sue you for failing to pay off outstanding debts. Here’s everything you need to know about the statute of limitations on debt.

See how long it’ll take to pay off your credit card debt.

Understanding the Statute of Limitations on Debt

You can be taken to court for not paying off certain debts. But there’s a limit on how long debt collectors can chase after the borrowers they want to sue.

The period in which someone can take legal action against you for owing money is known as the statute of limitations. In many cases, that time period either begins on the date you last made a payment or when your account becomes delinquent (which usually happens 30 days after a borrower fails to make a payment). But sometimes, the statute of limitations begins whenever you last used the account, acknowledged that you owed debt or agreed to make a payment (more on that later).

Statutes of limitations offer consumers with old debts some protection from debt collection agencies. After the statute of limitations on a debt expires, that unpaid debt is considered to be time-barred. At that point, borrowers no longer have a legal obligation to pay off their debts.

Different states have different statutes of limitations. And there are different rules attached to different types of debts. In Iowa for example, the statute of limitations on credit card debt is 10 years. In Alaska, Alabama and Washington D.C. it’s only three years.

Not all consumer debts have a statute of limitations, however. Federal student loans, for example, haven’t had a legal expiration date for over two decades.

What to Do With Time-Barred Debts 

All About the Statute of Limitations on Debt

While you may no longer be legally responsible for your time-barred debts, you’re not totally off the hook. Most negative credit information – like unpaid debts – can stay on your credit report for up to seven years. But tax liens can remain on your credit report for up to 15 years and bankruptcies can be reported for 10 years.

Not repaying the old debt you owe after the statute of limitations expires could hurt your credit score. And you could have a hard time trying to buy a house or take out a new loan.

Related Article: The Worst Ways to Deal With a Bill Collector

If you decide to pay off an old debt, it’s important to make sure you have documentation confirming that the debt is yours before making a single payment. You may have to pay off your debt in full in order to avoid restarting or extending the statute of limitations on your debt. So talking to a lawyer before making a single payment is a good idea.

When a Collector Asks About Your Time-Barred Debt

Even though you can’t be sued for your time-barred debts, a debt collector may try to come after you anyway. Bill collectors are required to follow certain rules under the Fair Debt Collection Practices Act (FDCPA). But they have the right to contact you even after the statute of limitations on a debt runs out. If a debt collector threatens to sue you for a time-barred debt, he or she could be violating the FDCPA.

Statutes of limitations can be tricky. So if you’re not sure whether your debt is past its legal expiration date, it’s a good idea to ask a debt collector who contacts you if your debt is time-barred. If he or she says no, it’s best to ask for the date of the last payment and request written proof that the debt they’re trying to collect is actually yours.

You’ll need to be careful when speaking to debt collectors, especially when dealing with a debt you believe is time-barred. If you say the wrong thing, the statute of limitations could be restarted or extended and you could end up having to pay a bill collector what you owe. The debt collector could also sue you and win.

The clock on your debt can restart if you admit to owing a debt, promise to start paying it or attempt to start repaying it by sending money to a debt collector. But the guidelines associated with extending and restarting the statute of limitations vary depending on where you live.

Related Article: Understanding Debt

Final Word

All About the Statute of Limitations on Debt

If you don’t know if the statute of limitations on your debt has expired, you can check with someone from a local legal aid society, an attorney or your state attorney general’s office. Or you can figure it out yourself by finding out when the statute of limitations begins and looking up your state’s laws regarding the statute of limitations on debts.

After you can confirm that the statute of limitations on your debt has in fact expired, you’ll have to decide what to do with it. You can pay off the debt and improve your credit score or ignore it and wait until it disappears from your credit report. You could also dispute the old debt or try to work out an agreement so that you end up paying less than what you owe your creditor.

Photo credit: ©iStock.com/Geber86, ©iStock.com/fstop123, ©iStock.com/ozgurdonmaz

The post All About the Statute of Limitations on Debt appeared first on SmartAsset Blog.

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The Top Financial Resolutions for 2021

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Have you made your resolutions yet? It can feel a little daunting trying to figure out what you need to focus on, so we made it easy: These are the resolutions everyone else is taking on in 2021, according to a survey by Wallethub, and you should, too. Plus — how to accomplish them.

1. Make A Realistic Budget And Stick To It

This one sounds familiar, right? Oft-regarded as Old Faithful when it comes to New Years’ resolutions, it holds that title for good reason. Having a budget you can actually stick to will set you up for financial success, no matter what your goals are.

It’s easy to slip away from our good financial habits as the year goes on, so it’s particularly important to find a budgeting system that works for your lifestyle and won’t be hard to maintain.

We recommend the 50/30/20 method. It’s simple, yet effective, and has a bit of a cult following, too! Here’s how it shakes out:

50% of your take-home income every month covers your fixed expenses — rent, utilities, groceries, minimum debt payments, etc. 30% goes towards the things you can live without, but don’t want to (like food delivery, a Netflix subscription and travel). Finally, the last 20% of your monthly income is dedicated to your financial goals.

2. Look For A Better Job: Make up to $69/Hour

The most surefire way to achieve your financial resolutions and stay within that budget you made is to earn more money.

2020 made that really hard for most people. Which is why finding a better job, that you actually enjoy — and will pay you more — is a top resolution for 2021.

But what if you could create that higher-paying and more rewarding job? There’s an idea…

Can you open an excel spreadsheet? Does earning $69 an hour sound appealing? How about the freedom to work remotely while helping others succeed?

Those are the perks of working as a bookkeeper, says Ben Robinson, a CPA and business owner who teaches others to become virtual bookkeepers through online courses called Bookkeepers.com.

You don’t have to be an accountant or even really good at math to be successful in this business. In fact, all you need are decent computer skills and a passion for helping business owners tackle real-world problems. The ability to stay moderately organized is helpful, too.

You can make up to $69 an hour, according to data from Intuit, the creator of QuickBooks, and you have no commute. It’s a great opportunity for parents who want a part-time job, recent college grads or anyone who wants to bring in real money working from home.

Robinson shares what it takes to be a virtual bookkeeper, plus tips for making this career work for you in his free class at Bookkeepers.com. If you stick with the classes, you could be running your own business in just a few months.

3. Pay Off Credit Card Debt: Wipe Out All Your Debt by Tomorrow

2020 was actually a good year for paying down credit card debt — Americans did more of it this year than they ever have.

But there’s still work to be done, which is why paying off credit card debt is one of the top financial resolutions this year.  Because if you still have credit card debt, you know. The anxiety, the interest rates, the fear you’re never going to escape…

And the truth is, your credit card company doesn’t really care. It’s 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? You’ll be left with one bill to pay each month. And because personal loans have lower interest rates (AmOne rates start at 3.49% APR), you’ll get out of debt that much faster. Plus: No credit card payment this month.

AmOne won’t make you stand in line or call your bank, either. And if you’re worried you won’t qualify, it’s free to check online. It takes just two minutes, and it could help you pay off your debt years faster.

4. Monitor Your Credit Report

Did your credit score take a dive this year? Or is still stuck at a “fair” grade? Then monitoring any changes on your credit reporting and working to improve your score should be one of your financial resolutions for this year, too.

When it comes to your credit score, it’s important to stay organized and keep tabs on it. After all, it’ll play an essential role in any big purchase you want to make — whether that’s a home or a car.

So if you’re looking to get your credit score back on track — or even if it is on track and you want to bump it up — try using a free website called Credit Sesame.

Within two minutes, you’ll get access to your credit score, any debt-carrying accounts and a handful of personalized tips to improve your score. You’ll even be able to spot any errors holding you back (one in five reports have one).

James Cooper, of Atlanta, used Credit Sesame to raise his credit score nearly 300 points in six months.*** “They showed me the ins and outs — how to dot the I’s and cross the T’s,” he said.

Want to check for yourself? It’s free and only takes about 90 seconds to sign up.

5. Get Insured In Case Of A Catastrophe. You Could Give Your Family up to $1 Million

Talk about a scary year. If a global pandemic didn’t have you thinking about your own mortality, what else could? With that thought in mind, people are adding “buy life insurance” to their list of 2021 to-dos.

Have you thought about how your family would manage without your income if something happened to you? How they’ll pay the bills? Send the kids through school? Now’s a good time to start planning for the future by looking into a term life insurance policy.

You’re probably thinking: I don’t have the time or money for that. But your application can take minutes — 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 you’re 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.

6. Add A Month To Your Emergency Fund

Having an emergency fund is important; you know that. But it’s easy to deprioritize it when things are going fine. And as 2020 showed us, you can lose your job at the drop of a hat, meaning a full emergency fund can be what keeps your lights on.

So prioritize your emergency fund this year. If you don’t have one yet, start by opening an account that will help you grow your money.

One way to do that is with a company called Aspiration. It lets you earn up to 16 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 “this is totally safe.”

7. Pay Bills Right After Payday

It’s easy to get swept up in the joy that is payday and immediately start buying things you don’t need. But as the final financial resolution on this list, paying your bills right away can help keep the rest of your goals on track.

It means you can avoid late fees on your utilities, which can really add up and destroy your budget. You can pay off your credit card debt without mounting interest charges. And you can prevent any hiccups that would dock your credit score a few points.

Whatever your financial goals are this year, we know you can achieve them! Here’s to making 2021 your best financial year yet.

Kari Faber is a staff writer at The Penny Hoarder.

***Like Cooper, 60% of Credit Sesame members see an increase in their credit score; 50% see at least a 10-point increase, and 20% see at least a 50-point increase after 180 days.

Credit Sesame does not guarantee any of these results, and some may even see a decrease in their credit score. Any score improvement is the result of many factors, including paying bills on time, keeping credit balances low, avoiding unnecessary inquiries, appropriate financial planning and developing better credit habits.

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