The Bogo Times

Credit cards can either make you or break you. If you do not handle your credit card usage responsibly, credit cards could ruin your credit score. However, when used the right way, they can help you build good credit standing and open you to more financial freedom. But how can a small square of plastic help you build your credit scores? And why does a good credit standing matter?

Image by StockSnap from Pixabay

Your credit standing is based on your credit history, which is a record of your past financial behaviors (i.e. do you pay your dues on time?). It tells a potential lender your likelihood of paying them back and tells them how trustworthy and reliable you are. Your credit history is recorded in your credit report, which indicates your risk as a borrower through a numerical value called the credit score. If you have a bad credit score, banks and other businesses may not want to do business with you or would offer you terms that may be harder than if you had good numbers on your credit report.

So how can you achieve good credit standing using your credit card?

Being a responsible spender when using your credit card will ensure that you will build good credit standing. But here are a few things you need to know.

First off, you’d need a credit card. Choosing your first could be tricky. A good rule of thumb to follow is to apply for a credit card that suits your credit score or your capacity to pay. You would not want to have a card with a credit limit you cannot pay off in full. Also, apply for cards that do not have annual fees and take note of the perks. These things can lighten your financial burden.

If you already have a credit card, always pay on time. Remember that little thing called credit report? If you pay your dues late, this will reflect on your credit report, and when it does, this could lower your credit rating. Use your credit card to pay for little expenses that you know you can pay off, like your groceries. Using it frequently can help you build credit, and as long as you pay your dues on time, it will help you build a good credit score.

Pay in full. Credit card interest rates can get insanely high. If you only pay the interest per month, your credit card debt will only get bigger. Try to pay in full, and if you cannot, at least pay more than just the minimum due.

Never spend more than what you have. If you are eyeing that new phone that’s over $1000 but you don’t have that thousand in your bank, don’t use your credit card. Treat your credit card like a debit card. This way, you are sure you can pay off your debt when your bill comes due.

This article originally appeared on Payment1.com

7/09/2019 04:32:00 PM No comments

7/01/2019 07:37:00 PM No comments

Moving can be exciting — but expensive. Between the first and last month’s rent, your security deposit, and other costs, your bank account may be hurting. To top it all off, your new apartment feels foreign, like it’s someone else’s home. But don’t worry — you can add homey, personal touches to your new digs without digging a larger financial hole for yourself.

Photo by Pixabay from Pexels

Know What You Can Do

In order to be able to confidently channel your inner Joanna Gaines, you need to check with your landlord to see what you’re allowed to do with the space. Often, they’ll agree to cosmetic changes that can easily be reverted when you move out. Some landlords will let you make more substantial alterations or upgrades with their prior approval. Regardless of what your plans are, be sure to have what’s OK, what’s not, and any instructions clearly spelled out in your lease before you pick up that paintbrush or nail gun.

Pro Tip: Keep the originals of anything that you replace (unless otherwise instructed by your landlord) so that the apartment can be reset to its prior condition when you move out.

Set Up Your Space

There are lots of ways to make any space more attractive and functional. Here are a few interior design tricks to try:

Use large mirrors: They make small areas seem more spacious.
Arrange your furniture strategically: This can turn an open area into well-defined living spaces.
Get double duty furniture: Ottomans are for reclining and storage, tables are for dining and working, and sofa beds are for movie watching and sleeping.
Use curtains in different ways: In addition to beautifying your windows, try curtains as wall hangings or room dividers.
Experiment with lighting: Yes, place light fixtures where they make functional sense, but also use them to highlight your home’s best features, like built-in cabinets or a piece of art.
Throw some throw rugs around: They can be great color accents and help to establish the borders for areas.

Small Things Make a Big Difference

You don’t have to rely solely on furniture to make your apartment give off your vibe. To pepper in your personality throughout your home, try picking up small, inexpensive items like:

Throw pillows, picture frames, or vases: The right ones scream your style and are easy to switch up as your tastes change.
Plants: Real, low-maintenance plants such as succulents help to beautify your abode, give your space an oxygen boost, and simply need occasional watering.

Give Items a Facelift

With a little elbow grease, you can take what you already have and breathe new life into it. Here are some budget-friendly suggestions:

Paint the walls: Choose a color that puts you in a positive mood, but do yourself a favor and make sure it’s easy to paint over when your lease is up.
Look into removable wallpaper or tile stickers: You can apply them to anything dingy, boring, or ugly.
Swap out lampshades: This makes sticking to a color scheme a snap and can really modernize the look of the lamp.
Change door knobs or hardware on furniture and cabinetry: There are so many styles to choose from and you might be surprised at how much of a difference it makes.
Refinish or reupholster your furniture: It will look like a brand new (and totally different) piece.
Get new light fixtures: Sconces or pendant lighting can add a dramatic, personalized flair.

DIY Decorations

Sure, you can buy art that’s pre-made. But if you want it to be perfectly true to you, you should make it yourself! You don’t have to be the next da Vinci to try these projects:

Apply paint to canvas: Find your muse and sling the color in whatever way strikes your fancy.
Play with clay: Whether your clay pot actually looks like a pot is irrelevant. Making your own pottery can be a great decoration and conversation starter.
Create a collage: Your favorite photos, magazine clippings, and other keepsakes can culminate in a lovely tribute to your past, or help you manifest your future as a vision board.

Decide Where to Shop

Depending on your budget, preferences, and what’s available, there are several places to shop for home decor:

Check out large retailers: Places like Walmart, Target, and HomeGoods may offer some deals on brand new items.
Go used: Flea markets, estate sales, auctions, and Craigslist are all tried and true avenues for finding vintage pieces that fit your theme.
Try an app: Technology makes it a breeze to connect with others that want to unload just what you’re looking for. Check out OfferUp and NextDoor.
Leverage your network: Your friends and family may have things they no longer need that you can use. The best part? Chances are, they’ll let you have them gratis!

Final Thoughts

While decorating/furnishing a place can be expensive — especially for first-time renters — there are ways to express yourself without emptying your wallet.

Tell Charlie: What’s your favorite, budget-friendly way to customize a new home?

Please note: We don’t have an affiliation with or personally endorse any of the services linked to in this post. We’re just trying to give you some ideas.

This article was originally published at HiCharlie.com.

by Laura Gariepy | Jun 14, 2019

6/28/2019 11:29:00 AM No comments

When your personal loan application gets denied, it can be disappointing. Most people are also puzzled. Even people with strong credit scores can get denied, and it makes them wonder why. Below are a few common reasons why banks deny personal loan applications so the next time you apply for one, you’ll know what and what not to do.

Photo by rawpixel.com from Pexels

Bad credit score

Let’s get the most obvious reason out of the way. When you have a bad credit score, lenders are most likely to deny your personal loan applications. Your credit score is what tells banks the likelihood of you paying them back for the loan. If your track record is not very good when it comes to paying what you owe, chances are your bank will be resistant to granting you loans.

The loan amount is too high

Lenders will take into account your capacity to pay back when you apply for a loan. When you fill out that loan application form and put in too high of an amount in the “desired loan amount” field, banks will most likely deny your application. To avoid this mistake, use an online loan calculator. Loan calculators can tell you how much you can borrow given your current income.

Unstable employment record

Because banks consider your ability to pay the loan off in the long run, they will be looking at your employment record. So if you have an unstable employment record or worse, no employment at all, banks will be hesitant to grant your loan application. Lenders will require certain employment tenure or length of service, which is why banks typically require you to submit a certificate of employment.

Insufficient income

When you don’t make enough to apply for a loan, you will most likely not get approved. You need to be able to make the monthly loan repayments, and If you do not make enough money to pay them and at the same time address your basic needs as well, lenders will not grant you a loan. This is because you are most likely to use your income for your basic needs than to pay off the loan.

You have too much debt

When you apply for a personal loan, your bank will do a background check to see if you have any outstanding loans. This is so they are sure that you have the capacity to pay. If you meet the minimum income requirement and have a good credit score but have several outstanding loans, they will most likely be hesitant to grant you another one. The more loans you have, the less capacity you have to pay back an additional loan.

How you fill out the loan application

If you have any mistakes or inconsistencies in your loan application, lenders might not grant you your personal loan. Your data needs to be complete, correct, and consistent. Lying on your application will get you denial and could possibly land you on your bank’s bad side.

Consider the list above the next time you apply for a personal loan. Make sure you fill out the application completely and honestly, have a good credit score and enough income to make the payments, and make sure you’ve been employed a while.

This article originally appeared on Payment1.com

5/31/2019 01:41:00 PM No comments

You’ve probably heard that eating healthy is more expensive than eating processed junk. (Whole Foods, Whole Paycheck, right?!) But is it really true? The answer may surprise you. No matter what, we’ve got some pointers to help both your nutrition and bank account stay on track.

Photo by Trang Doan from Pexels

The Verdict

According to a 2013 Harvard study, yes — eating healthier will inflate your grocery bill. Processed foods are cheaper to manufacture meaning that adding more produce, lean meat, and fish to your diet will cost you an extra $1.50 per day or $550 per year. While some budgets can’t absorb the hike, the difference between eating a balanced diet and surviving on prepackaged food may be easier to overcome than you thought.

One Caveat

Even though wholesome foods sometimes comes with a bigger price tag, we need to be mindful of our own psychology. Recent research indicates that we tend to assign greater nutritional value to more expensive goods. When we’re wrong, our wallets take an unnecessary hit and we perpetuate the idea that a nourishing diet is financially out of reach. Rather than focus on price, we should review the product label to gauge vitamins, nutrients, fats, sodium, and sugar which are true measurements of nutrition.

Long Term Benefits

Even though your wallet may be displeased now, you’re really doing yourself a financial favor by improving your diet. Research shows that eating well reduces your risk for a whole host of unpleasant and costly conditions like cancer, dementia, heart attack, diabetes, and more. With health care expenses reaching new highs every year, it makes sense to invest a little upfront to avoid a potential fiscal disaster later.

How to Eat Healthy on the Cheap

Yes, you may pay more to eat better — but shopping smart can curb the cost. Here are several ways to boost your diet without breaking the bank:

Hit up farmers markets and buy seasonal produce.
Buy frozen produce — it’s cheaper, keeps longer, and packs the same nutritious punch.
Buy inexpensive whole grains, beans, and peanut butter because they’re tasty, versatile, and good for you.
Cook with cheaper cuts of meat like chicken thighs, ground turkey, and beef sirloin.
Buy store brand goods — they usually taste the same as name brands.
Shop sales, use coupons, and go to discount stores. Where you shop can make all the difference.
Meal plan and cook at home. You’ll be in control of the price and what goes into each dish.
Grow your own food. While more land and more free time equate to more crops, even busy apartment dwellers can grow herbs in their windowsill.

Check out recipes for inexpensive and wholesome meals here and here.

Final Thoughts

Eating a balanced diet does cost a bit more than eating processed foods. However, with these money-saving strategies, you can curtail the expense and treat your body better. Your future self will thank you!

This article was originally published at HiCharlie.com.

by Laura Gariepy | May 15, 2019

5/28/2019 09:39:00 AM No comments

This article was originally published by Uncapped Mortgage

Gone are the days when the American dream means climbing the corporate ladder. Over the last years, the mindset of the American worker has shifted to valuing flexibility and freedom over stability. Self-employment continues to be a rising trend as employees leave their day jobs to do freelance work or start their own business.

Photo by Tim Gouw from Pexels

One of the major challenges self-employed individuals face is managing cash flow. Since you do not have the regular pay that a day job provides, not to mention health insurance and tax duties, it can be challenging when all these things fall on your shoulders. Saving and budgeting can be taxing, too, as there will be months when you’ll be flushed with cash, while there will be months when you’ll need to tighten your belt a little.

Below are a few money-saving tips for the self-employed.

Set a budget

Whether you are a business owner or a freelancer, this is very crucial. Good financial planning can determine the success of your new venture. Total all your income sources. Make sure to list down all your expenses every month. Determine all the fixed costs such as monthly bills, subscriptions, and mortgage, which takes up a huge part of your budget. You may want to consider paying off your mortgage early to get it out of the way and have more room in your budget for other things like savings and retirement fund. After listing down the fixed costs, add the variable expenses such as payment to freelancers if you hire some, and any other expense that vary month-to-month. By doing this, you’ll know the amount of cash you need every month to live comfortably. Stick to the budget as much as you can. There are plenty of budgeting apps and tools that can assist you with this.

Set your rate

Do not undersell yourself and do not be shy to increase your rates as you gain more experience. In terms of billing, it’s better to be billed in installments rather than in lump sum at the end of a project. It would be harder to budget your money if your cash comes in once every three months rather than having them sent in monthly installments.

Build your emergency fund

And maintain it. It is important to always save for the rainy days. An emergency fund can save you from high-interest debts in times of financial stress. Make sure you have a fund, ideally a 6-month cushion - for when something unexpected happens such as a big client backing out. This 6-month cushion cannot be built right away, but you must work towards building it as soon as you begin getting paid. Set a certain percentage of your income to be allotted to this fund every month.

Know your taxes

Now that you are self-employed, you no longer have your HR department’s compensation and benefits people to look after your taxes. You must do them yourself now. Be aware of the tax bracket you are in now that you have gone solo. If you are a business owner, seek the help of a financial advisor in determining the best entity type to register your business as.

Get help

Time is money. If you think it would be best to delegate some of your tasks to freelancers in order for you to focus on more crucial tasks, hiring help could be a great idea.

5/20/2019 11:43:00 AM No comments

5/17/2019 07:53:00 PM No comments

5/17/2019 05:33:00 PM No comments

5/17/2019 04:37:00 PM No comments

This article was originally published by Uncapped Mortgage

Generally, people think of debt as something to avoid. Debt usually means “bad” and no debt means you are better off financially. So the idea of using debt to build wealth can seem a bit dubious. Can you really build wealth using debt?

In order to answer this question, we first need to know that there are two kinds of debt. There is good debt and bad debt. And though the thought of debt being “good” seems counter-intuitive, the fact remains that some debt is actually good.

Good debt is a debt that will increase your finances over time. So something like a small business loan is good debt because you use the money you borrowed to build up your business, thus, bulking up your finances in the long run. Good debt also has a smaller interest. So while you are expanding your business with your small business loan, you aren’t paying an exorbitant amount in interests. This type of debt also allows you ample time to pay back your debt.

Bad debt is the exact opposite. This kind of debt has astonishingly high-interest rates and usually involves some form of collateral. There is also a very short turnaround time for you to pay your debt, plus interest, back. Some examples of bad debt are credit card debts, car title loans, and payday loans. A loan of $100 will have you paying back nearly the same amount in interests alone. Bad debt will sink you financially faster than a boat riddled with holes.

So now that you know the two types of debt, you can probably guess which one can be used to build wealth. The question now is “how”.

A good way is the example stated above. Use debt to expand your business. If you do not have a business, use debt to invest. It could be in property or in various investment funds. Whatever you decide to invest in, it is important to know your risk tolerance and how much you are willing to invest.

The principle of leverage can help you out as well. Say for example you are investing 100 dollars of your own with an expected return rate of 10%. This will earn you a return of $10. If you borrowed money with an interest rate of less than 10%, you can add to your initial $100 investment and still earn from it despite having to pay off the debt you used to invest. You can diversify your financial portfolio using this strategy as well; borrow to invest in different institutions and different kinds of investments.

There are a few to consider when using debt to invest. Think of your tolerance for debt. Can you realistically pay off your monthly payments? Can you pay off that debt within the time frame or do you need more time? Consider your cash flow as well. You need to make sure that you have enough income to pay off your debt.

So the answer to the question can debt be used to build wealth is yes, you can. You just need to choose the right kind of debt, invest in the right things, and keep in mind your debt tolerance.