Do You Have These Financial Bad Habits?
Many people have bad financial habits that they are not even aware of. These bad habits can severely affect your financial standing and extracting yourself from the damage that these habits can cause may be more difficult than you think. If you have any of the following bad financial habits, to save your financial future you should take steps to correct these habits now.
Opening Multiple Credit Card Accounts
Because many stores now offer their own credit cards that can be used specifically in their store and offer a discount for the usage of that credit card, many people fall into the trap of accepting every credit card that is offered to them. This can cause a multitude of problems including missing payment dates, incurring overdraft and late payment fees, and spending more than you realize. Multiple credit card accounts will also reduce your credit score, both as part of the formula for calculating credit worthiness and by negative information about late payments being submitted to the credit reporting bureaus.
Neglecting To Check Your Credit Report
Experts have estimated that as many as one-quarter of the credit reports held on individuals today contain inaccuracies that could negatively effect the person’s credit score. These mistakes are more easily corrected when they are caught quickly and often, the only way to find these mistakes is to obtain a copy of your credit report and review it carefully for any inaccurate information. The credit reporting bureaus are required by law to investigate any claims of inaccurate information on a credit report so don’t make the mistake of assuming that there is nothing you can do about mistakes on your credit report.
Not Creating And Following A Budget
Many of the people that get into unfortunate financial situations often do so because they are unaware of how much money is flowing into and out of their bank account on a monthly basis. If you do not keep careful track of your finances, it is very easy for the situation to get out of hand without you realizing it. Map out your expenses for the month and document every cent that you are paying out so that you can identify any areas where spending could be cut to save money and make sure that you are not spending more than you make.
- Meet The M-Network: An Interview With Single Guy Money. Over the course of the next 8 Wednesdays, I am posting interviews with the other members of the M-Network so you can get to know them a little bit better. If you don't already read these sites, you really should check them out! To be fair I am going......
- My Tough Love Campaign Against Credit Score Obsession (Part 1) I have observed that too many Americans are now obsessed with their respective credit scores, sometimes also referred to as a FICO score. Based on a recent development involving one of my sons (and his lack of any credit score), I have decided to publish a series of posts about credit......
- Why is it Bad to Cancel a Credit Card? Unless the idea of streamlined credit you have in your head is having 8 credit cards in a single wallet, then chances are good that you have considered canceling some of the cards you do not use much. The truth about canceling credit cards: Do unused credit cards hamper you......
- What Determines a Credit Score pt 1 Here is some basic information on what you need to know about credit scores and what goes into determining your credit score. What is responsible for determining my credit score? Your credit score has become a very important focal point for a variety of things. Your score is now the......
- Bargain hunting miles and points with credit cards (This is a guest post from Mr Credit Card of Ask Mr. Credit Card. If you like his style, you can subscribe to his feed.) Firstly, I would like to thank John for the opportunity to guest post here and also for giving me the opportunity to host the Carnival......
Leave a Reply