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03.19.12 Spring Broke!
Posted under: Lifestyle, Money Management, Travel Posted by:

March is known for many things – midterms, daylight savings time, and, of course, spring break vacation. Spring break trips, by their very nature, vanquish hard-earned surplus funds and eliminate any and all leftover holiday checks from generous distant relatives. But while you might try to concoct a MasterCard-esque rationalization that a week’s worth of zany adventures with your best palls is “priceless,” bear in mind these few simple tips to save yourself some unnecessary expenses.

Firt, if you’re the owner of the vehicle tasked with transporting you and your buds down to whatever destination, use AAA’s online fuel cost calculator to determine (almost exactly) the cost of gas for the trip before you leave. While everyone tossing you twenty bucks on their way out the door is a nice gesture, it rarely amounts to the true proportional amount owed for the drive.

Secong, pack thoroughly. Things like car snacks, sunscreen, coolers, etc. are all significantly cheaper at your local grocery store than at a convenience store in a touristy town. Third, while on the road start looking for exits with multiple gas stations while you still have at least a quarter of a tank. Gas stations isolated off freeways in rural areas can have significantly higher gas prices than another station just thirty minutes away. Don’t wait until that foreboding red glow is emitting from your dash to pull off the road and subject yourself to the overblown prices of a two-pump shack in the sticks.

Upon arriving, your first stop should be to the largest local grocery store. Preparing food and cleaning up while on vacation may seem like a downer, but eating in at least twice a day can make the difference between having surplus cash for weeks after spring break and being too broke to eat anything but salty noodle soup until April. Also, you’ll likely find making food and cleaning dishes to be surprisingly fun if you can get just a handful of your group on board.

Finally, beware of package deals regarding clubs, restaurants, or other tourist attractions. While these “coupons” might seem like great deals at first, consider the following; purchasing one of these passes financially obligates you to organize all of your plans around those places; places that may be hard to get to (so add some money for cab/shuttle); places who’s appeal may be significantly compromised in adverse weather (no patio, pool, or beach bar); and if this deal is available for you and your group, you can be almost certain it’s available for anyone and any group, meaning these places can be swarmed with other breakers making it nearly impossible to truly take advantage of whatever “deal” you were offered (free cover form 6-7, free appetizers, frees t-shirts while supplies last, etc.).

Whether or not you choose to follow any of the aforementioned advice, take this suggestion above all others: have a safe, memorable, and, most of all, fun spring break vacation!

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01.26.12 Having Street Cred with Credit Cards
Posted under: Feature Post 4, Money Management Posted by:

Are Credit Cards Good Or Bad?  Well, that all depends on how or why you use them. Credit cards can be good for building your credit score, but only if you use them wisely and pay them off on-time.  With a few rules and regulations, along with some self restraint and responsibility, you can make credit cards work for you. HOW YOU ASK? First decide if you are making a wise purchase, then decide which payment method makes the most sense for you: cash, credit, debit, check, etc. Avoid opening several credit cards at one time because this can cause your credit score to fall. Also make sure to review your statement every month to avoid fraudulent charges. By following a few simple guidelines outlined here, you can decide when and how to use a credit card. With a little finesse and careful attention you will be on your way to responsible credit card use.

  

Good Cred

  • Building your credit score
  • Online purchases
  • Purchases over the phone
  • To pay deposits 
  • Reserve hotel, rentals, etc.
  • Protection in case card is lost or stollen
  • Ease in returning items

 

Bad Cred

  • Impulse buys
  • Items you can’t afford
  • Allowing friends to use
  • When you have no income
  • On major purchases

 

 

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11.18.11 Money 101: Balancing a Checkbook
Posted under: Checking, Money Management Posted by:

Balancing your checkbook sounds like an ancient term today. With the decreasing use of checks and the increase of home banking on the web, some may feel it’s not even necessary, but balancing your checkbook is one of the most basic habits for good money management. It’s important because it can verify that your records match your institution’s records.

Financial institutions make thousands of transactions daily and although most are accurate, some mistakes can be made. If you balance your checkbook regularly, you are more likely to catch any error that occurs. It also helps you avoid bouncing checks or over-drafting funds. If you’re just starting out on your own, or you have your first bank account, or you just never got in the habit of balancing your checkbook regularly, the following steps from studentfinancedomain.com can help you out. 

1. Divide your receipts & statements into deposit piles and withdrawal piles.

2. Write your bank balance on line 1. 

3. Compare all of your deposits against the bank statement. Record any deposits that are still in transit and have not yet been processed. Write this on line 2. 

4. Compare the total withdrawals against the bank statement. Record any “outstanding” unprocessed checks that are still in transit and have not yet cleared with the bank. Write this on line 3.

5. Add lines 1-3 to find out your total checking account balance. It may be different from the bank statement because the bank might not have processed all transactions. The final number will be your adjusted bank balance. Write this on line 4. 

6. Check to see if you were charged any bank fees, and subtract this from the bank balance. Add any incurred interest to the balance. Finally, check to see if all transfers that you made have been processed. Add or subtract this amount from the adjusted balance, and you will have your ending bank balance on line 5. 

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07.20.11 Last Days of Summer Planning
Posted under: Money Management, School Posted by:

I hate to say it, but summer is almost over!  For my fellow high school students school starts in less than a month and for you college students you have a little extra time (lucky!).  This last month of “freedom” is crucial and how you spend those last sweet summer days mean everything.  Whether that involves finally seeing your aunt or an old friend, use your time and money wisely.

            A great way to utilize those last few weeks before school starts is to go on vacation! I am personally taking a short trip to Panama City, Florida.  How did I convince my parents to take me you ask?  I am also taking a college tour of Florida State University in Tallahassee, FL- just 45 minutes from the beach.  The beach and education combined in one trip is sure to please any parent.

Another way to get on your parents good side is to not spend all their money on back-to-school shopping.  The few weeks before school starts invites several excuses to spend money.  Even if it is your parents’ money, be thoughtful in your back-to-school shopping.  Do you really need a new backpack, pair of shorts or even book covers?  Think ahead.  Start by setting a priority list, which means the necessary school items suggested by your teachers.  Don’t forget, right before school begins is not the “only time” to shop.  You can wear two new outfits the first week of school and a month later purchase another outfit.

            Your last days of summer don’t have to be filled with shopping like no-other or wishing you were at the beach.  Instead, space out your back-to-school shopping and focus on the necessities and a few new articles of clothing.  Also, a great way to get that much-needed vacation is to position a weekend trip to a potential college with a great attraction, like the beach or a theme park, close by. Hope you enjoy those last days of summer!

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07.01.11 About Gen Y from Gen Y
Posted under: Lifestyle, Money Management, Saving Posted by:

Hi fellow i[x]ers! My name is Jennifer and I am just like you, a teenager in Georgia! I am spending part of my summer as one of the new social media interns at Georgia’s Own Credit Union. So here’s my first of many blogs to come. I know you’re lounging around trying to find “summer movies,” but read my blog first; you might rethink going to see Transformers: Dark of the Moon in 3D, instead of 2D.

            The older generation, our parents (the “Baby Boomers”) and our grandparents (who are just old), refer to us young people as “Generation Y,” the generation which was born around the turn of the millennium or most remember as the Y2K Bug Scare. The boom of technological advances around our development has automatically dubbed us “tech-savvy.” I’m ok with this because I have to admit, I have the latest devices: a touch-screen phone, an iPad, a Smart TV and an awesome camera to top it all off. Only thing is, our generation is going to end up being the most in-debt if we keep on purchasing like the world is about to end. Thing is, life as we know it is not about to end.  I am going to graduate from high school and college and will have to pay off those dreaded student loans. No longer can we have this laissez-faire attitude; our parents won’t be paying for us for the rest of our life. To discontinue the trend of young adults over-spending, let alone spending on unnecessary items like the new “white” iPhone 4 or a movie in 3D instead of 2D, we need to manage our money better. That means developing a budget, just like you have a budget for your homecoming dress (mine was $150). If your parents usually pay for you, start by thinking to yourself, “how much am I willing to spend if this is actually ‘my’ money.” If you mostly pay for yourself, start by planning for activities that are coming up that you could start saving for, such as, your school’s football games. The old people always tell us, “It’s the little things that count.” Well, I hate to admit it, but they’re correct on this one. If we can simply start budgeting and analyzing where our money is being spent, we’ll be much better off for the future and maybe even for a new Maserati.

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06.08.11 The Dirty “D” Word
Posted under: Debt, Money Management Posted by:

How often do we hear the dreaded “D” word…Debt?  It seems like every day the word debt comes up.  Whether it’s you, your friends or family, or the nation as a whole, Americans regularly spend more than they earn. It may sound impossible to stay clear or conquer debt, but some of the first steps toward a debt-free life are some of the easiest.

Debt is an amount owed to a person or organization for funds borrowed – pretty easy, right?  Debt is usually talked about negatively, but there is such a thing as good debt.  Good debt typically comes in the form of an investment that creates value.  Student loans, home mortgages, and real-estate loans are some examples that could be used as good debt.  Now, if you don’t pay off your loans and mortgages on time, then they can become bad debt.  Most bad debts come from credit cards used to buy disposable items or durable goods that lose value as soon as they are bought (i.e. clothing).

People accumulate debt in different ways and for different reasons.  Credit cards are one of the most expensive and common reasons.  Credit cards are great for establishing good credit, plus they are good to have in case you are in an emergency situation and need money fast.  When you don’t use them correctly or don’t pay them off, debt starts to amass.  Getting a credit card has become so easy today that it is tempting to snag one from your favorite department store, but when you use your card and don’t pay off your balance immediately, you are acquiring debt.  

So now that you have racked up a seemingly insurmountable amount of credit card debt, there are easy steps you can take to start climbing your way out.  If you have multiple cards, you should try to get rid of all but one or two.  The ones you are left with should only be used for emergency situations and typically shouldn’t be used daily.  Look for a low-interest card to take the place of you current card, because credit card companies are all fighting for your business and they often offer special rates for balance transfers from other cards.  Also, instead of only paying the minimum each month, try paying more each month. Every little bit helps!

Student loans are another common reason for debt among young people.  College costs, as well as graduate school costs, have steadily risen over the years.  According to a recent report from the Project on Student Debt*, college seniors who graduated last year owed an average of $24,000 in student loan debt.  WOW!! Though student loans can be considered good debt, not paying them off, as you can see, could potentially put you thousands of dollars in the hole once you enter the workplace.  You can avoid debt from student loans through a variety of financial aid options including, scholarships and grants.  Companies and organizations love to give away scholarships on a regular basis. (Check here for info on Georgia’s Own 2011 Scholarship)  Make sure you browse the net for all scholarships which you are qualified and take the time to make your application stand out above the rest. 

If you already missed the boat on scholarships and have student loans to pay back, you have to start paying back your debt.  You can reduce your debt load by consolidating or refinancing your loans.  By consolidating you student loans, you are reducing interest rates.  Interest rates are much lower now than when you probably first got your loan. 

Auto loans are another way the debt can add up fast.  Car companies everywhere are offering deals that seem really awesome on the outside, but underneath they are really debt traps.  Steer clear of auto loan debt by putting more cash down on your vehicle when you buy; your goal should be to pay with cash.  You should also look for short-term financing options so that the loan will be paid off faster.  You may have larger payments, but you actually will save money down the line.  If you have a high interest rate, you can usually refinance and get lower rate.

A simple solution to begin reducing your debt overall is to set up automatic payments for your bills.  I know how easy it can be to push away medical bills, student loans and auto loans every month.  At the end of the month, instead of deciding between paying down your debt or making a run to the mall with your credit card in hand, that decision will be much easier because your payment has already been deducted.   Debt can be scary and it may be a tough journey, but it will be worthwhile when you are able to say that you are debt free.

  

*http://www.projectonstudentdebt.org/

Financial Aid Info:

FinAid.org
Fafsa.ed.gov

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05.23.11 10 Biggest Money Wasters
Posted under: Lifestyle, Money Management Posted by:

Here is an interesting list put out by CNN Money about the 10 biggest money wasters. There are a few items on the list I wanted to point out:

1. ATM fees – It usually costs around $5 when you withdraw from an ATM that is not with your credit union or bank. As part of the Allpoint Network and CO-OP Network, Georgia’s Own has over 71,000 Surcharge-Free ATMs for added convenience and value.
2. Lottery Tickets – We all dream of hitting the jackpot one day, but did you know that consumers bought more than $70 billion in lottery tickets and there was only about $38 billion awarded in prizes??
3. Eating Out – Consumers spent an average of $28.47 on each restaurant meal in 2010 and averaged 82 restaurant trips a year totaling $2,341. Spending $7-$15 on lunch everyday adds up too! Check out my 10-2-Spend video to see how.
4. Daily Internet Deals – Don’t get caught up on every deal that you see online. It’s estimated that 20% of all daily deals purchased go unused. Advice: Ask yourself if you would even consider buying this if the deal wasn’t in front of you.

What are other money wasters you would add to the list?

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05.18.11 New – Balance Resources for i[x] members
Posted under: Feature Post 4, Money Management Posted by:

Georgia’s Own and i[x] are now offering our members access to the Balance Financial Fitness Program. These great resources are FREE. Here are just a few of the many resources you will find on their site:

Tips on Buying a Car
Checking Accounts
Mortgage Basics
Repaying Student Loans
Finances for College Students

Check out all of the free resources at the Balance web site.

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05.04.11 BALANCE
Posted under: Checking, Credit, Debt, Investing, Loans, Money Management, Saving Posted by:

So I wanted to let everyone know some exciting news from Georgia’s Own.  GOCU and i[x] are proud to announce your newest benefit of membership: BALANCE Financial Fitness Program.

BALANCE is a free and confidential money management tool to help you stay on the path to financial freedom.  Whether you’re interested in developing an easy spending and savings plan, getting out of debt, taking a look at your credit report,  or buying a home, i[x] and BALANCE can help.   They have chapters for you to look over and even provide a quiz to allow you to test your knowledge of the subject.

BALANCE also has counselors available throughout the day to answer any questions you might have.  To use the program, visit BALANCEpro.net or call 888-456-2227 to begin taking advantage of this FREE resource!

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04.21.11 Youth Week
Posted under: Money Management, Saving Posted by:

In case you weren’t aware, this week is National Youth Week.  Once again, we are encouraging youths to save money by participating in the National Youth Savings Challenge where ten young savers will be selected nationwide to each win $100. 

In addition, Georgia’s Own will also be giving ten Georgia’s Own Credit Union youths the chance to win $100.* If you or your child is under the age of 18, make a deposit to your account (or open a new one) during the month of April and you’re eligible to win.

*No purchase necessary. Promotion period: The contest begins at 12:01a.m. on April 1, 2011 and ends at 11:59 p.m. on April 30, 2011. By submitting any entry, you agree to be bound by the Official Rules. Contact the Credit Union at 404.874.1166, or write us at Georgia’s Own Credit Union, Attn: Marketing–Youth Challenge, P.O. Box 105205, Atlanta, GA 30348 to obtain a copy of the Official Rules for this promotion. Entry in this promotion or acceptance of any prize constitutes acceptance of the Official Rules. Georgia’s Own cannot be held responsible for any action or damages arising from use of any prize.

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