An emergency fund gives you the protection you need when life happens. Yup, instead of relying on the big credit card companies to save the day, you can be the hero of your own story. until too many emergencies have you drowning in debt. With a swipe of the card, an emergency becomes less of an emergency. Credit card companies want you to see them as the hero coming to save the day. One in four Americans with a credit card use it to cover expenses they can’t pay for in cash. The car won’t start-when you just loaded up the family for a summer road trip. The AC fizzles out-on the hottest day of the year. You know, the heater goes out-in the middle of a snowstorm. And when it does, it can be expensive (with a capital E).
Here’s the bottom line: If you run your debit card as credit when you make purchases (and skip the pin number), your debit card is just as safe as a credit card. 1And if your debit card is backed by the credit giants (Visa and MasterCard), you have the exact protections as a credit card. You’re protected when you pay with a debit card too! Under Regulation E from the Federal Reserve, your liability for covering purchases on a stolen debit card is limited to just $50 when you report it right away.
That’s why they want you to believe the only way to protect yourself is by making most of your purchases with a credit card. In the words of Dwight Schrute, “Identity theft is not a joke, Jim.” He’s right-dealing with a stolen identity is never a fun situation. So, with that in mind, why is it so tempting to keep these shiny plastic cards around? Here are some benefits (cough, excuses) people make for keeping a credit card or two: 1.
#You need a budget credit cards free
Take control of your money with a FREE Ramsey+ trial. But on the flip side, 56% of Americans in debt wish they had been better educated before taking that debt on. Our State of Personal Finance study found that 86% of Americans have a credit card. There are a million reasons under the sun for why people think they need a credit card in their wallet. maybe you’ll find out that having a credit card isn’t really necessary after all. If you don’t own a credit card, finish reading this article before you sign the dotted line. In either case, it’s time to shine a light on the hot topic of credit cards. Or maybe you snagged one in college because some well-meaning person told you that you need a credit card to build up your credit. Maybe your parents gave you a credit card just for emergencies when you were in high school.
Have you ever actually stopped and asked yourself, “Do I need a credit card?” If not, today’s the day. All of those make sense-except for wallets and credit cards. "Now you have a reason to say no to that $50 dinner, because you have something to say yes to now," Wong says.Some things in life just seem to go together: bread and butter, fall and pumpkin spice. Instead, set a specific goal that has meaning to you, like paying off credit card debt or student loans or saving for a vacation, says Kristin Wong, author of Get Money: Live the Life You Want, Not Just the Life You Can Afford. If you're budgeting because you think that's what responsible grown-ups do, that's not super-concrete or motivational. Don't budget just because you think you should.
These six budgeting tips will help you track your spending and make more informed decisions about your money - and your life. Keeping tabs on where your money is going is a good first step to cutting back on spending and saving more, if you're able to do so. Sign up for the newsletter to learn more, and follow us on Twitter. Life Kit is NPR's podcast with tools to help you get it together - everything from finances to diet and exercise to raising kids.
0 kommentar(er)
