27 Things You Should Never Do With Your Money
27 Things You Should Never Do With Your Money
By Roger Wohlner June 1, 2021
Avoid these big money mistakes and keep more of your cash.
There is possibly an endless list of things you shouldn't do with your money. But from bad habits to decisions based on wishful thinking, some of the bigger missteps can really cost you. To find out the biggest money mistakes you should avoid, GOBankingRates asked financial experts for their best advice.
Never Cash Your Paycheck Right Away
If you cash your paycheck right away, you might burn through it too quickly.
"You will most certainly spend it all if you cash your paycheck rather than have your employer directly deposit it into your bank account," said Barbara Friedberg, a personal finance consultant. "Even better is to automatically transfer a percent of your paycheck into a retirement investment account and direct-deposit the remainder into a bank account."
One advantage of having a workplace retirement plan, such as a 401(k), is that money is automatically deducted from your pay and invested. You don't see it, so you won't spend it. You can use a budgeting template to get the most mileage out of your paycheck.
Never Fall For 'Special' Finance Deals You Can’t Afford
Promotional finance offers that provide zero or low interest rates on a big purchase might sound like a great deal -- until you wind up paying more than you expected. That's what happened to Grayson Bell, founder of personal finance website Debt Roundup.
"Don't finance a new vehicle, or watercraft in my case, based on the low promotional monthly payment," he said. "I financed a new $10,000 Jet Ski with no money down and no real way to pay for it based on a radio ad promoting a super low $69 per month payment. What I didn't read was the rate was only for two years, then it changes to include retroactive interest based on the loan amount."
"Those financing deals can ruin you if you're only looking at the monthly payment," he continued. "Go through the math and read all of the fine print. They get you in with the low monthly payments, but keep you paying for much longer than you anticipated."
Never Miss Out on Making Money With Your Money
When you pick out a checking account to use, you want to make sure you’re making the most of your options. The average checking account comes with an interest rate1 of 0.03%, if it has any at all, so you’ll want to shop around for the best options.
Depending on your daily balance, with PenFed’s Access America Checking account2, you can earn up to 0.35% APY3 with a monthly direct deposit of $500 or more. By using this account, you’ll be earning up to 11 times the average, which means your money will be doing more for you here than with other average checking accounts.
To continue reading, please go to the original article here:
One advantage of having a workplace retirement plan, such as a 401(k), is that money is automatically deducted from your pay and invested. You don't see it, so you won't spend it. You can use a budgeting template to get the most mileage out of your paycheck.
Never Fall For 'Special' Finance Deals You Can’t Afford
Promotional finance offers that provide zero or low interest rates on a big purchase might sound like a great deal -- until you wind up paying more than you expected. That's what happened to Grayson Bell, founder of personal finance website Debt Roundup.
"Don't finance a new vehicle, or watercraft in my case, based on the low promotional monthly payment," he said. "I financed a new $10,000 Jet Ski with no money down and no real way to pay for it based on a radio ad promoting a super low $69 per month payment. What I didn't read was the rate was only for two years, then it changes to include retroactive interest based on the loan amount."
"Those financing deals can ruin you if you're only looking at the monthly payment," he continued. "Go through the math and read all of the fine print. They get you in with the low monthly payments, but keep you paying for much longer than you anticipated."
Never Miss Out on Making Money With Your Money
When you pick out a checking account to use, you want to make sure you’re making the most of your options. The average checking account comes with an interest rate1 of 0.03%, if it has any at all, so you’ll want to shop around for the best options.
Depending on your daily balance, with PenFed’s Access America Checking account2, you can earn up to 0.35% APY3 with a monthly direct deposit of $500 or more. By using this account, you’ll be earning up to 11 times the average, which means your money will be doing more for you here than with other average checking accounts.
To continue reading, please go to the original article here: