by Molly Greaves
-First, you MUST pay your bills on time. You’ll avoid costly late fees, and save your credit. Good credit will reward you with the best rates possible on future help.
- If you’re paying MULTIPLE credit cards, consider rolling the balances over to a lower rate card. Take note of any introductory rates that may expire leaving you with a higher rate.
- Take a look at your credit report and get your score. Know it. Check it often. Monitor whenever you can. It could ending up saving you a lot of time, money and stress. I tell people to go to Freecreditreport.com and sign up to receive ONE report from each credit agency. Since they are all free reports, I suggest having them arrive at different times so that you get them once every 4 months for FREE*! Do you know what I mean?
The kicker about this, which really bugs me is that you only get your CREDIT REPORT, NOT SCORE, which I find to be very misleading. SO, you will need to purchase your score unfortunately. I haven’t yet heard of them being free anywhere, unless with your bank, but it’s important to have, know and treat like gold.
-Depending on your comfort level and needs, you can save a lot of money by raising your deductibles on insurance policies like home and/or auto.
-Cut PRESCRIPTION costs by taking advantage of a mail-order pharmacy, which means your medicine will be cheaper, and you wont have to use gas OR your time driving to the pharmacy!
-Dont be afraid to play tough. Women especially. Call you cable company and try and get your bill down. Same with your phone plans. Internet, you name it. Do you have a great payment history? What is their competition offering? You’ll have even more room to barter if you approach them with what their competition is offering you and threaten to switch. Try it. I’ve significantly reduced my bills, and I bet you too can significantly lower your rates too. Use one of your phones that has speakerphone, take the phone and place it next to you while you do your emails, and before you know it, you might be $50-$75 richer!!
-If you still have an adjustable-rate mortgage (ARM), and you’re planning on staying put, it’s time for you to refi to a fixed mortgage before interest rates start climbing back up. I cant imagine the Fed can sustain at our current rate or lower.
-If you pay PMI (Private Mortgage Insurance) see if it can be cancelled. Under something called the Homeowners Protection Act of 1998, providers are required to automatically terminate PMI on loans originated after July 29, 1999, when the loan is paid down to 78% loan-to-value. That means you’ll have 22% equity in your home. Good job! Some cases have cancelled PMI with 20% equity, so be sure to check that out.
