Keep your personal finances organized, otherwise it is easy to let them get out of control. If you find yourself in this position, you have to be willing to take the necessary steps in order to get back on the right track. Below I will give you some advice on turning your finances around and something you can be proud of.
Do not fall victim to credit repair organizations that claim they can improve your credit history. Such a practice is absolutely illegal, and these companies can run off with your money, and won’t do a thing to actually help your credit score. Everyone’s credit history and situation is unique to that person, to guarantee success would be a fraud and no one should make this promise.
Make sure you get those most out of your flexible spending account. It can help pay for medical and daycare bills, and can cost less money in the long run because of tax-free funding. Flex spending accounts permit you to place pretax dollars into an account to pay for these types of expenses. Just make sure you keep good records for tax time!
Keep an envelope with you at all times when you go out. Use this to store all of your receipts and business cards. Keep them around so that you have a paper trail. Your receipts can be used to compare statements in the event you are charged twice for a transaction. Credit card statements are great for this as well, but sometimes we want to use cash instead.
An emergency fund can be created by having a set amount of money from each paycheck put into a separate savings account. If you have the money automatically transferred to a savings account, you won’t miss it. Some finance professionals will tell you to keep 3 months of income saved, some will tell you 6 months, I say you should have at least a year in this economy.
Keep track of your available funds in your account(s). When I was young I fell victim to overdraft fees more often than I care to admit. Keeping your spending in check is a no-brainer, but balancing your checkbook can save you a ton of hassles and money as well.
Most of these tips seem pretty self-explanatory, but it never ceases to amaze me how little people heed this advice. Stop worrying about debt snowball strategies and credit repair companies, and start paying attention to simple ground rules of personal finance and you will be just fine