Why You Should Never Write A Check For Cash

Giant Mountain of PenniesWriting a check payable to cash might seem like a good idea. It’s simple enough. You write out a check as you would normally except instead of a person or company in the “Pay to the order of” line, you simply write “Cash”. Then you write in the amount, sign your name on the front, endorse the back, head to the bank, and give it to the teller. A minute later you will be walking out of the bank with a pocket full of bills.

Sounds great, right? But even though you can write a check for cash, here are many reasons why you shouldn’t.

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All Credit Freezes Now Free For Everyone

Snow Covered MountaintopRemember last year when the Equifax data breach exposed the personal information of almost 148 million Americans? Thanks to that hack, Congress passed a new federal law in May to help prevent identity theft. Starting today September 21, 2018, that new legislation goes into effect and you’ll now be able to freeze your credit report for free at all three of the major credit reporting agencies.

Read about the new changes and how you can freeze your credit today.

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What’s The Difference Between Frugal and Cheap?

Don't Be A Cheap-AssIt has been said there is a fine line between being frugal and being cheap. Frugalness is perceived as an admirable quality. Cheapness is not. Tell your friends you saved a bunch of money on car insurance by switching to Geico and they’ll all be patting you on your back. Tell your friends you are saving a bunch of money on car insurance because you decided to cancel your policy and everyone will consider you a cheap-ass. Don’t be a cheap-ass.

What is the difference between frugal and cheap and how do you toe the thin line between the two without crossing over to the cheap side?

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Rent-To-Own Stores Are Absolutely Ridiculous

Rent To Own Like Burning MoneyYou can rent just about anything these days from the rent-to-own businesses: sofas, dining room sets, mattresses, refrigerators, televisions, laptops, stoves, washer and dryer sets, and more for the low monthly fee with no credit checks, down payments, or even bank accounts needed.

Does it sound too good to be true? You betcha.

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Fidelity Launches First Ever Zero-Cost Index Funds

Fidelity No Cost Index FundsWhen companies compete, customers win. This is no different in the financial services industry. Last month Vanguard fired their shot with an announcement that in August they will be offering nearly 1,800 ETFs commission-free for all online trades on their platform. Now Fidelity has responded with one of their own and it’s a doozy. This is a huge win for investors.

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Letting Your Parents Manage Your Money Is A Dumb Idea

Parents and Money ManagementFirst of all, if your father is Warren Buffett then you can disregard everything I say in this blog post. For the rest of us, giving your parents all your money to invest for you is a bad idea. It’s not bad because I’m saying your parents are going to steal your money or go invest it all on pumpkins. Our parents have our best interests at heart, but they are actually making it worst for their children.

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What Is An ETF and Are ETFs A Good Investment?

What Are ETFsAn exchange-trade fund or ETF is a basket of securities that tracks a particular index, bonds, commodity, or asset class. First created in 1993, ETFs have grown to over 2,100 funds available today just in the U.S., and over 6,000 funds worldwide containing over $4.5 trillion in assets.

ETFs have become very popular since they’ve become available. They are attractive to many investors because of their low costs, diversification, tax efficiency, and ability to be traded just like stocks. Read more to see if ETFs are a suitable investment for you.

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Money Market Accounts vs Savings Accounts: Which Is A Better Choice?

Money Market AccountsThe Federal Reserve has been increasing interest rates as the economy has been getting stronger. Yet the rates on your savings account at the local brick and mortar bank is still holding steady at a fraction of a percentage. You go online and see online savings and money market accounts offering rates over 150 times higher.

You start thinking about all the extra money you could be earning from your hard-earned cash, but should you go with a savings account or a money market account? Which is better? What’s the difference between the two accounts?

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A Million Dollar Bet On How Index Funds Are Better Than Hedge Funds

Million Dollar Bet Against Hedge FundsFor most people, professionally managed investing means buying mutual funds. For the wealthy, this may mean getting access to hedge funds, the exclusive investment vehicle available only to qualified investors. For outsiders looking in, hedge funds are how the rich get richer.

In 2005, what is possibly the greatest investor of all time, Warren Buffett offered to make a $1,000,000 bet with anyone that over ten years, a boring; low cost; passively managed S&P 500 index fund will outperform any collection of hedge funds. This is what happened.

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FICO Credit Score Revealed: 5 Factors That Affect Your Score

FICO Credit Score Factors AnalyzedWhen you are getting a loan, a new credit card, or even a quote for car insurance, a little three-digit number determines whether you are approved and what rates you will pay. This number is your credit score and it is calculated from everything that is in your credit report to determine your credit worthiness. Lenders use your credit score to quickly decide the chances that you will repay your loan obligations if they do business with you.

As you can imagine, your credit score is very important in your financial life. It is not often that someone can pay for an entire house in cash, so for most people earning and maintaining a high credit score is key.

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