Hey GABbers,
How is everybody doing? I'm o.k.
My topic for my research was Establishing Credit. There are two ways I will discuss for building credit history.
The first way is by owning a cell phone and paying the charges on it each month. Many young adults may not realize they will be building their credit when they get a cell phone. So we may gain credit history in the working without even knowing. Your credit report will show details on how you've been paying your bills back and on time (and hopefully you have been).
The next way is also a great way to build your credit history. Apply for a credit card. Often you can get one with cheaper interest rates at a credit union. But you may need a co-signer. You and your co-signer will have to show proof of your income. As long as your co-signer can trust you to stay within an agreed-upon limit, you should have no problem.
A lot of young adults like to have a credit card to use instead of cash. Besides, having one helps to create some independence that we deserve and enjoy.
These are two simple things that will help us to establish a pattern of good credit history.
10/24/08
10/15/08
Focus group project
I am working on the focus group project and surpisingly the credit union I have, has a whole page dedicated to young adults, now it is not as good as SECU's page it is decent and it has a good bit of information. The bank I had has a very difficult website to navigate and nothing seems to be avalible to young adults. I was very surprised actually, I thought the bank would cater to young adults more, I guess I figured banks are where most people start but I guess I was wrong.
I did a little more researching on a few other websites and I found the same results the credit unions had much more information than the banks did for young adults. I guess as long as you can get into a credit union that is a great start for young people they offer a lot of information and lots of good opportunities.
Overall both types of institutions probably offer great programs for young adults but the best way to attract young people is by having information online. Most people that I talk to say they do not like calling or going into businesses without researching online first. This being said most people probably pass right by a bank or credit union that does not offer information for young people online.
I did a little more researching on a few other websites and I found the same results the credit unions had much more information than the banks did for young adults. I guess as long as you can get into a credit union that is a great start for young people they offer a lot of information and lots of good opportunities.
Overall both types of institutions probably offer great programs for young adults but the best way to attract young people is by having information online. Most people that I talk to say they do not like calling or going into businesses without researching online first. This being said most people probably pass right by a bank or credit union that does not offer information for young people online.
10/6/08
Credit 101: Journey to Financial Literacy Day 5
Good evening class,
Welcome to the fifth day on our journey to financial literacy. Today we will be transitioning into a new chapter of Credit. Today's class will demand copious note taking, as it will review our entire first chapter of credit reports. If you are serious about surviving this Great depression our economy has entered, than save this post in your documents as a record. No Farts and Giggles today class, we have a lot of review material to cover. Is your thinking cap on? Well here it goes
"Your credit report is an official record of money you have borrowed and repaid in the past, including information about late payments, criminal records and bankruptcy. You can see information about credit cards you have opened, loans you have taken out, and who has asked for your credit report.
Companies that loan money look at your credit report to determine your ability to pay back your debts on time. This is known as your credit rating.
It is important to know your history because:
Banks use that information to decide who gets loans
Landlords use it to decide who they will rent to
Employers can use it to decide whether or not to hire you
Key Terms:
Credit Bureau : a company that keeps track of people’s personal credit information. They build your credit report
Credit History: another word for your credit report
Credit Score : an actual number that banks and lending associations use to decide whether or not they want to lend you money. The score reflects your spending and repayment habits
Credit Report: your official record of borrowing and repaying, including information about late payments and bankruptcy
Identity Theft : pretending to be someone else by stealing their personal information. This is usually done to use someone else’s credit, or to blame them for a crime
you have the right to order a free copy of your own credit report every year from each of the three major credit bureaus below.
Experian
1-888-EXPERIAN (1-888-397-3742)
www.experian.com
Equifax
1-800-685-1111
www.equifax.com
Trans Union
1-800-888-4213
www.transunion.com
Order your copy online or call the Annual Credit Report Request Service (877) 322-8228.
LOOK OUT FOR SCAMS
Quick fixes: Beware of companies or services that promise to fix your credit quickly. They can be dishonest and expensive. No one can speed up the process. The only solution for credit problems is to get out of them by paying off your debt on time.
Debt restructuring: Never sign a contract or other "credit payment plan agreement" except with a reliable counseling service, such as a nonprofit. Be careful about agreeing to "debt restructuring plans." Their plans may lower your monthly payments but they will extend the length of time it will take to pay off all of your debts. Your total debt amount can grow from additional finance charges. Many people get deeper into debt after restructuring because they didn't understand the terms of the debt consolidation agreement.
Credit Fraud: Do not work with any agency that offers to change your Social Security number to get a new credit identity. Changing your Social Security number to avoid debt is fraud and a federal crime. A company that suggests for you to do that is performing an illegal activity. You could be arrested for following the company's advice. If a company offers to change your Social Security number, report it to the
What are the benefits of having a good credit rating?
A good credit rating:
Makes it easier to get loans with good terms
Makes it easier to get credit cards
Is important if you want to buy a home
A poor credit rating:
Makes it hard for you to get credit
Means you will probably pay higher interest rates on loans
Means you may be turned down for a job
Means you may not be able to rent an apartment
Getting your credit report is a good way to check for identity theft or errors. Check for the following:
Your personal information -- name, social security number, birthday, etc. -- is correct
Make sure all listed credit card reports are actually yours. This is where you can scan for identity theft if someone else has illegally opened an account with your name
Are there court orders against you?
Be sure you recognize past requests for your credit report. Make sure the requests come from companies with whom you usually do business.
If you find any mistakes, contact the credit bureau immediately. You could be saving yourself thousands of dollars or more just by requesting and reading your free report.
Fixing Credit Report Mistakes
If you see a mistake in your credit report, you should fix it right away. Here’s what you need to do.
1. Contact the credit bureau.
All 3 credit bureaus let you file a statement of dispute online or on the phone. The credit bureau will investigate the mistake.
Equifax: Call (800) 685-1111 or file online.
Experian: Call (888) 397-3742 or file online.
TransUnion: Call (800) 916-8800 or file online.
2. Contact the creditor that made the mistake.
If you think the credit company made a mistake in their reporting, you can contact them directly. They should have records for your entire account history. They can help you fix the problem.
3. Get your credit report from other credit bureaus to double check.
If one of the credit bureaus has mistakes, the other 2 probably have mistakes too. You can get free copies of your credit report to double check.
4. Make sure the mistake is fixed.
The credit bureau should respond within 1 month. If you haven’t heard from them, call. Make sure you get a free copy of the report with corrections. Double check the report when you get it!
5. Follow up with companies who saw the incorrect report.
Ask the credit bureau to send the updated version to creditors who saw your report during the last 6 months. If you tried to get insurance, call the company back and ask for another estimate. If the problem you fixed is important enough, you could get a better insurance score and lower insurance rates.
6. What to do when a mistake isn’t fixed:
If a credit bureau disagrees with your dispute and doesn’t make the correction, you can add a personal statement to your credit report. A personal statement is a short, written explanation of your side of the story. This statement is your chance to explain any credit problems on your report. It’s usually less than 100 words.
In some states, insurance companies are not allowed to use credit problems against you if you have a dispute and a personal statement on your credit report.
Helpful Hints
Have the credit report in front of you when you call. This will help you answer questions.
Get your records and statements together. If you know you’ve paid on time or in full, make copies of statements or canceled checks.
Make copies of everything you send to creditors or credit bureaus. Get proof from the post office through certified mail or priority mail. Keep copies of fax receipts.
DID YOU GET ALL THAT???????????
What a mouthful... Now be sure to copy and paste this infor into word for your future reference; you will need it for future homework assignments. Last class we discussed our Credit Report Restoration plan and the importance of step one and changing your thinking. Next post we will revisit this topic briefly before going into a broader look at Credit.
Class dismissed
Welcome to the fifth day on our journey to financial literacy. Today we will be transitioning into a new chapter of Credit. Today's class will demand copious note taking, as it will review our entire first chapter of credit reports. If you are serious about surviving this Great depression our economy has entered, than save this post in your documents as a record. No Farts and Giggles today class, we have a lot of review material to cover. Is your thinking cap on? Well here it goes
"Your credit report is an official record of money you have borrowed and repaid in the past, including information about late payments, criminal records and bankruptcy. You can see information about credit cards you have opened, loans you have taken out, and who has asked for your credit report.
Companies that loan money look at your credit report to determine your ability to pay back your debts on time. This is known as your credit rating.
It is important to know your history because:
Banks use that information to decide who gets loans
Landlords use it to decide who they will rent to
Employers can use it to decide whether or not to hire you
Key Terms:
Credit Bureau : a company that keeps track of people’s personal credit information. They build your credit report
Credit History: another word for your credit report
Credit Score : an actual number that banks and lending associations use to decide whether or not they want to lend you money. The score reflects your spending and repayment habits
Credit Report: your official record of borrowing and repaying, including information about late payments and bankruptcy
Identity Theft : pretending to be someone else by stealing their personal information. This is usually done to use someone else’s credit, or to blame them for a crime
you have the right to order a free copy of your own credit report every year from each of the three major credit bureaus below.
Experian
1-888-EXPERIAN (1-888-397-3742)
www.experian.com
Equifax
1-800-685-1111
www.equifax.com
Trans Union
1-800-888-4213
www.transunion.com
Order your copy online or call the Annual Credit Report Request Service (877) 322-8228.
LOOK OUT FOR SCAMS
Quick fixes: Beware of companies or services that promise to fix your credit quickly. They can be dishonest and expensive. No one can speed up the process. The only solution for credit problems is to get out of them by paying off your debt on time.
Debt restructuring: Never sign a contract or other "credit payment plan agreement" except with a reliable counseling service, such as a nonprofit. Be careful about agreeing to "debt restructuring plans." Their plans may lower your monthly payments but they will extend the length of time it will take to pay off all of your debts. Your total debt amount can grow from additional finance charges. Many people get deeper into debt after restructuring because they didn't understand the terms of the debt consolidation agreement.
Credit Fraud: Do not work with any agency that offers to change your Social Security number to get a new credit identity. Changing your Social Security number to avoid debt is fraud and a federal crime. A company that suggests for you to do that is performing an illegal activity. You could be arrested for following the company's advice. If a company offers to change your Social Security number, report it to the
What are the benefits of having a good credit rating?
A good credit rating:
Makes it easier to get loans with good terms
Makes it easier to get credit cards
Is important if you want to buy a home
A poor credit rating:
Makes it hard for you to get credit
Means you will probably pay higher interest rates on loans
Means you may be turned down for a job
Means you may not be able to rent an apartment
Getting your credit report is a good way to check for identity theft or errors. Check for the following:
Your personal information -- name, social security number, birthday, etc. -- is correct
Make sure all listed credit card reports are actually yours. This is where you can scan for identity theft if someone else has illegally opened an account with your name
Are there court orders against you?
Be sure you recognize past requests for your credit report. Make sure the requests come from companies with whom you usually do business.
If you find any mistakes, contact the credit bureau immediately. You could be saving yourself thousands of dollars or more just by requesting and reading your free report.
Fixing Credit Report Mistakes
If you see a mistake in your credit report, you should fix it right away. Here’s what you need to do.
1. Contact the credit bureau.
All 3 credit bureaus let you file a statement of dispute online or on the phone. The credit bureau will investigate the mistake.
Equifax: Call (800) 685-1111 or file online.
Experian: Call (888) 397-3742 or file online.
TransUnion: Call (800) 916-8800 or file online.
2. Contact the creditor that made the mistake.
If you think the credit company made a mistake in their reporting, you can contact them directly. They should have records for your entire account history. They can help you fix the problem.
3. Get your credit report from other credit bureaus to double check.
If one of the credit bureaus has mistakes, the other 2 probably have mistakes too. You can get free copies of your credit report to double check.
4. Make sure the mistake is fixed.
The credit bureau should respond within 1 month. If you haven’t heard from them, call. Make sure you get a free copy of the report with corrections. Double check the report when you get it!
5. Follow up with companies who saw the incorrect report.
Ask the credit bureau to send the updated version to creditors who saw your report during the last 6 months. If you tried to get insurance, call the company back and ask for another estimate. If the problem you fixed is important enough, you could get a better insurance score and lower insurance rates.
6. What to do when a mistake isn’t fixed:
If a credit bureau disagrees with your dispute and doesn’t make the correction, you can add a personal statement to your credit report. A personal statement is a short, written explanation of your side of the story. This statement is your chance to explain any credit problems on your report. It’s usually less than 100 words.
In some states, insurance companies are not allowed to use credit problems against you if you have a dispute and a personal statement on your credit report.
Helpful Hints
Have the credit report in front of you when you call. This will help you answer questions.
Get your records and statements together. If you know you’ve paid on time or in full, make copies of statements or canceled checks.
Make copies of everything you send to creditors or credit bureaus. Get proof from the post office through certified mail or priority mail. Keep copies of fax receipts.
DID YOU GET ALL THAT???????????
What a mouthful... Now be sure to copy and paste this infor into word for your future reference; you will need it for future homework assignments. Last class we discussed our Credit Report Restoration plan and the importance of step one and changing your thinking. Next post we will revisit this topic briefly before going into a broader look at Credit.
Class dismissed
Coupon Clipping Club
Press Release -
This Just In: On Monday October 6, 2008 the society of penny pinching college students have announced the induction of ABBY the GABBY into the Coupon Clipping Club. On behalf of us all, Welcome with a capital WE. Now that you are officially a member of the team, below we have given you the Sacred Saving Secrets Scroll for our Baltimore division. Prepare to find many free and discounted items all through our area. Be sure to share these saving tips with all of your blogging friends...
1. Baltimore Area entertainment Coupon Book -
Just a $25 purchase every year will save you hundreds of hard earned dollars. The Baltimore Entertainment Coupon Book can be purchased from a local school or community group all throughout the year. Savings for dining, shopping, travel, and entertainment can be found for most any business in the Baltimore metropolitan area.
2. www.Retail me not.com -
If you love shopping online, than www.retailmenot.com is for you. This Sacred Savings Secret has coupons and discounts for any store that allows online purchasing. Before you begin shopping on the internet, visit this site and watch the savings roll in.
3. Baltimore Free Store
Baltimore free store promotes recycling and reuse to help alleviate the traumas of poverty and to involve communities in work together to fill their own needs. For a store nearest and monthly calendar visit www.freestorebaltimore.org (who knew you could shop vintage for free!!)
4. Maryland Produce Giveaway Program -
A consistent supply of fresh foods – available from local community food providers or from direct distribution sites are located in different locations across the city. The best news... IT'S FREE ! To find a site new you email Harrison@ mdfoodbank.org, shaia@mdfoodbank.org or call 410-737-8282 ext 249
5. Free Legal Services -
The Legal Aid Bureau, Inc. is a private, non-profit, multi-funded law firm providing free legal services to low-income people statewide. Legal Aid serves Baltimore City and Maryland's 23 counties from 13 office locations. Legal Aid is an independent, 501(c)3 charitable organization that receives funding from federal, state and local governments, the United Way and other private sources.
6. Free Credit Counseling -
This post just wouldn't be a Kim Poole post if it had no information about credit! So course here is a resource for free credit counseling and restoration. www.beehive.org
7. Baltimore Free University -
The formerly known Baltimore Free University is now offering classes. Now known as the Baltimore Lyceum, classes are held at John Hopkins university campus all year long. If your a Renaissance man/women and you love to learn on a budget, this is the school for you. To register, visit the Village Learning place at 2521 ST Paul st. Baltimore MD
8. Free Fall Baltimore -
Right now Baltimore's vibrant cultural community is busy making plans to offer another full month of unique and free arts experiences for all to enjoy during October 2008. Get ready to be inspired by musical performances, theater, film, workshops, dance, lectures, and museums - a showcase of all the best of Baltimore's creative community and all for free. Visit www.freefallbaltimore.com for a calendar of events
9. Local Dry Cleaners -
Hey, did you know that every dry cleaner gives away clothing that people never come back to get...
10. IDA Accounts -
Ok, so you knew about all these sacred savings secrets already... I bet you didn't know that the government gave out free money. Thats right FREE money. There are many IDA accounts across the country that offer a monetary match for young adults looking to jump start thier finances. If this is you... Google it!
So... Now you think you night want to join the Coupon Clipping Club!!! Well let us know what sacred saving secrets you have and we might consider it! LOL
This Just In: On Monday October 6, 2008 the society of penny pinching college students have announced the induction of ABBY the GABBY into the Coupon Clipping Club. On behalf of us all, Welcome with a capital WE. Now that you are officially a member of the team, below we have given you the Sacred Saving Secrets Scroll for our Baltimore division. Prepare to find many free and discounted items all through our area. Be sure to share these saving tips with all of your blogging friends...
1. Baltimore Area entertainment Coupon Book -
Just a $25 purchase every year will save you hundreds of hard earned dollars. The Baltimore Entertainment Coupon Book can be purchased from a local school or community group all throughout the year. Savings for dining, shopping, travel, and entertainment can be found for most any business in the Baltimore metropolitan area.
2. www.Retail me not.com -
If you love shopping online, than www.retailmenot.com is for you. This Sacred Savings Secret has coupons and discounts for any store that allows online purchasing. Before you begin shopping on the internet, visit this site and watch the savings roll in.
3. Baltimore Free Store
Baltimore free store promotes recycling and reuse to help alleviate the traumas of poverty and to involve communities in work together to fill their own needs. For a store nearest and monthly calendar visit www.freestorebaltimore.org (who knew you could shop vintage for free!!)
4. Maryland Produce Giveaway Program -
A consistent supply of fresh foods – available from local community food providers or from direct distribution sites are located in different locations across the city. The best news... IT'S FREE ! To find a site new you email Harrison@ mdfoodbank.org, shaia@mdfoodbank.org or call 410-737-8282 ext 249
5. Free Legal Services -
The Legal Aid Bureau, Inc. is a private, non-profit, multi-funded law firm providing free legal services to low-income people statewide. Legal Aid serves Baltimore City and Maryland's 23 counties from 13 office locations. Legal Aid is an independent, 501(c)3 charitable organization that receives funding from federal, state and local governments, the United Way and other private sources.
6. Free Credit Counseling -
This post just wouldn't be a Kim Poole post if it had no information about credit! So course here is a resource for free credit counseling and restoration. www.beehive.org
7. Baltimore Free University -
The formerly known Baltimore Free University is now offering classes. Now known as the Baltimore Lyceum, classes are held at John Hopkins university campus all year long. If your a Renaissance man/women and you love to learn on a budget, this is the school for you. To register, visit the Village Learning place at 2521 ST Paul st. Baltimore MD
8. Free Fall Baltimore -
Right now Baltimore's vibrant cultural community is busy making plans to offer another full month of unique and free arts experiences for all to enjoy during October 2008. Get ready to be inspired by musical performances, theater, film, workshops, dance, lectures, and museums - a showcase of all the best of Baltimore's creative community and all for free. Visit www.freefallbaltimore.com for a calendar of events
9. Local Dry Cleaners -
Hey, did you know that every dry cleaner gives away clothing that people never come back to get...
10. IDA Accounts -
Ok, so you knew about all these sacred savings secrets already... I bet you didn't know that the government gave out free money. Thats right FREE money. There are many IDA accounts across the country that offer a monetary match for young adults looking to jump start thier finances. If this is you... Google it!
So... Now you think you night want to join the Coupon Clipping Club!!! Well let us know what sacred saving secrets you have and we might consider it! LOL
9/28/08
Doing the Right Thing
Okay so this week, I was hit by another car on my motorcycle, they just didn't seem me. Now I'm okay ( with a few bumps and bruises) but the motorcycle was pretty bad. So I called 911 and since the driver who hit me drove off (hit and run) I had to call my own insurance. But after my deductible and the rise in my yearly insurance, it seems that it would have been better to just take it to a someone to fix and pay out of my own pocket. So Ive got to ask everyone what would you have done? I now recommend if you ever get into an accident and either it was your fault or one one got the tag number,think about paying for it out of your own pocket before calling your insurance. It may cost more in the beginning but in the long run you may be saving money. Anyone else got any insurance stories?
9/17/08
Back to school
This past summer I was away almost every other week on conferences for school or on vacation which led me to not having enough time to hold a job, which meant this school year I did not have nearly as much money saved up as I had hoped. So this year when I came back to school I found a job on campus which I was extremely happy about, but since I am a student and very involved on campus I am only able to work around 15 hours a week. Now I am very lucky to have my parents paying for most of my tuition but I still have to pay for the utilities and food for my apartment which adds up very fast when I don't bring in a large amount of money every week.
So since I am trying to my best to still be able to save some of the money I earn each week I am trying the the whole coupon thing for the grocery store. Now my mom clips coupons but still buys things with out one if she can but I am trying to only buy items on sale or with a coupon and I shop the sale ads each week. I have found that a local grocery store seems to have the best sale items and what I don't buy there I will get at Target, Target has a lot of non-perishable foods for a good price. So last week when I went to the grocery store I had my wallet full of coupons and I wrote out a list of things that I needed and a few things that I wanted that were in the sale ad. When I finally had everything and checked out I was excited to see that I saved $17.55, So my total bill came to $23.13 I saved almost half by just shopping the sales and using coupons, and everything I bought was pretty much brand name good items I didn't just by the cheap stuff at the store.
It is possible to save money and still by good quality items if you shop around and make a list. I find when I go to the store with out a list I tend to buy stuff I didn't need and will probably go bad, so I always make a good list with things I need and I tend to put just one or two items that I really want, i.e. snacks so I don't go out in the middle of the week for a craving that I am having.
So since I am trying to my best to still be able to save some of the money I earn each week I am trying the the whole coupon thing for the grocery store. Now my mom clips coupons but still buys things with out one if she can but I am trying to only buy items on sale or with a coupon and I shop the sale ads each week. I have found that a local grocery store seems to have the best sale items and what I don't buy there I will get at Target, Target has a lot of non-perishable foods for a good price. So last week when I went to the grocery store I had my wallet full of coupons and I wrote out a list of things that I needed and a few things that I wanted that were in the sale ad. When I finally had everything and checked out I was excited to see that I saved $17.55, So my total bill came to $23.13 I saved almost half by just shopping the sales and using coupons, and everything I bought was pretty much brand name good items I didn't just by the cheap stuff at the store.
It is possible to save money and still by good quality items if you shop around and make a list. I find when I go to the store with out a list I tend to buy stuff I didn't need and will probably go bad, so I always make a good list with things I need and I tend to put just one or two items that I really want, i.e. snacks so I don't go out in the middle of the week for a craving that I am having.
9/15/08
Focus Group Part 2
Please check your emails for which institutions you are researching and what questions you must answer for Focus Group Project #2!
Meet Abby (photo-right), who has been fabulous at keeping up with all these projects and submitting everything on time--Kudos!!
Meet Abby (photo-right), who has been fabulous at keeping up with all these projects and submitting everything on time--Kudos!!
This will be an important exercise as we research the financial institutions in our area to see how well they are doing meeting your needs as an individual of Gen Y.
What are institutions doing right? What are they doing wrong? And do you even notice?
Do you spend the time to research your options when looking for a checking or savings account? What about loans? Or is it just what's most convenient regardless of fees or interest rates?
What are institutions doing right? What are they doing wrong? And do you even notice?
Do you spend the time to research your options when looking for a checking or savings account? What about loans? Or is it just what's most convenient regardless of fees or interest rates?
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