Financial News Features

“First, [the lender] can charge you a percentage of your loan balance. That's usually around 2%,” he said. “Second, they can charge you a flat fee. Or third — and worst of all — they can actually charge you all the interest you're saving by paying early.” “You don't have to think so big. You can also pay off your loan early by nibbling away at it every month.”

"Credit card companies make more money when the minimum payment is lower, so more money goes towards the interest rate and less towards the principal," "Every credit card company is mandated by law to give you the credit card agreement," "When you pay late, credit card companies can hit you with higher interest rates that won't drop,"

“The downside to prepaid cards is that they have fees for activating and transferring money on to them,” he said. “Generally speaking, they are good to have available as a backup option if you are intending to use cash for your purchases.” “But a secured credit card actually builds your credit,” he said. “Of course, you have to make timely payments, but it’s like a set of training wheels for your financial bicycle.”

“Bankruptcy filings are increasing because three costly factors have converged. First, inflation may not be rising as fast as before, but it's not going down either. The longer inflation persists, the weaker Americans' finances become,” “Second, student loan payments that were frozen for three and a half years were unfrozen in October, meaning 45 million people suddenly owe hundreds of dollars a month. Third, with credit card interest rates at record levels (an average of 25%) it is no longer possible to use plastic to fill income gaps.” "Most of your credit score is determined by a simple measurement called 'payment history.' All that means is: 'Do you pay your bills on time?' ”

"You'll need to look over your budget — if you already have debt, you will need to be prepared to take on the additional debt of a mortgage, explains Howard Dvorkin, CPA and chairman of Debt.com. You will also want to monitor your credit score, which will help you secure a mortgage loan, and educate yourself on the overall costs of homeownership. This will include insurance, property taxes, utilities and maintenance."

“Extended warranties are intentionally confusing and limiting,” he explains. “If that washing machine breaks? It might be chalked up to ‘regular wear and tear,’ which is rarely covered.” If extended warranties were such great deals, he reasons, why do salespeople push them so hard? “Obviously, they’re cash cows for everyone but you.”