It’s a Lie. Seven Myths That Will Cost You Tons of Money

Credit score. This figure can be quite nerve-racking, especially if you fall in the lower category. Even more frustrating is when you try and improve your score. You clear your student loan, and your score remains stagnant. You lower your utilization ratio, and still nothing happens.

With such frustrations, it’s no surprise that there is a rise in misleading myths and misconceptions on how to improve or build your credit. You might have been a victim of this misguided pieces of information, but this article will debunk most of them.

  1. Build Your Credit Score with Credit Card Balance

It will cost you quite an amount if a small balance is transferred from one month to the next. However, according to NerdWallet, 2 out of 5 Americans believe that credit card balance can improve their scores. Another 1 out of 5 people believes it’s harmful to your score. Though.

These thoughts can be traced to the misunderstood tip that advises people to use their credit to get impressive credit scores instead of not using the card. Credit card companies will report your card balance to the reporting agencies at least once every month.

It’s better to use up the credit on various utilities to enjoy the benefits of an improved score. Going into a new month with balances on your credit card will only cost you money since it accrues interest.

  1. You Only Need Credit When You Want to Take Out a Loan

Getting a mortgage, a credit card or other type of loans depends on your credit score. The higher the score the better loan terms you’ll get. A good score can also get you a better cell phone service, your dream apartment, and even the type of car insurance you get.

NerdWallet conducted a survey and found out that 1 out of 4 Americans have no clue on how a poor credit can hinder someone from getting an apartment or limit their cell phone service options. Most of the time, people with a bad credit will have to contend with sky-high options.

In addition, another survey showed that at least 50 percent of Americans have no idea that their car insurance depends on their credit. With a bad credit, you will have to settle for the expensive terms on everything. Therefore, it’s important to get a hold of your credit report to know where you stand.

  1. Everyone Starts with a Stellar Score

Did you know that at least 1 out of 10 Americans believe they start life with a stellar credit score? They also think that their failures are what brings down the scores. However, that is false. On the contrary, credit scores start from scratch. You have to build your score upwards.

How can one get a stellar credit? Five elements will go into constituting your score:

  • Your credit history
  • Credit utilization
  • Payment history
  • New credit
  • Types of credit

If you are trying to build a score or repair it, you need to pay attention to number 2 and 3 since they have the biggest impact.

  1. Don’t Apply for a Credit Card

Many people have bought into the false and misleading myth that credit cards will work against you. They say that you’ll only pile up debt you can’t pay up. While it’s true some people don’t have the discipline to take care of their credit appetite, there’s a good number that can handle credit cards.

In fact, if you are responsible, you can use your credit card to build a stellar credit history. Debit and prepaid cards, however, have no effect on your credit history.

If you consider yourself responsible and disciplined, you can get a credit card to help you build or establish a credit history.

  1. Don’t Get Too Many Credit Cards

Sometimes this is true, but only if you think you’ll forget about others, pile up too many debts, or you’ll get overwhelmed. If this is the case, then it’s better to stick with a single card.

On the other hand, if you are financially responsible and organized, then you can go for multiple cards. However, it’s recommended that you hunt for cards with favorable terms and those that suit your lifestyle.

  1. Don’t Increase Your Credit Card Limit

If your lender offers you the same day cash loan to increase your limit, turn it down, run, and never look back. They are trying to get you into more debt. This is incorrect. The only person who should be worried about is the one with irresponsible financial behaviors.

One of the elements that contribute to your FICO score is credit utilization, which takes up about 30% of the overall score. More debts mean a lower score. An ideal ratio should be lower than 30%. Let’s take a look at a practical example:

If the limit is capped at $5,000 on your credit card and you have a debt of $2,000, your utilization ratio will stand at 40%.

If you increase your limit to $7,000 with your debt level remaining the same, at $2,000, the ratio will drop to 28% which is a good score.

  1. My Credit Score Will Take a Hit If I Open a Credit Card

It will take a hit, but only by a few points, about 5. Let’s say you have a score above 700— you can see the score will remain in the safe zone.

If you fall between 500 to 600, double your efforts in building your score. Besides, you won’t qualify for a credit card with favorable terms.

Anne

I'm a mother of 2 who likes to get involved in too much! Besides writing here I started a non-profit, I'm on the PTO board, very active in my community and volunteer in the school. I enjoy music, reading, cooking, traveling and spending time with my family. We just adopted our 3rd cat and love them all!

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Sole Traders – How To Avoid An Urgent Cash Situation

Striking out as a sole trader can be incredibly exciting. The world is your oyster, so to speak – you’ve got free reign over which clients you choose to take on, you’re the master of your business’s destiny, and you don’t have a boss breathing down your neck asking you incessantly about deadlines. You manage your own fate, and that can be thrilling and liberating in equal measure.

Thing is, though, sometimes being a sole trader isn’t all that. When the money worries start to pile up, the client base is looking a little thin, and the market you chose to enter isn’t doing so good, you can start to panic a little. It might look for a while as though that dream you embarked on wasn’t such a great idea after all. Well, we’re here to tell you that there are plenty of ways to both avoid this and to tackle it if it does happen. Here are some ways you can avoid an urgent cash situation if you’re a sole trader.

Take on a guarantor loan 

We’ve all been there; we might not have the most positive credit rating in the world, and we’re not able to secure a loan easily. Even if you’re the head of a successful sole trading empire or your very own business, this can still rear its ugly head at the worst possible moment. With that in mind, it might be a good idea to secure yourself a reliable guarantor. A guarantor could be anyone with a positive credit rating in your life, be they a family member, a close friend or anyone. Bear in mind that your guarantor is going to bear the brunt of your debt if you can’t pay, so it should be someone you trust, but it’s an excellent way to get hold of some cash in a pinch to help your sole trading career through a tight spot. Check out TrustTwo guarantor loans for a great place to get started.

Make and keep to a plan 

Depending on the nature of your business, you should know when your high points and low points are going to come. If you make and sell handmade gifts and adornments, for example, you should know that your critical sales points will probably be around major holidays, while the summer might be a bit of a lull for you. With this in mind, you should prepare more for the moments where you’re going to be doing less business; if you’ve got excess funds during those months, then the sting of not doing quite as much business or pulling in quite as many clients won’t hurt as much. There are many ways to do this, and they’ll vary depending on the nature of your business, but there’s always a way to plan ahead.

Know your business inside and out 

As a sole trader, you’re expected to keep track of every aspect of your business, from stock control to accounting to administration and everything in between. Nobody said striking out on your own was easy, right? You can save a surprising amount of money simply by knowing every aspect of your business inside-out. Take regular stock of your inventory, and don’t let yourself be caught out by orders you thought you could fulfil when you actually can’t. Complete tax self-assessment forms regularly and on time and you won’t be blindsided by an unexpected bill when you need it least. Keep a running tally of all the clients you take on and whether you’re owed money; it can sometimes be a point of contention for sole traders when clients don’t pay invoices, so make sure you’re collecting. All of these are small points, but they’ll add up and stop you from being surprised by forking out cash you shouldn’t have to fork out.

Think about your expenses 

When you’re a sole trader, you need to make sure you look after every single penny. One of the best ways to do this is to tighten the purse strings when it comes to expenses, if you can. Let’s say you’re a peripatetic music teacher. If you’re running a car, perhaps it might be a good idea to see if you can switch to public transport. It might take longer to travel, and you’ll definitely be less comfortable, but the money you save in the process will be well worth the downgrade. If you’re a craftsperson, perhaps your materials are costing a little too much and you could source them from less costly places. If you’re a writer or blogger, you might be able to trade in your powerful laptop for something a little less flashy, making some money into the bargain. Look at where you can make money on your current assets and expenses and you’ll be onto a winner.

Anne

I'm a mother of 2 who likes to get involved in too much! Besides writing here I started a non-profit, I'm on the PTO board, very active in my community and volunteer in the school. I enjoy music, reading, cooking, traveling and spending time with my family. We just adopted our 3rd cat and love them all!

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Unique and creative Gift Ideas for those who are close to your heart

Everyone knows the importance of traditional festivals in life. There is a list of religious occasions on which we find time to spend with our close family and friends. It gives us a great time to strengthen the bond of closeness with them. Diwali festival is also famous for spreading happiness and joyous moments in a unique style. We get a chance to dedicate some beautiful Diwali gifts to our close ones. It helps to create some remarkable memories of the religious festival every year. People also start shopping to buy some unique Diwali gifts to send best wishes a week before the festival. They also want to give unique gifts to their family and friends.

Here are some ideas to choose unique Diwali gifts for your close family members.

A Beautiful Tea Set:

As we know that Diwali is the best time to dedicate something special to our close ones. Women are fond of decorating their kitchen with some unique crockeries. You can choose a designer tea set to gift your mom on Diwali festival. She will appreciate a beautiful floral tea set from your side. Your mother will love to use such a pretty tea set on her tea events. It would help to make her feel special on this memorable day.

Stationary and Book Drawer Set:

There are some people in the family, who are fond of reading in their free time. They also like to store new novels and famous books in their reading room. You can gift some stationery items and book drawer set to make them happy on this day. It will be helpful for everyone to spend their quality time reading thoughtful books. Your children also get knowledge from your book collection. It will be a fantastic Diwali gift for everyone in your family. Your grandparents will also appreciate such a thoughtful gift on this memorable day.

Make a Large Photo Frame:

Everyone loves to decorate their home with some essential items which resemble closeness of the family members. If you want to dedicate something special for your family, then you can make a large photo frame on Diwali celebration. Try to create a beautiful photo frame of all family members as a memory of the day. You can choose the best cherished moments together with family to make a photo frame. Everyone will appreciate your idea of making such a fantastic Diwali gift for the family. It will be a perfect gift to strengthen the bond of closeness with all members.

Cake for Sweet Moments:

We need some delicious sweets to enjoy any memorable occasion with family members. A cake can be perfect to commemorate your special day with full of joyous moments. You can prepare or order cake online for the grand celebration at home. Make a theme cake to represent the bonding of your family. You can also arrange a photo cake to make everyone feel special on this day. Enjoy the delicious bites of the cake after performing Diwali Pooja in the evening. It will be an ideal food gift for everyone present in the family.

 

Anne

I'm a mother of 2 who likes to get involved in too much! Besides writing here I started a non-profit, I'm on the PTO board, very active in my community and volunteer in the school. I enjoy music, reading, cooking, traveling and spending time with my family. We just adopted our 3rd cat and love them all!

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Simple Tricks You Can Use to Decrease Your Chance of Reoccurring UTIs

UTI infections can be both uncomfortable and painful. While antibiotics can effectively clear up an infection, they become less effective the more you use them. If you deal with recurring UTIs, standard antibiotics may no longer be a viable treatment option, in which case you may require long-term, low-dose antibiotics. You can prevent the need for antibiotics entirely by taking simple daily measures to maintain optimal urinary tract health, such as adding a UTI prevention medicine to your daily vitamin regime. Below are a few other ways in which you can keep chronic UTIs at bay.

 

Stay Hydrated 

The number one way in which you can prevent UTIs is by staying hydrated. UTIs occur when harmful bacteria is given the opportunity to settle into your urinary tract. If you’re well hydrated, you can flush out the bad bacteria before it has a chance to implant itself and wreak havoc. In addition to drinking water, you should also add all-natural cranberry juice and a preventative drink to your diet.

 

Wash Up Before and After Sex 

Most women know to urinate and wash up after sex to rid the body of foreign and potentially harmful bacteria, but most don’t know to wash up before sex as well. Washing your vaginal region with soap and water before sex can rid the groin of any harmful bacteria that could make its way into the urethra during intercourse.

 

Wipe From Front To Back  

UTIs are often the result of E. coli bacteria that has spread to the urethra. E. coli often lives in the intestines, which means that when a person defecates, there is a very real chance that the feces will contain the virus. If you wipe from back to front, especially after a bowel movement, you risk spreading E. coli to the urethra. You can eliminate this treat by wiping from front to back instead.

 

Take UTI Prevention Medicine 

Give yourself an immunity boost and add preventative supplements and medications to your diet. Some such supplements include cranberry pills, probiotics and vitamin C tablets.

 

If you suffer recurring UTIs, boost your urinary tract health by following the above advice. Contact us to learn more about what you can do to prevent UTIs from complicating your life.

 

 

 

Anne

I'm a mother of 2 who likes to get involved in too much! Besides writing here I started a non-profit, I'm on the PTO board, very active in my community and volunteer in the school. I enjoy music, reading, cooking, traveling and spending time with my family. We just adopted our 3rd cat and love them all!

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Basket Case – Make Laundry Day the Best Day

 

 

Chores. The mere mention of the word is enough to make you shudder and wither up and die a bit, isn’t it? Unfortunately, once we grow up and leave home, chores become as much a part of life as work. There’s no excuse, they just need to be done. Yet everyone has their preferred chores. Some people would rather wash the dishes than vacuum the floor, while others love to dust but can’t abide cleaning the bathroom. Or, perhaps the thought of laundry day turns your stomach? So if doing your clothes washing makes you plain riled up, read on to learn how to avoid becoming a basket case while doing your laundry.

You Need the Right Tools for the Job

Laundry day is like any other chore or task, it becomes easier with the right tools. A pair of good, deep laundry baskets is a great place to start. If you get big enough ones, all your laundry from each load should fit in them, meaning that you can make a trek out to the line in one go instead of going back and forth and wasting time and energy. Make sure to grab good quality baskets too. It can be tempting to go for bargain basement deals but like most cheap products these are inferior and will break before you know it. So spend a bit more and get something that will last a while.

Make it Fun

Laundry can be fun, if you do it right. One hot tip is to listen to some of your favourite music as you work. This can make any mundane task fly right by as you groove out to some classic hits or contemporary beats. If you don’t have a stereo that’s fine, you can just pop in your headphones and the time will pass quickly.

Also, if music’s not your thing you could always catch up with some friends and family over the phone. Again, bust out the headphones and make some calls. You can chat and discuss events in your life while you hang up or fold the washing.

Save Money

It can be tempting to throw every washing load straight in the dryer once it’s done washing, can’t it? While this may give the impression of saving time, it’s actually costing you money. Dryers suck power to create all that heat and motion. If there’s some sun outside then hang out your washing the old fashioned way. If it’s rainy then can you hang them on an indoor clothesline or clothes horse instead? If it’s winter and you already have the heater running the double up on it and hang your clothes near it to dry.

If you absolutely must use the dryer then try to do a few loads in a row, as it will stay hot and use less power as it stays on for multiple loads.

Don’t Let it Pile Up

A common mistake that many people make is letting their laundry pile up until there’s a giant Mount Doom of dirty clothes to clean. This can be overwhelming and make the chore harder than it has to be. So try to make laundry day every two to three days so you save your sanity and it’s a smaller task that is easier to carry out.

All Done!

There you are. Grab a few decent laundry baskets, and pop on some music or make some calls as you work. Save money by hanging clothes outside or indoors and not using your dryer unless you need to. Finally, don’t let it pile up and you’ll have an easier time of it.

 

Anne

I'm a mother of 2 who likes to get involved in too much! Besides writing here I started a non-profit, I'm on the PTO board, very active in my community and volunteer in the school. I enjoy music, reading, cooking, traveling and spending time with my family. We just adopted our 3rd cat and love them all!

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