When we hear someone begin to speak on financial literacy many of us immediately ponder our brains on our own financial literacy and blueprint. Thoughts pop up in your brain such as: “What’s my credit score?”, “When’s the last time I checked Credit Karma?”, “My savings account is a little low.”, “Time to start bringing my lunch to work!” Yes, that last example was a personal one for me! But I’ve always realized how much money I could save by bringing lunch to work every month while budgeting my monthly finances! That money I could be saving could be going towards clearing a debt that could improve my financial blueprint! Which brings me to the fact of how important it is to budget, control, and educate yourself when it comes to your finances.
Now, I’m not saying it’s an easy thing to do, especially if you’ve already made a couple of mistakes that have affected your credit! But never fear, there are tons of resources for an average Joe or Jane to utilize to make steps to fix their credit and gain financial freedom! First things first, get a tablet, notebook, or anything you can write down and keep track of your finances in or on. You’re going to want to put down all the income you see and then put down all your expenses! This is a great way to see where your money is being spent and where you can make adjustments to add to your savings and/or pay off some of your outstanding debt.
A great way to see where you stand with your outstanding debt and current accounts is getting your yearly free credit report and signing up with a good credit monitoring service! Personally, I use Credit Karma, but beware I have heard that it’s not your real credit score or FICO score but an estimate or a close roundabout of it! But it’s still a nice way to see what’s being added, dropped, changed, and etc. It’s also a plus for those who can’t afford companies who help “erase” or “fix” your credit. Just a voice of caution, I’ve met many people who have had their credit improved greatly by these companies and I’ve met some people who were totally scammed or put in more debt because they couldn’t keep up with payments! The biggest suggestion I would give is to research the company before committing to choosing them to help on your journey to clean debt and financial freedom!
Researching the companies aren't the only thing you should consider researching on this journey! Researching credit cards, loans, paperwork for big purchases, and/or anything that could affect your credit negative or positive is a very imperative thing! I always tell my friends when they go to get loans to check on their APR rate, the length of the loan, and any penalties such as late fees, as well! Getting a loan can be a positive, it can help boost your credit score by being a positive impact on it, especially if you’re making payments on time and have it open long enough! But loans can also hurt you as well, if you don’t pay on time and don’t do your research.
At the end of the day, taking control of your credit and finances is more important than some make it seem! You don’t want to lose out on that dream job, dream car, dream house, or just a comfortable lifestyle just because you didn’t understand or take your finances seriously! I’ve given you a couple of tips to help in your financial freedom journey! Those tips where to RESEARCH, find a way to monitor your credit, stay on top of charge offs and make payments on time, and be careful when opening lines of credit such as credit cards and loans! Remember it’s never too late to change and better your financial state! Prosperity and financial freedom to you all!