Since April is Financial Literacy Month I’ve invited a few folks to share their blogs with my readers throughout the month.
How many of us have seen those makeover shows on cable and wished we could have a financial makeover? Well, here’s your chance! This article on making over your financial life is a great place to start. It covers some simple, but important, tips to help you take control of your financial life.
Don’t forget to purchase a copy of Money Matters: The Get It Done in 1 Minute Workbook at a 25% discount (use code XS8K4YGX). Spread the word that financial literacy is power! Buy a book for a friend and a relative.
Since April is Financial Literacy Month I’ve invited a few folks to share their blogs with my readers throughout the month.
I love working with youth around financial literacy. To remind us that personal finance is not all series business here are 50 games that you can play with your child to help them understand financial literacy.
Don’t forget to purchase a copy of Money Matters: The Get It Done in 1 Minute Workbook at a 25% discount (use code XS8K4YGX). Spread the word that financial literacy is power! Buy a book for a friend and a relative.
In case you missed me on Black Authors Network’s Financial Wellness and Awareness Discussion, here it is. My portion begins at the 1.5 hour mark. I was featured for about 45 minutes.
There were two other authors, Ash Cash and Jennifer Mathews, featured on the show as well. I believe all our books can be found online at Amazon.com.
Want to hear more radio shows featuring Shay? Visit Bigger Than Your Block and catch me on the Terryl Ebony Show, the Hollis Chapman Show, and the Cheap Cheetah Show (twice!).
There are 3 credit reporting agencies Experian, TransUnion, and Equifax and each of them has a credit file on you. These agencies pay very smart people to create complex algorithms to help lenders decide whether to extend you credit or not. These algorithms do NOT take into account your:
– Age
– Gender
– Income
There are 5 things that are weighted very heavily that go into determining your credit scores and they are completely under your control:
Bill payment history – Lenders are able to look at your credit report and see what accounts you have, debt amounts, and how often you have been 30 days, 60 days, and more than 90 days late. They can also see when your debts have been written off or transferred to a collection agency. If your bills aren’t paid on time it’s your fault and those notations will be taken into account.
Debt ratio – how much credit you are able to access divided by how much credit you have used. Lenders would like to see under 30% utilization.
Length of credit – The longer you have used credit, the more accurate the scores will be. Be strategic when choosing credit cards, store cards, loans, etc. Opening and closing accounts both take a toll on your score.
Types of credit – Lenders would like to see a good mix of types of credit. The two main types of credit are installment accounts and revolving accounts. Installment accounts are loans that the payment will be the same every month because both you and the lender have agreed on the terms of the loan. Examples of installment loans are mortgages and car loans. Revolving accounts are loans that vary from month to month depending your usage. Examples of revolving accounts are credit cards and store cards.
Hard inquiries – Every time you apply for credit cards, store cards, cell phones, etc. a “hard” inquiry is noted on your credit reports. Get enough hard inquiries and it will lower your score. You can look at your credit report, a “soft” inquiry, all day long and it won’t change your credit report scores.
Manage these 5 areas and your credit score will improve which will save you money on everything from loan interest rates to deposits for your utilities. To read more about how you can better manage your credit score buy Money Matters: The Get It Done in 1 Minute Workbook.
Bigger Than Your Block 