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The College Wallet: Debit, Credit, Cash and Digital

LendKey

In Managing MoneyLendKey

Convenience, fraud risk, security, and your credit score are just a few of the factors to consider when deciding which payment method is best for any given situation. Which is the best payment method for your college wallet? The answer to these questions, of course, is “It depends.” Debit cards With plastic card fraud as rampant as it is these days, it’s hard to recommend using debit cards at the point of sale (POS). The Target data breach shows that plastic cards with magnetic stripes are vulnerable to compromise. A debit card is tied directly to your bank account, and …

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Getting Out of Debt & Living Debt-Free

LendKey

In Managing MoneyLendKey

Here at LendKey, we talk a lot about how to take control of your finances and get out of debt so you can enjoy a bright and secure future. However, we have noticed that many graduates don’t really understand how dramatically their lives will change as a result of being debt-free. You see, for many graduates, debt is a fact of life. They acknowledge that money put towards their student loans and credit cards each month prevents them from traveling, dining out, saving, and shopping as much as they’d like – but it’s also something they’ve learned to deal with. …

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Rule of 72: What Every College Student Needs to Learn

LendKey

In Managing MoneyLendKey

Getting a handle on personal finances always feels more complicated than it really is, especially for college students. That’s because many students get intimidated by a subject that they are not familiar with. However, when it comes to money what you don’t know CAN hurt you. College is great because it exposes students to a wide variety of subjects and materials, but after graduation many students forget much of the details as they progress into their life. This sets poor learning precedence, as there are certain subjects that teach lessons worthy of a lifetime. Learning about how money works is …

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Saving For Your First Down Payment

LendKey

In Managing MoneyLendKey

Buying your first home is a terrific investment that will build your wealth over time. But before you dive head first into real estate, it’s important to be aware of the complexities and costs associated with this process, so you’re not caught off-guard. While the majority of your home will be paid for with a mortgage loan, you’ll also need to save a substantial sum of money for your down payment – a one-time cash payment that you’ll provide at closing. Mortgage lenders require buyers to make down payments because they offer an incentive to keep your home out of …

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Calculate Your New Year’s Budget

LendKey

In Managing MoneyLendKey

Happy New Year! Now that 2016 is officially in full swing, it’s time to talk about the most important resolution you’ll ever make: to get your finances in the best shape possible in the coming year. Even if you fail to keep any of your other resolutions, it’s critical that you keep this one – because strong financial health is one thing that will continue to benefit you for years to come. Here’s how to get started: 1. Collect all of your expenses. Gather all of your credit card statements and monthly bills to get an idea of where your …

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Student Loans: 4 Considerations Before Getting Married

LendKey

In Managing MoneyLendKey

Jumping from single life into marriage is a big change: you combine everything with your spouse, from music collections to money. Adding student loans to the mix inevitably makes things more complicated. If you’re getting ready to get married — or are simply thinking about future possibilities — here are four things to consider about marrying someone with student loan debt. 1. How Much Debt You’re Bringing to the Table Long before you consider sharing the rest of your life, it is essential to talk about your student loan debt. If you haven’t yet, but are thinking about getting married …

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5 End of the Year Financial To-Dos

LendKey

In Managing MoneyLendKey

The end of each year is a time for wrapping up loose ends and preparing for a new year. Getting your finances in order should be a priority for college students and recent graduates. The following are five items that should be on your year-end financial to-do list. 1. Donate to Charity Making a charitable donation before the end of the year can easily boost your deductions on your 2014 tax return. You can donate anything from money or clothing to stocks or bonds. Make sure to get a written receipt from the organization for your records. 2. Consider Refinancing …

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How Soft & Hard Credit Inquiries Affect Credit Score

LendKey

In Managing MoneyLendKey

There are two kinds of inquiries into your credit report: hard inquiries and soft inquiries. Both involve someone viewing your credit report, but they don’t both affect your credit score. In today’s article, you’ll learn the difference between these two types of inquiries and the impact they have on your credit. What is a soft inquiry? A soft inquiry can happen without your permission and occurs when a person or company checks your credit report as part of a background check. Examples of soft inquiries include when: You check your own credit report. Lenders pre-approve you for credit cards and …

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3 Steps for Dealing with Student Debt if You Did Not Graduate

LendKey

In Managing MoneyLendKey

Life can get tough when you have student loan debt, but no degree. You don’t get any of the benefits or financial promise that comes with finishing college – but you still have debt that needs to be dealt with. What’s more, recent reports show that a whopping 62 percent of people who defaulted on their student loans in 2009 had no degree, which makes a lot of sense. People with college degrees earn substantially more than those without, so your bank account will probably take a hit if you invest money in a degree that you never earn. The …

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How The 3 Worst Money Mistakes Can Cost You Thousands

LendKey

In Managing MoneyLendKey

Everyone knows money mistakes can be costly, but there are some mistakes that can cost a lot more than others. For example, failing to fully save for your children’s education might make it more expensive for them, but it’s not really painful for you. However, being late on your own debt payments can really hurt. Here’s how some of the worst money mistakes can end up costing thousands, or even more. 1. Failing To Repay Student Loans The absolute worst money mistake anyone can make is failing to repay their student loan debt. If you don’t make car payments, the bank …

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Are Income-Driven Repayment Plans Right for Me?

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In Managing MoneyLendKey

Income-driven repayment plans exist to help borrowers who are having trouble making payments on their federal student loans. And while they come with a number of benefits – including loan forgiveness after 20 to 25 years and lower monthly payments – they aren’t right for everyone. There are some cases when income-driven repayment plans will be in your best interest, but there are also some cases when it’s better to stick with your existing plan. With that said, here are the three key benefits of income-driven repayment plans, along with a few tradeoffs to keep in mind when making your …

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Organizing and Maintaining Your Daily Finances

LendKey

In Managing MoneyLendKey

After high school, your personal finances become complex. Then, after college, they become even more complex. With each additional milestone in life, your personal finances become more challenging to deal with – simply because there is more and more “stuff” to keep track of. When you’re in high school, you might have a job and some spending money. This means a checking and savings account. Get to college; add in some student loan debt. After graduation, you get your first job, and now you likely start having investments, such as a 401k or 403b. Furthermore, you’re going to have more …