Avoid the Five Money Mistakes to Grow Money without Investing
Find & Avoid Biggest Money Mistakes: Besides checking out clip coupons, receipts and credit scores, there are other financial consideration and choices that are keep in mind. Here we will discuss on how to make money without investing. Many of us make following five mistakes without knowing.
Not Checking Your Bank Account History:
Generally people check only credit card reports and think that it is enough but credit report does not cover all financial details. ChexSystems is an organized system which keeps eyes on every bounced check or an overdrawn account. If a person denied by a bank to open an account, then there must be something negative in person’s file.
Not Updating Beneficiaries on Accounts and Insurance Policies:
In young age, at the time of opening an account of life insurance or 401(k) or bank account, few people think about beneficiaries. If you left the beneficiary line blank, the state swoops in and claims the assets from your estate initially. Revisit all beneficiary information, accounts when there have a major change of life, like marriage, divorce or the birth of a child and make changes in the name of beneficiary in the name of beneficiary if necessary.
Ignoring Ways to Lower Your Property Insurance:
Some insurance companies make lower premium on homeowner’s insurance who have burglar alarms, a sprinkler system, storm shutters, reinforced storm doors, or such type of fire and smoke detection equipment. Check in car insurance if there is unnecessary collision insurance which increase premium. Collision insurance coverage is waste for old and cheap cars. Regularly check for paying.
Ignoring Your 401(k) or IRA:
IRA or 401(k) is long term account but it does not mean that it should be reviewed in old age only. According to one research, people are getting confused if they have more options to choose. Most of the people treat 401(k) as the forgotten asset. Many investors of retirement are unaware about retirement account benefit. They want quick more returns from their investment which is not possible with 401(k) or IRA. They transfer greater portion of saving to stock market to earn more return but mostly it goes in downstream.
Not Teaching Your Kids about Money:
To teach children about importance of money, open a savings account or checking account of your child at a local bank or credit union. Let them deposit money by themselves and understand the system. Talk with children about credit card, their opportunities, disadvantages, charges, penalties, etc.
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