One Simple Way to Build Credit and Save Money
Part of living a Simply Frugal Life is keeping debt to a minimum. Credit can be a double edged sword. It’s important to have good credit when it’s time to buy a car or house. It’s hard to establish credit without establishing debt. Here is a great way to either establish credit or rebuild damaged credit without adding debt.
Self Lender has a program called a “Credit Builder Loan” and here are the details:
A credit builder loan is a small loan that’s held in a CD account for 12 months. The account is FDIC insured, earns 0.10% APY† interest and is deposited in your name during the term.
The credit builder loan is designed to help you save money and establish a credit history in a safe, responsible way.
The credit builder loan offered inside Self Lender works like this:
- Self Lender’s banking partner lends you money that is deposited in an FDIC insured, certificate of deposit bank account (“CD account”) for 12 months.
- Next, you make 12 equal payments ($97.00) over the course of your term to repay the credit builder loan. Payment history is reported to the credit bureaus each month.
- At the end of the term, you’ve paid off your loan and your CD has matured (and earned interest!). Plus, you’ve demonstrated months of payment history to the credit bureaus.
There is a $12.00 Administrative Fee to set up the loan and you are paying interest (10.57%). It’s a low cost option for limited or damaged credit.
At the end of the loan term, you have $1100 plus interest. Not only are you building your credit, but you have just established an emergency fund!
Are you ready to get started? Sign up HERE !
Now you’re one step closer to living the Simple Life you desire.
Please note that this post may contain affiliate or referral links
A Simple How To That Will Pay Off Your Loan Quicker
If you get paid on a bi-weekly basis (every two weeks) I’m sure you’ve planned your budget around two paychecks each month. There are actually two months during the year when you will receive three paychecks. It’s like having a paycheck not earmarked for anything. In our Simply Frugal Life, every dollar has its place. Here is a suggestion that will allow you to pay off your car loan several months early. You’ll be making extra payments that won’t seem like extra payments.
Let’s assume that you have a $15,000 car loan. The rate is 3.9% and the term is 48 months. That would give you a monthly payment of about $340.00. When planning your budget, put aside $170.00 from each paycheck towards your car payment. Let’s assume that you make a $170.00 payment every two weeks. When you first start doing this, make sure that your second of the two payments is before the due date of your monthly payment. This will ensure that your payment is on time each month. It will also avoid unnecessary late fees and interest accrual. Continue making your $170.00 payment every two weeks. At the end of the year, you have made an extra full monthly payment. All without making any other adjustments to your monthly budget. So, what does this mean? You will pay off your loan in 44 months instead of 48 months and save yourself $116.00 in interest.
We’ve found a quick and easy way to pay off your car loan early without making any adjustments to your budget. Now, let’s take a look at the biggest mistakes people make when taking out a car loan. Continue reading A Simple How To That Will Pay Off Your Loan Quicker
How to Make an Awesome Herb Garden in 10 Minutes
Container gardening is a quick and easy way to experiment with your green thumb. I love my bright, colorful flowers as a decorative element. I also think container gardens can be functional. An Herb Garden is a great fit. Once I had my supplies, it took less than 10 minutes to put my Herb Garden together.
Pick Your Container
Just about any type of container will work as long as it drains well. Be creative with your container choice so that it fits with your style. Terra-cotta pots are a popular choice because have a natural wicking ability. Anything will work well if it has enough holes and it drains well.
Choose the right size container. A container that is too small will cause your plants to get root bound. A container that is too big will cause the plants to spend all their time on root production. Start with the right size container and remember as the plants grow, you wIll be using the herbs. If the herbs start to outgrow the container, you can create additional Herb Gardens with the growth or transplant the Herbs to a larger container. Continue reading How to Make an Awesome Herb Garden in 10 Minutes
5 Simple Ways to Save for an Emergency Fund
There’s nothing worse than having a financial emergency come up and not knowing how you’re going to pay for it. More often then not, you’ll end up paying for your emergency using a credit card or taking out a loan. These options always cost more in the long run due to the interest that you’ll be paying. Part of living a frugal lifestyle is eliminating waste and unnecessary expenses. That interest would definitely qualify as an unnecessary expense that can be eliminated by some planning ahead.
Throw your change in a jar at the end of the day
Most of us come home at the end of the day with some loose change in our pockets. Set up a jar that is in a convenient place and simply deposit your change in the jar when you get home. You’ll be shocked how quickly it adds up. Don’t be surprised if you have a couple hundred dollars or more at the end of a year. Continue reading 5 Simple Ways to Save for an Emergency Fund