3 Things You Can Do To Get Your Financial House In Order

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Now that the shine of the new year has worn off, how are your financial resolutions going? Don’t worry if you’re losing steam. Here are three things that can help you get back on financial track.

1. Pay Your Bills on Time

Paying bills late happens for a variety of reasons. Maybe you were laid off at the start of the pandemic. Or perhaps you lost track of how much money you were spending until it was too late.

Sometimes, it’s your memory to blame if you forget a due date.

Focus on the why; it gives you an idea of how to make late payments a thing of the past.

Here are some possible solutions to the problems mentioned above:

1. If the coronavirus is to blame, speak to your creditors about creating a financing plan and search out relief funds.

2. Start a budget to give order to your spending if you tend to overspend.

3. Automate payments so that you don’t forget due dates.

2. Build an Emergency Fund

Having an emergency stash of cash at your beck and call is a powerful financial move. If it’s big enough, you’ll have the means to cover an urgent auto repair, unexpected household expense, or medical bill without taking out cash advance loans.

Financial rule of thumb says to save anywhere between three to six months’ worth of living expenses. This ambitious goal means you’ll also have a safety net if your car breaks down or you need to see a doctor unexpectedly.

Of course, your emergency fund may have a humble beginning, and it may take you a while to reach this benchmark.

If you face an unexpected emergency before you develop a robust fund, you can fall back on a line of credit. An online option like the CC Flow Line of Credit is made for unexpected emergencies when you fall short.

Like any line of credit, a flow line only charges you on the money you borrow. Once you pay it off, you’ll have access to this money the next time you face down trouble, as long as your account remains in good standing. 

3. Focus on Your Credit

If borrowing is in your future, having a good credit score will make your life easier. Whether you plan on taking out a flow line or a mortgage, most lenders will check your score before they grant you funds.

What they see will determine the rates and terms they set.

You can check your credit here for free. If your check reveals you have bad credit, it might be a good idea to postpone borrowing until you can bring up your score. Some cash advance direct lenders may still work with you if you can’t, but you may have to pay higher fees.

Improving your score relies on good money habits like paying your bills on time.

But your payment history is just one of five factors of your credit score:

●        Credit utilization

●        Account mix

●        Account age

●        Frequency of new applications

You’ll have to give all of them some attention to make the biggest impact on your credit. If you’re successful, you may qualify for more affordable rates and terms on the next line of credit.

Are You Ready to Set Good Habits?

You’ll feel a lot more optimistic about your financial future when you get these three habits under your belt.