6 Tips to Improve Your Personal Finances in 2021

The beginning of a new year is a time of resolutions. These resolutions do not have to be overwhelming and can offer ways to stress less and have specific goals in mind. If one of your resolutions is to improve your financial wellness this year, the next six tips are for you.
 
#1 - Balance your budget.
The first step to financial well-being is to understand what you spend and what you earn. The Money Management feature in Online and Mobile Banking allows you to track spending and build your budget. With notification features, Money Management can even help you stay on track with your goals. You can also link other accounts and loans you have with other financial institutions into one dashboard view.

#2 - Contribute to savings.
Contribute what makes you comfortable. It may be a small portion of your earnings, but start somewhere! Accounts like a 401(k), IRA, a 529 College Savings Plan, and Traditional Savings Accounts are all great options. A recurring, automatic transfer into a Savings account is a great way to start. If your employer offers a 401(k) match, don’t miss out on that additional savings potential.
 
#3 - Revisit your rates.
Do you know the interest rate on your credit card, vehicle loan, or mortgage? A yearly check-in with your rates can help you save in the long run. If current rates are more favorable for your loans or lines-of-credit, consider things like debt consolidation and re-financing.
 
#4 - Consider balance transfers.
If you have several credit cards with different rates, it may be worth considering a balance transfer. Many financial institutions, including BHFCU, offer special interest rates for external transferred balances, especially in the first quarter. Keep your eye out for these offers!
 
#5 - Confirm subscriptions.
Have you been using that online streaming service or gym membership? Confirm your monthly subscriptions are still worth the investment or research if a more affordable option is available. Think Netflix, Beachbody, and Spotify subscriptions, and cable, internet, and cell phone providers.
 
#6 - Review your credit report.
You can access your credit report for free and without penalty any time in Online and Mobile Banking. Take time to review your credit report and understand what factors are impacting your credit score. The information you find can serve as goals to help boost your score this year.
 

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