HAVE A CENT$ OF PRIDE
By Twainia Dortch
From the beginning of our childhood education, one of the first things we learn in school is how to add and subtract. How to answer questions like ‘if Tom has 4 oranges and Jill brings him 5 more how many oranges does Tom have?’
Eventually we learn how to multiply and divide, complete fractions and work complicated math problems with Calculus, Trigonometry and the treaded Algebra.
Even if math was not your best subject, you knew how to add and subtract for sure. But then life sets in and we sometimes forget the elementary things in life.
Nothing make me shake my head like having a customer come in my office and ask me why they incurred an NSF fee when after investigating it’s apparent that if you start the month off with $1000 and spend $1200 you WILL end up in the red.
In my experience in the banking world I have met and worked with the very wealthy and the not so wealthy. I can honestly say that no matter how much money you make or have anybody can end up in the red. It’s just simple mathematics.
Here are some simple tips that will not only keep the bank out of your pocket; but in the long run help you have more fulfillment in your life. Not to mention make it run smoother.
1. Write it down! Yes this is so elementary. Yet more individuals would rather use the ‘memory game’...Don’t play this game! You are bound to forget you spent $3.95 at Quick Trip and it could cost you $36.
2. Decide how much is enough. (Pull out what you will need for the week to live: Gas, Lunch, Coffee, misc) Be reasonable and remember have self control. When it’s gone it’s gone until the next week)
3. Pay your bills first. Subtract as you go.
4. Don’t send out what you don’t have. If you see that you DO NOT have the funds to pay something. Don’t! (Call the creditor, make arrangements, cut back, borrow from family or friends, whatever! but don’t sent a check out knowing full well you don’t have the money. It causes more problems in the end.
5. Start over and do the same thing every day! Make it a habit!
Yes there are more things to consider. How do you plan for emergencies? How are you planning your retirement? Will you pay for college, a car or plan a wedding sometime in the near future for your kids?
Have you prepared your family for your untimely death?
Just like going to Elementary school, then High School and eventually College. We will start off slow.
The main thing is to become knowledgeable as a people and stop the cycle.
*NSF..Insufficient Funds fee (the cost of writing bad checks or check card transactions) This charge could be any where from $25-$38 and will stay on your record with the bank.
RED..Negative balance. If unresolved for more than 45 days could result in the account being closed and reported to a credit agency preventing you from opening an account later or getting a loan.
Twainia Dortch
Financial Advisor to the People
