Brainy Loans
5 Strategies for Creating Your Own Financial Luck.
1. How enhancing your credit score can grow your wealth
Having an excellent credit score won’t automatically make you wealthy, but having a great credit score can help you save money. To increase your wealth, you can either make more money or save the money you currently have, and with a good credit score, you can increase your chances of doing so.
A good credit score can help you save money by allowing you to borrow money at a lower interest rate, earn better rewards on your credit card, make lenders compete for your business, and pay less for insurance.
If you’re like most people, you have some loans helping you pay for things, but imagine having the same loans with a fraction of the cost that you’re paying now because you have top-tier credit. Some people can save thousands of dollars over the life of their loans.
You are able to improve your credit score by doing things such as paying bills on time, lowering your credit utilization, keeping old accounts active, removing false information from your report, and limiting your credit application.
2. Negotiating a better deal.
Most companies will compete to earn your business, but they don’t always make it obvious. Regardless of the company you’re working with, they will try their best to earn new business and hold onto the business they already have.
You need to switch your mindset and hunt for better deals, which can help you save thousands of dollars annually. This may feel uncomfortable at first, but it can really help many individuals find better financial solutions.
When applying for a new service, be sure to get estimates from a couple of different companies that offer similar products to see which one is cheaper. If you are currently signed up with a service, call them back and see if they have any promotions currently going on that can help you save some money.
For recurring services like insurance, be sure to compare the quotes you currently have with different companies because they might have a new customer promotion. Another way to get a better deal is to wait for stores to have sales, and with the internet, you are able to sign up for newsletters that can give you discount codes.
To summarize, there are many products and services that are negotiable, and you can accomplish this with just a few phone calls.
3. Automate your savings.
Businesses make it very easy for us to spend our money with them, but not all of them truly care about your financial freedom. A good way to help your savings grow is to set up an automatic savings account that will take a percentage of your paycheck and deposit it into a separate account, helping your savings grow.
Putting aside a percentage of your savings will help you save money without thinking about it or being tempted to spend the money, helping many individuals grow their savings exponentially. To set this up, you can either manually deposit the money into that account, ask your employer to set it up for you, or even have your bank set it up automatically for you, streamlining your savings process.
4. Utilize Rewards.
If you use your debit card to pay for bills, groceries, or any other daily expenses, you are losing potential money. With a vast array of credit cards available, you are able to receive either cash back or points for every expense you have.
Finding a credit card with a good rewards system can help you make money for every purchase. By switching to your credit card for all your expenses, you can build points or get cash back on every expense.
This might not make you rich, but it can help you earn extra money that you can use for other expenses. Additionally, using a credit card provides an extra layer of protection in case your bank card is stolen or misplaced.
5. Consolidate your debt.
Having high-interest debt can cost you thousands early on and make it hard to get out of debt. By getting a lower-interest debt consolidation loan, which will combine multiple high-interest credit card debts into one single, more manageable payment, you can not only save thousands but also pay off your debt faster.
Consolidating your debt can help you decrease not only the interest you’re paying on your current loan but also lower the monthly payments you’re making on that debt. This might not be for everyone, but it’s a great way to increase your financial luck.
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