A checking account is a building block for a successful financial life. Use a checking account to deposit paychecks, pay bills and conduct everyday transactions. More and more banks and credit unions are offering their checking account services in electronic forms. Look here for information about checking account options and what you can do with your money.
Keeping track of your personal finances online or with computer programs like Quicken has become easier. A new Quicken user asks about creating a paper trail to keep his books balanced. Until you're feeling comfortable with the program, download the information into Quicken and also print a copy of the record so you can make sure the download of information has posted correctly.
When you apply for a mortgage loan a lender is going to need to verify that you have a job, what you earn, how much you have saved, what kind of assets you have, and assess what kind of credit risk you're likely to be. If you're going to be shopping around for your mortgage, it's a good idea to make a few complete copies of all the documents, and keep them in a separate mortgage loan file.
Credit cards allow you to borrow up to your credit limit, which usually exceeds the amount of cash in your checking account. You're not actually borrowing real dollars, you're borrowing the credit card company's money. In many cases, banks offer credit cards, so you're borrowing the bank's money. Cash debit cards are a cross between credit cards and checking accounts. You can pay for your goods and services with the cash debit card just as you would a credit card. But instead of borrowing the credit card company's money, the money comes directly from your checking account.
Your credit history and credit score determines the best credit card deals a consumer can get. Lenders treat your credit report and credit history as a running score of your financial life, and use that to decide whether you're worth the risk for a credit card, car loan or mortgage. Clean up your credit score and build a good credit history in order to get the best credit card deals for you.
Interview with Alberto Azpe, President of Hispanic Banking, Harris Bank about the basic accounts you need to have a successful financial life.
Your credit history and credit score greatly impacts what kinds of loans, credit cards and interest rates you are offered. Only a good credit history and credit score will get you the best rates as far as loans, interest and credit cards go. Lenders check your credit history and credit scores and will only offer the best interest rates for loans and credit cards to those with the best credit history and score.