USALLIANCE Blog

It should come as no surprise that one of the most popular New Year's resolutions is "to get out of debt."

If getting rid of debt is your personal mission this year, debt consolidation may seem like the perfect solution. But, is it? The answer is... maybe.

Debt consolidation is the term for rolling multiple old debts into a single new one, presumably at a lower interest rate to make payments more manageable, which in turn results in quicker repayment.  Sounds like a good plan - but will it work for you?

If you only have $75, you can't spend $100, right?

Actually, that’s not always the case. When you use your debit card to make a transaction without monitoring how much money you have available, it’s possible to overdraw your bank or credit union account.

The first thing you need to understand is what happens behind the scenes when you make a transaction. Let's break it down:

Flu season is almost here. And each year, I avoid getting a flu shot. The “rational” me knows that it can help but there’s one huge hurdle I can’t seem to get over.

I’m afraid of shots. Terrified that’s it’s going to hurt – a lot. And this fear stops me from doing something that deep down, I know I really should.

Credit cards aren’t on the same level as flu shots but I find I have the same reaction when I think about opening a new card. Fear. Afraid that I will do irreparable damage to the great credit score I’ve worked so hard to achieve. Even though I really would like an alternative to the card I’m currently using. 

They say the best way to deal with fear is to face it head on. So I did some research. And what I found was pleasantly surprising and reassuring, so I decided to take the leap and apply for a new card.

There's nothing worse than hearing "I'm sorry, your card has been declined."

Red shame creeps up your neck while you try to stay calm and offer the cashier an alternate form of payment. You probably are growing anxious, wondering how this could have happened. But take a few deep breaths- there are several potential reasons the transaction didn’t go through.

"The timing was just right." When breaking up with your bank is the move you just have to make.

Flashback to November 5, 2011- the very first Bank Transfer Day- the one day when consumers were closing accounts at the big banks in favor of not-for-profit credit unions. That day 664,000 people made the switch. Since then Bank Transfer Day has become an annual event.

There's no place like home, right?

And right now, that home probably looks like the apartment(s) you’ve been renting over the last few years. The thought of owning your own space has entered your mind before, but you don’t know if you’re ready or able to make that step.

Before even jumping into finances, it’s important you think through your plans for your future and ask yourself some questions about your present and future circumstances.

With most employers, a new job comes with new benefits.

Sometimes this includes a vacation package, health care and a 401(k). Often times, your 401(k) is the one benefit that you’d much rather read later. And before you know it later turns into three years. So before you close your benefits folder and lock it away in your office drawer, get the 4-1-1 on some 401(k) basics. 

You're finally receiving paychecks regularly, kind of like a real, responsible adult.

That’s right, you have a real job, which means you have paychecks arriving straight into your MyLife Checking account from your employer. Thank you, direct deposit. But also, scorn you, direct deposit, because now that money is so easily accessible, it might just burn a hole in your pocket if you’re not careful. So, how do you make sure you don't blow all your hard-earned money on unnecessary goods?

Age might be just a number, but your credit score is a little bit more than just that.

Your credit score (aka three digits that represent your credit files) determines how creditworthy you are and informs lenders on whether to approve you for a loan or credit card. This number is calculated based on multiple factors that hold different weights. Though each reporting agency measures your score a little differently, you’ll likely find these top score-determining factors wherever you look.

What exactly is a data breach?

Let’s start with an example. In 2013 Target announced that nearly 70 million customers’ names, credit card numbers, expiration dates, card verification codes, mailing addresses, and email addresses had been hacked from their credit and debit card devices used during the holiday shopping period.

The 2013 Target incident is the best explanation of exactly what a data breach is — someone hacking into a secure system to steal all of your account information. 

It’s considered to be a modern-day robbery of your cash and savings accounts.