The year is about to end once again. Have you made your financial resolutions for the New Year? If you’re a student, it’s never too late to begin. Consider the following resolutions that you can work on to avoid bad credit and keep your personal finance in great shape.
Avoid holiday debt. It would be great to start the year without unpaid debts. If you’re planning to use your student credit card to buy Christmas gifts, see to it that you will be able to pay back your balance in full and on time.
Be a smarter cardholder. Do you pay your credit card charges on time or are you frequently late with your payments? Do you often max out your limit? Are you guilty of exceeding your credit limit sometimes? Keep in mind that how you manage your student credit card account directly affects your personal credit history and score.
Open a savings account. If you have not done so, open your own savings account from a reputable bank and contribute to this account as much as you can. When you graduate, having your own savings will be a huge help especially during the period of job-hunting.
Create a personal spending plan. Do you follow a monthly budget plan? Doing so will help you to keep your finances in order and avoid overspending. Set a budget for each of your expenses such as food, transportation allowance, entertainment, and school needs.
Build up your personal savings. Do you have a personal emergency fund? Set aside a portion of your daily allowance to build up your own savings. This way, you can have money to spend when unexpected expenses arise.
Control your spending. Find ways to minimize your spending for the year. For example, if you used to go to the movies every week, you may try to find other less-expensive ways to unwind. If you often bring your credit card on night outs with friends, it would be wiser to leave it at home and bring an exact amount of cash to avoid splurges.
Pay off your student loans. You don’t need to wait until college graduation before paying off your student loans. You can start paying off the interest rate of your student loan today using your personal earnings from part time jobs.
Get a job. Look for a job during spring breaks and school vacations. If applicable, you can also do a part-time job even while attending classes. Be sure to set aside a portion of your earnings to your savings account or personal emergency fund.
Financially empower yourself. If you have not yet given your personal finances serious thoughts, it’s never too early to start. Read books about personal financial management or do research on investments. Learn from other people’s experiences. Educating yourself will enable you to make better financial decisions today and in the future.
Top Christmas Articles: