Eaton Family Credit Union News

Spring Cleaning Is For Finances, Too

noreply@blogger.com (Eaton Family Credit Union) — Thu, 03 Mar 2022 16:07:00 +0000

There’s nothing quite like airing out your home from a long winter, scrubbing it down to a sparkly shine, and decluttering the mess that’s piled up. Deep cleans are meant for more than just your house, though. Your finances most likely need some spring cleaning, too.

According to Nerd Wallet, spring is a good time to “conduct a thorough review of your finances and address any neglected areas.” The first and easiest way to conquer that task is by updating your budget, which changes in different areas each year. It’s good to reassess spending habits at least once a year.

Eaton Family Credit Union Chief Financial Officer, Kelly Slocum, notes, "Financial goals can change over time, particularly during pandemic years, so reevaluating them each spring is important. Everything from annual vacations to new jobs should be included in your list of financial goals."

Other ways to clean up your finances this spring include reviewing your insurance coverage, services, and cutting unnecessary subscriptions, updating credit cards based on your spending habits to maximize rewards and incentives, and making sure your mobile app balances (PayPal, Venmo, Cash App) have zero balances to collect interest on cash that is otherwise just sitting there.

Learn the best tips for a thorough financial scrubbing from Money Crashers.

Get rid of old stuff – This one is self-explanatory: Clean your house of all the things you never use anymore and make a little money at the same time. It’s a win-win!
Clean up your paperwork – Move all your paperwork to a digital format, backing important documents up in two separate places, like automated cloud service and an external hard drive, to cut down on unnecessary clutter.
Automate your savings – Bulk up your savings by splitting your direct deposit between your checking and savings accounts. If it’s not there, you won’t miss it. You’ll end up tricking yourself into saving more.
Review your credit reports for errors – You can check your credit report for free with the three main credit bureaus once a year for each. Now is the best time to comb through your reports and make sure there are no errors. Next, sign up for a free credit monitoring service, like Credit Karma.

No matter how or when you comb through your finances, it’s important to do it at least once a year. But why not tie it into annual spring cleaning and knock everything out at once?

How to Save Money Wedding Planning in 2022

noreply@blogger.com (Eaton Family Credit Union) — Tue, 08 Feb 2022 17:17:00 +0000

If you are planning a wedding this year, it could be challenging. With high demand coming from a global pandemic, brides have limited options for everything from wedding dates to food to venues; it’s a true “wedding boom,” according to Brides.

After more than a year of postponed and called-off weddings, the industry has seen an influx of weddings coming back as the world opens up again. As a result, the demand for every aspect of the industry is higher than ever.

Tips for planning a wedding in 2022

Make decisions quickly – With everything from dresses to venues to flowers to food in high demand, be ready to make quick decisions. No one wants to rush these things, but it could prove worse to miss out on the best opportunities. If it seems like it will be a good fit, jump on it.
Prepare for inflated costs – Prices are high with the after-covid boom, so prepare to be open and flexible with vendors as they help you work within your vision and budget.
Hire a wedding planner – Even if it wasn’t in your original plan, now is the time to hire a wedding planner. They have all the insider information, and an experienced wedding planner could be the key to the day of your dreams, even in a very different climate.
Be flexible with dates – Finding a date could be the most challenging part of wedding planning. Be flexible and think outside the box with off-Saturday dates, offseason, and non-traditional event times. You’ll have more options to choose from, plus you could end up saving a bundle.
Consider your guests -- Get your save-the-dates out as soon as possible, giving your guests plenty of time to navigate what is likely an extra busy wedding season.

Planning a wedding this year requires patience and flexibility like never before. No matter how challenging planning a wedding in 2022 can be, staying focused and making quick, sound decisions will be the biggest factor in pulling off your big day. To learn more about how to budget for your upcoming wedding visit a credit union. To find a credit union near you, visit www.YourMoneyFurther.com

Paying Down Credit Card Debt After the Holidays

noreply@blogger.com (Eaton Family Credit Union) — Thu, 13 Jan 2022 19:58:00 +0000

The holidays are officially over, but the debt remains. Overspending happens every year during this time, and once the holiday glow is over, the bills start taking over.

According to Magnify Money’s annual post-holiday survey, 31 percent of consumers took on debt to cover their holiday expenses last year. Of those who did, they spent $1,381 on average, with 56 percent of consumers using credit cards for their purchases.

If you ended up overdoing it a bit around the holidays, it will take some work to get back on track. The most important thing you can do when paying down debt is to stick to your plan. Here are some easily implemented tips to get started from CNBC.

Know your budget – If you don’t have a budget, make one. If you do, revisit it. Make a list of who you owe, how much, and the interest rate for each.
Select a payback method – There are two different schools of thought for paying back debt: The snowball method, in which you start by paying off the lowest amount of debt and then move on to the next lowest and so on; or the avalanche method, which focuses on paying down the debt with the highest interest rate first. There are benefits to each, and you could even mix it up and use a combination of the two.
Automate your payments – Once you decide on your preferred method of payment, automate it. Paying down debt isn’t as fun as saving for a fun vacation, but by automating your payments, it will almost be out of sight, out of mind.
Lower your rate – You can transfer those high balances and expensive rates. When you apply for a Eaton Family Credit Union VISA Credit Card, you’ll receive an introductory rate of 2.90% APR on balance transfers & purchases for 6 months.* After the introductory period, the rates will be 7.15% APR variable for Platinum and 13.90% APR fixed for Classic cards.
Pay more than the minimum - No matter the rate, always pay more than the minimum payment each month. Typically, a minimum payment is only 1% of the total, plus interest. If paying only the minimum on $6,300 (the average amount of household credit card debt in America) with an average interest rate of 16%, it would take 17 years to pay it down, and you’ll end up paying around $7,100 in interest. Doubling the minimum amount each month will result in a little over two years of payments with only $1,100 in interest.

No matter how much debt you incurred over the holidays, make a plan, find the best interest rates, and stay diligent in paying it back.

*Subject to credit approval based on each Member’s credit quality. Rates are subject to change without notice. New cards only, please. Want to know more? Visit your local branch, our website, or call (216) 920 – 2000 to speak with a Member Service Representative.

New Year, New Financial Resolutions

noreply@blogger.com (Eaton Family Credit Union) — Fri, 10 Dec 2021 17:56:00 +0000

With 2021 ending and 2022 right around the corner, now is the time to start making those resolutions for the new year. And what better place to start than with your finances?

Kelly Slocum, Eaton Family Credit Union CEO notes, "While getting financials in order at the beginning of every year is a ritual for most, it doesn’t hurt to keep things fresh with some out-of-the-box resolutions." The average American calls their resolutions quits by the time February rolls around (or never follows through with them in the first place), according to the New York Post. So, a new perspective might just be the ticket to sticking to the financial plans you intend to make.

An article published by Wallet Genius takes a new perspective on classic financial goals with suggestions that include talking to your children and spouse about money, not confusing spending less with saving, considering money as a tool instead of a goal, and even volunteering.

Use these helpful solutions from CNBC to stick to your financial goals throughout the new year and beyond:

Set up autopay for everything: From your utility bills to your rent, automate payments so you never have a late fee. Plus, excellent payment history will be reflected on your credit score. You can also automate money directly from your paycheck to your savings, so you won’t even know you’re missing it while saving at the same time.
Give your budget a makeover: If it’s been a while since you’ve tweaked your budget, take the time to restructure it to fit your most current lifestyle.
Match savings to spending: For one month, try this savings technique that allows you to save as much as you spend. Simply add a dollar to savings for every dollar you spend. Or you could put a cap on it, like saving $5 for each purchase made throughout the month.
Try a “savings spree”: Save the dollar amount of each calendar day for one month. Start by saving $1 on the first of the month, $2 on the second, and so on. You could end up saving around $500 for the month!
Bump up your retirement contribution by 1%: A little goes a long way. Investing a few extra dollars per month into your retirement account could pay out big in the end.

Tips for Sticking to a Holiday Budget

noreply@blogger.com (Eaton Family Credit Union) — Thu, 18 Nov 2021 21:23:00 +0000

With a desire for a much more normal holiday season this year, Americans are set to make it a landmark year for holiday spending.

According to a recent survey from Quantum Metric, 64 percent of the 2,000 United States consumers polled feel this holiday season will be more important and emotional than in years past. With shoppers planning for more meaningful holidays, they are willing to spend more to make it happen. Survey results suggest that many Americans plan to spend $1,000 or more on the 2021 holiday season.

Stores might be back open this year, but online shopping remains the number one way to shop for holiday gifts in the United States. According to the Quantum Metric survey, 62 percent of Americans plan to primarily shop online this holiday season. Results show around the same number of consumers (56 percent) made 75 percent of their holiday purchases online in 2020 as they plan to do in 2021 (54 percent).

Chief Financial Offer of Eaton Family Credit Union, Kelly Slocum notes, "with sales up this year, it’s important to make a holiday budget and stick to it, or the post-holiday season could become a financial struggle." Kelly adds, "Making a list of everything needed, tracking holiday spending, and using cash instead of credit cards are all good ways to stay on top of holiday expenses before they get out of hand."

The holiday season is full of good cheer, but it can also do a number on your wallet. With the holidays approaching, learn how to create and stick to a feasible budget with these tips from The Balance:

Make a list: Always start your budget with a comprehensive list of all holiday-related expenses. From gifts to food to decor to travel expenses, everything you can think of that pertains to the holidays should go on this list.

Decide on a spending limit: And stick to it. Allot an amount for each gift or area of your budget and don’t spend more on it than you have designated.

Track your purchases: Once you have figured out your budget and you’re ready to start buying, be sure to track each purchase you make. That

Don’t rule out Black Friday: Take advantage of all the sales leading up to the holidays, including Black Friday and Cyber Monday. You might find better deals than you were hoping for.

Shop online: Don’t forget to comparison shop online, which will save you time and money. Some of the best deals today are found online. Remember to order your gifts with plenty of time for shipping.

Pick up some extras: Add in a few extra gifts that are generic in nature. That way, you won’t be caught off guard and scrambling (i.e., spending more money than you normally would) if you find yourself needing a last-minute gift.

Buying a Car in 2021

noreply@blogger.com (Eaton Family Credit Union) — Fri, 15 Oct 2021 15:12:00 +0000

The 2021 car market has been tough for those searching for a new or used car. Low dealer inventory, a global microchip shortage, and consumer demand are making it increasingly difficult and expensive to shop for new and used vehicles.

According to Edmunds, used cars are more desirable to customers who either can’t find what they are looking for or want a cheaper option. With lower inventory and spiking demand, dealers have little incentive to offer discounts on any of their cars.

Eaton Family Credit Union Manager of Lending, Deborah Richards, notes, "Although finding the perfect car right now can seem challenging, there are still plenty of ways to get behind the wheel of your new ride. Visiting a lot and purchasing directly from the dealer is the traditional way to buy a car, but there are alternative options now. You can even get pre-approved through a local credit union (such as EFCU) and search for the perfect ride online."

Shopping for cars online is a popular choice, especially now. Most credit unions incorporate car buying services with their memberships, which is a helpful member benefit. But if you want a concierge experience, exploring a door-to-door service, like Carvana, can be appealing. Unfortunately, going through a more convenient option could cost quite a bit more when fees are included. According to The Balance, concierge services typically charge an upfront fee, as well as a percentage of the savings found. These extra fees could cost up to an additional $1,000 so weighing the convenience and investment costs is a smart budgeting practice.

No matter how you buy your new or used car this year, set reasonable expectations for the market we are currently in, keep an open mind, and exercise patience during your search.

Car Buying Tips in 2021

With ultra-low dealer inventory and a global microchip shortage, car buying is a challenge this year. Here are some helpful tips from the experts at Edmunds on the best way to plan ahead:

Research market prices and realign your expectations – The market has changed, and the killer deals of years past just don’t exist right now. Once you know today’s market price, you can shift your expectations, and paying the sticker price for your new car won’t come as such a shock.
Expand your search – If you aren’t satisfied with the selection in your area, broaden your search to neighboring towns and counties. By casting a wider net, you might find a better car or even a better deal.
Be flexible and have a backup – Don’t fixate on one specific car color or brand. If you have narrowed down the model you want, look at equivalent brands and other colors to find the best deal. Also, keep backup models in mind in case your search comes up empty.
Consider a sedan – Trucks and SUVs are by far the most popular vehicles on the road today. Consider finding a sedan to buy, which could be easier to find and much less expensive.
Don’t rule out a new car – If you’re set on buying used, consider looking for a new car. Similarly, if you’re shopping for a new car, don’t rule out used ones. Keep your options open to find the perfect vehicle for you.
Get the most for your trade-in – Since the market is up, that means your current vehicle is also worth more. If you’re trading in your vehicle, it could go a long way toward a newer, higher-priced vehicle.

Understanding the 2021 Child Tax Credit

noreply@blogger.com (Eaton Family Credit Union) — Tue, 14 Sep 2021 19:25:00 +0000

Eaton Family Credit Union CFO, Kelly Slocum acknowledges that taxes and deductions can be complicated, especially when tax credit eligibility constantly changes. He adds, "For families with children, understanding what child tax credit assistance is available and how it will be distributed provides helpful insight on how best to optimize personal finances."

Recent changes to the Child Tax Credit expands its reach to help more families for the 2021 tax year. Advance payments, based on 2020 returns, began rolling out in July 2021 and will continue through December, totaling up to 50% of the Child Tax Credit. The remaining half will be delivered to taxpayers through 2021 returns. Here’s all you need to know, according to the IRS.

Families who claim the Child Tax Credit will likely see an increase in credit amounts. Eligible taxpayers can receive up to $3,000 per qualifying child between the ages of 6 and 17 at the end of 2021. Families with children born in 2021 and under 6 years of age at the end of 2021 could receive up to $3,600 per qualifying child.

The increased credit amounts are phased out for incomes exceeding $150,000 for married taxpayers who file jointly and qualifying widows or widowers, $112,500 for heads of household, and $75,000 for all other taxpayers.

Eligible taxpayers who would like to decline advance payments can do so. According to Yahoo Finance, taxpayers waiving the advance payments may prefer a single large payment, believe financial circumstances will change, wish to avoid the hassle of updating information in the IRS portal, or believe an overpayment by the IRS may impact the next filing return. Opting out of advance payments means qualified taxpayers will not see a payment until after their taxes are filed in 2022.

Once you learn all about the latest updates to the Child Tax Credit and determine the amount you qualify for using the free child tax credit calculator, you will want to lean on these suggestions from CNBC.com to help you prepare.

Know when the money is coming in – Half the amount received is paid monthly from July until the end of 2021, so don’t assume it’s a lump sum. The other half will be delivered after filing 2021 tax returns in 2022.
Make sure your financial foundation is solid – Do you have a sufficient emergency fund, the right insurance, and a plan for paying down debt? Those should be the first steps to be taken with any extra money received. Keep your financial health in check, just as you would your physical or mental health. It’s important in securing your financial foundation.
Remember the big picture – Think about your priorities and goals for the next year and determine how some extra cash could go toward realizing them. This will help you to be more intentional with your money.
It’s okay to spend – Still not sure what to do with the Child Tax Credit? It’s been a long, tough year for everyone; it’s okay to spend some of this extra money on your family, once your priorities are covered. And, when in doubt, you can always decide to save or invest.

Learning to Recognize Stress & Anxiety

noreply@blogger.com (Eaton Family Credit Union) — Wed, 18 Aug 2021 18:00:00 +0000

A more open economy is fast approaching, and for those members with children or young adults pursuing education and training opportunities, there may be some anxiety about returning to normal. Studies show that in-person learning is how children and teens learn best but safe, in-person learning becomes more challenging when facing new COVID variants, mask guidance, and vaccine eligibility.

There are some silver linings on the horizon. The FDA is preparing to provide full approval for the Pfizer COVID vaccine by early September, just in time for the start of the fall 2021 school year. Full FDA vaccine approval may have the strongest impact on children returning to in-person learning this year, ending social isolation and academic decline. The U.S. Department of Education, released a “Return to School Roadmap” to provide additional resources to support students, schools, educators, and communities for a safe and sustained return for the 2021-2022 school year.

Mike Losneck While getting back to pre-pandemic school is a big step in the right direction, some children might have anxiety or stress about transitioning from virtual to in-class learning. Very Well Family suggests parents can help their children cope with big changes by recognizing the signs of anxiety and implementing creative strategies to overcome stressful situations.

Amy Morin, the author of 13 Things Mentally Strong People Don’t Do, states that financial stress is one of the leading causes of mental health and anxiety issues. Mike Losneck, CEO of Eaton Family Credit Union notes, "Though credit unions are not a substitute for medical experts and treatment when it comes to mental health, depression, or anxiety, the services, and solutions that we offer to members can mitigate financial stressors that can complicate overall well-being."

One way people can mitigate financial stress is through Shared Branching. Not having convenient access to funds or critical transactions, like making timely payments, can be a stressful situation. Shared Branching offers members the peace of mind of having account access wherever they are when they need it most. Check out more by visiting www.sharedbranching.org.

Learn to recognize stress and anxiety

Are your kids nervous about returning to the classroom after more than a year of uncertainty? Learn to recognize stress and anxiety in your children and help them transition with these helpful tips from Very Well Family:

Be positive – There is more to a school than learning new things. Remind kids how much fun school can be. Remain positive when talking about all the friends and teachers they may not have seen in a long time, as well as extracurricular activities they can participate in.
Remind them they are not alone – While your children might be nervous about going back to school, assure them that they are not the only ones; most kids are in the same boat. They have all experienced the same crazy, unorthodox year together. If possible, arrange playdates so kids can reconnect with friends before school officially starts.
Be present those first few weeks – Try to stay present with your kids during the first days and weeks after school starts. Let them know you are there for them every step of the way, especially in the hours when you both are home from school and work.
Stay healthy – Keep kids healthy by making sure they are eating and sleeping well, along with getting enough exercise. Find stress relievers for your kids to blow off steam, like sports or activities outside of school.
Know when to get outside help – You know your child best, so listen to your gut and seek professional help if you feel their anxiety is something more deeply rooted than back-to-school stress.

Traveling in 2021

noreply@blogger.com (Eaton Family Credit Union) — Tue, 06 Jul 2021 14:16:00 +0000

After more than a year of quarantine and ever-changing restrictions, Americans are ready to take that long-awaited summer vacation. Though travel is on the rise, permanent changes stemming from the pandemic are likely to affect how we travel here on in.

While vacationing might look a bit different in a post-pandemic world, all forms of travel are making a strong comeback. According to a recent survey conducted by The Vacationer, 68 percent of the 535 respondents polled over the age of 18 plan to travel this summer. 58 percent are planning to travel just as much as they did before the pandemic. Though the stats may appear high for just coming out of a global pandemic, many Americans are opting to adopt pandemic-induced travel behaviors like embarking on more road trips, centering their vacations around the great outdoors, and even taking Flexcations; a longer stay that accommodates both business and pleasure.

67 percent of the more than 8,000 people polled in a 2021 VRBO travel trends survey admitted to taking a Flexcation last year and expressed wanting to do it again this year. The survey also showed 59 percent of families claim they would rather drive than fly on their next vacation, and 61 percent would prefer an outdoorsy vacay to a more urban one.

However you choose to vacation this year, remember to follow the CDC’s recommendations for keeping yourself and others safe.

Upcoming travel plans

Planning a 2021 vacation? Navigating Covid-19 restrictions and regulations can be tricky. To help make sure you’re prepared before you leave home, here are some of the latest guidelines from the Centers for Disease Control and Prevention to consider…

1. Wait until fully vaccinated – Ideally, the CDC would recommend waiting to travel until fully vaccinated (two weeks after the second dose of vaccination). Wearing a mask is still required during travel on all forms of public transportation, such as planes, buses, and trains. State and local recommendations and requirements should be adhered to once arriving at your destination.

2. Unvaccinated travel – The CDC recommends getting tested for COVID-19 1 to 3 days before your trip. While traveling, wear a mask and maintain 6 feet of distance between yourself and anyone not in your travel party. Avoid crowded, enclosed areas and sanitize hands often. After traveling, get tested 3 to 5 days upon arrival AND self-quarantine for a full 7 days; self-quarantine for a full 10 days if you do not get tested after travel. Regardless of testing, avoid being around high-risk people for 14 days.

3. Check travel restrictions – Before traveling, check your destination’s travel restrictions. Prepare to be flexible as restrictions and policies may change during travel. If traveling by air, check to see if your airline requires any health information, testing, or other documents.

4. International travel – Use the CDC’s COVID-19 Travel Recommendations by Destination to find out which countries should be avoided and which are safe to visit. You can also see the guidelines for re-entering the country once you have traveled overseas.

Housing Market Changes

noreply@blogger.com (Eaton Family Credit Union) — Wed, 09 Jun 2021 19:49:00 +0000

Big changes in the housing market last year provided good news to existing homeowners while presenting a challenge to consumers in the housing market.

According to a Washington Post interview with the National Association of Realtors (NAR), home sales set records last year, due in part to the pandemic. From small apartments in the city primarily used to offer respite from the hustle and bustle to condos positioned in multi-family buildings, folks are now seeking single-family homes to accommodate the lifestyle changes brought on by the pandemic. Final data for 2020 is still pending, but the trade association for real estate agents estimates new home sales rose 20 percent over 2019, and NAR predicts new home sales will increase by 21 percent in 2021.

The increase in consumers looking to purchase a home means a decrease in the supply of houses available to sell. At the same time, rates on mortgage loans reached historical lows in 2020. Those two factors combined to cause a rise in the cost of homeownership.

According to an article by The Ascent, the median price of an existing home in June 2020 was $295,300, or 3.5 percent higher than during the same time period in 2019. This increase in home value is great news for existing homeowners, as it has boosted their wealth accumulation. However, this trend also reveals a decline in housing affordability and could significantly limit achieving the American dream of homeownership for communities of color and young adults if the affordable housing supply is not increased.

Preparing to purchase a home

If you are someone preparing to enter the housing market, here are a few suggestions from The Mortgage Reports to help you prepare for this monumental purchase:

1. Check your credit – Buyers should check their credit at least 6 to 12 months before they consider purchasing a house to allow time to mediate a low credit score if necessary. Your credit score determines eligibility for a mortgage and influences your rate.

2. Save money – Common advice is to pay a 20 percent down payment for a home to avoid paying mortgage insurance. But even if you decide to take the mortgage insurance option, a down payment of 3 to 5 percent will be required. It is important to remember that the buyer is also responsible for closing costs, or roughly 2 to 5 percent of the loan amount.

3. Determine your budget – It is important to understand how much house you can reasonably afford before starting to look. Before you call EFCU, use an online mortgage calculator to estimate affordability. Once you know how much you can afford, be sure to also calculate how much you will need to have on-hand as a down payment.

4. Do not rush – Buying a home is a huge decision and one that should not be rushed. If you move too fast, you could overlook vital steps that could save you money, including home inspection and comparison shopping. Do not end up with a fixer-upper when you thought you were buying a turn-key home!

More of a visual person? Click here to see how the Heartland Credit Union Association in Wichita, KS brought these four home buying tips to life.

Resurgence of Travel Spending

noreply@blogger.com (Eaton Family Credit Union) — Tue, 18 May 2021 17:18:00 +0000

As vaccinations become more readily available across the country and the light at the end of the tunnel grows stronger and closer, Americans once again find themselves getting bitten by the travel bug and will likely resume spending money on travel.

Getting back to business as usual, or some sense of normalcy, is what we all want but at what cost to our wallet? Eaton Family Credit Union CFO, Kelly Slocum, notes, “Whether by plane, train, boat, or automobile, Americans are eager to experience a vacation beyond their backyard. And, with the renewed urge to travel, American’s wallets may feel a familiar strain.” According to ValuePenguin, people spend an average of about $581 to go away for about four nights within the U.S. and approximately $3,250 for a nearly two-week trip abroad.

The United States brought in $972 billion alone from a typically lucrative domestic travel industry in 2019, according to the most recent statistics from Statista. In 2020, Statista estimates that total dropped to $582 billion; a loss of $390 billion year-over-year. Predictions are that those numbers will increase gradually as Americans become more comfortable in a vaccinated world. Estimates suggest domestic travel spending will increase slowly to about $698 billion in 2021. By 2024, Statista predicts Americans will spend about $968 billion on domestic travel.

How to travel frugally

If you have the travel bug, do not worry! A vacation away does not have to break the bank. Below are some suggestions for frugal travel from the Travel Channel:

1. Travel during the off-season – Tours, lodging, and even food are often discounted during the travel “off-seasons.” Consider trekking through Europe in the winter or visiting the Caribbean during the summer months (although this is considered hurricane season, so travel with caution!)

2. Fly on an off-peak day or time – Flights generally cost much less on a Monday or Tuesday than they do on Thursdays or Fridays. Also, keep in mind that the second flight of the day is less expensive than the first.

3. Skip hotels – Sometimes, hotel rates can skyrocket. If that is the case, consider finding lodging through an app such as Airbnb, which can sometimes save you money while also giving you more space and amenities.

4. Avoid renting a car – Make a point of researching your destination’s public transportation or ridesharing app capabilities ahead of time. Usually, utilizing these options can save you money over renting a car. When possible, opt to walk around your destination. There is no better way to explore a new city – and you will skip paying for transportation altogether.

5. Eat a fancy lunch – If you are planning to have one “fancy” meal a day on your vacation, make sure to have that meal at lunch rather than dinner. Many restaurants have lunch dishes similar or identical to their dinner menus for a lower cost. In Europe, multi-course lunch specials are common and affordable.

While you are daydreaming about your next bucket-list vacation or road trip, why not get a hold of your finances and make it a reality by budgeting for travel expenses. Easily forgettable expenses, like toll booths and parking fees, are easily forgotten, and don’t forget about those monthly bills that never take a vacation.

Create a plan before you embark on your next trip or keep your budget just a click away by checking out a few of the best budgeting apps for travelers according to SMARTERTRAVEL.

· PocketGuard: Money & Budgeting

· Tripcoin: Travel budget

· Trip Expense Manager

· TravelSpend

Improving Financial Literacy

noreply@blogger.com (Eaton Family Credit Union) — Tue, 20 Apr 2021 17:46:00 +0000

Each year, the National Financial Educators Council releases a National Financial Literacy Test, which is taken by Americans of all ages, financial positions, and backgrounds. The test measures participants’ knowledge as it pertains to earning, saving, and growing their money.

As of 2020, the average score of 15- to 18-year-olds who took the test stood at 68 percent, just shy of a passing score. In fact, of the 60,813 people who have taken the test since it began in 2015, only 59 percent received a passing score of 70 percent or higher. Additionally, the National Financial Educators Council also released results that found that poor financial literacy contributed to Americans losing an average of $1,634 each in 2020. That is a cost of about $415 billion to the country at large.

Those numbers may seem a tad apocalyptic, but there is a silver lining. Younger generations of Americans appear willing and able to learn more about financial literacy. The National Financial Educators Council asked 1,101 young adults ages 18 to 24 what high school-level course would have benefited their lives the most. The majority (51.4 percent) responded with “money management.”

It appears financial literacy classes really do help. The FINRA Investor Education Foundation’s State Financial Education Mandates study found that Georgia, Idaho and Texas all saw increased credit scores and lower delinquency rates on credit cards three years after implementing a financial education mandate in public schools. Additionally, all three states saw significant improvements in participants’ scores on the National Financial Literacy Test with an overall 8 percent rise in score among 15- to 18-year-olds.

How to Improve Your Financial Literacy

April is Financial Literacy Month. Eaton Family Credit Union Chief Financial Officer, Kelly Slocum, notes, “Both a celebration and a challenge, this month is a chance for you to reflect on the state of your personal finances and an opportunity to improve your financial well-being, one step at a time.” Get help with your financial literacy journey with some suggestions from Athene:

· Subscribe to financial newsletters – Financial newsletters from trusted sources can put free financial news in your inbox. To start, try Athene’s Smart Strategies, designed to help you take your financial journey to the next level with expert advice on finances and lifestyle.

· Listen to financial podcasts – Podcasts can help you brush up on financial information while you are on the go. For ideas, check out U.S. News and World Report’s Best Personal Finance Podcasts to Listen To.

· Read personal finance books – Explore Insider’s 17 best personal finance books for 2021 to get you started.

· Start keeping a budget – All the general financial know-how in the world will not mean much if you do not know where your own money is going each month. Start tracking your spending and set up a budget using a simple spreadsheet or applications.

· Talk to a financial professional – Sometimes, you just need to ask an expert. Like those at Eaton Family Credit Union, financial professionals can help you assess your current situation and help you stay on a track that works best for you.

Paying Taxes

noreply@blogger.com (Eaton Family Credit Union) — Fri, 05 Mar 2021 17:40:00 +0000

Since 1913, Americans have been paying taxes to the federal government with states adopting similar tax programs in 1930. Though this annual process has continued for decades, many Americans have been feeling anxious about taxes in recent years. According to a 2019 Nerd Wallet Report on taxes, 26 percent of Americans feel stressed or anxious about filing their taxes. Part of that negative outlook may come from the perception that they may end up needing to pay the government. Only 51 percent of those filing in 2019 expected an income tax refund, compared with 86 percent in 2018.

A larger part of that unease likely comes from fear of the unknown surrounding the IRS and its functions. According to the NerdWallet report, about 21 percent of 2019 federal filers said they feared getting audited if they discovered they filed their income taxes incorrectly. Slightly more, or 27 percent, said they are most worried about having to pay more if they filed incorrectly.

But Americans’ negativity about taxes may be appeased with the various changes to tax filings this year because of the COVID-19 pandemic. For example, the standard deduction for 2020 increased to $12,400 for single filers and $24,800 for married couples filing jointly, with income tax brackets increasing in 2020 to account for inflation.

The Coronavirus pandemic has changed the ways Americans can file taxes this year. Below are some tax deductions and credits to consider during the 2021 tax season from The Dave Ramsey Blog:

Tax deductions and credits for the 2021 tax season

· Charitable deductions – The CARES Act allows tax filers to deduct up to 100 percent of their adjusted gross income – total income minus other deductions already taken – in qualified charitable donations if there are itemized deductions. If you take the standard deduction, the CARES act allows a write off up to $300 of charitable contributions made in cash.

· Medical deductions – Filers can deduct any medical expenses above 7.5% of adjusted gross income (AGI).

· Business deductions – There are a myriad of deductions self-employed filers can claim on tax returns, including travel expenses and the home office deduction. Unfortunately, these deductions do not apply to employees who have begun working remotely.

· Earned Income Tax Credit – The EITC is a refundable credit to help low and middle-income workers earning up to $56,844 during the 2020 tax year. This tax credit could save filers anywhere from a few hundred to a few thousand dollars depending on income, filing status and number of dependents.

· Child tax credit – Families can claim up to $2,000 per qualified child with this credit. Since this is a refundable credit, a filer could receive up to $1,400 per child as a refund.

Note: Any stimulus money received as relief from the COVID-19 vaccine will not be taxed. Visit irs.gov to learn best practices to ensure a seamless and speedy tax return during the pandemic.

Five Hidden Ways to Boost Your Tax Refund

noreply@blogger.com (Eaton Family Credit Union) — Thu, 04 Mar 2021 14:13:00 +0000

Wouldn’t a big fat tax refund come in handy? Well, here are steps you can take now to boost your tax refund when you file after the first of the year.

Itemize your deductions. The standard deduction is $12,400, so it’s tempting to claim it rather than tracking down receipts and tax forms so you can itemize your deductions. But itemizing might be worth it if you are a homeowner with a sizeable mortgage, gave money and “stuff” to charity, or paid points when you took out your mortgage. If you are an educator, you can deduct up to $250 of school supplies even if you don’t itemize deductions. Start gathering information right away so you’ll have everything ready at tax time.

Claim education expenses. If you are paying college expenses for yourself, your spouse or a child, two education credits can help defray those costs, the American Opportunity Tax Credit (AOTC) and the Lifetime Learning Credit (LLC). The AOTC is a partly reimbursable credit for 100% of the first $2,000 of education expenses you pay and 25% of the next $2,000. The Lifetime Learning credit (LLC) is 20% of the first $10,000 of education expenses. The AOTC is eliminated once your income exceeds $90,000 and the LLC at $68,000. There are other differences as well, so weigh your options carefully in deciding which credit to claim. Start gathering the data you’ll need to claim the deduction, and consider prepaying tuition or other costs to get the maximum credit possible.

Claim credit for your “full house”. If your adult children, their significant others and friends have come to live with you, you may be eligible to claim a $500 tax credit for non-child dependents you support if their income is less than $4,300. You can claim the credit for parents you support, even if they don’t live with you. Stick a note into your tax file (you do have a tax file, don’t you?) reminding you to look into claiming these credits at tax time.

Contribute to tax-deductible retirement accounts. This is a way to save for your future and boost your tax refund. If your income is under $65,000, you may qualify for a Saver’s Tax Credit as well. That’s three different benefits from the same action. Make contributions to your 401(k) by the end of the year. Though you have until the tax filing deadline to contribute to an IRA, if you are claiming the Saver’s Tax Credit, do that by year end as well.

Deduct worthless investments. If you have any investment that went belly-up, sell it before the end of the year and claim a tax loss. If someone owes you money that you can’t collect, you can claim that as a bad debt deduction as well. Write a description of the debt that includes the name of the debtor, the amount and the date the debt was due, and any relationship between you and the debtor. Describe the efforts you made to collect, and why you think the debt is now worthless.

Here’s a bonus tip: File your tax return on time. You won’t get a tax refund until you file your tax return. But really, even if you aren’t required to file a tax return because your income is low, file anyway to claim your refund for taxes withheld and any refundable credits you are entitled to. If you wait more than two years to file, the IRS will not issue you a refund.

When it's time to file your taxes TurboTax is here to help!
From simple to complex taxes, TurboTax^® has you covered. And when you need help, real experts are standing by — and can even do your taxes for you, start to finish with TurboTax Live^®. Getting your biggest possible tax refund has never been easier. And as a credit union member you can save up to $15 on TurboTax. Click here to get started today!

The information in this article for general educational purposes only and not intended to provide specific advice or recommendations.Please discuss your particular circumstances with an appropriate professional before taking action.

Financially Recovering from Job Loss

noreply@blogger.com (Eaton Family Credit Union) — Fri, 05 Feb 2021 14:12:00 +0000

Many Americans have spent the last several months getting back into the workforce after being laid off due to the COVID-19 pandemic. Recovering from the financial fallout can bring turmoil, but there are also silver linings.

American workers became familiar with stories of job loss and salary cuts as the pandemic ravaged through 2020. According to Charles Schwab’s 2020 Modern Wealth Survey, 25 percent of Americans said either they or a family member have been furloughed or laid off during the pandemic. Another 30 percent of respondents said they or a family member have experienced a salary cut or reduced work hours.

Unfortunately, in many cases, these COVID hardships are stacked on top of existing financial woes for U.S. consumers. Even before the pandemic hit, a majority of Americans, or 59 percent, were living paycheck to paycheck, according to Charles Schwab’s 2019 Modern Wealth Survey. On top of that, the 2020 Modern Wealth survey found that Americans are nearly 15% more financially stressed today than they were before the COVID-19 outbreak.

But it’s not all bad news. The hardships of 2020 have served as a wake-up call for many consumers. The 2020 Modern Wealth Survey found that 36 percent of Americans said they are now more likely to maintain savings to cover emergency expenses, 40 percent said they are likely to save more in general compared to before the pandemic, and most consumers surveyed stated that relationships now drive their overall happiness more than twice as much money. In 2020 alone, Americans paid down $60 billion in credit card debt inherently allowing monies once used to pay burdening debts to now transition to rebuilding up their financial security.

How to recover financially from losing a job

Being laid off is a scary time and can leave the individual impacted feeling alone, especially in these isolating times. So, how can you recover from job loss? Here are some tips from The Dave Ramsey Blog combined with some personal insight to get started in the right direction:

1. Connect with family and friends – This may be the most important tip. Let those closest to you know you’ve fallen on a hard time and will need encouragement. You can’t recover financially if you’re not recovering mentally – and nothing helps an emotional recovery like a strong support system.

2. Figure out what immediate benefits you have – If you’ve been laid off, your employer may offer severance pay. That could come in the form of a one-time payment or several payments spaced out over a few weeks or months. You may also want to consider filing for benefits through the Employee Benefits Security Administration.

3. Tighten up your budget – Create a new budget based on your new income. Consider pausing non-essential spending, including gym memberships and monthly entertainment charges. Television has filled the void of social interaction – and streaming apps, when added up, can become a significant monthly expense.

4. Hone your job search – Brush up your resume and begin your search by making a list of the people in your immediate circle who can help you get connected in a certain field. Reach out to them and explain your situation. Meanwhile, be sure to keep up with online job boards – persistence is key. Consider taking contract or part-time work even temporarily. Ways of connecting professionally once thought to be taboo like using social media platforms are now acceptable in an ever-changing social and professional landscape.

5. Maintain a positive, long-term mindset – Stay determined and positive. Remember: this won’t last forever. The more positive you remain, the more motivated you’ll be to keep searching for new opportunities.

A few additional tips to help:

· Treat finding a job like a job – staying in a familiar routine can provide structure. Plan your day. Set a schedule – do not forget to schedule lunch – and be sure to “clock out,” putting the computer away until tomorrow.

· Remember, you are not alone – The pandemic has affected everyone. Most likely, you know a friend, family member, or community member enduring the same struggle as you. This moment in time does not define you – try to not take the unexpected job loss personally. You are more than your job, and now is the time to remind yourself of that.

· Do not forget self-care – Do not get consumed with self-pity. You can visit pity-city, but do not call it home. Take a walk, go for a run, put on a face mask, or relax in a bubble bath – do not forget about yourself.

Paying Down Credit Card Debt

noreply@blogger.com (Eaton Family Credit Union) — Fri, 08 Jan 2021 16:02:00 +0000

Just when you thought 2020 was devoid of good news for Americans – here is a small financial reason to smile! U.S. consumers paid down a record amount of credit card debt this past year.

However, that does not mean American consumers have less credit card debt. According to a report from the Federal Reserve, Americans began 2020 with $1.09 trillion in credit card debt – an all-time high. That number came about from a $76.7 billion net increase during 2019, according to a WalletHub study.

Surprisingly, the global pandemic did not cause a continued dramatic increase in credit card debt. In fact, a downward trend was almost immediate. A slight paydown of consumer credit card data is normal in the first quarter of any year, according to the WalletHub study. However, in the first quarter of 2020 consumers paid down $60 billion in credit card debt – the biggest paydown ever.

The WalletHub study found that consumers continued paying off credit cards throughout 2020. In Q2 and Q3 combined, consumers paid down $58.8 billion more in credit card debt. That is the first time in more than 30 years that credit card debt has dropped from April through September in the U.S.

It is not that Americans stopped using credit cards in 2020, they simply reprioritized their household budgets. According to a Money.com study, 70% of U.S. consumers said they have no plans to cancel or close existing credit cards because of the pandemic. Instead, Americans have begun reducing discretionary spending during the pandemic, taking advantage of lifelines offered through the federal CARES act, like stimulus checks and additional unemployment compensation, to pay down credit card debt.

Whether you are interested in reworking your budget or simply want to reduce debt in 2021, there are a few immediate benefits to lowering credit card debt:

Reduce stress – Finding room in a budget to pay bills on-time can keep a person up at night. Paying down, and eventually, paying off that debt will alleviate additional stress.

Start next year debt-free – Beginning a new year with a fresh outlook can be liberating. Set an appointment now to meet with a credit counselor and get the guidance you need to start next year debt-free.

Reduce the number of bills you pay – Less bills to pay means your hard-earned money can go toward other things, like saving for a new home, a new car, or a special gift.

Take that much needed vacation – Paying down or paying off debt can make taking that trip you have always wanted a guilt-free reward.

Pay less interest – Paying your credit card debt down can save you excessive interest payments, reducing the total amount you owe over time.

As you are paying down debt, it is important to remain realistic. While it can be tempting to throw as much money as possible at outstanding credit card debt, it is important to properly budget for daily, weekly, and monthly necessities (food, clothes, rent, etc.). Be realistic about how much you can put toward your credit card debt each month by deploying the helpful tips below.

Tips for paying down credit card debt

Paying off credit card debt can seem daunting – especially if you have compiled quite a bit. Getting out of credit card debt is not a sprint – it is a marathon. With determination and some solid advice, living credit card debt free is possible. Here are some tips from Credit.com to get started in the right direction:

Get organized – Gather all the information for every card with a balance. Make a list of the amounts, interest rates, due dates, and minimum payment for each card. Add up all the minimum payments on each of your credit cards to determine how much you must pay each month just to stay on top of credit card bills.

Create a budget – You can follow every tip for paying down credit card debt, but if you are not spending within your means, you will likely settle into the same repetitive cycle. Create a budget that works for you, leaving wiggle room to pay down that credit card debt.

Paying off the card with the highest APR first – Paying off the highest interest rate first makes the most monetary sense because it cuts out spending on a larger chunk of interest. Try boosting your payments on the card with the highest APR and paying the minimums on the remaining cards. Once that card is paid off, move on to the card with the next highest APR.

Paying off the card with the lowest balance first – This method may not make as much monetary sense as paying off the highest interest rate card first. However, this may be a method that is easier to stick to for those who have a difficult time staying motivated without quick gratification. Enjoy the endorphins that come from paying off that lowest balance – then keep paying off from there!

The Impact of Stimulus Payments on Your Taxes

noreply@blogger.com (Eaton Family Credit Union) — Mon, 28 Dec 2020 14:21:00 +0000

What a year 2020 has been! New Year’s celebrations were barely over when the coronavirus turned things topsy-turvy. But one bright spot for 159 million people was the Economic Impact Payment that appeared in their mailbox or checking account.

If you didn’t receive a payment, you may be wondering, why? And if you did, you may be wondering, what’s the catch? We are here to help put your mind at ease, so let’s tackle your questions, one by one.

Do I owe tax on the money I received? That’s an easy one: No. The stimulus payment was designed to impact the economy, not your taxes, so it won’t reduce your 2020 refund or increase your tax due.

I didn’t get a payment – why? If your income for 2019 or 2018 was over $75,000 ($150,000 if you filed jointly, $112,500 if you were head of household), then your payment was reduced by $5 for every excess $100 you earned. And if you didn’t file a tax return for either year, you may not have gotten a payment. But don’t despair, you still may be entitled to payment.

Really? What can I do now? If you were supposed to file a 2019 tax return and didn’t, file right away. If your income was too low to file, at IRS.gov you can click on the tab marked “Non-filers” and fill in your basic information. If the IRS determines you are eligible for a payment, they will send it to you.

What if my income has gone down? If your 2019 income was too high for you to receive a payment, but your income this year is much lower, you are in luck. You can claim your stimulus payment on your 2020 income tax return, and it will increase the refund you receive (or reduce any tax due).

My 2020 income is higher than in 2019 – will the government want the money back? No. If you received a stimulus payment based on lower-income in 2019, that payment is yours to keep even if your income increased above the threshold in 2020.

When it's time to file your taxes TurboTax is here to help!
From simple to complex taxes, TurboTax^® has you covered. And when you need help, real experts are standing by — and can even do your taxes for you, start to finish with TurboTax Live^®. Getting your biggest possible tax refund has never been easier. And as a credit union member, you can save up to $15 on TurboTax. Click here to get started today!

The information in this article is for general educational purposes only and not intended to provide specific advice or recommendations. Please discuss your particular circumstances with an appropriate professional before taking action.

Community Commitment

noreply@blogger.com (Eaton Family Credit Union) — Mon, 14 Dec 2020 14:52:00 +0000

Euclid Hunger Center

Through the pandemic, the Euclid Hunger Center has continued its commitment to Euclid residents by offering free food to those who need it. EFCU staff has supported EHC’s cause by raising money and volunteering time to help prepare the food for distribution. If you or someone in the Euclid area is in need, you can contact them by phone at (216) 731-3329.

Thanks to everyone who participated in the Thanksgiving Dinner basket at the Euclid and Willoughby Hills branches, EFCU was able to donate $208.00 to the Euclid Hunger Center. We were able to raise an additional $200.00 from the Malley’s candy bar sales bringing us to a total of $408.00 for the EHC. If you are interested in donating or volunteering, visit their website for more information.

Lincoln / Logan Food Pantry

Another one of our community partners is the Lincoln / Logan Food Pantry. Located in Lincoln, Illinois, the LLFP organizes the collection of food donations and distributions to those in need in the Logan county area. This food pantry relies on both volunteers and donations to best serve those that need help – especially during the COVID-19 pandemic and the holidays.

With the help of the Lincoln Eaton Family Credit Union Members, we were able to donate $252.00 to the Lincoln / Logan Food Pantry from the proceeds of the Thanksgiving Dinner Basket Raffle. If you would like to donate, volunteer, or need help, you can reach them by phone at (217) 732 – 6644.

Maximizing Tax Withholdings

noreply@blogger.com (Eaton Family Credit Union) — Fri, 04 Dec 2020 14:25:00 +0000

While changes can be made at any time to a W-4 form, the end of the year is a good time to review tax withholdings. Life-changing events, like having a baby or buying a house, might mean it’s time for an update.

Withholdings are the amount an employer takes out of a paycheck to pay the Internal Revenue Service (IRS) on their behalf. That amount can be adjusted as an individual deems necessary, whether too much or not enough was taken out, and can be modified by completing a new W-4, an Employee’s Withholding Certificate.

To change a W-4, the Adjusted Growth Income (AGI) is needed, which can be found on the prior year’s tax return. Online tools, like the Tax Withholding Estimator at IRS.gov or the W-4 Calculator for TurboTax, can help estimate withholding amounts.

Having too much withheld from a paycheck results in receiving a tax refund, but less money in your pocket throughout the year. Not taking out enough, however, could mean an IRS tax bill or even a penalty for underpayment. Therefore, regularly updating a W-4 is an important financial management strategy.

According to TurboTax, in 2020, the IRS rolled out a new system for completing a W-4 form, making updates or modifications easier and more convenient. Complicated worksheets have now been replaced with more straightforward questions.

Other than being easy to modify, here’s a list of the reasons to consider adjusting your W-4, according to Nerd Wallet:

New marriage or divorce
New baby
New house
Significant change in salary
Only working for part of the year
Significant amount of dividend income
Freelance work on the side

If any of those listed above occur within the year, it’s important to ensure withholdings are reflected as such.

How to Fill Out a W-4

Filling out a W-4 form and keeping it updated is made even easier through various online resources geared towards calculating the appropriate withholdings, such as the IRS’s Tax Withholding Estimator, TurboTax’s Withholding Calculator, or these basic steps from NerdWallet to get started in the right direction:

The easy part – Simply download the form from IRS.gov and start by filling out your basic personal information.

Provide dollar estimates – The new 2020 version asks for a dollar estimate for the payroll system to use, rather than asking participants to choose several allowances.

Whether you’re single with multiple jobs or married and filing jointly, while both of you are employed, keep these things in mind – A W-4 is usually required for each job. For the highest paying job, fill out steps 2 to 4(b) on the W-4. Leave those sections blank on the W-4 forms pertaining to the lower paying jobs. If you and your spouse make about the same salary at each job, and you’re filing jointly, there is a spot to indicate as such on the W-4. The trick is to make sure both spouses check the box on each of their forms.

If you are exempt from withholding – Write “exempt” in the space below step 4(c). You will still need to fill out steps 1 and 5, as well as fill out a new W-4 every year you plan to claim exemption from withholding.

On the new 2020 form, you can select the “Head of Household” status – This was not an option before this year. Just be sure to fill out the 2020 W-4 if you choose to file this status for your tax withholdings to line up more accurately with your tax liability.

Managing Holiday Expenses

noreply@blogger.com (Eaton Family Credit Union) — Fri, 06 Nov 2020 16:42:00 +0000

It’s supposed to be the most wonderful time of the year; but for many, the holidays can be an expensive time. From gifts to decorations to wrapping paper to special events, it’s easy to overspend and possibly even go into debt paying for all the extras.

In 2019, Forbes reported on a Gallop poll showing Americans spend an average of nearly $1,000 on holiday gifts alone during the holiday season. And 37% of those respondents expect to exceed that amount while shopping for presents.

Online shopping has sky-rocketed, particularly in 2020 with the COVID-19 pandemic. According to Fortunly, a survey of around 1,000 respondents found that 60% of U.S. consumers prefer to shop for their gifts online. Purchasing from a home computer, phone or tablet, is both convenient and an easy way to compare the best deals.

However, Fortunly also found that 60% of consumers wait to buy their gifts until the week before Christmas – a time when most goods are at their most expensive.

Tips for Managing Holiday Expenses

The holidays can be a stressful time for many, starting with all the extra expenses that come with the season. It doesn’t have to feel that way, though. Follow the tips below from The Balance to reduce stress around holiday spending so you can finally enjoy the most wonderful time of the year!

Begin by making a list of holiday expenses – Include gifts, wrapping paper, cards, travel expenses, charitable donations, etc. Planning only for gift expenditures around the holidays and leaving out other incidentals is a common mistake when budgeting.

Choose and stick to a budget – Consider the amount you can spend on gifts for the holidays. Use only the money you have budgeted. Steer clear of using credit cards for gift purchases.

Create a shopping list – Make a list of all the people for whom you wish to buy. Have a couple items in mind for each person as you shop. Planning ahead will allow you to capitalize on big sales.

Track purchases – Once the holiday season is in full swing, keep detailed track of all your purchases. Bring your list and budget sheet with you each time you shop. As you purchase, subtract from your holiday budget so you can see how well you are sticking to it and if adjustments are needed.

Stick to a cash-only system – Using cash, as opposed to credit cards, will help reduce overspending.

Shop online – Time and money could be saved by shopping predominantly online. It’s easier to comparison-shop and find the best deals from behind your computer. Plus, it’s much more convenient!

Pick up some extras – Add a few generic gifts to your shopping list in case you receive a surprise gift or accidentally left someone off. It will prevent you from scrambling to find something last-minute and possibly overspending.

Take on a holiday job – Earn some extra cash for the holidays with a seasonal job.

Save in advance – Start saving money for holiday expenses at the beginning of each year. Consider what you spent last year and divide by 12 to come up with an easy figure to put away every month, making saving for the holidays a breeze.

A Personal Budget in 5 Easy Steps

noreply@blogger.com (Eaton Family Credit Union) — Fri, 03 Jan 2014 17:24:00 +0000

According to a survey by the Ohio Credit Union League, 20% of Ohioans are unsure how to create a monthly budget. While some effort is necessary, garnering a better understanding of your cash flow is an important step to strengthening your family’s financial situation.

We suggest the following steps to establish a basic budget:

Step One: Keep track of your income and expenses for a couple of months. You need an idea of what a “typical” month is like for you. For cash expenditures, keep receipts in an envelope you carry with you every day. Then go back to categorize and total the receipts at the end of the month.

Step Two: Lay out your budget. In the “expenses” part of your budget, you will be accounting for two major types of expenses: fixed and variable. Fixed expenses are set amounts you pay every month, such as rent, car payment, and utilities. Variable expenses include discretionary items, such as entertainment and clothing. Write down all the necessities so you know how much you have left for discretionary spending.

Step Three: Pay yourself each time you receive a paycheck. Payroll deduction or direct deposit can help you stick to the savings habit. No matter how modestly you begin, the important thing is to start saving and to include it in your budget. Even if you feel like you can’t save enough to make a difference, do it anyway! You’ll be establishing a savings habit that will be invaluable when you reach a point in your life when you have more to save.

Step Four: Evaluate your spending. You may need to trim expenses. Take a good look at where you spend money, and cut out unnecessary items. Even if you cannot eliminate any large expenses, you may be able to cut several small items. Every little bit helps. Try making yourself stick to a “waiting period” on purchases. If you see something you think you can’t live without, put it on hold instead of buying it on the spot. If you still have to have it after 24 hours, go back for it if you can really afford it.

Step Five: Don’t overlook big, once-a-year expenses. Holiday gifts and vacations can quickly turn into budget-killers if you do not plan. To help, divide what you spend on such items yearly by 12 and add this expense to your monthly budget. Also, budget a little each month to save for insurance premiums and car repairs if you want to avoid draining your savings account.

Remember: Don’t be too hard on yourself. Don’t make your spending limits unreasonable. Leave some room for unplanned expenses.

Active participation is key to minimizing risk of account fraud

noreply@blogger.com (Eaton Family Credit Union) — Fri, 20 Dec 2013 19:40:00 +0000

Target on Thursday announced that 40M credit and debit card accounts may have been affected by a recent data breach. While not directly affected by this breach, Eaton Family Credit Union encourages its members to actively participate in efforts to minimize the risk of fraudulent activity on their accounts.

According to Target's news release, customers who swiped their cards at terminals in its U.S. stores between Nov. 27 and Dec. 15 may have had their accounts exposed. The stolen data includes customer names, credit and debit card numbers, card expiration dates and the three-digit security codes located on the backs of cards.

The stolen information included Target store brand cards and major card brands such as Visa and MasterCard.

Eaton Family Credit Union provides Visa-branded credit cards processed by Fidelity Information Services, (FIS), which acknowledged the breach in an announcement to its partners stating it does not provide services to Target, and therefore, is not part of this breach.

Though FIS is not involved in the breach, it’s participating in the evaluation and identification of any fraud trends that may be attributed to this event. The company anticipates this process will take several weeks and has said it will provide additional alerts as information becomes available from the card networks.

In addition to the measures Target and FIS are undertaking currently, Eaton Family Credit Union encourages our members to vigilantly monitor their accounts and immediately report suspicious activity to the appropriate fraud services team of the account appearing to have been compromised. Members also are reminded they already have means available to them to minimize risk:

· Watch for compromised card alerts or notices from us and heed the advice to ensure that appropriate action is taken to safeguard your account.

· Use all the personal banking tools available to you. Visiting a branch and reviewing your monthly-printed statement is a start. Home and mobile banking allows instant and secure access, 24/7, to your accounts.

· Frequently review the transaction history of each account, especially credit cards. Sign up for our EZCardinfo.com that provides real-time access to your Visa card issued by Eaton Family Credit Union.

· Use an identity theft service to prevent, detect and resolve threats to your accounts. They are low-cost, web-based, easy to use and effective. Learn more here.

Your Credit Score Explained

noreply@blogger.com (Eaton Family Credit Union) — Tue, 06 Aug 2013 18:00:00 +0000

We are compiling information regarding credit reports and credit scores.

Credit Report Errors from MyCreditUnion.gov sponsored by National Credit Union Association NCUA covers how to deal with disputes on credit reports

How can I correct errors found in my credit report?

Click here to see a Sample Dispute Letter

What happens next?
What if nothing is resolved?
What if I am still dissatisfied?

On Saturday, May 18, 2013, Sheryl Harris, The Plain Dealer, wrote an article, "More credit myths that can trip you up."

Click here to read the entire story.

In the article she discusses the following myths and facts.

Myth: It's not important to order your credit report

Fact: credit reports contain errors.

Myth: If you co-sign a student or other loan, it doesn't affect your credit

Fact: payment information on co-signed loans can be reported.

Myth: Freezing a credit report locks all companies and debt collectors out

Fact: lenders can have access to credit reports.

Myth: Transferring balances can hide debt

Fact: total debt is important, not interest you pay.

Same Name Identity Problem - On Friday, May 17, 2013, Teresa Dixon Murry, The Plain Dealer, wrote about an ex-wife's bankruptcy and the concerns because the new wife's name is the same.

Click here to read the entire story.

Ms. Murray suggests

Keep maiden name as middle name.
Contact credit bureaus by mail.
Check credit reports before and after marriage.

60 Minutes segment from February 10, 2013 called "40 Million Mistakes: Is your credit report accurate?"

"A new study indicates as many as 40 million consumers have a mistake on their credit report and Steve Kroft finds it's hard to get them fixed." Also check out 60 Minutes Overtime to see the frustration of trying to fix your report.

#1 Takeaway: check your credit report at www.AnnualCreditReport.com.

Click here to watch more.

On Monday, January 14, 2013, Debbie Dragon wrote, "How to fix errors on your credit report," in MyBankTracker.com.

Regarding disputes, "Write out the reason for disputing each mistake you circled on your report so the credit reporting bureaus can investigate and make corrections. Keep a copy of the dispute with your credit report in case you need to refer back to it."

Click here to read the entire article.

On Thursday, October 25, 2012, Teresa Dixon Murray wrote "Westlake man has one of the highest credit scores in the entire country, 848 out of 850" in the The (Cleveland) Plain Dealer.

She writes, "He has a few simple rules:

Never charge something without having something to show for it.
Never spend money without knowing when you can repay it.
Pay your bills on time."

Click here to read the entire article.

On Friday, August 3, 2012, Teresa Dixon Murray's, Money Matters column in The (Cleveland) Plain Dealer, notes that, "Credit scores are confusing..."

She says that there are gaps between different credit scores because they're measured on different scales. Click here to read more.

Click here to take the Credit Score Quiz from Consumer Federation of America (CFA) and VantageScore Solutions - take the quiz before you fill out a loan application!

More reasons to check your credit report - click here to read the four-part series from the Columbus Dispatch titled, "Credit scars."

Credit scars - Credit-reporting agencies’ failure to address damaging errors plaguing thousands of Americans prompts call for swift action.
‘Dispatch’ series based on 30,000 complaints.
Mixed and marred - When credit-reporting agencies blend your files with others’, the financial damage can be devastating.
Our digging finds mess that cries for redress.

Click here to read details on the difference between Vantage and FICO from Teresa Dixon Murray, The Cleveland Plain Dealer, on March 9, 2012...you need to scroll down for the second Q & A

She states, " I've never gotten a straight answer from Fair Isaac Corp. (architect of FICO scores) or the bureaus about why there are two or more types of scoring with different top scales. "
Also, click here to see a comparison between FICO and Vantage from Don Taylor at Bankrate.com

Click here to read "Don't Micromanage Your Credit Score" by Jennifer Waters of The Wall Street Journal from March 3, 2012.

Ms. Waters states, "A score is determined mainly by how promptly you pay your bills and what kind of debt you carry, though other factors also feed into it. "
Also in the article is, "Scores also vary because the three credit-reporting companies don't have the same information. 'Lenders don't report all the same things to all the [credit-reporting companies], which is why scores will vary,' says Beverly Harzog, a credit-card analyst with Credit.com."

Eaton Family Credit Union reports to all three credit reporting agencies.

Click here to read "What happens to your credit score when a card gets closed?" by Theresa Dixon Murray of The Cleveland Plain Dealer from December 9, 2011.

Ms. Murray responds to the question: What happens when the card issuer closes out the card due to inactivity? How does that impact your score?

The definition of a FICO Score from Barry Paperno, Consumer Affairs Manager, myFICO.com

A FICO score is a three-digit number between 300 and 850 that summarizes a person's credit risk based on their credit report at a particular point in time.
The number tells a prospective lender how likely someone will pay on time, with higher scores indicating lower risk and with lower scores indicating higher risk.
What the score looks at on a credit report is how the person pays, how much he or she owes, how long they have credit, to what extent any new credit has been taken on and the different types of credit experience they've had.
Information the score doesn't look at on a credit report includes marital status, gender (and) race. It doesn't even look at the name or address, so the location has no bearing on it.
Another thing it doesn't look at that is commonly misunderstood: It does not look at income or assets or anything like that.

Also in this Yahoo! Finance article titled "FICO insider explains credit scores," by Janna Herron, from Tuesday August 30, 2011

Why do the scores differ by credit bureau?
How often scores change?
How to see your FICO score?

Click here to read, "FICO's 5 factors: The components of a FICO credit score" by Jeremy M. Simon, from CreditCards.com.

Payment History
Debit Amounts
Length of Credit History
New Credit
Credit Mix

Thanks to our friend, Ondine Irving, for the heads up.

More about Prepaid Debit Cards and our FREE Checking

noreply@blogger.com (Eaton Family Credit Union) — Tue, 30 Jul 2013 14:27:00 +0000

We think that our FREE Advantage Checking beats Prepaid Debit Cards every time because

No annual fee
No charge debit card transactions
ATM access
Branch access
Shared branch credit union partner access
Online bill pay
Paper checks
Earn interest

Click here for an article from The Plain Dealer by Teresa Dixon Murray on July 30, 2013 titled, Consumer Reports evaluates prepaid debit cards...

Click here for article from Consumer Reports published July, 2013 titled, What you need to know about prepaid cards

Click here for the report from Consumer Reports published July, 2013 titled, Prepaid Cards: How They Rate on Value, Convenience, Safety and Fee Accessibility and Clarity

2013 College Scholarship Winners

noreply@blogger.com (Eaton Family Credit Union) — Wed, 22 May 2013 15:23:00 +0000

Eaton Family Credit Union is very proud to announce that Kyle Kruse and Andrew Zoss have both been awarded $1,000 college scholarships.

“Kyle and Andrew have very strong academic records, but equally impressive is their desire to help inside and outside their respective communities,” said Mike Losneck, President.

Go to www.EatonFamilyCU.com/Scholarship.php to read more and see their photos.