It was about three years ago right now when people were starting to get excited about what was happening in the banking world. I remember being on TV and callers would call and ask if their money was going to be safe in their bank. The thought always occurred to me when I was asked that question, “why worry about it now?”

Making sure you are adequately insured is smoothing you should be doing up front and not once things get “bad”. Are your deposits insured?

Today, the FDIC  (Federal Deposit Insurance Corporation) insures accounts up to $250,000 in most cases. You could be insured for more, depending on the number of names on your account. Then again, depending on your account(s), the amounts, and how the account is shared – you could be underinsured.

The FDIC has a nice website that explains coverage. You can visit that website by clicking here.

Additionally, the FDIC offers a new tool now that will show, for each bank, how much you are protected or if you are exceeding limits.  To access that tool, click here.  The tool is a neat way to make sure you are adequately covered at your bank(s).

Check now and don’t wait till you are put into a position of finding out.

Yesterday marks the 90-day warning on Christmas gift giving.  That’s right, we are under 90-days until Christmas.  But before you ask yourself where this year has gone to, ask yourself if you are ready.

I am not one of those who get hyped up about all the commercialness of the holiday and, quite frankly, I think we go overboard and miss the true meaning of the holiday.  However, regardless of how I feel you most of you are going to be buyiung Christmas gifts and, if this year is like any previous year, you have not a clue of how you will pay for what you are already planning on doing.

You need a plan and you need one now.

Several months ago I wrote about planing for Christmas.  Hopefully, many reacted to that and, if you did, are ready for the next three months.  You can ready that post by clicking here.

It is time you got ready.  Get you paper out, determine how much you will send, write down the names of all you are buying for, and spend each dollar on that list until you have spent it all (or saved some possibly).

If you overspent or went into debt in the past – don’t do that this year.  Build your plan, set aside your money, follow your plan, and enjoy the holiday for what it really represents.  Hurry, the clock is ticking…..

Once again is week, someone has reminded me of why it is dangerous to co-sign for a loan. It is frequently a parent/ child relationship, but it can often reach beyond that. For reasons that are beyond me, someone will be compelled to believe that they know better than the bank and that bank’s specific risk processes.

Have you ever been presented with that situation?

What I have learned over several years is that there is a reason why some are turned down for loans. It really does not matter whether that person is your child, your parent, your spouse, significant other, relative, or whatever – they are a credit risk. If they are a credit risk to an institution who makes money off of people who can not afford to buy want they want, why would you think that they are not a risk to you?

You need to ask yourself two questions before you co-sign for someone. First, am I in a position to pay for this loan until it is paid off and to, most likely, not have use of the item(s) ever? Second, what happens to my relationship with this person(s) if they do not pay for whatever the reason and leave me holding the bag? The probability of either or both happening is huge and you need to be aware of that.

Additionally, what is lost in this picture is that the person wanting to borrow never learns a lesson as to why they are being turned down and never makes the necessary changes to their financial life to better manage their finances.

Until you can live with the consequences, just say ‘no’. You will thank yourself later.

Last night was a special service at our church.  I really wish everyone could have heard the message that was shared.  The World’s Smallest Evangelist spoke on being thankful.  This man, I am guessing, is all of three feet tall.  You would think that based solely on his size and resulting circumstances that he could not be thankful, but he is.

Thanksgiving Day comes once a year, but there is no reason not to be thankful everyday.

There is no question that many of us are living lives that have not turned out as we expected.  regardless of the area of your life, you can still be thankful. Many of you are disappointed that they are not driving the fancy new car, but are you thankful you have a car to drive?  Many may disappointed with the house that you live in, but are you thankful that it is a house and provides you with the shelter you need?

Yes, we can be disappointed and that is a part of us, but it does not have to keep us down.  You do not control the circumstances today, but you do control your attitude.

I am thankful for everything in my life, the good times and bad.  I am thankful for my wife and each one of my children who are growing up way too fast.  I am even thankful for my new son-in-law!  There are so many things I could add to this, but you would probably stop reading.  We all have so much, even if it is not exactly what we might wish we had.

Are you thankful today?  What are you thankful for?

Are your banks fees going up?  Across the board, many banks are charging more fees to their customers.  This in big part is due to the laws that  were enacted back in 2008-2009 to “help” the consumer.  Most recently legislation had capped debit card fees pushing the banks to find other sources of revenue.  Your bank may be doing the same – are you aware?

Several have asked me what they can do.  I have shared that you need to talk to your bank and see of there are other account types that you may be placed in to avoid the fees.  What I have been told in the past is that there are not, but it never hurts to ask.  If you truly love your bank, you can also eat the costs….

If that does not help, the next thing you can do is find another bank.  Yes, there are other banks out there.  You will typically find the local community banks have lower fees, if any, and are much more focused on customer service.

Finally, what about your credit union?  Your place of employment may offer one and there may even be one in your community.  Credit unions are a great place to bank.

What other options are you trying?

As I work with clients one of the things we look at is the possible need to go to an even-billing or budget billing program on their electricity.  My wife and I have used this for years and it really allows you to better budget and manage your monthly utility expenses.

One drawback that I try to caution people on is getting lulled to sleep with a set electric bill each month.  Many times people will be aware of the “reduced” monthly cost (especially in the summer) and will not attempt to conserve as they should.  Lights and appliances will be left on longer than they should, thermostats turned up more in the winter and down more in the summer.  The end result is that the consumer then uses more than was estimated, they have a larger “catch-up” or 12 month bill, and their set payment is higher for the next 11 months.

This week we received our 12-month bill.  I have been a little concerned since it was colder than normal last winter and very HOT this summer.  The end result – we have NO payment due next month and a discount off the following month!  That was nice.  While it was not an expected outcome to not have an electric bill next month, while the electric does stay one, it is a blessing!

No, they did not actually give us a month free – we paid for it.  However, managing the electric consumption did deliver!

Now the problem is my wife trying to figure out how she will spend the extra money in next month’s budget!  Once she saw the bill, the wheels started turning….