Category: Ways To Improve Healthy Economy

We all want to save money that we deny ourselves some of the things we love. With that, we sometimes put off our dreamed vacation, avoid buying our favorite latte, limiting our visits to the salon, and holding up some of our cravings that are non-essential. That is the right thing to do if we want to have credits in a stable state.

However, there are still chances that despite trying so hard to avoid and control ourselves from spending things, we still can’t manage. But we do not have to bother about that much since there are a couple of useful tips that can help us save some of our hard-earned cash.

Source: pixabay.com

Record The Expenses

An effective way to cut our spending without significantly cutting our quality of life is through recording the expenses. It is necessary to realize how much money we will spend on things we often use for household supplies, clothing, meals, groceries, and other essentials. After that, we need to organize our needs based on categories. As for other consumable bills such as electricity and water, we also need to cut and record some costly services. That way, we can easily figure out where most of our budget should go.

Benefits: By recording our expenses, we will identify the things we need from the ones we don’t. We won’t spend extra cash because we will have enough essentials to continue to purchase regularly. We will able to manage our daily finances more conveniently.

Take Advantage Of Automation

If we want to save enough money, we need to consider our bills. If it is something stable, such as the monthly billing of the internet, we might as well consider an auto-debit to lessen the hassle of late payments and its additional charges. The same goes for the other debt we might have, such as in housing or car loans. We need to look thoroughly at the options, consider fees and interest rates, and balance minimums. That way, we will have the control of prioritizing legit financial deduction.

Benefits: By utilizing an automated deduction, we will see that our monthly dues are prioritized. It will come on top of our expenses, and we will focus more on it before making other non-essential expenditures.

Source: pixabay.com

Budget For Savings

After getting things done with our records of expenses and automating our other monthly dues, we then proceed to our budget. It is a crucial stage because that is where our ability to calculate comes in handy. Our budget should outline how our overall expenses measure up to our income. We need to include some of the other regular factors that can affect our budget, such as vehicle maintenance.

Benefits: We can benefit from setting out the budget we need weekly or monthly because it allows us to limit our overspending. Budgeting will help us focus more on things we genuinely need and eliminate the things we thought we need.

Decide On Priorities

Our expenses and income are the basic things we need to understand for us to save enough. However, those are not the only things we need to think about. Our goals are likely to have the biggest impact on how we allocate our savings. These things can include bigger financial investments like owning a house and lot and living a comfortable life after retirement. For some, it could be the satisfaction of being free from all debts.

Benefits: Once we get a hold of our goals, we will have a clear idea of where to start saving. It will allow us to know exactly what we want and how much money and effort we need to put up to obtain our goal in the future.

Source: pixabay.com

Set Savings Goal

A helpful and effective tip on saving is setting up a savings goal. It is where we allocate an amount that we would like to obtain on a target date. These things can include savings for marriage plans, out-of-town vacation, and retirement. We should set a small, achievable short-term objective. It could be something that we are more likely to instantly cash in or pay for, such as a new gadget or holiday gifts.

Benefits: Once we learn how to set our savings goal, we will figure out how much money we will need and how long it might take us to save it. It can provide us a psychological boost and reinforces the habit as it makes the payoff of saving more immediate and productive.

Takeaway

Saving money requires a consistent process. It has to go through an appropriate plan for it to generate benefits in the future. Thus, we have to review our budget and check our progress every month.

 

Better management of your financial matters is not just about making ends meet. It is not about how much you should limit yourself on spending to be able to save. It is not about the fact that you can afford it even if you do not need it. And not about how much you are willing to invest only to earn. Better financial management has a lot to do with your credit score and the amount of debt you end up carrying.

When you came across any financial decisions, especially on large expenditures, you somehow think about the burden of living paycheck to paycheck. That is despite making more than enough for your overall needs. With that particular issue, you need to understand the significance of using your budget to stick with your checking and savings accounts balance. Below are few tips that can help you manage your money wiser and much better.

Source: pixabay.com

Tip # 1: Create A Budget

One common reason why most people deal with their financial matters in a tight situation is that they do not create a plan for their finances. If you are like them who think that budgeting is a boring and unnecessary thing to do, then you might want to rethink that—listing out expenses and making sure that financial flow lines up is essential in keeping your credit scores intact. Creating a budget provides you with more time allocation to the appropriate resources and expenditures. It also helps you with monitoring monetary performance and meeting financial objectives that are essential in future endeavors. Budgeting offers you improved decision-making skills and better identification of cash flow difficulties.

Tip # 2: Utilizing And Sticking With The Budget

Of course, once you create a budget, you need to follow and stick to it. That is the problem there. Most people are only good at the beginning but eventually lose control of their monetary goals. That is because of the initial benefit of budgeting that they acquire after a short period. Sometimes, they get overwhelmed with the repetitive process too. However, it is important not to get distracted on the small gains of budgeting because there are more to it than just helping out in paying bills and manage other monthly or everyday expenditure. You need to update your budget every time there are considerable expenses.

Source: pixabay.com

Tip # 3: Track Your Spending

It may seem underrated, but tracking your spending is a significant thing you need to practice. That is because a lot of times, you have these lists of things on your budget that you thought you need, but you don’t. Usually, these are small expenditures like cosmetics, fitness or exercise gadgets, excess clothing, baby stuff, and some household items. It will benefit you a lot if you keep your receipts intact. That way, you can identify the expenditures you spend most of your budget and make room for adjustments.

Tip # 4: Limit Unbudgeted Spending

Even if you stick mostly with your budget, there will be instances that you will spend on unbudgeted things. Perhaps that goes along with the previous habit where you buy the stuff you thought you need. You have to try your best to limit that practice because you will eventually overspend your budget before you know it. Of course, if you have excess money, you shouldn’t deprive yourself of using it for leisure and entertainment because you deserve that too. However, be mindful not to go overboard. Before you make any huge amount of purchases or spend an ample amount of cash for yourself, make sure it won’t impact anything else that you budgeted already.

Source: pixabay.com

Tip # 5: Regularly Save Up

If you put limits on things you buy, then for sure, you have the idea that all those unspent money goes to your savings. The ability to hold up your indulgence will go a long way in helping you become more aware of your financial state. It is a great deal because not only do you avoid wasting money on buying things you don’t entirely need, you also increase your credit. When you consider saving up regularly, you will be surprised at how much you can build healthy financial habits. The more you save, the more comfortable it is to manage your expenses.

Tip # 6: Avoid Debt

There will be moments that you will undergo a financial shortage, and borrowing money is entirely okay. In some instances, it can be a great way to make ends meet. However, you need to avoid getting stuck with debt as much as possible. Because even if it sometimes can help you manage through your financial crisis, it is still part of a huge financial burden. It will affect your current budget and ruins your savings in the future. You must take your debt seriously and prioritize paying it. That way, it won’t become a hindrance to your ongoing and future financial goals.

 

 

I worked as a credit counselor ever since I earned my Bachelor’s degree in Finance in 1990. Before the same company that I still work for now hired me back then, they initially asked if I was willing to travel. Apparently, their credit counselors had to move to different cities every year to gain more business experience. Of course, I was all for it, so I went ahead and signed my contract. 

As the years passed by, I would say that I dealt with almost every kind of client out there. However, there were three most common issues that I had seen.

Splurging

The primary issue that many people experienced was buying more than what they could pay for. I often saw this mistake in individuals who never used a credit card or another payment method before allowing them to buy now and pay later. They would not know how to keep track of their expenses so that the bills would accumulate and surprise them next month.

Getting Conned By Family

Getting conned by a family member was common for senior citizens who did not know how to use their credit cards. Some of my previous clients typically lent their credit cards to their kids or other close relatives who said that they needed to buy one thing at the mall. But when the bills came, they found out that the person maxed out their card, and they would now need to pay for those.

Being Misinformed About Payment Schedules

Another typical problem that borrowers faced was their lack of information about billing dates. Ideally, everyone receives a copy of their payment schedule when their loans would get released. However, not everyone would keep it safe or write the dates somewhere to remind them when their payments were due. Because of that, they would sometimes forget to deposit money in their accounts at the right time, causing penalties to pile up.

Do Many People Accept Credit Counseling?

In all honesty, no, not many people want to hear someone tell them how they should handle their credit. That was especially true when I was fresh out of college, and I still looked like a preppy young adult. I was assigned to help some folks immediately ask for another (read: an older) person to assist them. Others would insist on leaving in fear of talking to credit counselors hurting their credits further. Despite that, I would try to calm them down and prove that I was hired because of my brain, not because of my appearance.

1. Is Credit Counseling bad for your credit? 

 No, credit counseling will not be able to affect your credit score adversely. The counselor will merely help you reassess your repayment process and makes things easier for you. 

2. Is credit counseling a good idea? 

 Yes, credit counseling is an excellent idea. It entails that the counselor can advise you on how to reduce your monthly payments or interest rates. Even better, they may be able to talk to the creditors on your behalf.

3. What does a credit counselor do? 

 A credit counselor is like a regular counselor who talks to people about managing their debts better and improving their financial situation. Aside from one-on-one counseling, they also offer workshops so that their clients can start planning their future actions better.

4. Who is the best credit counseling service? 

 According to The Balance website, the best credit counseling service provider is GreenPath Financial Wellness. The reason is that they practically offer everything, from student loan counseling to bankruptcy support. It is almost like a one-stop-shop for all kinds of financial counseling. They also provide free educational materials to their clients. 

5. Is it better to pay off a debt or settle? 

 Paying off debt is more recommendable than settling it. The reason is that doing the former entails that you can close that chapter of your life once you have reimbursed the money you owe to the lender. As for the latter, you will incur a debt of gratitude because the lender has agreed to reduce the full amount you need to pay, and such obligations are not payable.

6. What is the difference between credit counseling and debt settlement? 

 A non-profit organization typically conducts credit counseling to help people understand debt management. Meanwhile, debt settlement is one of the services that private companies offer – in exchange for a fee – to help people settle their debts.

7. How long does it take to improve credit score after debt settlement? 

 Credit score improvement can take anywhere from 12 to 24 months after settling your debt. Though that seems long for some people, it is still acceptable because you will be debt-free.

8. What is the best non-profit debt consolidation? 

 The National Foundation for Credit Counseling (NFCC) has the best non-profit debt consolidation companies. They have been around for decades in the United States.

9. Why would a borrower choose to consolidate debt? 

 A borrower may choose to consolidate debt if it can reduce the interest rate or find a way to pay off their debt more quickly.

10. Why Debt consolidation is a bad idea? 

 Debt consolidation is an awful idea for people with a low credit score because the lenders may not agree to give you a lower interest rate. Worse, it may increase, thus expanding your issues.

11. What are the disadvantages of debt consolidation? 

• The lender may not allow you to consolidate debts if you don’t have a high credit score.
• Even if the lender agrees with debt consolidation, they may turn everything into one big loan.
• If you accept the new terms and are unable to pay your debts, you may lose your collateral.

12. What are the risks of debt consolidation?

• It may not help you save money.
• It may be challenging to be eligible for debt consolidation.
• It may lengthen your loan terms instead of shortening them.
• It may harm your credit score.

Final Thoughts

Whenever you have questions about your credit, you should know that credit counselors in and out of banks could answer them for you. You need not face your issues without the proper information. If you insist on that, you may end up paying more than necessary or incurring too much debt.

Although indirect, global economic crises can also impact mental health. The decline in the economy can affect people, particularly with their jobs, businesses, and even spending. These occurrences can lead to loss of livelihood and eventually debt.

The frustration that economic turmoil may bring can be too difficult to deal with. Since each person deals with struggles differently, some may dwell on such a phenomenon’s negative impact. While it may initially start as a disappointment, it can lead to more serious mental health conditions.

If you or anyone you know is going through difficult times that lead to serious problems like a mental disorder, it would greatly help consult a mental health professional.

One of the therapies that could help a mental health condition is psychoanalysis therapy. Psychoanalysis emphasizes the unconscious. This approach believes that unconscious conflicts lead to troubled moods, anxiety, and depressive thoughts. Thus, it aims to bring these unconscious conflicts to the conscious mind.

Psychoanalysis therapy is a type of “talk therapy.” It primarily spends time on the patients talking about their past and present. From this, the therapist looks for significant events or traumas that may cause the patient’s current issues. The therapist explores as early as a person’s childhood life events.

This therapy is a collaboration between the therapist and the patient. It requires full commitment from the patient, especially because it is also a lengthy process. Moreover, the long therapy duration will also mean more expenses.

Although there will be several setbacks, a healthy mind is still possible. By deciding to seek professional help, you are taking a step in the right direction.

If you want to learn the things you might not know about psychoanalysis therapy, read the frequently asked questions below. 

What is psychoanalytic therapy used for?

Psychoanalytic therapy is used for helping people deal with all sorts of psychological and emotional dilemmas. These problems include depression, emotional issues, traumas, neurotic behavior patterns, self-destructive behavior patterns, relationship issues, and even personality disorders.

What is an example of psychoanalysis?

Most psychoanalysis forms involve tracing down current psychological issues or traumas to past experiences, especially childhood experiences. For example, if someone is afraid of cats, it may be because of an unpleasant experience with cats before.

It could be because a cat previously scratched that person, and she was traumatized by the pain. After coming down to the possible unconscious connection, psychoanalysis will try to reframe or address this link.

What techniques did Freud use in psychoanalysis?

Freud’s psychoanalysis included techniques such as free association and dream analysis. In free association, the client is encouraged to freely talk about their thoughts and feelings, revealing the unconscious.

In this technique, the analyst listens to hidden meanings known as Freudian slips, which indicates the client’s repressed perceptions. In dream analysis, the therapist looks for hidden, symbolic meanings that may reveal your unconscious thoughts and motivations.

What is psychoanalysis in simple terms?

In simple terms, psychoanalysis help solve psychological problems by looking into the unconscious, repressed trauma, and past experiences.

Specifically, psychoanalysts’ central premise is that most of our issues are rooted in what the unconscious mind contains. They believe that this is because there are repressed thoughts, feelings, and traumas hidden in the unconscious.

However, these manifest through the disturbances a person experiences, which they may not be aware of the connection. Psychoanalysis hopes to bring a cure by making the person aware of their unconscious thoughts and motivation.

In this way, the person will hopefully address the right problem and deal with it better.

Is psychoanalysis still practiced?

Freud’s version of psychoanalysis has been disproven, but there are also succeeding versions of psychoanalysis, and they are still practiced. It can be expensive, and the stereotypical couch therapy is not all true. There should be a dialogue exchange between the therapists and the client for any treatment to be effective.

However, psychoanalysis has been marginalized and has been struggling to survive in the academic and clinical community.

What is the main goal of psychoanalysis?

Psychoanalysis aims to make a person aware of one’s unconscious thoughts and motivation. By being aware of these unconscious things, you can also recognize related patterns of thinking, feeling, and behaving.

What disorders does psychoanalysis treat?

Just like other forms of psychological therapy, psychoanalysis can also treat a variety of psychological disorders. Some of these are depression, generalized anxiety, sexual issues, self-destructive behaviors, and thinking.

It can also address identity disorders, psychosomatic disorders, phobias, and obsessive-compulsive disorders.

What is psychoanalysis a knowledge of?

Psychoanalysis is a branch of human psychology that investigates the unconscious mind and pathological development throughout life stages. Psychoanalysis has influenced clinical mental healthcare and even other disciplines such as anthropology, education, and neuroscience.

What is another word for psychoanalysis?

Psychoanalysis is also synonymous with psychiatry, psychotherapy, and psychodynamics. Other words, such as counseling, therapy, treatment, mental therapy, and rehabilitation, are also related to psychoanalysis.

Why does psychoanalysis take so long?

Psychological therapy is like going to the gym for your dream body. You cannot have an overnight miracle.

The repetitiveness of your symptoms is what drove you to seek help in the first place. And something chronic is not easy to break, especially if it’s something rooted deep in your childhood experiences. Meaning it is something you have believed in for years, whether you are aware of it or not.

Disbelieving and teaching old muscles new tricks can be the hardest things to do.

Why is psychoanalysis criticized?

Psychoanalysis is criticized for focusing too much on the unconscious, sex and aggression, and childhood experience. Critics argue that development is limited to childhood alone; instead, it is a lifelong process and not linear. Many experts have also refuted the idea that all children go through so many traumatic experiences in their childhood.

Thinkers also argued that the unconscious connection to present problems is more of a difficulty in memory retrieval. Also, the unconscious mind is not all just repressed stress and pain or traumas. It also consists of information, memory, perception, and emotion that may be or may not be suppressed.

What is the difference between psychotherapy and psychoanalysis?

The main difference between psychotherapy and psychoanalysis is their focus, approach, and their goal.  Firstly, psychoanalysis focuses on the unconscious, whereas psychotherapy deals more with the ego or the active agency side.

The purpose of psychotherapy is to strengthen your ego and restore your behavior around social norms. In comparison, psychoanalysis aims to make you stronger over your unconscious thoughts.

Lastly, the psychoanalysts’ approach lets you decide after helping you realize your underlying thoughts and motivation. In contrast, psychotherapists try to influence your decision-making and how your behavior is modified.

Can you psychoanalyze yourself?

Perhaps you can do a certain level of psychoanalysis by yourself. You could reflect and think back on the relation of your current behavior and thoughts on your past experiences. However, if your problem is something chronic and destructive to you and others, it means you need professional help.

Moreover, seeking psychoanalysis from a licensed psychologist is always better than trying to do it on your own.

How long is too long in therapy?

How long is too long in therapy is determined by the purpose behind seeking therapy for you is. If you aim to alleviate your symptoms or treat a disorder, it usually takes a few weeks to a few years. Once your problem is solved, you should be done with therapy.

There is also the type of clients who goes to treatment as if they are going to the gym. It means that you go to treatment for your wellness and making your life better, and you are not treating any conditions. For this type, you can go to therapy all you want.

How long does psychoanalysis usually take?

The length of psychoanalysis treatment varies depending on the client’s specific needs and therapy type. Numerous psychodynamic approaches limit the number of sessions, like Brief Relational Therapy (BRT), Psychodynamic Therapy, and Time-Limited Dynamic Therapy (TLDP).

These types of psychoanalysis treatments only allow 20-30 sessions. But full-blown psychoanalysis can take up to 3-7 years.

There is no superior approach for any mental health condition. It will depend on what the therapist deems as needed. Psychoanalytic therapy is just one of the many techniques that can alleviate the situation. This approach may have pros and cons, and it will vary on the factors that could affect your progress.

Psychoanalytic therapy is highly effective in treating psychological disorders. It addresses the root cause of these disorders, which help create healthier coping mechanisms. Consequently, it also reduces the symptoms of these disorders.

Psychoanalytic therapy itself uses different techniques to examine a pattern on how the behavior developed.

Despite the benefits of psychoanalytic therapy, it also has some drawbacks. This approach will take longer, so make sure to take consider the financial situation. If you have insurance, you can inquire with your provider if they can cover therapy costs.

The therapist may not focus on just one approach. For instance, the psychoanalytic approach deals more with the unconscious and childhood events. Thus, it might not be able to address other aspects of the patient’s life. So combining it with different approaches may yield better results. 

For example, the therapist may use CBT to help reframe negative thoughts. As psychoanalytic therapy digs deeper into your unconscious, CBT can help deal with these thoughts better. 

The goal of therapies is to improve your overall being. But be reminded that the effects may not be instant. It is a slow and gradual process. You might experience up and down emotions, and you might feel minimal improvements in the beginning. But don’t lose hope, trust the process, and believe in yourself. In time, you will get better.

Holistic wellness is always possible. After all, our well-being is multifactorial. With your therapist, family, friends, and most especially yourself, you can be your happier self.

In today’s world, we have started to interchange the words “saving” and “investing,” but when we start to analyze these two things, we should be engaging ourselves in both of these things to secure our future financially. Although we use the terms saving and investing quite commonly, some people still do not understand the full concept of these two things. Before we go into this a little deeper, let me tell you about what these two ideas mean.

Continue reading “Savings, Investing, And Banking (How It Affects Mental Health)”

We all know of a family who has always been wealthy. A family of “old money” as they call it, money that has been passed down from generation to generation. Grandparents who have worked hard for the wealth that their grandchildren’s grandchildren use to fund their education and their businesses.

Continue reading “Family And Banking”

A friend was seeking my advice a few days ago about the business that he wants to put up once the pandemic is over. He said, “I am thinking of opening a welding shop in my town soon. What do you think about it?”

Since I have been to his hometown before, I know he won’t have much competition. So, I naturally told my friend to go for it. His reaction to that, however, caught me by surprise.

“Thank you so much for supporting my idea. Everyone in my family has been opposing it vocally, telling me to stick to my day job. But welding has always been my hobby, and it’s time to make money out of it.”

Although I get that my friend’s loved ones only care about him, I agree that it is best to start a business post-pandemic because:

Construction Will Undoubtedly Resume Post-Pandemic

The first reason why opening a local welding shop is an excellent idea is that all the delayed or postponed construction projects will resume after the pandemic. Nothing seems problematic about it at first glance; the contractors can start making money again. However, the resumption of work may entail that the previous scheduling that they have done may no longer apply, and they need to let go of some projects.

New contractors have a better shot at snagging vacated deals because of that. If you are one of the few businesses that provide welding services in town, you may have one project after another. Hence, you may be able to earn back your investment faster than expected.

You Can Offer Jobs To People

It is no secret that many people are jobless these days. Some have no choice but to wait for their neighbors to give them meals. Others jeopardize their health by going outside to look for food scraps or, worse, become homeless.

When your business starts operating, you can hire as many skilled individuals as possible to complete your projects. They can get paid daily or hourly—that’s okay. What matters is that they no longer need to stoop too low to get by and risk losing their self-respect.

It Will Be Ideal For The Economy

In truth, a lot of friends and family may worry about your decision to open a local welding shop post-pandemic, and you can do nothing but listen to them. They assume that no one will be looking for welders at this time or that the economy is in bad shape, so it is suicidal to think of being a new business owner. However, I believe that opening more business will help the economy to thrive again.

For instance, a shop may be small, but it can give a job to at least three individuals who have been laid off during the pandemic. That’s three more people with renewed buying power. When they buy anything in the market, other businesses will have an income. Before you know it, the economy will be rising slowly but surely.

Final Thoughts

Making the people around you realize that you are not out of your mind for wanting to open a local welding shop post-pandemic will never happen overnight. After all, you still need to prepare your business permits and workshop and look for clients, and the former can take more than two weeks. Even when everything is ready, they may try to discourage you from pushing through with the launch.

Despite all that, you should stand your ground. Opening a new business is ideal not only for you but also for other people and the economy. The world needs dauntless people like you now more than ever. Good luck!

 

My son is in college, and for me, he’s become one of the best investors in his age and time. He’s been learning continually and is now unafraid to commit mistakes. He has learned while still in college that aside from building an education, it is also a great time to build his wealth. He didn’t need a large amount of money to start investing. He just learned how to do it.

This article centers on online investing, as this is the first and most successful option that my son chose. If you are a student who wants to learn how to invest while you’re still in college, do read on.

Initial Investment – Stocks

You will learn soon enough that you will most likely invest in stocks when you start your investing journey. This is because stocks are relatable and are also commonly discussed in public and online. You can talk about stocks while having coffee with friends or older family members, and you’ll get a lot of insight into what the best options might be. But if you ask me, it would be great if you have a short but clear education on how to invest. The trick is to be aware of the patterns. It is fine to choose things that make you feel good as long as you recognize that this is part of your motivation,” says Michal Ann Strahilevitz Ph.D.

Creating An Online Portfolio

Financial specialists agree that investing at a young age has a relative advantage over the others because as they start young, they will have a lot of time taking care of and handling their money. And if we talk about compound interest, then indeed it is true that time certainly is money.

Starting small is the wisest initial move for the college student who is looking to increase his funds. It is perfectly okay, as the important thing is the way you invest that will determine the future of your investment. “When it comes to investment decisions made when we are anxious or excited, we can’t trust our instincts. When we let our animal brain make our investment decisions, it wreaks havoc on our financial lives,” Brad Klontz Psy.D., CFP explains.

Here are simple tips to start your investing career right.

• If you plan to invest a small amount, say, $50, find a broker who is willing to transact with small accounts. Later you can always increase your capital by adding funds regularly.

 

• If you are a risk-taker, you’ll probably be more willing to earn big instead of thinking about the possible losses you might incur. But before deciding to invest a little more to earn more, do make appropriate calculations. College life means money for educational expenses too, and you can’t afford to lose more of what you can spare. According to Denise Cummins Ph.D., “To be an effective financial decision-maker, you need to take calculated risks. And that means asking yourself each step of the way how you can minimize losses, and cognitive reappraising your negative reactions when losses happen.”

 

• Consider savings options that assure profits at minimal risks. Federal savings, savings bonds, and certificate of deposits are some ways to achieve this – in the form of savings accounts. Although you get the lowest profits, these are surefire ways to protect yourself from losses.

 

• If you can afford to invest your money at a longer period, try investing in exchange-traded funds or mutual funds. These funds consist of different securities like stocks, commodities, and bonds. Insurance or mutual fund companies are responsible for collecting and managing money from investors. More and more college investors are going for these options.

 

• Finally, before risking your extra college funds or your hard-earned money, remember to always look into the companies that you are thinking of putting your money into. If you’re interested in mutual funds, do a background check on the corporation that will handle your money. Some of these companies cater to banking or pharmaceuticals specifically, while others accept different portfolios.

Final Thoughts

As a student starting and making your way into the world of investing, you will eventually learn how the market works, and soon you will be investing in bonds and stocks. However, professionals at BetterHelp often explain, the worst case of mental breakdown comes from financial instability. Thus, you need to be careful about investing. Because one wrong move, the whole process can cause you severe emotional and mental damage. And who knows, at 30-something you’ll be living your dream! So start young and be financially successful before you even hit midlife.

 

Perhaps you don’t know this, but there is no clear definition that you will see on community banking if you check Merriam or Webster’s Dictionary. And while many people are aware of what community banking is and how it differs from the other banks, still, others do not know what it means. Let me share with you the definition of community banking from a community bank employee’s point of view.

In the year 2013, the community bank I’m working on was named the Business of the Year Award for 2012. I felt so honored to be part of the bank receiving recognition, especially since several other banks were also nominated just like us. I was contemplating on what qualities led to the award, and finally, I arrived at some principles that I believe a community bank should symbolize.

 

• The bank’s reputation is dependent on its profile. A community bank is measured by praises and recommendations from clients and other people from the business community.

 

• The bank and its employees must know all its clients and the community must know the bank well. Community banks are proud that because they are relatively smaller compared to others, they know their clients’ names and addresses.

 

• Decisions and agreements regarding loans are geared toward the community. They must be consistent, trustworthy, and fair to everyone concerned. It is a known fact that community banks are not obliged to always approve of loan requests. If the request is denied, the bankers must stand firm with their decision. The loan officer is the responsible person who can approve or deny a loan request, and there is no one else who can do that task but him.

• Employers and employees of the community bank should prioritize their clients first. This means that they must strive to make the clients feel that their relationship does not only exist when the bank wants something from them. Before they make decisions, they must make sure that they have exhausted all efforts for the good of the clients. It is a gratifying feeling for the bank and the client to succeed in their endeavors by helping each other even through the tough times.

 

• Community banks are not expected to have marketing plans that are equal to or higher than the larger financial institutions. The client base of a community bank does not depend so much on the market campaign but the honesty, strength, and assertiveness of its employees. When a client is introduced and is walked through the guidelines of the community bank, it is the employees’ goal that the client decides to stay for good.

 

• Employees of the community bank are obliged to take part in community activities and events. The bank cannot donate large sums of money to show its support; the employees almost always work together with local entrepreneurs as well as the local government to find ways in making their community a much better and safer place to live in.

• Community banks know and understand their roles in society. As a long-time employee, people would ask me how banks like ours could compete with the larger national banks. I would always tell them that it’s because we know who we are and what we can offer, and despite having a limited niche compared to the national banks, we are still able to accomplish the goals that are set for us to achieve community-wise. Our clients are living testimonies of this truth.

 

Overall, just recalling the award that our bank has received, I feel very proud to work in a community bank. It hasn’t always been easy. Of course – because if it was, then I guess all of us could work here!