A Millennial's Guide to Safe Finances

Many people face credit card debt and issues for a wide variety of reasons. Sometimes a job or income source might be lost unexpectedly. Or maybe you got too carried away with purchases for a billing cycle. Did you forget to make a payment one month? Did you plan to pay off the card balance but life kept throwing curve balls? Whatever the reason may be, millions need some help to get their finances secured and safe once more. So here are some simple things that can help you get back in control of your finances and protect them down the road as well as serve as a guide to safe finances.

• Keep Track of Your Spending Habits Online and Offline– This can help keep your accounts safe and secure because it forces you to be involved. Scammers and identity thieves love people who do not stay up to date with their balances and who have no clue what their spending habits really are. So it is important to be involved and keep track of your spending habits. A good way to start is to just record everything you spend for a month. Buy a soda at the store? Write it down. Fill up the gas tank? Write it down. No matter how big or small the price, write it down. What many people find is they remember the big expenses but do not realize how quickly the small expenses can add up and create debt. Other sources of these small fees that add up are vending machines, lotto tickets, and little impulse buys such as candy bars and snacks at the checkout counter. Tracking your spending habits can be a real wakeup call and can point out simple places to begin cutting back and show you simple ways of keeping your finances secure and under control. Not only will this help with your debt management, this can also help to keep your finances safe by making you more aware of what is coming in and going out of your accounts. When you are more aware of your spending you will notice odd charges and deductions more easily. When you are the victim of identity theft or a credit scam the first hint of trouble usually is unrecognized charges on your account. By keeping a close daily or at least weekly tab on what you have spent, you can easily see where things are not adding up.
• Combine Your Finances When You Are Married- There has always been, and probably always will be, debates on the ‘his’ and ‘hers’ finances. The biggest danger with having separate accounts and trying to push bills into a his or her category is that if one of you suffers you both end up suffering. As a married couple you need to work out a budget, know what you have to spend each month, and work together to avoid those impulse and unnecessary purchases. Another safety benefit to having a joint account as opposed to separate accounts is that there can be two pairs of eyes to keep a lookout for trouble areas. If both partners are money wise and keep an eye on their accounts and spending and are faithful to look at statements and account balances on a regular basis, it can help keep their money safer from thieves who might try to hack in.
• Use Cash to Protect Your Card Information and to Help Save You Money- Many studies have shown that people are less likely to spend cash than a debit card and they are less likely to use a debit card than a credit card. A good way to help keep yourself on track is to decide what ‘free money’ you have, if any for the week. Take that out in cash and put it in your wallet or purse. Then tell yourself that is all you have for the week and don’t take the plastic with you. It can help you fight the urges for those impulse buys and will make you stop and think about what you are buying before you make the purchase. Another great benefit to cash is that is protects your account information. An identity thief cannot track your account when you use cash. Only by exposing your card and account numbers can they try and gain access. So by using cash you are not only helping to curb your spending, you are also protecting your money and finances from potential hackers.
• Sit Down and Plan- You need to figure out what your plans are as far as added security for your finances. Many people fall victim to fraud and hacking and getting protection is an important step to your financial security. If you get regular credit monitoring, it can really keep your finances safe with alerts for any unusual charges or activity posted to your credit report. Another step you can take to protect your finances is getting fraud alerts. With these guards in place, you can know sooner and be more pro-active when it comes to protecting your money from thieves and hackers.

  Joy Mali is an active blogger who is fond of writing articles on credit monitoring and advising people to monitor your ID to keep an eye on wrong data entered in your report. Follow her on Twitter to know everything you need to know guide to financial safety.