4 Free Financial Gifts for Springtime Grads
May is a special time of year for thousands of high school and college seniors across the nation and right here in Iowa. Whether they are preparing to head off to college or are looking to join the workforce, graduating high school and college are two major milestones. With each of these achievements comes celebration, but also a lot of responsibility.
Lincoln Savings Bank wants our customers and their families to make the best financial decisions possible. In the spirit of giving our high school and college graduates a gift as a token of their achievement, here are four financial tips for the grad in your life.
Loading up on too much debt...or not enough- obviously owing a lot of money is not a good thing. That’s why it’s important to watch your credit card usage and to find other sources of financial aid or income other than loans. But you also need to start building your credit score, so having some debt is good, as long as you are making payments to pay it off.
Making too big of a lifestyle upgrade- this is a pitfall for both high school and college grads. You move to college, you need new clothes, a new computer, new sheets and new everything because you want to make a good first impression. After you graduate, you’re ready to start making important purchases because you’re an important person: new TV, better car, new furniture. Too many purchases at one time can leave you without money to fall back on or pile up credit card debt.
Creating bad money habits- what’s $20 on Happy Hour every other week? Or $7 for lunch every day? Or $1.87 for a cup of coffee every morning? It’s a lot when added up over time, so set a budget for these types of extra expenses and stick to it.
Saving and investing is only for old people...right?- Look, we know you may not be swimming in money. But the thing about saving and investing is that the earlier you start, the longer your money has to grow before retirement (yep, that magical thing that’s way far off in the future).
Getting in the right frame of mind with your finances can help drastically whether you’ll spend the next four years of your life on campus or establishing yourself as a young adult in the real world. Whatever your stage in life, Lincoln Savings Bank is here to help any way we can, so don’t hesitate to call, email or come by to ask questions. Good luck, and we look forward to seeing you soon!
Lincoln Savings Bank, Member FDIC