MONEY MATTERS

Saving Strategies

With the holidays approaching and the COVID-19 crisis still MONEY up all year, little by little, for the holidays. Your banker can advise you on any special not behind us, saving money is more important than ever. MATTERS programs they have and answer questions about your savings goals. With this in mind, here are some strategies for saving money that might be of help to you and your family: Take advantage of the current low interest rates.

Read the fine print when you make a purchase. With rates at almost historic lows, it might be time to consider refinancing your home. Talk to your banker to see if this is a good

Say you’re looking to make a significant option for you, but generally, if you can shave purchase, like a refrigerator or a computer. at least one percent off your interest rate, it Maybe the store offers something that seems might be worth it, even if you just bought your like a deal, like six months of no-interest home recently. financing. If you’re positive you can pay it off within the timeframe, that could be a great option. But if you get to the end of the Connie Preston Consider moving money from CDs to Money Markets. six months and you still have a balance, some of those For most people, with rates this low, it makes more companies tag on the interest effective from your date of sense to consider Money Market savings accounts instead purchase, so you haven’t saved anything. of certificates of deposit. Money Markets don’t have a Shop around. Be diligent in knowing the prices of goods and services, and be aggressive in shopping around for the best deals. This includes your homeowners insurance, automobile specified term, so they allow more flexibility if you should need to pull money out or if you should want to put it into a CD if rates change. Keep an eye on your credit. insurance and cable provider. A good rule of thumb is to Credit cards are not bad, but if you only make the check into whether you can save money for those services minimum monthly payment, you’re never going to get once a year. For example, call your insurance agent and out from under the debt. Always pay as much as you can. just ask: “Am I in the best plan for my current needs And make sure you check your credit reports periodically. for my home and my car?” See if there’s a way you can We see folks shopping for a new car, and they find out either lower your premium or increase your coverage, at the dealership that their credit score is much lower depending on what’s most important to you. than they expected, due to fraud or identity theft. Stay

Pay yourself first. Make sure your entire paycheck doesn’t immediately up to date with your credit, because it’s easier to prevent problems than to fix them after the fact. land in your checking account, if you can help it. Using direct deposit, send as much as you can to your 401K, especially if your employer matches those contributions. And use direct deposit to build up your savings. A regular savings account is still the most popular way to save, and customers at Valley Bank are also opening kids’ savings ~ Connie Preston has been the market manager at the Auburn Branch of Valley Bank since 2012, and she’s been in banking for 35 years. An Auburn graduate, she lives in Opelika, where she was born and raised. Valley National Bank is a Member FDIC and Equal Opportunity Lender. accounts and holiday accounts, which allow you to save