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I'm a Scrabble nut, and I need something to do while I'm travelling. Scrabble keeps me occupied, I play against myself. I have a high score of 718 that I'm always trying to beat. I'm a good player. You don't want to play me for money, that's for sure. ”
Money you won't need to use for at least seven years is money for investing. The goal here is to have your account grow over time to help you finance a distant goal, such as building a retirement fund. Since your goal is in the future, money for investing belongs in stocks. ”
Your goal should be to pay off your credit card bills in full at the end of each month and set aside money toward your emergency savings. ”
Time is key to building your financial security. ”
Even if you were to fall into extreme financial hardship and file for bankruptcy, you need to understand that your student loan debt will not be discharged in bankruptcy. It is the Velcro of all debts. ”
If you wait to see how much money you have left at the end of the month to put toward savings, the answer may be zero. So, set up an automated monthly transfer from your checking to savings account. Once you lock into that commitment, you'll be forced to scale back spending to make ends meet. ”
I have never been a fan of bond funds. Unlike a direct investment in an individual bond that you can hold to maturity and be assured you will get your principal back (assuming no default), a fund has no finite maturity date and most funds are actively traded. ”
A cash advance on a credit card is one of the worst types of borrowing because the interest rate is typically 21 percent or more. ”
Not everything is about money. ”
Remember what I always say: people first, then money, then things. ”