Money Management Tips from the Classroom
By Scooter Hendon / 08/07/2020 / Your Money
It’s no doubt that some lessons we learn at a young age will stay with us for a lifetime. Thanks to our parents, teachers and mentors, we’re molded by these core principles. The habits we built since then have stayed with us day after day. How do they apply when it comes to your personal finances?
Let’s find out if you remember.
Honesty is the best policy
We’ve all done it. You set a budget, you start tracking your spending, and you make yourself accountable to sticking to the plan. But then, you buy your daily latte. And order a book online. And buy an app on your phone. Suddenly, that hardline budget plan has fuzzy edges everywhere. Be honest with yourself about where your budget dollars go and track your spending consistently. Everything counts (even the small stuff).
Be on time
Paying your bills on time is one of the best things you can do to help your credit score improve. Credit scores are calculated using various factors, but the one with the biggest impact is your payment history. That’s why staying on schedule is so important.
You can do anything if you put your mind to it
Improving your financial behavior might be easier than you think. It’s always important to exercise personal discipline and be consistent with your budget, but doing things like setting up automatic payments on your bills and setting reminders for yourself and other tools for other important tasks can put you on the road to healthier credit while reducing mental stress.
Do your homework
Your teachers have told you for years that if you didn’t do the homework, you wouldn’t pass the test. That stands true to this day. If you happen to be considering leasing or buying a new vehicle, do your homework to make sure it’s the right one for you. Taking your lifestyle needs, finances and affordability into account will help you narrow down your choices. It always helps to take a test drive to make sure you like how the car drives and feels before signing all the papers.
Don't be afraid to ask questions
Socrates is often quoted as saying “True knowledge exists in knowing that you know nothing.” Although you might know a little, there’s always room to grow. If you don’t know the best way to accomplish something financially, seek resources to learn how to manage your money. For example, GM Financial offers education on financial literacy and how to build your credit through KEYS® by GM Financial. You can also look to mentors in your personal life who have realized success and ask them questions to help illuminate your path.
Learn from your mistakes
We all have our own financial mistakes. It’s how we respond and improve that matters. Very few financial missteps are impossible to recover from, so stay positive. You have the power to change your path and not make the same mistake twice. Here’s to growing from all our past lessons.