## How minimum monthly credit card payments affect your credit – Lexington Law

The information provided on this website does not, and is not intended to, act as legal, financial or credit advice. See Lexington Law’s editorial disclosure for more information.

Many people don’t hesitate to pay just the minimum payment on their credit card. This is especially true if the total balance is high or the cardholder is confused about the credit card lending terms and doesn’t understand the impact of paying the minimum balance. But, making just the minimum payment can have a greater impact on your credit score than most people realize.

Learn how lenders calculate the minimum payment, what it means for your debt and how making a minimum payment affects your credit.

## What are credit card minimum payments?

Your credit card minimum payment is the least amount of money your lender will accept toward your credit card balance each month. You need to pay the minimum payment by its due date to avoid late penalties and other fees and to keep a consistent payment history. The minimum payment amount is displayed on your credit card bill and often ranges from one to three percent of your total credit card bill.

## How is a minimum payment calculated?

Your lender calculates the minimum payment based on your total balance and any outstanding interest charges.

Each credit card lender has a different method for calculating its minimum monthly payment. The two primary methods are formula and percentage.

### Formula

Many of the major credit card lenders use a formula to calculate your minimum payment. The formula picks an amount and adds one to two percent of your monthly balance. For example, let’s say your lender picked \$35 as the minimum payment amount, plus two percent interest, and you spent \$500 in new charges for the month. In this scenario, your minimum payment would be \$35 plus \$10 (\$500 x 2%) for a total of \$45.

If your total balance is less than the minimum payment, then your whole balance is due. Following the previous example, if your lender charges \$35 plus two percent interest but your credit card balance is \$20, you will owe \$20 for that month, plus any fees and interest from the previous month.

### Percentage

Other lenders—typically credit unions and financial institutions—use a simpler, percentage formula to calculate the minimum monthly payment. This method is most common for high-risk borrowers with poor credit. The percentage can range from four to six percent.

For example, if you had a \$1,000 credit card balance with a lender that charges six percent, you would owe a minimum payment of \$60 plus any additional fees (\$1,000 x 6%).

Some lenders will include any past-due fees in the minimum payment.

## What happens if you make only the minimum payment on your credit card?

Making the minimum payment on your credit card is better than paying nothing at all. As long as you always make the minimum payment, you should not receive negative items on your credit report, as it relates to your payment history.

However, making only the minimum payment means you may see greater charges for interest, resulting in you paying more over time.

Take a look at this example: Let’s say you have \$5,000 in credit card debt and your lender offers an 18 percent interest rate with a minimum payment of two percent of the balance. In this scenario, your minimum payment is \$100 per month, which can look very tempting. But, it will take you almost eight years to pay off your balance and you will pay a total of \$4,311 in interest—almost doubling what you originally owed.

Your minimum payment is generally a small portion of your total debt, and most of that payment goes to interest. As a result, you are slowly progressing toward paying off your principal amount, and you could end up paying minimum payments for many years.

Additionally, your credit card utilization may be high if you make only minimum payments. Credit utilization is the amount of credit extended to you by the lender versus the amount you owe. If you maintain a high credit card balance while only paying the minimum payment, you are at risk of having high credit utilization month after month.

Several factors determine your credit score, but credit utilization accounts for 30 percent of your overall score. So, maintaining a high utilization ratio can negatively impact your credit score.

Finally, when you maintain a high credit card balance and a routine of only paying the minimum payment, you may fall behind on payments. When you make late payments or miss the payment entirely, having a negative payment history can also lower your overall credit score.

## What should you do if you can’t afford to pay in full?

If you can’t pay your credit card in full, don’t panic. Approximately 47 percent of Americans have credit card debt, so it’s quite common—but that doesn’t mean you shouldn’t pay off credit card debt. Follow the steps below to tackle your debt efficiently and in a way that works for you.

### Pay as much as you can

As mentioned before, it’s essential to always make at least the minimum payment on time. This will help you avoid negative items on your credit report for late or missed payments. However, whenever possible, try to make more than the minimum payment. This will help you pay down your principal debt faster and pay less interest over time.

### Come up with a repayment strategy

If you have multiple credit cards with debt or various types of debt, it’s crucial to have a repayment strategy.

There are two popular debt repayment strategies: the avalanche and the snowball. The snowball method recommends you pay off your debt from smallest to largest (like a growing snowball). This method is meant to give people positive reinforcement because they feel motivated as they knock out several of their small debts quickly before moving on to the larger debts.

The avalanche method is a more systematic approach—you list all your debts and their interest rates and pay the one with the highest interest rate first. This method aims to save you money in the long run by getting of higher-interest debt first.

Decide which approach fits your style. Both of these methods are highly effective in their own way.

### Budget

A budget is the first step to taking control of your financial health. Without a budget, you may not know where your money is going or where you can save. Often, a budget can highlight unnecessary spending. There are plenty of free apps, such as Mint, that allow you to have an automated look at all your spending and build a budget.

### Talk to your credit card issuer

You can reach out to your credit card issuer if you’re going through financial hardship to see what they can do for you. Some credit lenders will offer to lower your interest rates, which will help you tackle your principal debt much faster. Some financial hardships can include the loss of a job, an injury or a medical incident. Ultimately it will be your lender that decides if your situation merits help.

### Consider a balance transfer

There are a lot of credit card options out there. If your credit card has a high-interest rate, you may consider a balance transfer. Some credit card lenders offer a low-interest promotional rate when you transfer a credit balance to them. During this time, you can make a significant dent in your debt. However, you should know that some balance transfers come with a one-time fee, so make sure to consider this as well.

## Care for your credit

Your credit is your door to many financial opportunities. A healthy credit score can help your chances for approval for auto leases, mortgages, personal loans and more. It can also help you get a much lower interest rate and better borrowing terms when you receive financial products.

Improving your credit takes work. While focusing on your credit card’s impact on your credit score, make sure your overall credit profile is accurate. Errors and inaccuracies can greatly hurt your credit score and put a dent in your debt-relief goals. Professional credit repair companies can help you navigate the challenges of credit reporting inaccuracies.

The first step toward establishing a healthy credit history is making sure all items are listed fairly and accurately—professional credit repair is an easy, effective way to get your credit score back on track.

Reviewed by Shana Dawson Fish, Associate Attorney at Lexington Law Firm. Written by Lexington Law.

Shana Dawson Fish is an Arizona native whose family migrated from Guyana. Shana graduated from Arizona State University in 2008 with her Bachelor’s Degree in Criminal Justice & Criminology, and in 2012 she graduated from Arizona Summit Law School earning her Juris Doctor. During law school, Shana was a Judicial Intern at the United States District Court for the District of Arizona and the Maricopa County Superior Court. In 2016, Shana was awarded a legal defense contract and represented clients as a Trial Attorney in juvenile proceedings. Shana has experience in litigating numerous trials and diligently pursuing the rights of her clients. As a Trial Attorney, Shana identified the needs of her clients and also represented debtors in bankruptcy proceedings. Shana is licensed to practice in Arizona and is an Associate Attorney in the Phoenix office.

Note: Articles have only been reviewed by the indicated attorney, not written by them. The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, reviewers, contributors, contributing firms, or their respective agents or employers.

Source: lexingtonlaw.com

## How minimum monthly credit card payments affect your credit

The information provided on this website does not, and is not intended to, act as legal, financial or credit advice. See Lexington Law’s editorial disclosure for more information.

Many people don’t hesitate to pay just the minimum payment on their credit card. This is especially true if the total balance is high or the cardholder is confused about the credit card lending terms and doesn’t understand the impact of paying the minimum balance. But, making just the minimum payment can have a greater impact on your credit score than most people realize.

Learn how lenders calculate the minimum payment, what it means for your debt and how making a minimum payment affects your credit.

## What are credit card minimum payments?

Your credit card minimum payment is the least amount of money your lender will accept toward your credit card balance each month. You need to pay the minimum payment by its due date to avoid late penalties and other fees and to keep a consistent payment history. The minimum payment amount is displayed on your credit card bill and often ranges from one to three percent of your total credit card bill.

## How is a minimum payment calculated?

Your lender calculates the minimum payment based on your total balance and any outstanding interest charges.

Each credit card lender has a different method for calculating its minimum monthly payment. The two primary methods are formula and percentage.

### Formula

Many of the major credit card lenders use a formula to calculate your minimum payment. The formula picks an amount and adds one to two percent of your monthly balance. For example, let’s say your lender picked \$35 as the minimum payment amount, plus two percent interest, and you spent \$500 in new charges for the month. In this scenario, your minimum payment would be \$35 plus \$10 (\$500 x 2%) for a total of \$45.

If your total balance is less than the minimum payment, then your whole balance is due. Following the previous example, if your lender charges \$35 plus two percent interest but your credit card balance is \$20, you will owe \$20 for that month, plus any fees and interest from the previous month.

### Percentage

Other lenders—typically credit unions and financial institutions—use a simpler, percentage formula to calculate the minimum monthly payment. This method is most common for high-risk borrowers with poor credit. The percentage can range from four to six percent.

For example, if you had a \$1,000 credit card balance with a lender that charges six percent, you would owe a minimum payment of \$60 plus any additional fees (\$1,000 x 6%).

Some lenders will include any past-due fees in the minimum payment.

## What happens if you make only the minimum payment on your credit card?

Making the minimum payment on your credit card is better than paying nothing at all. As long as you always make the minimum payment, you should not receive negative items on your credit report, as it relates to your payment history.

However, making only the minimum payment means you may see greater charges for interest, resulting in you paying more over time.

Take a look at this example: Let’s say you have \$5,000 in credit card debt and your lender offers an 18 percent interest rate with a minimum payment of two percent of the balance. In this scenario, your minimum payment is \$100 per month, which can look very tempting. But, it will take you almost eight years to pay off your balance and you will pay a total of \$4,311 in interest—almost doubling what you originally owed.

Your minimum payment is generally a small portion of your total debt, and most of that payment goes to interest. As a result, you are slowly progressing toward paying off your principal amount, and you could end up paying minimum payments for many years.

Additionally, your credit card utilization may be high if you make only minimum payments. Credit utilization is the amount of credit extended to you by the lender versus the amount you owe. If you maintain a high credit card balance while only paying the minimum payment, you are at risk of having high credit utilization month after month.

Several factors determine your credit score, but credit utilization accounts for 30 percent of your overall score. So, maintaining a high utilization ratio can negatively impact your credit score.

Finally, when you maintain a high credit card balance and a routine of only paying the minimum payment, you may fall behind on payments. When you make late payments or miss the payment entirely, having a negative payment history can also lower your overall credit score.

## What should you do if you can’t afford to pay in full?

If you can’t pay your credit card in full, don’t panic. Approximately 47 percent of Americans have credit card debt, so it’s quite common—but that doesn’t mean you shouldn’t pay off credit card debt. Follow the steps below to tackle your debt efficiently and in a way that works for you.

### Pay as much as you can

As mentioned before, it’s essential to always make at least the minimum payment on time. This will help you avoid negative items on your credit report for late or missed payments. However, whenever possible, try to make more than the minimum payment. This will help you pay down your principal debt faster and pay less interest over time.

### Come up with a repayment strategy

If you have multiple credit cards with debt or various types of debt, it’s crucial to have a repayment strategy.

There are two popular debt repayment strategies: the avalanche and the snowball. The snowball method recommends you pay off your debt from smallest to largest (like a growing snowball). This method is meant to give people positive reinforcement because they feel motivated as they knock out several of their small debts quickly before moving on to the larger debts.

The avalanche method is a more systematic approach—you list all your debts and their interest rates and pay the one with the highest interest rate first. This method aims to save you money in the long run by getting of higher-interest debt first.

Decide which approach fits your style. Both of these methods are highly effective in their own way.

### Budget

A budget is the first step to taking control of your financial health. Without a budget, you may not know where your money is going or where you can save. Often, a budget can highlight unnecessary spending. There are plenty of free apps, such as Mint, that allow you to have an automated look at all your spending and build a budget.

### Talk to your credit card issuer

You can reach out to your credit card issuer if you’re going through financial hardship to see what they can do for you. Some credit lenders will offer to lower your interest rates, which will help you tackle your principal debt much faster. Some financial hardships can include the loss of a job, an injury or a medical incident. Ultimately it will be your lender that decides if your situation merits help.

### Consider a balance transfer

There are a lot of credit card options out there. If your credit card has a high-interest rate, you may consider a balance transfer. Some credit card lenders offer a low-interest promotional rate when you transfer a credit balance to them. During this time, you can make a significant dent in your debt. However, you should know that some balance transfers come with a one-time fee, so make sure to consider this as well.

## Care for your credit

Your credit is your door to many financial opportunities. A healthy credit score can help your chances for approval for auto leases, mortgages, personal loans and more. It can also help you get a much lower interest rate and better borrowing terms when you receive financial products.

Improving your credit takes work. While focusing on your credit card’s impact on your credit score, make sure your overall credit profile is accurate. Errors and inaccuracies can greatly hurt your credit score and put a dent in your debt-relief goals. Professional credit repair companies can help you navigate the challenges of credit reporting inaccuracies.

The first step toward establishing a healthy credit history is making sure all items are listed fairly and accurately—professional credit repair is an easy, effective way to get your credit score back on track.

Reviewed by Shana Dawson Fish, Associate Attorney at Lexington Law Firm. Written by Lexington Law.

Shana Dawson Fish is an Arizona native whose family migrated from Guyana. Shana graduated from Arizona State University in 2008 with her Bachelor’s Degree in Criminal Justice & Criminology, and in 2012 she graduated from Arizona Summit Law School earning her Juris Doctor. During law school, Shana was a Judicial Intern at the United States District Court for the District of Arizona and the Maricopa County Superior Court. In 2016, Shana was awarded a legal defense contract and represented clients as a Trial Attorney in juvenile proceedings. Shana has experience in litigating numerous trials and diligently pursuing the rights of her clients. As a Trial Attorney, Shana identified the needs of her clients and also represented debtors in bankruptcy proceedings. Shana is licensed to practice in Arizona and is an Associate Attorney in the Phoenix office.

Note: Articles have only been reviewed by the indicated attorney, not written by them. The information provided on this website does not, and is not intended to, act as legal, financial or credit advice; instead, it is for general informational purposes only. Use of, and access to, this website or any of the links or resources contained within the site do not create an attorney-client or fiduciary relationship between the reader, user, or browser and website owner, authors, reviewers, contributors, contributing firms, or their respective agents or employers.

Source: lexingtonlaw.com

## You have not favorited any cards

Click on the heart icon to add to your favorites list

<!–

Review featured cards from our partners below.

–> /* Preloader Skeleton*/ .card-row:empty width: 100%; max-width: 1200px; height: 1000px; /* change height to see repeat-y behavior */ padding: 0 15px; background-image: linear-gradient( #EFEFEF 1px, transparent 0 ), linear-gradient( #EFEFEF 110px, transparent 0 ), linear-gradient( 100deg, rgba(255, 255, 255, 0), rgba(255, 255, 255, 0.5) 50%, rgba(255, 255, 255, 0) 80% ), linear-gradient( #EFEFEF 30px, transparent 0 ), linear-gradient( #EFEFEF 15px, transparent 0 ), linear-gradient( #EFEFEF 20px, transparent 0 ), linear-gradient( #EFEFEF 50px, transparent 0 ); background-repeat: repeat-y; background-size: 100% 345px, /* divider line*/ 155px 340px, /* card*/ 35% 340px, /* highlight */ 60% 340px, 35% 340px, 20% 340px, 100% 340px; background-position: 100% 0, /* divider line */ 0 40px, /* card */ 0 0, /* highlight */ 190px 40px, 190px 80px, 190px 160px, 100% 220px; animation: shine 1s infinite; @keyframes shine to background-position: 100% 0, 0 40px, 100% 0, /* move highlight to right */ 190px 40px, 190px 80px, 190px 160px, 100% 220px;

Source: credit.com

## 5 Ways to Get to Know Your Neighbors

Whether you’re a social butterfly or a homebody, getting friendly with the folks next door will make your new house feel like home.

Leaving friends and neighbors behind can be the toughest part of moving to a new home.

These five tips will help you make connections and settle into your new community in no time.

## 1. Knock, knock

For an extrovert, walking over to a neighbor’s home to say hello may feel like a no-brainer. But for more reserved personalities, this tried-and-true method usually requires a bit of a warmup.

Start with a friendly wave as you drive by, then work your way up to a face-to-face introduction. Remember, timing is everything. You don’t want to disturb your neighbors in the middle of dinner or while they’re struggling to get a fussy toddler down for the night.

Try to catch them when they’re already outside, or aim for a weekend afternoon when everyone is much more likely to be relaxed and open to a brief, friendly chat.

## 2. Snail mail

Can’t work up the nerve to knock on doors? In this age of electronic communication, a nice handwritten note can be a welcome surprise.

Write a few lines for your closest neighbors, introducing yourself and inviting them over for a cup of coffee or cocktail at their convenience.

Be sure to personalize each note by including a small conversation starter (e.g., the roses in front of your home are absolutely stunning! We’re poodle lovers too!), then drop your letters at your neighbors’ front door or in their mailbox.

## 3. Magic school bus

If you’ve got school-age children, accompany them to the bus stop for the first few days of class.

You’re likely to run into at least one other parent who can fill you in on both neighborhood and school happenings — and people love to talk about their kids, so you won’t have to worry about awkward silences and finding common ground.

Exchange contact info and invite the family over for some weekend fun.

## 4. Man’s best friend

Our pets often are the friendliest members of the family, so let your four-legged companion break the ice for you.

Dog parks are a natural spot for meeting new friends, both canine and human. You can also meet fellow pet lovers while walking your dog through your neighborhood — cleaning up any messes, of course.

You can get recommendations for trails, vets and parks, as well as ask about any pet-themed meetups in the area.

## 5. Turn the page

Don’t let the name fool you: Book clubs are as much about socializing as they are about reading.

Check out your library or local bookstore for groups near you, or you can find one online. If possible, contact the host ahead of time to ask whether you should bring any refreshments (wine!), and come armed with a few key insights about the book and recommendations for the next session.

Who knows? You could pick the next talk of the town.

## Bonus: life of the party

Once you’ve made a few connections, team up to host a neighborhood block party. Volunteer to handle snacks and other logistics, and ask your more established neighbors to spread the word.

Pick a seasonal theme — hot dogs and lemonade for summer, cookies and warm cider for fall — and spend an afternoon meeting new friends and getting the inside scoop on the best places to eat and play near your new home.

Before you call it a day, pass the torch to another neighbor and make the block party a new tradition.

Related:

Originally published September 3, 2015.

Source: zillow.com

## The Best Places to Live in Wisconsin in 2021

When people think of Wisconsin, they usually think of cheese, the Green Bay Packers or its largest city, Milwaukee.

The best places to live in Wisconsin are scattered throughout the state and include communities both big and small. After all, this Midwest state is home to 777 cities, each with its own strong community and unique personality.

So, whether you’re looking for an apartment while attending one of their excellent universities or colleges, making a move for a new job or looking for something new and different, there is a city and community waiting for you.

Here are 10 of the best places to live in Wisconsin.

###### Photo source: Fox Cities Convention & Visitors Bureau / Facebook
• Population: 73,637
• Average age: 40.8
• Median household income: \$58,112
• Average commute time: 22.3 minutes
• Walk score: 41
• Studio average rent: N/A
• One-bedroom average rent: \$918
• Two-bedroom average rent: \$1,281

Creative outdoor murals line the buildings, while cute boutiques, cozy coffee shops, and delicious food is found throughout historic downtown Appleton.

The city is among more than a dozen that make up the Fox Cities community and overlooks the Fox River.

It’s family-friendly and has a dense suburban feel with highly-rated schools. It’s also home to Lawrence University, a residential liberal arts college and conservatory of music.

###### Photo source: Visit Eau-Claire / Facebook
• Population: 67,250
• Average age: 40
• Median household income: \$55,477
• Average commute time: 20.9 minutes
• Walk score: 47
• Studio average rent: \$608
• One-bedroom average rent: \$722
• Two-bedroom average rent: \$844

Whether it’s gathering with friends and neighbors to enjoy some of the many live music options throughout the city, including the Jazz Fest in the spring, followed by Country Fest, Rock Fest and Blue Ox Music Festival in the summer, or taking in some local art or walking along the historic bridges, Eau Claire is known for its welcoming vibe.

It’s especially welcoming to independent artists who create art installations, building murals and more.

According to a study released by Smart Asset, Eau Claire is also the third most livable small city in the country.

• Population: 43,145
• Average age: 42.8
• Median household income: \$52,724
• Average commute time: 22.4 minutes
• Walk score: 49
• Studio average rent: n/a
• One-bedroom average rent: \$822
• Two-bedroom average rent: \$895

Fond du Lac is a family-friendly community with a strong sense of history. The Fond du Lac County Historical Society connects residents to the local history of the town.

The public library and several sporting centers offer programming year-round and there is no shortage of restaurants and bars to enjoy dining and imbibing.

• Population: 104,984
• Average age: 39.8
• Median household income: \$49,251
• Average commute time: 22.8 minutes
• Walk score: 45
• Studio average rent: \$955
• One-bedroom average rent: \$1,152
• Two-bedroom average rent: \$1,252

Most people know Green Bay for its football team (Fun fact: the Green Bay Packers football team is the only NFL team owned by its fans) but there is more than football in this northeastern part of Wisconsin and at the mouth of the Fox River.

While it can get cold during the winter months, Green Bay residents love spending time outdoors whenever possible. Easy access to the Fox River also means water-based activities such as fishing.

As the state’s oldest settlement, it’s also known for its family and business-friendly community.

• Population: 98,545
• Average age: 40.5
• Median household income: \$55,417
• Average commute time: 29.2 minutes
• Walk score: 51
• Studio average rent: \$1,254
• One-bedroom average rent: \$1,344
• Two-bedroom average rent: \$1,581

Located on the southwestern shore of Lake Michigan and at the northern border of Illinois, Kenosha is sometimes called a bedroom community between Chicago and Milwaukee.

Outdoor activities are popular, whether it’s water-based activities on Lake Michigan or playing a round of golf at one of the Kenosha County golf courses.

Kenosha is also home to Carthage College and the University of Wisconsin-Parkside.

• Population: 51,965
• Average age: 39.1
• Median household income: \$45,233
• Average commute time: 19.2 minutes
• Walk score: 60
• Studio average rent: \$773
• One-bedroom average rent: \$1,100
• Two-bedroom average rent: \$1,245

Nestled along the Mississippi River, La Crosse is the largest city on Wisconsin’s western border. It’s home to a few colleges, including the University of Wisconsin-La Crosse, Western Technical College and Viterbo University.

La Crosse has charming historic homes that have since been converted into bed and breakfasts, such as the Castle La Crosse Bed and Breakfast, while the Dahl Auto Museum pays tribute to the eight oldest Ford dealership under continuous family ownership in the nation.

Nature lovers can enjoy scenic views from 600-foot-high Grandad Bluff which overlooks the city of La Crosse.

• Population: 249,409
• Average age: 39
• Median household income: \$65,332
• Average commute time: 23.7 minutes
• Walk score: 64
• Studio average rent: \$969
• One-bedroom average rent: \$1,350
• Two-bedroom average rent: \$1,935

Madison is the home of Wisconsin’s state capital as well as the University of Wisconsin-Madison. It’s also one of the best cities for millennials.

The second-largest city in the state, Madison is a progressive urban city that is both affordable and offers great employment opportunities.

Outdoor lovers will appreciate the hiking and biking trails and the walkable downtown has bookshops, coffee shops and restaurants around every corner.

• Population: 599,058
• Average age: 37.8
• Median household income: \$41,838
• Average commute time: 27.5 minutes
• Walk score: 70
• Studio average rent: \$1,276
• One-bedroom average rent: \$1,428
• Two-bedroom average rent: \$1,803

Milwaukee is Wisconsin’s largest and most populated city, with almost 600,000 residents calling it home.

Located in the southern part of the state and along Lake Michigan, it’s known for its many cultural offerings, from the architecturally significant Milwaukee Art Museum to the Milwaukee Repertory Theater to its wildly popular annual Summerfest, one of the largest music festivals in the world.

It’s also home to the University of Wisconsin-Milwaukee and Marquette University campus as well as two major professional sports teams: the Milwaukee Bucks and the Milwaukee Brewers. Several Fortune 500 companies have headquarters here too, including WEC Energy Group, Northwestern Mutual and Harley-Davidson.

###### Photo source: Discover Wauwatosa / Facebook
• Population: 47,772
• Average age: 43.9
• Median household income: \$82,392
• Average commute time: 24.6 minutes
• Walk score: 57
• Studio average rent: \$1,221
• One-bedroom average rent: \$1,504
• Two-bedroom average rent: \$1,962

Wauwatosa, sometimes called Tosa by locals, is just 15 minutes west of downtown Milwaukee. Residents love the small-town feel and having easy access to independently-owned shops and restaurants.

A major employer is the Milwaukee Regional Medical Center and Wauwatosa is home to several colleges and universities.

Tosa Village, originally called Hart’s Mill in the 1800s, is a popular destination for locals and visitors alike as the thriving historic district includes parks, cultural attractions, restaurants, and bars.

Architecture fans will appreciate a trip to Annunciation Greek Orthodox Church, designed by architect Frank Lloyd Wright in 1956 and completed in 1961. The church is on the National Register of Historic Places and among Wright’s last works and completed after his death.

• Population: 71,536
• Average age: 41.3
• Median household income: \$65,260
• Average commute time: 26.7 minutes
• Walk score: 33
• Studio average rent: \$898
• One-bedroom average rent: \$1,012
• Two-bedroom average rent: \$1,299

Waukesha is a city of neighborhoods, filled with strong schools, great shops, and an abundance of green spaces to play.

An active farmers market during the summer takes place in downtown Waukesha, where families and friends meet up.

It’s ideal for those who want a suburban environment with access to urban amenities and residents include families as well as young professionals.

The city is also conveniently located close to Milwaukee, just 18 miles west of the largest city in Wisconsin, and 59 miles east of Madison, making it easy to get to either place.

## Experience the best cities in Wisconsin

Wisconsin checks off a lot of checkmarks when it comes to living in a vibrant Midwest state with great attractions, schools, outdoor and recreational activities.

Whether you’re looking for a slower pace of life or the energy of a busy city, there is a Wisconsin community ready to welcome you. We hope this list of best places to live in Wisconsin helps you choose your next home.

Source: rent.com

## How a Sou-Sou Helped This Woman Save Money to Start a Business

Editor’s note: This post was originally published in 2016.

Saving has always been a challenge for me. While I continuously applied the pay-yourself-first principle to my finances, I struggled to stick to my budget.

So when I wanted to start a cake-decorating business, I needed another way to cover my startup costs. I preferred not to take out a loan because of interest charges.

A co-worker suggested starting a sou-sou.

What’s that? you’re wondering. Well, read on.

## What’s a Sou-Sou?

A sou-sou is a simple savings plan.

The West African tradition, which is also popular in the Caribbean, requires a group of people to contribute a fixed amount of money either weekly, bi-weekly or monthly to a group account, with one member responsible for collecting the cash.

The group holds a random draw to determine the order in which each person will receive their lump sum payment. However, once each person receives their cash, they still have to contribute until everyone gets paid.

A sou-sou could run for six months or up to a year — it all depends on how many people are in on it. Sou-sous continue until everyone receives a payout at least once.

## How I Used a Sou-Sou to Start a Business

Here’s how I started a sou-sou to help me make enough money to get my cake-decorating business off the ground.

### Determine How Much Cash You Need to Start Your Business

I created an inventory of supplies I’d need, then calculated the total cost of buying them. This helped me make sure I’d be able to get started once I received my payout.

Next, I shopped around to find the best prices — then asked vendors about a discount for buying in bulk. It never hurts to ask! It helped me save 20% of the original cost when I eventually bought everything.

### Find Cash in Your Budget and Earn Extra Money

I needed to free up some money to go toward my sou-sou, so I decided to eliminate one bill from my monthly budget.

I compared my cable and internet bills to see which was costing me more, and then canceled my \$50 per month cable service.

To earn extra cash, I sold cakes at community events at a reduced price.

Consider how you could earn a few extra dollars a month for your business. Consider this list of 43 ways to save money fast.

### Form a Group

Everyone in my department had previously been involved in a successful sou-sou, and since we were all working toward financial goals, it was easy for the team to get on board.

A total of 10 colleagues joined the sou-sou, but you can start one with any number of people. Ask co-workers, relatives and fellow church or gym members if they want in.

### Choose a Cash Collector

We nominated my supervisor as cash collector and placed our money in a locked box in her office. Two people had to be present when money was deposited or paid out.

Since we all earned monthly salaries, we decided on a deadline for everyone to pay up.

My supervisor was also in the sou-sou. If the person collecting the cash isn’t in on it, they’re sometimes paid a percentage by each member. If my supervisor hadn’t been a member, she would have received 5% of our earnings for managing the sou-sou.

### Decide on a Reasonable Contribution

We considered our final objectives and unanimously decided on a realistic amount each person would pay.

With 10 members, we decided to each contribute \$100 per month — meaning we’d each get a \$1,000 payout.

A few members were unable to contribute the full amount, so they joined with another member to each contribute \$50 per month. When their payout time came, each person received \$500 — a 50% payout.

I decided to double my contributions and pay \$200 a month, meaning I’d get two \$1,000 payouts to help me fund my business.

### Propose Accountability

We suggested each person in the group be accountable to another member to make sure they spent their money on fulfilling their goals.

For example, I chose an accountability partner who would make sure I invested my \$1,000 in my business.

If I didn’t, I’d have to pay my partner 20% of my payout — a huge amount we chose to help motivate me.

## How My Sou-Sou Worked Out

Our sou-sou began in January and I received my payout in May. Since I doubled my contributions, I received another payout in November, which I also put toward my business.

The group initiative was a huge part of my motivation, and everyone agreed that having the support of other members of the sou-sou was crucial to our success.

My choice to use a sou-sou rather than take out a loan paid off. I didn’t owe the bank any money, and I saved \$200 I would have paid in interest charges.

With the assistance of friends or family, saving money to start a business is possible. Making \$100 or \$200 contributions may not seem like much, but with time, it could be enough to get your business off the ground or help expand it without a loan.

Kerry Mc Donald is a contributor to The Penny Hoarder.

<!–

–>

Source: thepennyhoarder.com

## 7 Tips for Acing a Video Interview

Whether you just graduated school or are just seeking a new job, work interviews have modernized. Video interviews —conducted online— are increasingly common. In some industries, IRL interviews are (for now) a thing of the past—as more companies take on remote hires and millions are working from home.

And, with the rapid rise in digital job interviews, what are some ways to ace the video interview?

Here are seven tips for giving an impactful and memorable video interview—from practicing potential answers out loud ahead of time to tweaking the lighting for your camera.

There are various ways to get a first job after college. Being prepared for video interviews is one way to make a positive first impression.

## Dressing for the Video Interview

For remote jobs, it’s quite possible that applicants may do a video interview through their tablets or computers. And, while the job interview location may now be a digital platform (and your couch), certain interview expectations stay the same—namely presenting yourself with professionalism and dressing for the job. Even when (especially when) you’re interviewing from home.

It may be helpful to ask about the expected dress code for a remote position. Asking questions like this may show a hirer that you’re aware that businesses have diverse expectations for professionalism. Even if they say you can wear whatever you want, you’ve shown that you’re unafraid of asking questions to grasp what’s expected of that role.

There’s an old adage— dress for the job you want, not the role you have. In a video interview, this could mean opting to dress a touch more formally—even if HR said the employees usually go for business-casual. (And, yes, you should wear pants during video interviews.)

It’s hard to feel like you’re going to shine if you’re in coffee-stained PJs.

It’s also not a bad idea to confirm the logistics of the video interview (in addition to outfit- planning). Some video interview logistics questions could include:

•   Will you get a calendar invite or event link for the interview?
•   What time zone will the interviewer be calling in from?
•   Which video conferencing platform will be used?
•   Will you need to download software to be able join the interview?

Knowing the answers to logistics can help bring more confidence to the video interview.

## 1. Practicing to Make Perfect

Different companies or organizations may use different platforms to host the interview—from Zoom to Google Hangouts to other programs. Don’t worry: You don’t need to become a pro at all the expert features. Still, it’s a good idea to become comfortable at:

•   Dialing in to scheduled calls
•   Checking the audio and the camera
•   Understanding what the interviewer can see
•   Ensuring the WiFi signal is strong enough for the video interview

If an interviewer mentions a program you’ve never used, it’s advisable to download and try it out well before the actual call. Opening up an unfamiliar program just before the interview only to realize it’s not compatible with your technology might create a positive first impression. So, make sure you double-check that you have all logins or passwords for the call. It’s best not to keep interviewers waiting because you failed to check the video interview details.

Try to make a mental checklist of digital distractions you’ve run across, as well. Then, see what you can do to minimize (if not outright eliminate) those common distractions before the live video interview. For example, you could turn off notifications or sounds for texts and emails during the interview time slot.

## 2. Setting the Surroundings

Generally, it’s a good idea to do a test call on the planned video-interview platform. This could help you assess how you and your surroundings appear via video. You may even want an extra set of eyes and ears–asking a friend or family member to do a “mock” call to ensure the audio and visuals are clear.

When prepping for a video interview, put yourself in the position of whoever will be interviewing you. Some questions to chew on:

•   What can the interviewer see of your space?
•   Are you easily visible or is more light needed?
•   Are there any distractions in the camera frame?

Some digital platforms allow users to record sessions. So, interviewees may want to record themselves talking and then watch and listen. You could run through the main things you want to say in the real video interview. Talking aloud on camera can help some people to become more aware of their own nervous tics and body language.

## 3. Taking Notes Beforehand

With job interviews, researching the company beforehand could give you ideas of how to connect previous work experience with the brand’s values or role’s job. One of the benefits of a video interview is that you can make these research notes quite literal.

Write out key points on a big piece of paper near your computer. Or, jot down some ideas or accomplishments on a sticky note next to your camera. It’s likely that the employer conducting the video interview will have no idea you’re looking at those pre-prepared notes—just make sure you keep your notes short, so you can naturally weave in keywords.

Talking points are a good idea. You may want to skip long sentences that sound like you’re reading.

## 4. Minimizing Off-Screen Distractions

Above all else, keep your on-screen image distraction-free. It’s worth remembering that the only person the interviewer wants to interact with is you–not your adorable pets, lovely roommates, or kid sister. You ask the folks you share a living space with to keep quiet or stay in their rooms during your interview. Plan ahead so the conversation isn’t distractingly interrupted by unexpected visitors.

## 5. Wearing Headphones

It would be a shame to have the audio cut out mid interview. Nothing can derail a smooth interview back-and-forth than the inability to hear the other person. It’s likely neither the interviewer or the job applicant wants to say, “What?” or “Can you repeat that?” during the video call.

There’s no need to invest in fancy, studio-quality headphones, thankfully—if you’re comfortable with earbuds, those should work fine. They also have the added benefit of not being visually intrusive.

## 6. Going Outside for a Breather

It’s hard to feel energetic and friendly if you’re cooped inside all day. A good way to minimize nerves is to get fresh air. Don’t just open up a window—put on sunscreen, maintain social distancing, and go outside. Even if it’s just for 15 minutes, a jolt of sunlight and breeze can reset the mind.

## 7. Remembering to Be Yourself

After preparing for the logistics of a video interview, it can be easy to forget one simple thing: Be yourself. While a strong WiFi signal and well-lit space won’t hurt your chances during a video interview, it’s helpful to recall that interviews are conversations between two or more people. Be prepared and share who you are.

## Getting to Work

Acing a job interview—video interview or otherwise—is just one part of navigating life after college. Being ready for a video interview is just one new way to get noticed these days.

On top of looking for a full-time or better-paying job, some grads also want to find ways to reduce their outstanding debt balances—including long-term bills, like student loan repayments.

After exhausting federal options (like income-driven repayment or loan forgiveness programs), some borrowers decide to refinance their student loans with a private lender.
Refinancing student loans could reduce monthly bill payments or the amount paid in interest during the duration of the loan.

Learn more about refinancing your student loans with SoFi.

SoFi Loan Products
SoFi loans are originated by SoFi Lending Corp (dba SoFi), a lender licensed by the Department of Financial Protection and Innovation under the California Financing Law, license # 6054612; NMLS # 1121636 . For additional product-specific legal and licensing information, see SoFi.com/legal.

Third Party Brand Mentions: No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this article. Third party trademarks referenced herein are property of their respective owners.
IF YOU ARE LOOKING TO REFINANCE FEDERAL STUDENT LOANS PLEASE BE AWARE OF RECENT LEGISLATIVE CHANGES THAT HAVE SUSPENDED ALL FEDERAL STUDENT LOAN PAYMENTS AND WAIVED INTEREST CHARGES ON FEDERALLY HELD LOANS UNTIL THE END OF SEPTEMBER DUE TO COVID-19. PLEASE CAREFULLY CONSIDER THESE CHANGES BEFORE REFINANCING FEDERALLY HELD LOANS WITH SOFI, SINCE IN DOING SO YOU WILL NO LONGER QUALIFY FOR THE FEDERAL LOAN PAYMENT SUSPENSION, INTEREST WAIVER, OR ANY OTHER CURRENT OR FUTURE BENEFITS APPLICABLE TO FEDERAL LOANS. CLICK HERE FOR MORE INFORMATION.
SoFi Student Loan Refinance
IF YOU ARE LOOKING TO REFINANCE FEDERAL STUDENT LOANS PLEASE BE AWARE OF RECENT LEGISLATIVE CHANGES THAT HAVE SUSPENDED ALL FEDERAL STUDENT LOAN PAYMENTS AND WAIVED INTEREST CHARGES ON FEDERALLY HELD LOANS UNTIL THE END OF SEPTEMBER DUE TO COVID-19. PLEASE CAREFULLY CONSIDER THESE CHANGES BEFORE REFINANCING FEDERALLY HELD LOANS WITH SOFI, SINCE IN DOING SO YOU WILL NO LONGER QUALIFY FOR THE FEDERAL LOAN PAYMENT SUSPENSION, INTEREST WAIVER, OR ANY OTHER CURRENT OR FUTURE BENEFITS APPLICABLE TO FEDERAL LOANS. CLICK HERE FOR MORE INFORMATION.
Notice: SoFi refinance loans are private loans and do not have the same repayment options that the federal loan program offers such as Income-Driven Repayment plans, including Income-Contingent Repayment or PAYE. SoFi always recommends that you consult a qualified financial advisor to discuss what is best for your unique situation.

SOSL20038

Source: sofi.com

## Understand the Type of Homeowners Insurance You Need

Home is where the heart is. Often, it is also where the heartache is when disaster strikes. Long before something goes wrong, you need to ask “How much homeowners insurance do I need?”

Homeowners insurance protects your home and possessions against a variety of perils including damage or theft, and also natural disasters such as flood, hurricanes, fires and earthquakes.

“Homeowner’s coverage provides financial protection, that’s really what it’s all about,” said Mark Friedlander, director of corporate communications at Insurance Information Institute in New York.

Mortgage companies require a certain amount of coverage, but unlike car insurance, there aren’t any state mandates requiring people to have it.

“If you don’t have a mortgage, you are not obligated to buy homeowners coverage and we think that’s a critical error that people make because unless you have a lot of money set aside, you’re going to have financial hit and you’re not going to be protected,” Friedlander explained.

Even if you do the minimum to satisfy your mortgage company, it often isn’t enough. Friedlander said most people make the mistake of not having enough insurance to adequately protect themselves and their families.

So how much homeowners insurance do you need?

## Home Insurance Basics

If you’re doing the smart thing and asking yourself, how much homeowners insurance do I need, it’s best if you understand some of the basics of the policies.

Policies generally cover:

• Damage to the interior or exterior of your house from a covered disaster. The types of disasters are listed in the policy. Usually if the specific event is not listed, it is probably not covered.
• Contents of your home if damaged or destroyed in a covered event or if they are stolen.
• Personal liability for damage or injuries caused by you, a family member, or pet.
• Housing and other expenses while your home is repaired or rebuilt after a covered event.

Within each policy, there are basically three levels of coverage. This becomes important after a covered event when you begin to repair or rebuild.

• Actual Cash Value: This covers the house (structure) plus the value of belongings inside with a deduction for depreciation. You will get paid for what the items are currently worth, not necessarily what you paid for them. This is the least expensive coverage.
• Replacement Cost: This covers the house plus the value of belongings without depreciation. This coverage would allow you to rebuild or repair up to the original value of the home and policy coverage limits.
• Guaranteed or Extended Replacement Value/Cost: This is the most expensive but most comprehensive of coverages and provides the best financial protection for you. It covers the cost to repair or rebuild even if more than the policy limit, usually with a ceiling of 20 to 25%. In addition to this, many policies have additional coverage you can buy that will cover the cost to comply with current building codes that may not have been around when the house was initially built.

“A lot of times, actual cash value policies are for homes that don’t qualify for replacement cost policies. They are not in as good of shape or have an older roof or something like that,” said Craig Peterson, an agency owner for American Family Insurance in Overland Park, Kansas. He usually recommends no less than replacement cost policies to his clients.

As important as it is to know what types of coverage you have and what situations are covered, it is as important to know what is not covered at all or may be covered with additional restrictions or different deductibles.

Different policies cover different perils for different types of structures like a condo, renter’s policy, etc. The policies have designinations from HO-0 to HO-8.

There are also differences when it comes to paying things like additional living expenses, hotels, meals, etc., if your home is uninhabitable.

For more information about the basics of home insurance polices and what they cover, What Home Insurance Actually Covers (and Where You’re on Your Own) can answer many of your questions.

## How Much Homeowners Insurance Do I Need?

So how much home insurance coverage do you need to buy? There are many factors to consider.

Basically, you need to look at what your house would cost to rebuild, the likelihood of certain types of disasters in your area, the value of your possessions and your liability exposure.

“You are preparing for the worst case scenario, not for a minor claim. You need to be prepared for a catastrophic loss,” Friedlander said. “That’s possible whether it’s hurricanes, tornadoes, wildfires. In virtually any part of the country you are living somewhere where you could sustain a catastrophic loss and lose your entire home.”

### Rebuilding Cost

After a disaster, you want to make sure you can cover the costs of repairs or rebuilding.

The cost to rebuild your house is not the same as your home’s market value. In most cases, the land your house sits on will still be there after a catastrophe, so you do not need to insure that value.

“What we typically see is a majority of homeowners are underinsured,” Friedlander said. “Unfortunately, many of the homeowners purchase insurance protection to satisfy their mortgage lender but they confuse the real estate value of their home with what it would cost to rebuild it.”

So don’t focus on what you paid for the house, it’s market value, how much you owe on your mortgage or the property tax assessment.

“Most companies use a replacement cost calculator where we plug in the square footage, bedrooms, bathrooms, all the features we can about the house,” Peterson explained. “It gives us a valuation based on the cost to rebuild and we base the coverage on that.”

Consider what type of coverage you want (actual cost, replacement cost, or guaranteed replacement cost) when you are shopping for policies.

Friedlander said actual cash value saves some money on premiums, but warns you will get less in the event of a major loss. Replacement cost coverage is about 10% more in premiums but you will get about 30 to 50% more when you file a claim.

Peterson said it is important to make sure when you’re shopping for insurance that unique things that happen in your area are covered. Depending where you live, you  might need additional coverage for earthquakes, hurricanes, tornadoes, wildfires, sinkholes, etc., that are not generally part of coverage.

### Value of Possessions

To know how much coverage you need, you need to know what you own. Placing a value on your possessions is important.

“The important thing is to do a home inventory and kind of assess what your valuables are and determine what the value of everything is so that you’re at the right level of protection.” Friedlander said.

Go room by room and consider taking photos or videos. Make sure to include things like:

• Kitchenware
• Furniture
• Clothing
• Electronics
• Expensive valuables
• Camping and sports equipment

You do not need to include your cars in this property inventory because vehicles are not covered by homeowners policies even if they are parked in the garage.

“Most of the time the personal property coverage is a straight percentage of the dwelling coverage, typically, 70 to 75%,” Peterson said, adding that is usually enough to cover contents.

On most policies, there is often a limit on pricier items like jewelry, art, furs, silver, or electronics. So if a fire destroys your house and you lose \$10,000 worth of jewelry, your policy might only cover \$1,000 of that.

To make sure all of your items are covered, Peterson recommended a separate personal articles policy to protect those pricey items.

### Liability Coverage

The liability section of your homeowners policy covers bodily injury or damage that policyholders or their family members (including pets) cause to others.

If your dog bites your neighbor and sues you for medical care, this part of policy could cover you. If your child throws a ball and it accidentally breaks the neighbor’s window, this part of the policy could cover you. If your friend falls at your house on a chipped floor and sues you, this part of the policy could cover you.

Liability coverage will also pay for the cost of defending yourself in court and any court awards up to the limit of the policy.

“The risk of not having enough liability coverage is that you’re going to be on the hook for anything beyond your coverage,” Peterson warned.

He said dog bites are his most common liability claims and he sees people all the time who do not believe they need it because they think nobody would ever sue them.

“We find that a lot with insurance. People don’t want to pay for things until they have a problem and then they wish they had. People are nice until something happens.”

The Insurance Information Institute recommends at least \$300,000 in coverage but many policies only include \$100,000. The more assets you have, the more coverage you need.

If you have more in assets than you have liability coverage for in your homeowners policy, you might consider an umbrella policy which extends your coverage to an amount you decide.

To determine how much liability coverage you need, add up the value of your assets, including your home. Make sure to include the following assets when figuring liability:

• Vehicles
• Investments
• Future wages
• Personal belongings
• Money in bank accounts
• Real estate besides primary residence

Peterson said if you have something that could pose a risk to others like a pool or trampoline on your property, you need to be especially aware of the amount of liability coverage you have.

You don’t need to figure out everything alone. A good insurance agent should be able guide you through the process of answering the question of how much homeowners insurance do I need.

“We always recommend meeting with your insurance professional once a year. We call it an insurance checkup,” Friedlander said. “Review all your coverages and make sure you are protected.”

Not having enough coverage can be a big mistake.

“People think that things can never happen to them and then they wish after the fact that they had taken a little more time and maybe gone for some of the coverages that they decided not to take,” Peterson said. “The biggest mistake people make is they try to save money on their policy iInstead of making sure that they’re covered properly.”

Tiffani Sherman is a Florida-based freelance reporter with more than 25 years of experience writing about finance, health, travel and other topics.

<!–

–>

Source: thepennyhoarder.com

## FreeWill Review: Pros & Cons

FreeWill Review: Pros & Cons – SmartAsset

Tap on the profile icon to edit
your financial details.

FreeWill is an online estate planning tool that allows you to create or update a legally binding will in as little as 20 minutes. It offers products such as the ability to document funeral wishes, create a durable financial power of attorney, advance healthcare directives (living wills) and give charitable contributions from your retirement or stock brokerage account. As the company’s name implies, FreeWill’s services are completely free. Funding comes from FreeWill’s partnership with more than 100 nonprofit organizations who sponsor these services. You can access the service online, giving users the ability to change or download their will at any time without needing to create a new one.

If you’d rather have a professional personally help you with your entire estate plan, consider working with a local financial advisor.

 FreeWill Overview Pros Fairly robust service for free Online access – Once you create you can update at any time Cons No live support Relatively smaller range of products Best For Cost (free) Charitable giving

## FreeWill: Services & Features

For a completely no-cost service, FreeWill’s offerings are fairly robust.

First, it can cover an individual’s most important needs for a last will and testament. The website offers a questionnaire via an easy-to-use interface, asking basic information as well as other pertinent details such as current income, family information and whether users have any children or pets that they’d like to cover in their will.

For users who need to create an advance healthcare directive (also known as a living will), filling out the form will involve answering questions about some personal information, selecting a preferred physician and hospital for end-of-life care as well as selecting an agent or healthcare proxy. Then users can share what they need to about the values they wish to be upheld and other specific instructions, before finalizing with signatures and any further instructions specific to their state.

For a durable financial power of attorney, individuals will need to provide some personal information and also select an agent or agents to make financial decisions for them if they become unable to do so. Then users can choose the powers that any agent(s) will be allowed to exercise, list any specific limitations and provide other important details (i.e. compensation, monitors, guardians, revocation and how documents will be executed).

Additionally, in keeping with its commitment to charitable giving, FreeWill offers individuals ways to give a charitable contribution from a retirement account or a stock brokerage account.

## FreeWill: Pricing

 FreeWill’s Fee Structure Membership Tiers \$0 / Free for individuals Extra Features

FreeWill’s pricing model is straightforward, as it is free to use for individuals. As an individual user, you can draft your will, durable financial power of attorney or advanced healthcare directive via the website.

Funding comes from FreeWill’s partnership with more than 100 nonprofit organizations who sponsor these services. Nonprofit organizations can learn more about a range of tools that FreeWill offers – like a Bequest Tool, a Qualified Charitable Distributions (QCD Tool) and a Stock Gifts Tool – in order to make gifts easier for both supporters to give and organizations to receive.

## FreeWill: User Support

FreeWill’s website offers a streamlined design that’s fairly easy to use. For a last will and testament, its questionnaire form is divided into parts and users can track their progress so that they know how many sections remain to fill out. For services such as advance healthcare directives and durable financial power of attorney, the site outlines the form sections and the information you’ll need to gather before you begin.

If you’re looking for immediate support from customer support representatives, FreeWill unfortunately does not provide this kind of a feature. It does, however, have a contact page as well as a help center page where users can find the answers to some frequently asked questions addressing troubleshooting and technical issues.

Thanks to insight from experts around the country, FreeWill makes sure that a user’s will complies with each state’s specific legal requirements. Of course, FreeWill makes it clear that it is not a law firm and therefore cannot provide legal advice. If you need to enlist the services of a professional attorney or even a professional financial advisor, you should do so separately.

## FreeWill: Online Experience

FreeWill does not have any further mobile or online platforms available through its service, as all the final documents will be available to users once they finalize the questionnaire process on the site. There is no app or other software that a user would need to download. Given the company’s no-cost pricing model, this is probably to be expected.

## How Does FreeWill Stack Up?

 Comparing FreeWill to Other Services Service Pricing Features Accessibility FreeWill \$0 / Free for individuals Last will & testament, durable financial power of attorney, advance healthcare directive, charitable contributions No legal services or support TotalLegal \$14.95 – \$19.95 for legal documents TotalLegal Plan subscription \$89/year or \$9.95/month Create documents With subscription: Legal services from attorneys With subscription: Document storage vault service Tomorrow app Mobile app free for families Free for employees covered by employers who buy Tomorrow Plus plans \$39.99/year for Tomorrow Plus plan not through employer Mobile creation of estate planning documents, such as will, trust, healthcare directive, power of attorney App allows users to connect with family members and make decisions together No legal services or support Mobile app

The biggest differences FreeWill has over competitors is its emphasis on charitable giving and its free services as a result of that.

## Bottom Line

Overall, FreeWill is an easy-to-use website that helps those who are looking to have an official last will and testament the ability to create a simple one using their online forms. The service – including certain other end-of-life planning forms such as a durable financial power of attorney or a living will – is free to use for individuals, with an emphasis on charitable giving driving the company’s ethos and business model. While 24-hour support or live customer representative or legal support is not available with free will, its website allows users to create an account, begin and have their specific forms in just minutes – and also allows them to log in, update and download forms again at any time.

## Estate Planning Tips

• If you’re seeking more detailed advice instead of or in addition to your own estate planning steps, consider reaching out to a financial professional. Finding a financial advisor doesn’t have to be hard. SmartAsset’s free tool connects you with financial advisors in your area in five minutes. If you’re ready to be matched with local advisors, get started now.
• Estate planning is all about looking ahead and mapping out your plan as best as possible. If you’re going the DIY route, make sure you’re aware of the possible financial consequences. Read more about the dangers of DIY estate planning and five estate planning mistakes you can’t afford to make.

Photo credit: FreeWill

Nadia Ahmad, CEPF® Nadia Ahmad is a Certified Educator in Personal Finance (CEPF®) and a member of the Society for Advancing Business Editing and Writing (SABEW). Her interest in taxes and grammar makes writing about personal finance a perfect fit! Nadia has spent ten years working as a seasonal income tax assistant, researching federal, state and local tax code and assisting in preparing tax returns. Nadia has a degree in English and American Literature from New York University and has served as an instructor/facilitator for a variety of writing workshops in the NYC area.
Read next article

#### Categories

Source: smartasset.com