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A credit card number is the specific number attached to your credit card. It includes a major industry identifier number, your account identifier, and a checksum.
The number on your credit card is more than a passcode to payments when you swipe your card. Many of the digits have a specific meaning. Find out what a credit card number is, what it means, and why it matters.
What Is a Card Number?
A credit card number is a unique number that helps identify your account and card. This number makes it possible for you to pay with the card and for money to be taken out of the right account.
Think about it similarly to your checking account number. Your personal checks are printed with a specific series of numbers. First is the routing number, which indicates which bank the check draws on. Next is the account number, which tells which account the money should come from.
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Credit card numbers work the same way. Each part of that long number has a specific function. These are standardized by the International Organization for Standardization (ISO).
Need more credit?
Your credit card number is often located on the front of your card above your name, but it may also be located on the back, depending on your card’s style.
What Do Credit Card Numbers Mean?
You can break each credit card number into sections, and each section reveals specific information about the account.
Industry Identifier
The first six to eight digits reveal the credit card network and the card’s industry.
The first digit in any credit card number tells you what type of card it is—Visa, Mastercard, Discover, or Amex. Card numbers of each type always start with the same number:
3: American Express or cards under the Amex umbrella
4: Visa
5 or 2: Mastercard
6: Discover
American Express goes even further by starting card numbers with either 34 or 37, depending on the secondary branding on the card.
If your credit card number starts with any other digit, it refers to the industry that issues the card:
1 – 2: Air travel and financial services
7: Petroleum
8: Health care and telecommunications
9: Government and other industries
That first digit plus the next five in the credit card number is called the Issuer Identification Number (IIN) or Bank Identification Number. This identifies the credit card company and its network, similar to the bank routing number on a personal check.
In some cases, the IIN may be eight digits. To allow for more IINs to support growing needs, the ISO is requiring the financial industry to move to eight-digit IINs.
Account Identifier
The rest of the digits identify the account and cardholder information. This portion of your credit card number changes if your card is lost or stolen and you need a new card.
Within the account identifier, the last four digits are particularly important to you. If you save a credit card in an online account or other database, the information has to be encrypted. Employees of that company can’t just look up accounts and see full credit card information. They’re usually only able to see the last four digits.
You might be asked to confirm those numbers to ensure the right card is being charged. You might also be asked to confirm them when buying something online with a saved card number to ensure you’re really you and not someone who’s hacked into an account.
You can’t tell a credit card number by the last four digits. However, you could find a credit card you’ve saved in an account, such as on Amazon, by the last four numbers. Those are the only digits you’ll be able to see when you look at the saved payment methods in your account.
Checksum
The final digit is the checksum. Sometimes called the check digit, it is a way to verify the validity of a credit card using the Luhn algorithm.
Here’s how it works:
Starting from the first number of your credit card number, double every other digit.
If doubling results in a two-digit number, add those two digits together.
Add up all the doubled numbers.
The credit card number is valid if the number you reached in step three is divisible by 10.
Vendors use this algorithm to determine whether or not your credit card number is valid when you type it in online.
How to Protect Your Credit Card Number
Credit card fraud impacted nearly half a million consumers in 2022 and is the most common type of identity theft. Sadly, scammers can get your credit card number in many ways:
ATM skimming: People install credit card skimmer devices on public card terminals such as gas stations or outdoor ATMs. These devices store the data on your credit card’s magnetic strip for scammers to download and use.
Data breaches: There were more than 2,800 data breaches in 2023. A data breach occurs when secure data is accessed through unauthorized means, often because of a hacker. The largest data breach occurred in 2013 and involved the unauthorized access of more than three billion records.
Discarded documents: While bills and statements often don’t include your full credit card number, people may be able to gather enough information to determine your credit card number.
Phishing: These scams are fraudulent emails, texts, or phone calls that try to convince you to share your personal information to verify your identity.
Public Wi-Fi: Free public Wi-Fi is convenient but often unsecured. Hackers may be able to access your data through spyware or ransomware.
To protect your credit card information, take the following steps:
Avoid using public Wi-Fi when making online purchases or accessing account information.
Shred documents related to your credit card and always cut up old cards.
Don’t give out your account information.
Use strong passwords.
Enable two-factor authentication for your accounts.
Don’t give out personal information over the phone or online without verifying the validity of the request.
Use a virtual card number, which is a unique number connected to your actual credit card number.
Monitor your credit card statements carefully.
Monitor your credit score regularly with Credit.com’s Credit Report Card.
Credit Card Number FAQ
Below you’ll find additional information about credit card numbers.
How Many Numbers Are in a Credit Card?
Typically, credit card numbers are 16 or 15 digits. Only American Express uses the 15-digit format. Around 2020, Visa started issuing some cards with 19-digit card numbers, which aren’t typical in the United States.
What Other Numbers Are on a Credit Card?
You’ll also find a few other numbers on your credit card:
The expiration date: Every few years, credit card issuers will send you a new card for security reasons. This expiration date may be on the front or back of your card and is formatted with two digits for the year, a slash, and the last two digits of the year. For example, if your card’s expiration date is May of 2030, the expiration date would read 05/30. In this case, the card would stop working on May 31, 2030.
Card verification value (CVV): The security code, called a card verification number, is typically a three- or four-digit code on the back of your card. Vendors ask for it whenever they do not physically see your card, such as when you make a purchase online or over the phone.
Finding the Right Credit Card
Before applying for a new credit card, determine what kind of credit card you should get. For example, if you want to maximize rewards, you may want a cash-back card with perks that match your budget. If you’re looking to build credit, you may need to apply for a secure credit card that’s easy to get with lackluster credit.
To understand what options might be right for you, check your credit. This helps you know what type of credit card you might be approved for. Next, educate yourself about applying for a credit card online. Review options that seem appropriate for you and pick the best one—you can get started in our credit card marketplace. Then, gather all the information you need and apply.
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.
If you’re planning to buy a house in the near future, you may be paying extra attention to your credit. While good credit can help you qualify for the best terms and interest rates, bad credit can stand in the way of your dream home.
If your credit could use a little TLC, continue reading to learn more about credit repair for first-time home buyers and discover helpful tips to improve your credit.
Table of contents:
1. Pay your bills on time
2. Look for errors on your credit report
3. Dispute any inaccuracies
4. Lower your credit utilization
5. Consider consolidating your debt
6. Leave old credit accounts open
7. Avoid opening new credit accounts
8. Get help from a credit repair company
1. Pay your bills on time
Since payment history is the number one factor that affects your credit score, the first step in repairing your credit is getting current with your bills. Late payments, especially those over 30 days past due, can cause your credit to take a significant hit. Not to mention late payments can stay on your credit report for seven years and continue to negatively impact your credit, although the effect lessens over time.
If you’ve missed payments in the past, it’s important to get back on track with making your payments on time. Consider creating a budget, making a list of all your bills, noting their due dates and setting reminders so you don’t forget to pay them. Set up automated payments wherever possible.
Pro tip: Build an emergency fund so you’re still able to pay your bills even if you get hit with an unexpected expense.
2. Look for errors on your credit report
Errors on your credit report could negatively impact your ability to secure a mortgage. In fact, a recent study by Consumer Reports found that 34 percent of participants had at least one error on their credit report.
According to the Consumer Financial Protection Bureau, common errors to look for include:
Identity errors: These include inaccuracies regarding your personal information. For instance, your name, address or phone number may be incorrect or misspelled. Make sure to look for accounts that don’t belong to you and could be the result of identity theft.
Reporting errors: These are errors regarding the state of your accounts. For example, accounts you previously closed that are inaccurately reported as open.
Data errors: These could be duplicate accounts or incorrect information that had previously been corrected.
Balance errors: These include wrong balances or credit limits.
While not all errors affect your credit score, incorrect payment dates or account statuses can have a significant adverse effect, so it’s important to review your credit report before buying a house.
Pro tip: You can get a copy of your credit report from each of the three credit bureaus for free at AnnualCreditReport.com.
3. Dispute any inaccuracies
If you identify any errors on your credit report, you will want to get the inaccurate information removed if you can. File a dispute with the credit bureau via their website, mail or phone.
Regardless of the method you choose, make sure to clearly state what items you’re challenging and why the information is wrong. Consider including a copy of your credit report and highlighting or circling the errors.
Once you file a dispute, the credit bureau has 90 days to complete an investigation into your claim. If the bureau confirms that the error is inaccurate, they will remove it from your credit report. You should see the correction reflected in your score within a few weeks.
Pro tip: Use the Federal Trade Commission’s sample letter as a guide when writing your letter.
4. Lower your credit utilization
Credit utilization is another factor that influences your credit. Your credit utilization ratio is the amount of credit you’re using in relation to the amount of credit available to you.
Keeping your credit utilization low shows mortgage lenders that you aren’t too reliant on credit. Meanwhile, a high credit utilization ratio could indicate that you may struggle to pay your mortgage.
Here are a few strategies to lower your credit utilization ratio:
Pay off large purchases immediately: If you make a large purchase on your credit card, consider paying it off the same day if possible.
Make multiple payments each month: Get in the habit of paying your balance multiple times each month so the credit bureaus are more likely to see a lower number when your credit card issuer reports your statement balance.
Request a credit limit increase: Contact your credit card issuer to see if you qualify for a credit limit increase. Keep in mind that this may result in a hard inquiry, which could temporarily lower your score.
Lower your spending: Consider switching to cash or a debit card to decrease the amount of money you charge to your credit card each month.
Pro tip: Generally, experts recommend keeping your credit utilization below 30 percent. For example, if you only have one credit card and the limit is $10,000, you should aim to spend less than $3,000 each month.
5. Consider consolidating your debt
If you struggle to keep track of your different credit accounts and their due dates, consider consolidating your debt into a single monthly payment. This strategy can help you pay off debt quicker and avoid late payments. However, in order for debt consolidation to make sense, you should aim to get a lower interest rate.
There are a few different ways to consolidate your debt, including:
Zero-percent APR balance transfer credit card: Transfer your credit card debt to a new card, specifically during the 0 percent APR introductory period. Aim to pay down your debt before the introductory period ends—typically between 12 and 21 months.
Debt consolidation loan: Get a debt consolidation loan from a bank, credit union or online lender. Compare options to find the lowest interest rate.
Home equity loan: A home equity loan involves using the equity in your home as collateral to borrow money. While home equity loans typically have lower interest rates, you could end up losing your home if you fail to make payments.
401(k) loan: If you have a retirement account, you can borrow money from your savings. Keep in mind that taking out a 401(k) loan can hurt your retirement savings since you cannot continue to invest until you pay back the loan.
Pro tip: Weigh the benefits and drawbacks to find the best debt consolidation option for your financial situation.
6. Leave old credit accounts open
You may consider closing old credit accounts that you don’t use anymore, but that can actually hurt your credit. FICO® takes into account your length of credit history when calculating your score.
A long credit history signals to mortgage lenders that you have experience using credit and provides a more thorough track record of your credit history.
You should leave old credit accounts open unless you have another reason for closing them, such as an annual fee.
Pro tip: If your oldest account charges an annual fee, consider calling the credit card issuer to see if you can get it waived.
7. Avoid opening new credit accounts
Opening too many credit accounts in a short time frame can be a red flag to lenders. They may come to the conclusion that you’re financially unstable and are relying on credit to get by. As a result, they may consider you more likely to fall behind on payments.
Additionally, too many hard inquiries can hurt your credit. While a single hard inquiry typically only lowers your score a small amount, multiple hard inquiries may cause a noticeable drop in your score.
Pro tip: Try to wait six months between credit card applications.
8. Get help from a credit repair company
If you need help repairing your credit in preparation for buying a house, consider looking into credit repair services. A credit repair company can closely examine your credit report and help you identify negative items that might be wrongfully hurting your credit. The company will then challenge the inaccuracies on your behalf so they might no longer impact you.
Pro tip: Research each company and read reviews to avoid running into credit repair scams.
Why is credit important when buying a home?
Credit is important when buying a home if you plan to take out a mortgage. A good credit score will boost your likelihood of qualifying for a mortgage with a lower interest rate and better terms. This can end up saving you thousands of dollars over the course of your mortgage.
What does your credit score need to be to buy a house for the first time?
The credit score needed to buy a house varies depending on the type of loan you want. For most conventional mortgages, borrowers need a credit score of 620 or higher to qualify. Meanwhile, an FHA loan requires a minimum credit score of 500. Generally, the higher your credit score, the more favorable interest rates and terms you’ll be approved for.
Need help repairing your credit before buying a home? Lexington Law Firm could help you identify and address inaccurate negative items that may be damaging your score. Sign up for a free credit assessment to establish your starting point and see what services may be right for you.
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.
Reviewed By
Brittany Sifontes
Attorney
Prior to joining Lexington, Brittany practiced a mix of criminal law and family law.
Brittany began her legal career at the Maricopa County Public Defender’s Office, and then moved into private practice. Brittany represented clients with charges ranging from drug sales, to sexual related offenses, to homicides. Brittany appeared in several hundred criminal court hearings, including felony and misdemeanor trials, evidentiary hearings, and pretrial hearings. In addition to criminal cases, Brittany also represented persons and families in a variety of family court matters including dissolution of marriage, legal separation, child support, paternity, parenting time, legal decision-making (formerly “custody”), spousal maintenance, modifications and enforcement of existing orders, relocation, and orders of protection. As a result, Brittany has extensive courtroom experience. Brittany attended the University of Colorado at Boulder for her undergraduate degree and attended Arizona Summit Law School for her law degree. At Arizona Summit Law school, Brittany graduated Summa Cum Laude and ranked 11th in her graduating class.
Reverse mortgages can be an attractive option for seniors who want to supplement their retirement income, pay off debts, or make home improvements. However, they should be carefully considered as they can have significant financial and legal implications.
Here’s how reverse mortgages work, the pros and cons, and what to consider before deciding if it’s right for you.
What is a reverse mortgage?
A reverse mortgage offers a unique financial option for homeowners aged 62 and older, enabling them to utilize the equity in their home without the obligation to make monthly mortgage payments.
Through this arrangement, homeowners have the flexibility to receive funds in several ways: a single lump sum, as ongoing monthly payments, or through a line of credit that can be accessed as needed. The defining characteristic of a reverse mortgage is its payment structure; rather than the homeowner paying the lender, the lender pays the homeowner based on the equity built up in the home.
This type of loan is specifically designed for seniors looking for additional income streams during retirement, leveraging the equity they have accumulated in their property over the years. The loan balance, including interest and fees, is deferred until the home is sold, the homeowner permanently relocates, or in the event of the homeowner’s death, at which point the estate is responsible for repayment.
Understanding How a Reverse Mortgage Works
Reverse mortgages enable senior homeowners to access their home’s equity in a flexible and strategic manner. This financial tool is especially beneficial for those who wish to remain in their home while supplementing their retirement income, covering healthcare expenses, or funding home improvements, all without the requirement to make monthly loan repayments. The process is straightforward and designed to provide seniors with financial relief by tapping into the value of their most significant asset—their home.
Step 1: Assess Your Eligibility
To kick things off, confirm your eligibility for a reverse mortgage. Requirements include being at least 62 years old, owning your home (or at least having a significant amount of equity in it), and using the home as your primary residence. You’ll also need to demonstrate that you can handle ongoing costs like property taxes, homeowners’ insurance, and regular maintenance.
Step 2: Calculate Your Home Equity
Your home’s equity is central to determining your reverse mortgage potential. Simply, it’s the difference between your home’s market value and any outstanding mortgage balance. The greater your equity, the more you might receive from a reverse mortgage.
Step 3: Select the Right Reverse Mortgage Product
Explore the different types of reverse mortgages available, including the federally insured Home Equity Conversion Mortgage (HECM), proprietary reverse mortgages for higher-value homes, and single-purpose reverse mortgages from certain state and local governments. Each type caters to specific needs and financial scenarios.
Step 4: Get a Professional Home Appraisal
An essential step in the process is obtaining a professional appraisal of your home. This assessment determines your home’s market value based on factors such as location, condition, and the sale prices of similar homes nearby.
Step 5: Undergo Counseling
A crucial step is to undergo counseling from a HUD-approved agency. This ensures you fully understand the reverse mortgage process, its financial implications, and how it fits into your overall estate planning.
Step 6: Decide How You’ll Receive the Funds
Reverse mortgages offer several options for receiving your funds: as a lump sum, in monthly payments, as a line of credit, or a mix of these methods. Your choice should align with your financial objectives and needs.
Step 7: Know When and How Repayment Works
No monthly payments are required with a reverse mortgage. The loan is repaid when the last borrower dies, sells the home, or the home is no longer used as the primary residence. Typically, the home is sold, and the proceeds are used to pay off the loan balance, including interest and fees.
Real-Life Example: Maximizing Loan Amount Through Equity
Imagine homeowners John and Mary, who own a home worth $300,000 clear of any mortgage. They qualify for a reverse mortgage that grants them access to $150,000. Opting for monthly payments, they supplement their retirement income, demonstrating how equity determines borrowing capacity and the flexibility in receiving funds.
Choosing the Right Type of Reverse Mortgage
When considering a reverse mortgage, it’s crucial to understand the different types available to you. Each type comes with its own set of features, benefits, and limitations.
Here, we’ll delve into the three primary types of reverse mortgages: the Home Equity Conversion Mortgage (HECM), proprietary reverse mortgages, and single-purpose reverse mortgages. By comparing these options, you can make a more informed decision that aligns with your financial situation and retirement goals.
Home Equity Conversion Mortgage (HECM)
Pros:
Federally insured, offering a layer of security.
Flexible payout options, including lump sum, line of credit, or fixed monthly payments.
Can be used for any purpose, without restrictions.
Cons:
Higher upfront costs, including mortgage insurance premiums.
Requires counseling from a HUD-approved agency, which may be seen as an extra step.
The loan amount is capped, which may limit access to equity for homeowners with higher-valued properties.
Proprietary Reverse Mortgages
Pros:
Designed for higher-valued homes, potentially offering access to more significant loan amounts.
May have lower upfront costs than HECMs.
Not subject to the same insurance and borrowing limits as HECMs, offering more flexibility.
Cons:
Not federally insured, which might pose additional risks.
May come with higher interest rates and fees.
Less regulatory oversight, requiring thorough due diligence by the borrower.
Single-Purpose Reverse Mortgages
Pros:
Typically the lowest cost option available.
Offered by state and local government agencies and some non-profits, intended for a specific purpose like home repairs or property taxes.
Interest rates may be lower than other reverse mortgages.
Cons:
Limited availability, as not all states and municipalities offer them.
The loan must be used for a specific, lender-approved purpose.
Not suitable for those looking for flexibility in how they use their funds.
Making the Right Choice
Choosing the right type of reverse mortgage depends on several factors, including your financial needs, the value of your home, and how you plan to use the funds. HECMs offer flexibility and security, but come with higher costs.
Proprietary reverse mortgages can provide access to larger sums for those with high-value homes but lack the insurance and sometimes the stability of HECMs. Single-purpose reverse mortgages are cost-effective for specific needs but offer limited flexibility.
Before deciding, it’s recommended to consult with a financial advisor or a HUD-approved counselor. They can provide personalized advice based on your financial situation and help you navigate the complexities of each option, ensuring you choose the reverse mortgage that best fits your retirement planning needs.
Eligibility Criteria for Reverse Mortgages
The FHA insures certain reverse mortgages, as long as borrowers meet certain requirements:
Be at least 62 years of age.
Live in the home as a primary residence (or your spouse, listed on the mortgage, must live in the home.)
Be capable of paying property taxes and homeowners insurance, as well as other maintenance costs and fees while you live in the home.
Meet FHA property requirements for the home.
Are you willing to attend a counseling session about home equity conversion mortgages (HECMs).
There are no delinquent federal debts on your account.
You’re more likely to get the money you need if you own your home outright, or if your loan balance is small so that you have a great deal of equity.
Reverse Mortgage Borrowing Limits
When you apply for a reverse mortgage loan, your lender will consider a few factors that will influence the amount of money you receive, including:
Your age
Value of your home
Equity available in your home
Interest rate
FHA mortgage limit for home equity conversion mortgages
Whether your fees are rolled into the loan
How you choose to receive your money
The older you are, and the more equity you have in your home, the more you’re likely to be approved for. Keep in mind, too, that fees associated with reverse mortgages are often much higher than fees for other types of home equity loans. That’s going to eat into how much you actually receive — even if you have a lot of equity in your home.
One of the perks of FHA-insured reverse mortgages is the fact that you don’t have to pay back more than the home is worth. So, if the value drops, and you owe more than it’s worth, you (or your heirs) might have to sign a deed in lieu of foreclosure turning it over to the bank. This is one reason many reverse mortgage lenders won’t actually lend you the entire amount of your equity.
You can use the money for whatever you want, whether it’s paying off debt, covering living expenses, or going on a vacation.
Accessing Your Reverse Mortgage Funds
If you get a fixed-rate reverse mortgage, you’ll receive a lump-sum payment. You can then take that money and do whatever you want with it. However, when it runs out, it’s gone. Some retirees use a lump sum to fund a retirement investment portfolio or purchase an immediate annuity. Others use the money to pay off debts or cover other expenses.
With an adjustable-rate HECM, you have different options available. You can choose to receive set monthly payments for a specific period of time or get payments for as long as you or an eligible spouse live in a house.
If you choose an open-ended payment schedule, you’ll likely get a smaller amount each month. However, you can be reasonably sure that you’ll continue to receive money until you pass on or move into a long-term care facility. With a fixed-term payment schedule, you could see higher cash flow every month. However, you run the risk of outliving the payments and trying to figure out what to do next.
Finally, you can also choose to use your reverse mortgage as a line of credit. You can withdraw funds as needed, up to the credit limit. This is a little more flexible and can be useful if you have other sources of income, and just want the HECM in case you need to fill a gap on occasion.
Pros and Cons of a Reverse Mortgage
If you’re considering a reverse mortgage, it’s a good idea to start with an FHA-approved lender so you receive protection. You can use an online locator to find a counselor who can help you with the process, or you can call 800-569-4287.
Carefully consider the pros and cons, too.
Pros
There are some ways to benefit from a home equity conversion mortgage that you wouldn’t see with a more “traditional” home equity loan.
No monthly payments as a borrower
Improve monthly cash flow
Pay off debt (including an existing mortgage on the home)
Non-borrowing spouse can remain in the home
Loan is paid off by selling the house when you pass on or move out
Cons
While a home equity conversion mortgage might seem like a no-brainer, there are some downsides to consider before you proceed.
High closing costs and other fees
You might not be able to pass the home on to your heirs
Costs associated with property taxes, mortgage insurance, and maintenance must still be paid
You’re draining a major asset—and you might still outlive your money
How to Spot and Avoid Reverse Mortgage Scams
Scams related to reverse mortgages are a serious concern, as they often target vulnerable seniors who may be seeking financial relief or have cognitive impairments. These scams can come in the form of dishonest vendors or contractors who promise home improvements in exchange for a reverse mortgage. However, they then either fail to deliver quality work or outright steal the homeowner’s money.
Similarly, family members, caregivers, and financial advisors may use a power of attorney to obtain a reverse mortgage on a senior’s home and then steal the proceeds. They may also try to convince seniors to buy financial products that they can only afford through a reverse mortgage, which may not always be in the senior’s best interest.
It’s important to be cautious and do thorough research to protect yourself from these types of scams.
Is a reverse mortgage right for you?
With a reverse mortgage, you can use your home as an asset if you know you’ll stay in it for a long time and need a little extra income for retirement. Borrowers who don’t intend to pass the home to heirs may benefit financially from the home during retirement. That is, as long as you can keep up with the costs of maintaining the home and pay property taxes.
In contrast, getting a reverse mortgage loan might not make sense if you can’t afford home maintenance or if you wish to leave your home to your heirs. When you’re no longer living in the home, your heirs will need to sell the home to pay off the loan. If not, they’ll have to pay the loan themselves to keep the house. If there’s enough money in the estate to pay it off, it will reduce how much ready cash they receive when you pass on.
Carefully consider your situation and your priorities before you decide to get a reverse mortgage. Then, make the decision most likely to benefit you in retirement and increase the chance that you’ll outlive your money.
If someone has access to both your bank account and routing number, they could make fraudulent ACH transfers and payments out of your account. In other words, you could wind up being scammed.
That’s why it’s so important to understand this aspect of your personal finances and protect your money. Read on to learn what happens if someone has your bank account number and routing number, what the risks are, and how to protect yourself.
What Can Someone Do With Your Bank Account Number Alone?
Many of us wonder, “What can someone do with my bank account number?” The good news is, if someone has only your bank account number, that won’t give them enough intel to do any damage. It’s not the same as a scammer obtaining your credit card digits. No one will be able to withdraw money from your personal bank account if all they have is your account number.
For those who may not know the difference between a bank account vs. a routing number, here’s the scoop:
• Your bank account number is the unique string of digits that identifies your particular account at a financial institution. Even if you have, say, multiple accounts at a bank, each will have its own distinct account number.
• Your routing number is the series of numerals that identifies your financial institution, or where the account is held.
Just because your bank account number alone doesn’t make you vulnerable doesn’t mean that you shouldn’t protect it. You should. If a scammer had your account number and other info — perhaps your driver’s license number and/or your home address — they might be able to make illegal purchases online. So it pays to be vigilant.
Routinely monitoring your account activity — say, once a week — is a smart move that allows you to quickly detect if anything is awry.
💡 Quick Tip: Want to save more, spend smarter? Let your bank manage the basics. It’s surprisingly easy, and secure, when you open an online bank account.
What Can Someone Do With Your Bank Account and Routing Number?
The short answer: Real damage. The combination of a bank account and routing number is a dangerous combo that scammers want. And those two numbers are fairly accessible. Think about how often these numbers get circulated: every time a check is written, cashed, signed over to someone else.
Here’s what can happen if they fall into the wrong hands.
ACH Fraud
With both those precious numbers, crooks could commit fraudulent automated clearing house (or ACH) transfers and payments. You’re probably used to seeing those ACH letters on your banking details when you set up automatic monthly payments and the like. When a scammer has your bank account and routing numbers, they could set up bill payments for services you’re not using or transfer money out of your bank account.
It’s tough to protect these details because your account number and routing number are printed right at the bottom of your checks. But do your best. Some pointers:
• Don’t leave your checkbook lying around.
• If you are mailing a check, wrap it in a sheet of blank paper so the numbers don’t show as it’s in transit.
• Pay attention to bank statements. Review them often to see if there are any fishy transactions happening.
• Protect yourself when online banking by using strong passwords. That password is a primary defense. If a thief has your bank and routing numbers and somehow manages to get access to your login name and password, big trouble may be on the horizon.
• Don’t make your password something obvious like your name, pass1234, or numbers that may be circulating in cyberspace, like your birthday which can be seen on Facebook.
Online Shopping
Know that all online retailers aren’t equal in terms of security measures. Some will allow people to make a purchase with bank account information alone, while others will also ask for a driver’s license or other state identification to add an additional layer of protection.
So what can a scammer do with your bank account number and routing number? They can find sites that let them shop with only that information. and could run up a tab.
Depositing Money
While it might seem like a dream come true if a mysterious sum of money appeared in your bank account, you should be more alarmed than overjoyed. Somebody who has your account and routing number may be using your digits to facilitate their illegal shenanigans (such as the kind of bank fraud known as money laundering). Report unusual deposits immediately.
Create Fraudulent Checks
Unfortunately, scammers can create fake checks using your checking numbers, and then those fake checks to pay for purchases (not every payee will verify a check) — or simply cashing them. Know, too, that with technology scammers could digitally scan the check and deposit the amount into their bank account.
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What to Do When Someone Has Your Bank Numbers
As careful as you try to be, stuff happens. What if someone has your bank account number and routing number? What if you see signs that they are using it for fraudulent transactions? Knowing how to report identity theft can help mitigate a bad situation. Have a strategy in place, just in case. Here’s some advice.
Contact Relevant Agencies
If you have the misfortune of being victimized, here’s what to do:
• Contact your bank the minute you realize it. You need to notify your bank within 60 days of your statement to avoid paying for unauthorized ACH transactions. The bank’s fraud department will work to help you get unauthorized charges reversed.
• Report the fraud to the fraud department of all three credit reporting bureaus, Equifax®, Experian®, and TransUnion®.
• File a report with your local police department.
• Also file a report with the Federal Trade Commission’s department that deals with identity theft.
Your to-do list doesn’t end there. You’ll want to be a stickler about monitoring your bank account to look for any signs that someone else is abusing your account. Be proactive and ask your bank about setting up text messages or push notifications every time a transaction is posted. This will help you keep track of what’s going on with your money.
Much as you may not be a paper person, when you’re a victim of bank fraud, documentation matters. You want copies of bank statements, a copy of the police report, your credit report, and any other relevant materials.
Cancel Your Account
As much as it’s a hassle, you need to get a new account number to replace the compromised one. Call your bank’s customer service number, contact a rep by chat, or, if you use a traditional vs. online bank, go to your local branch. Explain your situation, and take steps to get your assets transferred to a new bank account, get new checks printed, and get a new debit card if needed to safeguard your cash.
Tips on Avoiding Bank Fraud
There are no absolutes in life, but there are steps you can take to protect yourself as much as possible.
• You can get an identity theft protection service to monitor your bank accounts and alert you to any funny business, be it suspicious withdrawals or information changes.
• When shopping online, use a credit card (it offers more protection than say a debit card), prepaid card, or a money transfer app instead of typing in your account and routing numbers.
• Be stingy with your banking information to avoid bank scams. Know that less is best when it comes to sharing info.
• Go for multi-factor authentication when banking online. If you have linked bank accounts and credit or debit cards to online platforms, absolutely sign up for additional verification in order for purchases to go through. It’s like a forcefield around your account.
• It can be wise to limit your use of paper checks to only those things where an alternate form of payment is a hassle. Remember your checks are a gold mine of personal information, with your address, account and routing numbers.
The Takeaway
In today’s world, it pays to keep close tabs on your bank accounts and related numbers. Having your bank account and routing number can allow scammers to do damage in a variety of ways, from unauthorized ACH payments to fake checks. By protecting these digits and setting up other safeguards, you’ll minimize the odds of your falling victim to these wily thieves.
While on the topic of banking, it’s wise to make sure your financial institution is a good fit and offers the services and perks that suit you best.
Interested in opening an online bank account? When you sign up for a SoFi Checking and Savings account with direct deposit, you’ll get a competitive annual percentage yield (APY), pay zero account fees, and enjoy an array of rewards, such as access to the Allpoint Network of 55,000+ fee-free ATMs globally. Qualifying accounts can even access their paycheck up to two days early.
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FAQ
Which bank details should I keep secret?
Protect your bank account and routing numbers to avoid having scammers siphon money away from you. Setting up two-factor authentication for online transactions can help protect you, too. It goes without saying that no one except you should know your username, password, and security questions. Also shred financial documents that you don’t need.
Is it safe to give out your account details?
Share your banking information sparingly, especially online. At most, share a few key points with a trusted friend or family member, and only punch your details into secure websites (look for the “https” at the beginning of the url and the padlock symbol) — though even those aren’t 100% scam-proof.
Can I give out my routing number?
A bank routing number in and of itself reveals very little. After all, it’s a nine-digit code used by financial institutions to identify other financial institutions. It’s very much public information and only becomes a risk factor when paired with other personal details.
Can someone steal your money with your bank account number?
Typically, a scammer would need more than just a bank account number to steal your money, but routing numbers are easily found. With those two pieces of information, a crook could use those numbers for online purchases or to otherwise defraud you.
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SoFi members with direct deposit activity can earn 4.60% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. Direct Deposit means a deposit to an account holder’s SoFi Checking or Savings account, including payroll, pension, or government payments (e.g., Social Security), made by the account holder’s employer, payroll or benefits provider or government agency (“Direct Deposit”) via the Automated Clearing House (“ACH”) Network during a 30-day Evaluation Period (as defined below). Deposits that are not from an employer or government agency, including but not limited to check deposits, peer-to-peer transfers (e.g., transfers from PayPal, Venmo, etc.), merchant transactions (e.g., transactions from PayPal, Stripe, Square, etc.), and bank ACH funds transfers and wire transfers from external accounts, do not constitute Direct Deposit activity. There is no minimum Direct Deposit amount required to qualify for the stated interest rate.
SoFi members with Qualifying Deposits can earn 4.60% APY on savings balances (including Vaults) and 0.50% APY on checking balances. Qualifying Deposits means one or more deposits that, in the aggregate, are equal to or greater than $5,000 to an account holder’s SoFi Checking and Savings account (“Qualifying Deposits”) during a 30-day Evaluation Period (as defined below). Qualifying Deposits only include those deposits from the following eligible sources: (i) ACH transfers, (ii) inbound wire transfers, (iii) peer-to-peer transfers (i.e., external transfers from PayPal, Venmo, etc. and internal peer-to-peer transfers from a SoFi account belonging to another account holder), (iv) check deposits, (v) instant funding to your SoFi Bank Debit Card, (vi) push payments to your SoFi Bank Debit Card, and (vii) cash deposits. Qualifying Deposits do not include: (i) transfers between an account holder’s Checking account, Savings account, and/or Vaults; (ii) interest payments; (iii) bonuses issued by SoFi Bank or its affiliates; or (iv) credits, reversals, and refunds from SoFi Bank, N.A. (“SoFi Bank”) or from a merchant.
SoFi Bank shall, in its sole discretion, assess each account holder’s Direct Deposit activity and Qualifying Deposits throughout each 30-Day Evaluation Period to determine the applicability of rates and may request additional documentation for verification of eligibility. The 30-Day Evaluation Period refers to the “Start Date” and “End Date” set forth on the APY Details page of your account, which comprises a period of 30 calendar days (the “30-Day Evaluation Period”). You can access the APY Details page at any time by logging into your SoFi account on the SoFi mobile app or SoFi website and selecting either (i) Banking > Savings > Current APY or (ii) Banking > Checking > Current APY. Upon receiving a Direct Deposit or $5,000 in Qualifying Deposits to your account, you will begin earning 4.60% APY on savings balances (including Vaults) and 0.50% on checking balances on or before the following calendar day. You will continue to earn these APYs for (i) the remainder of the current 30-Day Evaluation Period and through the end of the subsequent 30-Day Evaluation Period and (ii) any following 30-day Evaluation Periods during which SoFi Bank determines you to have Direct Deposit activity or $5,000 in Qualifying Deposits without interruption.
SoFi Bank reserves the right to grant a grace period to account holders following a change in Direct Deposit activity or Qualifying Deposits activity before adjusting rates. If SoFi Bank grants you a grace period, the dates for such grace period will be reflected on the APY Details page of your account. If SoFi Bank determines that you did not have Direct Deposit activity or $5,000 in Qualifying Deposits during the current 30-day Evaluation Period and, if applicable, the grace period, then you will begin earning the rates earned by account holders without either Direct Deposit or Qualifying Deposits until you have Direct Deposit activity or $5,000 in Qualifying Deposits in a subsequent 30-Day Evaluation Period. For the avoidance of doubt, an account holder with both Direct Deposit activity and Qualifying Deposits will earn the rates earned by account holders with Direct Deposit.
Members without either Direct Deposit activity or Qualifying Deposits, as determined by SoFi Bank, during a 30-Day Evaluation Period and, if applicable, the grace period, will earn 1.20% APY on savings balances (including Vaults) and 0.50% APY on checking balances.
Interest rates are variable and subject to change at any time. These rates are current as of 10/24/2023. There is no minimum balance requirement. Additional information can be found at https://www.sofi.com/legal/banking-rate-sheet.
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The Consumer Financial Protection Bureau (CFPB) is sounding the alarm about an accelerating rate of scams that most commonly target older Americans, where a bad actor will pose as an official representative of the Bureau or another federal agency.
The CFPB published a blog post on Tuesday describing details of the scam, including the lengths that the bad actors will go to convince their targets of the deception.
“This week, we confirmed that scammers are using CFPB employees’ names to try to defraud members of the public,” the blog post said. “We’ve heard from people, specifically older adults, who received phone or video calls.”
The Bureau, the post said, will never solicit personal information or money from members of the American public.
“This includes never asking you to pay an upfront fee or taxes, or telling you that you’ve won a lottery, sweepstakes, or class-action lawsuit,” the post said. “We also won’t ask you for personal or sensitive information before you can cash a check we’ve issued.”
The Bureau outlined three common variations of the scam, including an imposter posing as a government or Bureau official in a phone or video call; calls or messages informing the scam target of a class action lawsuit that could award them money, or some other kind of unexpected direct cash payment; and being told that to collect money, the target must first “pay taxes or another upfront fee to collect the money.”
Scammers will persistently seek to find “reasons” for the target to pay more money to them in “fees or taxes,” but it “is all part of the scam,” the Bureau said.
For anyone contacted by someone claiming to be a CFPB or government official, consumers are directed to reach out to the Bureau’s consumer call center. It can be reached at (855) 411-2372 and operates from 8 a.m. and 8 p.m. Eastern time, Monday through Friday. That center can assist a caller with verifying the authenticity of government communication.
“Scammers could reach out to you by phone, mail, email, text message/SMS, social media, messaging apps, or through other online channels,” the CFPB advised. “Scams can also occur in person, at home, or at a business.”
Older Americans are commonly the targets of scammers, as noted by prior CFPB research and public advisory notices. Because of the demographics and involvement in financial services, some scammers have also chosen to falsely identify themselves as members of the reverse mortgage industry.
The U.S. Department of Housing and Urban Development (HUD) Office of the Inspector General has previously warned the public about such scammers, saying that reverse mortgage product complexity could allow certain scammers to sew confusion among their targets and make them vulnerable to bad actors.
Want to learn how to make $200 fast? Having some extra income can be useful for unexpected needs or saving up money. Maybe you need money for rent, something broken on your car, or a medical bill. Maybe you have something that you’re saving for, and you just want to make some extra cash. If…
Want to learn how to make $200 fast?
Having some extra income can be useful for unexpected needs or saving up money. Maybe you need money for rent, something broken on your car, or a medical bill. Maybe you have something that you’re saving for, and you just want to make some extra cash.
If you want to make $200 fast, there are many ways to do it: You could sell things you don’t need, create and sell handmade items, use your car or home to make money, and more.
There are lots of ways to make $200 fast!
My top picks to make $200 fast
Selling items from around your home, such as clothing, an old cell phone, furniture, and more. You can learn how to flip your stuff in this free webinar.
Make $65+ per hour in a focus group sharing your opinions with User Interviews.
Rent out your RV with RVShare.
Freelance proofread and learn how to become a proofreader in this free webinar.
Start a blog (this is what I do!) and learn how in my free How To Start a Blog course.
Best Ways To Make $200 Fast
Below are the best ways to make $200 quickly.
Selling items from around your home
The quickest way to make $200 fast is to find stuff you already own and sell it.
When you’re in a pinch for cash, your home can be a treasure trove of items you can sell. Start by gathering gently used items or those you no longer need, such as electronics (phones, laptops), furniture (couches, coffee tables), clothing and accessories (especially branded ones), gift cards, and collectibles and antiques.
You can sell on Craigslist (ideal for bulkier items like furniture, tires, cars, etc., where local pickup is more practical), Facebook Marketplace (great for reaching a large local audience quickly), eBay (perfect for unique or more valuable items where shipping isn’t an issue), thrift stores (get cash on the spot at places like Plato’s Closet), having yard or garage sales (typically get less per item but can get rid of a lot of things at once), and more.
I have sold a ton of used items over the years such as clothing, jewelry, car tires, furniture, and more. It is easy and someone probably wants what you’re selling.
Recommended reading: 16 Best Selling Apps For Selling Stuff Online And Locally
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This free workshop will teach you how to get into the flipping business. It will teach you how to resell furniture, electronics, appliances, and anything else you can find.
Rent out your storage space
If you’ve got extra space in your home, be it an attic, basement, or spare room, renting it out for storage is an excellent way to earn extra cash.
A site to use to rent out your space is Neighbor. This website helps you earn money by renting out space you’re not using.
You can make up to $15,000 a year by renting out your garage, driveway, basement, or even a closet with Neighbor. You get to choose the prices and decide which reservations you want to say yes to and host.
Take paid online surveys
Earning $200 a day just by answering surveys isn’t normally possible (unless you are doing focus groups or paid research studies), but you can reach your goal by combining survey earnings with other ideas.
When I was repaying my student loans, I answered lots of surveys each week. I did this before work, during lunch, or after work. It was convenient because I could do it whenever I had free time.
Survey companies pay you for answering surveys, watching videos, and testing products. Sometimes, you might even receive free products to evaluate. The best part is that joining survey companies is free!
Some of the paid online survey companies I recommend are:
Here are 11 Paid Online Survey Sites if you want to learn more.
Answer questions in a focus group
A focus group is like a paid online survey, as I mentioned before, but you can make a lot more money from it.
I’ve done a focus group in the past that paid me around $400 for 75 minutes of my time. While that’s a bit more than usual, most focus groups pay anywhere from around $50 to over $100 per hour. Compensation differs significantly depending on the study’s length and topic, but higher-paying studies do exist.
Lots of consumer research companies pay people like us to share our opinions. The companies use our feedback to make their products and services better.
One focus group company that I recommend is User Interviews. User Interviews recruits participants to answer surveys and share their feedback.
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User Interviews pays very well for market research studies and these are some of the highest paying online surveys, with each paying $50 to $100 or more. The average pays over $60.
Play games on your phone
If you’re looking to make $200 quickly, your smartphone can be a surprisingly interesting way. By playing games on your phone, you can earn real money.
Game apps pay real money rewards because they make money from ads and in-app purchases. They share a part of their earnings with you to motivate you to keep playing their games.
The best game apps that pay real money include KashKick, Swagbucks, and InboxDollars.
When picking gaming apps to make money, check reviews and learn about how you get paid. Be careful with apps that ask you to pay to play or promise rewards that sound too good to be true. Also, keep track of the time you spend playing games to make sure it stays worth it.
Rent out your unused RV
If you have an RV that’s sitting idle, you may want to turn it into income by renting it out. Many people have RVs they don’t use very often. Instead of letting it just sit there, you might make extra money by renting it out. Yes, you could potentially make $200 a day by renting your RV to others.
Popular sites such as RVshare work similarly to Airbnb, connecting you with potential renters. They handle the bookings and insurance, making the process easier.
Another idea is to park your RV somewhere and list it on Airbnb. I’ve seen many RVs, campers, trailers, and more on Airbnb available for rent. Just make sure that you can rent it out in the location you want to leave it, as not all campgrounds or neighborhoods may allow it.
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RVshare is one of the best money-making sites because it helps travelers save money by cutting out the middleman and offering RV rentals directly from RV owners. If you have an RV that is sitting around, then you may be able to make $100 to $300+ a day.
Proofread
If you like finding mistakes in written content and want to know how to make $200 a day, proofreading could be a good fit for you. It can be a part-time job or a full-time work-from-home career too.
It’s a job where you can make $200 in a day, and many proofreaders earn around $40,000 a year or even more.
Proofreaders check for mistakes in articles, ads, books, student papers, emails, transcripts, and more.
To become a proofreader, all you need is a laptop or tablet, an internet connection, and the ability to spot mistakes and errors.
I recommend signing up for the free 76-minute workshop, where you can learn more about becoming a proofreader. You can sign up for the free How To Become a Proofreader workshop here.
Recommended reading: How To Become A Proofreader And Work From Anywhere
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This free 76-minute workshop answers all of the most common questions about how to become a proofreader, and even talks about the 5 signs that proofreading could be a perfect fit for you.
Virtual assist
A virtual assistant (VA) is someone who helps a person, company, or business owner with administrative and business tasks, making sure everything runs smoothly. They’re just like in-person assistants, but they work from home and online.
I used to work as a virtual assistant for small business owners. I didn’t have prior experience, but I learned the skills while on the job. It not only helped me earn a good income but also allowed me to work from home. I also have virtual assistants who work for me, so I know how helpful they are! This is a very in-demand job field to get into.
Virtual assistant tasks may include:
Managing a company’s Facebook account
Managing a calendar
Scheduling appointments and meetings
Creating slideshows and presentations
Managing an email inbox and handling customer support
And more.
Typically, when you begin working as a virtual assistant, you might earn around $15 to $20 per hour. However, in some cases, you could start with twice or even three times that amount. It depends on the type of work you do and the services you provide.
This can be a full-time job or a side hustle too!
You can learn more at How I Earn $10,000 Per Month From Home as a Virtual Assistant.
Selling handmade goods and crafts
If you want to earn an extra $200 fast, selling the things you make by hand, like crafts or handmade goods, is a great idea.
A popular place to sell handmade goods includes Etsy, which has a worldwide audience looking to purchase unique handcrafted items. You can also sell via social media or even rent a booth at a local craft fair.
You can sell all different kinds of handmade items such as jewelry, soap, furniture, art, photography, clothing, personalized gifts (such as engraved items), and more.
I have personally bought handmade goods all of these ways.
Freelance write
A person who freelance writes can make $200 in a single day.
Freelance writers work for clients, like websites, magazines, marketing teams, book publishers, and others. They write different things such as articles, blog posts for search engine optimization (SEO), marketing content, newsletters, press releases, and more.
You can find freelance writing jobs in many ways such as by searching on Fiverr or Upwork, looking to see if any of your favorite sites are hiring writers, networking with people in the industry you want to write in, and more.
I’ve been a freelance writer for a long time, and many of my friends also have this job. It’s a great way to make $200 a day or more all from home.
You can learn more about how to find freelance writing jobs below:
Transcribe
If you’re looking to make $200 quickly, transcription could be a great option. With a fast typing speed and strong language skills, you can convert audio files to text for pay.
Transcription is when you change spoken words from audio or video into a written document. Many businesses need transcriptionists because they need to convert audio and video into text.
New transcriptionists usually make about $15 per hour when they begin, and the good thing is, you don’t need any previous experience to get started.
Recommended reading: 18 Best Online Transcription Jobs For Beginners To Make $2,000 Monthly
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In this free training, you will learn what transcription is, why it’s a highly in-demand skill, who hires transcriptionists, how to become a transcriptionist, and more.
Blog
Starting a blog doesn’t instantly make you $200 on the first day because it takes time to set it up. However, with time and effort, bloggers can make $200 a day in the future.
A blog is a website with articles, like what you’re reading now. You can create a blog on topics such as personal finance, recipes, travel, pet care, family life, and more. There are many different types of blogs out there.
You can make money from a blog by partnering with companies for sponsorships, showing ads, doing affiliate marketing (for example, selling a product listed on Amazon), and selling products like ebooks, candles, T-shirts, and more directly on your blog.
This is what I do to make money, and I earn well over $200 a day online. It did take me around 6 months to make my first $100 with my blog, so it does take time to get started. It took me about a year to reach around $5,000 a month and around 2 years to get to $10,000 a month.
You can learn how to start a blog with my free How To Start a Blog Course (sign up by clicking here).
Another idea similar to this is to start a YouTube channel, TikTok, Instagram, and more!
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Want to see how I built a $5,000,000 blog?
In this free course, I show you how to create a blog, from the technical side to earning your first income and attracting readers.
Dog walker
Becoming a dog walker is a fun way to make some quick cash if you love pets, especially dogs. You can easily get started by signing up with well-known dog walking apps dedicated to connecting dog walkers with pet owners.
Here are some steps to help you begin:
Register on Dog Walking Apps – Platforms like Rover are great for finding dog walking jobs. You could earn around $15 to $18 per hour depending on your experience and the local demand for dog walkers.
Create a Profile – Highlight your experience with dogs and any references you might have.
Set Your Availability – Decide on the days and hours you’re available to walk dogs and set your schedule.
My sister as well as my husband’s mother are both dog walkers on Rover, and they both enjoy this side hustle.
Sell printables on Etsy
Selling printables on Etsy can be a quick way to earn some extra cash.
Printables are digital files that customers can download and print themselves. These can include things like planners, art prints, stickers, learning tools, worksheets, invites, and organizational tools.
You most definitely have used printables in your life, and so have most people. I buy printables all the time because they make my life so much easier – and it’s so nice to just print things out and have them more easily accessible for when I need them.
One great thing about selling printables is that you don’t have to print and send anything yourself. The customer pays for the design, and they print it out on their own.
Here’s how you can get started:
Step 1: Find Your Niche
Determine what kind of printables you’re passionate about. Many people specialize in a certain type of printable, such as home, wedding, organizing, education, etc.
Research what’s popular and in demand. See what kind of printables people are actually buying right now.
Step 2: Create Your Printables
Use design tools like Canva or Adobe Illustrator.
Make sure your design is original and appealing.
Step 3: Set Up Your Etsy Shop
Create a memorable and easy shop name.
Set up shop policies and fill in all the details.
Step 4: List Your Products
Take attractive product photos or create digital mockups.
Write clear and compelling product descriptions so that potential customers can find your printables.
Price your printables competitively.
Step 5: Promote Your Shop
Utilize Etsy’s built-in SEO by using relevant keywords in your listings.
Share your printables on social media platforms.
Consider Etsy Ads for additional promotion.
You can learn more at How I Make Money Selling Printables On Etsy.
Do you want to make money selling printables online? This free training will give you great ideas on what you can sell, how to get started, the costs, and how to make sales.
Deliver groceries and food
Grocery delivery is a service that is becoming more and more popular. I’ve used it several times myself when I didn’t have time to shop or didn’t have a car available. This service is likely to keep growing.
If you’re looking to make quick cash, you can try delivering groceries and food. You have the flexibility to create your own schedule, and payment can be received pretty quickly – sometimes even within an hour.
Delivering groceries is a popular extra job, and all you need is a valid driver’s license and a car.
You get paid for each delivery and keep all your tips. Platforms like Instacart and Shipt can help you earn around $15 to $20 per hour.
Here are a couple of options for you to start earning with food delivery:
Instacart: As an Instacart shopper, you can choose to shop for groceries or both shop and deliver to customers. Being able to cash out your earnings instantly is a big plus.
Shipt: Enjoy shopping at stores like Target and CVS? With Shipt, you can earn by shopping for others. It’s a great way to combine earning with a task you already enjoy.
Sign up to become an Instacart shopper here.
Related to this: You can also deliver restaurant meals in your spare time through companies like DoorDash and Uber Eats.
Drive for Uber or Lyft
Earning $200 quickly may seem hard, but you may be able to reach this goal by driving for ride-sharing services like Uber or Lyft.
Here’s what you need to know:
Sign Up – Both Uber and Lyft require you to have a valid driver’s license, meet age requirements, pass a background check, and have an eligible car.
Flexibility – You have the freedom to choose your working hours. Whether it’s an hour, over the weekend, or throughout the week.
Earnings – Income can vary, but it’s possible to earn between $20 to $25 per hour on average. At this rate, driving for 10 hours can help you reach your $200 target.
Maximize Promotions – Keep an eye out for special promotions or peak time surge pricing (such as by driving during weekend nights or during a baseball game) as these can really boost your earnings.
Expenses like gas and vehicle maintenance will come out of your earnings, so it’s important to work efficiently and choose high-demand times and areas to increase your income.
Tutor
Tutors who know subjects well, like math, language, science, graphic design, and more, help students get better at those subjects.
Becoming an online tutor depends on the subject you want to teach. You need experience in that area, but there are options for beginners too. Tutors for advanced subjects, like calculus or college entrance exams, usually earn more than those teaching simpler topics.
Rates vary from $15 to over $100 per hour, depending on the subject and where you offer your tutoring services.
Read more at 11 Best Places To Find Online Tutoring Jobs (Make $100+ an hour).
Sign up for quick Craigslist jobs
You can make $200 quickly using your local Craigslist, which has short-term jobs and side hustles listed under “gigs.”
Some gigs I’ve seen include painting a room, running errands, passing out flyers, handyman work, loading a moving truck, shoveling snow, pet sitting, transporting a boat, and more.
You can also find quick gig side hustles through a company called Taskrabbit as well!
Note: When using Craigslist for odd jobs, be cautious of scams. If something appears too good to be true, it probably is. For instance, no one is likely to pay you $2,000 for a mystery shop or a 30-minute survey. It’s important to stay alert and choose opportunities that are realistic and trustworthy. Simply skip it if you have doubts!
Get a roommate
If you’re looking to make $200 quickly, getting a roommate can be one way to do so, and if you have an extra room at home, you can make extra money by renting it out on platforms like Airbnb or finding a long-term roommate.
Renting out a room long-term could earn you around $200 or much more, depending on the room and its location. It’s a good way to utilize your extra space for additional income.
I have personally had several roommates in the past, and it was a good source of income. Plus, we had the extra space anyway that was unused. We charged around $400 a month per room, but nowadays you can definitely get a lot more (especially depending on where you live).
Here’s a quick step-by-step guide to finding a roommate and getting paid:
Advertise Your Space – You will need to find ways to get the word out about the spare room you want to rent out. You can do this on Craigslist, your personal Facebook page, placing a post in a local Facebook group, and more.
Vet Potential Roommates – You don’t want just anyone living with you as they will be sharing your space! Here are some ways to vet potential roommates:
Interviews: Have a conversation to make sure everyone is compatible.
References: Ask for and check personal and rental references.
Discuss Financials – This is all about money, so money definitely needs to be talked about and agreed on. You’ll want to think about things like:
Rent: Determine the monthly charge for rent.
Utilities: Decide how you’ll split costs like electricity, internet, and water. Will the monthly rent include all of the bills or will you split the utilities?
Set House Rules – Rules like quiet hours, guest policies, and cleaning responsibilities help avoid conflicts.
Create a Formal Agreement – Writing an agreement will lay everything out so that there is no confusion later.
Lease Addendum: If you have a lease, add your roommate officially.
Roommate Agreement: Outline terms of rent, bills, and house rules.
To learn more about renting out your spare room, I recommend reading A Complete Guide To Renting A Room For Extra Money.
If you want to take it a step further, you could even get into real estate investing. You can learn more about this option at How This 34 Year Old Owns 7 Rental Homes.
Rent out baby items, such as a crib
If you’re looking to make $200 fast, you can rent out your gently used baby items to traveling families. By listing a crib, stroller, or car seat on rental platforms, you can help ease the travel burdens for parents while earning extra cash.
Here are some ideas of what you can rent out:
Cribs
Strollers
Car seats
High chairs
Toys
A website called BabyQuip lets you rent out baby equipment. On average, people using BabyQuip can make about $1,000 a month, and some earn over $10,000 monthly.
Redeem credit card rewards
If you have a credit card, then there’s a good chance that you are earning points by simply spending like you normally do.
Or, you could even sign up for a new card that has a good signup bonus to earn more points.
With rewards credit cards, you can turn your points into cash back. Here’s how it works: whenever you use your credit card to buy something, you earn points as a reward for spending money.
I have rewards credit cards and I earn points every single time I shop or pay a bill, and I don’t have to do anything special. Just pay my bills and expenses like I normally do! In fact, I just signed up for a new rewards credit card with a great signup bonus today with a signup bonus value of over $800.
Two credit cards that I personally like include:
Important note: Making the most of credit card rewards is smart only if you use your credit card responsibly. It’s not a good idea to accumulate debt just to get rewards because debt with interest is neither free nor beneficial. To really earn money from credit card rewards, you will want to make sure to pay your credit card balance in full every month.
Frequently Asked Questions
Below are answers to common questions about how to make $200 quick.
How can I make a quick $200?
If you want to learn how to make $200 fast in a day, then I highly recommend finding items from around your home to sell, like clothing, jewelry, and video games. This is the easiest way to get started as you probably already own things you can sell.
How can I make an extra $200 a week?
If you want to make an extra $200 a week, I recommend freelance work, which might include writing, graphic design, or proofreading. Also, renting out things you already have, like a spare room, can be a great way to make passive income.
What items can be sold to quickly earn $200?
Look around your home for electronics, clothing, or collectibles that are in good condition but you no longer need or want. You may be able to find lots of things to sell (and have a yard sale) and/or find one or two big things to sell.
How to make $200 fast online from home?
I’ve done a lot of things on the list above to make $200 fast online from home, such as freelance writing, blogging, selling items online, taking part in a focus group, and more.
How To Make $200 Fast – Summary
I hope you enjoyed this article on how to make $200 fast in a day.
As you learned above, you can earn $200 fast by doing a lot of different things, such as by freelancing, starting a business, renting out something you already own, playing games, and more.
The key is to choose what fits your life, how much time you have, and your money needs right now.
What do you think is the best way to make $200 fast?
If you’re feeling as if your student loans are hard to manage, you’re not alone. Currently, more than 43 million Americans are grappling with student loan debt, and the amounts they carry aren’t small. The average amount of federal student debt per borrower is $37,338, and for those with private student loan debt, the number is $54,921.
That kind of steep debt can be a challenge to pay back. In October of 2023, as the pandemic-driven freeze on loan repayment expired, a whopping 40% of borrowers missed payments.
If your loans feel like a real challenge to repay and you’re stressed about your financial situation, take heart. Not only are you far from the only person out there with this issue, but there are also a variety of ways you can get help with student loan debt. Here, you’ll learn more about those resources and steps you can take. Remember, you can and will get through this challenging moment. Now, read on for some guidance.
Where to Start
If you’re finding it hard to manage your student debt, your best first step may be to contact your loan servicer. Both the federal government and many private lenders assign a student loan servicer to each borrower. You can think of these servicers as go-betweens who monitor accounts, keep track of payments, and help borrowers maintain their accounts in good standing and switch plans, if need be. You can find your federal student loan servicer by logging into your student aid account; if you have private student loans, ask your lender how to make billing inquiries.
Student loan servicers can help you understand your options if you are finding your current loan hard to pay off. But do educate yourself before calling your servicer, because they are loan professionals vs. advocates for borrowers. It’s possible that they may offer options that are not necessarily in your best interest.
However, there is likely considerable value in hearing what alternatives are available so you can begin getting help with your student loan debt. You’ll learn more about options below. 💡 Quick Tip: Ready to refinance your student loan? You could save thousands.
What to Do If You’re in Default
When you default on your student loans, it means you are not repaying them according to your schedule. Almost 10% of borrowers can find themselves in default within the first three years of repayment.
When you first miss a student loan payment, your loan is considered to be delinquent, or late. The exact definition of being in default will depend on the kind of loan you have. Here are some guidelines:
• If you have federal student loans, you are considered to be in default when your payments are 270 days (or about nine months) late. With Perkins loans, you can be in default as soon as you don’t make a payment on its due date.
• For private student loans, many lenders consider a loan to be in default at the 90 day or three-month mark. Policies do vary, so check your loan’s promissory note for details.
You can find out if you are in default by contacting your loan servicer. If you are indeed in default, the consequences can be serious. The full amount of the loan becomes due ASAP. The loan holder can take other funds from you, late fees and interest can accrue, and your credit score can be negatively impacted, among other impacts.
Yes, that sounds scary, but this is a situation to be worked through; don’t let it define you or make you feel panicky. You might research the Fresh Start program for federal loans in default, or look into a student loan settlement, which would allow you to pay back less than what you owe. Student loan rehabilitation is another path and can be a one-shot solution to get federal loans out of default, repay them at a reasonable rate, and help build your credit score.
If you have private loans that are in default, it can be a wise move to speak to someone who specializes in student loans at the National Association for Consumer Advocates. You may then get assistance finding out if you can get a student loan settlement (that is, pay less than the full amount you owe) or find another road forward.
Next, though, learn about ways to avoid reaching the default stage if you are having trouble with your student loan debt.
Ways to Lower Your Federal Student Loan Payment
If you’re struggling to make your monthly federal student loan payments, it may be worth taking a look at your loan repayment plan. Federal student loans have several different loan repayment plans available, which may offer different monthly payment amounts based on your discretionary income and other factors.
Choosing a federal loan repayment plan that could give you a lower monthly payment, if available, could help you more easily make your monthly student loan payments. Consider these options.
Income-Driven Repayment
You may have been placed on the Standard Repayment Plan when you graduated, which is the standard for students repaying federal loans.
Under this plan, you have 10 years to pay off your student loans, and you make a fixed payment amount each month in order to ensure that your full loan is paid by the end of the 10 years. This plan may have higher monthly payments than other federal repayment plans.
In addition to the Standard Repayment plan, there are the following plans:
• One option is the Graduated Repayment Plan. Under this plan, loan payments are made over a 10-year period. But unlike the Standard Repayment plan, loan payments start at a lower amount and are gradually increased every two years.
• Another option when it comes to federal repayment plans is the Extended Repayment Plan. The Extended Repayment Plan has a longer repayment term option — up to 25 years. Monthly payments under this plan can be either fixed or graduated amounts. The extended repayment term means that you may have lower monthly payments.
Be aware, however, that choosing a longer repayment period could cost you more over the life of the loan due to interest that accrues every month that the loan is still outstanding. Think carefully about what might best suit your needs so you can pay off your student loan debt comfortably.
There are also four income-driven plans that calculate monthly payments based on a percentage of the borrower’s discretionary income. The percentage will vary based on the specific income-driven repayment plan you are enrolled in, but can be between 5% and 20%. Depending on the plan, repayment is extended over 20 or 25 years.
The plans available are:
• The new SAVE Plan (Saving on a Valuable Education; it goes into full effect on July 1, 2024), which replaces the REPAYE plan
• The PAYE Plan (Pay as You Earn)
• The ICR Plan (Income-contingent Repayment)
• The IBR Plan (Income-based Repayment)
With federal loans, you can change your repayment plan at any time. If you are interested in switching the plan you are enrolled in to better manage your debt, the Federal Student Aid website offers a repayment calculator that could help give you an idea of what your monthly payments may be like under each of the different payment plans.
This could help you make an informed decision about which plan may work best for your personal situation, based on what you qualify for. You could also use an online Student Loan Payoff Calculator to get an idea of when your loan payoff date may be based on your interest rate and monthly payments. Yes, crunching numbers can take a bit of time, but these tools can make it simple, show you your alternatives for managing your debt, and provide some much-needed peace of mind.
Deferment and Forbearance
If you’re really in dire straits and can’t afford to make your normal monthly payments on your student loans at all, you may be able to put your federal student loans into deferment or forbearance.
These programs offer options to temporarily reduce your monthly payment amount or pause your monthly payments entirely for a limited period of time. Not all borrowers are eligible for deferment or forbearance — in order to qualify you need to meet certain eligibility requirements.
A few points to note:
• If you’re interested in deferring your federal student loans to help with student loan debt, you’ll want to contact your student loan servicer. Your student loan servicer may require you to fill out paperwork or talk to an advisor before approving a deferral or forbearance of your student loans.
• Student loan servicers may offer assistance with student loan debt management at no cost. They also may be able to explain how student loan deferral or forbearance will work in your specific circumstances.
• It is also important to know that during deferment, depending on the type of loan borrowed, the borrower may still be responsible for paying interest that accrues.
• If a loan is in forbearance, the borrower will be responsible for paying accrued interest.
While deferring your student loans can be helpful when you’re undergoing a brief period of economic hardship, it may not be as helpful when it comes to managing loans long-term, since interest may continue to accrue and neither option changes your loan repayment terms. Keep reading to learn more options beyond deferment and forbearance.
Forgiveness Programs
One source of federal student loan debt help are loan forgiveness programs. These programs essentially forgive a remaining portion of federal student loan debt after you meet certain requirements. That means you don’t have to pay it; you may also hear this referred to as loan cancellation or discharge.
Here are specifics about student loan forgiveness:
• One of the most well-known loan forgiveness programs is the Public Service Loan Forgiveness program. This program offers federal student loan forgiveness for some people working full-time in qualifying public interest fields for 10 or more years.
Public Service Loan Forgiveness, also known as “PSLF,” offers federal student loan forgiveness for certain public servants (teachers, government workers, and some health professionals) and non-profit employees who qualify after 120 on-time qualifying payments.
Unfortunately, PSLF isn’t available to everyone. To qualify for Public Service Loan Forgiveness, you must work for a qualifying employer. Generally, government organizations and certain non-profits will be considered qualifying employers for the purpose of PSLF, but to be sure that your job counts for the PSLF program, you can submit a PSLF employment certification form to verify your employer’s eligibility for the program.
• If you have a disability, you may qualify for student loan forgiveness.
• If your school closed or misled you, your loan(s) may be discharged.
• If you have declared bankruptcy, your debt may be canceled.
💡 Quick Tip: If you have student loans with variable rates, you may want to consider refinancing to lock in a fixed rate before rates rise. But if you’re willing to take a risk to potentially save on interest — and will be able to pay off your student loans quickly — you might consider a variable rate.
Options for Private Student Loan Borrowers
What you’ve just read covers how to get help with federal student loans. But what if you have private student loans? (Private loans are also an option for refinancing federal loans, but if you do so, be aware that you forfeit federal protections, such as forbearance, and if you refinance for an extended term, you may pay more in interest over the life of the loan.)
If your private student loans are proving challenging to pay, here are some ways you might move forward:
• You could see whether refinancing your private loans with a different private loan can secure a more affordable payment.
• See if your employer offers an assistance program. Some will match repayments of student loans up to a certain amount.
• Retool your budget. The debt avalanche or debt snowball method might help you reframe your income and spending to help you get on top of your student loans.
• Seek credit counseling. Learn more about that below.
Credit Counseling
If you are feeling overwhelmed or are in a quandary about how to proceed with your student loan debt, consulting with a nonprofit credit counselor could be a good idea. You can gain the expertise and insights of someone who specializes in this terrain and hear ideas for how you might handle the situation. One well-regarded example of such an agency is the National Foundation for Credit Counseling, or NFCC.
Here’s how credit counseling can help when you’re in this stressful situation:
• A counselor can review your student loan debt and finances and develop a plan which you then manage on your own.
• Another option may be to have the counselor join you on a phone call with the issuer of your student loans to discuss options.
Having a trusted professional in your corner can be a key source of support when you face challenges with your student loan debt.
Avoid Student Loan Scams
Here’s a sad fact: Yes, there are scammers out there, looking to take advantage of people who have student loan debt. They typically offer deals to help you get out of debt but wind up cheating you. Getting involved with these people can make a difficult situation even worse, so be cautious.
The two main kinds of scams to know about are as follows:
• Student loan consolidation scams: In this ploy, a company promises to consolidate your federal loans. They charge you an upfront fee (never pay upfront fees, by the way) and then don’t do anything on your behalf. If you want to consolidate your federal student loans, you can do so for free at StudentLoans.gov.
• Student loan debt relief scams: Companies that advertise or contact you, saying they can reduce or eliminate your debt, may be part of a scam. Above, you’ve read about the available options for managing your debt. There are no magic solutions to making the amount you owe vanish, so don’t be fooled by these promises.
How to spot these scams:
• As noted, promises of making debt disappear to help with student loans are likely bogus.
• Those that give you an urgent deadline to apply in order to eliminate debt are probably also fraudulent.
• Requesting an upfront fee to apply for relief via the Department of Education is a signal that you are dealing with a scammer.
• A company that says they are affiliated with the Department of Education but isn’t listed at StudentLoans.gov is one to avoid.
• A business that says they need your FSA ID could well be a scammer.
Recommended: Student Loan Help Center
Student Loan Refinancing
As mentioned briefly above, another option for help with student loans may be refinancing them. For some borrowers, refinancing student loans could help lower monthly payments. However, if you refinance federal loans with private ones, keep in mind that you’ll forfeit federal protections and may, with an extended term, pay more interest over the life of the loan.
When you refinance your loans, a new private lender pays off your current federal and private student loans and offers you a new loan. The goal is to secure a better interest rate or better repayment terms, which can help you take control of your student loan debt. It’s one of several options you have available to get through what can be a challenging moment in your life.
Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.
With SoFi, refinancing is fast, easy, and all online. We offer competitive fixed and variable rates.
SoFi Student Loan Refinance If you are a federal student loan borrower, you should consider all of your repayment opportunities including the opportunity to refinance your student loan debt at a lower APR or to extend your term to achieve a lower monthly payment. Please note that once you refinance federal student loans you will no longer be eligible for current or future flexible payment options available to federal loan borrowers, including but not limited to income-based repayment plans or extended repayment plans.
SoFi Loan Products SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.
Non affiliation: SoFi isn’t affiliated with any of the companies highlighted in this article.
Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.
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0:00:01 Introducing the Get Out of Deck Guy team 0:00:33 The Range of Emotions Caused by Debt 0:02:25 A Lively Discussion on Extravagant Spending 0:02:42 Women considering unconventional ways to pay off debt 0:07:06 Seeking advice outside of immediate circle of friends 0:10:13 Emotional Attachment to a Beloved Pet 0:12:39 The Impact of Depression on Decision-Making 0:17:31 The Magic Beanstalk Debt Validation Scam 0:19:19 Network Marketing: The Illusion of Passive Income 0:24:37 Credit Card Companies: You’re Just a Statistic 0:26:37 The Emotional Toll of Debt: Financial PTSD 0:32:16 A Solution to Financial Stress and PTSD 0:34:01 Facing the Reality of Financial Situation and Making Progress 0:38:52 Overcoming the Emotional Impact of Bankruptcy 0:42:47 Resources for Debt Relief and Support
Summary
In this episode, we explore the emotional impact of debt and how it affects individuals on a personal level. As hosts, we have witnessed firsthand the range of emotions that arise when people face financial struggles. One prevalent feeling is embarrassment, as clients often feel like failures when they openly confess their debt. We have also observed that some individuals, particularly women, have contemplated drastic measures like becoming escorts or prostitutes to pay off their debt. However, it’s crucial to emphasize that alternative solutions are available.
Embarrassment is a common emotion associated with debt, and many people want to keep their financial struggles a secret from loved ones. However, we highlight the fact that people are often too preoccupied with their own lives to be overly concerned about our debt. We encourage seeking support from someone outside our normal circle who won’t judge us. While feeling embarrassed about debt is normal, we should not let shame consume us. Unexpected events such as accidents or health problems can throw our financial stability off balance, and it’s essential to prioritize what truly matters.
Depression is another significant emotion that often accompanies financial struggles. We stress the importance of addressing mental health and seeking professional help to gain clarity and make better decisions. Controlling emotions is not as simple as telling someone not to be depressed, and jumping at quick-fix solutions or becoming paralyzed with analysis can worsen the situation. We caution against scams that prey on people’s vulnerability and offer false promises of immediate relief. Making informed decisions and seeking guidance is crucial.
In this episode, we also discuss the cynical perspective that banks and corporations profit off people’s emotional attachment to debt. We delve into the predatory practices of credit card companies and debt collection agencies, who often see borrowers as numbers and show little regard for their individual situations. Seeking support from hotlines or financial experts can help individuals understand the reality of dealing with debt and find effective solutions. We emphasize that banks and corporations should never be the top priority in anyone’s life.
Financial post-traumatic stress disorder (PTSD) is a common outcome for individuals who have lived through debt. We stress the importance of recognizing the symptoms, seeking support, and taking a break from overwhelming responsibilities to aid in recovery. Facing the truth of one’s financial situation is vital and can lead to smarter decision-making in the future. Technology has made tracking spending easier, eliminating the need for meticulous record-keeping of every small expense. It’s essential to understand that everyone’s financial situation is unique, and there is no one-size-fits-all solution to debt.
We also share personal experiences in this episode. The main speaker discusses embracing their bankruptcy experience and being open about it, which helped gain trust from others. They also mention their friend Damon’s bankruptcy and how they saw it as a smart move rather than a judgment. The perception of bankruptcy has evolved over time, and now more people are open about their financial struggles.
The main speaker expresses frustration with the flawed student loan system, which has caused significant harm, especially to the middle class. They highlight the alarming ease with which people can obtain loans without fully considering the consequences. They urge listeners who are experiencing any of these negative emotions to seek help and support from resources like the DamonDay or getoutofdebt.org websites, as well as previous podcasts.
To conclude, the main speaker reminds listeners that emotions may not always accurately reflect reality. It’s important to take care of oneself and have a great day.
Steve Rhode is the Get Out of Debt Guy and has been helping good people with bad debt problems since 1994. You can learn more about Steve, here.
There seems to be an exorbitant number of young people posting all kinds of pictures and stories about their incredible (and expensive) travels online. And alongside that, most of us young people are struggling just to find affordable housing. So what gives? How is this generation of Americans both more broke than other generations, and also traveling so much? Well, we’re diving into some answers here, so keep reading!
1. It’s All on Credit
One user said, “I have a friend who takes 4 or 5 vacations annually. She and her husband are not wealthy by any means. I asked how they could possibly afford it (bc I was jealous), and she said it was all on credit. I stopped being jealous after that.”
It’s true: a lot of people use credit cards to travel and then make payments afterwards to catch up. Sure, you get cool experiences, but is it worth it to have standing debt that’s accruing interest at an exorbitant rate? Most of us would say no.
2. Debt and Nihilism
One Redditor shared, “Debt and nihilism. A lot of them kind of think the world is going down the crapper and their lives will only get worse from here on out, so might as well enjoy it.”
Another user replied, “Pretty much, honestly. I’m 26, a relatively s- job. Want to start a career, but that’ll require more school, which is fine. The [debt] will only set me back around a year, and I’ll make a bit more thereafter. Even after that, I won’t make enough to both afford a house and contribute a lot to retirement, though; I might as well get my money’s worth in life in my 20s and 30s while I’m still a beast physically (ski vacations, backpacking, running every event from 800 to ultras, hopefully after graduating more expensive stuff even like mountaineering, alpine touring).”
Ok, we understand this view a little better. It’s true, the world is changing rapidly and there’s a lot of joy to be found in traveling while you’re young, and strong enough to have the more intense adventures. But just proceed with caution, especially where credit cards are involved.
3. Rich Parents
“Rich parents,” one user posted.
Another user commented, “Definitely rich parents or running up credit card debt. I went to school for 8 years and ran up around 300k in [debt]. About a year or two after graduating, a classmate shared that he paid all of his student loans off. While I was funding everything with [debt], he was being heavily funded by his parents, so his [debt] was a fraction of what mine was, and he knocked it out fast.”
To be fair, if we had wealthy parents, we’d probably travel too. Probably the worst part about this one is that young people with wealthy parents are more often than not quite out of touch with the struggle middle-class people have to save up and travel. So, compassion might be the key here. That, and maybe keeping some of those gorgeous photos in a private chat instead of an Instagram feed.
4. Credit Cards
One user shared, “Credit cards are a [hecking] drug.”
Another user commented, “Yup I worked collections for too long, and I would see people barely make the minimum payment and then turn around and ask how much [they had] left to spend. Crazyyyyyyyyyyyy.”
One added, “When I was working in retail, I had an amicable ‘cash or card’ chat while ringing someone up when I said something like, ‘I’d just as soon use my card for everything and get the points.’
“The customer, 10+ years older than me and spending a couple hundred dollars, kind of scoffed and said, “Yeah, if you pay it off!”
“That’s not to knock anyone using credit cards to make ends meet. Still, it’s stuck with me because she was fully insinuating that it was unreasonable for anyone to pay off their balance reasonably regularly. Like, ma’am, are you sure you want to buy this dress?”
5. They Live With Their Parents
Generational living has been a feature of many cultures both across the glob and throughout history. In fact, Americans are more of an anomaly in this regard than we usually think. But taking the opportunity to live with your parents, especially if you have a healthy relationship with them, can set you up financially for more than just travel, although that’s certainly one motivation to practice generational living!
One Redditor commented, “They live with their parents.”
Another user replied, “My dad lived with his mom until he was 45. I live with my parents as well. No rent makes a huge difference.”
6. Hard Work or Rich Parents, Possibly Both
One Redditor added to the thread, “I work with a 24-year-old. After college, he got an entry-level job at our company (he was 22) and did really well. He probably makes $70K+, has a roommate and has no kids—plenty of extra money.
“My stepdaughter is 21, works part-time at a coffee shop, and her parents pay her rent, her tuition and most of her expenses. She also has plenty of extra money. So, either hard work or rich parents, possibly both.”
7. High-Income Jobs
While we’re in high school, most of us are told to follow our dreams. And it’s really life-changing to have a job you enjoy versus a job you tolerate or really dislike. But some of us have the talents and dreams that guide us towards higher paying jobs, and that’s a fact we all have to come to terms with. Somebody who loves math and dreams of engineering will probably make more than somebody who has a passion for children and teaching.
“Rich parents or high-income jobs,” one user stated.
Another Redditor replied, “High-income jobs really hit you differently when you don’t have any dependents too.”
8. Saving Up
“When I was a new grad, a bunch of my friends/acquaintances moved out and lived independently. Had the nicest clothes and went out to every event. I lived with my parents and saved. (Lucky enough that they didn’t need my help.)
“Well, I’m in my early 30s now. I have my own condo; it’s not the nicest car, but I’m happy with it. All my friends/acquaintances had to move back home because they couldn’t afford to live independently anymore.
“I don’t know their financial situation, but they always ask how I could afford it. My parents aren’t rich, but living with my parents after I graduated definitely is the reason I could eventually move out and buy my own place,” shared one online user.
9. Being an “Influencer”
It’s not a secret that much of what we see online, especially influencer content, is mostly illusion. There are private jets to rent as a photo set; you can go get your pictures and then fly a budget airline. All the appearance of being rich; none of the reality.
One user posted, “Where do you ‘see’ these people? Are these people you know or people you see on social media?
“Being an ‘influencer’ is a freelance entertainment job. These guys earn money by appearing to have perfect lives in every way. If they don’t provoke envy or aspiration, they aren’t making as much money as possible. Don’t let yourself be sold a bill of goods, okay? There’s a man, not a wizard, standing behind that curtain.”
10. Inheritance
Ok, it’s hard to fault people for inheriting money enough to travel. And some genuinely do. But that doesn’t make it any easier to follow along with their adventures while we work away in our offices.
One user posted, “Inheritance, trust fund babies, parents’ gifts.”
11. Work in a Tourist Attraction
Credit cards seem to be the biggest answer. Young people aren’t afraid of debt in the way many others are. And while there’s nothing inherently wrong with putting trip expenses on a credit card if you know you can pay it off, there’s definitely a risk to traveling on credit too often. Your future self may not thank you.
One user shared, “I work in a tourist attraction. I’ve seen many 21-25-year-olds from the U.S. and other continents travelling here. A lot of them are in college! I’m the same age as them, and I wasn’t able to afford to go travelling or party while in college. Edit: I would like to note a majority of them are paying with credit too.”
12. There Are More Affordable Options if You Plan It Right
“Everyone else has covered the how, but I do want to mention how important it is to travel when you can. There’s no reason to make it lavish to get the benefit from it. There’s lots of more affordable options if you plan it right. Start with weekend road trips. I never left the country (USA) until I was 25, and now I’ve been to 16 countries (although some were for work trips). I try to take one proper vacation a year. Every other year, I do something more extravagant (that I have time to save up for), and the off years, I do something domestic.
“I think it’s the best gift you can give yourself to see how other people live and experience their culture. It expands your horizons and also helps you appreciate home,” one user added.
13. Making Money off Scams
One user shared, “A lot of people I’ve seen in their 20s are doing fraud. I don’t know in detail how they do it, but it’s something with CPNs and people’s social security. I’ve seen people with all these designer bags and designer clothes and going on all these trips. Yet they work in a warehouse or a low-paying job. They are, without a doubt, scamming. Also, I know a lot of women deal with men who are willing to spend money on them. I have friends who will get flown out by men they are dating. These men also seem to be doing illegal activities. Trust me, a lot of people out here are not living right. They are risking their freedom for a fake lavish lifestyle.”
14. Selling Themselves Online
One user commented that most likely, lots of influencers have switched to having paid subscribers to their accounts. And while it’s not exactly easy money for just anyone, a lot of people are succeeding at drawing in people who are willing to pay for their content. It takes a pretty high comfort level with posting yourself online for others’ viewing pleasure, but those who have the guts and the success will probably have the ability to travel on that money too.
15. They Know Someone Who Works for an Airline
“People give others gift cards and airline points and know people who work in airlines. So, if you know someone who works for an airline, you can [often] get a $100 guaranteed ticket for a flight. Or buddy pass is free! Also, work in an airline that gives you free seating when empty seats are available. Also, parents sell their homes to their kids for $80K, and the home value is $500K plus.
“They take out a second mortgage on the house to live it up in their 20’s and slowly roll into their 30s and, by 40’s, divorced and in Debt. Also, Credit card points from people to buy airline tickets and travel expenses. They also have their parents credit cards and order ride shares with accounts of their parents that have corporate accounts credit cards on them. Females are more likely to have Dad’s credit cards for emergencies and Guys more likely to have [Mommy’s] credit cards that stepdad or birth dad pays for. Also, they have credit card debt that they file Chapter 7 on, and parents most likely pay the vehicle/ rental payments. Now, they use their parents’ vehicles to make money doing rideshare/or gig work while their parents pay the rent/ and the vehicle they pay bills. Parents paid for the college! Things I have learned about from people doing rideshare and people I have met in life,” posted one user.
What do you think of the statements listed above? Share your thoughts down in the comments!
Source: Reddit.
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Looking for the best selling apps so that you can sell stuff? Whether you have old things around your home that you want to sell or if you want to start a reselling business, there are many apps that make it easy to sell stuff right from your phone. There are apps and sites where…
Looking for the best selling apps so that you can sell stuff?
Whether you have old things around your home that you want to sell or if you want to start a reselling business, there are many apps that make it easy to sell stuff right from your phone.
There are apps and sites where you can sell all sorts of things, too, such as clothing, furniture, electronics, collectibles, and more.
I have personally sold many items over the years on many different sites to make extra income. I even had a small reselling business at one point. So, I know how helpful these sites and apps really are!
Key Takeaways
Selling apps make it easy to find buyers for your items.
Some of my favorite selling apps are Poshmark for clothing, Worthy for jewelry, and Decluttr for electronics.
Some pay via PayPal, direct deposit, store credit, etc., so make sure you think about your options before choosing a selling site.
Also, selling apps can charge various fees. You will want to look at what they charge for a listing fee, selling fee, payment processing fee, and so on. Some are free, though, like selling to local buyers on Facebook and Craigslist!
What are selling apps?
Selling apps are sites on your phone or computer that let you sell things like clothes, toys, or even your car. You take a picture, write a little bit about it, and then other people can see it and buy it from you. Some apps help you sell to people all over the world, while others let you sell locally to people who live nearby.
The apps below can be found on iOS, Android, desktop computers, or laptops.
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This free workshop will teach you how to get into the flipping business. It will teach you how to resell furniture, electronics, appliances, and anything else you can find.
Best Selling Apps For Sellers
Below are the best selling apps.
Decluttr
If you want to sell your electronics items like phones or games, Decluttr is one of the best selling apps.
Selling with Decluttr is simple. You can scan barcodes of items like games, DVDs, and books with your phone, and after you scan your items, Decluttr will give you a price for them right away.
When you decide to sell, you send your items to Decluttr for free. They even pay for the shipping and give you a free shipping label. Once they get your stuff, they’ll inspect them and if everything looks good, you then get paid.
People like using Decluttr because it’s easy and the website is easy to understand. They have a high rating from customers on Trustpilot, which means most people have a good experience.
I have personally sold a phone on Decluttr, and I have a family member who has both bought a refurbished phone on this site as well as sold an old one. It’s very easy to use and I highly recommend Decluttr.
Here’s what you can sell on Decluttr:
Phones
Electronics
Books
Games
DVDs
CDs
Apple Watch
MacBook
Speakers
Tablets
When selling, you always get to see the price Decluttr offers before you agree to sell. If you change your mind or if Decluttr says your items aren’t quite right, they’ll send them back to you without charging you anything.
eBay
eBay is an online marketplace where you can sell all different kinds of items to buyers from around the world.
Plus, you can use either your computer or your phone to sell your items.
I have sold many, many items on eBay in the past, and I think it’s a great selling site if you are looking to reach a lot of people at once. I have mainly sold clothes on eBay, but I have family members who have sold lots of different things, even cars!
If you prefer selling directly from your phone, eBay’s app is handy. You can list items by going to the Selling page and choosing “List an item.”
EBay charges two types of fees – when you create a listing as well as a fee when your item sells. This depends on the item’s price, any listing upgrades you add, and more.
Usually, eBay gives you a number of free listings every month, which means you won’t pay to list your items. This amount can be up to 250 for regular sellers or more for eBay store owners. After the free listings, there will be a fee, so keep an eye on how many listings you’re creating. You do still have to pay a fee after the item sells, which is calculated as a percentage of the total amount of the sale, plus $0.30 per order.
Facebook Marketplace
When you’re looking to clear out your space, Facebook Marketplace is the best app to sell stuff locally. This is like a large online yard sale but from the comfort of your home and phone. You can sell almost anything here, from the couch you’re replacing to the bicycle you no longer ride.
People sell things on Facebook Marketplace all the time because it is so easy! All you need is the Facebook account that you most likely already have in order to post an ad.
To sell an item, take clear photos and write a simple description. People sell toys, furniture, electronics, household goods, and more on Facebook Marketplace.
Plus, you have the option to buy and sell locally, which means no shipping hassles, or you can reach out more broadly if you’re willing to ship items. I think that most people are selling locally, though.
OfferUp
If you have items you no longer need, like toys your kids outgrew or a bike you’ve replaced, then OfferUp is a mobile marketplace where you can sell these items quickly. It’s like having a yard sale but on your phone. You just take a photo of your item, set a price, and post it. People in your community can see what you’re selling and message you if they’re interested.
Selling collectibles can be successful on OfferUp too. If you have old video game cards or stamps, you might find collectors on the app who are looking to buy them. Just remember to price your items fairly and describe them well so buyers know what they’re getting.
Unlike some other selling platforms, OfferUp is focused on local sales. This means you often meet in person to exchange the item and payment. This local approach can make transactions fast, as you don’t have to wait for shipping.
Tip: You should always be safe when meeting. Always meet in public spaces and verify the item before paying.
Poshmark
Poshmark is one of the best reselling apps for clothes and accessories.
I love Poshmark because I can find all sorts of clothing, from adult to baby, all on this site. I can search for the exact clothing brand I am looking for and often find great deals. It’s also an easy way to list items that you want to sell, and people sell all the time on Poshmark.
You can get started selling on Poshmark by creating an account, which includes adding a profile picture and writing a biography about yourself to help potential buyers get to know you better.
Then, you will list your items for sale, which includes taking photos of what you’re selling, writing a clear title and description for each item (such as the size and brand), and setting a price.
When you sell something, Poshmark helps with shipping by giving you a shipping label, and you mail the item to the buyer.
When the buyer gets your item and everything’s good, you get paid. Poshmark takes care of payments to keep it safe for everyone.
Nextdoor
Nextdoor is your go-to app for connecting with your neighbors and tapping into your local community. Think of it like a virtual gathering place where you and others in your area can meet up online.
Nextdoor is convenient because there’s no shipping – you just meet up and make the exchange.
It uses no fees to list your items, which means more money in your pocket. Instead, Nextdoor makes money in other ways (such as advertisements) so that you don’t have to pay listing or transaction fees.
So, when you have a couch to sell or want to buy a lawn mower nearby, Nextdoor might just be the app for you.
Craigslist
Craigslist is a very popular site for buying and selling items locally.
I have bought and sold many things on Craigslist in the past, such as car tires, a white water raft, clothes, and more. As you can see, that is a wide variety of items – so I’m sure you can find something that you can sell on Craigslist as well.
Plus, there are no fees to list your items on Craigslist. And, there are no selling fees either.
It is completely free to use.
To sell your items, you need to create a post, add a description and photos, and set a price.
There are a lot of scams on Craigslist, unfortunately, so you will want to stay safe. Be careful with anyone who wants to pay via check, and always stay safe. I recommend meeting buyers in public places and think about bringing a friend along. I like to pick public places like Walmart, and I know many people who like to use police department parking lots.
thredUP
ThredUP is an online consignment and thrift store where you can sell your clothes. If you have gently used women’s or kids’ clothes, thredUP lets you clean out your closet and earn money.
You can get started by simply filling a bag with the clothing items you want to sell. Then, you’ll mail your clothes with a prepaid shipping label from thredUP, and you can drop off your package at FedEx or USPS.
When your clothes sell, you have two choices. You can either cash out or get credit to shop on thredUP.
Remember, you won’t earn money for every item you send because not everything may meet thredUP’s criteria (such as if something is stained or damaged). But it’s a straightforward way to declutter and earn some cash or credit.
Etsy
Etsy is a great place to sell items that are vintage, fun, crafty, or collectible.
You can sell items like paintings, clothing, furniture, jewelry, printables, stickers, mugs, home decor, handmade items, vintage items, and so much more.
I shop on Etsy all the time, and I love how I can find interesting items that I can’t find anywhere else, such as custom artwork or vintage furniture pieces that someone found. I shop on Etsy all the time (several times a year) for both myself as well as to find gifts to give to others.
Now, Etsy is a little different from the other selling apps on this list. This is because you would not only be creating a listing but also a whole storefront.
So, if you want to start a part-time or even a full-time selling business, then this may be more for you. But, if you’re looking to sell just one or two items, then starting a whole Etsy shop may be a little too much work (depending on what you’re selling).
Worthy
When you have jewelry like diamond rings, luxury watches, or gold necklaces that you don’t want anymore, you can sell them on Worthy.com.
At Worthy, they will check your jewelry to see how much it’s worth. Then, they will sell it for you in an auction. This means that lots of people can offer money for your piece until someone gives the best price.
Steps to sell your jewelry with Worthy:
Send your jewelry to Worthy.
Worthy checks your jewelry and helps you know how much it’s worth. If you don’t like the price, you can decide not to sell it and get your jewelry back.
Your jewelry is put up for auction.
You get money when someone buys it.
The good thing is that Worthy takes care of getting your jewelry to the buyers safely. They pay for the shipping insurance, so you don’t have to worry if something happens on the way.
Mercari
You might want to sell things you don’t need anymore like a pair of shoes you outgrew or a video game you’ve finished playing. Mercari is an app that lets you sell these items right from your phone.
You can list almost anything on Mercari as long as it can be shipped. This includes phones, gaming consoles like Xbox and PS5, clothes, shoes, and even collectibles like Squishmallows.
It’s free to list your stuff on Mercari. Instead, they earn money from fees after your item sells.
First, you take a few pictures of what you’re selling. Then, you write down details about it – like what it is, what condition it’s in, and how much you want for it.
When someone buys your item, Mercari helps with shipping. They get you a prepaid label, and you just have to package your item and send it off.
Amazon
We’ve all heard of Amazon and I’m sure most of us use this site.
I buy things on Amazon all the time, and I have a few friends who sell on Amazon as well.
Amazon FBA, which stands for Fulfillment by Amazon, means that sellers keep their items in Amazon’s storage places. Amazon takes care of sending products to customers, dealing with returns, and managing customer service for the seller. With FBA, you can sell different things without the need to store them yourself or manage shipping details.
Your business would involve finding items to sell. Even if you haven’t sold anything on Amazon before, you can make money by selling everyday things like household items, toys, books, electronics, and more.
If you want to learn more about starting an Amazon business, I recommend signing up for this free training that will teach you how to sell products on Amazon and make $100 to $500 per day.
Recommended reading: How To Work From Home Selling On Amazon FBA
Chairish
Chairish is a site where you can sell furniture.
With Chairish, your items are put in front of people who appreciate one-of-a-kind pieces. You can find buyers for antique and vintage furniture, art, and decor.
On Chairish, the process is smooth. You write about your item, set a price, and Chairish handles the rest from marketing to shipping.
Kidizen
Kidizen is a used kids’ clothing site where you can sell your kids’ outgrown clothes, shoes, toys, and more. They even accept clothing for moms and maternity wear.
There are two ways to sell on Kidizen. One is to create listings yourself and sell your used items on Kidizen directly. The other option is to have Kidizen sell the items for you, where they create the listings and do all the work.
Cash4YourBooks
Cash4YourBooks is a site where you can sell your books. They buy book collections of 500 books or more (such as from estates, personal collections, libraries, and more).
If Cash4YourBooks decides to buy your collection, they’ll pick it up; you don’t need to worry about shipping or anything like that.
Gameflip
Gameflip is a site where you can sell gaming stuff, like video games and things you use inside games.
You can sell both real and online games on Gameflip. You get to decide how much they cost, and you can chat with potential buyers. This makes it simple for you to sell your video games and other things.
Frequently Asked Questions About The Best Selling Apps
When you want to sell items online, finding the right app can save you time and make you money. Here are answers to the most common questions about selling apps.
What apps help you sell stuff quickly?
If you’re looking to sell your unwanted items fast, apps like eBay and OfferUp are great because they have a lot of people who are looking for things to buy.
What selling apps pay you instantly?
Apps like Decluttr can pay you instantly once your items are accepted. This means you get paid quickly, usually after they check your stuff and make sure the quality is what you said it was.
What are the top apps for selling things in my local area?
Nextdoor and OfferUp are easy for local sales, and they allow you to connect with nearby buyers in local neighborhoods, which can make the process faster and skip any shipping. If you have a lot of things that you want to sell but want to keep it local, then you could even post an ad on the Craigslist app announcing a yard or garage sale.
What selling app takes the least amount of money?
If you don’t want to spend any money to sell your items, then Facebook and Craigslist are two great places to start. I have gotten rid of items on both, and they are very easy to use.
What App Is Best To Sell Things? – Summary
I hope you enjoyed this article on the best selling apps.
When you use selling apps, you save time because you don’t have to have a yard sale. It’s also safe because you don’t have to meet strangers in person if you don’t want to. These apps can be free or low-cost, which means more money in your pocket.
Some apps are great for local sales, allowing you to connect with buyers in your neighborhood. These can be super helpful for large items that are difficult to ship. Other apps specialize in specific categories, like fashion or handmade goods.
Whatever you are looking to sell, I hope you see lots of success! I have sold many items over the years, both online and offline, and I think it’s a great way to make money.