A rental agent is your personal guide in the world of real estate rentals. While we often associate real estate agents with home purchases, rental agents specialize in helping you find the perfect apartment or house to rent. They’re the experts who know the rental market like the back of their hand, equipped with a deep understanding of local neighborhoods, rental trends, and available properties.
In this article, we’re diving into the world of rental agents and how they can be the game-changer you didn’t know you needed for your next living space. So, whether you’re a first-time renter or a seasoned tenant, let’s uncover how a rental agent can transform your search for your next apartment or house.
Should you use a real estate agent to find your next rental?
Using a real estate agent to find your next apartment or home offers many advantages that streamline the process and enhance your overall experience. These professionals possess in-depth knowledge of the local rental market, which can help them find properties that align with your preferences and budget. In highly competitive markets such as Los Angeles, New York City, Miami, and Boston, the role of rental agents becomes paramount in the quest to secure an apartment. However, it’s worth noting that rental agents are not exclusive to these larger cities; they are also present in smaller cities, offering valuable assistance to those seeking lease accommodations.
7 key ways a rental agent can help you
Navigating the rental market can be a challenge, but with a skilled rental agent by your side, you’ll have a seasoned expert to guide you. From finding the right apartment or house to handling negotiations and paperwork, here are the key ways a rental agent can make your renting journey a breeze.
1. Tailored property searches
A rental agent will curate a list of rental options that match your preferences, saving you time by presenting choices that align with your needs and budget.
2. Local expertise
With in-depth knowledge of the area, your agent will provide insights into neighborhoods, schools, transportation, and amenities, helping you make an informed decision.
3. Protection from scams
Rental agents prevent you from scams by verifying ownership, checking landlords, and ensuring legally sound leases, creating a safe rental process.
4. Schedule property viewings
Say goodbye to endless property visits. Your agent can schedule and coordinate viewings for you, ensuring you see the most suitable options without the hassle.
5. Communicate with landlords on your behalf
These agents act as intermediaries, communicating with landlords on your behalf to address queries, negotiate terms, and facilitate effective communication throughout the rental process.
6. Assist with lease negotiations
Leave the negotiating to the pros. Rental agents are skilled at securing favorable lease terms, rental rates, and other terms on your behalf.
7. Help you through the application process
Through the application process, rental agents provide the necessary forms, explain requirements, and assist with document submission.
How much do you pay real estate agents?
The cost of a real estate agent for rentals can vary based on factors such as location, market norms, and the specific services offered. Typically, you can expect to pay around one month’s rent or a percentage of one year’s rent. So if you rent an apartment in Tallahassee for $2,000 a month, you could pay anywhere between $2,000 to $2,400 if the agent takes 10% of the annual rent. However, practices can differ from region to region, so clarifying the terms and fees with the agent before entering into any agreements is essential. Consulting with the agent or agency upfront will help you understand the cost structure and any potential fees associated with their services in your market.
Where can you find a real estate agent that works with rentals?
You can find agents through various channels. A common approach is to search on reputable real estate agency websites, where agents often list their specialties and contact information. Additionally, requesting recommendations from friends, family, or colleagues who have recently rented properties can yield reliable referrals. Ultimately, online research, word-of-mouth referrals, and attending local events can help you find an excellent real estate agent to assist you in your apartment or home search.
The bottom line
In a nutshell, rental agents are your go-to resource for a stress-free renting experience. They’ve got your back, whether it’s finding the right place, protecting you from scams, or handling all the paperwork. So, whether you’re on the hunt for your first apartment or your rental dream house, partnering with a rental agent could be the key to a smoother, safer, and simpler renting experience.
Inside: Are you looking for a safe and convenient way to buy and sell gift cards? If so, CardCash may be the perfect option for you. This comprehensive review will explore everything you need to know about this popular online marketplace.
Gift cards often seem like the perfect hassle-free gift solution, but receiving a card from a retailer that doesn’t align with your interests can result in unused potential and wasted money.
This is a common occurrence, with Americans currently holding around $21 billion in unused gift cards (source).
I know I have plenty of unused gift cards – probably around $300 worth laying around.
In response, companies like CardCash.com have stepped in to make these cards useful again and alleviate this universal frustration.
The simple goal is to help you extract value from those unwanted or unused gift cards by providing a platform to sell them safely. The solution not only converts unused cards into cash but also offers the opportunity to swap them for discounted cards from preferred retailers or a prepaid Mastercard.
Here is my CardCash review on the simplicity of getting cash for my unused gift cards.
In an era of savvy shopping and financial mindfulness, CardCash is a promising solution to make the most of every gift card.
This post may contain affiliate links, which helps us to continue providing relevant content and we receive a small commission at no cost to you. As an Amazon Associate, I earn from qualifying purchases. Please read the full disclosure here.
What is CardCash?
CardCash is a valuable online platform you can tap into for buying, selling, and exchanging gift cards. A brainchild of Elliot Bohm and Marc Ackerman, it was launched in 2009 with the goal of solving the problem of unused gift cards in America.
Via the CardCash platform, you can:
Sell your gift cards for up to 92% of the card’s value based on the popularity of the retailer.
Use CardCash to purchase gift cards, at a discounted rate, in bulk from over 1100 brands including big names like Amazon, Walmart, Starbucks, and CVS.
Swap your gift card for another retailer. You won’t get the same value though.
Remember, though, you won’t quite get the full value of your card as CardCash keeps a small percentage.
Does CardCash pay you instantly?
No, CardCash does not provide instant payments with cash.
Instead, after your order is approved, payments are typically made within a 48-hour window. This is due to standard processing times.
However, if you select another gift card. That will be available once your order is approved.
The invoice for the gift card claims to offer approximately 92% of the card’s value, but it’s worth noting that the actual payout can be lower at times.
How Does CardCash Work?
CardCash is a brilliant platform if you’re looking to sell, buy, or exchange gift cards. Here’s a quick guide on how you can get started:
Sign up on CardCash.com.
To sell a gift card, enter the merchant’s name and the balance on the gift card.
CardCash will give you an offer; if you accept, you get paid via mailed check, ACH payment, or PayPal. Or you can opt for a Prepaid Mastercard or another retailer gift card of your choice.
To buy a gift card, browse through the list of available cards and pick one that suits you.
Proceed to payment and enjoy your discounted gift card!
Pro Tip: Always check the price differences between the card value and the purchase price for the best deals.
How much does CardCash pay for gift cards?
Contrary to what CardCash claims, you won’t receive the full 92% of your gift card’s value.
The actual amount you’ll get depends largely on how popular the issuing merchant is. For popular sellers like Amazon or Walmart, you might get closer to their claim, but not always.
Sadly, for less-known retailers, offers might sink as low as 50% of your gift card’s worth.
Pros of CardCash
Considering an online platform for buying, selling, or swapping gift cards? CardCash is definitely one to consider.
Personally, I wanted to test it out and today you can find my CardCash Review.
The distinct features of CardCash include:
A wide selection of gift cards from over 1100 retailers
Instant payment in cash or a swap for another gift card when you sell your unused gift cards
Exclusive offers and discount opportunities for regular users
Convenience as the platform is easy to use and provides a hassle-free experience for users who buy or sell gift cards.
Unused gift cards can be sold for cash or swapped for your preferred merchant’s gift cards, giving value to otherwise wasted money.
Very user-friendly: It’s simple and effortless to buy and sell gift cards on this platform – a massive plus for users.
With all these advantages, CardCash makes a pretty compelling case as your go-to online gift card marketplace.
CardCash, a reputable gift card marketplace, might just be the perfect match for your needs!
Cons of CardCash
Before you decide to use CardCash, it’s important to weigh the drawbacks of the platform against its benefits.
Recognizing these concerns helps you make an informed decision and avoid potential hiccups along the way.
Here are the top cons to using CardCash:
Lower Payouts: When you decide to sell your gift cards on the platform, you might receive lower payouts than you’d expect. Be sure to carefully evaluate these potential losses.
Merchant isn’t on Platform: Not all merchants are available on the platform, which is unfortunate.
Short Buyer Protection Guarantee: Compared to other gift card marketplaces, CardCash’s 45-day buyer protection guarantee feels rather insufficient. For comparison, Raise offers a guarantee for a full year.
Disappearing Balances: Many users have reported issues with their card balances mysteriously disappearing, which can be quite unsettling. Learnwhy this unfortunately happens.
Is CardCash Legit?
Yes, CardCash is legit.
They’re a longstanding player in the gift card industry, thanks to robust security measures and a user-friendly platform.
Established over a decade ago, they have experience in offering a secure platform for buying, selling, or trading gift cards.
How do you go about sending eGift cards to CardCash?
Converting eGift cards works essentially the same way as converting physical gift cards. You still get the same benefits whether you are converting eGift cards or physical ones.
All you need to provide is the relevant information about the eGift card.
The payment process for selling eGift and physical gift cards is the same.
You can receive payment in cash or you can exchange for another gift card of your choosing.
Expert Tip: Make sure to accurately provide all necessary details regarding your eGift card to ensure a smooth transaction process.
CardCash Common Questions
CardCash is a website that allows you to buy, sell, and trade gift cards.
I tested out the site with various gift cards as part of my Cardcash review.
As this concept may be new to you, let’s answer some common questions about CardCash and give you our honest opinion on whether or not it’s a legit website.
1. Are CardCash transactions safe?
CardCash transactions are generally safe.
As a reputable marketplace for gift cards, CardCash enforces strict security measures like other platforms such as eBay or Amazon. However, it’s important to remember that you’re dealing with third parties that could potentially misuse gift card PINs.
To counteract this, CardCash offers a money-back guarantee for unsatisfied purchases. For example, if a gift card you bought is exposed as fraudulent, you can get your money back.
Despite this, always exercise caution, and use common sense while making transactions.
2. Are there any fees when buying or selling a gift card?
When you’re buying or selling gift cards on CardCash, there are no fees applied to your transactions.
The platform allows free signup and doesn’t charge for usage.
Purchasing a gift card? Absolutely zero fees. All you pay for is the discounted cost of the card itself.
Selling a gift card? No worries, still no fees. After providing your card details and balance, you’ll receive an offer. If you accept, the payment goes directly to you via check, PayPal, or direct deposit with no extra charges.
For instance, you have a $50 Best Buy gift card. After inputting the details, CardCash offers $45. If you accept, the $45 is sent to you without any deductions.
3. Is there any risk of identity theft when buying or selling gift cards?
Identity theft is when someone unlawfully obtains and uses your personal information, often for fraudulent purposes.
No, there should not be the risk of identity theft when buying or selling gift cards.
4. Is CardCash safe to use?
CardCash is definitely safe for use.
Operating since 2009, the platform is not only registered but also provides users with advanced security measures to secure personal data and transactions.
With a physical address and listed contact number, assistance is always at hand. Think of CardCash like a vault – your unused gift cards are safe to sell on it and your personal details are locked away securely.
5. Does CardCash buy stolen gift cards?
No, CardCash does not buy stolen gift cards. That is 100%, not their intent.
When you sell a gift card to CardCash, they require you to provide certain personal details to comply with federal anti-money laundering laws. CardCash uses these details to verify the authenticity of the sale and the seller.
However, remember that CardCash is an online marketplace where third-party vendors sell cards. Although most users are honest, there’s a risk of encountering scams unfortunately, and you should always exercise caution when using the platform.
Learn how to handle an Amazon package says delivered but not received.
6. Is it safe to buy gift cards with a credit card?
It is safe to buy gift cards with a credit card as long as you are using a reputable source.
When you use a credit card, you have the added protection of being able to dispute the charges if you do not receive the gift card or if it is not what you expected.
Make sure you are on CardCash’s legit website and you see the lock on the search bar indicating a secured website.
7. Are there any drawbacks to using CardCash?
One key drawback is the misleading discount rates.
Partner websites listed on CardCash may promise higher discounts than they actually deliver, leaving you scratching your head when your wallet feels lighter than expected.
As part of my Cardcash review, my Red Robin gift card valued at $25 would only receive $15.75 cash, which is 63% of its value.
Another significant concern is the 45-day buyer protection. Your best bet is to use your gift card within this limited time frame to avoid losses.
8. What are CardCash’s payout options?
For most, you want a direct, monetary form of compensation which is quite advantageous for those individuals who prefer having cold, hard cash as opposed to holding onto a gift card that they will never use.
Here are CardCash’s payout options:
Cash: CardCash allows users to sell their gift cards in exchange for cash. You can get a mailed check, ACH payment, or PayPal.
Prepaid Mastercard: Besides cash, CardCash also gives users the option to receive their payment via a Prepaid Mastercard. This is a convenient option, especially for those who like to keep their funds digital or for those who might not have convenient access to a bank.
Another gift card: One of the unique payout options provided by CardCash is the ability to exchange a gift card for another one. This option typically gives you a higher payout amount as well. But, you are limited to the merchants offered.
Just remember, payouts can fluctuate and might be less depending on the popularity of the gift card’s merchant.
9. Is it safe to sell gift cards on CardCash?
CardCash is a trusted platform where you can safely sell your unwanted gift cards.
However, keep in mind that you probably won’t get the full face value of the card, as the company keeps around 8-10% of its value.
Despite this, it’s a reliable way to make some money from unused gift cards. Card Cash is not a scam
10. What should I do if I have a complaint about CardCash?
If you’ve got complaints about CardCash, it’s crucial to voice them right away – that’s how issues get resolved.
Try reaching out to their customer support using the “Contact Us” form on their website.
If your complaint is due to balance discrepancies within 45 days of purchase, then email [email protected].
If that doesn’t work, send a detailed email to [email protected]. Be sure to mention specific problems and desired outcomes.
Most importantly, if there’s an issue with a gift card you bought, ensure you file a complaint within 45 days of purchase to receive a full refund.
My CardCash Review
Having firsthand experience with CardCash, I can share my insights about the process and how it measures up to my expectations.
Firstly, the process was indeed straightforward to navigate. The platform has been designed in a very user-friendly way that facilitates convenience and efficiency. It’s quite simple to get onboard, sell, or purchase a gift card.
However, there was a slight hitch – the value percentage offered. This slippage is more than I anticipated.
According to my experience and perception, the payouts for selling gift cards felt a bit lower than expected.
Here were the values I was given:
=> Olive Garden = 71% of value => Red Robin = 63% of value => Chili’s = 70% of value => DoorDash = not an option to sell
Gauging the 45-day buyer protection guarantee initially, it seemed impressive as it ensures a refund if the gift cards don’t function as advertised. However, there’s a catch – the gift cards should be used within this 45-day window, as the 45-day guarantee goes away.
In a nutshell, the experience with CardCash has been a positive experience. Personally, I would have rather been given the cash to use as a please versus a gift card.
However, all of the local gift card exchange kiosks don’t trade in gift cards. So, I felt my options were limited and chose to use CardCash.
FAQ
Yes, selling gift cards for cash is legit.
You need to use a verified site to avoid a scam.
A credit card is needed on CardCash for several reasons.
In order to use the service, you must have a credit card so that you can be properly verified. This is necessary in order to protect both the buyer and the seller.
This CardCash Review Should Help You
So, you’re considering CardCash for buying or selling gift cards, huh?
Well, on the positive side, CardCash offers an easy channel for getting rid of unwanted gift cards or buying new ones with a discount – sounds like a good deal, right?
Buying gift cards with a credit card from sites like CardCash can be safe, provided you take some precautions.
For me, it was a simple process and I chose another gift card.
Consequently, it’s important to remember that you’re purchasing second-hand gift cards, which could potentially have odd issues come up.
To ensure your value, make use of the 45-day guarantee. For example, if you’re planning a big purchase next month, buy the gift card now and make sure to use it within this timeframe. This minimizes the risk of being left with a worthless card after the guarantee period.
So, do your homework, understand how CardCash operates before diving in, or consider other options for more reliable service.
Just remember, while buying, you pay about 90-92% of the card value, and while selling, you get the same.
Know someone else that needs this, too? Then, please share!!
The U.S. Department of Housing and Urban Development (HUD) this week announced a package of regulatory and administrative waivers that will allow the use of HUD funding to assist with the recovery of Maui after the island endured a series of devastating wildfires. The waivers come as thousands of government-backed mortgages on the island have been impacted by the disaster, according to data released by the office of Hawaii Gov. Josh Green (D).
Based on the data, 5,200 mortgages serviced by Freddie Mac,9,800 mortgages serviced by Fannie Mae and 2,400 mortgages serviced by Ginnie Mae on Maui have all been impacted by the fires. Additionally, 1,300 Federal Housing Administration (FHA) mortgages including two public housing and two senior living buildings have been impacted, as well as 927 U.S. Department of Veterans Affairs (VA) mortgages.
However, this data only provides a partial picture. The governor’s office said that the Lāhainā and Kula areas are “still being assessed.” Lāhainā, a popular tourist destination on the island, was the town most affected by the spread of the wildfires. Most of the structures in the town were destroyed.
HUD’s waiver package aims to accomplish five key goals in assistance for Maui, including suspending the community development block grant (CDBG) public services cap to provide additional support services related to the effects of the disaster on individuals and families, which will allow for HUD funds to pay for food, water and “other emergency needs,” HUD said.
The funds will also allow for new housing construction with CDBG funding in declared-disaster areas, and provide flexibility in HOME tenant-based rental assistance requirements “to reduce burden for those seeking assistance.” The HOME local matching contribution requirements will also be waived in an effort to provide “greater flexibility in the entities that can expeditiously provide housing to displaced persons and repair properties damaged by the disaster.”
Finally, the waivers will allow for an extension of time so that “individuals can receive temporary assistance, including CDBG emergency grant payments and ESG rental assistance.”
The Consumer Financial Protection Bureau (CFPB) has also been active in the conversation since Americans will typically aim to find ways to donate money, clothing or other materials to the disaster area in the immediate aftermath and beyond. CFPB warns that some bad actors typically aim to take advantage of these inclinations.
“It’s natural to want to lend a hand to others who have been affected by an emergency,” CFPB said in an announcement distributed on Friday. “You can share our tips for sending financial support to others, including fast facts about mobile apps. And, refer to our tips for avoiding scams and fraud that can entrap people trying to help.”
Want to learn how to sell DVDs online and near you? Here’s how you can make extra money selling used DVDs.
Do you have a stack of DVDs taking up space in your home? If so, you can sell DVDs online as a way to declutter and put some extra cash in your pocket.
While you may no longer need or want the DVD, there are people still buying DVDs out there.
This guide on how to sell used DVDs includes tips on:
The best places to sell DVDs online
How to get started selling DVDs online
How to make the most money selling DVDs
How much you can earn selling used DVDs online
Here’s a step-by-step guide to help you get started and teach you how to sell used DVDs online.
Related content on ways to make extra money from home:
Best places to sell DVDs online
There are many online platforms and vendors where you can sell DVDs. Before choosing a platform, make sure to find out what fees and payment methods (for example, some may only pay via trade-in credit, whereas others may pay cash) each website provides, as well as what the customer reviews say.
Here are the most popular options for selling DVDs online.
1. eBay
eBay is one of the largest online marketplaces and lets you list both new and used DVDs. You can set your own prices and choose between auction-style listings or fixed-price listings. eBay is user-friendly and the site is easy to navigate and create listings.
My sister has sold on eBay plenty of times, and it is easy.
It’s important to accumulate positive feedback as you complete transactions because it will improve your ratings, which increases your visibility on the website.
2. Amazon
Selling new DVDs on Amazon can be a great way to get started.
Amazon has a massive reach and customer trust. Everyone knows what Amazon is!
Sellers can list DVDs as individual items or in bulk. You can choose between an individual seller account or a professional seller account.
For individual sellers, this account is best for people who are not selling regularly. You pay per-item fees for every sale. A professional seller account is different. You pay a monthly subscription fee to have this account and it’s designed for people who are selling regularly on Amazon. With this account, you can list an unlimited number of products.
With Amazon, you can choose between Fulfillment by Amazon (FBA) or Fulfillment by Merchant (FBM). Fulfillment by Amazon (FBA) means Amazon will store, pack, and ship your products to customers. Fulfillment by Merchant (FBM) means you have to handle the fulfillment process yourself and ship products to customers.
There is also the Amazon Trade-In program that you may want to try too.
3. Decluttr
Decluttr is a platform that buys and sells items, including new and used DVDs. The website and mobile app are incredibly easy to use.
All you have to do is scan the barcode of your DVDs and you’ll get instant price quotes. Decluttr stands out from the other platforms on this list because the app provides a quick valuation process. This makes it quick and easy to get an idea of how much you can earn for your DVDs.
Decluttr even provides you with a free shipping label, so all you have to do is pack the items in a box and ship them to Delcuttr. Decluttr covers shipping costs making the process easy for sellers.
Keep in mind that you are likely to receive lower profits since Decluttr is doing a lot of the work for you. You will likely earn more money if you decide to sell directly to consumers on a different platform. But, you’ll also have to do more work on other platforms.
4. Bonavendi
Bonavendi is a website that lets you compare different platforms for your used items like DVDs. Bonavendi works as a price comparison tool so you can see which site will pay you the most for your item.
To find out how much you can receive for a DVD, all you do is enter the barcode of the item you’re selling. A list pops up with each platform and how much each site offers for the DVD.
This saves you a ton of time and helps you make more profit since you’ll know which platform is best for selling your DVDs.
5. Facebook Marketplace
Facebook Marketplace is an easy way to list DVDs to sell to local buyers in your town or neighborhood. If you already have a Facebook profile (which most people do), you can start creating listings immediately on Facebook Marketplace and in local buy and sell groups. Simply provide accurate information on your listing and maintain good communication on the platform.
Make sure to choose a public and safe location for the exchange, like a police station parking lot. You may even consider bringing a friend along or letting someone know where you are meeting this person. This is important when using Facebook Marketplace because you are personally meeting up with a stranger from the internet and exchanging money.
Facebook Marketplace is a great option for people who do not want to deal with the hassle of shipping and want to sell an item as quickly as possible.
6. Etsy
If you have collectible DVDs, Etsy is a great place for selling your items to a niche audience. Etsy is known for selling items that are handmade, vintage, or unique. Keep this in mind when you consider selling DVDs on this platform. You probably can’t just sell a DVD without it being unique in some way (although, I did check Etsy and I did see just normal DVDs listed on the site).
DVDs that are a good fit for Etsy should have a unique or collectible aspect. This could be a DVD with special packaging, limited editions, or signed copies by a director or actor.
7. Craigslist
Craigslist is similar to Facebook Marketplace as it allows you to sell to local buyers. It’s quick and easy to list DVDs on Craigslist. It’s also important to have good communication and be responsive to emails about your items. People generally like to hear back quickly (the same day if possible).
Once you’ve connected with a buyer, determine where you will meet and what time. Make sure to choose a safe location like a police station or public space. You may even want to bring a friend or let someone know where you are meeting the person.
One idea for Craigslist is to simply list all of your DVDs in a single listing, which can make it easier instead of making separate listings for each DVD that you have.
8. SellDVDsOnline.com
Sell DVDs Online is a platform that allows you to sell DVDs directly to SellDVDsOnline.com. The process is easy.
To get started, all you have to do is enter the DVD’s UPC code, which is usually on the back of the DVD by the barcode. You’ll receive an instant price quote. Sell DVDs Online offers free shipping and you never come in contact with customers.
9. EagleSaver
Eagle Saver is a website that lets you sell books, CDs, DVDs, and games for cash. Eagle Saver has a free app so that you can scan your DVDs and value your items faster.
Benefits of selling DVDs on EagleSaver.com include getting paid quickly, risk-free quote guarantee, no fees, and free shipping. With EagleSaver.com, all orders qualify for a free FedEx shipping label, tracking number, and $100 of packing insurance.
10. Yard sale
Though yard sales aren’t online, they are a quick way to get rid of your DVDs and blu-ray movies. You can gather all of your DVDs into one place so buyers can browse through them quickly. Price them competitively at $1 for standard DVDs or $2 for special editions.
Then, organize your DVDs neatly so buyers can go through them without any problem. You may even want to consider offering bundle deals, like “Buy 5 DVDs for $3”. This can encourage garage sale buyers to buy more DVDs.
To sell more DVDs, you could even have a DVD player and TV set up so you can demonstrate that the DVDs are in working condition. This is going to help the buyer feel confident and make their purchase.
Make sure to promote your yard sale through local community groups, local yard sale apps, social media, and by placing signs around your neighborhood.
11. FYE
FYE is an entertainment retailer that sells new and used music, DVDs, video games, and more.
While their online store is not currently accepting used items, most of their store locations currently are. You can use their store locator to find a store near you. This can be an easy way to sell your items in person by simply bringing a big stack with you.
How to get started selling DVDs online
Now, we’ll talk about how to get started selling DVDs online, so you can start making money from selling DVDs ASAP.
1. Gather your DVDs together
Grab all of your DVDs and sort them into one area. Go through each DVD and make sure they are in good condition with intact cases and minimal scratches. Open up the case, of course, and make sure there is a DVD in there (sometimes they disappear over the years).
2. Research what is selling
Do research and find out which DVDs are in demand and what they are selling for. Some of the sites above will give you an idea of how much you can get for a used DVD.
3. Pick a platform to sell DVDs
One of the most important steps on this list is choosing a selling platform. For example, Bonavendi is a great tool for comparing different platforms and getting the best price on a DVD. Facebook Marketplace or a garage sale may mean selling an item very quickly, though, and in person.
4. Create DVD listings and set pricing
If you plan on selling the DVD yourself, you will need to create a listing for each DVD. Make sure the listing is accurate, detailed, and has clear photos of the DVD, case, and any special features.
Next, you will set a competitive price based on the research you do. Keep in mind the DVD’s condition, rarity, if it’s a set, and market demand when pricing the DVD.
5. Payment methods
Once you know which platform you’re going to use to sell DVDs, make sure there is a secure payment method for the platform. If you’re selling DVDs on Facebook Marketplace or Craigslist, expect to receive payment as cash or through a platform like Venmo.
Personally, I would not accept a check for a small payment such as a DVD from a person I met on Facebook Marketplace or Craigslist for example, as though are common scams.
6. Customer service
When selling used DVDs online, try to keep your reviews and ratings high on platforms by responding to questions and solving any problems (reading your reviews can also help you to improve your process). Remember, positive reviews are important for selling a lot of DVDs online so that future buyers can trust that your DVDs work. For example, if you have a lot of reviews that mention that the DVDs do not work, this may prevent other people from buying from you.
7. Shipping and packaging
Figure out how you want to ship, which carrier you want to ship with, and if you want to ship at all. You may prefer skipping shipping altogether and meeting customers in person to sell DVDs.
If you do decide to ship your DVDs, they need to arrive in good condition. Make sure to use proper packaging materials and be transparent about delivery times and shipping costs in your listing.
8. Keeping track of inventory
Whenever a DVD sells, take down the listing immediately if it isn’t done automatically. This is going to help you avoid any issues with other customers trying to buy the same item and save you time and headaches.
Best tips for selling DVDs online
Here is a list of the best tips for selling DVDs online.
Optimize your DVD listings by using high-quality images of your DVDs and writing clear and detailed descriptions
See what similar DVDs are selling for and set competitive pricing
Bundle similar titles and offer a deal to encourage buyers to buy more items at once
Be honest about the condition of the DVDs and disclose any scratches or missing items (like original cases or inserts)
Mention special edition DVDs and other collector’s items you have (if you have one of these)
Use multiple platforms to reach a broader audience
Provide tracking information to buyers
How much can you make selling DVDs online?
What you can earn from selling DVDs online depends on a few different factors, such as the condition of the DVDs, the rarity of the DVD, demand, which platform you use, and what’s trending in the DVD market.
Here are a few things that may impact how much money you can make from each DVD:
Condition – If your DVD is brand new, unopened, and wrapped in plastic still, the DVD may be able to be priced higher. However, if your DVD has scratches or dented cases, those things can impact pricing.
Market demand – If you have a DVD that is rare, a special edition, or a collector’s item, this DVD will sell for a higher price due to the rarity and increased demand for the item.
Platform – The platform you choose has a big impact on your profits. Some platforms have fees, some don’t, and others have more dedicated DVD collectors, while others don’t.
FAQs about selling used DVDs
Here are answers to common questions about selling used DVDs online and locally.
Are used DVDs worth anything?
Yes! You can actually make money selling used DVDs and blu-rays. If you have a DVD collection, you may want to think about going through it and seeing what movies you can sell. After all, with Netflix and Hulu being around, there’s a good chance that you haven’t touched your DVD collection in a long time.
How do I know if my DVD is valuable?
You can check some of the different websites that sell DVDs to see what they are selling for.
Where is the best place to sell DVDs? Where can I sell DVDs?
Some of the best places to sell DVDs online and locally include eBay, Amazon, Decluttr, Bonavendi, Facebook Marketplace, Etsy, Craigslist, SellDVDsOnline.com, Eagle Saver, and having a yard sale. A used bookstore may buy used DVDs as well. Some of the easiest online sites will work right from an ios or Android device too, meaning you can sell DVDs from your phone!
How much can you sell a used DVD for?
The amount you can sell a used DVD varies, but generally, you can earn about $0.50 to $20. It depends on what you are selling (for example, box sets or TV series usually will earn you more money).
You will want to think about costs for the different selling sites, as things like shipping fees can add up quickly.
You may receive money through PayPal, direct deposit, paper check, trade-in credit (yes, you may be able to trade in movies), store credit, or even cash by selling your old DVDs.
Is Decluttr a trusted site?
Yes, Decluttr is a trusted site to sell used DVDs online. You can even sell your used video games, textbooks, video game consoles, tablets, or old cell phones on this site too.
How much do pawn shops pay for DVDs?
Pawn shops usually pay around $0.50 to $5.00 for used DVDs.
Sell DVDs online – Summary
Now you can get started selling DVDs online and making extra money with this side hustle. Selling your used DVDs online has so many benefits, including decluttering, freeing up shelf space, and making extra cash for vacations or paying off debt.
If you’re no longer using your DVDs, put them to good use by selling them to people who want to buy them and use that money to reach your financial goals.
Have you ever sold DVDs online? What was your experience like?
As any long-term investor in the market can attest, stocks rise and fall — influenced by a mix of economic trends and supply and demand.
Given the inherent volatility of stock values, there are periods when the market is down, and times when it’s gaining steam. So, how low can a stock go? Well, in some cases, stock prices can fall all the way to zero.
What happens when a stock goes to zero? Watching a stock in free fall can induce fear and panic in investors, causing some to sell their holdings. While most every investor aims to buy low and sell high, timing the stock market is very challenging and doesn’t guarantee that investors will see gains.
Sometimes when a stock goes down in value it can present an investment opportunity, but in other cases the stock could fall to zero and never recover. In the latter case, it may benefit investors to sell before the stock price falls all the way down to zero.
What Causes a Stock to Fall to Zero?
When a stock falls to zero, it doesn’t mean that the company is worth nothing. Some companies with very low stock values are still earning money or possess assets. And, some investors buy penny stocks that have extremely low prices.
What happens to a company when stock prices fall to zero? If a company continuously spends more money than it earns, and investors sell off the stock, ultimately, that can lead to the company going bankrupt. Most companies file for either Chapter 7 or Chapter 11 bankruptcy before their stock reaches $0.00.
Chapter 7 Bankruptcy
With a Chapter 7 bankruptcy filing, the company must sell off its assets until it can repay lenders and creditors. The order that stakeholders get paid is: creditors, bondholders, preferred stockholders, common stockholders.
This means that if the asset sale doesn’t bring in enough money to pay everyone, it’s likely that common shareholders won’t receive a dime. In this case, stockholders lose all the money they had invested in that stock.
Under Chapter 7, stock trading and all business activities must be put on hold.
Chapter 11 Bankruptcy
Under a Chapter 11 bankruptcy, the company negotiates loan terms with its creditors in order to avoid selling off assets. With Chapter 11, companies can still conduct business and their stock can be traded.
Once a company files for Chapter 11, it is likely that the stock will continue to fall, since many investors won’t have much faith in the business. Sometimes shares are canceled with a Chapter 11 filing. In that case, investors lose all the money they had put into the stock.
Even if a company files for bankruptcy before its stock falls to zero, their attempts to salvage the business may ultimately fail and the stock could become worthless. However, it can take a strong team and business model to go public and get listed on stock exchanges in the first place, so some bankrupt companies may have the potential to make a comeback.
Some companies with very low stock prices get acquired by larger companies before their stock falls to zero. Even a company with a low stock might have a promising product or service that a larger company is able to sell successfully. One example of this is when Alphabet acquired FitBit in 2021. 💡 Quick Tip: All investments come with some degree of risk — and some are riskier than others. Before investing online, decide on your investment goals and how much risk you want to take.
What Happens to a Company When Stock Prices Fall to Zero?
Some stock exchanges delist stocks if they fall below a certain level. For example, the New York Stock Exchange will remove a stock if its share price falls below $1 for 30 days in a row.
And, as mentioned above, if a company files for Chapter 7 bankruptcy, its stock will be delisted temporarily.
Can a stock go negative? Fortunately, it is not possible for a stock’s price to go into the negative territory — under zero dollars in value, that is.
Still, if an investor short sells or uses margin trading, they may lose more than they invested. For this reason, margin trading and short selling are risky investment strategies.
Short selling is when an investor predicts that a stock is going to decrease in value. So, rather than buying the stock, they ‘bet’ that it will go down. If the stock does in fact go down, they make money.
But, if the stock ends up increasing in value, they lose money. Potentially, an investor in this scenario could lose more money than they put into the initial short sell.
Margin trading is when an investor borrows money from the brokerage firm to trade stocks. If the investor makes a trade that doesn’t go in their favor, they can end up owing the brokerage firm money.
How Low Can a Stock Go?
Stock prices can fall all the way down to zero. That means the stock loses all of its value and a shareholder’s earnings are typically worthless. In this case, the investor loses what they invested in the stock.
Reasons for a Stock Losing Value Down to Zero
What makes a stock fall to zero? The are a number of reasons that may come into play, including:
• Losses in the company’s revenue or earnings, especially if the losses are persistent
• A perception in the market that the stock is overvalued
• Management issues, shake-ups in the company’s leadership positions, scandal, fraud — in short, anything that can make investor sentiment turn negative
For investors, these are all signs a stock is underperforming and red flags to watch out for.
Types of Stocks Likely to Fall to Zero
What is a stock that falls to zero? Every stock comes with risks, but some are more risky than others. Besides companies on the brink of bankruptcy, there are certain types of businesses that have a higher chance of becoming worthless.
Knowing what to look for and researching and evaluating stocks before buying is key to building a resilient portfolio. Some of these higher risk stocks might include:
Companies With Weak Business Models
Even if a stock is currently performing well, it may fall in the future if the business model is fundamentally flawed. For this reason, many investors prefer to research a company’s practices, team composition, and business model before investing in its stock.
Penny Stocks
Stocks that trade below $5 are known as penny stocks. These low price stocks tend to be very volatile, as the companies that issue them have low or no profit.
Sometimes penny stocks can even turn out to be scams.
Buying the Dip
Rather than selling stocks when the market declines, some investors believe it can be a good idea to buy while the market is low. By buying the dip, as it’s known, investors pay less for stocks.
And, since these stocks still have the potential to go up in value as the market recovers after the decline, they can be preferred by long-term investors who may have more time to let their portfolio go back up in value.
However, if a company is going bankrupt or otherwise likely to fall to zero, it’s unlikely to offer a strong return on investment.
It’s also very difficult to time the market, so a trader might buy in when they think the market has hit bottom, only to watch it continue to go down.
Generally, building a diversified portfolio can offer higher returns on average over time than trying to time the market based on shorter-term trends or dips.
Examples of Stocks That Fell to Zero
There are two particularly infamous examples of stocks that fell to zero:
Enron
In the 1990s, Enron, an energy company, hid massive losses by using accounting tricks. At one point, its stock price was over $90. In 2001, analysts and investors became suspicious and began asking questions. That same year, the company reported huge losses, and its stock plummeted to $0.26 right before it declared bankruptcy.
World Com
This telecom company falsely inflated its cash flow and net income by listing expenses as investments to hide losses. Its stock price fell from more than $60 a share to less than $1 before the company declared bankruptcy in 2002. 💡 Quick Tip: When you’re actively investing in stocks, it’s important to ask what types of fees you might have to pay. For example, brokers may charge a flat fee for trading stocks, or require some commission for every trade. Taking the time to manage investment costs can be beneficial over the long term.
How to Prevent Holding a Stock that’s Falling Lower
While it’s true that the market is impossible to predict, there are some measures that investors can take to protect themselves from losses — especially in the case of a stock spiraling towards zero. Below are some common preventative investment measures.
Stop Losses
Knowing when to sell a stock is important. Investors can set up a trade to automatically sell shares if a stock reaches a specific price. This type of trade is called a stop loss. It’s a strategy that could help prevent losses in the case of an individual stock or overall market drop.
There are multiple types of stop losses, including trailing stops and hard stops. Trailing stops move the stop level up as the stock rises in value, but stay in place if the stock falls. Hard stops are fixed at a specific price and will execute if the stock falls to that price.
Limit Orders
Limit orders allow investors to set the price at which they want to buy a stock. An investor selects the price and the number of shares they wish to buy. In practice, the order only executes if the stock then hits that price.
This is one way for traders to step away without worrying that they’ll be buying in at a price they didn’t want.
Put Options
A put option is a type of order that gives traders the option to sell or short-sell a specific amount of stock at a specific price, within a certain time frame. If a stock decreases in value in this case, the trader can still sell it at a higher price than it previously held.
Diversifying Asset Holdings
In an effort to prevent losses, investors may want to diversify their portfolios into a mix of non-correlated assets — dividing their holdings between assets at a higher and lower risk of fluctuating in value.
In a diversified portfolio, if one asset class decreases in value, the other types may not. Over time, the ups and downs of each asset could possibly balance the losses in each.
Setting Up a Stock Portfolio
By researching companies and setting up a portfolio according to one’s personal risk tolerance, and then keeping tabs on the assets in that portfolio to monitor their performance, it may be possible to help hedge against a stock sinking down to zero.
FAQ
At what point does a stock become worthless?
A stock becomes worthless when it falls to zero and has no value. In this case, an investor loses the money they invested in the stock.
How low can a stock go before being removed?
Some stock exchanges delist stocks if they fall below a certain level. The New York Stock Exchange will remove a stock if its share price falls below $1 for 30 days in a row, for instance.
Do you owe money if a stock goes negative?
No. A stock price can’t go negative, or, that is, fall below zero. So an investor does not owe anyone money. They will, however, lose whatever money they invested in the stock if the stock falls to zero.
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Fraud attempts on mortgage payoffs increased by five times in the second quarter versus the prior three months, and based on July’s data, that elevated pace is still ongoing, CertifID found.
Among the causes is the disruption in the banking industry caused by three high profile failures earlier this year, which resulted in shifts in deposit relationships.
The change opened the door for the fraudsters, explained Thomas Cronkright, the co-founder and executive chairman at CertifID.
The fraud prevention company unveiled its PayoffProtect verification product last September. In the second quarter, PayoffProtect caught $12 million of fraudulent payoffs, up from just $1.9 million in the first quarter.
The crisis at Silicon Valley Bank, the first high profile failure, happened on March 10. That started a chain of events where depositors pulled money from similarly situated depositories, which later also resulted in the closures of Signature Bank and First Republic Bank.
And within that transfer of liquid assets is where the fraudsters are able to find an opening. They pretend to be the entity receiving the payoff and contact the party responsible for moving the funds, saying they had previously been using a community bank.
The perpetrators claimed that they instead had established a new relationship with another bank and the funds needed to be sent to accounts there that they controlled. “There was a ton of that going on during this period that we reported against,” Cronkright said.
And because this was tied to an ongoing news story, victims had their guard down.
Higher home values are playing into the opportunity. “The title settlement industry handles a lot of payments where the buyer is receiving a substantial net proceeds amount, but it pales in comparison to the mortgage obligations that are satisfied at closing,” Cronkright said. And at the end of the first quarter, total mortgage debt outstanding was over $12 trillion.
It is not just the old line attributed to Willie Sutton about robbing banks because it’s where the money is, but another adage as well, which is that these fraudsters never retire a successful scam, Cronkright said.
It’s easy for the criminal to impersonate the borrower and obtain loan payoff information. And on the other end, institutions need to be more diligent in verifying where the funds are being transferred to. In one case, CertifID had the fraudulent information and used it to test a financial institution and four times a bank employee said the data was correct, Cronkright said.
Once they find success, the crooks are able to “layer in” and set up multiple transactions where they attempt to divert funds, he continued.
And this is just another flavor of the same business email compromise scams, which have plagued all sorts of commerce in recent years. Later, when they have indications that the transaction is progressing, a fraudster is able to imitate the borrower or another legitimate party.
Real estate related complaints reported to the Federal Bureau of Investigation about business email compromise schemes resulted in a record amount of dollar losses, $446.1 million, and the second-most ever number of incidents, 2,284, during 2022. And mortgage fraud experts agree that those totals are likely understatements of the size of the problem.
Mortgage payoffs represented 24% of cases and 47% of losses reported to CertifID’s fraud recovery services last year. Its State of Wire Fraud report found $1.4 billion or over 340,000 suspect wire transactions during 2022.
Another reason for the uptick is that fraud prevention firms have developed better detection tools, so more incidents are being reported, Cronkright said.
He has a second point of view on this, as Cronkright is also an owner of Sun Title Agency, where he has to manage against this very risk.
“You’re managing it on a transaction-by-transaction basis, and we have seen the movement across the financial markets and deposit accounts,” Cronkright said.
The upheaval in banking has people in that business asking, “Are we done yet? And we’re good for now or are we going to continue to see a lot of that depository movement?” he asked rhetorically.
The kneejerk reaction of many renters is to search for apartments owned by a big company, complete with all the bells and whistles that implies. That said, it’s always a viable option to rent from a private landlord. In fact, depending on your way of life and communication style, it might actually be preferable to work directly with one property manager, rather than a whole office full of associates.
There are perks and drawbacks to both options. Let’s dive right in and learn all about the pros and cons of renting from a private property manager. First, the up-side.
Pro: private property owner, personal touch
Some private landlords lease out rental properties like condos, townhouses or single-family homes where they used to live. Because of this, they’re often more emotionally involved in the property than a faceless corporation. For other landlords, the rental property is a serious investment, so it’s important to keep the place well-maintained.
There’s also the fact that the typical individual landlord only has a small number of rental properties. This means that a new resident is likely to get a lot more individual attention than tenants in a community handled by a large management company.
Pro: easier communication
A tenant with a question, problem or maintenance requests need only contact one person when renting directly from a private landlord. This is a welcome change from large property management companies, which often require renters to fill out online forms or call special numbers for different types of requests.
That said, do try to honor some sort of business hours, unless your need is a true emergency. Private landlords need some downtime, too! Also, make sure to maintain honest and clear communication to develop a professional, trusting relationship with the property owner. That’s in everyone’s best interests!
Pro: more flexibility
Landlords in big communities are often hogtied by corporate policies and contracts and such. A private landlord, however, can make adjustments without having to go through a bunch of channels. So, for example, a renter who decides they want to get a cat can simply ask special permission from the private landlord to adjust the pet policy and have an addendum added to the contract.
Pro: more privacy
People who rent houses from a private landlord enjoy quite a lot more privacy than those who rent apartments. They don’t have to share a wall, walkway or parking lot with anyone else, after all.
Pro: fewer rules
Large apartment communities have to have a lot of rules in place to keep the peace. And, while a renter of a house should still be responsible and respectful of neighbors and follow city ordinances, individual landlords tend to impose fewer restrictions than a large property management company. So, if autonomy is your thing, consider looking at houses for rent.
A private landlord may also choose to forego the expense of doing a background check for a new tenant, in favor of getting a general rental history. Never withhold information if asked directly, however. This is grounds for eviction.
Of course, this is all subjective to the private landlord in question. Some people are really paranoid and may have all kinds of extras worked into the contract to avoid liability. As always, read the lease in detail and discuss any sticking points with the landlord before signing anything.
Now, for the flip side. Here are some potential downsides that may occur when you rent from a private landlord.
Con: tentative response to maintenance requests
Repairs to private rental properties have to come out of the pocket of the owner, so often, they’ll try to take the most conservative approach to avoid paying big bills. As a result, sometimes, maintenance issues take longer to get resolved than in a big community, where there’s usually a specific staff, resources and budget in place to manage such issues.
Con: might deal with a property management company
Some private landlords rent out the property themselves but rely on private property management companies to actually deal with the tenants. This is all well and good as long as the company is capable. Otherwise, it’s extra red tape to wade through, and nobody wants that.
Con: more responsibility
Renting houses, in particular, comes with more upkeep and responsibility than the average apartment. First, there’s the fact that homes are generally larger, so there’s more space to keep clean. The landlord will expect any tenant to keep the property reasonably clean, otherwise, they can cancel the lease.
A typical home also comes with land, including a lawn and flower beds, all of which require regular maintenance. If you’re not willing to do this extra legwork make sure that your lease agreement stipulates the private landlord is responsible for lawn care. Some property managers will agree to this, but others will outright refuse.
Con: fewer amenities
Large apartment communities often come with a full slate of amenities, including multiple pools, workout facilities, 24-hour maintenance request lines and so on. For people renting from a private landlord, however, amenities look a little different. Of course, those who rent a condo or townhome generally get to enjoy the same property perks as owners in the community. However, someone who rents a single-family home is unlikely to have access to such bells and whistles.
Con: more expenses
Renting a home from an individual landlord means that there is often more space to furnish, heat and cool than the average apartment. This is especially true if it’s an older home with outdated HVAC systems. Before you sign a lease, inquire about the average monthly utility cost, so that you’re not left footing the bill for some old dinosaur.
Also, renting from a private landlord sometimes comes with higher overall rent and additional monthly fees. This is why it’s important to figure out how much rent you can afford before you sign the lease. Check out this helpful rent calculator to figure out what you can afford on your take-home pay. Pro tip: experts suggest spending no more than 30 percent of gross income on rent.
Con: less streamlined
Compared with a rent-by-owner situation, apartments managed by large property management companies have a lot of tools in place to make it easy to pay rent, request maintenance, lodge complaints and so on. So, tenants who like things automated probably prefer this to writing an old-school check every month.
Con: they hold the ownership cards
Sure, the owner can’t violate the terms of the contract while you’re leasing and kick you out without cause, but they can decide to sell the property once the term is up. This could mean yet another move, even if you’re happy where you are. Obviously, this is a pretty big downside, as it can cost a lot of money to move, plus it’s inconvenient.
Beware of rental scams
Anytime there’s money involved, scams can happen. Make sure the rent by owner home you’re interested in is totally legitimate before handing over any cash because, believe it or not, people do try to rent out properties that they have no claim to!
Here are some helpful tips to avoid rental scams:
An in-person meeting with the landlord or property management company at the property
Don’t fall for high-pressure tactics. Only sign a lease when you’re completely ready to do so.
Comply with all standard requirements, like a background check, credit check, interview, etc. A good landlord wants to have a firm grasp on who will be occupying the property.
Hold onto your money until you sign a legal contract
Insist on a lease. This contract is in place to protect both the renter and the landlord. Without it, you have no claim to the property and they can kick you out anytime. Above all else, if your gut instinct is to walk away because of a hunch or shady behavior, then do so. There are plenty of other rentals out there.
Ready to rent from a private landlord, instead of big property management companies?
The decision of whether to rent directly from a property owner or a large apartment management company really depends on a lot of personal preferences. Whatever you do, ask all the questions and read the lease fully before you decide between rentals. It’s better to prepare too much than not enough.
A freelance writer based out of the Atlanta area, Alia has penned articles during her decade+ career for such sites as HowStuffWorks, TLC, Animal Planet, Zillow and many more. Her favorite things to write about include fitness, nutrition, travel, healthcare and general lifestyle topics. A graduate of the University of Georgia, Alia’s an avid Dawg, but she also loves reading, sewing, eating all things chocolate and playing sports with her husband, three boys and beloved border collie, Flash.
There are times when you may need to move a large sum of money safely and speedily or get cash to someone in another country. A wire transfer can be a good solution.
Perhaps you won a vintage watch in an auction, or you need to send money to a friend in France who’s arranging a rental car for you. Those are a couple of the situations when a wire transfer could get the job done.
Here, you’ll learn more about this process and find answers to questions like, “How can you wire transfer money?” and “How much do wire transfers cost?” You’ll learn the pros and cons of transferring money this way so you can make an informed decision about the best way to send and receive funds.
What Is a Wire Transfer?
A wire transfer is an electronic transfer of funds by banks or nonbank money transfer providers like Western Union and MoneyGram.
The term lingers from the era when transferring money — $2.5 million a year by 1877 — occurred via coded pulses of electric current through dedicated wires. (A sender would take money to a telegraph office, and an operator would use codes and passwords to “wire” the money to the telegraph office of the recipient.)
A wire transfer is an electronic transfer of money used around the globe.
These days, wire transfers allow a certain amount of money to be sent electronically from your bank account to a recipient’s bank account, anywhere, or vice versa.
💡 Quick Tip: Make money easy. Open a bank account online so you can manage bills, deposits, transfers — all from one convenient app.
How Wire Transfers Work
Banks and transfer service providers wire money for retail customers. They have varying processes and fees, so looking into the choices may save some money. Some details to consider:
• Banks require account numbers in order to process wire transfers; transfer service providers do not.
• Wire transfers can include a person’s name and other contact information or, for a cash-based transfer, be anonymous.
• The banks and transfer providers will have different processing times, so money could be sent within hours if it’s a domestic transaction or a few days if it’s an international transaction.
• Wire transfers are much like cashier’s checks. When someone is receiving money, the bank will treat the payment like cleared money, so as soon as the recipient’s account is credited, they can withdraw or spend the money.
• When someone is sending money, the funds must be in their account before the bank will initiate the transaction. The money will be removed immediately after the wire transfer.
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How Long Does it Take to Wire Money?
A wire transfer can be set up in minutes at a bank or wire transfer service. Then, once it’s sent, wire transfers will take up to 24 hours for processing when they are domestic.
International wire transfers can take between one and five days. They usually arrive within two days, but transfers made to or from a “slow-to-pay country” may add to that.
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How to Wire Money in 5 Steps
Anyone interested in how to wire funds can follow these step-by-step directions to do it in an efficient and safe manner.
1. Make Sure You Have the Funds
Ensure that the money is in the sender’s account. Wire transfers cannot be sent if the money isn’t there.
2. Pick a Wire Transfer Service
The sender can transfer the money online or go to providers in person and use cash or a bank account, depending on the service. (Some services, like Western Union, may allow you to send money without a bank account.)
3. Fill Out the Forms/Create an Account
When sending money through a bank, senders will need to fill out forms and include their bank account information, their bank’s contact information, and the recipient’s bank account information, including the account number and contact information for the bank. They will also need to provide a government-issued ID and/or their online login information for the bank.
When sending through a wire transfer service, they may have to log in online or go to the service in person and link their bank account or take cash, choose the recipient’s country, delivery method, and account information, and fill out any other information that’s required.
Senders have to be careful that the bank account numbers they provide are accurate, or the money will not get to the recipient.
4. Include Fees in the Amount You Send
Banks and wire transfer services should be able to tell users what the fees are going to be upfront, and users will add those fees to the amount they are sending.
5. Ask for a Receipt
The last step in how to wire money is to get your receipt. This ensures that senders have a record of the transaction. If something goes wrong and no receipt exists, they have nothing to show that they sent the wire transfer correctly.
Recommended: How to Transfer Money From One Bank to Another
Pros of Wiring Money
Reasons that people might want to wire money include the following.
They Need to Move a Big Amount
Limits tend to be high, so wire transfers are common for real estate transactions and sending money to and from family members.
The Money Is There
With checks and debit cards, payment can bounce or an account can go into overdraft. With a wire transfer, that’s not possible, since the money must be there in order to be sent. A wire transfer request will be declined if someone has limited funds.
It’s Safer Than Checks
While checks are typically safe, mailing them is not necessarily. People could open mail that isn’t theirs and take checks out and cash them. Wire transfers offer a more secure alternative.
Money Can Be Sent Internationally
Let’s say a person goes to work in another country but wants to send money to family members back home every month. With a wire transfer, that’s easily done.
Recommended: What Are Intermediary Banks?
Cons of Wiring Money
Wire transfers have a few possible drawbacks.
Cost
Expect to pay about $25 for an outgoing bank transfer within the United States, $15 for a domestic incoming payment, and $45 for an international outgoing payment.
Juxtapose that with free or low-fee peer-to-peer payments or using a credit card and paying the balance when it’s due.
No Do-Overs
Wire transfers are typically irrevocable, so both sender and recipient should be sure that all of the required information is correct.
Potential Scams
Scammers may ask unsuspecting people to wire them money for goods or services and then never follow through, so it’s best to avoid wire transfers unless the sender and receiver know each other.
Unlike with a credit card, where someone could dispute the charge, the money may be gone forever once it’s sent. Here are the pros and cons of wire transfers in chart form:
Pros of Wire Transfers
Cons of Wire Transfers
Can move large sums
Cost
Reliable; the money is there
No do-overs
Safer than checks
Potential for scams
Can move funds internationally
An Alternative to Wiring Money
If you want to move money but don’t want to use a wire transfer, here are some other options.
Peer-to-Peer Services
P2P payments usually can be made from a linked bank account or directly from the P2P account for free. You may already use some of these services, such as PayPal and Venmo.
Some providers do charge 2% or 3% to process payments drawn from a credit or debit card.
Your smartphone becomes a digital wallet for splitting bills and paying personal debts. Payments are sent using another app user’s phone number, email address, or account handle.
Bank Account Money Transfer
You may also set up electronic transfers (you may hear the terms ACH and EFT used) with your bank. Funds can often be sent to any other bank account, not just those held at the same financial institution.
There may not be any account fees or service charges. Check with your bank to be sure. While all can offer a secure transfer of funds, here’s how they compare on other fronts:
Wire Transfer
P2P Services
Bank Account Transfer
Often involve a fee
May involve a fee, depending on the provider and funding source
Often free
Can take up to 5 days internationally
Can take a few days internationally
Can take up to 5 days internationally
Getting an Online Bank Account With SoFi
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Better banking is here with up to 4.50% APY on SoFi Checking and Savings.
FAQ
What is required to wire money?
To wire money, you will need the amount of cash available, a provider of the transfer (your bank or a service), the proper forms and/or account information filled out, coverage of any fees, and a receipt.
How much does wiring money cost?
The amount you will pay to wire money can depend on the financial institution and whether the money is moving to your account or into someone else’s account, and whether the funds are being sent domestically or internationally. You are likely to find fees from $0 to $45 per transaction.
What is the process of wiring money?
To wire money, you will need to have funds available and fill out paperwork with the recipient’s banking information. Part of the process may involve paying a fee also, and it’s wise to always get a receipt.
The SoFi Bank Debit Mastercard® is issued by SoFi Bank, N.A., pursuant to license by Mastercard International Incorporated and can be used everywhere Mastercard is accepted. Mastercard is a registered trademark, and the circles design is a trademark of Mastercard International Incorporated.
SoFi members with direct deposit can earn up to 4.50% annual percentage yield (APY) on savings balances (including Vaults) and 0.50% APY on checking balances. There is no minimum direct deposit amount required to qualify for the 4.50% APY for savings. Members without direct deposit will earn up to 1.20% annual percentage yield (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 8/2/2023. There is no minimum balance requirement. Additional information can be found at http://www.sofi.com/legal/banking-rate-sheet.
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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Welcome to NerdWallet’s Smart Money podcast, where we answer your real-world money questions. In this episode:
Uncover actionable tips for ensuring your money is working for you, and how to plan for resuming student loan payments.
This Week in Your Money: Learn how to conduct a midyear financial check-in with help from hosts Sean Pyles and Liz Weston, who offer practical advice for reassessing your financial situation and getting back on track if you’ve fallen behind. They discuss strategies to save on car insurance and cell phone plans and stress the importance of securing the best rates for savings accounts. They also discuss the benefits of conducting a tax projection, looking back at past financial resolutions and preparing for the holidays early to avoid financial stress.
Today’s Money Question: Student loan Nerd Eliza Haverstock joins Sean and Liz to answer a listener’s question about the upcoming resumption of student loan payments after more than three years and nine forbearance extensions. The Nerds discuss the challenges that many borrowers face, particularly with the upcoming end of the deferred interest period. They discuss the implications of withdrawing 401(k) money to make student loan payments and provide insights into the pros and cons of making lump sum payments versus paying off loans over time. They also share details around income-driven repayment (IDR) plans, including the new SAVE plan, and discuss other options such as the Public Service Loan Forgiveness program.
Check out this episode on your favorite podcast platform, including:
NerdWallet stories related to this episode:
Episode transcript
Liz Weston: Hey, Sean, be honest. What are you putting off right now?
Sean Pyles: Do you mean in life or financially?
Liz Weston: Either, both, whatever you want.
Sean Pyles: Well, my rosebushes need deadheading. I am about two months overdue for a haircut. And I have been meaning to do a midyear money check-in. Liz, are you volunteering to help me tidy up my to-do list?
Liz Weston: Well, you’re on your own for those first two, but this episode we’re going to help our listeners do a midyear money check-in, even if it’s a little bit past the midway point of the year.
Sean Pyles: Welcome to NerdWallet’s Smart Money podcast, where you send us your money questions and we answer them with the help of our genius Nerds. I’m Sean Pyles.
Liz Weston: And I’m Liz Weston.
Sean Pyles: This is a show where we Nerdy people answer our listeners’ money questions on everything from how to buy a car to whether budgets are really necessary. So listener, we want to answer your questions and we want to hear from you, too, literally. So consider leaving us a voicemail on the Nerd hotline.
Liz Weston: You can leave that voicemail or text us on the Nerd hotline at 901-730-6373. That’s 901-730-NERD. You can also email us [at] [email protected].
Sean Pyles: In this episode, Liz and I answer a listener’s question about whether they should pull money from their retirement account to pay off their student loans. But first, Liz and I are going to do that little midyear money check-in, something that I really have been meaning to do for the past month or so.
Liz Weston: OK, well let’s do it.
Sean Pyles: OK, so there are three things that I want to talk about. The first is a look back at the past six months, starting with financial resolutions, those things that you promised you were going to do in January. Bring out that list, however dusty it may be, and see if you are on track with them. Maybe you completely abandoned them. Liz, where do you stand on that?
Liz Weston: I don’t really have resolutions so much as to-do lists of a bunch of little financial tasks I need to take care of, and it feels like I’m always behind on those. So occasionally I will just take a day and knock out as many as I can.
Sean Pyles: Yeah, that’s fair.
Liz Weston: How about you, Sean?
Sean Pyles: I’m kind of in a mixed situation right now. I have this goal of maxing out my retirement contributions this year and that is on track, which is awesome.
Liz Weston: Congratulations.
Sean Pyles: Thank you. I kind of miss that money in my paycheck, but also I’m glad to see my retirement account growing by the day, but also I have been really wanting to get rid of my private mortgage insurance on my house and I’m in the process of doing that as we speak. So that feels great. Off track, I need to shop for car insurance, something that I’ve been meaning to do for a couple months. And also I’ve had a fairly expensive summer so far, so I really want to rein that in. But for our listeners, if they find that they’re not really on track for their financial resolutions, one thing that we like to do, especially if you have a really lofty goal that’ll take many months to sort out, is break it up into smaller pieces and see how you can make progress on that this week or this month to correct course and be able to accomplish what you want in 2023 by the end of this calendar year.
Liz Weston: Yeah. Another thing that’s helpful to do is just look at where your money’s going. Periodically, it’s great to check your bank statements, other account statements for the past few months, and it gives you a better view of basically what’s happening with your money.
Sean Pyles: And also in a more emotional way, ask yourself how you feel about your finances over the past six months. Do you feel more confident in what your money is doing for you right now than you did in January? Are you a little bit anxious when it comes to your money? However you’re feeling, you can use that as motivation for the next step, which is adjusting your finances. When you think about your money right now, what is nagging you? I would say find something to fix and take care of it.
Liz Weston: Well, Sean, you mentioned car insurance and now is a really good time to start shopping around. Car insurance has really gone up, so it’s possible you can save some money by either switching your insurer or changing how you’ve got things set up. So that’s one thing to do. Another is a high-yield savings account. Make sure that you are getting the best rates on your money if it’s sitting in a savings account somewhere. And cell phone plans, you’ve got to make sure that you’re still on the best one, because the plans change all the time. I finally checked ours and it turned out we were paying $40 a month more than we have to. So it was really nice to get that knocked off and to realize we’re going to save that money going forward.
Sean Pyles: And what change did you make to save that $40?
Liz Weston: Well, the big thing was we got rid of a line that we were no longer using and that really helped us save a lot. And what was great is the woman actually took a look at the current plans and found out we were better off staying with our old one. So we were grandfathered in, we didn’t have to change and it’s a good one to hang on to for a while.
Sean Pyles: Oh, nice.
Liz Weston: So internet coverage, cell phone plans, whatever it is, SiriusXM, it’s always good to check back and make sure you’re still paying the lowest rate possible. Those can really get jacked up over time.
Sean Pyles: And this can apply for all sorts of subscriptions, like streaming services. I think we all know at this point that streaming services have become more expensive and perhaps a little bit less generous with what they’re allowing us to do. If you find that there’s one that you’re paying for now that you really don’t use all that often, just give it the ax.
Liz Weston: Yes. And one more thing to do is to do a tax projection or ask a tax pro to do it for you. This is especially important if anything major has changed for you, like a new job, a new spouse, a new kid, that can all change your tax situation, and it’s so much better to know that and adjust for it now than to face a big bill come April.
Sean Pyles: And the third thing, listener, that we will ask you to do this midyear money check-in is looking ahead, because the holidays will be here before you know it. So prepare now for what will certainly be an expensive time of year.
Liz Weston: We’ve actually got a billboard near my house showing the number of days until Christmas and I was like, no, I’m not ready to think about that yet.
Sean Pyles: No, please. It’s way too early.
Liz Weston: Yes, yes. But it’s great to set up a budget, start putting money aside so it’s not a huge hit when the time comes around.
Sean Pyles: Yeah. I always like to begin to map out my holiday travel around this time of year so I can know where I’m going to be going, how I’m going to be getting there, and thinking about how much that all might cost me.
Liz Weston: OK, Sean, and let’s talk about student loans.
Sean Pyles: Yeah, we will be talking about this more in this episode’s money question segment, but listener, really, really get ahead of this if you have federal student loans that are going to be resuming payments in October. So that means exploring payment plans, know how your budget will need to change to accommodate the expense that you have. Also, if you have a new student loan servicer, set up your account with them. And finally, be on the lookout for scams like we’ve mentioned before on Smart Money.
Liz Weston: And here’s a bonus tip: Find a good money book to read. I think Sean, you found one recently, right?
Sean Pyles: Yes. I am reading the book “Your Money or Your Life” by Vicki Robin and Joe Dominguez. It’s a personal finance classic that was updated a few years back, and I’m about halfway through it right now. And I already feel the way that I think about and manage my money on a day-to-day basis evolving, which is saying something, considering how much I live and breathe personal finance.
Liz Weston: I actually think that is one of the best, if not the best personal finance books out there. So I’m so glad you’ve had a chance to read it.
Sean Pyles: Well, I’m reading it at your recommendation, so thank you.
Liz Weston: Oh, good.
Sean Pyles: Liz, what are you reading right now?
Liz Weston: I’m reading “Poverty, by America” that was written by Matthew Desmond, who also wrote the book “Evicted,” which was really an eye-opener about the cycle of poverty and what can happen if you get kicked out of your home. It’s really thought provoking, and I’m really enjoying it.
Sean Pyles: Great. Well, listener, if you are reading any good books right now, personal finance or otherwise, hit us up, let us know. I’m always looking for new books to read. Well, that wraps up our This Week in Your Money segment. Today’s money question is up next, stay with us. This episode’s money question comes from Brandy, who left us a voicemail. Here it is.
Brandy: Hi there. My name is Brandy and I am a NerdWallet podcast listener. I have a question relating to student loans and the upcoming end of the deferred interest, which should be happening at the end of August. So I have about $50,000 worth of student loans that I still have to repay, and I’ve been paying as much as I can while the interest has been on hold, but I still have about $50,000. I went to law school. And my question is whether or not it would be advisable to cash out some of my 401(k). I currently have about $75,000 in my 401(k). I’m 34 years old. Whether or not it would be advisable to cash some of that out just to pay off my student loans and not have to deal with any more interest, because it’s going to take me a while to pay that off once the interest is starting again. Thanks. Bye.
Liz Weston: To help us answer Brandy’s question on this episode of the podcast, we’re joined by student loan Nerd Eliza Haverstock. Welcome to Smart Money, Eliza.
Eliza Haverstock: Hi, thanks for having me.
Sean Pyles: Great to have you on, Eliza. So I imagine a lot of listeners are going to be in a similar situation as Brandy right now. They might be confused about what’s happening with their student loans and maybe some of the best options for repaying them. To start, can you give us a rundown on federal student loan payments resuming?
Eliza Haverstock: The big thing to know is that student loan payments are going to resume again after more than three years and nine forbearance extensions. So yeah, it’s been a long time coming, but interest will start building again on your federal student loans starting Sept. 1, and payments will start being due in October.
Liz Weston: And borrowers are going to have to start paying on their total student loan balance, right?
Eliza Haverstock: Yeah, on June 30, the Supreme Court struck down President Joe Biden’s student debt cancellation plan, which would’ve canceled up to $20,000 in federal student loan debt per eligible borrower. So it’s a big blow for a lot of borrowers, especially those who are kind of counting on this loan cancellation to go through. So these monthly bills are going to be on your full student loan balance this fall.
Sean Pyles: Yeah, I was really looking forward to some potential debt relief that would’ve halved the amount of debt that I have, but oh well, I guess. A lot has changed around federal student loan repayment since 2020. After the Supreme Court struck down President Biden’s debt cancellation plan, Biden came out and announced a new income-driven payment plan. Can you give us the details on that?
Eliza Haverstock: Yeah, so this new plan is actually going to be a huge deal for borrowers going forward, so it should really help people who are in school now, people who will go to school, people who are currently in repayment. But the new IDR plan is called SAVE is the acronym they’re using. SAVE stands for saving on a valuable education, aptly named, which is replacing the popular repay plan, which is another IDR plan available today. But parts of the new IDR plan will be available this summer, so you actually can start repaying this fall on this plan.
There are a few key components here. It’ll cut your monthly payments in half for borrowers with undergraduate loans, and those with smaller balances of like $12,000 or less will see their remaining debt forgiven after just 10 years of payments instead of 20 or 25 under current IDR options. That can help a ton of borrowers, especially borrowers who went to community college or they have a smaller loan balance. That’ll be great.
Sean Pyles: And is this also the plan that caps monthly payments at 5% of disposable income?
Eliza Haverstock: Yep, so that’s another big change. The new IDR plan is going to cap your monthly payments at 5% of your discretionary income instead of 10%. It also is going to protect more of your income. So when you calculate your discretionary income, it’s going to be a smaller amount than it was under previous plans.
Sean Pyles: OK. Yeah, that’ll make a big difference for a lot of borrowers, too.
Liz Weston: We were talking about the debt forgiven after 10 years. Why would anybody stay on the standard plan then? Because they’d be paying it off for 10 years.
Eliza Haverstock: So the 10-year time frame, that’s for borrowers with smaller student loan balances. So if you have owed $12,000 or less in your principal, your debt will be forgiven after 10 years of payments. But if you owe more than that, it could be up to 20 or 25 years still. So it adds after $12,000, it tacks on an extra year of repayment before you reach forgiveness. So if you had $14,000 in student loans, your debt would be forgiven after 12 years of repayment on an IDR plan. And then it kind of goes up from there.
Liz Weston: OK. So it sounds like something that people just need to go and look at their individual situations and see what would make the most sense for them.
Eliza Haverstock: Yeah, absolutely. And there’s a loan simulator calculator on the Federal Student Aid website, which is really helpful for that. And on NerdWallet we also have a discretionary income calculator, so you can figure out what your payments would be under the new IDR compared to the current repay plan. And there’s a few other options out there as well.
Liz Weston: That’s super helpful. And we’ll have links to that in our show notes. And this is an income-driven repayment plan, you said. So who qualifies for this?
Eliza Haverstock: So any borrower with federal student loans can sign up for an income-driven repayment plan. And this new plan, called SAVE, is probably going to be the best deal for most borrowers. It’s the most generous income driven repayment plan yet, and it could cut payments by at least half, especially for borrowers with undergraduate loans. And that change that Sean mentioned from capping your payments at 5% instead of 10%, that’s for borrowers with undergraduate loans only. So if you have graduate loans, it’s still going to be that 10% cap. So yeah, something to consider.
Sean Pyles: OK. And are there any income caps on eligibility for these plans?
Eliza Haverstock: There’s not any specific income caps, but if you have a really high income, something like this might not make a lot of sense. You might just want to stick with the standard 10-year repayment plan, because when you’re on an IDR plan, it’s going to probably extend your repayment term, the number of years that you’re in repayment. So you might just want to get it over with sooner.
Sean Pyles: Yeah, that’s good to know. And then there’s another new program called Fresh Start. What are the details of that?
Eliza Haverstock: Yeah, this is a great program for borrowers who had federal student loans that were in default before forbearance began back in March of 2020. So the Fresh Start program will allow borrowers with student loans that were previously in default to get them back into good standing. And they can access IDR plans like this new SAVE plan, it’ll clean up their credit score, they can take out more federal student loans if they want. So this is going to be really helpful for those borrowers because default can be really damaging.
Sean Pyles: All right, so Brandy is thinking about cashing out some of their 401(k) to wipe out their student loan debt. And I really relate to just wanting this debt out of your life, especially after not paying it for three years, but withdrawing money from a 401(k) has some really serious downsides. So let’s discuss them. The first one that comes to mind for me are taxes, income taxes, plus the 10% early distribution tax penalty for pulling money out of a 401(k) before you’re 59 ½ years old. Our listener is saying they want to pull out $50,000 that they’d need to wipe out their debt and that would cost them at least $24,000 to do.
Liz Weston: Yeah. So basically they’d be taking their entire balance plus some, because once you take out 75 versus 50, that also increases the income tax and penalties. So it’s a big chunk, but that’s not even the worst part. That $75,000 withdrawal could cost over $750,000 in the future in lost retirement money. And that’s assuming that the money would earn about an average 7% annual rate of return over 33 years. So once again, a $75,000 withdrawal could grow to 10 times that much if it were left alone.
Sean Pyles: The bottom line here is really that withdrawing from your 401(k) to pay off this debt is a risky solution to a relatively short-term problem that brings some serious long-term repercussions to your potential financial viability and security in retirement.
Liz Weston: Yeah, we keep saying that we don’t tell you what to do with your money, but really, really, really think hard before you take money out of a retirement plan.
Sean Pyles: Brandy’s question also hits on a theme that we hear a lot from our listeners, which is it better to just wipe out a debt in a lump sum payment if you have the cash? Or is it better to keep paying it off monthly, even if it will take many years to do that? I’d love to hear each of your thoughts on this.
Liz Weston: Well, I will start out because I obviously have strong opinions on this. But if it truly isn’t cash, if it’s sitting in a savings account and you don’t need it for another purpose, then by all means take that money out of savings and pay off the debt, especially if it’s a high-rate debt. But most of the time people are looking at taking money out of other sources rather than just having it sitting idle in savings. So in that case, I think it makes a lot more sense to just make those payments. And if you’re mad about the debt, maybe it can inspire you to make some changes in your budget so that you can pay it off faster, put more of your income towards paying down the debt. How do you think about this, Eliza?
Eliza Haverstock: I definitely agree with all that, Liz. I’m actually planning to do kind of a lump sum. I have a relatively small amount left in federal student loans and I was able to do kind of what you’re describing, putting money aside in a savings account just in case forgiveness didn’t go through. But this isn’t an option for everyone, and that’s OK. There are a lot of other ways to manage your student loan payments, like those income-driven repayment plans and things like that as well. Do you have any other thoughts, Sean?
Sean Pyles: Well, I’m just going to suck it up and start paying my loans back the way I was before, because I’ve been taking advantage of not having my $440 monthly student loan payment over the last three years to do things like buy a car. I bought a house. I’ve been able to make huge headway on my various savings goals and I want to continue to make progress on them for as long as I can. So eventually, once payments do resume, I’m going to siphon money from my savings goals and just direct it toward my regular loan payoff and trudge through it over time because that’s just the easiest way for me to do it. And I want to keep the money that I’ve accumulated in my various savings buckets for the purpose that they’re designated for, and I just don’t want my student loans to take that from me. So I’m kind of bitter about it maybe.
Liz Weston: Well, I understand that totally. But I love the fact that you’ve thought it through and it can be really satisfying to pay off a debt, but sometimes the cost is much higher than if you would just wait and pay it off over time.
Sean Pyles: Yeah, there are a lot of trade-offs, too. Like what are you not going to be able to do if you pull all this money from an investment account or savings accounts? Think about tax implications like we mentioned before. It’s just not worth it for me personally.
Liz Weston: So Eliza, how should people prepare for payments resuming?
Eliza Haverstock: First off, you’re not alone if you’re feeling frustrated and kind of unsure about what to do right now. It’s been a very confusing three years for borrowers with all the back and forth about forbearance and debt cancellation and all that. I spend 40 hours a week in the weeds with student loan repayment plans and debt cancellation lawsuits and I still get confused sometimes.
Liz Weston: Well that’s good to hear it’s not just me.
Sean Pyles: Well that’s why we do this work though, is to help people figure out the best way to navigate their student loans, because it can be really confusing and add an emotional component of feeling frustrated and maybe a little bit wronged on top of that. And it can be overwhelming. So I recommend people take a breath and really sit with your feelings for a minute because it just sucks for a lot of borrowers. That’s the bottom line. This is going to be a huge blow to their budgets.
So appreciate that. Maybe give yourself a moment to sit with it, but then move on and think about what repaying the loans is going to look like for you in very real terms. Where are you going to be pulling money from elsewhere in your budget to be paying this off on a monthly basis?
Liz Weston: So what’s a good first step once you’ve gotten over the feelings?
Eliza Haverstock: I think the first step is to just figure out how much you owe and where your student loans are. Student loans are managed by servicing companies or servicers, they’re often called. And to find out who your federal student loan servicer is, you can log in to your account on the Federal Student Aid’s office website, which is studentaid.gov. This is really important because nearly half of federal borrowers have had their loans transferred to another servicer during forbearance, and they might not even have been aware of that, like if they moved or they didn’t get the letter in the mail.
So yeah, definitely check who your servicer is, figure out where your loans are, who you’ll have to start paying. And at least one servicer, Edfinancial, moved its loans to a new servicing platform. So that actually happened to me. So I still have Edfinancial as my servicer, but I had to make a new account on a new website that they set up. It’s kind of confusing, so I think it’s a really good idea to just figure out where things stand before you have to start paying.
Liz Weston: And people who’ve left school since March 2020 may not have ever made a student loan payment. So this is all new to them, right?
Eliza Haverstock: Yes, absolutely. So it’s a whole new world, servicers and all that, so definitely take some time now to get acquainted with things.
Sean Pyles: Yeah. Well figuring out different new payment plans like we talked about before can be really confusing. Can you recommend any resources for folks to use to figure out whether they might be better in one repayment plan or another?
Eliza Haverstock: Yeah, absolutely. So your servicer can actually help you figure out what plan may be best for you. You could just call them and ask, put me on the plan with the lowest monthly bills or put me on the plan that’s the best fit for me. But it’s always a good idea to go on to these calls with some knowledge so you make sure that they are giving you the correct advice. So those income-driven repayment plans can be a big help for borrowers because they’ll lower your monthly payments to a set percentage of your income, though they may kind of extend the time you’ll be in repayment. And what’s really cool and important to know about these IDR plans is that your payments could actually be $0 a month. So if you’ve lost your job or your income is really low, that’ll really help you out. And even when you’re making these $0 payments, you’re still making progress towards that eventual student debt forgiveness down the line.
Sean Pyles: And people should also realize that they’re not locked into one specific payment plan forever if they choose one. And then they realize later on that the one that they selected isn’t right for them. Is that correct, Eliza?
Eliza Haverstock: Yep. Yeah, you can change repayment plans at any time.
Sean Pyles: Great.
Eliza Haverstock: Beyond just a straightforward IDR plan, there are also other forgiveness options out there for your student loans. So if you work for the government or a nonprofit, maybe you’re a teacher or a nurse or in the military, definitely check out the Public Service Loan Forgiveness program. This can forgive your remaining debt after just 10 years of monthly IDR payments instead of 20 to 25 under current IDR plans. So that can help a lot of people.
Sean Pyles: So Eliza, do you have any final thoughts for Brandy and our other listeners who are trying to figure out how to pay off their student loans?
Eliza Haverstock: Well, to your point earlier, Sean, it’s just really important to get equipped with knowledge and don’t just ignore the situation even though it’s very stressful and it really sucks for a lot of borrowers, but really make a plan to pay your bills or look for help now. This can mean reevaluating your budget. A lot of borrowers have maybe made some financial decisions or had some more flexibility in the past three years without considering their student loan payments. So this might mean looking for a cheaper apartment or seeing where else you can cut back your spending. And you don’t need all the answers right now. They’re also a lot of different nonprofit organizations out there with resources or there’s also credit counseling agencies and things like that can help you.
Sean Pyles: Just make a plan of action and do it. Don’t ignore this.
Eliza Haverstock: Yeah, absolutely.
Sean Pyles: All right. Well thank you so much for talking with us, Eliza.
Eliza Haverstock: Yeah, thanks for having me.
Liz Weston: So Sean, you were looking forward to having some debt forgiveness and that’s not happening. How are you thinking about this now?
Sean Pyles: I am, like I mentioned, sitting in my feelings for a minute, and then I’m planning to take advantage of the time that we have right now to figure out what this is going to mean for my budget. I said I’m going to be pulling back on some savings goals, that’s going to happen. I might be pulling back from my monthly investments to my brokerage account because I need to free up some cash, but I want to play out a few different scenarios with my finances to see what makes the most sense for me long term.
Like I mentioned, I might pull back from my investments, but then what’s that going to mean down the line for me if I’m not investing as much right now? Or if I withdraw from a certain savings account, how is that going to give me more or less flexibility down the road? I just want to make sure that I’m understanding the different options that I have personally with my financial situations. So I’m going into this as informed and prepared as possible. And I recommend that for anyone that’s in this situation.
Liz Weston: And we do have a little time to do some research and make some plans. It’s not like payments are going to resume next week.
Sean Pyles: And even if listeners are hearing this after payments have resumed, you can still do this exact exercise, sit down and play out a few different ways of reshuffling your budget to find that money to pay your student loans or explore a few different repayment options to make it work for you.
Liz Weston: And the one thing I wanted to highlight that Eliza said, nearly half of student loan borrowers have had their servicer change, and then there’s a lot of people who have either graduated or left school since the pandemic started who’ve never made a single payment, don’t know how to do any of this. So we have resources on our site. And there’s also the Department of Education has information as well.
Sean Pyles: Exactly. OK, well that is all we have for this episode. If you have any money questions about student loans or anything else, really, turn to the Nerds and call or text us your questions at 901-730-6373. That’s 901-730-NERD. You can also email us [at] [email protected]. Visit nerdwallet.com/podcast for more info on this episode. And remember to follow, rate and review us wherever you’re getting this podcast.
This episode was produced by Liz Weston and myself with help from Tess Vigeland. Kaely Monahan and Kevin Tidmarsh mixed our audio. And a big thank you to the folks on the NerdWallet copy desk for all their help.
Liz Weston: And here’s our brief disclaimer. We are not financial or investment advisors. This Nerdy info is provided with general educational and entertainment purposes and may not apply to your specific circumstances.
Sean Pyles: And with that said, until next time, turn to the Nerds.
At some point in your financial life, you’re likely to want to sign over a check to someone else instead of depositing it or cashing it. Maybe you received a check but don’t currently have a bank account so a friend will cash the check for you. Or perhaps you want to endorse a check you received and give it to your landlord as part of your rent payment.
To sign a check over to someone else isn’t hard, but you do need to follow the right protocol. In a few simple steps, the check can be ready for processing by the person you’re giving it to.
Here’s a quick guide on how to sign over checks to someone else, plus some points to consider before accepting a check that has been endorsed to you.
5 Steps to Signing Over a Check
Generally, when someone writes you a check, you (the payee) are the only person who can cash it or deposit it into your bank account.
But can you sign a check over to someone else? Yes. These five steps detail how to sign a check over to someone else (you may hear a check that’s been signed over referred to as a “third-party check,” incidentally).
1. Make Sure the Check is Still Good
Before you begin the process of signing over a check, it’s a good idea to take a look at the date it was written by the payer, especially if the check has been lying around for a while.
How long are checks good for? Generally, checks are good for six months. After that, the bank may refuse to accept it.
(This is true for both business and personal checks, incidentally.)
If the bank does accept a check older than six months, the check could potentially bounce if the issuer no longer has the funds in their account.
2. Get the Okay From the Recipient
Before endorsing a check to a third party, whether that’s a person, a business, or a landlord, it can be wise to first reach out to that third party and confirm that they are open to accepting this form of payment.
When moving through the signing over process, it’s important that you and the recipient both agree to the transfer. 💡 Quick Tip: Feel ‘phew’ on payday — up to two days earlier! Sign up for an online bank account and set up direct deposit to get paid faster.
3. Verify the Bank Will Allow the Signed Over Check
Banks often have different rules and requirements when it comes to accepting third-party checks.
To help ensure the process will go smoothly, it can be a good idea to call the recipient’s bank and ask about their policies before you endorse the check.
That way, you can avoid adding extra signatures and names to the back of the check (which can create confusion and delays if you later need to cash or deposit it somewhere else).
You may also want to find out what kind of identification the recipient will need to bring to the bank or if there is anything special they should do or know before bringing the check to the bank.
4. Endorse The Check Correctly
The next step in how to sign a check over is to endorse or sign it. Checks that typically come in your checkbook have an area on the back that reads “Endorse Check Here.”
On the line just below that, you will want to sign your name in pen, writing it just as it appears on the front of the check.
Underneath your signature, you’ll then want to write, “Pay to the order of [Recipient’s name].”
It’s a good idea to clearly write out the recipient’s name as it appears on their driver’s license or other photo identification they will use at the bank when depositing the check.
Check’s often say “do not write, stamp or sign below this line” beneath the endorsement area. You’ll want to try to avoid running into this area. If you do, the bank may refuse the check.
Recommended: How to Write a Check to Yourself
5. Transfer the Check
Once you’ve endorsed the check, you will have a “third party check” that you can give to the person you signed it over to so that they cash or deposit the check into their bank account.
While it may not be essential, you may also want to consider accompanying the recipient to their bank with your own photo identification to ensure it’s a seamless transaction and in case the bank teller has any questions.
If you decide you will be going to the bank together, you may want to hold off signing over the check until you get there. That way, you can endorse the check right in front of the teller after showing your ID.
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Can You Deposit Someone Else’s Check in Your Account?
Depending on your bank, you may or may not be able to deposit or cash a check that has been signed over to you.
As mentioned above, some banks might not want to accept an endorsed-to-you check because there’s a chance it could be a fraudulent check. Many check-cashing places won’t accept this form of a check either.
That’s why it’s a good idea to check with your bank before accepting a third-party check as a form of payment.
In addition, you may want to keep the following considerations in mind before accepting a signed-over check as opposed to one written directly to you.
• They can be less convenient. Unlike a regular check, you typically can’t deposit a third-party check at an ATM or upload it via your bank’s mobile deposit app. Getting the check cashed or deposited generally requires a trip to the bank.
• It could be a scam. There are lots of fake check scams out there (see below for more details).
• It could potentially bounce. Even if you know and trust the person who is signing the check over to you, there may still be a bit of risk involved. That’s because you can’t be certain the original person who wrote the check has the funds to cover it. If they don’t, it will be a case of the check bouncing, and you won’t get the money. 💡 Quick Tip: Want a new checking account that offers more access to your money? With 55,000+ ATMs in the Allpoint network, you can get cash when and where you choose.
Alternatives to Signing a Check Over to Someone
Perhaps you discover that your bank won’t take a third-party check. Or what if the person you wanted to sign a check over to says “no thanks”? Now what? Try these options.
Use a Money Transfer App
If you wanted to sign a check over to someone because you are trying to pay them, you could instead deposit the check and use a money transfer app, such as PayPal, Venmo, or Cash App.
Open a Bank Account
If the reason you want to sign over a check is that you don’t have a place to deposit it, you could open a free checking account. Or, if you have had issues with your banking in the past (such as too many overdrafts or an account being closed by your bank), you might look into what is known as a second chance checking account. These can have some restrictions but allow you access and may eventually be transitioned to a standard checking account.
Try a Check-Cashing Business
If you have a received check but don’t have an account to deposit it into and need to get funds to someone, you could try a check-cashing business. While this can be a convenient option, the fees can be quite high.
Recommended: What Is an Electronic Check (E-Check)?
Do All Banks Accept Third-Party Checks?
Not all banks accept checks signed over to someone else. That is why it can be a smart move to check first before you try to go this route. You or the person to whom you signed over a check could wind up discovering that the check is not accepted for deposit once you arrive at the bank. Or it could be rejected if mobile or ATM deposit is used.
Also, if the bank does accept these checks and you are going the in-person route to deposit it, you may want to ask what sort of identification may be required. You may need some additional ID in order for the check to be cashed or deposited.
Watch Out for Check Cashing Scams
Third-party checks may be used as a ploy in fraudulent transactions, so be wary. You could become a victim of one if someone you don’t know offers to sign over a check to you (often for a large amount) as payment or in exchange for cash. For instance, if you were selling a used mobile phone for $400 and a person offers to sign over a check for $500 to you and tells you to keep the excess, that’s a major red flag.
That’s why it can be wise to only accept an endorsed check from a person you know and trust or verify the check before depositing.
Opening a Checking Account With SoFi
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.
Better banking is here with up to 4.50% APY on SoFi Checking and Savings.
FAQ
How can you cash a check that is not in your name?
If you want to cash a check that is not in your name, you could have the person to whom the check is made out endorse the check to you. Then, make sure that your bank will accept it. Another option is to request a new check from the payor if it was mistakenly made out to the wrong name. Or contact your bank for guidance.
Can you mobile deposit a check signed over to you?
It is likely that you can mobile deposit a check that has been signed over to you, but it can be wise to double-check your financial institution’s policies to be sure.
Can someone deposit a check for you without your signature?
Generally, banks require a signature on the back to deposit a check. If someone is depositing a check for you, it will likely need to say “For deposit only” and have your signature to be accepted.
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