Welp, it’ll be nice to close out 2020 and look ahead to a brand-new year that hopefully features a lot less drama and much more good news.
While the housing market actually absorbed both the COVID-19 pandemic and the presidential election surprisingly well, we can probably thank the record low mortgage rates for that. And the continued lack of inventory.
That has been the silver lining for existing homeowners, but it’s created an even wider divide between the haves and the have-nots, otherwise known as homeowners and renters.
So what does 2021 look like when it comes to mortgages and the housing market? Let’s dust off the old crystal ball and make some predictions.
1. Mortgage rates will hit new record lows
As of this writing, mortgage rates hit 14 new all-time lows in 2020. And there’s a decent chance they’ll hit a 15th before the year is complete.
This has many pundits calling for an end to the low rates. Sound familiar? It does because every single year they call for higher rates, only to be proven wrong over and over.
I expect mortgage rates to hit new all-time lows in 2021, though the caveat is that they may not remain there.
In other words, we could see 30-year fixed mortgage rates reach levels never seen before in the first half of the year, before they rise back above lows seen this year.
The good news is rates should remain low throughout the year if the 2021 mortgage rate predictions hold true.
And that means those who haven’t yet taken advantage of a rate and term refinance can do so and save some dough.
2. Lenders will stay really busy, but won’t break 2020 records
Thanks in part to those ultra-low mortgage rates, banks and lenders will continue to be absolutely slammed.
This is wonderful news for loan originators and mortgage brokers, but not so great for consumers.
Simply put, things will still be slow, so be patient. It may take months to close your mortgage as opposed to 3-4 weeks.
This is just the way things are going right now and you should set realistic expectations if you’re currently shopping for a new home loan.
In terms of loan volume, 2020 mortgage originations will likely surpass the massive totals seen back in 2003.
The question is where does the mortgage industry go from here? While rate and term refis will inevitably become less prevalent in 2021, record home purchase volume of more than $1.5 trillion is expected.
That should keep the party going for mortgage lenders focused on home purchase financing, but it could prove challenging to those that are refinance-heavy.
3. The cash out refinance will re-emerge as a popular product
That being said, while rate and term refis will fade into 2021, the emergence of the cash out refinance could pick up the slack.
Ultimately, borrowers are sitting on a ton of home equity at the moment, the most in history I believe.
At some point, it’s going to be tapped via cash out refinance loans, even if borrowers are forced to take a slightly higher interest rate in the process.
The other big question related to this is will lenders loosen underwriting standards to make up for any decline in new business?
That’s where things went so badly wrong a decade ago, especially as home prices were peaking.
But maybe the Qualified Mortgage (and still decent affordability) will be the difference maker this time around.
4. Mortgage brokers will grab more market share
Now let’s talk about mortgage brokers. Largely forgotten post-housing crisis a decade ago, they’ve been making major strides lately.
In fact, the second largest mortgage lender in the nation, after Quicken Loans, is United Wholesale Mortgage (UWM).
And Quicken also runs a massive wholesale lending division as well, so there’s a good chance you’ll be working with a mortgage broker in 2021 and beyond.
Brokers had a near-35% market share back in 2008 before it fell to around 7% in 2011. Today, it’s closer to 16% and likely to grow back to 20%+ sooner rather than later.
One thing helping brokers today is the abundance of technology that has leveled the playing field.
Even a one-woman shop can offer a better customer experience than a billion-dollar bank thanks to the many tools now readily available.
That, along with access to wholesale mortgage rates from dozens of lending partners, could give brokers the edge going forward.
5. COVID-19 related foreclosures will free up some inventory
Everyone and their grandmother knows that housing inventory is abysmal. There’s just nothing out there no matter where it is you’re trying to buy a home.
Once something does come on the market, it’s being scooped up in record time by desperate home buyers.
The National Association of Realtors recently noted that properties typically remained on the market for just about 20 days in October, down from closer to 40 a year ago.
My expectation is that 2021 will be no different – it’s going to be a seller’s market yet again, which means you really need to do your homework and be prepared to make an offer immediately.
The only possible relief could come from COVID-19 related foreclosures, assuming those actually transpire once forbearance options fizzle out.
NAR also said distressed sales (foreclosures and short sales) represented less than 1% of home sales in October, which was down from 2% in October 2019.
Take the time to research how mortgages work and get pre-approved so you’re ready to make your move at a moment’s notice. But also still do your due diligence and don’t buy a home sight-unseen.
6. Home prices will continue to surge higher
That critical lack of inventory, coupled with the still-low mortgage interest rates will lead to even higher home prices in 2021.
It’s pretty simple really, just a matter of supply and demand.
Speaking of, unsold inventory remains at an all-time low of 2.5-months at the current sales pace, which is well below the near-4-month figure seen a year ago, per NAR.
As such, the Realtor group expects existing home prices to rise a further 5.7% in 2021, and that might be conservative given the red-hot housing market combined with an ongoing pandemic.
Again, excellent news for those who already homes, but another unwelcome development for the many prospective first-time home buyers out there.
7. iBuyers will regain market share and usurp real estate agents
Despite a housing market that will remain on fire in 2021, I expect iBuyers to continue to gain market share.
They got derailed last spring thanks to the emergence of COVID-19, and actually stopped purchasing homes in many markets.
But now they’re not only returning to market, but also expanding to new metros nationwide.
Folks love convenience, even if there’s a cost. And when it comes to iBuying, the cost is likely a lower sales price, meaning you walk away with less.
However, home sellers may be skittish about letting others into their homes, so going with a sure thing from an iBuyer could be just the ticket.
It also allows home sellers to pivot to a replacement property without dealing with contingencies, which are basically a no-go right now with competition so fierce.
8. Remote closings and distanced real estate transactions will be the norm
To that same end, I expect the temporary measures to keep real estate distanced will become more of a mainstay in 2021.
So those remote closings, appraisal waivers and other flexible appraisal options, along with new methods to document income and verify employment before loan closing should continue.
Additionally, we should see more technology that supports these efforts, which is a nice silver lining of the pandemic.
All the promises about making the mortgage process easier may come to fruition a lot sooner because no one wants to be near each other.
However, as noted, it’ll still take a while to get a home loan because lender capacity will remain an issue well into 2021.
9. Home remodeling will remain white-hot as homeowners stay put and spend more time at home
One trend that we saw this year will also extend into 2021, and could in fact become even more popular. I’m talking about home remodeling.
Have you tried to book a contractor lately? Good luck! They’re all busier than ever because homeowners are spending more and more time in their properties.
That has made many of us question if we should upgrade our digs, or get to those projects we’ve been putting off for years.
Most existing homeowners don’t seem to be going anywhere, as evidenced by that lack of inventory and those low mortgage rates, so they’re fixing up what they’ve got.
While you might be considering a home equity line of credit to pay for your home improvements, a cash out refinance that features a fixed interest rate could be the better option.
10. The exodus out of urban centers to the suburbs will stay on trend
Lastly, I expect the urban exodus to continue in 2021, even if the vaccine proves successful and we get our heads back above water.
The damage of 2020 on our psyches is already done, which means some just won’t consider the urban lifestyle anytime soon, or ever again.
Once forgotten, the suburbs are back with a vengeance thanks to COVID-19, and the pandemic perhaps served as a not-so-gentle reminder that more space and fresh air isn’t such a bad thing.
Sure, urban living has its advantages, but its fragility has also been exposed big time.
And with remote work and less commuting no longer just a trend, it makes a lot more sense to be anywhere, even far from a city center.
California Democrats carved out the Dream for All money to help first-time buyers. The funds ran out after just 11 days with the average loan hitting $112,000.
Lea este artículo en español.
California lawmakers marketed its new loan program for first-time home buyers as a “Dream For All.”
But just 11 days after applications opened, the initial pot of money is tapped out, sucked dry by eager house hunters. It turns out the dream was only for a lucky couple thousand borrowers — a disproportionate number of them white, non-Latino and living in the Sacramento area.
The Dream for All program was paused on April 6, less than two weeks after the California Housing Finance Agency said it would make the program available to lenders. About $288 million in initial funding will be provided to 2,564 homebuyers, according to an internal document obtained by CalMatters.
exchange for a share in the home’s value when it is sold, refinanced or transferred. If the home appreciates in value, those gains to the state would then be used to fund the next borrowers.
The program was meant, in part, to help address California’s ethnic and racial wealth gap, with Black and Latino families having fewer net assetsthan the national average. Participation in the program was limited to households earning less than 150% of median earnings in their county. According to the initial characteristics shown in the agency document obtained by CalMatters, roughly two-thirds of the beneficiaries went to those making less than $125,000. The average loan was a little more than $112,000.
But those figures also show that the program was disproportionately used by white homebuyers. Senate President pro Tempore Toni G. Atkins, of San Diego, said in a statement Monday that the program was intended to reach those historically shut out of the housing market.
“While this program has been immensely successful in getting new homebuyers into the market quickly and in places with low homeownership rates like the Central Valley, clearly more work needs to be done to make sure that there is statewide awareness, particularly in communities of color,” Atkins said.
Learn more about legislators mentioned in this story
Toni Atkins
State Senate, District 39 (San Diego)
Expand for more about this legislator
State Senate, District 39 (San Diego)
Time in office
2016—present
Background
Small Businesswoman
How she voted 2021-2022
Liberal Conservative
District 39 Demographics
Voter Registration
No party
24%
Campaign Contributions
Sen. Toni Atkins has taken at least $29,015
from the Health
sector since she was elected to the legislature. That represents 9%
of her total campaign contributions.
The fact that the program ran out of cash in a two week spree speaks to just how voracious demand is for housing in California. It also suggests that some of the people who made use of the program were already well into the house hunting process.
That raises an important question: How many of the people who benefited from the loan program actually needed the help and how many would have purchased a home anyway?
“I would guess that 30 to 50% of the people who are using it could qualify or buy without it because I had plenty like that,” said Matt Gougé, a Sacramento loan officer, referring to his own clients.
Ryan Lundquist, a Sacramento appraiser and real estate analyst, said the demographics and current price trends across the region make Sacramento County “a prime target for first time buyers” and therefore a natural beneficiary of the program.
Gougé, the local loan officer, said news of the program spread by word-of-mouth throughout the capital community in the days before the state officially launched the program on March 27. The regional rumor mill may have been churning especially quickly given how much more plugged-in locals are to matters of state bureaucracy.
“Sacramento and the surrounding area’s loan officers and Realtors probably got a jump start,” he said.
While the initial funding for the program might be tapped out, the size and scope of the Dream for All program will likely be a subject of negotiations between Gov. Gavin Newsom and the overwhelmingly Democratic Legislature. In January, Newsom proposed a significantly smaller version of the 10-year, $10 billion program originally envisioned by Sen. Atkins. The governor proposed spending an initial $300 million on the program, a cut from the $500 million compromise signed last year.
Atkins, in her statement, told CalMatters that she was seeking to get more funding for the program in upcoming budget negotiations. The governor is expected to offer a revised state spending plan and a new financial forecast in May. Lawmakers must pass a balanced budget by June 15 in order to get paid.
If you’re looking for a free checking account, you have multiple options in both traditional and online banks. With more than 4,100 banks in the U.S., according to the FDIC, the choices can be downright overwhelming.
It can help if you get clear on what you want in a checking account, narrow down your options, and then read reviews like the one below to find the best free checking account to meet all your needs.
12 Best Free Checking Accounts
When you’re ready to open a new checking account, consider the no fee checking accounts on this list. We’ve evaluated the fees, minimum deposit requirements, annual percentage yield APY on those that earn interest, and more.
Most of the best checking accounts offer features like overdraft protection, mobile banking and the ability to get paid up to two days early with your direct deposit. But financial institutions that let you earn interest on your checking balance or deliver cash back also gained our favor.
1. Chime Checking
Chime boasts truly fee-free checking and a host of advantages for those seeking an online-only banking solution. The bank has no monthly service fees, no overdraft fees, no transaction fees, and no minimum daily balance fees. If you lose your debit card, you don’t even have to pay to replace it!
Chime has a few features that can help you manage cash flow. First, if you sign up for direct deposit you can receive your paycheck up to two days earlier than you might with a conventional bank.
Second, Chime’s SpotMe program covers overdrafts up to $200 (depending on your qualifications). To take advantage, you must have a monthly direct deposit of at least $200. If your debit card purchase exceeds your overdraft limit, it will be declined, so you won’t ever pay overdraft fees.
Your Chime debit card is linked to a nationwide network of 60,000+ fee-free ATMs. The only fee you might pay is if you withdraw money from an out-of-network ATM or use your debit card to withdraw funds from your account during an over-the-counter debit card purchase.
Chime is an online financial services company, not a bank. It provides $250,000 worth of FDIC insurance per account holder, per account, through Stride Bank and The Bancorp Bank, both members FDIC.
Unlike some neobanks, Chime offers multiple means to reach their customer service representatives. You can reach out on live chat through the app or website 24/7/365.
Best for: Free Overdraft Coverage
Minimum Deposit: None
Monthly Fee: None
2. Bank of America Advantage Plus Banking®
Bank of America offers three Advantage checking accounts:
SafeBalance
Advantage Plus
Advantage Relationship
All three allow you to waive the monthly maintenance fee in a few different ways. Preferred Rewards members, who hold at least $20,000 in a Bank of America account or Merrill investment account enjoy free checking from Bank of America.
Otherwise, to waive the fee for your Advantage Plus checking account, you’ll need a qualifying direct deposit of $250 or more per month, or maintain a $1,500 minimum daily balance.
If you don’t qualify to have fees waived, your Bank of America Advantage Plus account will cost a reasonable $12 per month.
As the “middle-of-the-road” account which would fit the needs of the average customer, we chose Advantage Plus as the best free checking account from the big bank. It is also the most popular of the three.
You’ll want to be aware that your BOA account may have additional fees, including an overdraft fee of $10 for each item paid. You can avoid this fee by linking another eligible Bank of America account to your Advantage Plus checking account to cover overdraft transactions with no transfer fees.
Other Bank of America fees include a $15 replacement fee for a lost debit card, an international transaction fee equal to 3% of the transaction in U.S. dollars, and ATM fees of $2.50 for using an out-of-network ATM. With roughly 16,000 ATMs, nationwide, however, it should be easy to avoid out-of-network ATM fees.
Bank of America offers some features you won’t find at other banks. For instance, you’ll gain access to “Erica,” Bank of America’s virtual financial assistant to easily manage your accounts.
You can also enroll in Bank of America’s Keep The Change program, which allows you to round up debit card purchases and have the extra money deposited into your BOA savings account or your child’s linked BOA account.
Keep the Change is an easy way to sneak some extra savings into your budget. Preferred Rewards members can earn more than 5% interest on money in their linked Bank of American Advantage Savings account.
Best for: Preferred Rewards members
Minimum Deposit to Open: $100
Monthly Fee: $0 or $12
3. Quontic High Interest Checking
While it doesn’t compare to Wealthfront’s 4.55% APY for a Cash Account, Quontic offers what qualifies as a high interest checking account with a 1.10% APY.
Be aware that to earn that rate, you’ll need to make at least 10 qualifying debit card purchases of $10 or more in each statement cycle. Otherwise, your money will earn just 0.01% APY.
Quontic’s free checking account with no monthly maintenance fees, no overdraft fees, and no minimum account balance is straightforward, FDIC insured, and socially responsible. The online bank is one of fewer than 3% of all banks designated as a Community Development Financial Institution.
That means Quontic uses your money with fiscal responsibility for social good, depositing it into accounts to help serve lower income families, under-served demographics and small business owners obtain affordable mortgages.
But opening an account with Quontic doesn’t just help others. Account holders enjoy a host of benefits. You’ll gain access to online bill pay and a “roundup program” to shuffle extra “change” from your debit card purchases into your linked high yield Quontic savings account with a 4.25% APY.
You’ll also get a Quontic Pay Ring, a wearable that replaces your debit card for point-of-sale purchases.
Enjoy access to 90,000+ fee free ATMs through the AllPoint, MoneyPass, or SUM program ATMs, as well as Citibank ATMs nationwide. You’ll find these ATMs at popular stores like Target, Speedway, Walgreens, CVS, Kroger, Safeway, Winn Dixie, and Circle K.
In addition to its High Interest Checking Account, Quontic offers a Bitcoin Rewards checking, which rewards you in cryptocurrency for debit card purchases, and a Cash Rewards checking account, which pays 1% cash back on all eligible debit card purchases.
Both accounts offer the same features as the High Interest checking account, except you’ll receive rewards instead of interest on your checking balance.
For a higher APY, you can open a Quontic Savings account with no monthly service fee and a high 4.25% APY.
Best for: Socially conscious banking
Minimum Balance to Open: $100
Monthly Fee: None
4. Wealthfront Cash Account
Like Chime, Wealthfront is not a bank. But some would argue that, with no monthly maintenance fee, FDIC insurance of up to $5 million through partner banks, and a high 4.55% annual percentage yield APY on the Wealthfront Cash Account, it’s even better.
Your Wealthfront Cash Account offers many of the same features as a traditional or an online bank. You’ll receive a free debit card and can withdraw cash with no ATM fees at a network of 19,000 ATMs nationwide.
Most consumers will choose the Individual Cash Account, with features such as early direct deposit, online bill pay, mobile check deposit through the app, and fraud protection. Wealthfront also offers a joint account, with up to $10 million FDIC insurance, and a Trust Cash account.
Best of all, Wealthfront charges no overdraft fees, no transfer fees from external accounts, and no fees if your account dips below a minimum balance. It requires just $1 to open an account.
If you are interested in retail investing, Wealthfront makes it easy with virtually instant transfers between your Wealthfront Cash Account and linked Wealthfront Investment accounts.
As you build your portfolio, you can take advantage of Wealthfront’s vast array of financial services, including automated investing, stock investments with zero commissions, and tax loss harvesting services.
As your Wealthfront investment portfolio grows, you can borrow up to 30% of your portfolio’s value at an interest rate as low as 7.40% APR.
For consumers looking for a one-stop shop for investments, fee-free checking, and savings with a high annual percentage yield, Wealthfront represents a solid choice in online financial service companies or neobanks.
Best for: High Annual Percentage Yield APY
Minimum Deposit to Open: $1
Monthly Fee: None
5. Capital One 360
A Capital One 360 checking account combines the security and convenience of one of the nation’s largest banks with no monthly maintenance fees and no minimum opening deposits.
Account holders also earn 0.10% APY on all checking account balances in their Capital One 360 account.
You can open your account online or in a branch. If you want in-person assistance, you can visit a Capital One branch or Capital One Café for help.
Capital One 360 gives you access to your money through more than 70,000 fee free ATMs in the Allpoint, MoneyPass or Capital One networks.
Capital One 360 has no overdraft fees, but you can decide how you want the bank to handle transactions that exceed your account balance.
You can set it up so that a transaction that would cause an overdraft is declined. Or you can transfer funds from a linked savings or money market account to cover an overdraft.
Alternatively, Capital One may accept certain transactions that put your account into overdraft. You’ll need to deposit money to cover the overdraft or additional transactions will be declined.
Capital One offers direct deposit up to two days sooner than many banks.
Capital One’s robust mobile app allows for bill payments online, mobile check deposits, and Zelle person-to-person transfers. If you want to add cash to your account, you can do it in person at a CVS store. If you have other Capital One accounts or credit cards, you can manage them all through one login.
Your Capital One 360 account has no foreign transaction fees, but keep in mind there may be fees for using out-of-network ATMs, cashier’s checks, outgoing wire transfers, or paper checkbooks.
Best for: Capital One Credit Card customers
Minimum Balance to Open: None
Monthly Fee: None
6. Consumers Credit Union
The only credit union on our list of the best free checking accounts, this checking account is open to virtually all U.S. residents over the age of 18.
You’ll just need to pay a one-time, $5 membership fee to the Consumers Cooperative Association. Consumers Credit Union even reimburses this fee after you open your free checking account. Children as young as age 12 can join as the second member on a joint account.
Your Consumers Credit Union Rewards checking account offers many of the same benefits as top rated online banks with no monthly fees and no fees of any kind.
You will even be reimbursed for fees incurred while using out-of-network ATMs. CCU has a network of 30,000+ ATMs nationwide.
Enjoy early direct deposit, mobile banking, and even the ability to write unlimited checks with no fees. Plus, you’ll earn up to 5% APY on your balance, depending on certain actions you take. Here’s how the tiered checking account interest works for balances up to $10,000:
Earn 3% APY if you make at least 12 debit card purchases a month and have direct deposits, mobile check deposits, or ACH credits of at least $500 each month
Earn 4% APY if you meet the above requirements plus spend $500 or more on your CCU Visa credit card each month
Earn 5% APY if you meet the requirements to earn 3% plus make $1,000 or more in purchases on your CCU Visa card monthly
Balances of $10,000.01 to $25,000 earn 0.20% APY and balances over $25,000 earn 0.10% APY.
If you don’t meet the requirements in a given month, you will still have free checking and free online bill payments and you will receive a 0.01% APY on all checking account balances. You also won’t qualify for ATM fee reimbursement.
You can reach Consumers Credit Union customer service online, by phone, or at CCU branches across Illinois. You can also bank at shared branches across the U.S. that are part of the CU Service Center Network, a co-op of credit unions.
Best for: Those who prefer to bank at a credit union
Minimum Balance to Open: $5
Monthly Fees: None
7. Ally Bank Interest Checking
Ally is not just a robust fin-tech; it is a nationally chartered bank with $196 billion in assets and 11 million customers. The bank offers an interest earning checking account with no monthly fee and no overdraft fees, high-yield savings, money market account and CDs. Plus, it provides investment services, loans, and credit cards.
The Ally Bank free checking account lets you earn interest of 0.25% annual percentage yield APY on all balances.
You’ll pay no monthly service fees, no overdraft fees, and no ATM fees at more than 43,000 Allpoint ATMs nationwide. Ally also reimburses you up to $10 on out-of-network fees charged at other ATMs.
Your Ally checking account makes money management easy. You can put money in specific “spending” buckets allocated for different purchases. This can help you track your spending and stick to your budget. You can also get paid up to two days early with direct deposit.
Many of the best free checking accounts offer overdraft protection. Ally offers two choices to help you avoid overdraft fees. With the Overdraft Transfer Service, you can link your Ally Bank online savings or money market account to your Interest Checking account.
Ally will automatically transfer funds to your checking account to cover your purchase. If you make more than six withdrawals in a statement period, you may be charged “excessive transaction fees,” but Ally Bank reimburses those fees.
The CoverDraft service will cover purchases up to $100 as long as you have deposited at least $100 into your Interest checking account in the past 30 days. You can extend that coverage up to $250 if you receive a qualifying direct deposit of at least $250 for two months in a row.
You’ll need a direct deposit every 45 days to maintain your expanded coverage. You will have 14 days to bring your balance out of the negative.
Best for: Online only banking
Minimum Balance to Open: None
Monthly Fee: None
8. Axos Bank Rewards Checking
Axos Bank offers three different checking accounts with no monthly maintenance fee.
The Essential Checking online account has no overdraft fees, no monthly account fees, and unlimited reimbursement for out-of-network ATM use within the U.S.
The Rewards Checking has all the benefits of the Essential checking account and adds up to 3.30% APY in interest on qualifying balances.
Now until June 30, 2023, you can earn a sign-up bonus of $100 when you open an Axos Bank Rewards checking account and receive direct deposits totaling $1,500 or more each month for the first three months your account is open.
The Axos Bank Rewards checking account has complicated requirements to qualify for the highest annual percentage yield. Here’s how it works:
Direct deposits of $1,500 per month or more earn 0.40% APY
Once you fulfill that requirement, you’ll need 10 point-of-sale signature transactions with your debit card (minimum $3 purchase) or enrollment in account aggregation/personal finance manager account to earn an additional 0.30% APY.
Maintain an average daily balance of $2,500 in an Axos self-directed trading invest account to earn 1%
Maintain an average daily balance of $2500 in an Axos Managed Portfolio Invest account to earn another 1%
Make a monthly payment to an open Axos Bank consumer loan from your Rewards checking account to earn up to 0.60%
Together, this results in a 3.30% APY.
A Cashback Checking account offers the same benefits as the other checking accounts, except instead of earning interest you will receive 1% cash back on eligible debit card purchases.
Keep in mind that to earn the full 1% cash back, you’ll need to maintain an average daily balance of $1,500 in your checking account. If the balance falls below $1,500, you’ll earn .50% for that month.
Best for: Sign-up bonus
Minimum opening balance: $50
Monthly fee: None
9. SoFi Checking and Savings
Another excellent option in online banking, SoFi offers a wide range of financial services, including investments and loans. The bank provides a combination Checking and Savings account with a high yield APY of 4.20% for balances in your savings or Vault, and 1.20% APY on checking balances.
You will need to set up direct deposit to qualify for the high interest rates and other benefits, such as 2-Day Early Paycheck and no-fee overdraft coverage. But there is no minimum balance required.
Right now, the bank is offering new customers who open a free account up to $250 in cash. To receive your bonus, simply open your account and set up direct deposit. Deposits of $1,000 to $4,999.99 qualify for $50 cash back, while a deposit greater than $5,000 will net you $250.
There are no account fees when you bank with SoFi. Account holders with qualifying direct deposits receive fee-free overdraft protection for up to $50 per purchase.
You can even keep the money in your SoFi online savings to collect the high annual percentage yield APY of 4.20% and the bank will automatically transfer funds to checking to cover certain purchases. It will not, however, transfer money from Vaults, which are designed to help you reach specific savings goals.
Your SoFi debit card gives you access to your money for free at more than 55,000 ATMs in the AllPoint network. Plus, when you use your debit card for point-of-sale transactions at many local businesses, you can earn 15% cash back.
SoFi is a nationally chartered back with FDIC coverage. Thanks to a partnership with other banks, SoFi’s FDIC insurance exceeds the $250,000 maximum.
Your deposits are insured up to $2 million per account holder, per account, with SoFi. That makes SoFi an excellent choice in online banking for those with high savings, money market, or CD balances.
Best for: Money management and saving
Minimum Opening Balance: None
Monthly Service Fees: None
10. Varo Bank
Varo Bank has the distinction of being the first financial technology company to become a nationally chartered, online only bank. While most of the banks on our list of best free checking accounts have important features in common, Varo has a few perks that are harder to find in a free account.
First, your Varo debit card offers up to 6% cash back at select online retailers and brick-and-mortar stores. Each time your cashback balance reaches $5, you’ll see the funds deposited directly into your Varo bank account.
When you open a Varo checking account, it pays to open Varo savings at the same time. You’ll gain access to features like “Save Your Change,” which allows you to round up debit card purchases and put the difference in savings.
You can also use Save Your Pay, which deposits a portion of every paycheck you receive via ACH transfer directly into savings. You can set up these features in the mobile app.
Varo also offers a cash advance feature called “Varo Advance,” which allows you to borrow up to $250 and pay it back within 30 days.
You’ll pay nothing for advances less than $20, but there are fees up to $15 associated with borrowing larger amounts. As with many other banks, Varo also lets you get paid via direct deposit up to two days early.
Varo makes it easy to deposit cash into your account by purchasing a Green Dot MoneyPak at stores like Walmart, CVS, Rite Aid, Walgreens, 7-11, Dollar General, and others. You can also deposit cash at the register in any of these stores. You might pay a fee of up to $4.95 for this service.
Varo has no minimum balance requirements, no overdraft fee, no monthly fee, no foreign transaction fees, and fee-free access to 55,000+ ATMs in the Allpoint network.
If you use an out-of-network ATM, you will be charged a $3 fee by Varo, plus any charges incurred from the other bank. If you withdraw money using your Varo debit card at the point-of-sale in a store, you’ll pay $2.50 for the convenience.
You can reach Varo customer support via chat on the app every day from 8 AM to 4:30 PM, Mountain Time, except on Thanksgiving, Christmas, and New Year’s Day.
Varo phone support is also available Monday through Friday during the same hours for help logging into your account, filing a dispute if you suspect fraudulent charges, or to receive help adding your Varo card to a digital wallet.
Best for: Cashback debit
Minimum Opening Balance: None
Monthly Fee: None
11. Discover Cashback Debit
In the world of finance, Discover is best known for offering a straightforward cashback rewards credit card. Discover’s free online checking account also offers cash back rewards of 1% for up to $3,000 worth of debit card purchases monthly.
That could equal up to $30 in free money every month. You can even choose to have that Cashback Bonus deposited directly into your Discover Online savings account, where it can earn up to 3.90% APY.
Discover has no fees for anything. This includes overdraft protection through your linked Discover savings, no insufficient funds fee, no fee for official bank checks, no fee to receive expedited delivery of a new debit card, and no fees for paper checks. The only service that incurs a fee is an outgoing wire transfer. That will cost $30.
You can use your Discover debit with no fees at any of 60,000+ ATMs nationwide. Like many other financial institutions on this list, Discover allows you to receive ACH deposits from your employer up to two days early through the Discover “Early Pay” program.
Unlike many other online only banks, Discover offers 24/7 U.S.-based customer service by phone at 800-347-7000. If you prefer the convenience and cost savings of an online only bank account but want access to 24/7 phone service, Discover Bank could be the best choice for you.
Best for: 24/7 customer service by phone
Minimum Opening Balance: None
Monthly Fee: None
12. Chase Total Checking®
JPMorgan Chase & Co. is not just one of the “big four” banks in the U.S. It is the biggest bank in the U.S. and the world’s largest financial institution based on market cap. For that reason, many people choose Chase Bank for its convenience and 4,700 branches nationwide.
Chase Total Checking is the bank’s most popular checking account, requiring no minimum opening deposit, and a low monthly fee of $12 that’s fairly easy to waive. To waive the fee, you’ll need to do one of the following each month:
Have at least $500 in direct deposits
Maintain a beginning daily balance of $1,500 or more
Maintain an average beginning day balance of $5,000 or more in any combination of your Chase checking account plus other qualifying accounts
Chase offers overdraft protection in the form of its Overdraft Assist program. You won’t pay an overdraft fee if you’re overdrawn by $50 or less at the end of the business day.
If you are overdrawn by more than $50 but bring the account current or bring your overdraft to $50 or less by the next business day, you also won’t pay any fees.
Chase offers access to Zelle for person-to-person payments and has an intuitive and user-friendly app for online and mobile banking.
You can also take advantage of Chase Autosave features to automatically have a portion of deposits transferred into your Chase savings account, or set up automatic transfers on a schedule, such as weekly or monthly.
Set savings goals and have money deposited into specific buckets or transfer funds into your general savings account to build your emergency savings. You can even pause automatic savings if your checking account drops below an amount you set.
Chase Premier Plus Checking offers even more benefits, including free money orders and cashier’s checks, ATM fee reimbursement for out-of-network ATMs four times per statement cycle, and free checks.
Your Chase Premier Plus Checking account earns a 0.01% APY on all account balances, which is the same as a Chase Savings account.
You can avoid the fees on your Chase Premier Plus Checking account if you have an average beginning day balance of $15,000 in any combination of Chase checking, savings, and other deposit accounts.
Another option is if you have a linked qualifying Chase mortgage enrolled in automatic payments, or if you are a member of the U.S. military or a veteran.
When you are a Chase checking customer, you can refer friends to open a Chase account and receive a $50 bonus, up to $500 per year. Like most financial institutions on this list, Chase has a robust and easy to use mobile app.
Best for: 4,700 branches nationwide
Minimum Opening Balance: None
Monthly Fee: $12.95 (for Chase Total Checking) or free if you meet requirements
Methodology: How We Select the Best Free Checking Accounts
We evaluated multiple factors to find the best free checking accounts for consumers across the U.S. Whether you have large monthly direct deposits or have been “unbanked” until now, you’ll find the best free checking accounts for any need or any budget here.
ATM network or generous ATM-fee reimbursement program
You shouldn’t have to pay extra money to access your money. After all, that’s the opposite of a “free checking account,” isn’t it? You want to find a bank with a large, fee-free ATM network to conveniently withdraw cash or make deposits. If the bank reimburses out of network ATM fees, that’s a bonus.
Nationwide availability (Physical locations or mobile access)
If you’re looking for a traditional bank, you want to make sure it has branches near you. Otherwise, an online bank might be the best choice. For this list of free checking accounts, we eliminated credit unions that don’t serve customers nationwide or have strict membership requirements.
Credit unions are often a solid choice for banking, and often have low fees and high interest rates. For instance, Navy Federal Credit Union is a highly ranked financial institution backed by the National Credit Union Administration. But it’s only open to members of any branch of the U.S. Armed Forces, U.S. veterans, their families, and Department of Defense personnel.
We tailored this list around banks with national appeal, with means they serve customers nationwide, with no residency requirements or specific occupational requirements. The one outstanding credit union on the list, Consumers Credit Union, is open to virtually anyone in the U.S. over the age of 18.
No Monthly Maintenance Fee
When most people think of a free checking account, they think of one with no monthly maintenance fees. You’ll see a few banks with monthly maintenance fees on this list because the benefits outweigh the fees. But any monthly service fees are easy to waive by meeting direct deposit or minimum balance requirements.
Low Minimum Deposit and Balance Requirements
Truly free checking accounts should be accessible to most consumers. That means having low or no minimum deposit or minimum balance requirements.
No or Low Foreign Transaction Fees
If you travel abroad or make international transactions, you don’t want to pay fees. This may not be important to everyone, but foreign transaction fees may be a point to consider.
No Account Closure Fee
This was a deal-breaker for us. If you choose to close your account, you should be allowed to do so with no account closure fee. All the banks on this list make it as easy to close your checking account as it is to open it.
No Overdraft Fees
Likewise, if you accidentally spend more money than you have in your account, you shouldn’t be punished. Sometimes we forget that an automatic payment cleared or sometimes, you just need a helping hand to make it to your next paycheck. We gave preference to account with no overdraft fees, overdraft protection, or generous overdraft forgiveness.
Benefits such as high APY, cash-back rewards, or other additional perks
From cash back debit cards to interest bearing checking accounts, generous perks can make it easy to choose one fee-free checking account over another. Other nice-to-have features include:
The ability to pay bills online
Early direct deposit
Mobile check deposit
These account features make it easy to manage your money. We evaluated all these aspects when compiling our list of the best free checking accounts.
Customer Service
Whether you opt for a neobank or a traditional bank with brick-and-mortar branches, you want fast and responsive customer service. We took branch hours or phone hours into consideration, as well as a responsive chat or email for those who prefer automated service without speaking directly to a person.
Other Products and Services
Many people want to use the bank that holds their primary checking account as a one-stop shop for all their financial needs. They don’t want to download another mobile app, remember another password, or keep their money in different places.
For this reason, we considered the availability of high yield savings or money market accounts, CDs and other financial services when choosing the top free checking accounts. Chase, Capital One, and a few others got bonus points from us for the ability to link a child’s account to teach money management at a young age.
How to Choose the Best Free Checking Account
Before you choose a free account, decide what features are most important to you. Do you want a bank with brick-and-mortar branches or are you comfortable banking online only? If you choose an online financial institution, find out if there is a way to deposit cash, since some only allow mobile deposits and ACH transfers from other accounts.
Most of the checking accounts on this list offer similar features, including an easy to use mobile app, no monthly fees, direct deposit capabilities, and overdraft protection. Some have no minimum deposit to open the account, which is convenient since you can set up the account and then fund it within a few days or when you receive your next paycheck.
If you’re looking for interest bearing checking accounts, you’ll find a few on this list. Others provide debit rewards, which isn’t a common feature in a free deposit account. These benefits can help put extra cash in your pocket to help you reach your financial goals.
Determine if you want a linked savings. If so, do you want the capability to transfer funds into multiple savings buckets to help with budgeting?
All the banks on this list are FDIC insured for up to $250,000 per account holder for each type of deposit account. CCU is insured for the same amount by the National Credit Union Administration. That means your money is safe, which is important in today’s climate of economic uncertainty.
Ultimately, your checking account becomes a hub for your financial life. Whether you’re opening your first account or thinking about switching banks to get free checking and more perks, this list provides a good place to start your search.
Free Checking Account FAQs
See what people are asking about the best free checking accounts.
What are monthly maintenance fees?
Monthly maintenance fees are service charges imposed by a bank simply for holding an account. The free checking accounts on this list have fee free checking or it is easy to waive the monthly maintenance fee by having monthly direct deposits or meeting minimum balance requirements.
Do free checking accounts have any fees?
When people think of fee-free checking, they often think of an account with no monthly maintenance fees. However, some free checking accounts may have a monthly fee that can be easily waived with a monthly direct deposit or by meeting minimum balance requirements within a statement cycle.
So-called free checking accounts may have over fees besides the monthly fee. Read the fine print closely to find truly free checking accounts.
What fees do I need to watch out for?
Some banks who advertise free checking accounts may forego a monthly maintenance fee, but charge overdraft fees, ATM fees, withdrawal fees (typically only for savings or money market accounts), fees for paper checks, fees for paper statements, foreign transaction fees, and wire transfer fees. If you lose your debit card, you might have to pay a fee to have it replaced, as well as covering mailing costs.
Can I open a free checking account without a deposit?
Some banks allow you to open a checking account with no minimum deposit required. Of course, if there are any perks, benefits, or sign-up bonuses, you’ll want to fund the account to earn interest or take advantage of special offers.
How do banks make money on free checking accounts?
Banks might make some money from monthly maintenance fees and other customer service charges. But the bulk of their revenue comes from the interest rate they earn on your money when they invest it in other securities, as well as interest collected on loans they make.
Banks don’t necessarily keep the money you deposit in your account. They hold cash withdraws to allow customers to withdraw their money. But they also invest the money and earn revenue on those funds.
They may also earn money on loan services, financial advisory services, investment services with fees, and other services they provide to customers.
These other revenue streams allow banks to offer free checking accounts without losing money.
What’s the difference between a checking and a savings account?
A checking account is where you keep cash for everyday spending. Typically, you can make debit card purchases and withdraw funds from an ATM easily, without fees. Most checking accounts don’t pay interest on your deposits, but some do.
A savings account, on the other hand, holds money you are saving either for a specific events – such as vacation or large purchase – or for an emergency. Financial experts recommend keeping as much as three to six months of living expenses in an easy-to-access savings account.
Savings accounts pay interest ranging from .01% annual percentage yield APY up to 4% or 5% APY. Be aware that some savings accounts charge fees for monthly withdrawals exceeding a limit of six per month.
A cruise can satisfy the greatest wanderlust, satisfy your favorite (and newfound) food cravings and open new horizons and interests you never thought possible. But you can also fall for tourist traps or miss the authentic culture of the places you visit.
🤓Nerdy Tip
If you’ve never cruised, talk to others who have more firsthand insights. Their perspective can shed even more light on the experience you can expect.
Going on a cruise has pros and cons, and it may be worth reviewing them before your next sailing. Let’s look at the pros and cons of cruises.
Pros
A good deal
Cruises can be costly, but you get more than just a great view of the ocean. Cruise bookings often include your:
Accommodations.
Some drinks.
Entertainment.
Recreational amenities like pools and waterslides.
Other onboard activities.
You can step aboard the ship and not spend a penny if you play your cards right.
There are plenty of ways for cruises to pull more money out of your pocket on board (think: spa, specialty restaurants, upgraded drink packages, shore excursions, shops and casino), but you can still have plenty of fun without spending an additional dime.
Cruise lines are reinventing their onboard options, and specialty restaurants tap in to the talents of well-known chefs and restaurateurs. This can take some of the boredom away from the same dining rooms, but it comes at a cost.
For the most part, however, if you find a good price on the cabin, the number of inclusions that come with it can quickly drive down the cost of an overall vacation. Of course, the more you spend on the cabin (some of those luxury suites, for example), the lower the bargain you’ll get.
Entertainment and education galore
You read that right — you can learn something educational on a cruise.
Many cruises have port talks, destination immersion lectures covering the history and culture of a place, art galleries and trivia games. You can learn something on board, and then when you’re ashore, you can explore the destinations you visit.
Cruises are a great way to learn more about the world, meet new people and learn from them, too.
And there is more entertainment than you can shake a stick at on board and ashore. From musical performances to game shows and cinemas, you can easily fill up your schedule.
Every ship is different, so it is important to review what is available on your sailing if staying busy is your goal. Otherwise, bring a book and watch the world float by from the deck.
On sea days (when the ship is traveling between ports), it’s like having your own resort with pools and activities included in the overall cost of your vacation.
Maximize your time
A cruise can introduce you to many places at once without your worrying about unpacking and repacking between destinations or paying for transportation between cities.
You unpack once and then are on your way, with all of the details handled for you — from immigration protocols to where to go and when.
The cost of a cruise includes a preplanned journey to some of the most popular points within a region and your transportation between them.
For example, your itinerary may have multiple Mediterranean cities or several European capitals.
There’s something quite relaxing about waking up each morning in a new city. And when you return after a day of exploring, housekeeping has cleaned your room.
A cruise may be a great option for less-frequent travelers because the cruise line is essentially “holding your hand” along the way.
Even better, some stops may be hard to reach by land — like many Alaskan ports — or expensive to reach independently, like some Greek islands or pricy ports in the Caribbean like St. Barts.
Family and group travel come easy
Cruises are an easy option for groups traveling together. Unlike on land, where it can be hard to find restaurant reservations for large groups or find one activity that suits every interest, cruises have something for everyone.
People can branch off to do what they like on the ship and then meet back up an hour later without worrying about traffic or safety issues for kids.
Cons
Lots of people
While this varies by ship — some enormous ships have so much space that there are plenty of areas where you’ll be one of only a few people — crowds may flood popular areas.
For example, people vying for their moment in the sun may swarm the pool deck and families may descend on the water park area simultaneously.
Lines can form at popular buffets or restaurants at meal times, and when it’s time to go ashore (or disembark after the cruise), you’ll be one of many waiting in line.
Repetition
If you’re not willing to pay for specialty venues or you’re on a smaller ship that doesn’t have many free dining options, you may find that the dining rooms become repetitive. Menus change daily, but the setting does not. The window views at dinner will vary by destination, though, adding a bit of pizzazz.
If you make an effort, it is possible to find different things to do each day on almost all larger ships. River cruises, on the other hand, are much smaller and tend to feel more repetitive.
The same premise appears with the destinations for repeat cruisers. Because the cruise line plans itineraries, you may visit places you have been to multiple times if you sail often enough. It becomes harder to exclusively visit “new-to-you” places.
If it’s the latter you’re after, planning your own trip may be a better option.
One price is not always just one price
If you loosen your purse strings easily, spending more than you realize aboard a ship is possible.
A few cocktails by the pool each day, an extra tour or specialty restaurant dinner another, and before you know it, you’ve paid twice as much as you thought. It’s wise to board a ship with a budget in mind and plan your sailing accordingly so you don’t overspend without realizing it.
Tourist traps
Cruise lines are often important economic engines for destinations. You may find yourself dealing with tourist traps, such as shops by the port, and beginner tours organized by the cruise line.
If you want the most authentic experience, it might be worth studying local guides and tour options online in advance to find something more authentic without falling for what’s waiting for you right at the port.
If you’re going on a shore excursion through the cruise line, you can count on being carted to places designed for large groups rather than hidden gems. Many tours often include a stop at a local shop or business that may be presented as authentic, but locals will tell you it is not.
This trend is amplified because travelers usually have only one day at each destination. As a result, time is of the essence to visit the most important sights without wasting it at tourist traps.
Frequent cruisers, however, will tell you that you should use a cruise to determine places you want to return to by using it as a sampler to explore many destinations. They also suggest planning what you want to do so you can hit the ground running.
Exploring independently or with a local guide (not booked through the ship) can often be your best bet. It also has the added benefit of directly supporting a local business or guide rather than funneling that cash through the cruise line.
The pros and cons of cruises, recapped
It’s unfair to decide how you feel about a cruise without trying one. Even those who insist they wouldn’t like one may end up having a good time.
Perception is not always reality, and you can be better prepared by considering all of the pros and cons of a cruise in advance. Talk with people on either side to get answers to your questions.
Not every type of travel is for everyone, but the ever-expanding cruise industry keeps adding amenities, perks and destinations. That alone speaks for itself.
How to maximize your rewards
You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2023, including those best for:
The Federal Reserve (Fed) on Wednesday raised the federal funds rate by another 75 basis points, to 2.25%-2.50%, delivering what was expected by most investors and economists in recent weeks.
Designed to control persistent inflation, the decision comes amid slowing home sale velocity, as the housing sector is particularly interest-rate sensitive.
“Recent indicators of spending and production have softened. Nonetheless, job gains have been robust in recent months, and the unemployment rate has remained low,” the Federal Open Markets Committee said in a statement Wednesday afternoon.
To stimulate economic activity during the COVID-19 pandemic, the Fed maintained the federal funds’ rates at 0%-0.25% between March 2020 and March 2022, when it started a tightening monetary policy to slow inflation.
So far, it has resulted in a cumulative 225 bps hike: 25 bps in March, 50 bps in May, 75 bps in June, a hike not seen since 1994, and today’s 75 bps.
It brought rates back to the level of December 2018 – and marked an end to the easy money that gave rise to the hottest mortgage market in U.S. history.
Prioritizing home equity solutions in a rising rate environment
The 2022 housing market has been underscored by interest rate spikes and refi decline and lenders are working hard to adjust to new borrower trends. HousingWire recently spoke with Barry Coffin about the ways lenders can capitalize on these trends by revving up their home equity solutions.
Presented by: ServiceLink
Surging prices drive the Fed. Inflation in the U.S. hit 9.1% in June, the highest level in 40 years, the Bureau of Labor Statistics reported on July 13. By then, the news raised the specter that the Fed would raise the benchmark rate by 75 or even 100 basis points today.
“Inflation remains elevated, reflecting supply and demand imbalances related to the pandemic, higher food and energy prices, and broader price pressures,” the FOMC said. “Russia’s war against Ukraine is causing tremendous human and economic hardship. The war and related events are creating additional upward pressure on inflation and are weighing on global economic activity.”
On Thursday, gross domestic product data will be released, and observers believe it will show that the U.S. economy grew marginally or shrank again in the second quarter, which many economists say officially marks a recession. The Biden administration has argued that two consecutive quarters of negative GDP does not constitute a recession.
Fed Chairman Jerome Powell echoed the administration’s talking points during a news conference following the committee meeting. “I do not think the U.S. is currently in a recession, and the reason is too many areas of the economy are performing,” he said, citing the strong labor market as an example. According to Powell, the Fed is trying to do “just the right amount (of interest hikes). We’re not trying to have a recession.”
Looking forward, Powell said the pace of new rate hikes will continue to depend on the incoming data and evolving outlook for the economy as “these are not normal times and there’s significantly more uncertainty now.”
“While another unusually large increase could be appropriate at our next meeting, that’s a decision that will depend on the data we get between now and then,” Powell said.
In the housing market, the tightening monetary policy has brought volatility to mortgage rates. According to the latest MMS survey from Freddie Mac, after jumping 20 basis points in the previous week to 5.50%, purchase mortgage rates increased last week to 5.54%.
This has reduced the number of sales and cooled housing prices.
Sales of new single-family houses in June fell 8.1% from May, to 590,000 at a seasonally adjusted annual rate, the U.S. Census Bureau and the Department of Housing and Urban Development reported on Tuesday. Pending home sales also fell 8.6% in June from the prior month, according to data released by the National Association of Realtors on Wednesday.
Although price cuts and contract cancelations are increasing, home prices have remained stubbornly high in housing markets across the country.
“Affordability is the biggest issue in the housing market today, and higher rates will make that worse on a monthly basis, even as the Fed does the important work of slowing down price growth,” said Skylar Olsen, Zillow’s chief economist, in a statement.
“Because the housing sector is particularly interest-rate sensitive, it is one of the primary levers through which tighter monetary policy can slow economic activity,” Doug Duncan, chief economist at Fannie Mae, said in a statement. “We continue to forecast slowing home sales through the rest of the year as the Fed continues to raise interest rates and run off its balance sheet.”
Mortgage Rates Too High? (Blame the Fed, Wall Street and Your Neighbor.)
Lenders use several bits of data to set mortgage rates, including trading moves by investors. Without market volatility, the rate could be under 7 percent.
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Mila Adams moved to Utah in May with her husband and toddler son to be closer to family, but they didn’t expect to be living with her husband’s parents nearly a half year later.
The couple’s search for a home of their own became a race to stay ahead of the rapid rise in mortgage rates. Each time rates climbed — passing 5, 6 and, recently, 7 percent — the size of the houses they could afford shrank.
“We looked at some new builds and some older homes, but it seems like with every rate hike our buying power goes down, and we have to readjust our budget,” said Ms. Adams, 29, who was looking for a three-bedroom house roomy enough for a family with plans to grow. “The high prices of homes are not going down as quickly as the rates are going up to adjust for that loss of buying power. The prices are just kind of stubborn.”
Once rates crossed 7 percent, the couple’s mortgage pre-approval was rescinded because the costlier loan, combined with her husband’s student debt from dental school, would have pushed their debt level too high.
which recently crossed the 7 percent threshold before retreating slightly on Thursday, could be as much as a full percentage point lower if investors, homeowners and prospective buyers hadn’t been shifting their behavior so sharply in reaction to the Fed’s moves.
“A whole percentage point on your mortgage rate is due to what is going on in mortgage markets,” said Scott Buchta, a mortgage analyst at Brean Capital. “The volatility in the market has been passed through to consumers as well.”
@JARennison
Tara Siegel Bernard covers personal finance. Before joining The Times in 2008, she was deputy managing editor at FiLife, a personal finance website, and an editor at CNBC. She also worked at Dow Jones and contributed regularly to The Wall Street Journal. @tarasbernard
A version of this article appears in print on , Section B, Page 1 of the New York edition with the headline: Taking Stock Of Climbing Home Rates. Order Reprints | Today’s Paper | Subscribe
Pinching pennies doesn’t mean you can’t make yourself pretty. Yes, it’s true that personal-care products and services can take a big bite out of your budget. By the time you’ve paid for your salon visit, your skin cream, your hair product, and your lip balm, you can easily be out $100 or more in any given month. You don’t want to overindulge and blow a lot of money on personal appearance. All the same, it’s important to take care of yourself, and it’s possible to do so frugally. Here’s how.
Do Less
I’ll tell you a secret: I haven’t washed my hair in weeks. I rinse it with water every morning when I take my shower (in my fancy, newly-repaired shower that now features hot and cold running water!). But I only shampoo and condition it about once a month. When I do, I use a 50-percent solution of shampoo and water. This means I’m using about 1/60th of the shampoo I used to use when I washed my hair every day with full strength shampoo. Needless to say, one bottle of shampoo lasts me a whole lot longer.
There’s a whole “no-poo” movement for people who don’t want to shampoo their hair. A lot of them rinse with baking soda and vinegar instead, but I’ve found that even that is optional.
But you don’t have to dive into the deep end to minimize your beauty routine. Simply taking good care of yourself can dramatically cut down on the number of beauty products you need to use. When I asked readers for their favorite DIY beauty tips, a lot of them boiled down to simple self care.
Simple, free things you can do to take care of yourself without the need for products include:
Get enough sleep
Drink lots of water. No — I mean more water than that. Lots of water.
Smile!
Do It Yourself
Whether it’s doing your own manicure or making your own deodorant, there are lots of ways you can cut down on personal care expenses by embracing the DIY spirit. Look at each of your regular personal care expenses and ask: Would this be cheaper if I did it myself?
Some ways to take charge of your beauty routines include:
Have a friend cut your hair. This clearly doesn’t work for everyone, but if you have a relatively simple cut and don’t need it to look perfect all the time, having your hair cut at home by a helpful friend or family member can save you a lot of money. Haircuts are probably my biggest personal care expense, so I try to space out trips to my stylist by trimming my hair at home and seeing her once every few months.
Use oils as skin cleansers. Instead of indulging in expensive skin treatments, many of my friends swear by the oil cleansing method for cleaning and moisturizing their skin. I’ve never used the exact method, but I have used olive oil as a skin moisturizer for years and love it.
Make skin scrubs out of sugar or salt. It’s surprisingly easy to make very good salt scrubs at home with sea salt, massage oil, and a little essential oil. These are great for home use and make lovely gifts.
Making your own toothpaste. It’s easy to make your own toothpaste. You can do it with just baking soda and water, or you can get a little fancier. Either way, it will totally get your teeth clean. Confession time: I did this for a year or so and then went back to using Tom’s of Maine. It was just too weird to switch away from the toothpaste I’d grown up with. For me, toothpaste turns out to be one of the products I prioritize spending on, as I’ll discuss below.
Make your own deodorant. Making your own deodorant is dead simple and it comes out great. Plus you can scent it any way you like. If mixing a few ingredients is too much for you, or if your skin is very sensitive, one commenter on the Instructables article linked above suggests getting a small spray bottle and filling it with apple cider vinegar to spritz under your arms.
Virtually any beauty product can be made simply and cheaply at home. Lip balm, soap, lotion, face masks, shampoo: A quick Google search will turn up DIY recipes for all your favorite stuff.
Doing it yourself isn’t always worthwhile. Some DIY approaches, like making your own soap, can be time-consuming and expensive. Sometimes you can’t easily replicate the quality you’d get from a commercial product. But often a DIY solution is fast, cheap, and easy. It’s usually worth considering.
Prioritize Your Personal-Care Spending
Once you’ve minimized your beauty routines to the really worthwhile stuff, you’ll probably find you have a few luxuries you’re loath to part with. I have a dear friend who cuts her own hair, makes her own shampoo and deodorant, and never wears make-up. She splurges on $75 French moisturizer for her face, though. Nothing else works as well on her delicate skin. Since this is her one personal care luxury, she feels good about paying for the product she really loves.
You may find that homemade skin cream, or cheap stuff from the drugstore, suits you just fine, but you’re unwilling to part with your Aveda hair product or your monthly visits to your stylist. Great. This isn’t an exercise in deprivation. It’s about examining your spending so you can prioritize paying for quality on the things you really want, while saving money on ones that are less important to you.
How have you saved money on your personal care routines? Tell us your favorite DIY beauty tricks in the comments.
Inside: Trade and Travel is a legitimate investing course to learn how to make money in the stock market. See my personal view as a student.
I have been in the personal finance industry for a long time and have watched gurus with CFP and many more designations struggle to make money consistently in the stock market.
There are many concepts on how to trade the stock market.
Teri’s IWT system works.
It’s legit.
I’m a part of her investing course. I have seen the results. $1000 a day club in my LIVE account. Yes.
So, you get to read my Invest with Teri review first.
Teri is able to break down investing into the stock market like no one else I have seen.
You can read a book or blog and find many different concepts that work for them. Then, walk away with your head spinning and quit on the idea of trading and lose a bunch of money along the way. This is why most people leave it to professionals (which is a mistake with that pesky 1% asset management fee).
The Invest with Teri Method is a 7 Step Process that simplifies how to invest in the stock market.
She goes into detail on each of the seven steps to make sure you pick the right companies, limit your risk, know when to buy, and when to take profit.
Plus you have access to a private Facebook group and countless hours of coaching calls to really understand the IWT method.
This is how I am choosing to finance the life I want.
Okay, now that we got that out of the way… let’s dig into the details of the Invest with Teri review and learn how to travel and travel.
This is what you want? Right?
Make more money and have more time freedom.
Enough sitting on the sidelines… read this IWT review and then sign up today.
Honestly, if you have any money in the stock market, you need to take this course to understand the fundamentals.
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 Are Online Stock Trading Classes?
If you’re interested in taking stock trading classes, there are a few things to consider before jumping into the world of investing. Stock trading is an investment that can be profitable if done correctly and is a way to grow your money.
Stock trading courses are a great way for newcomers to learn about the stock market. Also, courses are fantastic for those who want to refine their investing skills or maybe stop the bleed of money from trying on their own.
The Invest with Teri Ijeoma course provides a more structured learning path and can help you avoid some of the common mistakes made by novice traders.
In order to get the most out of a stock trading course, it is important to find one that matches your individual needs and goals. Plus one that can offer support and guidance because learning to trade is a learning curve.
Who Should Take Stock Trading Classes?
It is possible to learn the ins and outs of stock trading on your own without taking any classes.
However, for those who want a more structured learning experience, or for those who want to have access to a community of traders, stock trading classes can be a great option.
Taking stock trading classes can be a great idea for people who are interested in getting into the industry. The stock market is one of the most popular industries to get involved with, so it is likely that you’ll want to pursue a side hustle that may lead to a career in this field.
There are many different types of stock trading classes available, so it is important to do your research and find the one that best suits your needs.
Even if you are an index fund investor doing it on your own, this investing class is great knowledge to understand how the market works beyond “I hope it keeps going up.”
Must Read: How To Invest In Stocks For Beginners: Investing Made Easy
Trade and Travel 2.0
Right now, Teri and the rest of her coaches are doing a MAJOR overhaul on the signature course.
Her design team is currently working really hard to create an updated look and feel so you can experience Trade and Travel even better than before.
However, there will be changes – some we know about and some we don’t.
What we Know Today:
A significant Price increase happened (like double to $10k)
Shorting and gaps will be included in the main Trade and Travel course.
Limited time support on coaching calls. (However, a subscription model for additional coaching will be available.)
What You’ll Learn in the Trade and Travel 1.0 Course
The Trade and Travel course is an online course that will teach you everything you need to know about the world of trading, and more!
First of all, Invest with Teri along with Trade and Travel are used interchangeably. They are both the same AMAZING course that will teach you to make money in the stock market.
You will learn the Teri Ijeoma trading strategy.
The Invest with Teri 1.0 course is divided into two sections:
Travel & Travel – This is the basic course to understand fundamentals and to learn how to make money as the stock market goes up.
VIP Program – This is an advanced course that covers shorting, gaps, and options.
The great news… you can start with the basic Trade & Travel program and upgrade to VIP at a later date.
If any of this sounds foreign to you, Teri is one of the best teachers I have ever met. She breaks break down investing in the stock market like no one else I have seen. She is able to take difficult concepts and make them easy.
Simply put, Teri offers a course that teaches you everything you need to know about investing.
Later, in this Invest with Teri review, I will detail the difference between the two courses and what you will learn.
Teri’s Purpose of Trade and Travel – Financial Independence
The purpose of the course is to help students learn how to generate wealth.
Students can use the extra income earned from the course to supplement their income, pay off debt, or save so they can solidify their financial independence.
There is no doubt that in order to achieve financial independence, you need to invest in yourself. This means learning new skills, working on your mindset, and making smart choices with your money.
With a positive attitude and a determined spirit, anything is possible!
Want to Learn More about Investing?
How do you trade with Teri?
The privilege to have one-on-one coaching with Teri herself is very rare. However, she is known to offer group mastermind sessions for her VIP students.
So, in order to trade with Teri, you must enroll in the full $5000 course and wait for the next opportunity to trade with her.
Trade And Travel Program
The Trade and Travel program is the fundamental part of the investing course. This section will teach you the basics of the stock market and how to make money on the way up.
Teri’s trading strategies focus on risk management and she has seen many of her students achieve success with trading.
To be upfront in this Trade and Travel review, you will learn:
Learn how to pick stocks
Understand how the stock market works and how you can make money off it
Recognize why risk management is the most important aspect of trading
Understanding how to read charts
Learn the best places to buy and sell a stock could be
Be able to tell the story of the candles
Understand if your stock trade has a strong likelihood of being profitable
Determine how many stocks to buy based on your risk tolerance
How to place a trade at your brokerage
Manage your trade and exit based on your trading plan
That is a highlight of what you will learn in the basic Trade and Travel program.
Trade And Travel VIP Investor Program
The VIP program is the advanced piece of the course once you learn the fundamentals of the Trade and Travel program.
For those looking to upgrade to the VIP program, you will learn:
Make money when the market goes down.
How does shorting the stock work
When to look for gaps and what they mean
What is globex?
Options! This is everyone’s favorite part of the course!
Understand how to make money with option contracts
Risk management with options
Plus so much more!
Plus you can rewatch all of the curriculum and coaching calls over and over until you get it. That aha moment!
Both Travel & Travel and VIP offer live zoom training each week. Plus there is a vault of recording coaching calls to review.
Supportive Trading Community
Teri has built a supportive trading community of fellow students who have gone through the course.
Each trade cuzzin offers encouragement, advice, moral support, and feedback to each other.
This supportive community can help people overcome their anxiety and doubts when trading and investing.
You can find this supportive community on Facebook groups, Telegram groups, Clubhouse clubs, local meetups in your city, and people have connected to create a mastermind group. Honestly, there are plenty of people available to make sure you are successful on your journey.
Don’t forget… There are weekly live calls and chart parties.
This is how many people have turned 10k into 100k.
My Personal Trade and Travel Reviews
This is one of the best educations I have received.
My biggest regret is that I did not enroll in the course sooner (same as the time before I upgraded to VIP).
In all honesty, this course is a better education than spending hundreds of thousands on a college degree.
Personally, I meet Teri during FINCON, a huge conference for personal finance content creators and brands.
I loved how Teri spoke during her presentation and quickly reached out to learn more about her Invest with Teri course. Also, I was intrigued by the $1000 in a day club.
As always, I investigate every single company or platform that I recommend.
Obviously, this course has an eye-shocking price tag when you first see it. However, once you start earning your money back, you quickly realize how undervalued her course is.
As I always tell my readers… if I wouldn’t put my time, energy, or money on the line, then I am not going to tell you about it. I will only recommend products, services, and courses only that I truly know that work.
My View as a Trade and Travel Student
After a few months of debate if I could afford to spend the money on this investment course…
I became a Trade and Travel student in February 2021.
As outlined above, the course is jam-packed with information. I thought with my background in personal finance I would have a leg up over the others. However, I quickly learned that I need to view the stock market from Teri’s point of view and put blinders on to others’ opinions or styles of trading.
There are a ton of ways to make money in the stock market. This is one of them.
You can google and probably find many more investment courses and rabbit holes to follow. Investing is one of the most popular Reddit Personal finance topics. People want to learn to trade and most are looking to be fed information.
You have heard that saying, “teach a man to fish and he will never go hungry.”
The same holds true for completing this course, “Teach a trader to make money and you will be more profitable than your dreams.”
The best thing about life is you get to decide what you want to do, spend your time, and budget your money. Investing in this course is a big pill to swallow and I get it. However, I would not be so adamant about telling others about this course since I see a path for people to stop the stress with money.
I am successful with trading. Now, it is your turn to become successful.
This is by far the best investing course I have ever seen. 1000% recommended by me personally.
$1,000 In A Day Club
Here is proof. I made the $1k club in my live account and $10K in SIM.
I am a part of the trading community.
What exactly is the $1000 in a day club?
This exclusive club is for those traders who have made over $1k in a day.
Many IWT traders have received this plaque and part of this $1000 in a day club.
If you want to invest money and make $1000 a day this is how to start.
This is how I am choosing to finance the life I want.
Get one step closer to reaching your dreams and financing your life!
How Long Does It Take to Learn to Trade Stocks?
The time it takes to learn how to trade stocks depends on your personal learning style.
It typically takes 2 to 3 years to learn how to trade stocks.
By taking an in-depth course, you can shorten your learning curve.
Teri’s Approach to Learning to Trade Stocks
More importantly, the results you see trading stocks will depend on the effort put in to learn the curriculum, manage the trade, minimize your risk, and prepare your mindset.
Teri’s goal for her student is to earn 1% of our capital consistently.
This is not a get-rich-quick scheme. You have to put in the hard work to reap the benefits (aka profit).
For example, some people learn better by reading and others prefer watching videos. Some people may find that they learn best by following an instructor in a live trading room.
Who is Teri Ijeoma?
How many years of trading experience does Teri have?
Teri Ijeoma has over 10 years of trading experience.
Once she left her job as an elementary school assistant principal, she took off to travel the world. Those around her started asking questions and she taught her first group of students in Thailand.
Teri enjoys enlightening people on investing strategies and is passionate about building wealth.
Combining her trading experience with her teacher background, Teri is a talented educator in the investing world.
Teri has been featured on Forbes, NBC, CBS, ABC, Black Enterprise, Yahoo Finance, Business Insider, Fox News, Comcast – just to name a few!
She thrives by teaching others how to invest, so they can afford the life of their dreams.
Teri has made significant amounts of money through trading and is motivated by helping others achieve success.
Check out Teri discussing her $1,000,000 in a day profit. Yes, one million dollars in a day!
I’m scared to lose my real money trading. Can I still take the course?
Don’t want to risk your money, but are curious?
You can practice in a simulated account before you move to real money. Then, you can make mistakes. Learn from those mistakes. Understand how the stock market moves. Make wins.
The bottom line you can make real money in the stock market. You just have to be armed with knowledge and a trading system that works.
That is why most people lose money in the stock market! They don’t understand how the stock market works. They have poor risk management strategies and tend to select the wrong companies to trade with.
In the Trade and Travel course, you will walk away with so much investment knowledge and support from other people in the course to be successful.
Afraid to trade individual stocks? Teri’s process works with ETFs too!
Is Invest with Teri Reviews Reddit? Is this a scam?
As with any popular r/personalfinance thread, this is one that comes up often…is Invest with Teri legit?
There is a lot of mixed information on the web when it comes to Invest with Teri.
Some people have had great experiences and made a lot of money, while others have had negative experiences and lost money.
Since I have been forthcoming that I am a student of her course, I would recommend active trading as a way to supplement your income.
However, you must be willing to put in the time and effort to see the results.
And honestly, that is where most people give up because you must put in the effort.
At Invest With Teri, they believe anyone can learn how to invest and generate income through investment. They offer a variety of courses on how to invest, as well as a community of support to help you get started.
Their program has helped people from all backgrounds achieve their financial goals.
Did this Trade and Travel Review Convince You?
Teri Ijeoma is a millionaire trader and coach who shares her tips and tricks for success.
Trading is a skill that can be learned, and with the right education, anyone can do it successfully.
Trading is not a get-rich-quick scheme – it takes time and effort to learn.
Don’t waste your time or money on being a self-taught trader. Take a course from an expert.
I am part of this trading community and so excited to be a trade cuz!
Start building another income stream for yourself.
Invest with Teri Ijeoma teaches you how to make a lot more money than you currently are. Very possibly, trading can help you replace your current income or even exceed it
To be successful, you need to invest in this investing course, develop a solid trading plan and stick to it.
Get one step closer to reaching your dreams and financing your life!
Be the first to know when Teri releases a coupon code for her Invest with Teri course.
Do you have an Invest with Teri Coupon?
It is VERY rare that Teri puts out a coupon code.
However, if she does, I always notify my email list who have been on the fence about enrolling.
Typically, these coupon codes are valid for a limited time only.
Trade and Travel FAQs
Obviously, you are doing your due diligence before enrolling in this course, which I completely understand. I did too! I spent a lot of time researching prior to enrolling in this course.
Here are answers to the most asked questions about Invest with Teri, Trade and Travel, VIP program, as well as Teri Ijeoma.
Is the Trade and Travel course for new investors?
Yes, the Trade and Travel course is for both new investors and experienced investors.
Honestly, you are more likely to lose money in the stock market by trading on your own rather than spending money on the best investing course available.
The course is designed for everyone, regardless of experience level.
There are different courses available within the program for more advanced students (like shorting and options).
How long does the program take to complete?
You can complete the course within a weekend if you binged watch everything.
However, it takes 8 weeks to thoroughly go through the curriculum.
The main Trade and Travel course is broken down into sections, and modules include videos, tutorials, pdf worksheets, quizzes, and more.
The course instructor, Teri Ijeoma, estimates that it will take 8 weeks to complete the online course material before you begin trading.
In addition, there are plenty of coaching calls, which are filled with gems of information that you can watch.
This investing course is much like obtaining a college degree. The more you study, the better results you will have.
What will I learn in Invest with Teri course?
You will learn how to trade stocks and options based on her Invest with Teri method.
This is a solid, effective investing strategy.
Learning how to effectively trade stocks and make 1% consistently is the goal. This is higher than the market returns on any given day.
How much does Teri ijeoma course cost?
The cost of the Trade and Travel 2.0 course is $10000.
In addition, there is a payment plan available that allows you to pay in installments which is a great option without interest or hidden fees.
Honestly, this investing course is undervalued given the amount of knowledge you will gain.
Is there a payment plan?
Yes, there is a payment plan.
This is a great way to invest in the program with an affordable payment plan based on what you can pay today.
Right now, you can start the course with Payment Plans as LOW as $208/Month.
Can I purchase the Trade and Travel course and upgrade to the VIP program later?
Yes, you can always upgrade to VIP and pay the $2,500 difference. This is something you can do at any time.
I purchased the course to learn the basics and when I made money to pay for the VIP course I upgraded. Many students have done the same.
My gem of advice… eventually, you need to upgrade to VIP to fully understand the chart analysis as well as make money on the way down.
How much money do I need to start trading?
Many students start with $500.
This question is very difficult to answer because it depends on your personal finance situation and the type of trading you want to do.
The best advice is to start small and grow your account.
Trading stocks and options come with risk as such you must recognize that it is possible to lose all of your trading money.
Personally, I recommend starting with the amount you are comfortable losing. For me, I started with $3000.
Again, you do not need a lot of money to start trading. Check out this interview with Chris Calvin (aka Trade with Coach). He started with $500 and quickly grew it to 5 figures!
What trading platform does Teri Ijeoma use?
In her Trade and Travel course, she reveals which brokerages she has used in the past.
Right now, she is known to use Tradestation.
Recently, in her 5 Day Take the Trade Live Challenge, she set up a brokerage account with TD Ameritrade.
Do I have to attend coaching calls live?
You don’t have to attend coaching calls live. Also, all of the live trainings are recorded except the weekly Trade and Travel Q&A.
By attending a live coaching call, you have the opportunity to ask questions and get help from the instructor.
You can access the class recordings at your convenience once the coaching call is uploaded.
Personally, I attend the VIP coaching calls live to get the best out of the experience.
Remember, if you miss a class, you can always watch the recording later. You will have lifetime access to the coaching call recordings.
How long do you have access to the curriculum?
LIFETIME ACCESS!
You will have lifetime access to the curriculum.
That is pretty amazing to have these resources available forever.
You can review the curriculum as many times as you like.
Personally, I have gone back and reviewed many modules and coaching calls again (and again).
Is there a Facebook group? How long do you have access?
In fact, there are two Facebook groups for students that are run by the IWT coaching staff.
One Facebook group focuses on the general IWT method and the other is specific to VIP strategies.
In addition, there is a Trade and Travel sponsored Telegram group.
These Facebook groups are a great way to connect with other students and to learn from each other.
You have access to the group for as long as you are enrolled in the course.
What’s Teri’s Instagram handle?
First of all, there are so many fake accounts for Teri Ijeoma, Invest with Teri and the Trade and Travel Course.
Teri’s real account is @teriijeoma
Beware of imposters accounts and scams.
Can I share my course log-in information with others?
No, this is not allowed.
Each person should purchase the course separately.
The only exception is you can share with your spouse.
What is the refund policy?
According to their policy, refunds are not available for any of their courses. (You can read that here).
However, they do not want unhappy students or I don’t want unhappy trading cuz.
So, if you need additional assistance, reach out to their support team at [email protected] and one of the fabulous coaches will assist you.
Honestly, this makes 100% sense as a student. There is so much knowledge and information in the course that it is not surprising.
If you truly put in the time and effort, you will see success. You have to put in the work though.
Just a reminder… trading is a risky investment if you don’t know what you are doing. You can lose money in the stock market.
Know someone else that needs this, too? Then, please share!!
Okay – your flight’s booked, you’ve requested time off from work, and your family knows you’re going. The bare essentials for going on your trip are done.
Even so, you have this nagging feeling like there’s some more… adulting to do before you leave.
Indeed, there are definitely a few additional steps you’ll want to take before your big trip to ensure your personal finances stay taught and tidy while you’re adventuring abroad.
(P.S. I traveled to 41 countries in my 20s, so please enjoy learning from my mistakes!)
What’s Ahead:
1. Let your bank and credit card company know that you’re traveling
Setting a “travel notice” with your bank is a quick win and can be done in a single phone call. Some banks will even let you do it from your online dashboard.
When you set a travel notice, you’re essentially telling your bank: “hey, I’ll be in Bolivia in August – so if you see a charge from a hostel in La Paz, that’s not fraud – that’s just me.”
Without a travel notice, your bank will typically block your account until they hear confirmation that it’s just you. This could leave you in a sticky situation – you may be unable to withdraw cash, buy food, or check into your accommodations until you call your bank.
So, be sure to set a travel notice so your bank doesn’t flip out when you try to buy your first cuñape.
2. Download banking and payment apps
After visiting 41 countries, I’ve learned one universal truth about group travel: money changes hands between you like the trading floor of the New York Stock Exchange.
Restaurant tabs and outdoor market negotiations quickly devolve into a humbling frenzy of open wallets, wads of cash, and grown adults counting on their fingers.
“Oh, shoot – can anyone spot me twenty Euros?”
“I’ve got plenty of pesos if anyone needs any.”
“Does anyone have an extra 5,000 Yen for the tip?”
At the end of the day, sipping Sopporo at the hostel, you’ll need to settle your tab with your cohorts – and that’s when having your banking and payment apps pre-installed is a godsend. Not only do Zelle and PayPal automatically convert to the recipient’s currency, but they also save you a nighttime trip to the ATM – which can be expensive and dangerous.
Read more: Make Paying Easier With The 10 Best Payment Apps
3. Get a budgeting app to help you stay on track
In addition to a payment app, it’s helpful to have a budgeting app while you travel so you can stay on track with your financial goals.
On a more personal note, establishing a budget before your trip and sticking to it takes a ton of the stress and guilt out of travel. Take it from me, when you’re traveling on a budget, without a budget, every nonessential expense can come with a heaping side of guilt.
Another five euro beer in Bavaria? I probably shouldn’t.
This beautiful painting of Ha Long Bay that’s only $30? Ehhh…. not when I’m between jobs.
Not knowing how much you’re allowed to spend when you’re traveling can be a huge buzzkill. But conversely, once you set a budget, your mindset shifts and you feel much more confident and relaxed in your spending:
I can safely afford three craft beers tonight.
Even if I buy this beautiful painting, I’ll still have $220 left in my art budget!
So I passionately suggest establishing a budget before you head overseas – it’s low-key the #1 stress reliever before a big journey!
Read more:9 Best Budgeting Apps To Take Control Of Your Finances
4. See what travel perks and insurance you already get with your rewards card
Sure, 2% cash back rewards are great – but did you know that your credit card might also include up to $25,000 worth of trip insurance?
It’s a lesser-known perk of many rewards cards, but yes – many credit cards these days include travel-related insurance and coverage including:
Trip Delay Reimbursement. Delay coverage would reimburse you for extra expenses due to a delay, like hotels/meals after a canceled flight.
Trip Cancellation/Interruption. This is the big one; if you or even just someone in your family misses a trip due to sickness, a death in the family, severe weather, or even jury duty, your card could cover your trip for up to $25,000.
Baggage Delay.If your bag is delayed by at least 12 hours, your credit card company will actually reimburse you for typically around $150 of clothes and toiletries to get through the day.
Lost Luggage Reimbursement.If your bag never arrives, your card company could cover the replacement cost of your luggage plus contents, usually up to $500 or $1,000. You should know, however, that by law airlines are required to reimburse you for up to $3,500 for lost, damaged, or delayed luggage.
Travel and Emergency Assistance Services.Stuck in a foreign country with a canceled flight? It may not be your first impulse, but calling your card issuer can actually save the day. Many credit card companies have 24/7 travel concierges that can help you make emergency travel plans.
Emergency Evacuation and Transportation Coverage.Finally, and this one became more common during the pandemic, if you incur hotel/transportation costs during an emergency evacuation, your credit card may cover it.
Head online and read your credit card’s cardholder agreement, top to bottom. That’ll give you an idea of the perks included, which could save you tens of thousands of dollars under the right (unfortunate) circumstances.
5. Get traveler’s insurance
Whether or not your card includes some trip insurance, you’ll still want to consider plugging any sensitive gaps. Travel insurance is cheap, relieves a ton of stress, and some consider it to be essential.
There are three types of travel insurance:
Financial travel insurance covers your trip itself, and may already be covered by your credit card. It includes trip cancellation/interruption coverage, baggage delay reimbursement, and more.
Medical travel insurance covers you during your trip and includes your medical bills for emergency evacuation, basic healthcare, etc. Even if you’re traveling to a country with affordable out-of-pocket healthcare, the U.S. State Department reminds us that medical transportation costs can reach $100,000 alone.
Comprehensive travel insurance quite simply includes both Financial and Medical travel insurance.
I know, when you’re budgeting for a trip, purchasing $50 to $300 or so worth of insurance that you might not even use feels like a frustrating tax.
But think of it this way – even if you never end up using it, travel insurance still has a tangible benefit – every day, it removes stress from your trip. For a couple of hundred bucks, it prevents any interruption in your goal to achieve financial freedom.
6. Bring a travel rewards card
Depending on where you’re going and for how long, you might consider applying for a travel rewards card to bring with you.
Now, the credit card companies would have you believe that getting a new credit card is as simple and straightforward as ordering a burrito.
It’s not, and there are some hidden caveats/drawbacks for you to seriously consider before applying:
Credit card applications hurt your credit score. When you apply for a new credit card, the company will make a hard pull of your credit, causing an immediate drop of five to seven points.
Travel rewards cards typically require excellent credit. Because travel cards are “lifestyle cards” that encourage high spending, the card companies want to know that they can trust you to pay your bill when you’re back home. Therefore, they typically require a credit score of 750 or higher
The best travel cards charge an annual fee.The best travel cards almost always charge a $95 annual fee (or higher). Granted, they also tend to have generous signup bonuses ($500+) if you spend enough within your first three months.
The best time to get a travel rewards card is before you book your trip. That way, you can put your trip on your new card for extra cash back and to make progress on earning your signup bonus.
Aside from getting trip insurance, better cash back on travel expenses, and a signup bonus, the final perk to bring a travel rewards card is zero foreign transaction fees. Most non-travel cards will charge a 3% fee on every purchase you make overseas, making your cash back rewards null and void.
If you plan to go shopping abroad, a travel card (or at least one with no foreign transaction fees) is an excellent companion.
Read more: Best Travel Rewards Credit Cards
7. Turn on notifications for every single transaction
Circling back to my very first point, you definitely should still give your bank a travel notice so they don’t immediately freeze your account as soon as you try to make a purchase overseas.
That being said, I recommend you still set up alerts for every single transaction made on your card while you’re traveling.
What if you’re in Bolivia, but that charge at the hostel in La Paz wasn’t you? Now, the roles have reversed – your bank probably thinks it’s OK, but you obviously don’t.
That’s why it’s a good idea to have your bank ping a notification to your phone every time there’s a transaction on your account. Yes, you may get eleven pings a day, but I promise – it’s all worth it for that one ping that makes you go: hol’ up.
8. Prepare to use card lock
Let’s say you do get an alert for a fraudulent charge. Or maybe, you’ve simply lost your credit card and want to prevent any bad guys from using it.
What now? Do you call up Chase and cancel your card?
Hold the phone, because canceling a credit card could have seriously negative consequences on your personal finances. To start, every merchant you have on autopay will experience a missed payment, which could lead to a disruption in subscription services and even a dip in your credit score.
Plus, and I’m pulling from personal experience here, canceling a credit card abroad means that card is donezo. Six feet under. In most circumstances, your card issuer won’t be able to get you another physical card until you’re back home.
Besides, what if you find your card behind the hostel bar right after you cancel it?
That’s why card lock is such an essential feature for travelers. Card lock is a simple toggle in your banking app that lets you block any new transactions on your card. Pre-authorized transactions are allowed, but the bad guys won’t be able to charge anything new. They’ll probably assume you already canceled it and toss it in the trash.
Card lock is also a no-brainer if you’re searching for a lost card, or you do know where it is and just need a few hours to retrieve it.
9. Automate your bills
Speaking of pre-authorized transactions, another key step in ensuring a smooth trip (financially speaking) is to ensure that you won’t come home to any delinquent bills.
You’ll be glad you set up autopay for your rent, utilities, etc. if you haven’t already. It’s not just decidedly unfun to return from Bali to a pile of bills – it can also be expensive and hurt your credit score.
Some less patient merchants (notably utility providers) keep their fingers on the trigger, and as soon as you miss a payment they’ll ambush you with late fees and report your delinquent payment to the credit bureaus.
So, be sure that all of your bills, rent, etc. are set on autopay so you don’t get in trouble while you’re gone. And TBH, just keep everything on autopay so you don’t miss any payments in the future!
Read more:Automatic Payments Explained – Everything You Need To Know About AutoPay
10. Suspend your paid subscriptions
Conversely, if you’ll be gone for more than a month, you might even consider canceling some of your subscriptions until you’re back. This is a frugal life hack that I’ve used to save hundreds during my overseas adventures.
For example, you may want to consider canceling the following services (and more) if you won’t be using them while overseas:
Hulu.
Disney+.
Peloton.
HBO Max.
Spotify.
Netflix.
After all, these services let you reactivate on a whim, so you might as well suspend your subscription and save $20, $40, even $100 during each month you’re gone.
Not only is it effortless to re-subscribe – they’ll often give you promos for it (e.g. reactivate now to save 20% off your next three months).
Now, if it’s a subscription to a small business, like a local gym or a life coach, I’d encourage you to continue supporting them even while you’re overseas.
But Disney? They’ll be fine.
11. Remember to skip your meal deliveries
I’m giving this one its own header because it caused me a surprising amount of stress on my recent jaunt to the Bahamas.
While I was checking my email in Nassau, I got a notification that my Freshly box was out for delivery.
Oops.
Now, if it were just a regular package I could’ve rolled the dice and let it sit on my porch. If I were feeling paranoid, I probably could’ve gotten a pal to swing by within a few days and hide it.
But fresh meals? They had hours before they expired and I lost $100 worth of meal prep (and created tons of food waste).
For an undisclosed amount of bribery, I finally got my up-the-street neighbor to rescue my meals and keep them in her fridge for five days, but lesson learned – skip any fresh meal deliveries while you’re overseas.
12. Have a plan for your mail and packages
On a similar note, it pays (literally) to have your mail and packages taken care of while you’re gone.
If you go online, you can typically redirect UPS and FedEx packages for delivery to the nearest brick-and-mortar store for complimentary safe-keeping – even if the package is already in transit.
USPS offers a service called USPS Hold Mail® that, as the name subtly implies, will hold your mail at the nearest post office for up to 30 days. You can set it up online by creating a USPS account.
(Fun fact – you can also opt-out of junk mail for $2).
13. Freeze your credit report
This is a newer travel tip that some would consider extreme, while others consider it 100% necessary. I’ll let you be the judge.
Remember card lock, which prevents your credit card from being used? Well, there’s a more intense version of that where you can actually prevent your entire credit report from being used.
When you travel abroad and use your credit card in more places, the threat of identity theft naturally rises. Then, the usual first step in identity theft is that the bad guy will start applying for loans in your name.
At this stage, the lender sends a request to the credit bureaus to release your credit report, and when they see you have good credit, they give the bad guy whatever he wants.
But if you freeze your credit report, it stops the bad guy right in his tracks.
To freeze your credit report, you have to call up each of the three credit bureaus:
Equifax (1-800-349-9960).
TransUnion (1-888-909-8872).
Experian (1-888-397-3742).
They’ll ask you for a password to release it again – be sure to get it tattooed on your arm (or your friend’s arm) because you won’t want to lose it. Then, all you have to do is unfreeze it again when you apply for your next loan or line of credit.
14. Sublet your apartment
If your lease allows it, subletting your apartment while you’re gone could cover the cost of your trip!
When you sublet, you’re essentially letting a renter stay in your space while you’re gone. You’re effectively a landlord for a few weeks/months during your trip, and you’ll have to issue a lease of your own and collect rent.
You’ll likely want to collect a security deposit, too, to cover any potential theft or damages to your property.
Subletting makes the most sense if your renter is someone you trust – a friend, colleague, family member, etc. A total stranger might squat in your space, refuse to pay rent, and simply disappear before you return (with your stuff).
For that reason, subletting isn’t for everyone; but if you have a renter in mind and could get a lot for your space, it’s definitely worth investigating!
Read more: How to Sublet Your Apartment Safely
15. Make sure you don’t pay for data roaming
There’s a scene from An Idiot Abroad where Ricky Gervais knows Karl gets charged 70 pence every time he receives a text message in Egypt so he keeps texting him this:
Even if your data carrier says they include data roaming in your monthly bill, don’t believe them. T-Mobile claims they include unlimited data roaming and a “low rate ceiling” for global travelers, and yet felt justified charged a family $13,470.19 while they traveled – $1 per megabyte.
Here’s the crazy thing – the family’s phones were on airplane mode the entire time – but apparently, certain apps these days can shrug off airplane mode and vampire data regardless.
So, the key to avoiding roaming charges is to either:
Go into Airplane Mode Settings and ensure that Cellular Data is disabled.
Prepay for roaming data, if it’s essential.
Only then will you ensure that you never pay 70p for a text from Ricky Gervais again (actually, that might be worth it).
Read more: Should You Buy An International SIM Card For Your Next Trip?
16. Download a VPN
My final travel tip for safeguarding your finances is to download and start using a virtual private network, or VPN.
VPNs are essential travel tools because, among other things, they scramble your data while you browse the web. You’re going to be using a lot of public WiFi while you’re traveling, especially in airports, and that’s precisely when you’re the most vulnerable to having your data stolen (ID, bank passcodes, etc.)
Thankfully, even the cheapest VPN (~$3 a month) can protect you and ensure your sensitive financial data stays invisible.
Plus, VPNs can also help you circumvent national firewalls and download region-locked content. Want to download a movie only available on Netflix Canada? Want to visit Western social media while you’re in China? VPN.
Even if you’re unfamiliar with VPNs, they’re super easy to download and use – so be sure to pick one and tinker with it before you depart!
Summary
Money is a serious consideration for every big trip, but if you plan it well and implement a few key travel hacks, I guarantee you’ll have a less stressful (and more lucrative) adventure overseas.
Chances are life insurance can provide some kind of benefit to your life. At age 57 you most likely have different priorities than that of a person who is younger, but there is still a valid reason for having a quality insurance policy
When it comes to insurance, there are multiple factors that must be brought into consideration before deciding on a particular type of life insurance.
What Do you Need?
As a 57 year old you are hopefully either already retired or are close to retirement. Additionally, your family most likely isn’t as dependent on you as your children are (hopefully) out of the house. If you have fewer people, or nobody, dependent on your annual salary, you may think that you don’t need life insurance anymore, but this isn’t the only purpose for life insurance. Even if your kids have finally moved out of the basement, you still need protection for your family
Regardless, you probably still have liabilities and most likely still have the desire to provide for your family.
It provides the peace of mind that your family will be cared for in the event of some kind of misfortune.
What are the going rates of life insurance at age 57?
The rates that are quoted depend on a number of factors aside from your health. Most likely though if you are a non-smoker, you have a clean bill of health, you most likely will be eligible for a Preferred Plus rate.
Many life insurance providers will perform a medical exam as well as obtain a history of your medical records before offering final quote.
Sex
10 Year
20 Year
30 Year
Male
Protective – $46.26/month
SBLI – $80.91/month
Transamerica – $180.69/month
Female
Protective – $34.30/month
SBLI – $59.60/month
Transamerica – $126.88/month
At age 57 you hopefully have no medical ailments, but this most likely will not be the case forever. It is easy to fall in the mindset that you will always be healthy, but life happens, and it is not always in pleasant form.
Life insurance comes into play by offsetting these misfortunes and offering peace of mind.
What Type of Insurance Does a 57 Year Old Need?
When you’re over 50, your life insurance needs are very different. There are several kinds of plans still available to you, but not each of them is a good purchase.
In most cases, a term life insurance policy is going to be the best option, because they allow you to decide how much longer you’ll need coverage. There might be a time in the next 10 or 20 years where you no longer need life insurance, which is why term insurance is so handy.
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What is Term Life Insurance?
A cheap term life insurance policy is appealing for many ages, but particularly for someone at age 57. In addition to being affordable, it offers a large degree of protection against of number of different scenarios.
Unlike a traditional insurance agent, independent agents don’t just represent one single company, we represent dozens of the most highly rated insurance companies across the United States. Don’t waste time calling all of the companies yourself, we can bring all of the lowest quotes directly to you. Contact our agents or simply fill out the quote form with your information, and you can get the best rates from reputable companies.
Working with an independent agent isn’t the only way that you can get cheap term life insurance. There are several other things that you can do to keep some extra cash in your pocket.
The first is to improve your health and start using that dusty gym membership that you’ve had for years. Unless you choose a no medical exam policy, you’ll be required to complete a short health physical before you are accepted for coverage. The medical exam is going to impact how much you pay for coverage. Put simply, the better health you’re in, the less you pay for life insurance. If you want to save money, cut back on the junk food and start hitting the gym. Your doctor and bank account will both thank you.
Similarly, you’ll need to quit smoking or using chewing tobacco. Being listed as a smoker on your insurance application is going to cause your premiums to double automatically, regardless of how the rest of your health is. If you want to save as much money as possible on your coverage, you’ll need to kick the cigarettes. Smoking is one of the worst things that you can do for your insurance rates.
The last thing you should do is make sure that you’re getting the right amount of coverage. It’s a delicate balance trying to get the perfect amount of coverage, but if you purchase too much life insurance, you’ll be tossing away money. Sure, it’s better to have too much than too little, but it could also mean you’re spending way more on monthly premiums.
Bottom Line
If you are getting standard life insurance quotes over 50 then you will see some wide variance in the premium costs. The key is to work with an agent that knows the market and can shop for the best life insurance for your needs.
One of the worst things that you can do for your family is to not have life insurance. Your loved ones will be responsible for thousands and thousands of dollars of debt, and not have the money they need to pay those bills. It can make a difficult situation that much worse.