Stay Off the Chex

July 15, 2014

I’m not warning you away from cereal, but from ChexSystems – a consumer reporting database used by 80% of financial institutions that determines whether you will be able to open a checking or savings account with a bank or credit union.  Any past banking issues within the last 5 years can appear on the report, including overdrafts, unsatisfied negative balances, fraudulent check deposits, or suspicious account activity. Unfortunately, low income individuals who are more susceptible to overdrawing their accounts are often barred from the traditional banking system and forced to use high cost check cashing options or pre-paid debit cards.  Continue reading “Stay Off the Chex”

The Rise of Banking Alternatives

September 06, 2013

One of the trends that I’ve seen with people who don’t have a great credit score and who have experienced some financial setbacks is that banks don’t really want to do business with them and it’s hard for some people to open accounts at major financial institutions.  One of the beautiful things about capitalism is that when there is an unmet need, enterprising business people step in and create a service to meet that need. For this growing area, an unlikely business has stepped in to meet this need…pawn shops!  Yes, that’s right. Pawn shops! Continue reading “The Rise of Banking Alternatives”

What’s the Point of Carrying a Prepaid Debit Card?

April 15, 2013

I’m a big basketball fan, so I’ve been pretty much glued to my TV the last few weeks watching the NCAA Basketball Tournament. And while I love the tournament, the only downside to catching the excitement live are all the commercials. And I have seen a ton of commercials over the last month. Continue reading “What’s the Point of Carrying a Prepaid Debit Card?”

Which of Your Actions Fail the “Piggy Bank Test?”

January 25, 2013
The other day I was looking through some boxes that I hadn’t opened in a few years and I found an old piggy bank that I had from very long ago.  I opened it and there was about $30, all in dimes, inside the piggy bank.  I vaguely recall being a fan of dimes a long time ago.  They are our smallest coins and “pound for pound” give the highest value /size ratio in the world of U.S. coins.  I started to think about the logic behind piggy banks and a few things hit me. Continue reading “Which of Your Actions Fail the “Piggy Bank Test?””

Financial Lessons From a Six Year Old

August 15, 2012

Today’s blog post is the last in a series of posts sharing the results of interviews I’ve conducted with my four children on the topic of money.  As you may recall, my oldest, Rachel (14), is a saver, and looks at money as something to be used for necessities.  David (12) is my value hunter, and prefers to buy things that have a lasting quality.  Ethan (9) is more of a spender, willing to use any money he has to buy things he wants right now.  Bringing up the rear is Jacob. Continue reading “Financial Lessons From a Six Year Old”