a home with a large yard

How to Manage Your Budget for Home Maintenance

Purchasing a home is a big investment that needs to be executed well and carefully. However, unlike any other types of investment, it requires homeowners to continuously pay for home maintenance projects. Unforeseen damages and disasters are also the reasons why budgeting monthly expenses for maintenance is vital. Of course, the presence of service companies around can be such a big help. However, their presence will be useless if you fail to manage your monthly budget well.

This article discusses several things you need to know about managing your finance well for home maintenance projects. You may not be using the money every month, but just like what a wise man says, it is better to start doing it now than having to regret your poor life choices later. If you are currently having similar issues related to your home and financial state, below are several tips you can follow.

The One-Percent Rule

As a big investment, you need to do something to ensure that everything is going well, including your home maintenance and repair costs. Experts suggest that you keep at least one percent of the total house price when you bought it for care and repair purposes just in case something unexpected happens. Even if nothing happens until three months after the purchase, you still need to keep the money for the next care routine, such as plumbing, sewer, and roofing. In short, it is a kind of financial planning that you need to plan ahead of time, even before you buy the house. This way, you can prevent bad things from happening, including having no cash to cover the expenses.

Automatic Transfer

Another way is to set up an automatic transfer to another bank account for maintenance purpose. For this method, you will need another bank account. This way is especially effective for those people who find it hard to spare money at the end of the month. Thus, the best way to do it is to automatically take the money right after payday. Note that the money collected will not be used every month. However, it will be a valuable source of budget whenever you need to make several home improvements.

Budget Allocation

The last thing you can do if none of the above methods work for you is to cut down on other expenses and start saving for home maintenance. It sounds extreme, indeed, but it is a better option rather than having to postpone the projects and wait until you have collected enough money.


Improving Your Credit Score after Bankruptcy

Becoming bankrupt does not mean that it is the end of the world for you. There are several things you can do to redeem yourself after filing bankruptcy. Most entrepreneurs take bankruptcy as a chance to commence a new and brighter financial future. In essence, filing bankruptcy is necessarily the first step to re-establishing a good credit score. You should apprehend that you cannot move if you file bankruptcy and relax. You have to work for everything to regain back your credit score. Improving your credit score after bankruptcy is something that requires devotion and time. However, it can still be done within a short time if you only give it more attention. You should also understand that your credit score after going bankrupt is based on the data collected in a given period of months or years. Honestly, a month or half a year cannot be enough to improve your credit score. It can somehow improve the score by a small margin which may not get you better credit terms. Therefore, you require at least one year of data will to regain your previous financial situation. Continue reading the guide below to learn more on how to improve your credit score after bankruptcy.

Paying Obligations on Time

bill paymentThe first step towards improving your credit score after bankruptcy is paying your current obligation within the stipulated period. The state of bankruptcy does not necessarily remove all the debts.

Some of the loans like the secured ones do survive throughout the bankruptcy period since your lender is entitled to a value of the collateral. Such financial situations are called reaffirmations. Reaffirmations can survive through bankruptcy with the same terms being forwarded. Therefore, you need to keep settling your obligations in time to improve your credit score after bankruptcy.

Realistic Budget

Creating a realistic budget can help you to stay always on top of all your finances. Creating a budget also allows you to develop financial discipline which is a virtue that lacks in most people. Before you filed for bankruptcy, you probably read through pre-discharge credit counseling. The pre-discharge credit counseling is necessary because you give an account on your budgeting. If you are not able to come up with a proper budget plan, you can seek help from a nonprofit credit counseling agency that offers free necessary consumer guidance on budgeting.

Regular Credit Report Checks

Make sure you develop the habit of checking your credit reports daily if possible. Regular credit report checks allow you to identify errors and rectify them before it is too late. When you have errors on your credits reports, it affects your credit scores.

Secured Credit Card

Finally, after completing the filing of a bankruptcy, you should get a secured credit card. To achieve this, you are required to have a credit account for a strategic improvement of your score. Most creditors offer secured cards to hasten the credit scores for the high-risk borrowers. To have a secured credit card, you need to apply online. You can follow the guidelines of the lender to improve your credit scores.

insurance claim

Essential Tips for Filing an Insurance Claim

You will find yourself filling an insurance claim at one point in life. Insurance protection is usually inexpensive, and that is why it is a popular choice for protecting your valuables. A few things should be part of the essential knowledge you have when you are going about the insurance business. Knowing what to do in different circumstances saves you not only time but also increase your levels of satisfaction. The following are tips for filing an insurance claim.

Essential Tips for Filing an Insurance Claim

You should be talking to the insurance company as soon as you are in a risk event causing you to need your insurance compensation. The actual event will depend on the type of insurance you procured. Nevertheless, the urgency of the need to contact the insurer applies to all claim situations. There are several benefits of contacting your insurance company first. You will still remember details of the incidents and will be in a position to give an accurate account. It will be demonstrating your sincere intentions, and it will help to improve the validity of your claim.

File a Report with Authorities

In most states, you need to make a formal report with the police after an incident. The insurance company will depend on this report before agreeing to the claim. Therefore, make sure after contacting your insurance, you also get the police abstract. In most incidences, the police will show up at the scene especially if it is an accident. Some cases such as theft or malice may require you to report the incidence to the police by going to their station.

money claim

Obtain Evidence of the Incident and Your Innocence

Your success when making a claim depends on your capability to confirm your innocence. If you face limitations, then it is unlikely for an insurance company to trust your word. The insurer is in the business of minimizing compensations paid every month and any small missing details on your part will give the insurance company a reason to consider declining your claim. Therefore, be careful with any information you collect from the scene. Photos and CCTV footage are some of the useful data you can use to aid your claim.

Have a Personal Written Account

You will face various demands from your friends and the authorities. The accident might also cause you to mix your priorities. In case of personal injury, the need for getting medical attention could come before you can do anything else. Your written account helps you remember the facts as they happened. It also ensures that you are not mixing your point of view. Writing is also possible even as you attend other things such as while you wait for the police report or when you are receiving medical attention.

Avoiding Committing to Anything

Do not sign anything that might void your right to make a claim. Only provide your account of the events. If you have to sign for consent, and it should be for medical procedures on your part in case the incident led to personal injury.