Show: The View with Barbara Walters, ABC New York
A series of questions about how you handle your money. If you were given $10,000 and had to use it in full for one of two things – your child’s education or your retirement savings, which would you choose? The answer should be that you’d save for your retirement. Your child can get loans for their continuing education but who will give you a loan for your retirement needs? Have you saved three months worth of living expenses? If not, you absolutely should so that in the event of an emergency such as a job layoff, you are able to pay at least three months of necessary living expenses. The money should be available in a liquid account that you can access if such circumstances arise. Do you lend money to your children? If you do, are you prepared for the ‘loan’ to become a ‘gift’? Be sure you teach the lesson that money is the cause of most family arguments, so if you do make such a loan, make it a business arrangement with repayment due date, interest charged and a signed agreement. Do you pay bills online? If not, learn how. It’s safe, fast and can be done from anywhere you happen to be as long as you can access your computer. Those who prefer walking in to a brick and mortar bank, just know that online banking is coming and soon will be pretty much your only option. Do you know your credit score? If not, go to www.freeannualreport.com (the only government mandated website for free credit reports and where you can pay to get your credit score which is a number assigned to your credit history that tells lenders what interest rate they should give you based on your (hopefully above 750 credit score, the number assigned to) credit history.