6 Ways To Celebrate Financial Awareness Day
August 14 is National Financial Awareness Day, serving as a gentle reminder to schedule time with yourself or a financial coach to check on the health of your finances.
- Check your Credit Score
Your credit score is a measurement that is calculated by credit reporting agencies that lenders use to determine your creditworthiness and what loan rate you qualify for. It’s a good practice to know where your credit stands ahead of applying for a loan, purchasing a home, or even renting a home because typically, these are the times your credit score affects you.
To check your score, you can use a credit score service or check your monthly credit card statement (many major credit card companies list it for free).
Once you are in the habit of checking your score, you can start working to improve it. Knowing which factors affect your score may help you keep it where you need it.
- Check your Credit Reports
Checking your credit score is valuable, and pairing that with checking your credit reports is even better! Your credit reports are developed by credit reporting agencies and they gather information about your credit history, activity, account balances, foreclosures, etc.
Think of your credit report as the story behind your score. It is important to verify the information is accurate on a regular basis. Ensure there are no inquiries regarding credit that you didn't apply for, no unfamiliar loans on the report, and all the payments or missed payments are reported accurately.
You can get a free copy of your credit report from the three nationwide credit reporting agencies every year.
- Improve your Financial Literacy
There’s always something to learn and benefit from when it comes to your finances. Pick a topic that interests you and perhaps will help you achieve your financial goals in the coming year (like learning how to improve your credit score). A great place to start is our financial resource page, which we've partnered with Balance1 to offer free financial education, webinars, tools, worksheets, and more.
- Talk to Someone
Make an appointment to speak with someone who can guide you through your finances, like a Financial Coach. They can help you in the short term or long term; whether you want to learn how to have healthier money habits or develop a personalized budget to reach a financial goal, their guidance can help you understand your finances and how to use the tools available to you. If you want more specific guidance, like investments or retirement planning, speaking with a Financial Consultant specializing in investing may be helpful.
- Review your Spending
Financial Awareness Day is also a great time to simply review your spending habits and cut out some of those small unnecessary items that may add up. Many online banking platforms offer tools to help you budget and see your spending from a bird’s-eye or detailed view. Our in digital banking helps you stay on top of your spending habits and adjust in real-time to reach your goals.
- Set your Savings Goals
Take this time to set a short-term savings goal for the end-of-the-year expenses or a long-term goal for the next Financial Awareness Day. And, if you already set goals at the beginning of the year, now is an excellent time to check in on them and adjust your strategy if you aren’t where you need to be.
However you choose to spend August 14, let it be a little nudge to make time to get to know your finances, where they stand, and how to improve them.
1 Balance is a third-party non-profit organization that Arrowhead Credit Union has partnered with to provide financial counseling and education services to members.