Los Angeles-Long Beach, CA (PRWEB) March 18, 2015
National Debt Relief recently shared in an article published March 5, 2015 some of the things consumers needs to know about their personal finance. The article, titled “5 Things You Absolutely Must Know About Your Personal Finances,” looks at some of the important financial areas people needs to be aware of.
The article points out that as much as some things are left unknown, there are a lot of situations in life where what people don’t know could actually kill them. That spider in the bathroom could actually be a venomous type that can send people in the hospital, or even that pothole could do some serious damage to the car’s axles.
The same concept applies to some financial areas in a person’s life. The article shares that mortgage details should be one of the areas in personal finance that people need to get a good handle of. In particular, the interest rate of the loan needs to be something homeowners understand fully.
It can either be a fixed or variable interest rate and each one has its own pros and cons. A fixed rate protects the homeowners from future increase in rate because they are locked in on the existing rate until they pay-off the loan. Variable rate offers lower interest but it could increase as the years go by.
The credit reports is another area of personal finance that consumers needs to be fully aware of. Apart from being the basis of their credit scores, monitoring their reports can help prevent identity theft. Once they see irregularities in their report like a charge amount that they never made, they can quickly dispute and let their lenders know about it,
Their credit score is also a very important part of their personal finance because this three-digit score characterizes their creditworthiness and how lenders will see them as borrowers. To read the full article, click this link: [http://www.nationaldebtrelief.com/5-things-you-absolutely-must-know-about-your-personal-finances/