Personal Finance 101

Student Loan Repayment Plan

Jonelle selects a 20-year term plan with downsides like no grace period, high initial payments, limited credit access, and higher interest compared to the Standard plan.

Debit vs

Debit cards deduct from checking accounts, while credit cards involve borrowing from the credit company.

Best Account for Saving $1000

Certificate of deposit for high interest and long-term saving without immediate need for funds.

Tax Filing Requirement

Neil, who earned $13,200 from his paid internship, is required to file taxes.

Effective Saving Strategy

Setting up a direct deposit of $75 from each paycheck into savings to reach a $3000 emergency fund goal.

Payment Method Impact on Checking Account

Using a debit card and selecting "Credit" reduces the checking account balance.

Saving vs

Yvonne saving $750 monthly in a savings account earning 1% interest is saving, not investing.

Paying Least Interest on Credit Card

Jasmine, who pays off the $1500 credit card balance in full.

Budgeting Net Pay

A budget surplus of $800 is the end result after accounting for expenses.

Submitting W-4 Form

The W-4 form should be submitted to the employer.

Benefits of Mobile Banking

Mobile banking allows convenient check deposits and often waives fees.

Credit Score Impact

The types of items you're buying using credit do not impact your credit score.

Gross Pay vs

Gross pay is the total earned, while net pay is the amount after deductions.

Debt Payment Strategy

Hudson should pay down the credit card with a 19.7% interest rate to minimize interest.

401(k) vs

A 401(k) uses pre-tax money, while a Roth IRA uses post-tax money.

Loan Application Advice

Choose a longer repayment term if small monthly payments are affordable, knowing more interest will be paid.

Overdraft Protection Advice

Frank's advice on overdraft protection for emergencies is most accurate.

Importance of Early Retirement Investing

Starting early allows money more time to grow.

Tax Filing for Part-Time Work

Gordon needs to file his taxes for the part-time work done from June to December by the tax deadline.

Credit Card Interest and Payments

Credit card interest accrues on the remaining balance after the payment due date.

Avoiding Bank Fees Tips

Tips include monitoring account balances, avoiding overdrafts, and choosing fee-free ATMs.