3 Financial Horror Stories (And How To Make Sure They Don’t Happen To You)
Freddy Kreuger, Sadako, or Chucky doesn’t seem so scary compared to the absolute horror of an empty bank account. Financial horror stories can be a real nightmare and as a financial planning firm, we’ve heard ‘em all. Here are 3 Financial Horror Stories to keep you up at night this Halloween season. We live to tell the tale to make sure that these kinds of horrors don’t happen to you.
We know how exciting it can be to get your first credit card. All it takes is just one swipe and you’ve got your hands on something new and shiny! But don’t confuse your credit card as “extra money” because it’s not. Rule of thumb: if you can’t pay for it in full when you get your credit card bill at the end of the month, then you shouldn’t use your credit card for it. In relation to that, make it a point to pay your credit card bill in full every single month to keep a good credit score. If you only pay the minimum amount due every month you will not only be charged with interest but you will also hurt your credit score. Always remember to spend within your means and when in doubt--choose debit over credit.
When it comes to money matters it’s always a good practice to exercise your due diligence. Don’t be too hasty, even if it’s urgent. It’s best to double-check everything before making any big transactions. If you encounter a similar situation to what Anna experienced on Facebook Messenger, contact your friend on another social media platform or better yet give them a call to verify if it’s really them messaging you.
There are so many ways scammers are trying to “budol” or trick people these days. Here are a few red flags you should look out for:
If you get a call from your bank or any other service provider and the number calling you is a regular 11 digit phone number, be wary. Banks will never ask for your OTP, CVV, and PIN via call, text, or email so never disclose any personal details unless you have verified that the caller is legit.
Phishing is a type of online scam where the victim receives an email that appears to be from a well-known organization like a bank for example. There are many ways to verify if an email is from a legit source or a scammer. First, check the email address. Banks or various service providers use professional emails. If the email address looks suspicious you have reasonable cause to believe that the email is from a scammer. Second, review the text. If the message is urgent like “Your account is suspended, immediate action is necessary!” don’t panic, this is a common tactic scammers use to fool people. Third, check if the text contains grammar and spelling errors. Banks and various service providers are very thorough when they construct messages for their clients, they would never send an email with grammar and spelling errors.
Health insurance is essential and this is especially true now during a global pandemic. Getting health insurance will ensure that your finances will be secure when an unexpected illness occurs. After all, It’s hard to focus on getting better when you’re worrying about your finances. To ensure that you’re fully covered when you’ve recovered we recommend that you have a health insurance plan, an HMO, and PhilHealth. If you want to learn more about health insurance in the Philippines, check out this blog post where we give a breakdown of each type of health insurance: Real Talk! It’s About Time You Get Health Insurance.
We know dealing with your finances can be scary at times but you don’t have to do it alone. Whether it’s dealing with credit card debt, recovering your finances from a scamming incident or getting the health insurance you need--you can count on Simply Finance to light the way and help you with your personal finances. We can provide you with a comprehensive Financial Plan that will not only help you through tough times but will also see you through financial success. We can also provide you with Simple Solutions and quickly connect you to a financial planner to answer your urgent questions.
