Program: Online Advising Sessions

Students in Jenny's position should:

• Compare Different Study Abroad Programs
  Visit the International Studies office to learn about potential study abroad programs. International Affairs has weekly sessions and informational fairs. Have a clear idea of all the expected expenses and payment due dates for each program.
• Figure Out How to Pay
  When deciding how to pay for study abroad, the first step is to find out if you can use any of the aid you have already received. Generally, you can use financial aid for study abroad. In order for aid to transfer, there are certain requirements: the program must be approved for credit, your coursework must advance towards your degree, your course load has to be at least half-time, and you must meet the standard eligibility requirements for financial aid.
• Create a Personal Budget or Cash Flow Plan
  This will help you get a clear idea of your current financial picture and decide if your financial situation warrants a study abroad trip.
• Set Your Study Abroad Financial Goal
  Decide how much money you will need to start saving per month and add that financial goal to your budget. Deciding on your study abroad goal is an important first step. To make progress toward achieving goals, it's helpful to turn them into SMART goals. SMART goals are: Specific, Measurable, Attainable, Realistic, and Time-bound. Setting SMART goals will give you a plan with a sequence of achievable small steps that will lead to you reaching your ultimate goals.
• Look at Your Longer-Term Financial Picture
  Define your financial goals for the next couple of years, such as graduating debt-free, to help you determine if the cost of your study abroad trip will hinder you from reaching the financial goals that are most important to you. You should begin to gather information now so you can gradually begin to form some safe assumptions and develop realistic numbers for your medium-term and long-term goals. For example, you need to know how much your monthly student loan payments will be after you graduate.
• Be Careful About Going Into Debt
  If you are going to have to go into debt by using student loans, personal loans or credit cards to fund your study abroad experience, you need to decide if the study abroad experience will give you a good return on investment - according to your own terms - such as your experience will change your outlook on the world, will help you further your personal development, etc.
• Be Smart About Personal Loans
  If you do have to take out personal loans for your study abroad experience, generally you should look for a loan with a low interest rate and repayment terms that work for you. Then you should add your monthly payment to your budget.
• Be Smart Choosing a Credit Card
  If you do decide to get a credit card to use for some of the expense of your trip, generally you should look for a credit card with a low APR and no annual fee. Most important, you should set limits for credit card use, such as only using your credit card to pay for certain expenses, and make sure you have the self-discipline to avoid wavering from that point of view. Next, you should know that it is important to pay monthly credit card balances in full. This will save you money and is a way of building your credit score - which is a numerical value that creditors use to determine if you will be someone who will pay back the money they borrow.
• Read Your Credit Card Contract
  You should also know all the terms of use for your credit card. Know if there are fees like a membership fee, transaction fees and other charges, like if you use the card to get a cash advance or make a late payment. Know the annual percentage rate, which is the measure of the cost of credit expressed as a yearly rate. Know the grace period, also called a "free period" which lets you avoid finance charges if you pay your balance in full before the date your payment is due. You should also know about any limits on how much your interest rate may change - and how often.

Students in Jenny's position should:

• Know About Money in Your Host Country
  Know what currency is used and the exchange rate. You need to have tools to help you determine the conversion rate, or how much money you are actually spending. For example, a conversion calculator phone app or an online conversion calculator will work.
• Research International Fees
  Talk to your bank or credit union before your trip to make sure your credit card and debit card will work overseas AND if there are fees for international transactions. Typically international fees are 3% of the transaction amount.
• Avoid Carrying Large Amounts of Cash
  Most major credit cards and debit cards are accepted worldwide and many students prefer using credit cards because it means carrying less foreign cash. However, you need to make arrangements to pay your monthly credit card bill. Cash can't be replaced if lost or stolen.
• Be Proactive About Identity Theft
  Before you leave, make a copy of the front & back of all debit & credit cards. You should leave a copy with your family and take a copy with you and leave it in a safe place. If you lose your cards or they are stolen, you need to call the customer care numbers listed on the back of the cards within 2 business days to avoid being held responsible for any unauthorized transactions.
• Keep Your Money Safe
  When traveling overseas, many of the same money handling strategies apply as in the United States. For example, use caution at ATM machines so that strangers can't watch you input your PIN number. Limit the number of credit cards or ATM cards you carry. Exchange money only in banks or authorized exchange bureaus. If you carry a purse, never set it down while out in public: not in a restaurant, not in a restroom, not in a store, not in a restaurant.
• Have a Plan for How to Spend Your Money
  Create a spending plan for your study abroad experience. Make sure to decide on an amount to spend each day. Research example prices for your host country and know how much you can expect to spend on food, entertainment, transportation, etc., each day.
• When creating a budget, the following are some expenses to keep in mind:
  * Miscellaneous fees: Not included in program application fees
  * Personal travel: Includes daily transportation between study abroad housing and the university
  * Room and board for vacation periods: If enrolled for a year-long program
  * Housing deposits: May be included in program costs, but it's a good idea to check
  * Insurance: May be included in program costs, but it's a good idea to check
  * Passport and Visa fees, entry and exit taxes
  * Meals: Snacks or the occasional meal at a restaurant
  * Phone charges: Can check with current provider for details - Other options include internet services
  * Entertainment: Include money to cover costs for museum entrance fees, concerts, and other entertainment
  * Personal expenses: Personal items such as toiletries, medicine, haircuts, and other miscellaneous expenses
  * Emergency funds: If at all possible, budget a little extra money for an emergency fund - You never know when an unexpected expense might arise
• Consider Obtaining a Power of Attorney
  You may want to give a family member or trusted friend power of attorney while you are abroad. Your power of attorney will be able to endorse checks and deposit them into your account.
• Think Forward to Tax Season
  If you will be out of the country on the April 15 tax deadline, request an automatic extension for tax returns (federal, state, and local).
• Make Arrangements for Your Current Housing Situation
  If you are living off campus, options include paying for your current housing while you're gone, vacating the premises, or subletting your space.
• Consider Subleasing
  If you are bound by a lease, you might be able to sublease the space (another renter pays you the money and you forward it to the property owner). Check your lease to see if subleasing is an option. Even if the lease does not permit subleasing, talk with your property owner. Especially if you've been a good tenant, your landlord may be willing to allow a subleasing agreement.
• Have a Plan for Handling Expenses When You Return Home
  Make sure you don't spend all of your money overseas. Know how soon you will have to pay rent, tuition, etc., after you arrive home and plan for how you will cover these expenses.

Students in Tom's position should:

• Gather All Potential Benefit Information
• Consider Your Current Situation
  When choosing health insurance, you need to compare the different health plans that are available and choose the best option for you and your current situation.
  * Know what type of plan is being offered and how that plan works.
  * Know what medical expenses are covered AND not covered.
  * Know who is covered.
  * Know when coverage starts.
  * Know what you will have to pay including premium, deductibles, and co-insurance.
  * Know which health care providers participate in the plan.
• Know the Difference Between a Flexible Spending Account and a Health Savings Account
  Money put into a flexible spending account is pre-tax income but must be used for qualifying health care expenses within the time period set by the employer (typically a calendar year). A health savings account (HSA) is often associated with high deductible health insurance (typically a minimum of $1,100 per person or $2,200 per family). HAS money doesn't usually have a time limit for use.
• Consider Benefits as Part of the Total Package
  When evaluating benefit packages, consider benefits as part of the total compensation being offered. For example, life insurance offered through an employer is typically term insurance with premiums for employees paid in full. Employers may provide some life insurance at no cost with the option to buy more.
• Research Open Market Rates
  Once you know which benefits you are interested in, check on-line or with local providers to see what the same coverage costs in the open market. Be sure you compare like products.
• Review Employee Benefit Decisions Once a Year
  Make any adjustments during the time period when changes can be made. This is usually at the end of the calendar year.
• Change Benefits if Needed
  Know when you can change benefit coverage outside of the annual open season, such as when your situation changes by getting married or having a baby.
• Employee Benefits Questions
  While it is acceptable to ask about benefits in general while you are interviewing, wait until after you have a job offer to ask about benefit details.

Students in Tom's position should:

• Start Investing Early
  Understand that you should start as early as you can and put money aside in a retirement plan to increase the chances you'll have enough money for retirement when you do leave the work force. Start contributing to an employer-provided retirement plan as soon as possible. For example, starting retirement plan contributions of $6,000 annually at age 24 results in 70% more money at age 67 compared to waiting until age 30 to start - assuming monthly contributions and 8% average pre-tax annual return.
• Research Your Employer's Plan
  * Know the amount contributed by the employer.
  * Know when the employee has ownership of the employer's contributions (called vesting).
  * Know the limits for employee contributions.
  * Know how soon an employee can begin participating in the retirement plan.
• Create an Investment Plan that Correlates with Your Goals
• Define Your Investment Philosophy
  Are you a risky investor or a safe investor? How willing are you to take the risk of losing all your money?E x: Moderate - I am willing to accept some risk to achieve investment goals
• Define Your Investment Goals
  Ex: Start saving for retirement
• Decide How Much Each Month You Can Invest
  Ex: $200 for retirement
• Consider Your Investment Options
  Ex: (a) Employer's stock; (b) Stocks of regional companies; (c) Certificates of deposit
• Determine Your Rationale for Deciding on Specific Investment Options
  Ex: For every dollar invested I will receive a 50 percent return because my employer matches 50 cents on the dollar for the first 6 percent of earnings.
• Determine Your Key Investing Risk Factors
  Ex: I do not need retirement funds for 30 or more years, so I can allow more risk for a higher return.
• Determine Your Anticipated Return
  Ex: Hopefully I will earn 7 to 8 percent on my retirement investments.
• Determine What Actions You Can Take to Start Investing
  Ex: Know what you need to do to get started on your plan, like filling out forms in your Human Resources Department to withhold $200 monthly.
• Identity Ways to Free Up More Money to Invest
  Create a spending plan and identify your wants vs. your needs in order to cut down on unnecessary spending and use the money saved to invest.
• Practice the Good Financial Habit of Paying Yourself First
  Automatically have money from your paycheck put into a retirement account or a savings account. You won't miss this money as much when it is taken out right away.

Students in Cindy's position should:

• Know the Difference Between Saving and Investing
  When you save money, you are working towards a short-term goal, there is little risk you will lose your money, and you have ready access to your money. When you invest your money, you are saving for a long-term goal, you accept that there is some risk involved with losing your money, and you do not have ready access to your funds.
• Understand the Concept of the Time Value of Money
  Time value of money is the relationship between time, money, and rate of interest. In short, the longer your money is saved - and the higher your interest rate - the larger the return.
• Understand the Different Products Available
  Since Cindy is saving for a short-term goal, she should choose short-term savings products.
  * Savings Accounts
  Earn a small amount of interest, have very how risk, can take your money out at any time without penalty.
  * US Savings Bonds
  Formal agreement where the borrower, the federal government, can use your money for a set period of time and you, the lender, will get paid a specific amount of interest in return. Most are designed to be held for up to 30 years, so if you cash the bond within 5 years of purchase, you'll pay a penalty.
  * Certificates of Deposit (CDs)
  Banks and credit unions have their own version of savings bonds. You essentially loan money to them for a set period of time, such as 3 months, 6 months, one year, etc. and get interest in return. The longer the term, the higher the rate of interest paid. CDs usually pay a slightly higher rate of interest than savings bonds.
  * Money Market Deposit Accounts
  Offered by banks and credit unions, these work like checking accounts, so you can take your money out whenever you want. Money Market Deposit Accounts pay a higher rate of interest than savings accounts and usually require a higher minimum balance than savings accounts.
• Know the Specifics about Each Financial Tool
  Ex: If there are any annual fees with a savings account or what the penalty is for cashing in CDs before the term is up.
• Compare the Rates of Return
  List out the interest rates and how much you can expect to earn on each type of investment.
• Additional Ways to Prepare for Your Financial Future:
  * Create a spending plan in order to help find more money to save and invest.
  * Learn about investment options, such as 401Ks, stocks, bonds, mutual funds, and real estate.
  * Learn how to create an investment plan.

Students in Harry's position should:

• Meet with Someone You Trust
  Talking to someone you trust can help you gain some perspective on your situation and gain a sense of control. You can talk to a family member, friend, or a UNL Student Money Management Center representative.
• Step #1 - Gather All Your Financial Information
  Including your most recent banking transaction, any credit card statements, loan information, or student loan information, which can be obtained at http://www.myaccount.edu.
• Step #2 - Assess Your Current Financial Picture
  Create a net worth statement, which will compare your assets versus your liabilities.
• Step #3 - Create a Debt Repayment Plan
  This helps you begin to form a plan for how to get out of debt and gives you a better sense of control over your situation.
• To set up a debt payment plan, follow these steps:
  1) Write down who is owed money and how much. Include interest rates and repayment terms for each debt.
  2) Find as much money as possible for debt repayment. Develop a "bare bones" spending plan for living expenses. Earn extra income if possible. Cut or eliminate expenses, at least for a short time, until debts are paid. Prioritize where income should be going.
  3) Develop a plan for paying back debts
  With the list of debts and the total amount of money available for debt repayment in mind, develop a debt repayment plan using one or any combination of the following five methods:
  * Pay each creditor the same amount
  * Pay each creditor the percent of total debt each debt represents
  * Pay each creditor the percent each debt's monthly payment represents of the total amount of all monthly payments
  * Put most of available debt repayment money toward the debt with the smallest balance
  * Put most of available debt repayment money toward the debt with the highest interest rate
  Step #4 - When one debt is paid off, put the money that had been going to the paid-off debt toward one of the remaining debts.
  Step #5 - DO NOT add any new credit debts.
• Prevent Debt Trouble - Build Good Financial Habits
  For the future, students in this type of situation should recognize that practicing good financial habits will help you stay out of debt: such as living within your means, only using credit to purchase what you can afford (being able to pay the bill off in full each month), and creating a plan for your money by setting financial goals and using a spending plan.
• Keep Organized
  Recognize the importance of keeping your financial life organized, such as using a planner or other organizational tool to record bill due dates and using a filing system to store financial documents. A majority of financial missteps are due in part to disorganization.
• Even When in Debt, Save & Invest
  Even when in debt, young adults need to recognize the importance of investing for retirement. Understand that you should start as early as you can to put money aside in a retirement plan to increase chances you'll have enough money when you do leave the work force. Start contributing to an employer-provided retirement plan as soon as possible. For example, starting retirement plan contributions of $6,000 annually at age 24 results in 70% more money at age 67 compared to waiting until age 30 to start - assuming monthly contributions and 8% average pre-tax annual return.

Students in George's position should:

• Always Keep Track of How Much You Owe & Interest Rates
  Many students spend 10 to 20 years repaying college loans. You need to keep track of your debt obligations to help you plan for your financial future. For example, if you borrow $23,000 in a 6.8 percent interest rate, you'll have to pay $265 every month for 10 years. By the time you pay back the $23,000 plus interest, you will have paid $31,800.
  If you don't have your student loan information, get it at: http://www.myaccount.edu. You will see: Each loan taken out, when you took that loan out, what type of loan it was, the amount of each loan, the interest rates, any interest that has already accumulated, who you should contact if you have questions or would like to start paying your bill, and when you must start paying off the loans (if you leave school or have graduated).
• Know When You Have to Start Repaying Your Loans
  After you graduate, leave school, or drop below half-time enrollment, you have six months before you must begin repaying your loans. The six-month period is called the grace period. Once the grace period has ended, the repayment period begins. Your first payment will be due within 60 days after your repayment period begins. It is important to begin repayment when you receive a bill from your lender. There are consequences for not making your monthly payment.
• Create a Spending Plan
  This will help you determine how much money you will have for debt repayment.
• Factor in Your Immediate Financial Situation
  If you have a job, determine how much net pay (money after tax deductions) you will make each month. If you don't have a job, determine if and when you will have income coming in.
• Research the Student Loan Repayment Plans & Decide Which Plan is Best for You
  Standard Repayment
  Pay a fixed amount each month until your loans are paid in full. You'll have up to 10 years to repay your loans. This plan is good if you can handle higher monthly payments because you'll repay your loans quickly. Your monthly payment under the Standard Plan may be higher than it would be under the other plans, but you will generally pay the least interest in the end.
  Extended Repayment
  Still have minimum monthly payments, but you may take up to 25 years to repay your loans. The length of your repayment period will depend on the total amount you owe when your loans go into repayment, but you must have a minimum borrowed amount of $30,000 to qualify for this program. Remember that the longer your loans are in repayment, the more interest you will pay.
  Graduated Repayment
  Payments start out low, then increase gradually every two years. The length of your repayment period will depend on the total amount you owe when your loans go into repayment. If you expect your income to increase steadily over time, this plan may be right for you.
  Income Based Repayment (IBR)
  Income Based Repayment is a new repayment plan under which the required monthly payment is capped at an amount that is intended to be affordable based on income and family size. You are eligible for IBR if the monthly repayment amount under this plan will be less than your monthly payment calculated under the standard repayment plan. Under IBR, if you repay with this plan for 25 years and meet other requirements, you will have any remaining balance of your loan(s) cancelled. There are also additional loan cancellation options if you work in public service with reduced loan payments under this plan.
• Create a Student Loan Repayment Goal
  Write down a goal for when you will have your student loans paid off. Time and time again, financial experts report that if you write your goal down, there is a much better chance you will actually achieve your goal.
• Add Your Monthly Payment Amount to Your Spending Plan
• Avoid Overspending!
  Put as much money towards debt payments as possible. The longer it takes for you to repay the loan, the more money you will waste in interest!
• Know About Loan Forgiveness Programs
  Public Service Loan Forgiveness Program
  Through the College Cost Reduction and Access Act of 2007, Congress created the Public Service Loan Forgiveness Program. This new program provides for the cancellation of the remaining balance due on eligible federal student loans after the borrower has made 120 monthly payments after Oct. 1, 2007, on those loans under certain repayment plans in the Direct Loan Program while employed in certain public service fields.
• If Necessary, Understand Your Right for Deferment
  A deferment is a temporary suspension of loan payments for specific situations such as re-enrollment in school, unemployment, or economic hardship. You don't have to pay interest on the loan during deferment if you have a subsidized Direct or FFEL, Stafford Loan or a Federal Perkins Loan. If you have an unsubsidized Direct or FFEL Stafford Loan, you're responsible for the interest during deferment. You have to apply for a deferment to your loan servicer (the organization that handles your loan), and you must continue to make payments until you've been notified your deferment has been granted. Otherwise, you could become delinquent or go into default.

• Only Borrow When Necessary
  Student loans should only cover necessary costs like tuition, school supplies, etc. Student loans SHOULD NOT pay for spring break, clothing, etc. When you graduate, you want to have your money to spend on things you want or you want to make your money grow towards saving and investing. You DON'T want to throw your money away on debt payments!
• Understand Your Financial Aid
  Know if you have grants, student loans, work study, etc. You have to understand what is offered to you in order to make decisions on which options to use to fund your education.
• Have a Basic Plan for Repayment
  A good guideline for college students is to have no more than 10% of the expected monthly gross income from their first job going for repayment of all loans. 15% would mean you probably will not be able to buy a new car, and 20% is the start of the debt danger zone - when loan debt is out of control.
• Know Your Interest Rates & Repayment Terms
  Create a simple debt repayment plan. List out all your loans with interest rates and repayment terms.
• Be Smart with Your Refund Check
  If you borrow more than you have to pay in, you will receive a refund check. Remember, don't spend your refund all at once. Generally, most students should save their refund checks to help them pay for necessary expenses they will encounter throughout the semester. Find a savings account with a good interest rate. If you don't need the refund, make a payment on your loans. You'll alleviate your debt burden and save yourself money on interest. IMPORTANT - Understand your refund check IS additional debt. It IS NOT a true, no-strings-attached refund.
• Avoid Paying Interest
  In general, max out your subsidized loan borrowing power before using unsubsidized loans.
• Lower Interest Payments
  If you have the money, make interest payments on unsubsidized loans while you're still in school.
• Complete a New FAFSA Each Year
  Especially if your situation changes, such as you have a sibling enter college. Do this as close to January 1st as possible, as some aid is first-come, first-serve.

More Ideas for Decreasing Student Loan Debt:

• Never Stop Applying for Scholarships
• Get a Part-time Job
  Getting a job while in school can provide valuable work experience. Research shows that 15-20 hours per week is about right for most college students.
• Find a Job that Offers Employee Education Benefits
  Some companies provide tuition reimbursement to their employees. Ask your company if they offer this benefit.
• Reduce Expenses
  Creating a spending plan is a great way to discover ways to free up money that can be put towards education expenses.
• Check into Applying for AmeriCorps or ROTC
  AmeriCorps members provide community service and receive an education award. Reserve Officer Training Corps members also receive education benefits.

Students in Rachel's position should:

• Have a Clear Picture of Your Income & Expenses
  Create a spending plan, which is a tool that will help you identify your total expenses and how much income you need.
• Determine How Much Income You Need
  When you have determined how much income you need, it is best to determine if you can cut your spending in any areas to reduce your expenses.
• Understand the Concept of Wants vs. Needs
  Needs are very basic things we must have to survive while wants are the things that make life more interesting, but you could live without. Everyone's wants and needs are different and it is not an easy task to choose. For example, for many people coffee is a need, but having a $5 latte every day is a want. Coffee you brew at home can do the job. Thus, identifying coffee as a need, but finding a less expensive option and identifying lattes as a want, helps you reduce expenses. Identifying wants vs. needs will give you an idea of where you can cut spending leaks and might help you realize you don't need as much money as you thought you did.
• Be Smart About Choosing Part-Time Jobs
  When you have a good idea of how much money you need to make to cover your expenses, start looking for a job. When you're looking for jobs, make sure to look for a position that will offer you enough money to cover your expenses without having to work too many hours.
• Remember School is Your First Job
  Research shows that 10-20 hours per week is about right for most college students. Look for jobs on-campus or jobs that offer good benefits, like discounts.
• Build Your Marketable Skills
  Make sure your job allows you the opportunity to build up your marketable skills, which are the skills employers in your field desire from potential employees. (If you don't know what the marketable skills are for your chosen career field, visit Career Services. Also, make sure you take advantage of every opportunity to network, which is when you meet prospective employers.
• Be Prepared to Fill Out Tax Forms
  Such as the W-4. The number you put on line 5 of the form is the number of exemptions you estimate you're entitled to in the coming year. The more allowances you take, the less income tax will be withheld from each paycheck. Generally, if you put down a 2, you will underpay your taxes and will owe the IRS money in April. If you put down a 1, you will probably pay the right amount. If you put down 0, you will pay the maximum all year and will get a refund when you file your taxes.
• Build Your Tax Knowledge
  It is important for college students to be knowledgeable about tax credits, specifically the American Opportunity Credit, which is a credit can be up to $2,500 per eligible student and is available for the first four years of post-secondary education. Qualified expenses include tuition and fees, course-related books, supplies, and equipment.
• Find FREE Money
  Research scholarship, grant, and employment options. Loans are an option, but focus first on finding free money. Ask your department of study about scholarships available to students in your major.
• Then Consider Student Loans to Help with Education Expenses
  If you don't already have student loans, they can be a good option for covering education expenses. Generally, interest rates are low and there are a variety of repayment plans to choose from. You choose the repayment plan that is best for you.
• Save Time When Completing the FAFSA
  To apply for federal financial aid, you must complete and submit the Free Application for Federal Student Aid, more commonly known as the FAFSA. The FAFSA form may be filed online at: http://www.fafsa.ed.gov/.
• Keep these tips in mind when completing the form:
  * Read the instructions carefully. Avoid common mistakes on financial aid forms, which include missing deadlines and submitting incomplete information.
  * Apply early! The FAFSA is available after January 1st. The earlier you get started in your financial aid search, the better your chances of finding the money you need. You may use estimated income information when completing the FAFSA. If the numbers on your and/or your parents' tax returns end up being different from what you expected, you may always update your FAFSA later.
  * The FAFSA must be completed each academic year.
  * Most importantly - complete a FAFSA even if you don't think you qualify for financial aid, and even if you didn't qualify last year. Having a FAFSA on record with your school will help the financial aid office consider your eligibility for all types of assistance, even programs you may not realize you qualify for.
• Be Wise About Credit Use
  Some people in this situation automatically turn to credit use, but before you use credit cards, you need to understand the keys to credit management.
  1.) Only using credit to purchase what you can actually afford.
  In the ideal situation, it is best pay the credit card balance in full so you don't waste money on interest. If you don't, you could find yourself in a never-ending cycle of debt.
  2.) In general, debt repayments should only be 10% of monthly take home income.
  Get up to 20% and you will be in the debt danger zone.
  3.) In order to get and keep a good credit score: pay bills on time and only use 30% OR LESS of credit available.
  If you have only been using credit for a short time: do not open new accounts too rapidly; leave accounts open to maintain a long account history; and understand that installment type loans will raise scores more over time than credit cards.

Students in Josh's position should:

• First Prioritize Your Wants
  Write down some of your needs and wants - and then look carefully at what you've written down. Are the needs really needs, or can they be moved to the wants category? Now, review your list and think about what's really important to you and what has lasting value. Do you really need or want everything on your list? Put stars next to the items that are particularly important to you. Are some needs really wants? Cross off the least important wants. Decide if each item makes sense. If not, cross it off, or change it to something that is more reasonable.
• Get a Clear Picture of How You're Spending Your Money
  Create a spending plan! Budgeting doesn't have to be difficult. It's a process of simple arithmetic. Initial budgeting experience is gained through trial and error. But once you identify your spending limits and feel the benefits of effective financial control, budget watching evolves into a healthy, lifelong habit. The keys are to figure out how much you actually spend, write down your income and expenses, compare the amounts, and then make adjustments as necessary.
• Plug Spending Leaks
  Watch yourself spend by recording spending activities throughout the day to help you pinpoint where those small expenditures are going.
• Recognize Common Spending Leaks
  Instead of eating out, use your meal plan; Instead of attending movies, go to free campus concerts and plays; Save money on gas by taking the bus; Carry a refillable water bottle instead of purchasing soft drinks or coffee drinks; Put a limit on how many songs, ring tones, etc., you download each week.
• Resist Peer Pressure
  Your friends may always want to eat out instead of going to the cafeteria. If you or your parents paid for a meal plan, eating out is like paying for the same meal twice. Perhaps you can make a compromise and go to a couple of meals each week with your friends. Also, limit vacations. Try to sit down with your friends and plan ahead what trips they're thinking of taking. If you know what's coming up, and one trip sounds a lot more fun than another, you'll be able to plan for it and save the money. Figure out if you can afford a spring break trip.
• Set Financial Goals
  Take a few minutes and decide what you want out of life. Why set savings goals? Because one of the most valuable financial skills you can learn is how to clearly identify your goals. By knowing precisely what you want to accomplish, you'll be more motivated to achieve it.
• Find an On-Campus Job
  On-campus jobs have several advantages over off-campus positions. You don't have to travel away from campus and hours are usually flexible and can adapt to student schedules. Some jobs may be internships related to your course of study. These jobs provide valuable experience and may qualify for academic credit.
• Find Jobs with Perks
  * Bookstore jobs with employee discounts can save you big bucks on your own books.
  * Library jobs might have slow periods that give you time for study.
  * Computer center jobs can give you access to resources at reduced costs.
  * Working for a professor in your field can give you an academic, as well as, a financial boost. You also might ask if your professors know about summer jobs or paid internships in your field.
  Decide where you'd like to work on campus and, if no job openings are posted, ask about a job directly. Check back regularly for openings.
• Be Wise About Credit Use
  Some people in this situation automatically turn to credit use, but before you use credit cards, you need to understand the keys to credit management.
  1.) Only using credit to purchase what you can actually afford.
  In the ideal situation, it is best pay the credit card balance in full so you don't waste money on interest. If you don't, you could find yourself in a never-ending cycle of debt.
  2.) In general, debt repayments should only be 10% of monthly take home income.
  Get up to 20% and you will be in the debt danger zone.
  3.) In order to get and keep a good credit score: pay bills on time and only use 30% of credit available.
  If you have only been using credit for a short time: do not open new accounts too rapidly; leave accounts open to maintain a long account history; and understand that installment type loans will raise scores more over time than credit cards.

Students in Kim's position should:

• Don't Be Too Quick to Move Off Campus
  Before deciding to move off-campus, carefully compare the costs of on and off campus living. College students often think they can save money by living off campus. However, there are a lot of expenses that go with apartment living that you should consider before you make the move. Since you may or may not save money by moving out of the dorm, you'll have to balance your reasons, which are not always just about money, with the costs.
  The following list will help you consider the costs that could be associated with moving off campus:
• Rent - Consider your portion of the monthly rent - whether you're living alone (and paying the whole cost) or sharing with roommates.
• Security deposit - A security deposit is money you pay to the landlord at the beginning of the lease. The amount is often the same amount as the first month's rent. The landlord holds the security deposit in reserve and uses the security deposit money in case you do not pay the rent or to cover any damage to the rental unit. If you honor your lease by paying the rent on time each month and you have not caused any damage to the unit (other than normal wear and tear), you should expect to receive the full amount of the security deposit back at the end of your lease.
• Note: Credit checks - A future landlord is likely to run a credit check on you before deciding whether to rent to you. You may or may not have a credit history yet. It depends on whether you have had credit established in your name that required payment (such as a credit card or car loan). You may have to pay a small fee for them to run a credit check.
  The credit report is used to:
  Verify your Social Security number
  Verify your current and previous addresses
  Verify your current and previous employers
  List any credit accounts you have open and what your pay patterns are (for example, do you pay your bills on time?)
  List any collection, lien, or legal problems you may have
  List any bankruptcies
  Be sure to provide accurate information to the landlord. If you had any credit problems in the past, you might want to tell the landlord what they were and how you responded to the problems before the landlord finds out on the credit report. Everybody gets in a bind once in a while. Being up front about your difficulties and showing how you resolved them will show the landlord that you are reliable and trustworthy even in difficult situations.
• Utilities - Electricity, Phone, Internet, Cable - Many rental agreements require you to pay for your own heat, electricity, phone, and Internet and cable connections. The utility, phone and cable companies will likely require you to pay a service initiation fee and possibly a deposit if you have never had an account with the company before. The deposit is usually returned after a set period of time (often six months).
• For Internet and cable access, you may also have wiring charges if you need connections in certain locations in the apartment or if the unit has never been wired before. A good payment history on utilities is a great way to build your credit history.
• Food - If you were used to a campus meal plan that provided two or three meals a day, you will now need to factor in the cost of food, as well as time for food shopping and preparation.
• Transportation - Will you walk or ride a bike to campus? Use public transportation? Drive your car? If you are driving a car back and forth to school, you'll need to factor in the costs of gas, car maintenance, and parking.
• Insurance - The landlord's property insurance doesn't cover your possessions. To protect yourself if your possessions are stolen or destroyed by a fire or flood, you may want to get renter's insurance. This is usually very inexpensive. Talk to your parents or ask an insurance agent.
• Household furnishings - You'll need furniture, dishes, pots and pans, linen and towels, cleaning supplies - all the things needed to create a home. This list can be long, so try to find creative ways to reduce these costs. Also, be sure to check with your future roommates to see what items they already have.
• Pets - If you want to have pets in your off-campus housing, you'll need to factor in money for pet food, miscellaneous pet-care items, and their health-care expenses. You'll also need to make sure your landlord allows pets. If you plan to have roommates, find out if your roommates are willing to living with pets. Remember, some people may be allergic to pets or just don't like dealing with pet hair all over the house.

Students in Kim's position should:

• Things to Consider When Looking for an Apartment
  * Location - The apartment is located in a convenient part of town and the commute to work will be manageable.
  * Price - The apartment is affordable for me and the security deposit is reasonable.
  * Safety - I would feel safe living here and the apartment is in a secure building.
  * Layout - The apartment is the right size for me and is in good condition.
  * Amenities - Parking is affordable and close by. Laundry facilities are close by. Utilities here will be affordable.
• Understand Your Lease
  A lease is a legal agreement between you and the person (or company) from whom you rent. Leases obligate you and your landlord to particular commitments. The most important obligation of your lease is the length of your stay. When you sign a lease, you agree to rent the apartment for a certain period of time. This means that you must pay the rent on the apartment for the entire time of your lease. Apartment leases typically last for one year.
  Your lease obligation applies whether you live in the apartment or not. If you choose to leave before your lease is up, your landlord may legally collect the rent you owe for the time remaining on your lease. So, before you sign, be very sure that you can meet the terms of your rental agreement.
  * Short-term lease:
  A short-term lease will normally state a fixed monthly rental rate for the entire duration of the lease. If you know you are planning to stay in the apartment or house for the entire school year, it's probably best to get a short-term lease for the entire nine months. However, signing a short-term lease means that you are obligating yourself to pay the full amount. If you sign a nine-month lease at $600 per month, you are obligated to pay the entire $5,400 amount, whether or not you stay for the entire time.
  * Month-to-month lease:
  With a month-to-month lease, your rental price is subject to change at any time (as long as your landlord provides you the appropriate notice as defined in your lease). For this reason, students often opt for short-term leases. But if you are unsure about how long you will occupy the rental unit, a month-to-month lease may be the best option. With a month-to-month lease, you agree to rent for a month at a time. Usually the lease renews automatically, unless it is canceled by you or your landlord (normally with one month's notice). A month-to-month lease does not obligate you for the long-term. You won't be locked in to six or nine months of payment if you are no longer living in the unit.
  * Subleasing:
  If you sublease (sometimes called sublet) an apartment or house, you are renting a property under an original lease that someone else holds. You normally work out the arrangements with the original tenant rather than the landlord, although the landlord will often want to run a credit check on you before agreeing to the sublease. If you are going to sublease, ask for written consent from the landlord allowing you to live in the apartment or house for the duration of your agreement with the original leaseholder.
• Create a Good Roommate Relationship
  Making a roommate relationship work for everyone requires planning, commitment, involvement, and, sometimes, hard work. There are many advantages of having roommates: companionship, friendship, and the opportunity to share expenses and responsibilities are just a few. But there can be a downside. You may find out too late that your roommate never pays his or her bills or is reckless with property. You may also find out you're not really compatible or that you have different values.
• Create Apartment Ground Rules
  It makes sense to sit down with everyone involved and talk about some ground rules for how you want to live together before jumping into a roommate situation. You'll want to develop a list of simple rules with clear definitions. After all, the words "quiet" and "occasional" can mean different things to different people.
  Consider putting these simple rules in writing and having all the roommates sign the form. This may sound a bit stuffy and formal, but it can help you avoid future problems if your agreement is written down and not just verbal. If you find yourself disagreeing with a roommate, you won't have to rely solely on memory. You can go back and read your written agreement.
• Example Ground Rules
  * Set money rules - Consider how you will track the money owed by each roommate. Free social networking sites, such as www.billmonk.com, allow you to form groups of roommates and track who owes what for dinner tabs, utility bills, and other shared expenses.
  * Study time - Will you have quiet time for study? If so, what time of day do you prefer to study? How much noise can you tolerate when studying?
  * Food sharing - Will you share food or each buy food separately? Will you divide refrigerator space? How about cupboard space? Are there staples you will buy together, such as spices and herbs? Or will everything be bought separately?
  * Sharing personal items - What items can be shared or borrowed and what items are off limits? Do you want to be asked for permission before an item is borrowed? Or is it OK for someone to just grab an item to use? Are there staples you will buy together, such as laundry soap and toilet paper? Or, again, will everything be bought separately?
  * Household chores - Decide who will be responsible for cleaning the areas that you share and how often.
  * Smoking and drinking - Are you OK with smokers in the house? If you and your roommates are over 21 years of age, how do you feel about drinking alcohol in the apartment? Determine what will you do if a guest drinks too much.
  * Quiet time - What time do you go to bed? What time is too late for visitors? When is it too late to receive phone calls? How loud do you want your music playing?
  * Guests - How do you feel about overnight guests? How do you feel about a boyfriend's or girlfriend's long-term visit? At what point does a "guest" become an additional roommate?
  * Party time - How often are you planning to have parties? Who will clean up?
  * Privacy - Decide what your needs are for privacy.
  * Security - Should anyone besides the roommates have keys? Where will you keep extra keys? Does everybody agree to lock doors and windows when you are away from home? How about when you're at home?
  * Pets - Does your lease allow pets? Do you want a pet? Are you allergic to any pets? How many pets are you willing to have in the apartment?
  * Moving out - Will all roommates be there at the end of the lease? Who will clean the place at move-out time?

Students in Gretchen's position should:

• First, Understand Why Credit Scores Matter
  Maintaining a high credit score will earn you the respect of bankers, mortgage lenders, landlords, and potential employers. They will reward your responsible use of money with lower interest rates and attractive loan terms. When it comes time to buy a car or house, you'll be glad you paid attention to the small habits that keep credit scores strong, such as paying credit card bills on time.
• Understand the Range of Scores
  Your credit score is expressed on a scale between 300 and 850. This numeric credit score is also known as your FICO score. To come up with your score, several factors are considered together to measure your responsibility and repayment of borrowed money over time. The average credit score is about 700. To any potential creditor, a high credit score means you are likely to pay back borrowed money according to the terms you agreed to when you entered the loan agreement. Lenders view a low credit score (sub-prime) as evidence that you are late or not paying your bills. They see a high score as evidence of personal responsibility.
• Understand What Financial Habits Affect Your Score
  Your spending, borrowing, and even rent-paying behavior determine how your credit score may rise or fall on a continuing basis.
• Understand How Your Credit Score is Computed
  Individual creditors report details of your account activities to three major credit reporting agencies: Equifax, Experian, and TransUnion. These organizations analyze your credit risk level according to the following scoring criteria:
  Bill paying habits: Do you pay rent, credit card bills, loan payments, and car payments on time?
  Collections: Has a company been hired to collect an unpaid sum on behalf of one of your creditors?
  Debt level: Is your total debt reasonable or do your balances indicate that you are approaching your maximum approved credit limit?
  Credit history: Do you have 10 months or 10 years of responsible borrowing experience? The longer your experience, the better.
  Recent activity: Have you personally applied for four or five credit cards over a short period of time? If so, credit-reporting agencies may assume you are in financial trouble.
  Court judgments or bankruptcies: These will reduce your credit score.
• Know Who Looks at Credit Scores
  Insurance companies: A lower credit score can result in higher insurance premiums. This is because insurance companies have studied the behavior of credit consumers and view a weak rating as a sign that you are more likely to file a claim.
  Car dealers: Making loans is an important part of an automobile dealership's business model. Many dealers charge fairly high car payment interest rates to begin with, but a sub-prime credit score can motivate a dealer to hike your interest rate to as much as 200% more than the rate charged to customers with credit scores of 700 and higher.
  Landlords: Some property owners reserve the right to check rental applicants' credit records. This right is spelled out in the application you fill out to rent a house or apartment. Landlords may use your rent check to pay their mortgages, and they want to be sure they'll get it on time.
• Review Your Credit Report
  The three credit reporting agencies are obligated to send one free report to credit consumers each year. Your free report is an informational listing that details amounts, dates, current status, and outstanding balances for your credit card accounts and bank loans. It's important to understand that your credit report is strictly an informational document. It's different from your numeric (FICO) credit score, which the credit reporting bureaus will sell to you for a few dollars. Per Federal law, you are entitled to one free credit report each year. To obtain a free annual report, you must request one through the Annual Credit Report Request Service online at http://www.annualcreditreport.com.
• Check for Identity Theft
  Stagger your three free report requests over the year in order to check for identity theft.
• Good Way to Build Credit
  A gas card is an easy way to establish credit. Charge only gas for an amount that you know you will be able pay off each month in full and on time. Or ask your parents if they will add you to their credit accounts. If they have a good credit score, you will also have a good score.
• Important: Make All Your Payments on Time
  The easiest way to establish your score.
• Only Open Accounts You Need
  If you open too many accounts, your credit score will go down. Don't open too many accounts at once.
• Keep Debt Levels Low
  Keep balances of credit cards under 30% OR LESS of the total credit limit. Pay down revolving credit card accounts and pay consistently on installment type loans.
• Learn About Credit Maintenance Myths
  Closing unused accounts strengthens your FICO score. Not always. Credit bureaus compare the level of credit you use with the amount you have been approved for. When you close zero-balance accounts, this ratio is thrown off. A high ratio of borrowed money to approved credit can make you appear overextended. Learn more about what a FICO score is, and how it can affect your credit at http://www.fico.org.
  Multiple inquiries into credit performance weakens your score. Not necessarily. Credit bureaus typically treat numerous inquiries by potential lenders as a single inquiry. Car loan inquiries are an example.
  Checking my own credit score is a bad move. Not true. Credit bureaus will not interpret your own inquiries, or those of landlords and employers, as part of a risky credit-accumulation effort.

Students in Peter's position should:

• Start Saving for Retirement As Early As You Can
  When you are in college, retirement is a long way off. But even if you start saving with just a small amount early on, your money will have many more years to work for you. The earlier you start saving, the more income you will have when you do decide to retire. Unfortunately, it's not a sure bet that Social Security or other government programs will be adequately funded when you reach retirement age. It's best to save for yourself so you can ensure you'll have a healthy nest egg of funds later in life.
• Have an Idea for How Much Money You'll Need to Retire
  The amount of money that you will need when you retire depends on your lifestyle. In general, experts recommend planning to save enough money to replace 60 to 80 percent of your working income in retirement. The amount of money that you'll need is also affected by inflation. Inflation is the process through which the cost of living rises over time. It's a good idea to factor in inflation when you estimate your retirement income needs.
• Understand the Types of Retirement Plans
  There are two basic types of retirement plans: employer plans and Individual Retirement Accounts (IRAs). Employer plans are retirement plans provided through your job. Businesses often provide 401(k) plans. Employees of nonprofit groups have their own type of retirement plan called a 403(b) plan. IRAs are retirement plans that you set up yourself. They come in two types: Traditional IRAs and Roth IRAs.
• Understand the Benefits of Employer Retirement Plans (401Ks)
  Most employers offer a match in their retirement plans. If you put money in your account, they will match your contribution up to a certain amount. In general, if your employer offers a match, you should take advantage of it. First, focus on contributing enough to receive your employer's maximum match. If you have money left to invest after that, you may wish to consider other options. Some employer plans limit the way that your money can be invested. If you like the investment options available to you, you may wish to stick with your employer's plan. If you'd prefer to have other investment options, an IRA may be a more flexible route.
• Know Individual Retirement Plans are an Option
  If you aren't offered an employer plan, you can make your own plan. Retirement accounts that you set up on your own are known as Individual Retirement Accounts, or IRAs. IRAs come in two basic types: Traditional IRAs and Roth IRAs.
• Understand retirement plan tax deductions. If you need the tax break now, traditional IRAs can help you save money today. If the tax deduction isn't critical now, a Roth IRA can help you amass more savings for your future.
• Understand the Difference between Traditional and Roth IRAs
  When you invest in a traditional IRA, you may be able to deduct the amount you invest from your taxable income (assuming you aren't covered by an employer's retirement plan). This means that you pay less in taxes each year. Your IRA money is not taxed until you withdraw it in retirement. If you withdraw the money before age 59 1/2, you must pay a penalty. You may avoid paying this penalty under certain circumstances. For instance, you may be able to use the money for a portion of a home purchase. With a Roth IRA, you do pay taxes on the money you invest in your account. However, you don't pay taxes when you withdraw the money in retirement. There is no penalty for withdrawing your contributions early from a Roth IRA. You do pay a penalty (and taxes) on any interest withdrawn before age 59 1/2.
• Choosing the Best IRA Plan
  Choosing the best IRA plan is an individual decision. Only you can choose the plan that's right for you. If you're deciding between a traditional and a Roth IRA, consider these factors:
• Understand IRA Tax Deductions
  A traditional IRA may provide you with a tax break on your income now, whereas a Roth IRA will not. If you need the tax deduction now, a traditional IRA can help reduce your taxable income.
• Know the Penalties for Early Withdrawals
  Roth IRAs have no penalties for early withdrawals of the amounts that you contribute. Unless you meet certain criteria, traditional IRAs impose a 10 percent penalty on any withdrawals before age 59 1/2. If you think you'll need early access to your savings, a Roth account may provide more flexibility for withdrawals.
• Getting the Best of Both Worlds
  You can hold both a traditional and a Roth IRA at the same time. If you wish to gain the benefits of both accounts, you can split your contributions over both. The contribution limit for any given year applies to both accounts, so you can still only contribute up to that maximum.
• Setting Up Your Plan
  To set up an IRA, contact your financial institution. IRAs can be established through banks and investment companies. Different companies offer different fees and initial deposit requirements. Shop around to compare options before starting your account. You will be required to fill out certain paperwork and to make an initial deposit once you establish a plan. You can make contributions directly to your account. Direct deposit is what works best for most people.
• Know Ways to Find More Money for Retirement
  Understand the principle of paying yourself first. Every month, you may tell yourself you are going to save the money you have left over from part-time job after you pay for things you need and spend a little on entertainment. But have you noticed that there is usually nothing left over? It's not just you; most everyone experiences the same thing. The best way to get around this, and a proven way to build wealth, is to pay yourself first. To do this, you put some amount of money into savings every month, no matter how small to start. Because you put the money away first, you're not tempted to spend it on something else.
• Build Your Savings Habits
  Right now, it doesn't matter how much you are able to save every month. It could be $10 to $25 from each paycheck. After you graduate and get settled in your first job, strive to eventually save at least 10 percent of your income. This savings practice will go a long way in helping you build an emergency fund, pay off credit-card debt, and establish a solid financial foundation.

Students in Ginger's position should:

• Decide if You Can Wisely Manage a Credit Card
  Do you need a credit card? It depends. What are your needs? How would you grade yourself on self-discipline? There are many different reasons for wanting credit cards. Good reasons for getting a credit card include: you hope to establish a good credit score early in life, you have enough self-discipline to only use your credit card to buy what you can afford, and you know you will have the financial resources to pay your credit card balances in full each month. If you have the self-discipline to avoid wavering from that point of view, then credit cards might also be something to consider.
• Understand the Perils of the Mismanagement of Credit
  According to one major student loan provider, close to 25% of today's college students carry $3,000 or more in credit card debt, and about 10% owe more than $7,000!
• Understand the Importance of Paying Monthly Credit Card Balances in Full
  It is more than good budgeting practice. It's also a way of building your case as a responsible credit customer who will one day want to borrow more significant sums of money, like a mortgage.
• Be Smart about Handling Credit Card Offers
  Companies that pre-approve you for credit cards aren't doing you a favor. Nor are they complimenting you. To them, you are a person who fits a certain risk profile category. They know you may or may not default on your agreement with them. If you do, it opens the door for late fees and default-level interest rates. At that point, you've become a cash cow for these creditors. Acquiring five or six credit cards and using them frequently is like giving control of your financial future to strangers.
• Have a Credit Building Plan
  Financial counselors say that using three or four accounts responsibly is the way to build a credit history. You don't need to hurry the process, though. Even using just one or two credits cards sensibly for a couple years following graduation will send a positive message about you to mortgage lenders and others.
• Be Smart when Choosing a Credit Card
  Generally, look for a credit card with a low annual percentage rate and little to no annual cost. Always compare different credit cards and choose the best fit for you.
• Know the Introductory Rate Will Not Last
  Credit card companies offer low introductory interest rates, some even 0% interest, in order to get you to sign up for their credit card. These rates do not last. Know how long the introductory rate will last and what the rate will be after that period.
• Read the Credit Contract
  Know the credit card terms of use. Know what fees you may be charged, such as a membership fee, transaction fees, fees for cash advances, and fees for late payments. Know the annual percentage rate, which is the measure of the cost of credit, expressed as a yearly rate.
• Note: The card issuer also must disclose the periodic rate. That's the rate the issuer applies to your outstanding balance to determine the finance charge for each billing period.
• Know the Grace Period
  A grace period, also called a free period, lets you avoid finance charges if you pay your balance in full before the date it is due. Knowing whether a card gives you a grace period is important if you plan to pay your account in full each month. Without a grace period, the card issuer may impose a finance charge from the date you use your card or from the date each transaction is posted to your account.
• Know the Balance Computation Method for the Finance Charge
  If you do not have a grace period, or if you plan to pay for your purchases over time, it is important to know how the issuer calculates your finance charge. Which balance computation method is used can make a big difference in how much of a finance charge you will pay even if the APR and your buying patterns stay pretty much the same.
• Understand the Danger of Not Paying Your Balance Monthly
  Not being able to pay off the entire balance is a big deal because interest is based on the entire account balance-not on each individual small purchase. Train yourself to pay off the balance each month before the card's grace period expires. Remember, the grace period is the amount of time in each monthly budget cycle that the credit card company will not charge you interest as long as you pay the entire balance by the payment due date. Consider this example: Say you decide to buy a new computer. You charge $1,600 on a credit card with an 18% interest rate and a minimum payment of 2% or $20, whichever is greater. If you don't pay that off the next month, you'll pay about $24 in interest. That may not sound like much, but $24 might be enough to pay for your portion of the monthly cable bill.
• Never Charge Without Having a Plan for How You will Pay the Bill

Students in Rob's position should:

• Make Sure Your Credit Report is Correct
  Go to www.annualcreditreport.com. Note: In comparing reports from the 3 credit bureau agencies, you may notice slight differences (not necessarily mistakes) in the data each company has collected. This is because the records of some reporting agencies go back further than others. Different information can also mean that certain creditors have reported your account data to one of the three reporting agencies, but not to the other two.
• Fix Mistakes ASAP
  If you do find a mistake, make copies of any receipts, bank statements, or other records you need to prove your case, and visit the agency's website and go to the dispute section. The process is free online at Equifax, Experian, and TransUnion. Lend support to your argument by writing short letters to the creditors themselves. Include copies of your records. If errors are confirmed, you have the right to ask the bureaus to send correction notices to anyone who received your credit report in the previous six months.
• If a mistake is confirmed, the credit-reporting agency will report it to the other two. You only need to work with one agency to resolve disputes.
• Always Make Payments on Time
  Know that delinquent payments, even if only a few days late, and collections can have a major negative impact on your credit score.
• If You Have Missed Payments, Get Current & Stay Current
  The longer you pay your bills on time after being late, the more your credit score should increase.
• Know Credit Mistakes Won't Haunt You Forever
  Older credit problems count for less, so poor credit performance won't haunt you forever. The impact of past credit problems on your credit score fades as time passes and as recent good payment patterns show up on your credit report. Good credit scores weigh any credit problems against the positive information that says you're managing your credit well.
• Keep Balances Low on Credit Cards and Other Revolving Credit
  High outstanding debt can affect a credit score.
• Pay Off Debt Rather than Moving it Around
  Pay down your revolving debt, which involves credit cards.
• Don't Close Unused Credit Cards as a Short-Term Strategy to Raise Your Score
  In fact, owing the same amount but having fewer open accounts may lower your score.
• Don't Open a Number of New Credit Cards
  Don't open new accounts just to increase your available credit. This approach could backfire and actually lower your credit score.