Finances are one of the big points of contention for marriages. If newlyweds can learn some great money skills early on, the chances for a successful marriage are bound to go up.
Sara Parker, from Utah Central Credit Union explains how one newlywed couple is using those tools and walks through some guidelines for all couples.
We all know that love and marriage go together like a horse and carriage. But there’s one thing that can ruin wedded bliss and it’s finances.
The statistics are grim, but I think more and more young couples today are much better prepared than previous generations when it comes to finances. The recession, high unemployment and so much uncertainty in the stock market have really pushed married couples to get their financial life in order.
When newlyweds open a joint checking account Utah Central gives them a $50 VISA gift card – which is a nice bonus. And we have a very low interest rate of 2.99% on our newlywed VISA – so it’s a great way to get started without heavy interest charges.
The first thing they need to do is have a serious discussion about money and include things like:
· Checking and savings accounts
· 401 (k)s, stock or bond investments
· Real estate
· Jewelry and other valuable collectibles
· Liabilities: credit card balances, personal or car loans
· Income taxes owed
· Credit score
· Do you need two cars or just one and can you afford more than one?
· When or if do you want to start a family?
· If you’re going to have children, then you need to think about saving for college.
· When can you afford to buy a house?
· When you get that house you’re going to have to furnish it.
· Don’t forget about investments to grow your money.
One thing you both MUST be very careful of is low credit scores
· It can harm your marriage and your future ability to borrow money or get favorable rates on cars, VISA cards or even qualify for a store credit card.
· If your score is low, do everything you can to raise it before tying the knot. Pay all bills on time and keep low balances on credit cards.
For more information, you can find Utah Central Credit Union online at www.utahcentral.com