FICO Score Matters: Sorry, Dave Ramsey

I’ve never spent much time trying to understand my FICO score.  I guess I’ve always just accepted Dave Ramsey's sentiment that FICO is evil.  However, the truth is that your credit score does matter, and I believe it will become more important in the future. Bad Advice: Borrow Money To Improve Your FICO Score This is the type of advice that people like Dave Ramsey hate.  And, rightfully so.  … [Read more...]

What Does the Bible Teach About Insurance?

I’ve heard it taught that the truly spiritual don’t need insurance. I read the request in a church bulletin.  An old man – a preacher for most of his life – was collecting funds to pay for thousands of dollars in medical bills.  He did not have insurance. I immediately thought to myself that if this man had insurance he would have saved himself and the church a lot of resources that could … [Read more...]

28 Tips for Organizing Your Finances

One of the six habits of the financially fit is to organize your finances.  Unfortunately, many people are unwilling to organize their finances because there is simply too much to do.  I am reminded of a proverb that says, “How do you eat an elephant? One bite at a time.”  Reduce financial organization to individual tasks.  Instead of saying, “I need to organize my finances”, say, “I need to … [Read more...]

Life Insurance | How Much Do You Need?

Photo by Leonid Mamchenkov When it comes to life insurance and other financial decisions people typically try to find a one-size-fits-all canned answer and go with that number.  For this reason online financial calculators are popular.  I am not a big fan of initially rushing off to calculators as they might mislead your conclusions.  Typically when you use a financial calculator (like this) … [Read more...]

The Real Truth About Borrowing Money To Buy Cars

In many ways convenience and lack of patience is the enemy of financial prosperity. Loans could be a statement about your selfishness.  A loan says I don’t have the money, but I want this and I want it now. Here are some important facts about car loans: The average American car loan payment is $400 per month. A 48 month used car average interest rate is currently 7.91%. Let’s say you … [Read more...]

Should You Pay Extra For Maternity Insurance Coverage?

In light of the birth of my third child yesterday I posted about the average cost of delivering a baby.  As a follow up I thought we should ask this question – should you pay extra for maternity insurance coverage? It is becoming more common for insurance companies to add maternity insurance as an additional option (called a maternity ‘rider’).  For example, you might pay an additional $2,000 … [Read more...]

Average Cost of Delivering A Baby

  The Wisdom Journal calls it a financial shocks for new parents – the cost of having a baby. What is average cost of having a baby? In an article entitled How Much Does Baby Delivery Cost? the author says (of course depending on a million factors) that in the United States those without insurance you can expect to pay $9,000 - $17,000 for a natural birth and $14,000-25,000 for … [Read more...]