Today, I am answering the top 10 most Googled personal finance questions. Whether you’re just starting or need a refresher, these are the questions everyone is asking—and I am giving you the answers!” So make sure to read till the end, you will learn something new.
Question 1: “What is a debit card?”
A debit card is a card linked directly to your checking account. Money is immediately deducted from your account balance every time you swipe it. Unlike credit cards, there’s no borrowing involved, which means no interest payments!
Question 2: “How much money do you need to open a savings account?”
The amount you need to open a savings account varies by bank, but typically, you can open one with as little as $25 to $100. Some banks even let you start with no minimum balance, so be sure to shop around!”
Question 3: “How do you use a line of credit?”
“A line of credit is a flexible loan you can access when you need it, up to a certain limit. You only pay interest on what you borrow, and you can draw from it as many times as needed. It’s great for emergencies or large expenses, like home repairs!”
Question 4: “What is a budget?”
“A budget is a plan for your money. It helps you track your income and expenses so you can make sure you’re not overspending. The goal is to allocate your money effectively—some for savings, some for bills, and a little for fun!”
Question 5: “What is an APR?”
“APR stands for Annual Percentage Rate. It’s the interest rate you pay on loans or credit cards, expressed annually. This includes not just the interest but also any other fees or costs involved, helping you compare the true cost of borrowing.”
Question: 6 “How to invest?”
Start with low-cost index funds or ETFs. Diversify your money across stocks, bonds, and other assets. Make consistent contributions and hold long-term for growth.
Question 7: “How to make money?”
Pick up a side hustle, start freelancing, or invest in stocks. You can also create digital products or start a small business.
Question 8: “Should I pay off my credit card or save?”
If your credit card has high interest, pay it off first. If your interest is low, balance paying off debt with saving for emergencies.
Question 9: “What size mortgage can I afford?”
A good rule is that your mortgage should be no more than 28% of your monthly income. Factor in taxes, insurance, and other costs too.
Question 10: “What is a W9 form?”
A W9 form gives your Taxpayer Identification Number (TIN) to a business or person so they can report payments to the IRS. It’s commonly used for freelancers and independent contractors
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