After graduating college, many people think they’ll start to handle their finance responsibly. You can prepare ahead of time and graduate with professional and personal finance skill set.

Setting an automated savings system is easy.

Create a System for Your Money

Find a bank or a credit union that fits your financial needs.

Here what I personally like about ING’s Electric Orange checking account:

• No fees. There’s no minimum balance on the account.
• If the money is not in the account, they won’t pay the bill. This sounds like common sense. No money=no payments. Bank of America will just pay your bill and then fee you, which in turn can create more transaction fees. A relative actually had a horrible case when her monthly salary didn’t come in as scheduled (HR error) and Bank of America went ahead and charged her fees of hundreds of dollars.She explained to the bank what they error was, but to no avail. Fortunately, she went to her job’s Human Resource Department and got reimbursed for this problem.
• Earn real interest. Unlike Bank of America, where our money was growing very,very slowly (a few cents every three months), ING had us earning a few extra dollars a month. With the rates lower now, it’s not getting higher, but much better than our old bank.

Open a savings account for a specific goal.

You can create a savings account to cover expenses if you have to move for your first post grad job. I use personally ING Direct for my savings and I have found them to be incredibly easy to use and have a lot of benefits.

By the way, ING Direct has a wonderful referral program. If you open a savings account with$250 or more using the link, you’ll get $25 bonus and I’d get $10 added to my own savings. It’s a win-win situation.

If you’re looking at some other options, consider these banks:

• HSBC Direct
• Emigrant Direct
• Citibank Direct
• Capital One

Just open an account with a bank or credit union that you feel comfortable with and increase your savings with your system.

Every paycheck you receive, automate at least 5-10% of it to go towards your savings fund. Have it deducted from your checking account into your savings account.

Have a job. You should be getting some income while in college because you want to build your resume up with practical work experience. I worked at concerts at a local venue to earn some cash and tips. The peak of concert season was during the summer, so I was usually off for the semester or only took one class, giving me time to work. You also may want to run your own business while you’re in school.

Maximize Your Scholarships and Grants

Use your tuition refund.

Some savvy college students will be getting some money in the form of tuition refund. This is a great chance for you to sock away money. As long as you don’t have any credit card or car loan debt, have fun with the rest of  your money.

What kind of financial aid is available?

• Federal Pell Grants
• Federal Supplemental Educational Opportunity Grants
• State Grants

Fill out your FAFSA early. Besides getting qualified for federal grants, filing early can also open up opportunities to get state grants. You’ll cut down on having to rely on student loans.

Hunt for more scholarships. FastWeb is a popular site that searches applicable scholarships for you.

Your Take

By taking advantage of your automated system, you can painlessly build a healthy amount of savings that you can use after your graduation. How have you saved money for your goals?

Photo Credit: Crystl

If your federal student loan payments are becoming difficult to make, there are some payment plans and options you may want to consider. Comparing student loan options can reduce stress and lower your student loan payments.

For those those who have been laid off or have seen a huge decrease in their family income, here are some options to consider with your federal student loans:

• Choose another repayment plan. You can ask from a graduated payment plan where the initial 24 payments are lower and slowly increases. As mention above, an income based payment plan can also ease the burden while you get back on your feet.
• Apply for a deferment. This option allows you to temporarily stop making payments on your student loan(s). You have to speak with a customer service representative to see if you qualify.
• Apply for a forbearance. You can temporarily make smaller student loan payments.

You can change your payment plan online at contact Federal Direct Loans. With deferments and forbearances, please call Federal Direct Loans at (800) 848-0979.

Your Take

Have you already consolidated your loans? Have you received a deferment or forbearance?

Photo Credit: jennifercw

Training is over today and we covered a lot of material. One topic we discussed was personal safety.This advice is very helpful for college students and the general public, so I wanted to share some applicable tips for safety. Please feel free to add your own tips in the comments.

Being Safe When You’re Walking Alone on Campus

When I took classes in college, my schedule included some evening classes. While you have to be alert anytime, be especially aware at night. My campus was relatively quiet, but there were still cases of muggings and other things. During class we reviewed osme tips with one another.

• Stay on well lit areas when walking around campus. Don’t get close to potential hiding spots like shrubbery and doorways with poor lighting.
• Keep your purse next to your body.
• Wear comfortable shoes in case you have to run.
• Beware of ‘black ice’ when the temperature drops.
• Have your keys ready before you approach your car.

Auto Safety Tips

Have your keys out before getting to your car.

• Drive defensively and be willing to yield to others to avoid accidents.
• Observe speed limits and wear seat belts.
• Keep your doors locked.
• Do not pick up hitchhikers at anytime.
• Make sure your car is in good operating condition; especially brakes, wipers, and tires.
• Park in well lit places if you are going somewhere at night. Make sure you have your keys out and ready when you are leaving.
• Pay attention to your surrounding as you approach your car.
• If your car stalls and your cell phone isn’t working,  hang a bright rag from your car window. If someone offers help, stay inside the car and ask them to please call the police for help.

What to Do If You Have a Car Accident

Not my favorite topic, but during training we reviewed some things on car accidents. I’ve been a few accidents as a passenger and driver. It shakes you up and sometimes you forget what you should do.

Of course, the health and safety of all parties involved is paramount.  Call 911 if there are any injuries and give the best location description you can of the accident, so that the proper help can arrive quickly.

If you’re in a car accident and you’re not seriously injured:

• Warn other drivers of the accident with hazard lights or flares.
• Exchange information (name, address, driver’s license number) with all involved parties.
• Don’t sign anything from any of the involved parties.
• Wait for law enforcement to arrive before discussing the accident.
• Contact your auto insurance to inform them of the accident.

Check to see if your state has any specific requirements for reporting car accidents.

Your Tips

Do you have any tips and ideas to increase your safety when at school or work?

Photo Credit: joelogon

I want to get back to the roots of this blog, which is personal finance for college students and students and new graduates. I want to help you guys make smart decisions, by sharing information and letting you decide for yourselves what would work best.

There are so many magazines listing the best 4 year universities, which can be a bit helpful for some high school seniors. I want to show some solid community colleges as an option to consider too.

Do Community Colleges Help or Hurt Your Career?

I spent some time this weekend comparing notes with other about college choices and outcomes. It’s funny how when you look back on some of your simple choices, that they had a huge effect on matters.

The topic of community college came up. Both my husband and I attended a community college before transferring to a four year university nearby. It has helped us financially and career wise. The community college we attended was in the vicinity of 3 universities. Some of the same professors from my community college also were teaching at the university, so it wasn’t a hard adjustment.

Why Choose Attending a Community College?

Attending a community college can be a smart move for many people looking for better career options.

• Cost: Community colleges cost less than a typical university and they are extremely cheap if you’re an in-state student. Saving money for two years can be a huge boost.
• Flexibility: Many community colleges have non-traditional students and have class schedules designed to accommodate their needs.
• Career training: There are some great certificate and applied associates offered in some community colleges. Not all good paying career require a 4 year degree; you can find solid paying  jobs with two year degrees.

List of the Top Community Colleges

Check out the rest of the best community college list at Washington Monthly.

Source: Washington Monthly

As you can see with the list, many community colleges are highly affordable.

Run the Numbers for Community College

Don’t fall into the trap of avoiding a great community college because you think it’ll hurt your career. In actuality, a solid education from a community college can help you get into your career quicker and/or prepare you well for a university without paying the higher tuition for 2 years.

Don’t get yourself into a huge amount of debt. Keep your college expenses as low as possible. If you’re smart, you’ll still seek out as many scholarships as you can and try to earn some money while attending school.

What are your thoughts?

Have you attended a community college? Has it helped or harmed your career? What tips do you have on making the most out of community college?