Do you have a financial resolution for the New Year? A third of people don’t have money goals set for 2017, according to a recent Student Loan Hero survey.
If you’re one of the 33 percent of people who don’t have a financial New Year’s resolution, it might be time to rethink it.
Setting and working toward money goals is an important method to improve your finances. Goal-setting motivates you to make changes that will make your finances healthier and you wealthier.
If you have yet to decide on a financial New Year’s resolution, here are some reasons to make that move.
Working on money goals prevents financial regrets
Two-thirds of respondents to the Student Loan Hero survey indicated that they had a money regret for 2016. Most wished they had either saved more money or paid off more debt.
But money goals like these require consistent effort to achieve. When you set financial resolutions, you’re more likely to work on your finances and make improvements.
It’s a proactive money move that can help you capitalize on financial opportunities, as well as avoid major money mistakes. With your money goals in mind, you can manage your finances more wisely in 2017 and, hopefully, have fewer financial regrets.
Chances are good you’ll stick to a financial resolution
Maybe you think you’re not a resolutions person. You never stick to a resolution for longer than a few months, so why even try this year?
Setting and working on goals is a skill. The first time you try it, it probably won’t be a raging success. But the more you set and work on money goals, the better you’ll get at it.
Additionally, a Fidelity Investments survey shows that a majority of goal-setters stick with their financial resolutions throughout the year.
Six in 10 said they were still working on their money-related resolution when surveyed in October. Half of those still working on their goals had achieved 80 percent or more of their financial goal.
New Year financial resolutions get results
Many people who don’t set resolutions avoid it because they’re afraid of failure. They feel that if they don’t achieve their final (and often unrealistic) resolution, the whole endeavor was a waste.
But simply setting money goals and trying to achieve them can improve your financial management.
Among financial resolvers, half said they had less debt and were in a better financial situation than when they started, regardless of their progress, according to the Fidelity survey. In contrast, only about a third of non-resolvers said they had less debt or had improved their finances.
If you set a resolution, don’t view it as goal-achievement-or-bust. If you set money goals to work toward all year long, any progress that you make is a step in the right direction.
Money goals help you conquer financial fears
Does thinking about your finances make your palms sweaty or fill you with dread? If you feel overwhelmed and helpless about your financial situation, money goals can help you dig your way out.
A financial resolution can empower you to make and follow a road map to financial success. Working on money goals is one of the best antidotes to financial fears. Even just the simple act of choosing a financial resolution signals to yourself that you believe a change is possible.
The key is setting money goals you believe you can achieve. You have 12 months to accomplish your resolution — try breaking your goal down into bite-size pieces until it feels manageable.
Breaking big goals into smaller, easier-to-achieve tasks is a tactic that resolution-setters found to be helpful, according to the Fidelity survey. To stay motivated, remind yourself why you’re doing this and take time to celebrate your progress.
Improving your finances makes the future brighter
As 2016 comes to a close, the common consensus is that it was a bit of a disaster. Everyone could use a few reasons to believe that 2017 will be better.
And New Year financial resolutions can help you be more optimistic about your future. About half of money goal-setters (52 percent) feel strongly that they will be better off financially in 2017, according to Fidelity’s survey.
Hope for a better financial future is tied to certain money habits. Two-thirds of Americans who feel hopeful for their financial future attribute their attitude to saving more money. Other actions that make people feel financially hopeful include setting a budget and paying off debts.
No matter what money goals you choose to focus on, you can make 2017 your best year yet.
Need help getting started? Use these 31 simple ideas to jumpstart your financial makeover.
Interested in refinancing student loans?Here are the top 6 lenders of 2018!
|Lender||Variable APR||Eligible Degrees|
|Check out the testimonials and our in-depth reviews!
1 Important Disclosures for Earnest.
To qualify, you must be a U.S. citizen or possess a 10-year (non-conditional) Permanent Resident Card, reside in a state Earnest lends in, and satisfy our minimum eligibility criteria. You may find more information on loan eligibility here: https://www.earnest.com/eligibility. Not all applicants will be approved for a loan, and not all applicants will qualify for the lowest rate. Approval and interest rate depend on the review of a complete application.
Earnest fixed rate loan rates range from 3.89% APR (with Auto Pay) to 6.97% APR (with Auto Pay). Variable rate loan rates range from 2.47% APR (with Auto Pay) to 6.30% APR (with Auto Pay). For variable rate loans, although the interest rate will vary after you are approved, the interest rate will never exceed 8.95% for loan terms 10 years or less. For loan terms of 10 years to 15 years, the interest rate will never exceed 9.95%. For loan terms over 15 years, the interest rate will never exceed 11.95% (the maximum rates for these loans). Earnest variable interest rate loans are based on a publicly available index, the one month London Interbank Offered Rate (LIBOR). Your rate will be calculated each month by adding a margin between 1.82% and 5.50% to the one month LIBOR. The rate will not increase more than once per month. Earnest rate ranges are current as of Month/Day/Year, and are subject to change based on market conditions and borrower eligibility.
Auto Pay discount: If you make monthly principal and interest payments by an automatic, monthly deduction from a savings or checking account, your rate will be reduced by one quarter of one percent (0.25%) for so long as you continue to make automatic, electronic monthly payments. This benefit is suspended during periods of deferment and forbearance.
The information provided on this page is updated as of 08/21/18. Earnest reserves the right to change, pause, or terminate product offerings at any time without notice. Earnest loans are originated by Earnest Operations LLC. California Finance Lender License 6054788. NMLS # 1204917. Earnest Operations LLC is located at 302 2nd Street, Suite 401N, San Francisco, CA 94107. Terms and Conditions apply. Visit https://www.earnest.com/terms-of-service, email us at firstname.lastname@example.org, or call 888-601-2801 for more information on ourstudent loan refinance product.
© 2018 Earnest LLC. All rights reserved. Earnest LLC and its subsidiaries, including Earnest Operations LLC, are not sponsored by or agencies of the United States of America.
2 Important Disclosures for Laurel Road.
Laurel Road Disclosures
APR stands for “Annual Percentage Rate.” Rates listed include a 0.25% EFT discount, for automatic payments made from a checking or savings account. Interest rates as of 11/8/2018. Rates subject to change.
Variable rate options consist of a range from 3.27% per year to 6.09% per year for a 5-year term, 4.64% per year to 6.14% per year for a 7-year term, 4.69% per year to 6.19% per year for a 10-year term, 4.94% per year to 6.44% per year for a 15-year term, or 5.19% per year to 6.69% per year for a 20-year term, with no origination fees. APR is subject to increase after consummation. The variable interest rate will change on the first day of every month (“Change Date”) if the Current Index changes. The variable interest rates are based on a Current Index, which is the 1-month London Interbank Offered Rate (LIBOR) (currency in US dollars), as published on The Wall Street Journal’s website. The variable interest rates and Annual Percentage Rate (APR) will increase or decrease when the 1-month LIBOR index changes. The variable interest rates are calculated by adding a margin ranging from 0.98% to 3.80% for the 5-year term loan, 2.35% to 3.85% for the 7-year term loan, 2.40% to 3.90% for the 10-year term loan, 2.65% to 4.15% for the 15-year term loan, and 2.90% to 4.40% for the 20-year term loan, respectively, to the 1-month LIBOR index published on the 25th day of each month immediately preceding each “Change Date,” as defined above, rounded to two decimal places, with no origination fees. If the 25th day of the month is not a business day or is a US federal holiday, the reference date will be the most recent date preceding the 25th day of the month that is a business day. The monthly payment for a sample $10,000 loan at a range of 3.27% per year to 6.09% per year for a 5-year term would be from $180.89 to $193.75. The monthly payment for a sample $10,000 loan at a range of 4.64% per year to 6.14% per year for a 7-year term would be from $139.65 to $146.76. The monthly payment for a sample $10,000 loan at a range of 4.69% per year to 6.19% per year for a 10-year term would be from $104.56 to $111.98. The monthly payment for a sample $10,000 loan at a range of 4.94% per year to 6.44% per year for a 15-year term would be from $78.77 to $86.78. The monthly payment for a sample $10,000 loan at a range of 5.19% per year to 6.69% per year for a 20-year term would be from $67.05 to $75.68.
However, if the borrower chooses to make monthly payments automatically by electronic funds transfer (EFT) from a bank account, the variable rate will decrease by 0.25%, and will increase back up to the regular variable interest rate described in the preceding paragraph if the borrower stops making (or we stop accepting) monthly payments automatically by EFT from the designated borrower’s bank account.
3 Important Disclosures for SoFi.
4 Important Disclosures for LendKey.
Refinancing via LendKey.com is only available for applicants with qualified private education loans from an eligible institution. Loans that were used for exam preparation classes, including, but not limited to, loans for LSAT, MCAT, GMAT, and GRE preparation, are not eligible for refinancing with a lender via LendKey.com. If you currently have any of these exam preparation loans, you should not include them in an application to refinance your student loans on this website. Applicants must be either U.S. citizens or Permanent Residents in an eligible state to qualify for a loan. Certain membership requirements (including the opening of a share account and any applicable association fees in connection with membership) may apply in the event that an applicant wishes to accept a loan offer from a credit union lender. Lenders participating on LendKey.com reserve the right to modify or discontinue the products, terms, and benefits offered on this website at any time without notice. LendKey Technologies, Inc. is not affiliated with, nor does it endorse, any educational institution.
5 Important Disclosures for CommonBond.
Offered terms are subject to change. Loans are offered by CommonBond Lending, LLC (NMLS # 1175900). If you are approved for a loan, the interest rate offered will depend on your credit profile, your application, the loan term selected and will be within the ranges of rates shown.
All Annual Percentage Rates (APRs) displayed assume borrowers enroll in auto pay and account for the 0.25% reduction in interest rate. All variable rates are based on a 1-month LIBOR assumption of 2.28% effective October 10, 2018.
6 Important Disclosures for Citizens Bank.
Citizens Bank Disclosures
|2.47% – 6.99%3||Undergrad & Graduate|
|2.47% – 6.30%1||Undergrad & Graduate|
|2.51% – 8.09%4||Undergrad & Graduate|
|3.02% – 6.44%2||Undergrad & Graduate|
|2.69% – 7.21%5||Undergrad & Graduate|
|2.79% – 8.39%6||Undergrad & Graduate|