Avoiding Dumb Mistakes That Can Cost You More Money - Artículo Breve

Hispanic Times Magazine, Sept 22, 2001 by Janey M. Rifkin

It's the little mistakes that add up! Avoiding them may not make you rich, but you'll save a lot of money, and feel a lot smarter!

Miguel was not sure how much money was in his checking account, when he wrote a check that bounced. This mistake cost him almost $50 for the bank fee, and then for the merchant's fee for returned checks.

If you're not sure you can cover the expense, don't write a check. If the expense cannot be delayed or avoided, use a credit card instead. Leaving a balance on even the highest-rate credit card for a short time would cost less than a "rubber" check. Bounced check fees bring in $1-billion for banks, as there are upwards of 68 million checks which bounce every year.

Another safeguard would be to avail yourself of the bounced check protection which is offered by 70% of the nation's banks.

PARKING TICKETS

Drivers lose a fortune--all for the lack of a quarter. Expired-meter tickets each cost about $30--and the charge is high to act as a deterrent so that drivers will not park in those designated places. Often, drivers do not check the posted signs--or they underestimate the length of time the car will be left unattended.

Parking illegally in a red zone, a fire lane or in front of a fire hydrant carries a more substantial fine, and drivers who break these laws put millions of dollars into the coffers of cities every year.

Just remembering to feed your meter--or park in a lot--will cost you less in the long run.

SPEEDING

Marcia was late for a meeting, so she raced up the Miami Causeway at about 80 miles per hour. Soon, she saw the red lights in her rearview mirror. Her speeding was a costly mistake that resulted in hundreds of dollars in fines, and made her insurance premiums rise for years to come.

Slow down! Obeying the speed limit not only saves on tickets and fines, but it also reduces gasoline consumption and may avoid an accident.

USING CAUTION

Automobiles are lethal weapons. Besides speeding, dangers behind the wheel include driver distractions, such as talking on cellular phones. Surveys disclose that a preponderance of accidents occur after the driver has terminated the actual phone call. He or she is obviously distracted at those times.

The national designated driver program has been responsible for saving countless thousands of lives on the nation's roads and highways. Don't drink and drive. Don't use illegal substances before getting behind the wheel. If you become too sleepy to function normally, pull off the road and stop the vehicle.

The loss in the above instances--more than money could cost your life, and/or the lives of others. Driving is a privilege and a responsibility --use caution!

KEEPING RECORDS

Are you organized? At tax season, millions of Americans tear apart their belongings, looking for those stashed, and hard-to-find records of expenses, deductions, charity contributions,--and any valuable tax write-off receipts. This lack of organization is dumb for two reasons. First, of course you cannot prove your deductions without proof. And secondly, the less organized you are, the more time your tax preparer will spend on your returns, and the more you have to pay on both counts.

In general, keeping good tax records requires very little effort. Just file all receipts in a file folder. If you will remember that--for each dollar claimed in deductions, the average taxpayer saves 30 cents.

TARDINESS

Perhaps the dumbest mistake of all--because it requires the least amount of effort --is being on time. Armando forgot to return a video to the video rental store, and a week later, he had to pay about $20 in late fees. Blockbuster Video reports that more than 15% of the company's $4.4 billion in revenue comes from "extended viewing fees."

Then there are the late charges for paying your credit card bills. Make your payments just a day or two after the due date, and you'll get hit with an $18 to $25 penalty. If it's a morgage payment that's late, you can expect a penalty of $100 or more.

Being late is chronic with some people. Since time is money in our' world--use whatever means you can to break this bad and costly habit. Tie a string around your finger. Put a Post-It note on your bathroom mirror. Set the alarm on your Palm. Install a speed detector in your automobile.

It's the little mistakes that add up. But, ignoring them can you a small fortune.