PennyWise: Personal Finance & Travel Tips

In this episode of PennyWise, host Nat Cardona is joined by NerdWallet's personal finance writer Elizabeth Ayoola to help you navigate the whirlwind of Cyber Monday shopping. With the holiday season in full swing, it's easy to get swept up in the frenzy of deals and discounts. Elizabeth shares expert tips on how to spend wisely and avoid common pitfalls during this busy shopping period.

Learn how to set a realistic budget using the 50/30/20 rule to ensure your holiday spending doesn't derail your financial goals. Discover the importance of price comparison and the use of price tracking tools like Keepa, CamelCamelCamel, and PayPal Honey to ensure you're getting the best deals. Elizabeth also emphasizes the need to check return policies and reviews before making a purchase, especially for big-ticket items.

In this episode of PennyWise, host Nat Cardona explores the surprising resurgence of the cruise industry with insights from NerdWallet travel expert Sally French. Despite the pandemic's initial impact, the cruise sector is experiencing a remarkable comeback, drawing travelers back to its unique allure.

Recent data shows cruise transactions reaching all-time highs. Delving into the demographics, Sally highlights the strong appeal cruises hold for Baby Boomers, who account for a significant portion of cruise spending. However, she also notes the growing interest among families and younger travelers, fueled by innovative offerings like Disney's expanding cruise fleet and themed experiences.

This episode of PennyWise to discover why cruises are once again capturing the hearts of travelers worldwide. Whether you're a seasoned cruiser or considering your first voyage, this episode offers valuable insights into the revitalized world of cruising.

In this episode of PennyWise, host Nat Cardona delves into the recent Federal Reserve interest rate cuts with insights from NerdWallet lead writer, Kate Wood. If you're in the housing market—whether buying, selling, or refinancing—this episode is packed with crucial information to help you navigate these changes.

The discussion starts with an overview of the Federal Reserve's recent decision to cut the federal funds rate by 50 basis points, and how this impacts various interest rates, especially mortgage rates. Kate explains how mortgage rates had already begun to drop even before the Fed's announcement, causing confusion for many potential homebuyers.

For buyers, Kate discusses the implications of these rate cuts, providing a forecast that suggests mortgage rates will likely hover around the 6% mark for the foreseeable future. She emphasizes the importance of personal timing over market timing when deciding to purchase a home.

Homeowners considering refinancing are also in a potentially advantageous position. Kate breaks down the factors to consider, such as the break-even point and the impact of rising home values, which might make refinancing more beneficial than initially expected.

Sellers, on the other hand, might find themselves in a strong position due to increased home equity. Kate explains how selling in the current market could provide substantial funds for a robust down payment on a new home, making offers more attractive to sellers.

Kate also addresses the unlikely return of the ultra-low interest rates seen during the pandemic, explaining that such rates were outliers and would require significant, undesirable economic events to occur again.

Tune in to this episode of PennyWise for expert advice on navigating the complexities of the current housing market. Whether you're looking to buy, refinance, or sell, this episode offers valuable insights to help you make informed decisions.

In this episode of PennyWise, host Nat Cardona explores the potential pitfalls of relying on Google search results for financial advice with insights from WalletHub expert, John Kiernan. If you're accustomed to trusting the top Google search results for your financial decisions, this episode is essential listening.

The discussion begins by addressing the common practice of Googling financial products like credit cards and savings accounts, and the assumption that the top search results are the best options. John shares findings from a recent study that reveals how this trust can be misplaced, often costing consumers significantly more money than they realize.

John explains how the deterioration of Google search result quality, with a bias towards big brands and advertiser-driven content, can lead to subpar financial product recommendations. For example, the study found that the top five Google search results for popular financial terms could cost consumers around $200 on average, and in some cases, up to $1,400.

The conversation delves into specific financial search terms like "best credit cards to build credit" and "best savings accounts," highlighting how these results often prioritize products with high fees and low rewards, benefiting publishers rather than consumers. John also shares insights from a survey conducted by WalletHub, revealing that a majority of people expect Google to show the best result first, yet many are noticing a decline in search result quality and an increase in bias towards big brands.

To help listeners navigate these challenges, John offers practical tips for overcoming Google’s flaws. He suggests trying alternative search engines, comparing multiple search results, and relying on trusted websites like WalletHub.com for direct recommendations. He also advises looking out for signs of quality and transparency in product comparisons to avoid biased recommendations.

Tune in to this episode of PennyWise to learn how to protect yourself from misleading Google search results and make more informed financial decisions. Discover strategies to maximize your savings and ensure you're getting the best financial products available.

In this episode of PennyWise, host Nat Cardona dives into the murky waters of credit-building products with insights from WalletHub expert, Christie Matherne. If you're struggling with poor to fair credit and looking for ways to improve it, this episode sheds light on the pitfalls of some questionable credit-building practices and products.

The conversation begins with a basic overview of what credit-building products are, including examples like credit cards and credit builder loans. Christie explains how these products promise to help you build credit faster and better but often come with hidden drawbacks.

They discuss key findings from a recent study on credit-building products, revealing that about 30% of these products do not provide access to usable funds through a loan or a line of credit. Instead, some products pretend that a debit card purchase is a credit card purchase or even pay your bill for you using money set aside from a debit account, which doesn't actually help build your credit.

The episode also highlights the issue of false credit utilization reporting. Some products report inflated credit limits to credit bureaus, making your credit utilization look better than it is. This can lead to future lenders extending credit based on false pretenses, which might set you up for financial trouble.

Christie emphasizes that you don't need to pay anyone to build credit effectively. Traditional methods like getting a secured credit card can help you build credit from scratch without any additional costs. She also cautions against products that cherry-pick bill payment transactions to only report positive payments, as this doesn't help you learn how to manage credit responsibly.

The episode touches on the "island approach" to credit building, where you use multiple credit cards to maximize rewards and improve your credit score. This strategy involves using specific cards for specific types of purchases to get the best rewards and discounts

Christie debunks the myth that you need to carry some debt to build good credit. Paying off your statement balance every month is sufficient for building a good credit score without incurring interest charges.

Tune in to this episode of PennyWise for expert advice on navigating the world of credit-building products and strategies. Learn how to build your credit effectively without falling into the traps of shady practices.

In this episode of PennyWise, host Nat Cardona uncovers the concept of "shoulder season" with insights from Nerdwallet travel expert, Sally French. If you're looking to save money and avoid the crowds on your next vacation, this episode is a must-listen.

The discussion kicks off with a clear explanation of shoulder season, defined as the period between peak season and off-season. Sally highlights how this timeframe can vary by destination, offering the perfect balance of fewer crowds and better prices. For instance, you might find different shoulder seasons in places like Arizona compared to Hawaii.

Sally emphasizes the financial benefits of traveling during shoulder season. Not only are prices typically lower than peak season, but you also have a higher chance of booking coveted reservations and experiencing fewer crowds at popular attractions. 

The episode also explores how shoulder season can sometimes offer unique local experiences. Many destinations host special events to attract visitors year-round, such as food and wine festivals. These events can make your trip even more memorable while still enjoying shorter lines and less crowded attractions.

However, Nat and Sally discuss a growing trend: shoulder season itself becoming more crowded. With the rise of flexible work situations, more people are taking advantage of this travel period, leading to higher occupancy rates in traditionally less busy times. Sally advises listeners to pivot their plans and consider less trendy destinations to truly avoid the crowds and high prices.

Sally shares practical tips for finding these hidden gem destinations. She suggests using tools like Google Flights to explore various travel options and find the best deals. By entering your home airport and travel dates, you can discover affordable flights to unexpected places, making your trip both cost-effective and unique.

Tune in to this episode of PennyWise for expert advice on maximizing your travel budget and enjoying a more relaxed vacation experience. Whether you're dreaming of a quiet beach or an adventurous national park, these tips will help you plan the perfect getaway without breaking the bank.

In this episode of PennyWise, host Nat Cardona delves into the critical topic of life insurance with Nerdwallet financial expert, Elizabeth Ayoola. They discuss six key milestones that signal it's time to reevaluate your life insurance needs, providing essential insights for anyone looking to safeguard their family's financial future.

The episode begins with a fundamental overview of life insurance, explaining its importance for anyone with financial dependents. Elizabeth shares a poignant example of how the lack of life insurance can leave families in financial distress, emphasizing the need for adequate coverage.

Next, they explore the significant life events that should prompt a review of your life insurance policy. These include getting married, having children, buying a house, and taking on significant debts like student loans. Each scenario underscores the necessity of ensuring your loved ones are financially protected in case of an untimely death.

The conversation also covers the importance of reassessing your life insurance when starting a new job. Many people overlook the fact that group life insurance from a previous employer may not transfer to a new one. Elizabeth advises listeners to check their new employer's life insurance offerings and consider supplemental personal policies if needed.

Affordability is another key topic. Elizabeth dispels the myth that life insurance is prohibitively expensive by sharing her personal experience with term insurance, which can be surprisingly affordable. She suggests reallocating funds from less essential expenses to ensure you can afford this crucial coverage.

For business owners, life insurance is equally important. Elizabeth explains how having a policy can provide financial stability for business partners and employees in the event of the owner's death, ensuring the business can continue operating smoothly.

The episode also touches on the importance of life insurance for primary caregivers of aging relatives. With many long-term care costs not covered by Medicare, having a life insurance policy can prevent financial hardship for those left behind.

Elizabeth emphasizes the importance of using tools like life insurance calculators to determine the appropriate amount of coverage needed. She highlights Nerdwallet's own calculator as a simple and effective resource for getting an accurate estimate.

Tune in to this episode of PennyWise for expert advice on when and why to reevaluate your life insurance policy. Implement these strategies to ensure your loved ones are financially secure, no matter what life throws your way.

In this episode of PennyWise, host Nat Cardona discusses strategies for parents supporting their adult children financially, featuring insights from Nerdwallet financial expert, Kim Palmer. With six in ten parents having helped their adult children in the past year, this episode provides practical tips to guide your kids toward financial independence.

The conversation starts with the importance of early money talks. Communicating about budgeting and financial choices from a young age can lay the groundwork for future financial responsibility. Nat and Kim share examples of how to integrate these discussions into everyday scenarios, like planning a family vacation.

Next, they explore the common scenario of adult children living at home. Charging a nominal rent can help young adults internalize the cost of living and contribute to household expenses, setting realistic expectations for their future independence.

The episode also highlights the value of helping with specific purchases rather than offering blanket financial support. Whether it's contributing to a down payment on a home or covering groceries for a week, targeted assistance can help your child manage their budget without becoming overly reliant on parental support.

Setting clear, realistic deadlines for when your child will take over their financial responsibilities is another key strategy. Establishing milestones, such as paying their own cell phone bill upon securing a full-time job, can help young adults work towards financial independence gradually.

Kim also suggests ways to help young adults build wealth, such as assisting with real estate purchases or encouraging retirement savings. Some parents may even match their child's contributions to foster the habit of saving for the future.

Finally, the episode underscores the importance of protecting your own finances while supporting your children. Being too generous can jeopardize your financial security, so it's crucial to balance your support with your own financial well-being.

Tune in to this episode of PennyWise for expert advice on helping your adult children achieve financial independence while safeguarding your own financial health. Implementing these strategies can make the journey smoother for both parents and children.

In this episode of PennyWise, host Nat Cardona is joined by a Nerdwallet financial expert to discuss five ways credit cards can help ease the burden of back-to-school expenses. As the school year approaches, families often face significant costs for clothes, supplies, and electronics. This episode offers practical tips to make those purchases more manageable.

The conversation kicks off with the benefits of credit card rewards. Whether it's cash back, points, or miles, redeeming these rewards can help offset the cost of back-to-school shopping. Listeners are encouraged to audit their current credit cards to ensure they align with their spending needs and explore new cards that offer valuable sign-up bonuses.

Next, they discuss the advantage of 0% APR offers. These interest-free windows can be particularly useful for spreading out the cost of school supplies without incurring additional charges. However, it's essential to understand the terms and ensure the balance is paid off before the promotional period ends to avoid retroactive interest.

The episode also highlights the value of online shopping portals and card-linked offers. By shopping through a credit card's bonus mall or taking advantage of linked offers, consumers can earn extra rewards or discounts, further stretching their back-to-school budget.

Another tip discussed is the utilization of credits that come with certain credit cards. These can include discounts on meal delivery services, streaming subscriptions, and more. Such perks can provide convenience and savings during the busy back-to-school season.

Finally, the importance of budgeting and responsible credit card use is emphasized. Charging only what you can afford to pay back and spreading out purchases throughout the year can help manage expenses effectively. Listeners are reminded that paying off the card's balance in full each month is crucial to avoid interest charges that can negate the value of rewards.

Tune in to this episode of PennyWise for expert advice on making the most of your credit cards during the back-to-school season. Implement these strategies to ease financial stress and make your money work for you.

In this episode of PennyWise, host Nat Cardona delves into the concept of financial self-care with Nerdwallet financial expert, Kim Palmer. Often, self-care is associated with relaxation activities like reading a book or taking a spa day, but financial self-care is about ensuring your financial practices contribute to your overall well-being.

The discussion begins with the importance of reflecting on your past financial habits and understanding how early money lessons impact your current financial behavior. Kim emphasizes the need to identify and change any negative patterns that may have been ingrained since childhood.

Next, they explore setting realistic and aspirational financial goals. Kim shares insights on how visualizing big dreams, like owning an expensive home, can motivate you to create actionable steps toward achieving those goals. This process involves regular check-ins and adjustments to your financial plans.

Tracking spending is another crucial aspect of financial self-care. With the help of budgeting apps, you can monitor your expenditures, receive alerts when you exceed your spending limits, and make informed decisions about your purchases. This practice helps keep your finances in check and reduces unnecessary spending.

The episode also addresses the challenge of saving money and building an emergency fund. Kim offers practical tips on prioritizing savings by cutting back on non-essential expenses like subscriptions and takeout orders. Building up your savings can provide a sense of financial security and peace of mind.

Lastly, they discuss the importance of maximizing employee benefits. Many jobs offer benefits that can significantly impact your financial health, such as flexible spending accounts, disability and life insurance, and childcare expenses. Kim advises listeners to check with their HR departments to ensure they are taking full advantage of these benefits.

Tune in to this episode of PennyWise for expert advice on practicing financial self-care and making your money work for you. By implementing these tips, you can achieve a more relaxed and content financial life.

In this episode of PennyWise, host Nat Cardona dives into the critical topic of staying safe from third-party seller scams. Joined by Nerdwallet financial expert Kim Palmer, they explore the various ways consumers can protect themselves when shopping from third-party sellers on major marketplaces like Amazon and Walmart.

These scams often involve setting extremely low prices to lure in buyers, only for the purchased items to never arrive, arrive as something entirely different, or even come with bogus tracking numbers. Nat and Kim emphasize the importance of vigilance and the risks associated with these fraudulent schemes.

Listeners will learn practical tips for identifying and avoiding scams. Kim advises on the necessity of researching the seller before making a purchase, including checking the seller's history of sales and reading reviews from other buyers. Red flags such as limited sales history or poor reviews should prompt consumers to look elsewhere.

The conversation also covers the significance of understanding retailer policies. Major platforms like Amazon and Walmart often indicate whether an item is sold directly by them or by a third-party seller. Knowing this can help consumers understand the level of support and recourse available if something goes wrong with their purchase.

Another essential piece of advice is to always pay with a credit card when shopping online. Credit cards offer built-in fraud protection, making it easier to dispute charges and recover funds if a scam occurs. Nat and Kim stress the importance of regularly monitoring credit card statements and banking reports to quickly identify and address any fraudulent activity.

Tune in to this episode of PennyWise for expert advice on safeguarding your online shopping experiences and ensuring you don't fall victim to third-party seller scams.