Money isn’t just money. Any kind of service that requires your cash deserves your utmost attention because it comes with fine print.
Whether you want to pay someone for a job, you are setting up a new bank account, or you think you might want to empty your retirement account, you need to read the fine print before you make any decisions.
Money Transfers
“Remittances are money transfers from one country to another, often from a foreign worker sending money to their home country.” That’s according to Remitly, who knows a thing or two about sending money overseas! And, as you can probably guess, it comes with challenges.
Not only is money changing hands, it is often changing currencies, which means the latest transfer rate must be taken into account. In addition, it takes a high level of communication for banks and other institutions to know the money has been sent and can be paid.
Looking at the fine print when transferring money will enable you to save on transfer fees, which means more of your money can be sent to a friend or loved one overseas.
Setting up a Bank Account
There’s a lot that goes into setting up a bank account. You start by considering the different kinds of accounts which include:
- Checking
- Savings
- Money Market Accounts
- Brokerage Accounts
- CD’s
- And more
Knowing what you want to do with your money at the bank is important, but it’s also important to read the fine print associated with those accounts. For example, you may discover that your new checking account comes with a monthly fee.
Retirement Accounts
Retirement accounts are especially tricky. As is the case with setting up a bank account, you have many different accounts to consider. Only by reading the fine print will you be able to figure out which account is right for you.
For example, a Roth IRA allows you to contribute after-tax dollars, which means your money grows tax-free, and you won’t have to pay any taxes on it when you withdraw it at the appropriate time. However, you also have the option of a regular IRA, but it can get sticky if you earn a certain amount of money. Talking with a retirement account advisor and going over the fine print is extremely important!
Credit Cards
Don’t forget your credit cards! They are notorious for sounding way too good to be true, and only after you read the fine print do you discover the truth. For example, you may be getting some great cash back on your purchases, but it’s all for nothing if you have a massive interest rate!
Reading the fine print isn’t easy, and it takes a lot of time, but that doesn’t mean you should avoid it. If it involves your money, make sure you know all the details inside and out. That way, you can hold on to more of your hard-earned cash while spending less on fees, penalties, interest, and taxes.
