Category: Brandpoint Business & Finance

2025-01-15T12:49:00

(BPT) – Remember when digital payment transactions used to take three to five business days? Even transferring funds between accounts seemingly took forever. And, if you were splitting the bill with someone at a restaurant, there was nothing fast about it. You’d give them a check … and then it would take three to five days to clear. It seems so antiquated now. In today’s digital world, that kind of time lag simply isn’t acceptable to many people.

According to a survey by PYMNTS Intelligence, nearly three-quarters of surveyed consumers want their disbursements paid to them instantly, but only one-third receive them that way. That’s one reason Visa is making funds transferred to U.S. bank accounts with Visa Direct available in 1 minute or less starting in April 2025.

Visa Direct is Visa’s global solution for real-time money movement, which provides innovative ways to enable businesses, service providers and consumers to send funds to bank accounts using eligible debit cards. Visa Direct reaches 99% of bank accounts in the U.S.^[1].

“This change underscores Visa’s commitment to accelerating real-time payments in the U.S.,” said Jim Filice, VP, Head of Domestic Real-time Payments, Visa Direct. “At Visa, we are constantly striving to innovate and provide the best possible money movement experiences, and this update will significantly enhance speed and convenience, while maintaining strong security standards.”

Visa Direct supports multiple use cases such as person-to-person payments and account-to-account transfers, business and government payouts to individuals or small businesses, merchant settlements and refunds^[2]. But what does near real-time payments really mean for end users? Here are the top three benefits.

Speed and Convenience

With funds available in someone’s bank account in a minute or less, U.S. cardholders can access their funds in their bank account almost immediately, without having to wait. So, if you foot the bill in a restaurant and your companion sends you a digital payment to cover their share, you’ll have those funds available to take an Uber home.

Going hand-in-hand with speed, the convenience of being able to make and receive faster payments is a huge win for individuals and businesses alike. A waiting period, even if it’s just an hour, seems like a burden now, doesn’t it? We all need the convenience of having our funds available in our bank account quickly.

Security

Have you ever wondered about the security of sending digital payments through a third-party app powered by fintech? Ever had a moment of trepidation when attaching your bank account information to something with no brick-and-mortar?

Visa Direct is built on Visa Net, which has been operating and advancing for more than 60 years, with proven value-added services that address the needs of new risk^[3] and security concerns that have come up as a result of moving money in real time. With security a top priority, Visa has saved consumers and merchants billions by proactively disrupting fraud and working with government partners, including the intelligence community and law enforcement.

Accessibility and Inclusion

According to the FDIC, 5.6 million households in the U.S. are “unbanked,” meaning, people don’t have a bank account. Expanding financial access for consumers and small businesses is pivotal nowadays, and banks are under pressure to quickly implement and launch programs for their customers that stay ahead of their expectations.

Digital wallets are the fastest-growing payment method in the U.S., providing a fast, secure and convenient tool for sending and receiving funds — bank account not required.

Visa works with enablement partners to help expand financial access for individuals, opening the potential for greater financial inclusion and enabling underserved populations the opportunity to access financial products that impact how they live and work.

In addition to enhancing the cardholder’s experience, this new mandate from Visa Direct helps opens new avenues for businesses and governments to grow and thrive. Whether it’s disbursing government benefits, processing healthcare payments, or handling tips in the service industry, the improved reliability of faster funds empowers businesses and governments to operate in real-time more effectively.

Visa Direct is helping to transform money movement, whether it’s around the corner or around the world. It’s enabling a new wave of financial freedom, today. To find out more, visit usa.visa.com/products/visa-direct.html.

2025-01-13T04:01:00

(BPT) – The next generation of energy technologies is coming online, delivering energy that is more affordable, reliable and cleaner than ever before. But what happens to the older generation of power plants as they reach the end of their operational lives? What if those closures directly affected your livelihood — or the economy of your town? This is the challenge facing the power industry today. Nearly a quarter of coal plants in the U.S. are scheduled to be shuttered by 2029, according to the U.S. Energy Information Administration.

Many of these plants are the major employers in their small towns. What happens to those towns when the plants close? It means a loss of employment and it reverberates through all aspects of the community. Retail stores. Restaurants and diners. Everything in the local economy takes a hit when a major employer like a coal power plant closes.

But, what if those plants could be repurposed into something else? It would keep people working, the town diners hopping, the local merchants busy and everyone happy.

Coronado: A case study

That’s just what’s being studied at the Coronado coal power plant near St. John’s, Arizona, which is scheduled to be retired in 2032. In a joint blog, the Bipartisan Policy Center and Terra Praxis highlight that Coronado is part of a study to repurpose coal plants into nuclear power plants, which would not only help keep the local economy humming, but also power the region with energy.

The study conducted by The Idaho National Laboratory’s Gateway for Accelerated Innovation in Nuclear (GAIN) program highlighted significant regional economic and workforce benefits from transitioning the Coronado power plant to nuclear energy. GAIN compared the potential regional economic outcomes of allowing the existing plant to retire versus repowering it.

The findings suggest that a coal-to-nuclear conversion could prevent economic decline, help support regional growth and create additional employment opportunities, potentially surpassing the benefits of continued coal operations.

What’s happening nationwide

With nearly a quarter of the U.S. coal-fired fleet scheduled to retire by 2029, replacing retiring coal power plants with advanced nuclear, specifically small modular reactors (SMR), has been put forth as a strategy to maintain local employment and economic opportunities for existing energy workers and communities, while simultaneously meeting the growing demand for reliable and resilient power and pursuing national climate goals.

Of those plants that are scheduled to retire, the Bipartisan Policy Center reports 80% of evaluated coal plants have the basic characteristics needed to be repowered by an SMR, according to a Department of Energy study analyzing recently and soon-to-be retired coal plants.

That means they have the location, land use types, energy output levels and other factors needed to convert them.

Why do it?

Potential benefits of coal-to-nuclear projects

The Bipartisan Policy Center and Terra Praxis outline several possible key benefits to these projects. According to their research:

• Nuclear energy provides firm, dispatchable clean energy, maintaining grid reliability while pursuing climate goals.
• 77% of coal plant jobs are transferable to nuclear plants with no new workforce licensing.
• Net increase of more than 650 jobs could be created in regions where SMRs repower retiring coal plants.
• Jobs at nuclear plants provide higher wages compared to coal plants, which would boost local tax revenue.
• SMRs can reuse coal plant transmission infrastructure, reducing SMR construction cost and avoiding some permitting challenges.
• SMRs can reuse coal plant electrical equipment and steam-cycle components, which, combined with reuse of transmission and administrative buildings, can reduce SMR construction cost by 17% to 35%.

Challenges that remain

This effort isn’t without challenges. Some hills to climb include:

• Coal plant retirement and SMR operation dates must be aligned for a smooth workforce transition.
• Licensing and technological infancy create uncertainties for SMR construction timelines.
• Some coal plant positions will require extensive retraining or licensing to transfer to a nuclear plant, including operators, senior managers and technicians.
• Some states have laws restricting new nuclear development, which can limit overall coal-to-nuclear opportunities.

The Bipartisan Policy Center is a mission-focused organization helping policymakers work across party lines to craft bipartisan solutions. By connecting Republicans and Democrats, delivering data and context, negotiating public policy, and creating space for bipartisan collaboration, BPC helps turn legislators’ best ideas into durable laws that improve lives. Since 2007, the Bipartisan Policy Center has helped shepherd countless bills across the finish line.

2025-01-09T07:01:00

(BPT) – Small businesses are the backbone of the American economy. They are at the heart of communities, creating jobs, driving innovation, and cultivating local pride. In fact, small businesses make up 99.9% of all companies and employ nearly half of the private workforce, according to the U.S. Small Business Administration.

From the Main Street auto shop to the neighborhood dentist, these businesses embody the entrepreneurial spirit that fuel our nation. Their success is vital to our collective prosperity and the U.S. economy.

That’s why Synchrony partners with hundreds of thousands of small businesses and health and wellness providers, offering flexible financing solutions to help them better serve their customers and communities as well as smart tools and resources to help them grow.

To thrive in today’s competitive and ever-changing market, here’s key proven advice from Synchrony’s small business partners who have successfully adapted to change and bolstered their resilience.

Tip #1: Take Personalization to the Next Level

In a marketplace saturated with choices, small businesses must offer more than great products. Creating a personalized customer experience is essential. This means going above and beyond to provide hyper-personalized experiences that resonate with each customer’s unique needs and preferences.

Data analytics is a powerful tool that can help you understand what your customers like, tailor your offerings and discover new opportunities for growth. Like hospitality and retail businesses use data for personalized rewards, you can use data in your industry to better understand your customers, identify high-value new customer segments, optimize marketing and sales strategies, and deepen customer loyalty.

And the post-purchase experience is also key to building lasting customer relationships. For instance, a first-time ATV buyer who is an aspiring powersports enthusiast needs more than just the vehicle. They need gear, training, licensing information, trail recommendations, and maintenance tips. For dealers, this is your chance to introduce the many service offerings that are available to them before they walk out the door and create a rewarding, enduring experience.

Tip #2: Flex to the Way Customers Want to Pay

Offering flexible financing benefits both your business and your customers. It gives customers access to the products and services they want, while providing small businesses with a steady stream of revenue and working capital to grow and serve more people. This is especially important in sectors like health and wellness, where insurance may not cover all the costs.

Dr. Peter Drews of Drews Dental Services in Maine uses financing to better serve his patients’ needs and streamline his business. By offering CareCredit, a Synchrony financing solution, his patients have the option to pay for the care they want over time and within their budget. This approach not only helps customers manage their finances, but also streamlines the practice’s operations and allows more time and focus for patient care.

Consider introducing financing options that fit your business and help your customers make purchase decisions with confidence.

Tip #3: Invest in Your Employees’ Tech Skills

Your employees are your greatest asset. Investing in their technical skills is a crucial investment in the future success of your business. Providing training and development opportunities that will empower your employees will help deliver exceptional service and enhance their job satisfaction.

Muffadal Simba of Merlin Complete Auto Care in Chicago understands this principle. By investing in new technology, including digital vehicle inspections and upgrading his team’s technical skills, he ensures his staff can provide top-notch, personalized service to every customer. “Teaming up with Synchrony has helped us better reach our customers and grow our business,” said Simba. “We’ve been able to significantly increase sales by investing in new technology using a Synchrony small business grant.”

Explore setting up training workshops, online courses, or mentorship programs to keep your employees’ skills sharp and relevant.

Tip #4: Engage the Community

Getting involved in your community can help your small business build strong connections with people and contribute to the well-being of your local neighborhood. By actively participating in community events, supporting local initiatives, or addressing area needs, you build goodwill, strengthen your relationship with potential customers, and create a lasting impact.

Take Jolene Fitch from Finger Lakes Fabrics as an example. Her quilt shop in Skaneateles, New York, brings the local crafting community together to collaborate with nonprofits and host fundraisers, blanket drives, and hat drives. When Fitch first opened her shop, she distributed 115 free fabric and pattern kits to the community, giving people a chance to handmake and design pillows that were then donated to Sleep in Heavenly Peace, a charity that supplies beds to children in need.

Tip #5: The Best Small Businesses Lift Up Other Small Businesses

Collaboration and mutual support are vital within the small business ecosystem. By supporting other local businesses, you create a network of shared success. This could involve recommending their services, collaborating on projects, or simply offering advice and mentorship.

Ben Stowe of NLFX Professional in Minnesota exemplifies this collaborative spirit. By partnering with manufacturers to offer symposiums and seminars, in addition to selling lighting, audio, and video equipment, he’s not only supporting his own business but also empowering other entrepreneurs with valuable skills and knowledge.

Adopting these strategies is key for small business owners to forge a path toward long-lasting success, contributing to both their bottom line and the vibrancy of their communities. By investing in your business and your community, you’re investing in a brighter, stronger future.

2024-12-24T05:01:00

(BPT) – With all the talk about the economy lately, how did the 2024 holiday shopping season shake out? Were people buying? If so, how did their spending compare to past years? What and where were they buying?

Visa dove into some analysis of the holiday season, via the Visa Retail Spend Monitor, from Visa Consulting & Analytics. The Retail Spend Monitor looks at total retail sales activity across all forms of payments, not just Visa. It uses a subset of Visa payments network data, which processes a staggering 234 billion transactions per year — that’s 639 million each day.

It found that, overall, during the seven-week period starting on November 1, retail spending in the U.S. increased by 4.8% from last year.

“This holiday shopping season, we’re seeing strong consumer confidence as people sought out in-store experiences — and went online — to purchase gifts and celebrate the holidays with friends and family. This spending growth demonstrates the adaptability of both consumers and retailers and the overall strength of the economy,” said Wayne Best, chief economist at Visa.

Here are some highlights of what the analysis found.

We’re going back to the mall… Out of total retail spend in the U.S., 77% was in store versus 23% online. This led total retail spend in stores to grow at a healthy rate of 4.1% (vs 1.6% last year).

…but we still love the convenience of online shopping. It’s so easy to buy what you need from the comfort of your home or office with just a few clicks. Online shopping increased by 7.1%, versus 10.3% last year. It’s not just about convenience, though. Shoppers like how easy it is to compare prices online and look for the best deals.

People still love their electronics… This sector of the retail market had a 4.2% growth rate vs. 2.8% last year. It was driven by new products, holiday deals and home entertainment technology.

…and always love their clothing and accessories. Did you unwrap a festive holiday sweater? You’re not alone. Clothes saw a 5% rise in sales, versus 2.4% last year.

We were nesting, too. Sales of building materials increased by 4.7%, versus a negative 3.9% last year. It means we were making our homes cozy for the holidays.

The whole world was shopping! Across the globe, holiday shoppers were spending. Brazil saw a 12.2% increase, while South Africa experienced 7.0% growth. Both regions enjoyed double-digit growth across all five merchant categories. The U.K. joined the festive cheer with a 2.3% rise, and Australia saw a 7.4% bump in overall spend.

Grinchy fraudsters were still at it. Fraudsters doubled down this year, with Visa reporting that it blocked nearly double the amount of suspected fraud this year versus 2023 during the weekend of Black Friday through Cyber Monday.

What does it all mean? It means people were spending with confidence, and their loved ones got some holiday cheer.

Visa Consulting & Analytics global network of more than 1,500 consultants, economists, data scientists and product designers work across 75 countries, combining payments consulting expertise with the extensive data capabilities of VisaNet. This powerful synergy delivers actionable insights and tailored recommendations to guide informed business decisions and power business growth.

To learn more about how Visa Consulting & Analytics can help clients turn data and insights into actionable business insights, visit https://corporate.visa.com/en/services/visa-consulting-analytics.html.

2024-12-20T07:01:00

(BPT) – If you’re just starting out and don’t have much credit history, the holiday season maxed out your current credit card, or unforeseen circumstances lowered your credit score, this is the perfect time to make New Year’s resolutions to improve your credit rating. Learning how to obtain and use credit cards wisely can make a difference in your lifestyle and future goals.

Here are some practical credit card tips to help you boost your credit score in 2025.

If You Have Little or No Credit History, Consider a Secured Credit Card

Potential creditors want you to have a positive credit history, but you can’t build a credit history without credit. So, how do you get around this catch-22?

One option is to open a secured credit card. Because it’s secured by a cash deposit, a secured credit card is less risky to card issuers and typically easier to get than an unsecured credit card, which is what most credit cards are. Should you default on a secured credit card, the card issuer can use the cash deposit to cover or minimize any losses.

Other than requiring an initial deposit, a secured card works pretty much the same as an unsecured credit card, including typically reporting your card activity to one or all three of the major credit bureaus. If you’re using a secured credit card to build a credit history, it’s important to verify that the card issuer does indeed report account activity before applying. There are some secured cards out there that don’t.

If you are set on an unsecured card, apply for one meant for people with an average or little credit history that can help you begin to build credit, like the Credit One Bank Platinum Visa. These cards typically come with a lower credit limit, but can, with smart usage, help build your credit history without requiring a deposit.

Apply for New Credit Sparingly

Every time you apply for credit, it typically generates a hard inquiry, which could lower your credit score by as much as 10 points. Say you apply for four credit cards in one week — that’s a potential 40 points your credit score could drop in seven days.

To avoid taking too many hard-inquiry hits, try seeing if you pre-qualify for credit cards on the company’s website. Doing this allows you to get a good idea of whether you’re likely to be approved without generating a hard inquiry. Just understand that pre-qualifying for a credit card does not guarantee you will be approved for it. To get a definitive thumbs-up or -down, you have to formally apply for the card.

Choose Credit Cards Wisely — and Make the Most of Them

Which cards you use makes a difference, especially when you want to get the most from the benefits or rewards they offer. The Credit One Bank Platinum X5 Visa is available to people with average-to-excellent credit who want to maximize their rewards earnings^*. The Platinum X5 Visa gives cash back on every purchase, with premium reward opportunities on everyday categories like gas and groceries. Cash back rewards accumulate over time and can be used to lower your account balance, or to purchase merchandise and gift cards. In addition, X5 cardmembers can optimize cashback rewards by making purchases in categories with the highest reward levels — including necessities you spend money on every day^*.

Pay Your Credit Card Bills on Time, Every Time

Payment history is the number one factor in calculating credit scores in the two most popular consumer credit scoring models. It accounts for 35% of your FICO^® Score and 40% of your VantageScore^®. If you want to positively influence your credit score, consistently pay your bills by their due date.

You don’t have to pay your outstanding balance in full each month to accrue a positive payment history — although, doing so should help save you money in interest and contribute toward making your debt more manageable. But you do have to pay at least the minimum amount due, and it must be received by the creditor by the payment due date for your payment not to be considered late or missed.

Lower Your Credit Utilization Ratio

Your credit utilization ratio is a mathematical expression of how much of your available revolving credit you’re using, and it’s another important factor in calculating consumer credit scores. To be safe, try to keep your credit utilization ratio below 30%, which means your outstanding balances should remain below 30% of your overall available credit. For example, if your credit card has a $1,000 limit, your outstanding balance should be no more than $300.

Learning to use credit cards wisely can take time, but it’s well worth the effort. Identifying financial goals and taking steps toward achieving them could be the most important resolution you make this year.

^*Terms Apply. Visit creditonebank.com for more details.

2024-12-19T13:01:00

(BPT) – The state of California has not raised auto liability coverage limits for more than 50 years, but that is set to change beginning next year. The new legislation, introduced in 2022 to keep pace with rising medical and repair costs, will require higher liability coverage limits for drivers and will take effect on Jan. 1, 2025. As we approach the new year, Mercury Insurance wants to help consumers better understand what these new limits entail.

“With the increase in liability coverage limits, California drivers will be more likely to have the coverage they need to pay for an accident without going into debt,” said Justin Yoshizawa, Director of Product Management for Mercury Insurance. “However, some drivers may notice an increase in their premiums next year, which means now is a great time to get in touch with your insurance agent to review your policy and maximize savings with potential discounts.”

Here’s what California drivers should know about the mandate:

What are the new coverage limits?

Currently, California requires motorists to carry liability insurance with minimum limits of $15,000/$30,000 for Bodily Injury and $5,000 for Property Damage. Starting in 2025, this will increase to $30,000/$60,000 for Bodily Injury and $15,000 for Property Damage.

When will the new coverage limits take effect?

New liability coverage limits will go into effect on Jan. 1, 2025. Drivers who are impacted should see the change in their next policy renewal after that time.

Why is this change happening?

Despite being home to the most licensed drivers in the country, the state of California has not raised auto liability coverage limits for the past 56 years. During that time, the costs associated with getting into an accident — medical bills and repair costs — have risen significantly due to inflation. The changes are intended to provide California drivers with greater financial protection amid these rising costs if they were to get into an accident.

Will this affect insurance premium for drivers?

This will affect premiums for drivers who currently carry the minimum coverage and are bumped up to the new limits as a result of the mandate.

What do drivers need to do now?

No action is required on the part of drivers. All existing policies with lower limits will be renewed with the adjusted minimum limits on or after Jan. 1, 2025. However, it would be a good idea to reach out to your insurance agent to review coverages and potential discounts that may be offered.

“These new coverage limits will remain in place for the next 10 years, after which another increase will go into effect,” said Yoshizawa. “The good news is that California drivers will be more adequately insured to cover repairs or injuries following an accident.”

2024-12-18T17:01:00

(BPT) – As you look ahead to the new year, you may think about ways to help your kids succeed in life as they navigate their way through school — whether that means elementary school, high school or college — and eventually into adulthood. While money can be a tricky topic to navigate, especially if it was a taboo topic when you were younger, start the conversation to help them benefit from your experiences. Finding tools together that can help kids learn how to best manage their own finances as they grow and mature will help set them up for financial success in the years to come.

To help you get started, here are tips that make it easier for kids of all ages to learn how to save, budget and begin managing their finances more independently.

1. Start the conversation

Even when kids are in elementary school, start talking about money in a realistic way so they can understand how it’s used to support your lifestyle. Begin the conversation in an age-appropriate way that highlights ideas such as knowing the difference between needs and wants, saving for something special and tracking the money you earn as well as the money you spend. For example, young children can understand the idea of saving up money from their allowance or lemonade stand to buy something they want in the future.

2. Take notes and use tools

As your kids get older, explain the budgeting basics — even as simple as listing what you earn and what you spend, so you can ensure you won’t spend more than you have. Any leftover money is best put in savings first, then they can consider working toward items or experiences they might want to buy. There are many budgeting resources out there, so you can find the one that works for you, including budget worksheets to track spending. The Snapshot feature in the Chase Mobile app provides a daily digest of spending, highlighting top categories to help them plan accordingly.

3. Get organized and go digital

Financial confidence starts with getting organized. You can find easy-to-use budgeting tools that work for kids and parents both, with different levels of parental oversight and management suitable for different age groups.

For example, accounts like Chase First Banking are designed with students ages 6-12 in mind (and available for kids 6-17) with parents having full ownership. The account gives kids tools, tips and safety features to help them learn money basics — all with no monthly service fee.

Students ages 13-17 can opt for Chase High School Checking^SM — a checking account co-owned with a parent to provide oversight and monitoring — which offers tools and resources for students to learn how to manage their money with confidence, all with no monthly service fee. This is ideal for kids with jobs who need direct deposit, and they can pay friends with Zelle. This checking account helps high school students with these firsthand digital transactions and account balances which can help with budgeting and saving.

Chase College Checking^SM is available to students ages 17-24 in college, university, community college, or a vocation or technical school, providing access to digital banking tools to help them stay on top of their finances throughout the semester. Chase College Checking gives students the tools and resources to manage their money independently, with no monthly service fee for up to five years while in school.

4. Plan for the future

According to Bankrate, 59% of Americans are uncomfortable with the amount of emergency savings they have, and 27% have no emergency fund at all. It’s important for kids of all ages to know that unexpected events in life can happen, and planning ahead may help reduce stress and better cope with whatever may occur. For this reason, building an emergency fund or saving for a rainy day is a crucial skill to learn. Features like AutoSave will help them set, track and meet savings goals to help them prepare for the future.

Throughout their formative years, your kids can start learning and practicing vital money skills that will stay with them for life, as well as how to use financial tools so they will be able to stay on top of their finances and achieve their goals.

Learn more about all the options available to get your kids started on the right financial footing at Chase.com/studentbanking.

Bank deposit accounts, such as checking and savings, are subject to approval.

Chase Mobile^® app is available for select mobile devices. Message and data rates may apply.

Zelle and the Zelle related marks are wholly owned by Early Warning Services, LLC and are used herein under license.

Deposit products provided by JPMorgan Chase Bank, N.A. Member FDIC.

2024-12-18T19:01:00

(BPT) – The beginning of a new year is a time when many people take stock of their lives, addressing important tasks like getting wellness exams or scheduling home maintenance. To help protect your home and property, these two steps should be at the top of your list: Getting an annual insurance check, and taking a home inventory. These steps can help you have peace of mind that you’ve got the coverage you need, should the unthinkable happen.

Here’s why it’s so important to do these tasks on an annual basis, from the experts at State Farm Insurance.

Annual insurance checks

Scheduling an annual insurance conversation with your insurance agent gives you the opportunity to ask questions about your home coverage, as well as ensure that all your vehicles are adequately covered — and new drivers are added to your coverage.

During your annual check, your agent can help you estimate the replacement cost of your home. While the amount of coverage you select is ultimately your choice, your agent can explain your options so you’ll make an informed decision based on the amount of coverage to rebuild if necessary. This is also a good time to ensure that you’ve told your agent about changes to your home that may impact your coverage needs, such as additions or remodeling.

It’s critical to understand the difference between the market value of your home and the replacement cost:

• Market value: the amount a buyer would pay for your home, including the land, regardless of how much it would cost to rebuild the home.
• Replacement cost: the rebuilding cost necessary to replace your entire home.

Insurance agents recommend purchasing an amount of coverage at least equal to the estimated replacement cost, but the choice is yours. To determine the most accurate current replacement cost for your home, you could ask if a replacement cost estimate is available during a home appraisal, or consult a local builders association or reputable builder for an estimate. Building contractors or professional replacement cost appraisers are good sources for determining the estimated replacement cost of your home.

When you upgrade or improve your home, you may need to increase your home’s estimated replacement cost, which is another good reason to reevaluate this regularly. Replacement cost estimates are also influenced by labor and materials costs that are subject to change, so keeping up with the current market conditions in your area and changing your home insurance coverage amount accordingly will help you maintain coverage that’s at least equal to 100% of your estimated replacement cost.

Since it’s impossible to predict what the exact cost will be to replace your home in the future, assessing this amount annually means you’ll be more likely to have enough coverage to account for unforeseen circumstances.

Why a home inventory is crucial

Before scheduling your annual insurance check, take a complete home inventory so your records are up to date. It’s easy to be unaware of how many belongings accumulate in your home over time, which is why it’s key for homeowners to conduct a home and personal property inventory before a catastrophe or unexpected damage might occur. A home inventory is an excellent way to make sure you will be able to replace things in your home including furniture, home essentials, clothing and more.

Whether you live in an apartment or a house, a home inventory is an excellent way to help you make the best homeowners or renters insurance decisions. This will also expedite insurance claims in the event of theft, damage or loss. While it may sound daunting, there are three ways to make your inventory, so choose the method that seems easiest to you.

• Written inventory: List your belongings, including item descriptions (make, model and serial number, if applicable), value and purchase date. Create your list using a spreadsheet, or fill out a home inventory checklist that’s ready to go, like a checklist from State Farm Insurance. Gather documents like receipts or photos that support your inventory.
• Digital inventory: If you have a smart phone, there are downloadable apps, some of them free, to help you make a digital inventory. Home inventory apps let you record a photo of each item along with its description, value and purchase date.
• Visual record: You can use a visual record of your possessions to show proof of ownership with a video walk-through of your home, or through a series of photographs.

Another option is combining a couple of these methods, if that works best for you. Making an accurate, up-to-date record of your insurable assets will help you determine the right amount of insurance coverage you need.

For additional tips and to help you get started, check out the blog “How to Create a Home Inventory” at StateFarm.com/simple-insights.

This content sponsored by State Farm

2024-12-16T07:01:00

(BPT) – When you look at your 5-to-10-year life plan, is a new car, wedding, or buying your first home on your vision board? There is one key behind the scenes that you need to unlock access to funds to reach these goals: a good credit score.

A good credit score can make accessing credit easier and less expensive. But how do you build one? Applying for and obtaining a credit card can be a good first step.

“Credit is a powerful tool to help young people manage daily expenses and reach important life milestones,” says Max Axler, Chief Credit Officer of Synchrony. “That is why it is important to learn responsible credit habits well before you apply for your first credit card.”

Here are five tips for responsibly building credit for first-time credit card holders from the experts at Synchrony:

#1. Think of your credit score like a GPA

Credit scores are like grades in school. Just as good study habits can lead to a good GPA, responsible credit habits lead to a good credit score. A higher credit score is like a ticket to financial freedom that can make it easier to qualify for loans and to purchase things you want and need down the line. And just like you improve your grades in school, you can improve your credit score by staying on top of your spending, your payment due dates and staying within your means. You can even set up autopay to make sure you don’t miss a payment just as you would set up specific times each week to study.

#2. Choose your first credit card wisely

When used responsibly, credit cards are often the easiest and most effective way to build a credit profile. There are many different types of credit cards and picking the right one for your needs is important. A store credit card, that can be used at a specific store, is a great option for those with little or no credit history.

“There is typically more flexibility in approving applications for store cards,” says Axler. “They have lower credit limits and can only be used in-store, which is often more manageable for beginners, and also offer special promotions and perks while shopping at your favorite stores.”

Another option is a secured credit card, which employs a simple, responsible spending concept. To open a secured card requires a cash deposit and the amount deposited becomes your spending limit. Because you are using your own money for purchases, it’s like a debit card, but helps build your credit history.

#3. Make good credit habits a lifestyle

Once you’ve got a card, stick to habits that will help boost your credit over time. The most important habits are:

• Pay on time: Missing payments can seriously hurt your score, so setting up autopay for the bills to automatically withdraw payment from a bank account monthly is a good option. But don’t just set it and forget it. “It’s important to still monitor account activity to keep track of spending,” said Axler.
• Keep your balance low: Stay below 30% of your credit limit, as this shows you are managing credit wisely and not spending beyond your means.
• Only spend what you can pay off each month: It might be tempting to splurge, but a credit card is not free money. Carrying a high balance means more incurring interest charges which will cost you more for your purchase.

#4. Use free credit checks to stay on track

Check your balance frequently to track spending and monitor for any errors or potential fraud on your accounts. Balances can creep up quickly if you are not paying attention.

And, checking your credit status is free and simple! The three large credit bureaus — Equifax, Experian and TransUnion — offer access to your credit reports on their websites for no charge. You can also get a free copy of each of your credit reports from the three credit bureaus on AnnualCreditReport.com.

Even if you’ve never used a credit card, it’s a good idea to check what’s currently in your credit file to ensure you have not been a victim of identity theft.

#5. Learn responsibility as an authorized user

Not ready for your own card yet? You could ask a parent or family member to become an authorized user on their account. This means you get a card in your name, but it is linked to that family member’s account. It’s a lower-risk way to start using and building credit.

This approach is advisable on a card with a low credit limit, because it is a safeguard from racking up too much debt — which would hurt both of your credit histories.

If you go this route, make sure you understand the boundaries with your family member and spend responsibly. Check in with them and review your spending together to avoid any surprises.

Remember, your credit score is based on a lifetime of transactions. By starting your credit journey on the right foot today, you will pave the way for a healthy financial future and achieving your dream purchase goals of tomorrow.

2024-12-12T08:31:00

(BPT) – The end of the year provides a natural moment for reflection. Millions of individuals take this time to make resolutions and set themselves up for a productive new year, and your business can benefit from the same approach. An annual review of your business can set the stage for a successful year ahead. From assessing goals and staffing needs to reviewing processes and identifying potential gaps, the new year is an ideal time for strategic alignment and planning.

According to research from Bridges Business Consultancy, 48% of leaders spend less than one day per month discussing strategy. It’s no surprise, then, that 48% of organizations fail to meet at least half of their strategic targets.

“With 2025 just around the corner, now is the perfect time to look back on the past year and recalibrate,” says Brittney Passini, director of commercial lines product development at Acuity Insurance. “What have you accomplished this year? Have you made any changes you need to account for in your planning for next year?”

Passini emphasizes that the new year is not only a time to evaluate performance and set business goals but also an opportunity to ensure your insurance coverage reflects your evolving business needs. Below, she offers four tips to help position your business for success:

1. Review Last Year’s Performance. By analyzing your business’s financial performance, project completion, employee and client relationships, and more, you can identify the best next steps for your business. Reflect on your successes and setbacks to identify operational areas needing attention. Also important, evaluate how changes — such as increased property value, expanded operations or new risks — may impact your insurance coverage. A review of your performance should go hand in hand with a review of your risk exposures.
2. Update Your Business Plan. Without clear goals, progress is difficult to measure. If you don’t already have specific business goals outlined, consider setting short- and long-term objectives. Rank and prioritize them based on return on investment, efficiency or productivity metrics so you can visualize progress and set priorities. Consider how trends and changes in the market, including shifts in consumer behavior and potential new regulatory requirements, could impact your goals.
3. Conduct Your Annual Insurance Review. Expanding your business, changes to your operations and increasing property values can all impact your insurance needs. An annual policy review is a great idea to ensure your coverage reflects the realities of your business. Confirming your business has the right coverage can mean the difference between bouncing back from a loss and having to close your doors. This review provides a great opportunity to check if you have enough coverage for your growing business and are covered for risks you may not consider as often, including cyberthreats and supply chain disruptions. Partnering with your local insurance agent during this review can help ensure you have the right coverage tailored to your specific needs.
4. Put an Emphasis on Safety. Operating safety can benefit your bottom line and retention as well as help maintain your reputation. Engaging with your insurance provider to identify risk management strategies for your business can amplify the benefits. Providers like Acuity offer loss control services that help you identify potential risks and take steps to mitigate them before they become accidents. Some techniques that can improve safety include updating training, completing risk assessments and implementing new safety measures. Working with loss prevention and risk management professionals from your insurance company can help you identify which strategies to take.

The new year is an ideal time to set your business up for success. Strategic planning should involve all aspects of your operations — including your insurance coverage. For help confirming your insurance is adequately serving your business, and to optimize risk management strategies, reach out to an independent insurance agent.