RU Debt Free

02/27/2017

Spring Break Budgeting Tips
By, Carla Hindman, Director of Financial Education, Visa Canada

As spring break approaches, some families may be planning vacations to take advantage of the much-needed time off work or school. But worrying about paying for the vacation can sometimes take the "fun out of the sun". Here are some tips to help you plan your trip wisely:

Create a budget. Before you decide on a travel destination, or plan activities, figure out how much you can afford. The main categories to consider when creating a vacation budget are transportation, accommodation, meals, sightseeing, shopping and entertainment.

Make sure to include the less obvious costs such as checked baggage fees, sales and hotel taxes, tips and taxis in your budget. Travelling often comes with unexpected expenses, so when budgeting for your trip add an extra 10 per cent more than you anticipate. That way, instead of scrambling for cash at the end of your trip you may end up with a little extra to spend or even be able to save for your next trip!

Start saving. Once you have determined your vacation's 'price tag', figure out how much you'll need to save. If you need some help setting aside cash, there are personal finance tools that can help, such as the Practical Money Skills Travel Budgeting Calculator.

Shop around. Look for vacation deals and packages online. Travel websites often feature airline, hotel or car rental coupons and promotions. And if you have trouble tearing your kids away from their smartphones, this may be the perfect opportunity for a teachable moment! Have your kids help research potential locations and costs online. The technology they are using can be very effective in budgeting, pricing and planning travel.

Sign up for local discount websites. Before travelling, consider signing up for discount websites at your destination and be on the lookout for great deals on restaurants and excursions. Often these sites offer two-for-one coupons, which can allow you to get more bang for your buck.

Call directly. Calling the airline or hotel to book reservations directly can save you money, allowing you to spend more on the fun stuff. If you're ok with last minute plans, you can also find hotel deals as the vacation date approaches when last-minute available rooms need to be filled. The same applies for last minute flights.

Consider a road trip. Driving is typically less expensive than flying. If you are travelling with friends, you can all pitch in to cover expenses. Plus, stops along the way can lead to unexpected adventures!

Put your membership dollars to work. If you belong to an auto club or have credit cards with particular travel benefits, see if they can be used to offset the cost of the trip, or to access deals and discounts at your destination.

Get a phone package. If you plan to take a mobile phone, avoid roaming charges by setting up a travel package with your service provider in advance.

Following these tips can help you enjoy spring break without financial regrets once you come back to 'reality'. A budget may seem restrictive, but it will keep you from worrying about money so you can focus on having fun.

This article is intended to provide general information and should not be considered legal, tax or financial advice. It's always a good idea to consult a tax or financial advisor for specific information on how certain laws apply to your situation and about your individual financial situation.

11/28/2016

Catching a 'phish': how not to take the bait
By, Carla Hindman, Director of Financial Education, Visa Canada

A generation ago, families didn't spend a lot of time worrying about financial fraud. Today, fraud attempts are perpetrated via many channels, such as over the phone, through the mail and increasingly, online. It's an equal opportunity crime that can affect consumers of all ages.

"Phishing" "smishing," "vising" and "pharming" are just a few of the ways criminals can gain access to personal information through your computer or smartphone. Identity thieves can use harvested information to open fraudulent bank or credit card accounts, take out loans, or even rent apartments. Here are some fraud scams to watch out for:

Phishing. This is where you receive an email, supposedly from a trusted source like a government agency, bank or retailer, that asks you to supply or confirm account information, log-in IDs or passwords. Theses imposters are "fishing" for your personal information. Legitimate organizations never ask you to verify sensitive information through a non-secure means, such as email. There are two types of phishing: clone phishing (previously-delivered, legitimate email with a malicious attachment or link), and spear phishing (targets specific individuals or companies sent from a known user).

Smishing (for "Short Message Service"). Smishing is like phishing, only it uses text messages sent to your cellphone. If you've ever received texts from a random number asking you to be a "mystery shopper for $500 a week?" or telling you that you've "won a free vacation?", chances are it could be a smishing scam. Even if you don't share any information, just by responding you're verifying that your phone number is valid, which means it could be sold to others who will try and trick you into their scams.

Vishing (Voice Phishing). In vishing scams, live or automated callers pose as your bank or credit card issuer and call under the guise of fixing a problem (like theft or overdrawn accounts), and attempt to extract personal or account information. Keep a list of toll-free service numbers for all financial companies you use so you can call them directly without fearing you've been given bogus information. If the person on the other end of the phone is attempting to coerce you into sharing your information, chances are they are fraudsters.

Vishing can include tax scams- a phone call claiming to be the Canada Revenue Agency. Many times they tell you that you owe "back taxes" as a result of an audit and that they must be paid immediately to avoid a fine or a warrant for your arrest. Often times fraudsters suggest payment through methods such as gift cards.

Another example of vishing is the lottery scam, where people are advised over the phone that they are the winner of a large lottery or sweepstakes, but prior to receiving winnings, they must first pay an upfront fee (but no winnings are ever actually received). It's a good rule of thumb to never give out credit card information over the phone unless you initiated the call.

Pharming. With Pharming, hackers redirect you from a legitimate website to an imposter site where your personal information is harvested ("farmed"). Social networking sites are increasingly being targeted, so always be wary of open links- even from trusted friends- because their accounts may have been hacked.

A few tips for spotting risky emails and texts:

Beware of subject lines and body copy that uses ominous or threatening language (e.g., "your credit card has been suspended").
A lack of a personalized salutation or closing details (e.g. "Dear Valued Customer") may indicate a fraudulent message.
Watch for typos, poor grammar, punctuation, capitalization consistency and other warning signs that it's not legitimate.
Scroll your mouse over any embedded links before clicking to check for suspicious domain ending like ".be."
Verify that an alert or request for information is legitimate by looking up the company's phone number and calling it yourself.
Make sure your anti-virus or anti-spyware product is updated.
Here are some tips on how to prevent becoming phish bait:

Never write down your Personal Identification Number (PIN)-memorize it.
Never disclose PIN numbers to anyone.
Report suspicious activities on your credit card or bank account to your issuing bank immediately.
Don't share any personal information such as birth date or credit card information over the phone, through the mail, or over the Internet, unless you have initiated the call and know the business you are dealing with is reputable.
Sign up for fraud alerts from banks, credit card issuers or investment companies to receive immediate notice of unusual or potentially illegal activity on accounts.
For more tips protecting personal and account information and preventing online fraud, visit:

The Canadian Anti-Fraud Centre
Visa Security Sense, which features tips on preventing fraud online, when travelling, at retail establishments and ABMs, via deceptive marketing practices, and more.

10/24/2016

CLASS REMINDER: BANKING

Good morning participants!
Just a reminder that the RU Debt Free program continues today. Our second class: Banking! Don't worry if you missed the first class!

Morning class begins at 10am and Afternoon class begins at 2pm. Both classes will take place in the ILC building (240 Jarvis St) in the Paris/London Room. (First room on the right when you enter)

See you there. Let's make some money!

10/17/2016

CLASS REMINDER:

Good morning participants!

Just a reminder that the RU Debt Free program begins today. Our first class is my person favourite: Budgeting!

Morning class begins at 10am and Afternoon class begins at 2pm. Both classes will take place in the ILC building (240 Jarvis St) in the Paris/London Room. (First room on the right when you enter)

See you there. Let's make some money!

10/13/2016

Financial Literacy is becoming more established in the elementary school curriculum. For those of you university students who didn't get the privilege of learning: how to budget, save, and pay for school when you were younger... our classes start next week.

Sign up and we'll teach you how to make money by better managing the money you already have.

Sign up link: http://www.ryerson.ca/financialservices/about/services/ru_debtfree/

Share with friend, free food will be provided.

09/10/2016

For all the young professionals in school, learn how to budget your cost of living in Toronto.

The article covers the average cost of renting, groceries, transportation, and more.

Read below
http://notable.ca/breakdown-this-is-the-minimum-amount-of-money-a-young-professional-needs-to-live-in-toronto/

We breakdown the minimum amount of money a young professional needs to live in the city of Toronto, Ontario.

08/31/2016

A crash course in credit card basics for post-secondary students
By, Carla Hindman, Director of Financial Education, Visa Canada

There may be a lot of good reasons for post-secondary students to consider getting a credit card: it's a good way to start building a solid credit history, it can be safer than carrying large amounts of cash and can be a lifesaver in an emergency. But inexperienced credit card users who don't fully understand how they work, or who don't appreciate the need for restraint and responsible spending, can find that they've dug themselves into a deep financial hole if they are not careful.

This past August, I spent some time with some high school students at Bay Street Boot Camp (BSBC) to give them a crash course in credit card basics. BSBC is a five-day summer course hosted by the Junior Economic Club of Canada that brings students from across Canada to the heart of Toronto's financial district to teach them about personal money management education with a special focus on entrepreneurship and business plan writing. BSCBC provided a great opportunity to see how these students were interested in learning about the different financial tools that are available to them – we spent a lot of time talking about the true cost of credit and how to read and interpret a credit card statement.

So, if you're just starting to build your credit history, or have a child who is, here are a few tips for responsible credit card use:

Read the fine print. University students are often deluged with “enticingâ€� credit card offers. Don't apply for a credit card solely because it offers a free gift, and be wary of cards that offer low 'teaser' interest rates – those rates may rise dramatically after a few months. Instead, look for a card with low or no annual fee and make sure you understand what the monthly grace period is (the time before monthly interest starts to accrue).

Ask about late payment and over-the-limit fees. This information is spelled out in the application process, but make sure you fully understand what it means. Look for a card that offers a leniency period with no additional charges, in case your payment gets delayed.

Pay off the full balance owed each month, whenever possible. Using a credit card is like taking out a loan. If you don't pay your credit card balance in full each month, you'll pay interest on that loan. While it can be convenient to consolidate spending on a credit card, remember that having to pay more because of added interest isn't ideal. Practical Money Skills features an interactive calculator to help you estimate the true cost of credit card purchases over time by entering different annual percentage-rate and monthly payment scenarios.

If you can't afford a purchase today, chances are you won't be able to afford it in a month when the bill arrives. Also, understand the full costs of using your credit card for cash advances, which carry much higher interest rates and start accumulating finance changes immediately. This can lead to a downward spiral of debt that may be difficult to overcome.

Explore other alternatives. If you want the convenience of carrying a payment card without the risks of incurring unmanageable debt, there are other options such as debit cards (where money is drawn directly from your chequing account), and prepaid cards, where the funds are added to the card first, and then used.

If you're worried you are going to start missing payments, contact your credit card issuer. They may be willing to work out a repayment schedule that won't damage your credit rating, since that could make it difficult to rent an apartment or buy a home or car later on. Also, many employers and insurance companies run credit checks on prospective employees, so you will want to consider how a poor credit rating could impact your employability in some cases.

Bottom Line: Students have enough to worry about with mid-terms and piles of laundry – getting an 'F' in credit cards shouldn't be one of them.

This article is intended to provide general information and should not be considered legal, tax or financial advice. It's always a good idea to consult a tax or financial advisor for specific information on how certain laws apply to your situation and about your individual financial situation.

08/22/2016

By the time we're 65 many of us may not have a solid pension plan to retire comfortably on. How does retiring with $1,000,000 sound?

Read below and start planning for your future!

http://www.businessinsider.com/build-a-million-dollar-retirement-account-2015-7

It doesn't take much if you start young.

08/10/2016

Please take some time to read about the increases to Canada Student Grant amounts and the changes to student loan repayment.

http://www.cbc.ca/news/canada/kitchener-waterloo/federal-student-grants-increased-aug-1-1.3700762

The federal government is increasing university student grant amounts for low- and middle-income families, beginning August 1.

07/05/2016

Health and Wealth: Working out on a budget
By, Carla Hindman, Director of Financial Education, Visa Canada

It's true – good health really does save you money. While the health care system in Canada covers basic services, there are some expenses that are not covered, such as dental, optometrists and prescription medications. Single or family insurance plans can help supplement primary health coverage, but they may only offer partial coverage. The road to good health starts with making small adjustments to your lifestyle and it doesn't have to cost an arm and a leg. So before you buy those cross-trainers or sign on the dotted line at the gym, consider the following tips:

Select a workout you like. If you loved swimming or jogging as a child, consider those sports a good place to restart your fitness regimen. Resume your fitness habits modestly but consistently with activities you likeand, if they require a facility, test it out for a few days so you can comparison-shop.

Check with your doctor. Yes, you've seen this warning before for all sorts of reasons, but if you plan to start a particularly rigorous exercise regimen or set a big goal like running a marathon, it makes sense to review potentially costly health risks. Your physician might even have insight into groups or facilities at reasonable rates to help support your goal. Keep your doctor in the loop.

See what breaks your employer offers. Some companies will pick up the cost of a gym membership, smoking cessation classes and even have weight-loss incentive programs that can cut out-of-pocket expenses. Others might offer certain health-based benefits pre-tax, which gives you the opportunity to lower your overall wages–and annual tax burden–through pre-tax deductions. All the more reason to read your benefits summaries and speak with your human resources staff.

Put your tax dollars to work. Check out Government funded facilities and activities that are already available in your community to see what they offer. Community centers are great resources for inexpensive or free classes. You might be surprised how many free public tennis courts, swimming pools and other recreational spaces are available in your city or town. Parks also provide a great free space to start getting active!

Don't overlook what's right in front of you. Many colleges have built exceptional fitness centers in recent years and charge reasonable rates for alumni and community members –worth a look if your alma mater is local. Also, if you live in a development or building with an exercise room in a clubhouse or common area, look into giving that space and equipment a fresh look–it's included in your rent or assessment anyway. Don't forget about online workouts! Explore the variety of workout YouTube videos and apps available at your fingertips.

Know when to join. Check out a gym membership at the peak of summer when everyone's heading outside. You might even consider a series of “free†startup memberships until you decide on a particular venue to join. And always ask if you can get lower annual or monthly fees by making more than a one-year commitment. Also, if a membership/warehouse club you belong to is selling fitness memberships at a reputable chain, compare its retail rate to what you could pay through your club membership directly.

Find buddies. You've seen them when walking or driving past a park or other locations around town–people who run together, walk together or dance together. Joining a fitness group doesn't have to cost any money at all; you might make new friends that will hopefully challenge and motivate you to stick with it.

Get out of that chair. Sitting still can impact your health. Consider a pedometer or walking app to measure your daily steps, and consider adding more walking to your commute. Every step helps and walking is free. If possible, leave the car at home and take public transportation, which will also likely require more walking.

You don't need all of the latest gear. Unless you need specific clothes or equipment for protection or safety, raid your closet to save on your fitness costs. Keep it inexpensive and focus on improving your health. Consider setting workout milestones and reward yourself with a new purchase after hitting your goals.

Bottom line: Poor health habits can cost more than you may realize. Working out doesn't need to cost a lot and there are plenty of ways to do it on the cheap–or for free.