On Thanksgiving Day, people express gratitude for good
things in their lives including family members, friends, financial security,
and good health. It is also a great time to reflect on positive trends in the
world of personal finance. Below are five recent events in the world of
personal finance to be grateful for:
¨ Interest
Rate Cuts- The Federal
Reserve cut interest rates three times during 2019. This is good news for
home buyers shopping for mortgages, anyone with variable interest rates on
credit cards, home equity lines of credit, and other debts, and people who
refinanced previously issued loans with higher interest rates.
¨ Stock
Market Milestones- The Dow
Jones Industrial Average index reached 28,000 on November 15 and all three
major stock market indexes reached record highs on November 25. This is good
news for the approximately half of Americans who own individual stocks or
participate indirectly in the stock market via mutual funds and/or retirement
savings plans.
¨ High
Interest Savings Accounts-
Robo-advisory firm Betterment launched a FDIC-protected savings account with a
2.69% yield in July 2019. Other fintech firms in the “non-bank bank” space
include Wealthfront and SoFi. Funds are insured because they are deposited with
multiple partner banks. These accounts are attractive to savers seeking lower
fees and higher yields than brick and mortar banks offer.
¨ Equifax
Settlement- Affected
consumers were offered up to 10 years of free credit monitoring or up to $125
(depending upon the number of claims filed). In addition, starting in 2020, up
to six free Equifax credit reports can be requested each year for seven years.
¨ Financial
Planning Turn 50- The
profession that holistically examines people’s finances and helps clients
achieve their goals began with an exploratory meeting at a Chicago hotel in
1969. Today, 50 years later, about 85,000 certified financial planners nationwide
help people manage their finances.
Have a happy
and safe Thanksgiving weekend. Set a goal to learn one new thing each day about
personal finance.
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