Financial guidance for maturing adults and managing the financial responsibility of family life
Maximizing your paycheck in your 30s and 40s is a priority during this time when your income tends to rise. You may have discretionary income for travel and hobbies, and the challenge is to find the right balance between spending and saving. For an accurate estimate, consider at what age you would like to retire and the lifestyle you plan to have. You can do this with the Texas Community Bank retirement calculator. The financial decisions you make now will have the greatest impact on the lifestyle you will enjoy during retirement. It’s important to note that people are retiring earlier and living longer, and you may need more money in the future than you think.
By the time you have a family of your own, there will be accompanying expenses such as fees for various activities and lessons for your children, family vacations, saving for college educations or buying a new home. Throughout this time, you should regularly evaluate your progress towards achieving the financial goals you set earlier in your life and adjust your spending, budgeting and saving to make sure you stay on track. With all the demands a family places on your income, it is still important to build your long-term investments.
Planning and discipline helps to determine how you spend and how you save to contribute to your future financial success. Here are some tips for sound financial management during this demanding time of your life.
1. Shop for the best mortgage and consumer loans
Seeking the best mortgage or consumer loan by shopping, comparing and negotiating may save you thousands of dollars. A mortgage-whether for a home purchase, refinancing or a home equity loan-is a product, just like a car, so terms may be negotiable. You will want to compare all the costs involved in obtaining a mortgage including interest rates, points, fees and down payment and private mortgage insurance requirements. Home equity loans can be helpful when extra cash is needed to reduce significant credit card debt-but be cautious about re-building credit card debt once it is paid.
With competitive rates, experienced lending professionals and local decision-making, you’ll be sure to find a loan at Texas Community Bank that meets your needs. To apply for a mortgage or consumer loan now stop by and talk with one of our lending officers or call them at (956) 722-8333.
- Fixed Rate Mortgages
- Adjustable Rate Mortgages
- Construction Loans
- Installment Loans
- Home Improvement Loans
- Second Mortgage Loans
- Home Equity Loans
2. Understand your credit report
Your financial behavior over the past seven years, including how much credit you have, how long you have had it and whether you pay your bills on time is information included in your credit report. Three credit report agencies - Equifax, TransUnion and Experian - maintain these reports, and lenders buy them to help them decide whether to offer you a prequalification. Your credit report also carries your credit score ranked between 300 and 850 that many lenders use to decide whether you are creditworthy and will repay a loan. Your credit score can also influence the interest rate you pay. In many cases, the higher your score, the lower your interest rate. Your credit score is available from three credit reporting agencies:
3. Start saving for College
By starting early, when your child is in preschool or before, you can build a realistic fund through the power of compounding over many years. The earlier you start, the less you’ll have to save per month.
4. Conserve time, money and paper with Texas Community Bank's online banking, bill pay and ATM services
You will reduce the time it takes to pay your bills and save on the expense of printed paper checks and postage while helping the environment as well.
- Free Star Checking Account Our no-cost, no-frills consumer checking account.
- Lone Star Checking Account Our traditional account for consumer customers who prefer to receive check images with their statement
- Texas Star Savings Account Our traditional savings account
- Rising Star Checking Account An Account specifically designed for high school and college students 16 years to 25 years old. An all electronic account with no checks issued.
- Bill Pay Service Bill Pay is a secure and safe way to send your payments electronically from your checking account. Saving you time, money and late fees.
- Texas StarCard A Card to simplify your busy lifestyle
- E-Statements Save time, paper and postage with electronic statements
5. Save for Retirement
Many people underestimate the amount of money they’ll need for retirement. Be realistic about major expenditures, e.g., will your mortgage be paid off by retirement? If so, you may need less income than you do now. Do you plan to buy a vacation home or travel extensively? Will you have to pay for your own health insurance? These and other financial considerations come into play. Now is a good time to up your contributions to your retirement savings accounts.
Talk to one of TCB Investments representative to learn about the products we offer that can help you meet your retirement goals.
- TCB Investments Great Investment opportunities
- Certificate of Deposits Great rates-Great terms-Great investment.
- Texas Star Savings Account Our traditional savings account
- Texas Star Checking Account Our consumer checking account on which interest is paid if certain balances are maintained
- Individual Retirement Accounts Market rates and terms
- Texas Star Money Market Account Earn market based rates on your dollars with some limitations on the number of transactions allowed per month
- Five Star Checking Special money market account on which interest rate increases based on combined checking/savings balances for the relationship
Tips for becoming a “Lone Star”
- Understand what your credit report score means and take a pro-active role in monitoring it.
- Resist the urge to cut back on savings to meet rising expenses or accommodate other goals.
- Make wise purchasing decisions by determining what you "need" compared to what you "want". This will help you make ongoing decisions to keep your finances in check.
- Guard against impulse shopping, especially for costly purchases such as vehicles, major appliances, furniture, jewelry and the like.
- Make sure that your mortgage payment, including taxes and insurance, represents not more than XX percent of your gross monthly income.
- Review the cost of your health care insurance and make sure you are getting adequate coverage at the best price.
- Spend less than you earn-it's the simplest way to stay free from all-consuming debt.
For help determining the best practices and products for the sound and productive money management during your particular life stage, please contact us at 1-956-722-8333 or email us.