Month: August 2021

7 Reasons to Buy an RV or Campervan

If you’re thinking of road-tripping your summer getaway, think RVs. Recreational vehicles and their close cousin, campervans, are growing increasingly popular as more families hit the road for a true American adventure that’s easier on the wallet and heavy on unique fun. Here are six reasons to buy an RV or a campervan:

1. Save money

With a means of transportation and a place to stay all rolled into one, an RV helps you save significantly on your vacation costs. Plus, when you travel with an on-the-go kitchen, you can cut down on the money you’d spend feeding your family while on the road.  

2. Privacy and comfort

Why fight for legroom on a crowded airplane when you can travel in a vehicle that gives you tons of space? Move around as much as you’d like, enjoy a private bathroom and catch a few winks in the sleeping area, all while heading toward your destination.

3. Increased flexibility

When you travel using your own means of transportation, you’re in control. That means there’s no getting locked into specific dates for your getaway. Come and go as you please and vacation on the schedule that works best for you and your family.

4. Explore more

Traveling by RV will give you the opportunity to take in the sights and sounds of each place you pass through. You can even stop on the roadside to watch a glorious sunset or a passing herd of deer.

5. Bring your pets along

No need to arrange pet-sitters or to keep your furry friend in a carrier under an airline seat. When you buy an RV, you can bring your pets along and keep them nearly as comfortable as they’d be at home.

6. Tax benefits

In many states, owning an RV can mean enjoying significant tax benefits, which can include the homeowner’s deduction, a sales tax deduction and/or deducting the interest payments of your RV loan. Check with your accountant or tax pro to see which of these tax benefits apply to you.

If you’re ready to purchase an RV or a campervan, look no further than Olean Area Federal Credit Union! Our RV loans have affordable interest rates, reasonable payback terms and easy eligibility requirements for qualifying members. Call, click or stop by Olean Area Federal Credit Union to get started!

Why You Need to Be Financially Fit

You give your abs a daily workout, but are you neglecting those money muscles? Here’s why being financially fit is super-important and how you can overcome common barriers to financial wellness.

Financial wellness: a ripple effect

Managing money responsibly will affect many aspects of your life:

  • According to a recent study by AARP, financial problems are the second leading cause of U.S. divorces.
  • Mental health. Money stress can severely affect your mental health, causing depression, restlessness, anxiety and more.
  • Physical health. Stressing over finances can directly impact your physical health, leading to recurring symptoms like headaches, fatigue, insomnia, high blood pressure and an increased risk of heart disease and stroke.
  • Work life. Money worries can make it difficult to focus at work, which can also bring down productivity levels and hamper career growth.

What are the leading causes of money stress?

According to a survey by Credit Wise®, 73% of Americans rank money issues as the top stressor in their lives. Here are the top causes for financial stress:

Barriers to financial wellness and how to overcome them

Unfortunately, there can be barriers that make it difficult to get and keep financial wellness. First, because it hasn’t been taught in school until recently, many people lack basic financial knowledge necessary to manage money responsibly. Second, many mistakenly believe that budgeting and saving are time-consuming and tedious. Finally, some consumers have fallen so deeply into debt they’ve lost hope of ever pulling themselves out.

Here are simple steps you can take to get financially fit:

  • Get educated. Check out financial literacy blogs, personal finance books, podcasts or online classes to learn about money.
  • Have the money talk with your partner. It’s important to be on the same financial page as your partner. Talk openly and honestly, being careful not to be judgmental, and discuss your individual and shared money goals. Then, come up with a plan to reach them together.
  • Pay all bills on time. If you can’t take aggressive steps toward getting out of debt just yet, be sure you’re making at least the minimum payment on each credit card bill.
  • Create a budget. Giving every dollar a destination makes it easier to spend mindfully and cut down on extraneous expenses.
  • Start saving. Every dollar counts, and once you get the ball rolling, you’ll be motivated to pack on the savings until they really grow.

Let’s get those money muscles into shape! Follow the tips outlined above to stay financially fit at all times.

What to Buy and What to Skip in August

Q: I’d love to get some great bargains as summer winds down. Which products go on sale in August and what should be pushed off for now?

A: The tail end of summer brings with it some fantastic finds, but some marked-up products, too. Here’s what to buy and what to skip in August.

Buy: Patio furniture

Pick up a sweet deal on patio furniture at the end of the season. While giving your patio a facelift, you’ll also find grills, outdoor decor and similar items on sale in August.

Skip: Major household appliances and mattresses

If you’re in the market for a major household purchase, you’re best off waiting until September. Retailers tend to slash prices on these items by 30% or more during Labor Day weekend sales.

Buy: Swimwear

Stores and online retailers need to clear their summer stock to make room for the autumn and winter line, which gives you the perfect chance to snag a super swimsuit deal! Stash your treasures for next year’s beach season or keep them for a winter getaway to warmer climates.

Skip: iPhones

If you’re looking to update your iPhone, you’re best off waiting a month or two. The new iPhone 13 is expected to be released in mid-September, and older models typically see a price cut when new models hit the market.

Buy: School supplies and kids’ clothing

August is already deep into the back-to-school shopping season, when school supplies and kids’ clothing tend to see generous markdowns. Stock up on supplies to last all year and get your kids outfitted for the coming season at rock-bottom prices.

Skip: TVs

Don’t run out and buy a new TV just yet. If you need a new flat screen, you’re best off waiting for Black Friday to get the best deal.

Buy: Office supplies and furniture

Back-to-school sales means you can also cash in on office supplies and furniture. Restock your home office with basic supplies, upgrade your office chair or spring for a new desk at bargain prices.

Skip: Fall clothing

Fall apparel will be just hitting the stores in August, so you likely won’t be seeing steep discounts on fall wear until October.

Preparing Financially for a New Baby

Congratulations! You’ve expecting a new baby and you’re breathless with excitement — and nerves. A baby means big changes, and a part of those changes is lots of new expenses. How will you pay for it all?

We’ve got the tips you need to prepare financially for a new baby.

Pay down debt

Don’t let your debt grow along with the baby bump. It’s best to get your finances in order to make it easier to manage all new expenses and prepare for your child’s future. Make a plan today to kick that debt for good!

Adjust your monthly budget

Babies don’t come cheap. When your little one arrives, you’ll need to spring for gear and furniture, a new wardrobe, diapers and possibly child care as well. Most of these expenses will be ongoing, so it’s best to make room in your budget for these new items before your child is born.

Set up a baby account

All those expenses can be overwhelming, but if you break them down into bite-sized pieces, they’ll be easier to manage. Why not set up a separate savings account for all baby expenses? You can automate these savings by setting up a monthly transfer from your paycheck or checking account to your “baby account.”

Estimate prenatal care and delivery costs

It costs how much to have a baby?

Some folks can pay close to $10,000 in prenatal costs and delivery. Of course, these amounts do vary by location and insurance provider, but it’s a good idea to work out exactly how much it will cost you to have a baby so you aren’t in for an unpleasant surprise after the baby is born. Start saving now!

Start saving for college

Believe it or not, your little one will, one day, be all grown up and ready for college! This can mean paying a small fortune in tuition. The sooner you start saving for your child’s college education, the easier it will be to save. You’ll spread the costs, and also give those savings the best chance at growth.

Consider opening a 529 plan before your child is born where your college savings can grow tax-free.

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