This guest post is by Gail Cunningham, Vice President of Membership and Public Relations, National Foundation for Credit Counseling (NFCC). Experian’s recent State of Credit Study revealed that The Greatest Generation has something else to brag about: responsibly managing credit. And that’s no small achievement considering that some of these folks have 50 or more years of credit history under their belt. That’s a lot of on-time payments. If you fall into the 65+ age bracket, congratulations! You’ve done a lot right. Now let’s keep a good thing going. Here are some tips to help you stay financially healthy moving forward:   Make financial decisions with your head, not your heart. This is difficult to do when a family member reaches out to you for financial help. But remember, you won’t be in a position to help anyone if you can’t support yourself, so think of ways that you can assist family members without putting your own finances in jeopardy. Stay alert about protecting your identity and personal financial information. Seniors are prime targets for scam artists. Never provide personal information over the phone unless you initiated the call, and if you receive an email requesting financial information, don’t respond. Phony emails can look very real, so play it safe by picking up the phone and calling the sender. Make your wallet a little lighter by removing your Social Security and Medicare cards, as these can be the gateway to your personal information if they fall into the hands of a criminal. Get your financial ducks in a row. Know your retirement options in order to maximize your benefits. The decisions you make when leaving your job, beginning Social Security or signing up for Medicare can have long-term implications. Also, review documents such as your will and medical power of attorney to make sure they are up-to-date. Getting advice from a professional in advance of major decisions will pay for itself many times over. Take care of yourself. Medical costs can increase substantially for people as they age, and there are currently many unknowns around healthcare. Therefore, it’s important to do what you can to avoid any unnecessary medical issues. Embrace a healthy lifestyle of eating right and exercising to help keep medical and prescription costs down. Don’t be shy about taking advantage of age-based discounts. There are many perks for people in their 60’s, 70’s and beyond. Look for travel discounts, cheaper cell phone plans, and special discounts at restaurants and movies to make date night even better! The bottom line is to stay the course and not abandon the financial values that have served you well and gotten you where you are today.

This guest post is from Ted Jenkin, CFP®. Ted is co-CEO of oXYGen Financial and is a top ranked personal finance blogger (www.yoursmartmoneymoves.com). He is a regular contributor to Investment News, The Wall Street Journal, and The Atlanta Journal Constitution. It’s official. For years and years everyone has labeled my generation (Generation X) the slacker generation. We were the ones that really started on the video game revolution with games like Pong and Atari and now we have relegated ourselves to worst in class when it comes to overall debt. Although the average balance on credit cards is neck and neck with baby boomers at $5,343 per card and we don’t carry quite as many credit cards as baby boomers, the average debt for a Gen X’er has soared to over $30,000. The Experian study showed that nationally, the average debt in the United States is $27,887 and the average bankcard balance is $4,501. So, why is such a successful generation getting so deep in debt? What actions can you take today to start improving your situation? There is a reason why Gen X’ers and Millennials are using their credit cards more and falling behind on their payments. I call it lifestyle envy. While social media has become really effective in bringing the world closer together, it has also created a set of unrealistic expectations for my generation based upon last night’s Facebook post. Doesn’t it make you angry that your childhood friends are all taking vacations to paradise whereas you suffer from having to take staycations? Aren’t you frustrated that your co-workers all seem to be driving a Porsche or an Audi and you are stuck rolling around in a 2001 Honda? How is it possible that your neighbor’s kids are having birthday parties like they are rock stars while you are still playing pin the tail on the donkey in your basement? You should learn by reading the study from Experian that although it appears they are living life like they are on an episode of Entourage, the truth of it is that their finances are a sinking ship weighted by an anchor of credit card. All the pictures on Facebook, Instagram, and Pinterest might give you the appearance they are doing well. But that is all smoke and mirrors as these images produce a level of irrationality in our minds when it comes to how we spend our money. The pictures tell us, “If they can do it, surely I can do it as well!” Notice there are no facts about income or net worth on Facebook. Notice that there are no budget numbers shown on Facebook. Since pictures are worth a thousand words, the posts we see night in and night out psychologically work on our brains to make us think we should be spending more than we need to with our credit cards. So, how can you fix your situation? Use these five rules as you manage your personal finances: Adopt The Pay Yourself First Rule – I’ve been doing this personally for 22 years in my own financial plan, and I recommend to save a minimum of 10% off the top before you plan out the rest of your budget. If you can get to 20% to 30% even better, but start at a minimum of 10%. If you try to save money after you spend, it’s likely you’ll have nothing because everyone is after your money. When It Comes To Raises At Work, Use the 1/3rd Rule – Hopefully, if you are between the ages 34 to 48, your income will continue to go up in your peak earning years. It is easy to expand your lifestyle as you make more money. Consider saving just 1/3rd of every new pay raise you get at work whether it be in your 401(k) or personal savings. 1/3rd will go to tax and keep a 1/3rd for fun. Get Down To Two Credit Cards You Use – Once you begin to pay off debt don’t cancel your existing credit cards, just stop using them. I’ve maintained a high credit score over the years by carrying several cards, but being disciplined to using two cards and paying them off all the time. Do you really need five more store cards? Use The Acid Test For Purchases – Before you make a purchase, ask yourself whether or not you need it, you want it, and you can truly afford it? Since the internet has created a wave of ease for our spending compulsions, before you click purchase give it 48 hours and then come back to the website to see if you still really want the merchandise. If You Are Struggling, Go To A Forced Budgeting Site – In the good old days, people used envelopes to sort out the cash from their weekly paychecks for paying bills. Today, there are websites such as www.mvelopes.com that can help you do this electronically as a family. This can be an especially powerful tool for those that lack self-discipline. Remember that sound from Pac-Man when you got caught by one of the Ghosts? If you don’t get your spending under control, that is what your personal financial picture will look and sound like as well. Use these smart money moves to get your debt under control and make your cash work toward making work optional one day soon!  

Underscoring Experian’s goal to help consumers and be an advocate for credit education, the National Foundation for Credit Counseling (NFCC) awarded Victor Nichols, CEO of Experian North America, its “Making the Difference” award from their Annual Leaders Conference in Denver. This prestigious award is presented to organizations that have made significant contributions to assisting consumers with financial literacy, awareness and education, furthering the NFCC’s mission, visions and programs through a national presence. To learn more about Experian’s work with the NFCC, check out: Experian honored by the National Foundation for Credit Counseling for its Commitment to Financial Literacy; CEO earns NFCC’s “Making the Difference” Award Experian Provides 80,000 free memberships to the National Foundation for Credit Counseling®, the nation’s largest financial counseling organization  

This guest post from Erin Lowry. Erin is the founder of Broke Millennial, where her sarcastic sense of humor entertains and educates her peers about finances. Erin lives and works in New York City, so she's developed quite the knack for finding deals and free events. At the tender age of 18 I opened a letter from my bank to find my first credit card. I peeled the card off the letter and took a moment to stare in awe at this powerful little piece of plastic that suddenly offered me access to money. This was 2007, pre-Credit CARD Act of 2009, when all a college student had to do to get a credit card was head down to the local back — or in some ghastly cases walk through vendor tables set up during orientation days. Students scribbled down their information in exchange for a free t-shirt or water bottle and gleefully received plastic cards that seemingly offered “free money.” After calling to activate my card I suddenly heard my father’s voice in my head, “It’s important you have a credit card. It will help you build credit for life after college, but in order to do so, you must use it responsibly.” “Responsibly” my father had explained, meant never exceeding my credit limit. It required that I pay off my card on time – and in full – each month with no exceptions. It meant not signing up for every credit card deal that would be offered to me, no matter how many frequent flyer miles or ridiculously high limits they tried to lure me in with. Taking his words to heart I used my credit card sparingly my first year in college. Once a month I’d charge an affordable purchase to the card, like filling up my gas tank, and pay it off on time and in full. As the year’s progressed, I became comfortable charging more than $30 or $50 a month – but always ensuring I would be able to pay off the card in full when the bill was due. Unfortunately, plenty of parents, teachers and peers spread myths about credit cards and credit scores. They may suggest carrying a balance, claiming it helps with your credit score. Or conversely, they warn to never get a credit card in college because it’s too tempting to rack up debt. Both schools of thought do a disservice to millennials. Carrying a balance does nothing more than rack up interest. Failure to own a credit card keeps you from developing your credit score. In Experian’s recently published study, millennials need the most guidance when it comes to handling credit. As a generation, we’re not only over-utilizing our credit cards, but more than 50% of us are failing to pay our bills on time. Late payments result in more money owed in interest and lowers credit scores. Instead of creating yet another stereotype about millennials – it’s time to reverse these trends and become a fiscally responsible generation. Credit cards offer a simple solution for building credit and learning to budget your money, but only if you’re using them responsibly. Set reminders for when bills are due. It’s easy — there’s even an app for that. Create a weekly (or monthly) budget and ensure you don’t charge more to your card than is allocated in your budget. And whatever you do, don’t pay off your student loan bills on a credit card. Credit cards don’t create bad habits, lack of awareness about your financial situation creates money problems. When properly utilized, credit cards can help you achieve financial goals — and get you those sweet rewards. Hey, we’re millennials – we all want trophies and rewards for good behavior.

The Fourth Annual State of Credit report is Experian’s comprehensive look at nationwide data to determine how four different generations are managing their debts by analyzing their credit scores, the number of credit cards they have, how much they are spending on those cards and the occurrence of late payments. Additionally, credit scores were examined in Metropolitan Statistical Areas (MSAs) to provide the 10 highest and 10 lowest credit scores in each generation across the nation. The study creates an opportunity for consumers to better understand how credit works so they can make informed financial decisions and live credit smart even in the face of national economic challenges. Check out the full infographic.

This guest post is from Donna Freedman (@DLFreedman). Donna is a former newspaper journalist and staff writer for MSN Money and Get Rich Slowly. Currently she writes for Money Talks News and for her own website, donnafreedman.com. What do Baby Boomers and millennials have in common? Stereotyping, retirement issues and, sometimes, a residence. About that last: According to a Pew Research Center study called “The Boomerang Generation,” 29% of adults aged 20 to 34 live with their folks. Which leads us to a two-pronged stereotype: Boomers were overly indulgent parents who never let their kids suffer even a moment of The Sadz, which is why millennials are such an entitled, failure-to-launch cadre. Maybe that’s true in some cases. Definitely not all. Technically I’m a Boomer (December 1957) but neither I nor anyone I know lived as an aimless, self-centered, smash-the-state brat – and ask my daughter whether I made her write thank-you notes and go to bed on time. As for those much-maligned millennials: Plenty would love to have decent jobs and places of their own, thankyouverymuch. Don’t blame them if sometimes the only available gigs are part-time and poorly paid. According to the Experian State of Credit report, their average debt load is $23,332 – and not necessarily as a result of riotous living, since that amount includes student loans. In fact, millennials have the fewest bank cards of the four generations studied – but they are developing some disturbing habits, such as late payments and overutilization of credit. Are they buying daily lattes and semi-annual tech upgrades with those cards? Hard to say. They could also be using them for things like groceries and utility payments, if they’re servicing student loans with less-than-ideal salaries. Which brings us to another Pew study: Some 27% of people in their 40s and 50s are providing primary support to a grown child, and more than one in five have provided some financial help to a parent in the past year. Maybe that’s one of the reasons this generation has the highest number of bankcards and carries the highest balances of the four generations studied. They’re managing it well (i.e., they have good credit scores) but that could change if, say, their job situations did. More to the point: If these sandwiched Boomers are carrying consumer debt and helping their kids and/or their parents, how much can they set aside for their own golden years? Especially since recent data from Interest.com indicate that seniors in 48 states run the risk of outliving their money. Not that the young folks are sitting in butter: If 29% of millennials can’t afford to make it on their own (hello, student loans!) what’s the likelihood that they’re saving for retirement now, when compound interest is on their side? The bad news, for both groups: Retirement is inexorable, whether it’s four years or four decades away. The good news: It’s not too late to catch up, or to get started – but it probably won’t be easy. Making conscious choices The trick is not to think of it as sacrifice or deprivation, but rather as living intentionally. That means finding new ways to meet today’s expenses without letting them overshadow future wants and needs. A tight budget does not necessarily preclude a meaningful life. Entire books and countless blogs are written on the subject of living frugally and creatively. (Everyone does this differently, by the way. You don’t have to dumpster-dive or make your own laundry soap unless you want to.) Start with a free budgeting tool such as Mint.com or PowerWallet. You might be shocked to find out how much of your paycheck is dribbling away on things that don’t really matter. Once you know where your money is – and isn’t – going, you can start redirecting it to where it will do the most good. These sites help you define goals and figure out new ways to reach them. Hint: Celebrate every victory, even if it’s just “I set aside another $20 for my Roth IRA.” That double sawbuck might not feel like much, but you are making progress. You are taking control of your finances by making smart, conscious choices about spending. No more second-guessing What you shouldn’t be spending? Another moment’s energy moaning about the past, e.g., “Why didn’t I make retirement a priority?” or “Why didn’t I choose a cheaper university?” News flash: The past is past and can’t be retrofitted with smarter behavior. We’re human. Sometimes we make the wrong choices. Sometimes we have “choices” thrust upon us: inflation, layoffs, illness, lack of jobs in our fields. Again: Focus on the progress you’re making vs. what went wrong in the past. For far too long I obsessed over what I considered my “lost” years, a time marked by depression, little to no financial planning, a protracted divorce that left me in my late 40s with zero savings. Frugality and creativity got me through and I came out on the other side with a university degree, rebuilt savings, a Roth IRA and – most important of all – the determination to live intentionally. Am I all set up for a cushy retirement? Not yet. But I’m working on it, and also working to live as intriguing a life as possible even though I don’t have a 9-to-5 paycheck. No more looking back to second-guess past mistakes. Instead, I decided that I don’t want to lose any more time focusing on the time I’ve lost. Here’s hoping you won’t, either.  

The Fourth Annual State of Credit report is Experian’s comprehensive look at nationwide data to determine how four different generations are managing their debts by analyzing their credit scores, the number of credit cards they have, how much they are spending on those cards and the occurrence of late payments. Additionally, credit scores were examined in Metropolitan Statistical Areas (MSAs) to provide the 10 highest and 10 lowest credit scores in each generation across the nation. The study creates an opportunity for consumers to better understand how credit works so they can make informed financial decisions and live credit smart even in the face of national economic challenges. Check out the full infographic.

The National Foundation for Credit Counseling® (NFCC) and Experian® jointly announced today that Experian committed 80,000 free, 12-month memberships to its freecreditscore.comTM product, in support of the NFCC’s Sharpen Your Financial Focus™ program. The NFCC program, launched in September of this year, includes a broad cross-section of supporters – Experian and others – who are committed to increasing the financial well-being of Americans. The donation, the largest of its kind ever awarded by Experian and part of the company’s continued commitment to financial education, will be used by the NFCC to complement financial education provided by NFCC member agencies to individuals who take part in the program. “Experian’s generous gift in support of the Sharpen Your Financial Focus program underscores its commitment to financial education and to the American consumer,” said Susan C. Keating, president and CEO of the NFCC. “The NFCC network is proud to join forces with Experian, as together we help Americans emerge from one of the most difficult financial crises of their lifetimes and rebuild their financial futures.” Experian and NFCC have worked together on several occasions, equipping consumers with information and resources to better understand and, consequently, approach credit use and management more intelligently. According to Victor Nichols, Experian’s North American CEO, the donation is a logical next step toward making a difference through the partnership with NFCC. “Contributing these memberships is a very tangible way to simultaneously educate consumers and demonstrate the impact that credit education products can have on a person’s long-term financial wellness,” said Nichols. “Doing that through a trusted credit counseling organization like the NFCC is a natural extension of our commitment to helping consumers and our commitment to giving back to the communities where we work.” There are many ways Experian contributes to consumers’ personal finance knowledge, but the partnership with NFCC, enabling free, hands-on access to credit scores and reports – as well as the resources to improve understanding of each – is another example of how the company is committing itself and its resources to improve financial literacy for consumers.

Owning your own business is what many perceive to be as the American dream. And if you’ve been fortunate enough to make that dream a reality, then you’ve certainly heard how indispensable your business is to the country’s economy. But as invaluable as your small business is, many small business owners face daily challenges when it comes to sustainability, profitability and growth. For the last year, Experian and the Small Business Administration (SBA) have lent a helping hand to small businesses that are facing those types of challenges. As a part of their efforts, all Historically Underutilized Business Zone (HUBZone) firms and small businesses that are considered to be socially and economically disadvantaged under the SBA’s 8(a) business development program have full access to BusinessIQ Express. BusinessIQ Express is an online tool that improves cash flow by providing small businesses with the resources they need to better manage their business relationships quickly and easily. It does this in three key ways: • Evaluate — BusinessIQ Express users can evaluate prospects, customers, suppliers and partners on their likelihood to pay or deliver on time. • Monitor — Users can easily monitor their business relationships with alerts and notifications of key changes, allowing them to take appropriate account actions and maintain beneficial relationships. • Collect — The tool offers small-business users unique options that may have been never before easily accessible to them to help collect on outstanding debts and avoid future losses. With access to BusinessIQ Express, small businesses will have a powerful resource at their fingertips to help meet business obligations and improve profitability, ultimately enabling them to address some of those challenges head on.

Millions of Americans face economic hardships today due to the financial crisis. The Great Recession made a big impact on the financial lives of consumers. Unemployment was high and many struggled to make ends meet, forcing them to tap into their savings and live off credit to survive. Now that our economy is recovering, we believe that education is the key for consumers to unlock the door that leads to financial success and opportunity. As part of our commitment to educate consumers, we work with organizations that educate and raise awareness about financial literacy. One of our valued partners is Spotlight on Poverty and Opportunity. Through a financial literacy grant Experian supported production of a series of webcasts on financial capability and issues impacting low-income Americans. Starting this month, the following webcasts will be available at www.SpotlightonPoverty.org. • Governor of Delaware, Jack Markell—Governor Markell explains why he established The Financial Literacy Education Fund and what steps Delaware is taking to promote financial capability among child care providers as well as other groups. • National Foundation for Credit Counseling, Susan Keating—Keating highlights how we can arm people with the information and tools to help them get back on their feet. • AARP Foundation, Emily Allen—Allen discusses how the elderly can recover from the recession, manage their limited finances and protect themselves financially. • Corporation for Enterprise Development, Andrea Levere—Levere focuses on how to help the underbanked navigate the financial world and strategies to change education in our schools. • Center for Financial Services Innovation, Sarah Gordon—Gordon examines how to transform the financial services marketplace to help change the behaviors of underserved consumers to help them achieve financial prosperity. • Shepherd Consortium, Dr. Harlan Beckley— Dr. Beckley and his students explain a new financial literacy project being developed by universities to help fight poverty. Experian’s vice president of public education, Maxine Sweet also participated in a webcast. Experian Maxine from Spotlight on Vimeo. Experian Maxine pt2 from Spotlight on Vimeo. To learn more about Experian’s financial education resources visit www.LiveCreditSmart.com.

Grab a pen and paper. Jot down some differences between the Northeast and Midwest. What came to mind? Maybe it was the bright city lights of the Northeast versus the Midwest’s starlit farms? Or maybe it’s the city’s busy streets compared to quiet open fields? What you may or may not have written down is that Northeasterners prefer to drive more import vehicles than the folks in the Midwest. According to Experian Automotive’s mid-year review of automotive market trends, in the first half of 2013, the top five new vehicle models in the Northeast region were all import brands. Conversely, as one might have guessed, American-made vehicles dominated the Midwestern roads. In the Northeast, the list was made up of the Honda Accord, Honda CR-V, Toyota Camry, Honda Civic and Nissan Altima. Out in the Midwest, Ford vehicles made up four of the top five and the Chevrolet Silverado 1500 filled out the list. The top five in order included the F-150, Fusion, Escape, Silverado 1500 and the Focus. In the West, the list was more closely aligned with Northeast, as import vehicles made up four of the five, with the Ford F-150 being the only domestic brand. The list included the Honda Civic, Toyota Camry, Honda Accord, F-150 and Toyota Corolla. The South was a mixture of both import and domestic with the Ford F150, Toyota Camry, Nissan Altima, Chevrolet Silverado 1500 and the Toyota Corolla making up the top five. Other highlights from the analysis included: • Full-sized pickup trucks were the most popular vehicle segment in the first half of 2013, making up almost 15 percent of the vehicles on the road • In Q2 2013, Buick and Volvo were the top brands with the longest average length of ownership at 98 and 92 months, respectively • General Motors (26.6 percent), Ford (18.9 percent) and Toyota (12.6 percent) were top three in vehicle market share for first half of 2013 For more information on this analysis, or to view a recorded webinar of the findings, please visit https://www.experian.com/automotive.

In the personal finance world, credit is one of the hottest topics to talk about and there are many resources available to consumers. To further empower consumers to take a more active role in managing their credit, Experian provides a number of solid consumer education programs. As a positive extension to those, in 2011 we developed Experian Credit Educator, a consumer-education service that offers personalized, live, one-on-one, telephone-based credit education sessions to consumers and customers of Experian’s clients. Experian recently announced that we’ve added new features to this service in order to give consumers insights into specific actions which may produce an improvement to their credit score. Participants will now receive a longer session with an Experian Credit Educator agent, score simulations providing specific examples of actions that may improve their credit score and more resources to assist in understanding their credit profile. With this enhancement, the Experian Credit Educator agents are able to answer consumers’ questions as they relate to their personal VantageScore® credit score and provide insight into how specific actions can affect the score, such as: “Is there anything I can do today that may improve my score?” “I have $500 to put towards my debt – what’s the best way to distribute that to improve my score?” “I want to prioritize paying down my debt, what actions could produce an increase in my score by five points?” An Experian Credit Educator session costs $39.95 and includes: An approximately 35-minute, one-on-one, dynamic phone session with a trained Experian Credit Educator Agent A detailed walk-through and a copy of a personalized Experian credit report A VantageScore with an explanation of score factors and benchmark scores for each participant’s city, state, and region within the United States Score simulations providing specific examples of actions that may improve the consumer’s score Links to online resources for credit management and life events information Consumers who want to take the next step in improving their finances can visit Experian.com/CreditEducator or call 1 877 903 1009 to initiate a personalized education session.