Students Advised to Save Money, Be Wary of Scams

%28Photo+by+Kiffer+Creveling%29

Kiffer Creveling

(Photo by Kiffer Creveling)

(Photo by Kiffer Creveling)
(Photo by Kiffer Creveling)

 

There are millions of money programs online that promise to pay off your debts in a matter of months. However, many of these programs are not legitimate.

Tiffany Davis, a personal finance counselor associated with the Personal Money Management Center, said some debt relief programs on the Internet and social media can be a scam, and students end up paying more than what they originally owed.

Vincent Mortensen, also in personal finance, said “[Students] are paying for convenience instead of saving money in the long run.”

But that’s just one of the many money scams that students face. In addition, some students take out loans to pay for luxuries such as expensive vacations or unnecessary items. Mortensen advises against this as well.

Davis said it is also important to save money in case of an emergency.

“[Students] should start an emergency fund worth one month of living expenses, shelter, food, transportation, utilities, necessities, etc.,” she said. “Try setting a goal of two or three months if possible.”

Many students don’t think of retirement until later in their lives; however, saving for retirement now can help students out later on.

The Personal Money Management Center in the Union said it’s important for students to set budgets so they know where their money is going. They recommend setting aside money for unexpected and expected expenses each month.

“People are more likely to spend money without knowing how much they’re spending,” Mortensen said.

wAnother way students can save for the future is by opening an online savings account. It’s free and your money will earn interest over time.

For personalized information, students can set up an individual appointment at the Money Management Center by going to personal-money-management.utah.edu

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