IIN THIS ISSUE: Debt prescription, ad about you, and high-paying jobs |
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THE HEADLINES
Clean bill of healthWhat’s happening: All medical bills could stop appearing on credit reports. This comes after the 3 main credit bureaus removed medical debts of under $500 from credit reports last year.
Here’s why: Medical debt could be lowering millions of people’s credit scores, making it tougher for them to get good loan terms, or even get approved at all. But the Consumer Financial Protection Bureau (CFPB) says having medical debt isn’t a good predictor of whether people will repay other loans. So they think it’s unfair to factor it into credit scores. |
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What it means for you:
An average credit score boost of 20 points for folks who currently have reported medical debt—if the proposal to nix it from reports goes into effect, according to the CFPB.1 It probably wouldn’t happen until 2025, though. At that point, 22,000 more mortgages a year could be approved.2 For now, here’s how to help improve your credit score on your own. |
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Hire standardsWhat’s happening: More employers are having job candidates complete unpaid projects during the hiring process. In fact, the percentage of interview reviews mentioning take-home assignments has more than doubled on job platform Glassdoor since early 2019.3
Here’s why: Like taking the SAT before applying to college, assignments could give employers one more way to judge candidates—and on the same tasks. Another reason: the current low number of job openings. Employers might have the upper hand and can get away with asking for more upfront to help them hire.
What it means for you: If you’re asked to complete an assignment, you could request a contract and/or payment (though you might get turned down). Or you could copyright your work4
for as little as $65 to protect yourself from the company using it without compensating you. If you’re unsure of your odds of getting the job, you could ask how many other applicants are doing the project before you put in effort. Worst-case scenario, you can withdraw your application. Thank you, next. |
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Ads upWhat’s happening: Companies are bringing next-level ads to airplane seat-back screens, grocery aisles, and even football fields. Others are making ads unskippable on social media or interactive on TV so consumers can shop when they press pause.
Here’s why: $$ of course. Businesses are beefing up their ad efforts to bring in more revenue—which some say will help keep prices low for consumers. And they’re using troves of customer data, tied to shopping memberships or social media accounts, to deliver more-personalized ads.
What it means for you: Watch your wallet—30% of shoppers are more likely to buy something from a personalized ad, according to Innovid, an advertising technology firm.5 Too tempted? You might be able to opt out of personalized ads by adjusting settings on your social media app, TV, or search engine—or completing a form on the company’s website. If you’re shopping online, here are
10 ways to get what you need without overpaying—or being tricked into overbuying. |
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GET ANSWERS TO YOUR FIDELITY QUESTIONS … |
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EASY WIN
Don’t get too social
A gym membership, job application, or doctor’s office form might ask for your Social Security number—likely so they can verify your identity or track you down more easily if you don’t pay a bill. But keep your SSN, like that cringe middle-school picture, under wraps. The more places that have it, the more you open yourself up to possible identity theft. Those 9 numbers are a favorite among cybercriminals because they could use SSNs to file fraudulent tax returns, open credit cards, or apply for a passport. Don’t deny an employer or the government your SSN, but if other places ask, say you’re not comfortable sharing. Or see if you can be verified another
way (like with a photo ID). Learn how to protect yourself from 5 common identity theft scams. |
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HOW TO
Find a high-paying jobThese careers could all pay 6 figures—and some don’t even require a bachelor’s degree. |
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MONEY LIE DETECTOR
Index funds can be a low-cost, low-fuss way to start investing.True.
An index fund is a type of mutual fund or exchange-traded fund that aims to mimic the performance of an index, such as the S&P 500®, which btw hit a record high at closing on June 18.
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Think of an index fund like a charcuterie board—lots of variety, from brie to pepperoni, just like the variety of stocks (or bonds in a bond index fund). And both work toward a goal of filling you up, whether in your stomach or in your account.
Buying shares of an index fund could yield similar results to buying all the stocks or bonds included in the index, in the same proportion held in the index (think: owning all 500ish stocks in the S&P 500®) but with a lot less legwork and for a lot less money. Why? Management fees are usually lower than actively managed funds because the index fund’s manager is replicating an existing index vs. actively picking a basket of stocks that seek to outperform a benchmark and routinely changing the fund’s composition.
If you’d like to invest in index funds, the first step is opening an investment account. It could be a retirement account, such as an Individual Retirement Account (IRA), or a nonretirement account, such as a regular
brokerage account.
Interested? Learn how to invest in an index fund. |