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6 Sound Banking Principles from the Folks Who Should Know the Banking Industry!In these hard times it can be challenging to consider making money, let alone saving money nike free run 2. But regardless of your current financial situation, and in good times and bad, money matters and the more you know about how to save money, the better youre able to take the good times with the bad. And while banks arent in the habit of writing financial books to help you save, one community bank wants you to know that saving money doesnt have to be as hard as you think nike high heels. According to Robert Sumner, CEO of First National Bank of Pasco (FNB Pasco) near Tampa, Florida, Saving money is the founding principle of the modern banking system, and should be a founding principal for a successful family savings account. Sumner adds, For too long people have been told to ignore their savings account for various and supposedly more lucrative funds, and while it does make sound financial sense to diversify you wont have much to diversity with if there is no savings account to start with nike free run 3.Sumner suggest refocusing your familys energy on creating a basic savings account and offers the following advice on how to do just that, based on FNB Pascos sound investment principles and the core fundamentals that make up their own lending and saving policies: Principle # 1 Start where you are: We often sabotage our savings plans because we feel that we dont have enough to start saving yet or there wont be enough in checking if we move this over. .. But youll never begin if you dont start somewhere nike heels. Banks, too, come in all shapes and sizes. As Sumner explains, A local community bank isnt made of money; we cant ask corporate to approve a loan thats too big if we dont have it on hand. Dont wait for someday to start your savings account; start from where you are, even if its just a few dollars. By committing to this amount, even this small of an amount, every week, you can and will have a savings account to be proud of. Principle # 2 Begin with a goal: Believe it or not, banks are not made of money. They have limits on spending, on borrowing, on lending and on what they can and cant have as cash on hand. What are your limits Where is your budget Dont start a savings account with some pie-in-the-sky dream of having a million dollars by the end of the year (especially if its already October when you begin!), but instead have a specific goal in mind Principle # 3 Commit to succeed: Banks are famous for making long-term commitments to your financial success. Every time you see a Come in and ask about our 4.5% savings CD, you are looking at a commitment from your bank to honor your money and repay you, generously, for a set limit of months or even years. In short, you cant save money if you dont commit to success for a set period of time. Principle # 4 Automate to accelerate: Banks have sophisticated, automated systems in place to regularly produce returns on their investments. By rolling over profits into the principle, banks accrue interest at an accelerated degree and provide profits upon profits. Your savings account should also be automated, not just to ensure that you regularly contribute to it but also to ensure that it continues to roll over as it profits. (Talk to your banker about how to set up such an account.) Principle # 5 It should be a sacrifice, not a slaughter: Dont try to save too much, too fast, or so much, so soon that you short-circuit your savings before you even begin. Crunch the numbers safely so that you can save enough for it to be a sacrifice, but not so much that it becomes a slaughter. In other words, yes, you should likely save x amount of dollars per month rather than buy a bunch more CDs, aromatherapy candles or throw pillows that you dont need, but you shouldnt go without a couch! Principle # 6 Diversify deliberately: the one thing about banks is they will not allow your money to sit there and grow moss. Banks are a revolving door of investments designed to increase interest on existing capital.
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