Financial Education

Don’t Fall for These Personal Finance Myths

Finance-related myths change from time to time. Here are details about three of the most pernicious ones making the rounds in 2023.

It’s Impossible to Refinance a College Loan

Millions of grads have taken advantage of loan refinancing to reduce monthly expenses. There’s a lot of misinformation out there about student loans. Many grads think that refinancing is a complex, nearly impossible process. In reality, former college students refinance loans in order to reduce their monthly payments, gain access to better terms, and potentially end up with more favorable rates. Many young adults wonder how often can you refinance a student loan, and it’s a pertinent question for several reasons.

While it’s possible to refinance existing loans multiple times, it’s crucial to get all the facts about how and why the situation arises. To get a clear idea of the concept, review a detailed guide that includes full, plain language explanations about how often a borrower can refinance a college loan. It’s no secret that plenty of graduates feel as if their education debt is excessive. However, they can get relief by checking into refinancing to minimize monthly payments, save thousands of dollars over the life of the loan, and get access to lower interest rates at the same time.

Life Insurance is Pricey and Unnecessary

Coverage is competitively priced and offers multiple benefits. Life insurance is widely misunderstood. Not only is coverage a bargain for younger adults, but the top providers offer highly competitive rates for people of all ages. Plus, life insurance is as necessary as savings accounts, monthly budgets, and retirement accounts. Unfortunately, many ignore this vital financial tool that can deliver multiple benefits and help smooth cash flow during some of life’s most challenging financial emergencies.

Get more information about your options by consulting an experienced, licensed agent and deciding how much and what kind of coverage makes sense. Don’t wait until your retirement years to think about insurance. Those in their twenties and thirties can snag very low rates on comprehensive life policies and gain long-term peace of mind in the process.

Investing in Cryptocurrency is a Fast Path to Wealth

Crypto can be a small part of a balanced portfolio but comes with huge risks. Cryptocurrencies like bitcoin and ethereum are among the hottest properties in the investing world right now. That’s one reason so many are interested in acquiring them. It’s easy to focus on some of the recent surges in value among the top coins. However, it’s essential to understand that high volatility in the industry means that price declines are equally common.

The entire crypto sector recently experienced a crash of historic proportion when across the board coin prices fell by more than 25%. During the past decade, many investors did quite well and rode the general upward wave in cryptocurrency value. Others lost huge amounts of money by staking too much on the potential of an untested asset class. In the scheme of things, cryptocurrencies are still relatively new, continue to experience large price swings, and offer no guarantees for anyone.