If you have ever applied for a home mortgage or checked a stock price while wearing pajamas, you know how important the Internet has become to personal finance.New ways to manage money on the Internet are cropping up all the time as people continually take more responsibility for their personal finances. From opening savings accounts and paying bills to tracking retirement savings and plotting long-term investment strategies, consumers can look to the World Wide Web for solutions.
"In this day of heightened security and identity theft, it may seem ridiculous to tout the Internet as a safe place for people to manage their finances, but more and more safeguards are put in place all the time,"
says Suzanne Olson, editor and spokesperson for IHateFinancialPlanning.com. "People can feel confident conducting business on the Web."
Online banking is growing in popularity as consumers look for convenient ways to save time and money. They can access their accounts 24 hours a day, seven days a week, and may earn more interest on their savings than they would in a conventional bank. "Online banks don't have to pay tellers or water plants in the lobby, and they pass that savings on to their customers by paying more interest,"
Olson says.And then there's the business of applying for loans while still in your nightclothes. "It's much more relaxing to check your credit report or fill out a loan application in the privacy of your own home than it is to meet a banker face to face,"
Olson says.
When exploring online banks, choose one that is FDIC-insured, which means deposits up to $100,000 will be guaranteed. It's the same protection customers at conventional banks receive.
You can also save time and postage by paying bills electronically. "If you've ever mailed a payment at the last minute or incurred late fees on an overdue credit card bill, you might want to save yourself some stress by handling those tasks on your computer,"
Olson says.
Investment vehicles such as the individual retirement account (IRA) and employer-sponsored 401(k) retirement plan have forced individual investors to manage their own accounts. With this responsibility comes a need for knowledge, which is supplied by a growing number of Web sites that educate users with financial data, glossaries, current stock quotes, business news and much more.
"The Internet doesn't replace the need for financial professionals, insurance agents or tax accountants, but consumers can do a lot of research before they ever sit down to discuss their financial needs with a professional,"
Olson says. "And that research may also lead them to discover they want to rely more on themselves."
Web sites such as IHateFinancialPlanning.com can also be a resource for calculators, worksheets and other tools to make money management easier. "There are calculators to figure all sorts of things, from whether you are saving enough for retirement to how long it will take you to pay off your debt,"
Olson says. "Because calculators are so easy to use, anyone with Internet access can quickly solve their personal finance math problems and then set about to achieve the resulting goals."
Internet tools don't always have to be serious, according to Olson. "Because our Web site appeals to procrastinators, we've created some fun tools too. Our change-one-thing calculator figures how much money you could save if you did one thing different, such as bring your lunch to work instead of eating out."
Courtesy of ARA Content
###
Editor's Notes:
About IHateFinancialPlanning.com
IHateFinancialPlanning.com is a Web site that has helped nearly 5 million people who have an aversion to planning make sense of their personal finances through fresh, easy-to-understand content and financial planning tools. Affiliated with ING's U.S. operations, the Web site has been featured in "PC World"
magazine, "The Washington Post"
and on CNBC.
About ING
ING's U.S. operations offer a comprehensive array of products and services, including life insurance; fixed and variable annuities; retirement plans; employee benefits; and mutual funds, through a variety of distribution channels, including a large network of independent financial professionals. ING U.S. Financial Services is part of Amsterdam-based ING Groep N.V., one of the largest integrated financial services organizations in the world.
Neither ING nor IHateFinancialPlanning.com offers tax or legal advice. Securities available through PrimeVest Financial Services, Inc., Member NASD/SIPC and a member of ING.
Image 1:
