Money Management

Prefer to have your groceries dropped off at your door? Read on to see why that could be a mistake. 

I never really thought about ordering groceries online until the pandemic hit. In 2020, I was more than happy to pay extra for grocery delivery rather than risk getting sick by shopping in person. While I enjoyed the convenience of grocery delivery and thought about sticking to it once things normalized, I quickly stopped ordering groceries online because I realized just how much extra it was costing me and how many quality issues I was running into.

If you’re someone who normally gets groceries delivered because you don’t have a car, that’s understandable. But if you have a vehicle and the ability to get to the supermarket yourself, then you may want to hit the brakes on having your food delivered. You may be throwing your money away in the process for these reasons.

1. You’re paying a fee for something you can potentially do yourself

It’s one thing to pay to have your groceries dropped off because you don’t own a car and don’t want to pay for an expensive Uber. But otherwise, if you have a car, when you pay for grocery delivery, you’re basically letting yourself get charged a premium for something you can do yourself.

Take a service like Instacart, for example. Delivery fees there start at $3.99 for same-day orders over $35. Fees can vary for one-hour deliveries, club store deliveries, and deliveries under $35.

Now, you may be thinking the extra $3.99 on your credit card isn’t such a big deal. But don’t forget about driver tips. Those can add up, especially if you’re someone who’s inclined to be generous (which is a good thing). So all told, for a $50 grocery order, you might end up spending an extra $10 or more for delivery.

2. You’re risking getting bad products

Grocery shoppers aren’t always so motivated to find the best products. They often want to get in and get out quickly so they can pick up more orders, because that’s how they make their money.

When you order grocery delivery, you run the risk of getting shoddy produce as just one example. And if you have to dump half of your haul, it’s akin to throwing out money.

Similarly, a grocery shopper may not pay as close attention to expiration dates on food products as you would. If you get a gallon of milk with an expiration date that’s only 24 hours away, you might end up spilling half of it down the sink.

3. You don’t always save yourself a trip to the store

Grocery shoppers can make mistakes. But sometimes, those mistakes can make it so you’re forced to hit the supermarket on your own anyway.

Let’s say you’re preparing a specific meal and your grocery shopper neglects to purchase a key ingredient on your list. You might have to run to the store after work so you don’t have to bail on your menu plan.

Also, going back to the example above, let’s say you need milk on hand for your kids but your delivery order includes a gallon with a lousy expiration date. You might have to run to the grocery store later that same week or risk not having an essential item on hand.

For some people, the added cost of grocery delivery is worth paying. But if money is tight at all or you’re trying to pad your savings account for different goals, then you may want to consider doing your food shopping yourself. And if you hate crowded stores like I do, shopping early in the morning or later at night could make for a more pleasant experience. If you work from home, you can also try hitting the store during the day at off-peak times, like late in the morning.

Better yet, if you don’t have kids, try shopping between the after-school window of roughly 2 p.m. to 5 p.m. During those hours, parents are commonly grabbing their kids from school and hauling them all over town for activities. You may find that supermarkets are generally less crowded during that time if you live in an area with lots of young families.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

If you’re using the wrong credit or debit card, it could be costing you serious money. Our experts love this top pick, which features a 0% intro APR for 15 months, an insane cash back rate of up to 5%, and all somehow for no annual fee.

In fact, this card is so good that our experts even use it personally. Click here to read our full review for free and apply in just 2 minutes.

Read our free review

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

 Read More 

Black Friday is a popular time to shop. Read on for an important step to take if you’re going this route. 

Black Friday is right around the corner. And if you’ve been purposely padding your savings account to take advantage of the big day, then you may be growing more and more excited by the hour.

You might end up saving a ton of money on everything from apparel to toys to electronics by jumping on Black Friday deals. But if you’re going to do a fair amount of shopping that day, there’s one important move you’ll need to make.

Hang on to those receipts

Retailers tend to talk up their Black Friday deals to the point where consumers are apt to believe that they’re getting the best prices of the year. But that may not be true. It may be that there’s a lower price to be had in the weeks following Black Friday. This is especially likely for items a retailer accidentally overstocks.

That’s why it’s so important to hang on to your Black Friday receipts. Many retailers have a price-matching policy where they’ll refund you the difference if a item you buy is discounted within a certain period after your purchase — often, 30 days or through the end of the holiday season.

If you don’t keep your receipts, though, then you may have difficulty getting your credit card refunded or your money back if you see an item you bought available at a lower price. So find a safe place to store your receipts until the holiday shopping season is over.

Look into price-matching policies

A number of popular retailers have generous price-matching policies in place for the 2023 holiday shopping season. Target, for example, has had a price-matching policy in place since Oct. 22. Any item purchased between that date and Dec. 24 is eligible for a price match if the price drops prior to Christmas Day.

Costco, meanwhile, will match prices if an item becomes available for less within 30 days of your purchase. This isn’t a special holiday policy — it’s just the store’s general policy.

It pays to make a list of the stores you’re shopping at on Black Friday, and to then make note of each one’s price-matching policy. You don’t want to run out of time to get your money back because you failed to pay attention to details.

That said, sometimes Black Friday specials will be excluded from a given retailer’s general price match guarantee. Always inquire and read the fine print before making a purchase.

An easy move that could save you big time

You may find that Black Friday 2023 is loaded with spectacular deals. But it still pays to hang on to your receipts in case those prices drop even lower. You really have nothing to lose.

And if you’re worried about misplacing your receipts, take pictures of them and store them on your phone. A retailer may or may not accept a photo of a receipt as proof of purchase. But it’s better than showing up to request a price match without having any evidence to back up your claim at all.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

If you’re using the wrong credit or debit card, it could be costing you serious money. Our experts love this top pick, which features a 0% intro APR for 15 months, an insane cash back rate of up to 5%, and all somehow for no annual fee.

In fact, this card is so good that our experts even use it personally. Click here to read our full review for free and apply in just 2 minutes.

Read our free review

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.Maurie Backman has positions in Target. The Motley Fool has positions in and recommends Costco Wholesale and Target. The Motley Fool has a disclosure policy.

 Read More 

Don’t wait until Black Friday to start your holiday shopping? Read on to see why it pays to get moving ASAP. 

While plenty of people have been shopping for the holidays since October, for many, the official holiday shopping season doesn’t begin until Black Friday. If you’re able to kick off your shopping prior to that event, you can consider yourself to have started early.

Now, you may be inclined to wait until Black Friday to shop for Christmas gifts because that’s when major deals tend to show up. But getting moving even a week ahead of Black Friday could make for an easier shopping experience. Here’s why.

1. You can get ahead of supply chain issues

In 2021, many shoppers had a tough time finding the gifts they needed due to supply chain issues. We’re in a much better place today, thankfully, broadly speaking. But you still never know when an item that’s in high demand might run out. The sooner you shop, the less likely you’ll be to miss out on the items you want to get for your loved ones.

2. You can spread your payments out over two months instead of just one

Chances are, you’ll be paying for at least some of your Christmas gifts on a credit card. If you wait too long to start your shopping, you might end up with all of your Christmas purchases on the same statement, leading to a very large bill.

But if you start sooner, you can potentially spread out your payments over two billing cycles instead of just one. That could make your bills easier to manage.

3. You’ll have time to sign up for a new credit card with better perks

The right credit card could put cash back in your pocket this holiday season. The sooner you begin shopping, the sooner you might be motivated to look for a great rewards credit card whose generous program helps offset some of your holiday costs.

You might even find a card with a great sign-up bonus. And now’s a good time to chase one of those, since you’re probably spending a lot more money than usual (though to be clear, you should never overspend on a credit card and land in debt simply to get a sign-up bonus).

4. You might make smarter decisions if you aren’t feeling so rushed

Whether you’re planning a party, filing a tax return, or shopping for Christmas gifts, the more time you give yourself, the less rushed and stressed you’re apt to feel. That could help you avoid mistakes and make sound decisions. So even if you’re not worried about the items on your list selling out, and even if you’re not worried about managing your credit card payments or signing up for a new card, it still pays to give yourself extra time so you can tackle your gift list calmly.

Almost half of consumers started their holiday shopping before November last year, says the National Retail Federation. If you’ve missed that boat, though, don’t panic. Instead, pledge to begin your Christmas shopping this week. It might make the process much smoother from start to finish.

Alert: highest cash back card we’ve seen now has 0% intro APR until 2025

If you’re using the wrong credit or debit card, it could be costing you serious money. Our experts love this top pick, which features a 0% intro APR for 15 months, an insane cash back rate of up to 5%, and all somehow for no annual fee.

In fact, this card is so good that our experts even use it personally. Click here to read our full review for free and apply in just 2 minutes.

Read our free review

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Maurie Backman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends JPMorgan Chase. The Motley Fool has a disclosure policy.

 Read More 

A record number of owners spend more than $1,000 on their monthly car payments. Read on to learn how to cope with payments that are too high. 

There are many indications that Americans’ personal finances aren’t in the best shape right now, and one of the most recent pieces of evidence comes from auto loan delinquency rates. The latest data from Fitch Ratings shows that 6.1% of subprime borrowers were at least 60 days past due on their car payments — the highest percentage since 1994.

Two factors are causing an increase in late car payments: the rapid rise of car prices over the past few years and high interest rates.

Kelley Blue Book says the average cost of a new car was $47,899 in September, an increase of 23.6% from three years ago. Making matters worse is the fact that the current interest rate for a new auto loan is 7.5%, up from 4.2% three years ago.

To put all of this in plain terms, the average monthly car payment is now a staggering $725 per month, according to Experian. And data from Edmunds says a record 17.5% of borrowers have payments of $1,000 or more.

How to help cover the expenses

If you’re looking for some help covering the cost of your car payment, along with your other monthly expenses, here are a few tips.

1. Pay down debt

This may be easier said than done, but implementing a debt snowball method to pay off smaller loans and then working up to larger ones may be a good strategy. Using a debt payoff app can also help you figure out where your money is going and how to set up a plan to get out of debt.

2. Consider debt consolidation

If you have a lot of loans with varying interest rates, consider a personal loan to consolidate your debt into a single payment with a potentially lower interest rate. This strategy may not work for everyone, but debt consolidation could be a good option if you have a lot of high-interest debt.

3. Sell the car

You may still need a car, but do you need the exact one you’re currently paying for? Selling your car back to the dealer may be the simplest and fastest way to improve your financial situation. Then, figure out what type of car you need and what you can afford to keep your car payment low or, ideally, buy the car with cash.

Improve your credit score for a lower car payment

If you’re looking to buy a new car, one way to score the best deal on your car payment is to have a good credit score. The best way to improve your score is to pay your bills on time. Doing this accounts for 35% of your FICO® Score.

Auto lenders want to see that you’re reliable at paying off your current debt obligations, so paying your bills on time indicates you can make car payments on time. As such, you may get a lower interest rate on your car loan with a strong history of on-time payments.

You’ll also want to pay down some of your credit balances. Your credit utilization — how much credit you’re using in relation to how much is available to you — makes up 30% of your credit score. That’s why paying down credit card balances and other debt is essential when you want to boost your credit score.

Making these two moves will do the most to help improve your credit score, but it’s also worth noting that the best way to have the lowest car payment is simply to buy a cheaper car. This may mean buying a used vehicle; just make sure you do your homework before buying a pre-owned car.

Our picks for the best personal loans

Our team of independent experts pored over the fine print to find the select personal loans that offer competitive rates and low fees. Get started by reviewing our picks for the best personal loans.

We’re firm believers in the Golden Rule, which is why editorial opinions are ours alone and have not been previously reviewed, approved, or endorsed by included advertisers.
The Ascent does not cover all offers on the market. Editorial content from The Ascent is separate from The Motley Fool editorial content and is created by a different analyst team.The Motley Fool has a disclosure policy.

 Read More