Everyone needs, wants and loves what money can do for them, but not everyone knows how to take care of their money.
Helping people reach their financial goals is the mission of ProFed Credit Union, 1710 St. Joe River Dr., in Fort Wayne.
“It’s all about education,” says Karen Potter, assistant vice president of marketing.
ProFed offers free financial education and budget counseling for kids and adults on their website, profedcu.org, and conducts workshops for schools and businesses. Topics covered include savings, investing, building credit, owning a home, retirement and small business essentials. Budgeting topics include creating a budget, budgeting for families, debt management and financial habits.
“We see a definite need because there is a large gap in financial education,” Potter says. “Many are not learning about managing finances in school or at home. That’s where we step in to fill that gap. Everyone has different skill sets and although not everyone is good at finance, everyone can learn.”
And, money is a very individual matter.
“How people handle their money is different for everyone, depending on their habits, upbringing, perception of financial success, and how they differentiate between wants and needs,” Potter says.
The keys to success include learning to live within your means and paying yourself first by setting aside money in a savings account for unexpected expenses, Potter adds.
Too many people are living paycheck to paycheck, she says. If they want to get out of that rut, they need to do some honest self-analysis by asking where their money is going. For financial success, individuals need to have a realistic view of what goods and services cost and if they are making adjustments for upcoming expenses, inflation and other factors.
“It’s all about planning and expecting the unexpected,” Potter says. “The budget that worked two years ago doesn’t work today.”
A general rule of thumb is to have at least three months of expenses set aside in a savings account for emergencies.
“The sooner you get into the habit, the easier it becomes,” Potter says.
Another key to success includes not using more than 30 percent of the credit available to you. Lenders look at the amount of credit used, opened and closed accounts, payment history and credit scores to determine a person’s eligibility for a loan.
Credit unions are different from banks in that they are non-profit and are more focused on helping people meet individual and small business goals rather than selling products.
“The whole credit union movement is about people helping people,” Potter says. “We actually care about their success, helping them meet their goals, and enriching their lives by making a big difference. When people get control of their finances, the feeling of freedom is immeasurable.”
Potter has been with the company for 14 years. ProFed was founded in 1933 and has 13 branches in northeastern Indiana. Their newest branch is in New Haven and a new branch is coming to Auburn to replace the existing location there.
For more information or to set up an account, go to profedcu.org or call (800) 752-4613.
Setting Yourself Up for Financial Success
