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Greetings!
September marks back to school and a new beginning
for students from Kindergarten through college. There's no time like the
present to get the academic year started off on the right foot. Over the past
couple of weeks many of our customers and neighbors have been contributing new
school supplies to be distributed in local schools to help youths in
our communities have the tools they need to succeed. Great thanks to everyone who
donated materials from notebooks to lunchboxes for our area students. As we all know, kids grow up faster than any of us
can believe - then they are off to college and on their own. The Skowhegan Advisor will include a
series of articles on how young adults can start and maintain sound money management
practices that will sustain them into old age. The first of these is featured
in this month's edition. Speaking of age, we are nearing the conclusion of
our 140th anniversary celebration and invite you to join us on
September 16th from 4:30-6:30 p.m. at the Norridgewock branch for a barbecue and
birthday celebration.
This year has held some very positive milestones in
addition to our anniversary. In 2009 we were named one of the Best Places to
Work in Maine and we are honored to announce that Skowhegan Savings has made
the list again in 2010. There will be an official ceremony next month, but
heartfelt thanks to each of our employees for contributing to this designation.
Also, we opened a new branch on August 20th
and welcome all our new customers in Jackman to the Skowhegan Savings' family.
Sincerely,
John Witherspoon
President & CEO
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Starting Out on
Your Own: Personal Finance Tips for Young Adults
~Adapted from FDIC Consumer News~
Have you
ever taken $40 out of the ATM and a few hours later asked yourself where that
money went? Or, do you use your debit card to make purchases but don't keep
track of them...and then wonder how your balance got so low?
Money management for young adults
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everyone can benefit from learning about money management and taking a more
hands-on approach with their finances, young adults - including those just
starting a career or a family and others still in high school or college, have
plenty to gain by learning to be smart about money, and a lot to lose by making
uninformed decisions.
"As
a young adult, even if you don't have or earn a lot of money, the financial
decisions you make today can affect your lifestyle now and for years to
come," said Luke W. Reynolds, chief of the FDIC's Community Outreach
Section. "The good news is you don't need to be a finance expert to take
charge of your financial future. A few basic concepts can go a long way."
A first
important step is to create a personal finance plan to outline where you spend
and boost savings. Start by keeping track of what you earn and what you spend
and where. See how much you spend on optional purchases and put a portion of
that into savings or investments. The key here is determining what is a
"need" and what is a "want."
Once
you've done that, here are a few tips to begin saving:
Open a
savings account and regularly add to it. Also "pay yourself first"
with a set percentage of every dollar you get going to savings. Even $5-10
dollars a week can add up quickly. An Integrity Savings account from Skowhegan
Savings can be opened for $25 for anyone; those under age 18 can open an
account for $1 and the monthly service charge is waived. Arrange
with your employer to automatically transfer some of your earnings to a savings
or investment account. Skowhegan Savings is happy to help set up a
direct-deposit account to have your paycheck go directly into your savings and
checking accounts. Build up
an emergency savings fund you can use to pay for major, unforeseen expenses. Consider
a separate account to save for big-ticket purchases, such as a new TV or
bicycle, instead of charging them on a credit card and paying the money back
over a long time with a lot of interest. You can take advantage of a Club
Account to save on a weekly basis for large purchases or holiday shopping. Limit the
amount of money in your wallet or purse and in your checking account, so you're
less likely to spend it. Only carry a credit card when you plan to use it.
"The old
adage, never put off 'till tomorrow what you can do today, is ideal for
saving money," added Rick Whalen, VP of retail banking at Skowhegan Savings. "The
earlier you start saving the easier it is."
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FDIC insures deposits up to $250,000
 | FDIC Insured - Now Even More.
Whenever you enter
a Skowhegan Savings branch, visit our website or see an advertisement for our
services, you'll notice that four-lettered logo of the Federal Depositors
Insurance Corporation (FDIC). The FDIC was formed in 1933 to
restore public confidence in the nation's banking system. The FDIC insures
deposits at the nation's 7,932 banks and savings associations and it promotes
the safety and soundness of these institutions by identifying, monitoring, and
addressing risks to which they are exposed. The FDIC receives no federal tax
dollars - the insured financial institutions fund its operations.
This
insurance allows consumers to conduct their banking knowing that their funds
are insured to the maximum amount and if something happened to a bank, their
deposits are safe and guaranteed.
For
many years, the FDIC covered up to $100,000 for each depositor's account. In
2008, to reflect the economic times, the cap was temporarily raised to $250,000.
This new, higher level of insurance has now been made permanent.
On
July 21, 2010, President Barack Obama signed the Dodd-Frank Wall Street Reform
and Consumer Protection Act, which, in part, permanently raises the current
standard maximum deposit insurance amount to $250,000. The FDIC insurance
coverage limit applies per depositor, per insured depository institution for
each account ownership category.
This
change provides added security for depositors with CDs above $100,000 but below
$250,000; they do not need to worry about losing coverage on those CDs that
will mature beyond 2013. Also, depositors can feel secure carrying large
savings balances in one account with one bank.
If
you have questions about the FDIC insurance coverage on your Skowhegan Savings deposits,
please contact our Customer Service department at 800-303-9511. You can also visit
the FDIC website at www.fdic.gov. On this
site there are brochures that detail the new insurance changes and additional
information about how FDIC works to protect consumers' savings.
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Skowhegan Savings, founded in 1869, is an independent mutual savings bank dedicated to strengthening the Maine families, businesses and communities it serves. Named as one of Maine's Best Places to Work in 2009 and 2010, Skowhegan Savings' team of friendly, committed employees takes pride in delivering personalized, competitive banking services with integrity and putting the needs of their customers first. An innovative and progressive approach to banking ensures their customers enjoy a banking experience that is quick, easy and convenient. Skowhegan Savings' ten Maine branches include two locations in Skowhegan, as well as locations in Belgrade, Bingham, Dexter, Fairfield, Jackman, Madison, Norridgewock, and Pittsfield. For more information, visit www.skowsavings.com or contact Customer Service at 800.303.9511. |
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