Jasonwoodhead23/flickr

By Bobbi Burger Brunoehler of BobbisBargains.

Per Southern California Gas Company, home heating is 65% of a residential gas bill during the winter months. (That’s what it said in my bill insert this month.) Wow! If that is true in Southern California, what is it in actual cold parts of the country?

With so much of your utility budget going toward keeping your home warm, anything that you can do to retain heat in your home or keep the heat from leaving is a money saver. Here are 5 tips that will help you to lower your heating bill:

1. Open your drapes when the sun is shining into the window. This allows the sun to heat your home. Close your drapes (the heavier the better) when the sun is not shining in the window. This will help to hold the heat in the space and keep it from literally going out the window. Follow the tips in the winterize your home video to keep those windows from being drafty.
2. Clean or replace the filters in your heating system. Ensure you do not have furniture or storage in front of your heating vents, especially if you have floor vents. Remember heat rises and it can’t rise if it is covered by your sofa.
3. Get an annual inspection for your furnace.  Yes, heating systems need to be maintained just like your air conditioner. An annual servicing of your furnace can not only save you money but it can also prevent a fire by cleaning out lint build-up and ensuring that your system is operating properly and efficiently. Per the Chicago Tribune, if your system is only 60% efficient, then that means that you are loosing 40 cents on every dollar!
4. If your health will allow, wear more clothes and lower the temperature a few degrees. Place lap rugs around your house so that you can place one over your legs or over your shoulders to keep you warm. If you are in Southern California… it’s time to take off the flip-flops and put on socks and shoes.
5. Wear a hat.  Remember how Scrooge had on a sleeping cap when he went to bed in every version of Charles Dicken’s Christmas classic? Scrooge was saving money by not heating his house. So, he wore a hat to keep him warm. You don’t have to be Scrooge to wear a comfy sleeping night cap. They really do keep you warm.

Hummm. All this writing about the cold is making me want a nice mug of hot chocolate with mini marshmallows. Another great way to keep warm.

Sweet, sweet rebate check! Credit: Rick/Flickr

Longtime reader Glenn shared his discovery of a money-saving website.

Hey, Julia. Do you know about this site?

I spent about 2hrs rifling through all their free sample offers, printable mail-in rebate forms and coupons. Just click on the link and see for yourself.

http://mail-in-rebate-forms.blogspot.com/

Score,

Glenn

This site, MommySavesBig.com, has a neat and tidy listing of dozens of rebate offers. So if you recently bought something and want to check if there is a rebate for it, or misplaced your rebate paperwork, this site will really come in handy!

It also has plenty of printable and online coupons, freebies, and stuff that you can find many places online.

Got a hot tip or big score? Email me.

Even if your utility company doesn’t provide a free energy audit to find leaks, the video has a secret to doing it yourself! I really need to make time for this stuff!

My weatherizing to do list:

• Check if my utility offers free energy audits
• Finish insulating basement pipes with foam insulation that we have laying around!
• Caulk leaky windows
• Buy and install insulation strip for drafty front door

What weatherizing projects are you not looking forward to doing?

Behold, the gyrobowl! Credit: BuyGyrobowl.com

I have lost the right to call myself the Bargain Babe.

To my horror, an item on my baby registry is being sold in a catalog I recently ridiculed for it’s high prices and absurd products – SkyMall!

How did this happen? At Babies R Us, my husband caught sight of the Gyrobowl, a small dish kept in balance by a gyroscope. In theory, the tot eating from it never spills her

food. Hehehe, yeah right. But gullible, er, practical man that he is, my husband was sold. On the registry it went.

Weeks later on a flight to Austin for a wedding, I spotted the Gyrobowl over his shoulder in SkyMall.

Heavens, no! My GyroBowl in SkyMall? In the company of a $380 aquarium slash coffee table, a $99 NetiPot, and a $250 stainless steel wall mount fireplace? For shame!

I contemplated nixing it from our registry, but then I noticed the SkyMall price was exactly the same as at Babies R Us. My dinged pride was partially restored.

A good number of readers said they enjoy SkyMall for its entertainment value and because the products are so quirky. But it is one brand I refuse to give my dollars to. Are there any brands or companies you refuse to patronize? I know reader Evie is boycotting Target.

Survey says...get paid for your opinion! Credit: dno1967b/Flickr

I’ve been getting a bunch of offers to make money and earn rewards by taking online surveys, being a mystery shopper, and reviewing products. I know readers have asked for more ideas about making money online, so here you go!

Note, I have not used any of these companies so make sure you know what you are signing up for. Do NOT register if it requires sharing your credit card info or paying for anything. Legit survey and mystery shopping companies are free to join. Get the low down on mystery shopping from my expert Nicole of Nicole’s Nickels.

Ipsos I-Say Survey is looking for three different demographics to take surveys. Sign up here if you are a young adult, here if you are African American, and here if you are Hispanic.

Valued Opinions offers rewards for giving your opinions. You’ll have a chance to win a $500 Amazon gift card just for registering to share your opinions.

InboxDollars pays members to read e-mail, take surveys, play games, shop online, and more. Join Inbox Dollars now.

Shadow Shoppers is just what it sounds like – a mystery shopping company that is looking for secret shoppers.

Vindale might not be a company you’ve heard of, but they will pay you for your opinion.

A post from March 2011 has even more survey opportunities and lots of reader comments about which companies are the best.

Clicking on these links supports BargainBabe.com!

eric731 / Flickr

This is a post by BargainBabe.com writer Yazmin Cruz.

Just in time for the holidays, stores are promoting layway plans. I summarized the policies at 10 major retailers, and shared tips for saving money using layaway. All layaway purchases must be paid for in full before you can take them home.

Sears – This store offers two layaway plans.

An eight-week plan is available online and in-store. With this plan, you’ll have to make four payment after the initial $20 or 20% down payment. There is a $5 service fee and a $15 cancellation fee. The 12-week in-store layaway option has a $10 service fee and $25 cancellation fee. You’ll have to make six bi-weekly payments after the initial $35 or 20% down payment, which ever is larger.

Kmart – Similar to Sear’s layaway plan. Kmart offers an eight-week plan online and in-store and a 12-week plan available in-store only for a total purchase of $300 or more. The fees for the eight-week and 12-week plans are the same as the Sear’s fees. The only difference is the down payment of the 12-week plan, which is $35 or 10% (you’ll pay the largest).

Walmart -  Layaway starts Oct. 17 and is available on select toys and electronics. Layaway won’t be allowed on Black Friday. All layaway purchases must total at least $50 and each item must be $15 or more. There’s a nonrefundable $5 fee, plus another $10 if you cancel. You’ll have to make a 10% down payment. All items must be paid in full and picked up on or before Dec. 16.

Toys R Us – Offered in store only. A deposit of at least 20% of the total price plus all applicable taxes, a $10 service fee, and shipping charges (if applicable) are due upfront. Additional payments can be made at any time, but 50% of the total price must be paid within 45 days and the total price of your order must be paid within three months or 90 days. There is a $10 cancellation fee.

Babies R Us – Same as the Toys R US layaway plan. Both stores have a list of eligible items including bikes, baby gear, and more.

Burlington Coat Factory – The store has a 60 day layaway where you pay a $5 non-refundable service fee and a 20% deposit. The next payment of 20% is due within 14 days. There’s a $10 cancellation fee and refunds will be made in the form of a gift card.

TJ Maxx – The layaway plan allows customers to pay for purchases over a thirty day period. An initial deposit of 10% plus a non-refundable service fee is required. Jewelry and clearance merchandise may not be placed on layaway.

Marshalls – Pay 10% down and a $5 service fee. Merchandise must be paid off and picked up within 30 days. Not offered in all stores. Use the store locator on their website to locate a participating store near you (noted by a little hanger icon). Jewelry and clearance items do not qualify for layaway.

Big Lots – The layaway plan at Big Lots is not well-publicized, and it’s not even called layaway. They call it price hold. Many Big Lots locations offer a price hold on furniture only. You’ll have to put 10 percent down so they can hold it for 90 days. Service fee varies.

99 cents only stores – This store just announced it’s layaway plan is back. Service and cancellation fees vary by location.

Does it really pay to layaway?

Before putting any merchandise on layaway, make sure you know what fees you are responsible for and be realistic about what you can afford. Keep in mind that you are being charged a service fee for the convenience of setting an item aside so you will end up paying more for the item. Also, if the item goes on sale some stores may lock you in at the original price. It would be less expensive to use a credit card and pay it off entirely when your bill arrives.

KB35/Flickr

This post is brought to you by AmeriLoanSearch offering no credit check loans with instant approval.

There are 11 common mistakes people make when buying or selling a used car, according to the October 2011 issue of ShopSmart, published by Consumer Reports. All of them add up to lost money. Summarized below. About to buy a new car? Here’s how to negotiate a good price and the three steps of haggling. Did you know you can save a lot of money buying car parts from a junk yard? Make sure to check this car recall site before you pay for any repairs.

Seller mistakes

1. Settling on price. Trading in your car is quicker and easier than selling it yourself, but the dealer price will be lower than if you sell it on AutoTrader.com, Cars.com, or Ebay.

2. Risking your privacy. Don’t list your address or full name or you may attract unwanted visitors. It’s a good idea to meet potential buyers in a public place, instead of your driveway.

3. Combining buying and selling. Trading in your car and buying one at the dealer is a super

complicated process. Negotiate the price of your new car first, and if the dealer won’t meet your selling price, either walk away or sell your used car privately.

4. Selling dirty. Cleaning up your car’s body and interior can raise the price of your vehicle and perhaps lead to a quicker sale. Some people even buy “new car smell” air freshener.

5. Getting ripped off. Do not accept a personal check or installment payments from a buyer, even if the buyer is a friend or family member. A car deal gone bad will effect the relationship. Cashier’s and certified checks can be counterfeited, so verify the check is good with the bank before you sign away the title. Offer a discount for buyers who pay in cash.

Buyer mistakes

1. Owning up. Never let the seller know what you can afford. Unless you are happy to pay that amount.

2. Going in blind. If you don’t know the value of the car you are trying to buy, how will you negotiate a fair price? Best to check multiple sources, like Kelly Blue Book, Edmunds, Cars.com, Ebay, and AutoTrader. The mileage, condition, and maintenance history will effect the value.

3. Rushing. Dealers like folks in a rush because they often forget to inspect the car and ask important questions. Slow down or come back another time.

4. Staying put. Being able to walk away is a crucial – and detectable – bargaining tactic that will influence how you and the seller discuss the car and come to an agreement on price, or not. If the seller won’t accept your top price (assuming you’ve started with a lower price and slowly worked your way up), walk away.

5. Nixing your mechanic. Have your own mechanic inspect the car, even if the seller says they had it inspected for you. Tell the seller ahead of time that you want to deduct the cost of repairs from the selling price.

6. Blowing off VIN. Do a background check on your car by getting a VIN (vehicle identification number) history report. The report costs a few bucks, but will reveal any accidents and how many past owners the car has had. A car that has been in an accident is often less worth, and a car that has had many owners may have more problems.

Comment to win this book!

Discovering secret credit cards, unpaid bills, and debt is a blow many couples cannot survive. In fact, money is the number one cause of breakups, says the married authors of “First Comes Love, Then Comes Money: A Couple’s Guide to Financial Communication.” Comment below to win my review copy.

Unlike most personal finance books, this one is not going to teach you to balance your budget or live debt free:

Why? Because without healthy financial communication, without a commitment to putting an end to financial infidelity, none of that stuff works. After more than thirty-five years of combined experience as financial advisers, we’ve learned that if you don’t know how to talk about money with your partner, if you don’t know how to keep financial infidelity from destroying your relationship, budgets and plans and payments won’t mean squat.

The first part of the book deals with discovering each partner’s financial personality, and how they can create conflict. The book divides everyone into five personalities: the saver, spender, risk taker, security seeker, or flyer. I’m definitely a saver or security seeker. Clashing financial personalities can cause major damage, even divorce.

The second section is about uncovering financial infidelity using what the Palmer’s call the Financial Relationship Index. Both partners take a quiz, earn a score of 0-100, then read what that score means. A lower score is best! The third and final part shares three basic financial communication tools to move forward, including a monthly “Money Huddle.”

All this in 189 pages spread over eight chapters and three appendices. The only trick is to be most effective, you’ve got to read it with your other half.

To win my review copy, comment below on why you need this book. Comment by Aug. 16 at 11:59 p.m. to win! If you can’t wait, buy a copy from Amazon for $6 (orig. $15).

© Pavel Losevsky - Fotolia.com

A list from the used car listing site web2carz of the best used cars costing less than $10,000 intrigued me. The used car market is hot right now because so few people are willing to shell out cash for a brand new one. I’m a big fan of used cars, and my husband and I are toying with the idea of getting rid of our two cars for one family car. Convincing him to buy used is not a given but would save us thousands. I summarized the web2carz list below.

Fuel Efficient – 2004 Toyota Prius

Used fuel-efficient cars are in growing demand. Even the newest hybrid technologies can be found used. A 2004 Toyota Prius is a great buy if you are looking to save money at the pump, but you will certainly pay for it in the pedal. A used 2004 Prius will average you 48mpg-city/45mpg-hwy.

Luxury Cars – 2003 Lexus ES300

Used luxury cars retain their value more than their

stripped-down compact counterparts. Consumers attracted to luxury often want speedy performance—a hard to find package for just $10,000. Remember what features you are looking for in a used luxury, and weigh the loaded perks against performance and price. The 2003 Lexus ES300 is more luxury than sport, but compared to its faster competitors, the ES300 give you grandeur interior comfort, a relaxed and smooth ride, superb safety technologies, and an acclaimed reliability rating.

Sports Cars – 2004 Mazda Miata MX-5

Look for something with lower mileage, and demand the owner take a polygraph to confirm the car wasn’t beat on—too much. For Used Sports Cars under $10k, a 2004 Mazda Miata does justice. At first glance they look, well, a bit puny. Curvy and akin to retro, the 2004 Miata beckons space-invasion, and grandma’s little roadster. Nimble, tight, and responsive, the 1.8-liter 4-cyliner Miata Mx-5 is a joy to drive around town or down the small stretch. As for highway passing speeds, on the other hand, the Miata is a bit noisy. It gets 20mpg-city/26mpg-hwy.

SUVs and Crossovers -  2004 Honda CRV

The 2004 Honda CR-V is a reliable used SUV for buyers looking fuel efficiency, drivability, interior space and five-star safety in one package. The 2004 CR-V is equipped with 2.4-liter 4-cylinder i-VTEC engine that delivers 160 horsepower, and LX versions can be equipped with either front or all-wheel drive. Complaints about the Automatic-Transmission taken into account, the CR-V accelerates cleanly, and handles sharp. For 72 cubic feet of available cargo space, the 2004 Honda CR-V averages an exceptional 23mpg-city/28mpg-hwy.

Compact Trucks – 2005 Toyota Tacoma

Used Toyota trucks have been a hit in the compact class because they simply last forever. Throw words around like “reliability,” “durability,” and you begin to explain why a Toyota Tacoma resonates with used truck buyers. Available in a variety of trims, cab sizes, and V4 or V6 engine sizes, the Tacoma can be found in both two and 4-wheel drive editions. The smallest engine option, a 2.4-liter 4-cylinder engine rated at 142 horsepower and 160 pound-feet torque—averages 20mpg-city/25mpg-hwy. The larger 3.4–liter V6 spits out 190 horsepower and 220 lb-ft torque, and can haul up to 5,000 lbs. Downside to Tacoma is minimal interior comforts and limited features on the base models.

Used Full-Size Trucks – 2007 Ford F-150

As the best selling vehicle for 20 years, the Ford F-series balances a comfortable style for daily commuting with a rugged durability for the heavy haul or tow. A truck for the comfortable weekend tow, a used 2007 Ford F-150 offers regular cab, SuperCab and SuperCrew cab models. It has three engine options, including a 4.2-liter V6, a 4.6-liter V8, and 5.4-liter V8. Compared to competitors, the heavier F-150 is not as quick, and is said to be sluggish under heavy tow.

Even the doggie is mad at Netflix. Credit: _tar0_/Flickr

Angry comments. Ticked off customers. Skyrocketing bills. There’s been a lot of nasty fallout from the Netflix price hike scandal (in case you missed it, bills are increasing 60%). Time for good news: I found five options for movies that are cheaper than Netflix!

1. Get a $5 credit on Amazon Instant Video to stream a movie (usually about $3-4) when you link your Amazon and Twitter accounts.

2. Free movie rentals from Blockbuster Express using coupon codes 62MDEB7, 23ZGDB8, 86EHJR3, 29KBDJ5, 44NCRP7, 35SVEM6, 33MMMT9, 72HLG2 and 38JDAB3, according to The Freebie Blogger. Valid on $1 rentals through July 22, 2011.

3. Free free Amazon Prime memberships for college students, which include free unlimited streaming of 5,000 movies and TV shows. Prime also comes with free 2-day shipping and normally costs $79 a year.

4. Amazon Mom includes free Prime memberships for a limited time, though the perks can be extended for monthly purchases of $25 or more.

5. Local library. Public libraries offer free video rentals, though more-desired titles may come with a low fee.

UPDATE: We couldn’t stomach the 60% Netflix price increase changed our subscription to streaming only. We watch many more movies this way than with the 1 DVD-at-a-time through the mail. If we end up watching less TV and movies, that’s fine with me!

borman818 / Flickr

This is a post by BargainBabe.com writer Yazmin Cruz.

Weeks before graduation, I received a letter from my bank telling me I would no longer qualify for a student account and that I needed an average daily balance of $1,500. Boo!

With my student account I managed to avoid bank fees as long as I never stepped in to the bank and only used the ATM for my transactions. According to the bank’s letter, the fees would kick in on or after June 4. I prepared by transferring money from my savings account on June 1.

A couple days later, I was slapped with a $8.75 fee. What?!?! I couldn’t believe it. I immediately called my bank.

“Hi. I’d like to know why I was charged a fee when I met the average daily balance for my account.”

“Sure, let me check our records,” said the bank teller.

Turns out I

misread the letter. The letter stated the fee would take effect on my statement beginning on or after June 4. My statement had begun May 19 and I made the transfer in the middle of my statement period, which was not enough to bring my average daily balance to $1,500. Rats! How could I complain when I hadn’t been diligent enough to make sure I understood when the fees would start?

This is the only bank fee I’ve ever had to pay, knock on wood! This account had several fees that I managed to avoid. Fortunately, I did not have a limit on how many times I could make transactions. I avoided paying a $3 bank fee plus the other ATM’s charge by only using my bank’s ATMs. I also avoided a $8.95 fee for entering the bank to talk to a teller by calling them instead.

There had been no monthly cost up until the $8.75 fee for not meeting the average daily balance — and I wanted it to continue this way.

“Is there a way to avoid having a minimum on my account?”

“Yes. You can set up a direct deposit.”

“That won’t work. How about another type of account?”

“We have eBanking, but you can’t walk in to the bank to speak to tellers and you have to receive your statements online or you’ll be fined.”

“That’s fine. Can you please change my account?”

An hour later, I had solved my main problem. No more average daily balance for me. Though I never did get out of paying the $8.75 fee.

I’m going to try this new account for a while and if it ends up not working for me, I’m walking. I’ll find a better bank to save money. Have you changed banks to avoid fees? What did you look for?

How are you going to pay for college? Credit: Sean MacEntee/Flickr

A 529 plan is a college savings plan with tax benefits. They have been around for 15 years, but there are still many misconceptions. I summarized these four tips from Marina Goodman, an investment strategist at Brinton Eaton in New Jersey.

1. Not realizing you can sign up for a 529 plan in any state. Just because you don’t live in Idaho doesn’t mean you can’t join that state’s 529 plan. While you can get lower state taxes for joining your home state’s plan, each state sets its own

fees and rules so joining an out-of-state plan may earn you more money in the long run.

2. Not calculating plan costs. Some 529 plans have an account maintenance fee, typically if you have a low balance or live out of state. But not all plans carry this fee. Other fees may include managing the plan and for the mutual funds in which the 529 plan invests. Whether the plan lists them separately or together, make sure you have a finger on the total cost of the plan. Some of the cheapest 529 plans charge between 0.25% and 0.35% and are offered by Iowa, Michigan, and New York.

Tip: If your kid is about to enter college or already enrolled, invest in a conservative plan (because you can’t afford to lose any money). You can do this for free in a few 529 plans, including those in Connecticut and Michigan.

3. Forgetting about gift tax consequences. Contributions to a 529 plan are considered a gift under Federal law and may be subject to additional taxes. You can give up to $13,000 per year ($26,000 for married couples) into each 529 plan (one for each designated beneficiary, i.e. your kid) without incurring the gift tax.

Tip: You can contribute up to five years’ worth of gifts at once – $65,000 in one year for each beneficiary and $130,000 if you are married. But contribute anything more to that kid over the next five years and you may be subject to the gift tax.

4. Ignoring rewards programs. Fidelity has a credit card that contributes 2% of all your purchases to one of their 529 plans. Upromise chips in a percentage of qualified purchases to a few different 529 plans, including Iowa and New York.  If you average $2,000 in monthly expenses on your credit card, that adds up to an extra $10,000 in the 529 plan by your child’s junior year in college.

Tip: A great resource that Goodman recommends for more info on 529 plans is www.savingforcollege.com.

Broken Piggy Bank / Flickr

This is a post by BargainBabe.com writer Yazmin Cruz.

CCN Money made a list of the 9 most annoying bank fees and included information as to why banks charge the exorbitant fees. Here are the nine pesky bank fees and my suggestions to avoiding them.

1. Forgetting to update your address – If you are moving, make it your top priority to call your bank and change your mailing address to avoid this fee. I have a post office box where I have important mail delivered for security reasons and to avoid having to deal with address changes.
2. Cashing in your coins – Coin-counting fees at many banks run at 5% or more. In my post about gift cards with perks, I shared that Coinstar no longer

   charges you a fee if you receive your money as a gift card. If you were planing on getting a gift card, then this will save you money.

3. Talking to a human teller – I hate this one in particular. I can’t go into my bank. I can only use the ATMs or else I’ll get slapped with a $8.95 fee for the privilege of talking to a teller. My solution is calling and emailing the bank when I have a question. Thankfully, this has worked fine.
4. Losing your debit card – Keep your card in a safe place if you don’t use it often. If you do misplace it, don’t let the fee deter you from calling the bank immediately to let them know. It’s better to pay a small fee than lose all your savings.
5. Getting a paper statement – Bank online. If you’re hesitant because of all the recent data breeches, make sure to follow all security measures to keep your information safe.
6. Requesting old statements – If you bank online, you’ll be able to download your statements, save them and print them. Some banks only let you go back for a certain period of time, so make sure to download and save all statements and print as needed.
7. Receiving money – Make sure to read the fine print before opening an account. If you are someone that regularly gets money wired, then make sure to find an account where this fee is nonexistent.
8. Redeeming your rewards points – Before opening an account based solely on the rewards, make sure to ask if they are free. It they are not, ditch the bank.
9. Closing your account – If you can’t stand your bank and want to move, do so. Just make sure to find out how many days after opening your account you’ll have to wait to avoid a fee.

Do you agree these are the most annoying bank fees? What bank fees have you been slapped with and what steps have you taken to prevent them in the future?

Don’t be on standby

Appliances left on standby make up a huge amount of the energy wasted by homes, so this is one of the quickest and easiest ways to cut down on wasted energy. All it takes is to remember to turn the TV off properly when you go up to bed and before you know it you’ll be cutting down on the energy you waste.

Turn off your clothes dryer

Household appliances that give off heat – such as clothes dryers – use huge amounts of electricity. To cut down on this you should always try and hang your clothes out to dry whenever you can. Simply turning off the dryer and drying clothes outside is a 100% energy saving solution.

Get energy efficient lighting

In most homes, lighting accounts for 10 to 15% of the electricity bill. There is such a quick and easy solution to this – simply replace these with low energy and energy saving light bulbs. You’ll be amazed at the amount of energy you’ll be saving. In most instances this can be as much as 80% of the energy of normal bulbs. If you’re cutting the amount of energy used by this much, just think what this will do for your bills.

Start thinking of jobs at home

One of the most frustrating and messy jobs at home is defrosting your refrigerator and freezer, but it’s also one of the best things to do to save money in your home. Doing this regularly will mean that your appliances aren’t working overtime and are just using the right amount of energy to do their jobs. You can also purchase a special plug which will help the appliances run more economically by adjusting the electricity supply according to the motor’s needs. This will also mean that they become kinder to the environment.

Heat water on the stove

When boiling water it’s more energy efficient to heat it on the stove than using a kettle. This may sound like too much hassle, but often it’s actually quicker to do this than to use a kettle. So get rid of energy zapping appliances and get back to basics and you’ll be sure to notice a change.

Have you already implemented these energy saving strategies?

This is paid content. Interested in an ad? Read my blog advertising page.

Ken K. Liu / Flickr

This is a post by BargainBabe.com writer Yazmin Cruz.

While grabbing dinner with friends, we began to talk about relationships and money. My six friends and I, all in our mid-20s, agreed it was important to be on the same page when it comes to money before getting married or moving in together, but on  the subject of joint bank accounts, we were divided.

Half said they wanted a joint bank account, while the other half wanted to maintain separate accounts. I prefer a combination because I want to be in control. But that was not my only reasoning.

Divorce rates are high. Nearly 50% of all marriages end up in splitsville. And it’s no secret that money is one of the most common problems and causes of stress for couples.

Separate accounts would allow me to build up my savings in case I had to pack my things and start all over again. Of course, living in a communal state like California means everything we owned as a couple would be split 50/50. So the savings would be divided, but give me access to cash in the short term.

I also like the feeling of being financially independent. Having separate accounts would allow us to use our money as we wished. We could also buy gifts for each other without the other knowing as they would not be privy to the statement. We would use a joint account to pay joint bills and have a joint savings account to save up for a house and vacations. We would both contribute equally to the joint accounts.

I do not think one approach is better, as long as you avoid banking fees and the arrangement works for both individuals.

What do you think, should couples have joint or separate banking accounts?