4 Financial Fixes That Could Save You Thousands Before Year-End

Welcome back to Dvorkin on debt where we talk about all things money with our resident expert Howard D'vorin.

Today put out their midyear checklist about fixing their credit savings and 401ks. This midyear checkup, it has to start with our credit reports, right?

So, let's say with interest rates right now punishing consumers, how much damage can a single error on a credit report actually do to someone's wallet? It could destroy somebody because if there's an error on your credit, it'll reduce your credit score, which then will cause you to pay extra interest, higher interest rates, and that will impact your cash flow tremendously.

And people, I feel like they don't realize they can get they can check their own credit report. Of course, they can go to annualcreditreport.com and get it for free and check it at least once a year and make sure what's on there is correct. And if not, each bureau has the ability where you can just dispute things online and they're required by federal law to go back and check and confirm that what is being reported is accurate. And if not, if they can't do it within 30 days, they have to take it off.

And it's so simple.

It may be easy.

But the credit bureaus are so backlogged. Since December of 2025, they won't be getting to correct these errors until sometime in 2027.

That's how far back. You have to understand millions and millions of pieces of credit information are or input into credit reports every day.

And the chances of them being 100% accurate is about zero. So you have to go and challenge these reports after you review them. And if you find an error, don't be surprised. It may take you a little longer and you may have to do it repetitively until you get the answer you want, but it's always worth it. 

Absolutely.

So, another major leak in the household budget right now is insurance. A lot of people just let their policies autorenew. I'm guilty of this, but because it's so easy, people don't understand that blindly staying loyal to your insurance company might have a massive financial mistake. Can you explain that?

Well, people get used to getting a bill.

Even though rates go up, they rarely go down substantially and continually they keep going up and up and up and people just go, "Okay, I'll sign that.

I'll write a check." The reality is you should shop those rates. You shouldn't be loyal to one company, especially insurance companies, because they'll drop you in a second. However, and they don't care about your loyalty, but you really need to shop your insurance.

Also, shop your other bills. In fact, this weekend, I did something unusual.

Oh.

Oh, yeah. I had a really fun weekend.

I called my cable company. I got my rates down and people are used to paying their cable bill and I sat there and your internet and your cable and all that and I said, "Give me a new program, Mr. Miss Cable person." And she said, "Okay." And she did. And I saved $150 a month.

Heck yeah.

Yeah.

So, up next, we have savings. Inflation is eating away at cash, yet millions of Americans still keep their hard-earned money in traditional bank accounts.

Where should people be putting their cash instead for an instant raise? 

Traditional banks, the big banks, the Bank of America, the Chase banks, if they do pay interest to you on your savings, it's so minuscule that it won't even buy you a cup of coffee at the end of the day.

0.01, right?

Yeah. Something like that. I think it's

So insufficient.

I think it's 0.01%.

At the end of the day, you're a number to these large mega banks, even these smaller banks.

They don't. So, don't be afraid to switch over your credit card loyalty to somebody else.

Right. So, finally, the article mentions auditing our 401k plans. Should people really be prioritizing long-term investing over paying down the plastic credit cards?

It's a combination. First of all, a lot of 401k plans have employer matches.

Maybe it's 3%, maybe it's 4%.

People should maximize that that benefit because you're leaving money on the table. I mean, we have hundreds of employees and I am dumbfounded when I see people not investing in their 401k because they say they can't afford it.

They can't afford not to invest in that 401k and they're leaving that extra benefit, that money on the table. Free money also. Don't borrow from your 401k.

Oh yeah, that's a big one.

Especially to pay your credit card bill.

Big no. But if you do that, make sure at least that you don't charge up your credit cards again because you're going to be in the same situation a couple years down the road.

Thank you for sharing all that.

Thank you.

Yeah. And so until next time, great having you here.