There are several instances in life when you may urgently need funds. For instance, you have to pay a huge sum on your credit card bill or have a major home repair to take care of. One of the options by which you can acquire funds in needs like these, is a 401(k) loan. But, before you rush to get a 401(k) loan, why not first get down to understanding some essential 401(k) loan basics? Understanding how this loan type works would let you reap benefits rather than cost you. Essential 401 (k) loan basics What is a 401(k) loan? A 401(k) loan is an arrangement that helps deal with unplanned expenses, while at the same time saving a considerable amount of money for retirement. A 401(k) loan is when you borrow funds from your 401(k) retirement savings account. A timely repayment of this loaned money with interest is the only way to safeguard savings and keep them on track. What is the repayment like? In the case of a 401(k) loan, the repayments are taken from the paycheck automatically after taxes and other payroll deductions. In most cases, repayments are taken on a monthly or quarterly basis. The longest repayment term that is allowed is five years.

The primary function of a freezer is to preserve food and prevent its decay, but there are many instances when you are greeted by a bad odor on opening the freezer door. Bad odor is a direct indication of an issue with either the functioning of the freezer or the storage and usability of food. Many reasons lead to issues in the working of the freezer or contamination of the stored food, and all of them directly result in bacteria and mold forming in the food and multiplying rapidly. This article discusses some common reasons for food decay and the subsequent freezer odor, along with tips to banish the odor: Power interruption The process of decay can only be delayed and not stopped. If there is a power outage for a long time and the freezer stops functioning, the process of decay hastens, leading to obnoxious and pungent odor. If the power outage lasts for more than 2 hours, it is a cause for concern and action. In such a case, the stored food should be thawed and used as soon as possible. Continuing the storage of the same food after the power returns might give bacteria and mold a chance to flourish, contaminating the food.

Most students deal with their expenses by the pocket money received from home or their savings from their part-time jobs. While this usually suffices for most days, there can be times when emergencies come up and the savings may just not be enough. In such cases, a savings account can be a boon. Also, it is never too early to learn financial management. Let’s have a look at the benefits of savings accounts for students that will convince you it is time to open your own. Let’s you take up opportunities Having funds at hand allows you to take opportunities that you otherwise would have given up. For instance, you might want to join the dance classes opposite your student hostel yet the fees are unaffordable at the moment. Or, you might want to join a language class and again, money is the issue. If you have money saved up, you can grab these opportunities as they come along and you do not have to wait to ask your parents for money. Helps pay for college tuition Education is really expensive. Saving up will leave you with extra cash at hand to tackle those student loans when they come up for payment.

Building a college fund and saving regularly to add to it can enable a student to collect enough to pay their college fees without a student loan. However, this only holds if the savings are done from early on. While thinking about this, the most common question that might cross your mind is “how can I save as a student?.” Well, here are some useful tips for students who are looking for ways to increase their savings for college: Apply for scholarships Scholarships are one of the best ways to pay for your college fees without having to worry about repaying the money. If you are good at sports, academics, or any extracurricular activity, you are eligible to apply for a scholarship. Also, early applications increase your chances of getting a scholarship. Even if the amount is small, you must go for it as it will reduce your requirement for taking a student loan. This will help you with your college fees, and the money that you save before college begins will take care of other miscellaneous expenses. Start early Start saving money or as soon as you start getting pocket money, and save as often as possible. The earlier you start, the more opportunities you will have to save money.

Your credit score has a great impact on your finances and also determines whether a loan application will be passed or rejected. So, it is of utmost importance to maintain a good credit score to avail of credit from mortgage or an important line of credit. If your credit score is low, here are some beginners’ tips on how to improve a bad credit score easily: Pay all bills on time This does not refer only to credit card bills. You should make it a point to pay all your bills on time each month. This includes student loan repayment installments, rent owed to the landlord, phone bills, and other such bills. The record of this regular payment goes on your credit report and can help as your future lenders are interested in knowing whether or not you repay your debt on time. Having a lot of late payments is a negative mark on you, but your credit score can go up if you pay on time. Avoid new credit cards You might get many offers to open up new credit cards with good deals, but opening all these cards can lead to a hard hit on your credit score through multiple credit inquiries.