How is Your Financial Health?

February 19, 2025

Each new year brings fresh opportunities for resolutions and goals. This sense of hope and optimism makes it the perfect time to assess your financial situation and identify areas for improvement. Just as we schedule annual doctor’s appointments, scheduling a financial wellness checkup is just as vital to ensure you're on track for a healthy financial future.

Managing your finances isn’t just about budgeting — it’s about having the tools, resources, and strategies to navigate uncertainty. A financial checkup helps you pinpoint any vulnerabilities and create a system that sets you up for success. Let’s explore some key ways to improve your financial health.

Grow Your Emergency Fund

An emergency fund is essential for long-term financial security. Unexpected expenses—such as medical bills, car repairs, or job loss—can lead to unwanted debt if you’re unprepared.

According to Bankrate.com, a study showed that 59% of Americans in 2025 don't have enough savings to cover a $1,000 unexpected expense, highlighting the importance of emergency funds.¹ Building your savings may seem overwhelming, but it doesn't have to take years or stretch your budget thin. MSUFCU offers unique options to help grow your funds faster:

• Savings Builder^SM: This account offers a blended rate across three tiers and distributes monthly dividends, maximizing returns on your initial deposit — perfect for those just starting out.²
• Certificates: If you're looking for a low-risk way to grow your emergency fund, consider a Certificate. With higher interest rates than regular savings accounts, Certificates help your money work for you. MSUFCU’s 1-Year Add-On Certificate provides flexibility by allowing you to add funds throughout the year. You can open this account with as little as $50 and contribute up to $10,000 annually, making it a great way to start small and build your savings faster.³

A great tip is to pay yourself first by automating regular deposits to a Savings Builder or 1-Year Add-On Certificate. Over time, those deposits add up, and saving will become second nature.

Minimize Debt

Debt is one of the leading causes of financial stress. A key step in improving your financial health is minimizing your debt, starting with lifestyle changes. Start by tracking your spending for a month to identify unnecessary expenses you can cut.

Additionally, high-interest credit card debt can quickly snowball if left unchecked. Refinancing options can help lower monthly payments and interest rates, allowing you to pay off debt faster. MSUFCU offers powerful solutions to strengthen your financial health:

• VISA Balance Transfer: If you’re carrying high-interest credit card debt, transferring your balance to a lower-interest MSUFCU credit card can help you save money and lessen your financial burden. MSUFCU offers lower interest rates for credit cards compared to the national average, giving you the perfect opportunity to cut down on your debt and start fresh.
• Personal Loans: Refinancing high-interest loans—such as student or personal loans—can lower your rate, ultimately saving you money. Last year, MSUFCU helped members save nearly $30 million in loan interest by refinancing high-rate loans from other institutions.

Invest for Retirement

The earlier you start investing for retirement, the more you’ll benefit from the power of compound interest. Whether you’re just starting your career or preparing for retirement, reviewing your options now can provide peace of mind for the future.

Accounts like a 401(k), IRA, or Roth IRA offer tax advantages while diversifying your portfolio with stocks, bonds, and mutual funds. MSUFCU provides resources to help you plan for a financially secure retirement.

Utilize Digital Tools for Financial Management

The world of finance is evolving, and financial technology (FinTech) makes managing money easier than ever. MSUFCU offers innovative digital tools to simplify your finances, like Debbie, Changed, Fin-Life and more.

These tools help with budgeting, saving for future goals, and paying off high-interest debt. Embracing FinTech solutions can simplify money management and foster better financial habits, setting you up for long-term success.

Take Charge of Your Financial Future

MSUFCU has the tools and products you need for a healthy financial foundation. Just as regular physical checkups keep your body in optimal health, a financial wellness checkup ensures you’re on track to meet your goals. Let our financial experts assess your situation and offer personalized solutions to boost your financial well-being.

Schedule your in-person financial health appointment at your local MSUFCU branch today, and start working toward a brighter, more secure future.

Click here to schedule your appointment.

¹Bankrate’s 2025 Emergency Savings Report https://www.bankrate.com/banking/savings/emergency-savings-report/

² Must have an active checking account to be eligible for a Savings Builder account. Annual Percentage Yield (APY) rates subject to change at any time. The Savings Builder is a tiered rate account which pays a different dividend rate on the amount of funds in each tier. Each dividend rate will apply only to the portion of the account balance within each balance range tier and not the entire account balance. For example, if you had a daily balance of $3,000 in your Savings Builder account, you would earn the Tier 1 rate on the first $999.99, the Tier 2 rate on dollars $1,000 through $1,999.99, and the Tier 3 rate on dollars $2,000 through $3,000. The APY range for Tier 3 assumes a daily balance of $3,000. A higher daily balance will result in a lower APY being earned. No minimum balance required to open a Savings Builder account or to earn dividends. Limit one Savings Builder account per account. Youth accounts, business accounts, Individual Retirement Accounts, and Health Savings Accounts are not eligible for a Savings Builder account. Rates are variable and may change after the account is opened. Fees may reduce earnings.

³ Annual Percentage Yield (APY) rate subject to change at any time. Dividend rates are subject to change weekly. Certificate rate is fixed for the term of the Certificate at the time it is opened. Additional deposits can only be made to the 1-Year Add-On Certificate. A total of $10,000 may be added to a member’s 1-Year Add-On Certificate(s) each year. Earnings assume funds remain on deposit for the term of the Certificate and are compounded monthly. An early withdrawal could reduce your initial investment and penalty applies if funds are withdrawn prior to maturity. Early withdrawal penalties will not be charged for withdrawal due to disability or after death of Certificate owner. Visit msufcu.org for full details. Federally insured by NCUA.

Tags: Money Management, Tips and Tricks, Savings

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