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Editor’s Note: This story originally appeared on The Penny Hoarder.
Maybe you’d rather forget 2021 — we get it.
But before getting too far into 2022, it’s a good idea to take stock of how your finances may have changed during the last 12 months and make any needed adjustments.
Here are some areas of your finances to check on so you don’t get any unpleasant surprises this year.
1. Missed Student Loan Payments
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If you’ve been taking advantage of student loan forbearance since March 2020 — when all payments and interest on federally held student loans were suspended — it’s time to resurrect those payments.
Forbearance ends April 30, 2022, at which point you start owing and accruing interest on your student loans. Don’t delay reaching out to your student loan servicer.
If you’re on the standard repayment plan and are unable to make the payments, apply for an income-driven repayment plan, which could substantially reduce your monthly payments when the forbearance period ends. If you’re already on an income-driven plan, update your income to modify your monthly payment.
2. Overdraft Fees
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Overdraft fees are among the most criticized fees assessed by banks, since those who live paycheck to paycheck are the ones likely to accidentally overdraft.
The good news is that in 2021, a number of institutions eliminated their overdraft fees, including Ally Bank, Alliant Credit Union and Capital One.
Since the new year, Bank of America announced it’s slashing overdraft fees from $35 to $10 and intends to drop bounced check fees. Wells Fargo said that it will give customers 24 hours to make good on overdrafts, although it hasn’t budged on the $35 overdraft penalty.
What does that mean for you? If you’re banking at a place that’s socking you with fees, then maybe 2022 should be the year you find a new bank — here’s a rundown of those fee changes, plus a list of banks that don’t charge overdraft fees at all.
3. Social Security Changes
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Whether you’re already retired or years away, Social Security affects your finances, and there are some major shakeups to the system this year.
For retirees, first some good news: Social Security payments are getting their biggest cost of living increase since 1982. But don’t expect a much fatter monthly check — most of that increase will be eaten up by rising Medicare premiums.
And if retirement is still in your future, you’ll have to wait longer to reach it — as of 2002, full retirement age is …….
Source: https://www.moneytalksnews.com/slideshows/5-financial-surprises-you-dont-need-in-2022/