Think money can buy you happiness? Apparently, not in small doses. A study in SmartMoney reveals that after basic needs are met, the amount of additional happiness gleaned from every extra dollar gets smaller and smaller. While money buys comfort and luxury, it reportedly dulls our ability to savor life’s small pleasures. The study found that wealthy individuals didn’t appreciate everyday pleasures as much as the less wealthy. Researchers say its simply a pattern in human happiness– getting what we want makes us less able to enjoy it.

We don’t have the key to happiness, but we do have great advice and tips on the housing market. If you’re house-hunting this weekend or prepping for a sale, check out the following round-up before you hit the door. Enjoy the summer weekend everyone!

Credit Karma in the News

• 40 articles about the pitfalls of credit cards, from Balance Transfer Credit Cards, mentions Credit Karma blog as Debt Danger #11.
• The better your credit, the more attractive you’ll be, and you can check your score for free with something like Credit Karma (save your money for your debts!), writes the U.S News & World Report in How To Lower Your Credit Card Interest Rate.
• The Wall Street Journal cites Credit Karma in the article, Bay Area Residents Pay Off Debt Faster.
• Free Credit Report and Credit Score – A ‘How-To’ Guide, from Pirate Hat blog, mentions Credit Karma’s great, free features.
• Credit Karma blog takes #1 on Taking Charge blog’s favorites from the blogosphere in, Emily’s list: Living off the land edition.

Home & Mortgage News

• Getting ready to buy a home? Know what to do and what not to do. Bible Money Matters discusses Things you do that could cost you money when buying a home.
• Closing on a home? Follow these tips. Brought to you by Yahoo! News.
• DebtKid describes Top ten things you may not expect from your short sale.
• DINKS Finance talks about the costs and savings of refinance and How to know if refinancing is worth it.
• Stage your home like a pro for free. MSN Money shows you how.

“Top Ten Funny Money Saving Tips” from Almost Frugal blog shows consumers ways to save money in unexpected ways, such as borrowing toilet paper from work, snacking on food samples at grocery stores, freezing your credit cards, and raiding lost and found bins. Also, catch up on your investments as stocks bouncing back with better-than-expected earnings.

Check out more financial help and credit advice with the following roundup:

Personal Finance News

• CNN Money offers good financial advice on any budget whether you have $3,000 to spend on a financial advisor or want your financial help for free.
• For totally free budgeting advice, take advantage of banks’ online financial tools that help consumers manage their money better, reports MSNBC.
• How a car loan sinks your finances, by Mainstreet, makes a case for why taking out a car loan is a very expensive personal financial mistake you should avoid.
• Here’s another loan-related posting on how to appy for a loan at a peer to peer lender, blogged by The Digerati Life.
• Do you know your money ratios? CashMoneyLife goes over 8 simple ratios to guide you to financial security.

Credit Report & Credit Scores News

• Watch KVUE’s news broadcast discussing the factors and actions that help to determine credit scores.
• Auto insurance premiums are tied to credit score, reports WalletPop.
• Personal finance columnist Liz Weston answers a reader’s question on how to make up for past credit mistakes.
• DoughRoller answers an often-asked reader question: ” When do negative references get removed form you credit report?”
• With this additional post to help you revitalize your credit, Consumer Reports shares its take on how to establish a credit history.

Every penny counts today as the value of the dollar continues to decline in the new year. The blog, “Dual Income No Kids Finances,” posted this picture of what a dollar buys to see just how much American money has depreciated in comparison to world currencies.

If you’re keen on paring down debt, consider the value of each and every dollar you save. Skipping a morning latte or a trip to the movies adds a little more fuel to your debt reduction plan . Read ahead for more debt help and credit card news updates.

Credit Card News

• Did you know you can build credit without credit cards? Blog site Eliminate the Muda explains.
• “Tip 4: Improve your credit score,” — sound familiar on this blog? Bankrate.com suggests 10 best credit card moves in 2010 to put you on the right track to great credit.
• If you are already carry a balance on your credit card, Rich Credit Debt Loan suggests the smart way to handle credit card debt.
• More consumer information about the Credit Card Act of 2009 reported by ABC News. Extra information you need to know about what moves your credit card issuer might make in the coming weeks.
• Here’s another article to prepare you for the Credit Card Act, 5 steps to dominate the new financial legislation in 2010, from blog site Foreigner’s Finances.

Debt News

Fresh from holiday spending season, the following articles and blogs focus on getting rid of holiday debt and planning debt reduction strategies for the new year:

• 5 ways to dig yourself out in 2010 reported by MSN MOney. “1) Save $500.”
• Erase holiday debt from The Wall Street Journal. “Stretching debt payments for holiday spending over a long time will negate any savings you might have gained from any seasonal sales or discounts.”
• 9 rules to get out of debt blogs DebtKid. “You must cut expenses like a butcher. Slash away. Everything non-critical must go.”
• How to waste money in 9 easy steps by 20something Finance. “#3: Pay whatever fees the bank charges you because they’re the boss.”
• Why tracking expenses is important when paying off debt writes Being Frugal. “Without tracking your expenses, it’s hard to know where you’re overspending.”

Capital One’s SmartCents program is making it easier for consumers to tuck away more money in their savings, with the help of Capital One chipping in a few cents.

SmartCents enhances your savings for certain transactions you do on your checking account: for every debit card purchase, online bill pay, or direct deposit, Capital One automatically transfers $.50 from your checking account to your linked savings account, plus Capital One will match 100% of your SmartCents transfers for the first three months, and then 5% after that. Now, if you aren’t a heavy debit card user, the 5% matching contribution may not provide enough benefit to switch to Capital One. Or if you have a hefty-sized checking account, a high-yield checking account or money market account may grow your money faster with high interest.

The first three months are your optimum earning window, when 100% matching power means that saving $100 in SmartCents transfers will earn you $100 of free money, courtesy of Capital One. There is an annual matching contribution cap of $300, which bests the $250 cap of Bank of America’s comparable Keep the Change program.

An extra benefit in this program is Capital One’s current promotion that offers new customers a $15 bonus for the first direct deposit and an additional $15 for the first online bill payment. That is an extra $30 in free money.

For debit card users looking to save more, this is a great deal. It’s a truly free checking account that earns you extra change for your savings with no additional monthly service fee, minimum balance requirement, or maintenance fee. However, you are required to open a savings account and options are limited: the free, no minimum balance Simple Savings account is not available in all areas, and the InterestPlus Online Savings account earns a respectable return of 1.6% APY with a minimum balance of $2,500, but 0% APY for accounts less than $2,500. If you want better earning power than that, you may have to open an outside savings account.

More and more programs, such as BofA’s Keep the Change, Wachovia’s Way2Save, and US Bank’s START, have banks chipping into consumers’ savings. What makes SmartCents a great savings program to enroll in right now are the additional incentives, like the $30 bonus and the first 3 months of 100% matching contributions, that will add an extra jingle in your pocket.

At Credit Karma Blog, what goes around comes around… So what do you think about this post? Agree, disagree, or have something more to say? We’d love to hear your reactions!

Consumer credit scores in 2010 have a better chance to stay credit-healthy with positive economic changes for the coming year and, thanks to FICO’s recent disclosure of credit scoring secrets, a better understanding of how negative actions impact credit scores.

2009 was an economic whirlwind with the shrinking credit market, unstable housing market, scarce jobs, and financial hardships for companies and families alike—and consumer credit scores reflected these rough economic times. The average credit scores for Credit Karma users in 2009 steadily decreased all year, reaching a high of 678 in February down to a low of 671 in November.

2010, however, might be the year to ring in a credit-healthy climate. The forecast for next year is buzzing with talks of economy recovery and anticipation for big legislative changes: the deadline of the Homebuyer Tax Credit could spur enough home buying and selling to get the housing market back on its feet; round two of Obama’s economic stimulus program emphasizes job creation and business tax cuts that will hopefully lower unemployment levels and boost industry confidence; the CARD Act takes full effect in February with credit card industry reforms and cardholder protections that could positively influence consumers’ responsible use of credit.

However, don’t expect 2010’s economic changes to improve your credit score just yet; that is ultimately up to you. FICO’s disclosure of the “damage points” of common credit missteps—like late payments or maxed out credit cards—can help you ditch the worst of your bad credit habits so you can start fresh in 2010. This glimpse into the closely-guarded credit scoring algorithm may not prevent consumers from going into bankruptcy, but it can help them make a better decision when faced with a bad situation.

Here’s more ways to protect your credit score as one of your top New Year’s resolutions:

1. Stay current with your credit cards’ policy changes. The CARD Act’s effective date is fast approaching and issuers are scrambling to change credit card terms. As a responsible cardholder, keep up with any changes to your card policy so your credit score doesn’t get dinged for any maxed out credit cards, cut credit limits, or closed accounts. Take a close look at any notifications in the mail from your issuer, and if you are in good standing with them, call your issuer and dispute the changes to your cards’ terms and conditions.
2. Check your credit report for errors. No one is going to check your credit report for you. The responsibility is on you to check your credit report for any inaccuracies, such as erroneous late payments or old collections accounts that have been resolved , that could drop your credit score by 50 points or more. Dispute errors with the credit bureaus to keeping your credit report accurate and up-to-date.
3. Prioritize and plan a budget. Sign up for one of the many free personal finance management websites, assess your current spending habits, and determine a realistic monthly budget based on your financial situation. Budget bills like mortgages, auto loans, and credit cards, and keep a schedule of your bill due dates to avoid missing a payment and protect your credit history.
4. Pay down credit card debt. The average consumer had $7,879 in credit card debt in November, according to Credit Karma, plus the tab racked up during the busy holiday season, and the average consumers is kicking off 2010 deep in a mountain of debt. Avoid credit mistakes like a 30-day late payment, which will ding your score 60-110 points, and debt settlement, which will damage your score 45-125 points. Now that you know the consequences, start paying down your existing debt to protect your credit score from future risks.

Keep monitoring your financial health by checking your credit score periodically, especially if you are preparing for a financial change like buying a home or taking out a loan in 2010. Knowing how certain financial transactions will affect your credit score with the credit simulator will help keep you on track to good credit. Once you build up to an excellent credit score, be as diligent as ever because the higher your credit score, the more damage a negative action will have. A healthy credit score is in your financial future, you just have to earn it.

At Credit Karma Blog, what goes around comes around… So what do you think about this post? Agree, disagree, or have something more to say? We’d love to hear your reactions!

Mortgage rates increased slightly this week with 30-year fixed mortgages rising from 5 to 5.01%. There is still plenty of encouraging signs for the housing industry, like the slight drops in 15-year fixed and 5-year ARMs mortgage rates, as well as the extension of homebuyer’s tax credit to help buyers get local deals on new homes. Stay abreast of Home & Mortgage News at every Friday’s roundup so you can track the movement of the latest mortgage rates.

Credit Karma in the News

• Can people with bad credit get a peer-to-peer loan? American Banking News mentions Credit Karma in their answer.
• Sun Sentinel’s flashes some Credit Karma data in the recent article, “Digging Out From Under a Mountain of Debt.”
• Augusta Chronicle quotes Credit Karma CEO Ken Lin in reporting that stores opened early for Friday’s rush.
• My Two Dollars name-drops Credit Karma in their advice on how to make sure your finances are in order for 2010.

Home & Mortgage News

• Check out WalletPop’s top 10 tips for finding a home loan refinance if you are considering refinancing soon.
• Ten questions on the volatile housing market plus the answers you need, brought to you by Yahoo Finance.
• BankRate.com counts down top tips for the homebuyer tax credit.
• Ever wonder how compound interest works on your mortgage? Read up on Eliminate the Muda’s two part series, “Compound interest – friend or foe“.
• Plan ahead for your future home with U.S News & World Report’s, “Getting a Mortgage in 2010: 10 Things to Know“.

This Week’s Mortgage Rates

After record drops in the past months, 30-year fixed mortgages are moving upwards at a snails pace, indicates Bankrate.com‘s weekly national survey. While 30-year fixed mortgages rose from 5 to 5.01 percent, the average 15-year fixed mortgage set a new record low of 4.46% while adjustable rate mortgage varied, with the average 3-year ARM jumping to 4.77% and 5-year ARM dropping to 4.52%. Bankrate.com reports that mortgage rates are sinking to such low levels because the Federal Reserve isn’t showing any indication of raising interest rates soon, plus global investors continue to buy debt backed by the U.S government.

Bankrate’s recent survey results:

• 30-year fixed: 5.01% — up from 5.00% last week (avg. points: 0.39)
• 15-year fixed: 4.46% — down from 4.47% last week (avg. points: 0.32)
• 5/1 ARM: 4.52% — down from 4.54% last week (avg. points: 0.30)

Consumer credit scores are on the rise at the start of the busiest spending season of the year. Credit Karma user data from October reveals that retail credit cardholders are doing something right: while the average credit score of Credit Karma users with retail cards we follow increased 5 points to 698 in October, the average credit score of all Credit Karma users actually dropped one point to 671 in October. We saw a very slight uptick of $23 in balances on retail cards in October, possibly a sign that holiday shopping is starting early this year.

Many economists are predicting conservative holiday shopping at best, but we’re seeing some early movement in balances at upscale department stores, like Bloomingdales and Nordstrom, which experienced the largest average increase of $168 in cardholder balance in October. Retail clothing chains, including Banana Republic, J Crew, and Old Navy, had almost unnoticeable changes in average balances, increasing in October a mere $15.

Consumers pared back balances in usually popular gift electronic and jewelry categories by $48 and $20 respectively. Smaller balances in these categories may indicate that there will be less big ticket items under the Christmas tree—like a new HD TV for Dad or a diamond tennis bracelet for Mom—in favor of more modest gifts like a sweater or scarf from the gift receiver’s favorite department or retail store. Yet, it may also mean last-minute big ticket purchases are yet to come.

Key Retailers’ Credit Card Metrics

Source: www.creditkarma.com, October 2009

Be Credit Conscious
As the holiday season pulls in this year, the National Retail Federation predicts consumers will spend on average $682 on gifts, decorations, and food. While consumers at these key retailers may not be drastically cutting their credit use or overspending, it appears they are otherwise taking other steps to improve their credit scores—by paying on-time, opening more credit lines, paying down debt, or other credit-healthy actions. Most consumers seem to be headed for the nice list rather than the naughty list when it comes to shopping behavior, and getting rewarded with healthy scores for their good credit habits.

At Credit Karma Blog, what goes around comes around… So what do you think about this post? Agree, disagree, or have something more to say? We’d love to hear your reactions!

Looking for the best online savings account with the highest interest rate? It took the wake-up call of the worst recession in recent history, but Americans are beginning to save their money more than ever before. Conscious consumers have saved up a total of $10 trillion this year in bank savings accounts, savings certificates, and money market mutual funds, reports the LA Times.

Unfortunately, interest rates for savings accounts aren’t as high as they used to be. The government’s unprecedented actions to drop interest rates to record lows has been great for cash-strapped borrowers, businesses, and banks, but it has also meant lower interest rates for bank account holders. However, online savings account can give a much better return for your savings than your average bricks and mortar bank, for which the national average is only 0.31% APY, and is less risky than playing your savings in the stock market.

If you are thinking about switching to a high-yield savings account or opening up one for the first time, we have compiled the following list of some of the highest yielding savings accounts to put your savings to work (all featured banks require no minimum balances, no fees, and are free to sign up). With economic recovery slow and shaky and the holiday season in the air, having a solid savings plan is the best way to ensure you have sufficient savings in your bank account for the upcoming year.

*as of November 23, 2009; variable rates subject to change

LearnVest stylishly fills a niche in the world of online personal finance management as a money management and financial education tool tailored for women. With a mission statement that claims, “Personal finance doesn’t have to be boring!,” LearnVest is a free, fresh start-up that is worth a visit for anyone interested in a new way to get involved with their finances.

The easy-to-use and simple-to-understand platform, financial calculators and advice, and the goal-oriented task organizer in LearnVest aims to guide specifically women to becoming savvy and empowered about their finances. LearnVest’s focuses on educating users with sound information and advice, and then presenting interactive action plans to walk users through key financial decisions—such as paying off student loans, paying off credit card debt, or getting ready to buy a home.

How LearnVest Works

When users first sign up and log-in, the site prompts them with a brief questionnaire (shown below) on their financial health (such as your current credit card debt), life stages (do you plan to have a family?), and financial education level (do you know your credit score?). These questions will help LearnVest assess the user’s current financial life to better help them meet their personal finance needs.

Using the site is simple, self-navigating, and surprisingly fun. Based on a user’s answers on the initial questionnaire, LearnVest gives them a personalized action plan complete with tailored checklists, articles, and tools to reach their goals. Users can also explore a wealth of financial topics ranging from Checking Credit Report and Score (shown below) to I Want To Budget For A Vacation, which provides customizable checklists that track users’ progress to direct them to take the necessary steps to take control of that aspect of their financial life.

Extra Features and A Suggestion
Below is a screenshot of my personal account on LearnVest, which tracks my site activity and action plan progress so LearnVest can continuously customize my profile to recommend relevant articles, checklists, and tips to keep me on my financial track. One unique feature of this site is the rewards system, in which users earn points for every completed task on their checklists which can shows the LearnVest community what they have accomplished and can also later be traded for rewards. Other features are the LearnVest Blog, with extra tidbits on how to save money and budget, and the LV Daily,which e-mails short daily newsletters with bite-sized personal finance advice and good-to-know information. Even if you don’t want to sign up for LearnVest, you can subscribe to this newsletter separately.

While LearnVest excels on the educational aspect of personal finance management websites, it is however lacking in one feature many personal finance management websites offer, which is the ability to link and access personal bank accounts and credit cards via the site. Adding this feature would put this site on par with competitors like Quicken and MoneyStrands to make it a more comprehensive way to manage your finances. But if you are looking for financial guidance through tips and advice without the extra capability of accessing and organizing your bank account, this could be the site for you.

Conclusion
Part social community, personal financial advisor, and educational game with points up for grabs, LearnVest is a valuable resource for women. Maybe there is a female friend, sister, or daughter who needs that extra help or encouragement when it comes to learning how to handle money—or, men, feel free to use it too. It’s one small step for your current financial situation, but one large leap towards having a bright financial future.

At Credit Karma Blog, what goes around comes around… So what do you think about this post? Agree, disagree, or have something more to say? We’d love to hear your reactions!

While that thought sets in, here’s the buzz on Credit Karma and what’s happening in the housing market:

Credit Karma News

• Dallas Morning News reports on how to get an idea of your credit score without paying a fee.
• Tips for beefing up your credit score at Investor’s Business Daily.
• MarketWatch features CK in discussing how credit-card balances move higher.
• Hawaii’s credit score beats U.S. average reports Pacific Business News.
• My BankTracker uses CK data to report on credit card problems rise and fall: defaults down but delinquencies increase.

Home & Mortgage News

• CNN Money claims that you don’t have to be a millionaire to buy a house, as more than 70% of homes sold last quarter were deemed affordable for those who are still working.
• Contrary to the common belief that its better to buy a house rather than rent, Own the Dollar shows that the advantages of renting might be gaining on home ownership.
• Fiscal Frizzle shares his roadbumps on the path to home ownership to give readers advice on what to do when you decide to take that road.
• Ever wondered about the cost of running your home? Chicago Tribune discusses the cost of energy in your home with the article, How much is your home costing you?
• Save money in your home in this alternative way: Your Money Relationship shares 31 medical home remedies you should know so you can try to do-it-yourself before shelling out money at the doctor’s.

According to Bankrate.com‘s weekly national survey, mortgage rates are at a record low ideal for interested home buyers and also represent a golden opportunity for homeowners looking to refinance. These rates are significantly lower than rates one year ago, and since mortgage rates don’t stay at records levels for very long, borrowers should act with urgency to take advantage of these record low rates while they are still affordable. Here are Bankrate’s recent survey results:

• 30-year fixed: 5.06% — down from 5.19% last week (avg. points: 0.40)
• 15-year fixed: 4.48% — down from 4.61% last week (avg. points: 0.34)
• 5/1 ARM: 4.58% — down from 4.58% last week (avg. points: 0.30)