Analyzed Checking

Specifically designed for businesses with high-volume transactions that require specialized services

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Tap your ASB Visa® Contactless Debit Card or connect it to your smartphone and pay while on-the-go

Analyzed Checking
Product Features & Benefits

  • No minimum opening deposit1

  • Monthly fee: $12.502

  • Receive earnings credit based on your investable balance, which can be used to offset other monthly service fees

  • Night depository for after-hour deposits

  • Month-end statements (images, electronic, and CD-ROM)

  • Analyzed statements provide a breakdown of the services your business uses most

  • Eligible to sign-up for all Cash Management products and services

  • Online Banking for Business3 and Overdraft Protection3

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Product Guide

Additional product information and things you should know

Common Questions:

  1. We reserve the right to close an account that has a zero balance for 30 or more consecutive calendar days.
  2. Can be offset by earnings credits.
  3. Subject to credit approval.
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Saving at Any Age

ASB February 24, 2021 | 5 min read Personal

Saving is an important step toward overall financial health. From a child’s first account to retirement planning, good savings habits can help you to build savings for life.

Our goal at American Savings Bank is to help you make smart financial decisions. Whether you’re just beginning to save or are ready to tackle some long-term goals, check out the tips below on how to save wisely.

BUILDING HEALTHY SAVINGS FOR LIFE

The key to reaching your savings goals is to set up and follow good savings habits, as soon as you can.

To get started, take our financial checkup to get a better idea of your current financial health. You’ll also receive access to resources customized to fit your biggest financial goals.

father and daughter

SAVING FOR LIFE EVENTS

Do you hope to someday buy a new car, get married, start a family, buy your first home or retire? Planning for big purchases and life events by saving up money can help you to reach your financial goals.

Although your specific strategy may differ depending on your goal, here are a few tips you can follow to build your savings for life:

  • Set a Timeline: Write down your future life events and major purchases, then work backwards to determine how much you’ll need to save over time. Setting goal dates can help you to stay motivated and save.
  • Estimate Costs: Go over your plans and count up all of the costs involved. Having a baby, for example, includes healthcare costs as well as costs like diapers and baby furniture. Once you have your costs, prepare a budget that you can track over time.
  • Start a New Account: Open a savings account specifically for your financial goal – for example, you can have a “House Savings Account” where you contribute to regularly, and refuse to touch until you’re ready to buy your house. Having a separate account for a specific goal can help you to monitor how close you are to reaching it while reducing your chances of spending the money on other things.
  • Automate Savings: Use automatic transfers to contribute to your savings on a regular basis. Using your bank’s Online Banking, you can automatically transfer a set amount every time your paycheck is deposited into your account.
  • Prepare for the Unexpected: We suggest saving at least three to six months’ of living expenses in an emergency fund. Your emergency fund provides you with a safety net in case you lose your job or encounter unexpected expenses.

mother and daughter

TEACHING KEIKI HOW TO SAVE

  • As a parent, you can help give your children a leg up by teaching them good money habits from a young age. Opening a savings account in your keiki’s name is a great place to start. You can have your children deposit money they get from birthday or holiday presents into the account.
  • Over time, this money grows and could even earn interest. By the time your child reaches adulthood, they should be able to see the benefits of long-term savings.
  • Education planning is another smart money move for parents in Hawaii. The sooner you start saving for education, the more time your money has to grow. Consider opening a college fund account for each of your children.
  • Depending on the type of account you choose, you might receive access to tax benefits on your savings. Be sure to talk with your tax advisor to determine which account is right for you.

man on computer

SAVING FOR RETIREMENT

Retiring is an exciting time for many Hawaii residents, yet there may be some worry about the loss of stable income from your job. Planning and saving for retirement is key to maintaining your lifestyle when you retire.

There are lots of retirement accounts to choose from when saving for retirement. Speak with an experienced financial consultant to learn more about different account types. A consultant can help you find which accounts work best for your financial situation and target retirement date.

GET STARTED

Ready to start saving for your next big milestone? We’re here to help you get started! Make an appointment to speak with a member of our experienced team at ASB, who can help you to start saving today.

Nothing contained in this material is intended to constitute legal, tax, securities or investment advice, nor an opinion that it is appropriate for readers. The information that is contained in this material is general nature. Readers should seek professional advice for their respective situations.

Securities and insurance products are offered through Cetera Investment Services LLC (doing insurance business in CA as CFG STC Insurance Agency LLC), member FINRA/SIPC. Advisory services are offered through Cetera Investment Advisers LLC. Cetera is not affiliated with the financial institution where investment services are offered. Individuals affiliated with Cetera firms are either Registered Representatives who offer only brokerage services and receive transaction-based compensation (commissions), Investment Adviser Representatives who offer only investment advisory services and receive fees based on assets, or both Registered Representatives and Investment Adviser Representatives, who can offer both types of services.

300 N Beretania Street, Honolulu, HI 96817 (808) 735-1717

Not FDIC Insured
Not Bank Guaranteed
May Lose Value
Not Insured by any Federal Government Agency
Not a Bank Deposit
 
Winfred Cameron's photo

Winfred Cameron

First Vice President
Business Banker

 

American Savings Bank

NMLS #477446
Direct: (808) 539-7959
Mobile: (808) 341-8648
wcameron@asbhawaii.com

With over 30 years in banking, Winfred brings his expertise with helping our business banking clients grow their business through lines of credit, cash management, SBA loans, and more. He is a graduate of Kamehameha Schools – Kapalama and received his Bachelor of Arts in Economics from University of Hawaii at Manoa. He is actively involved in Honolulu Elks Lodge as a treasurer. In his spare time he enjoys to spending time with his family and surfing.

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Why you should get life insurance early

ASB February 17, 2021 | 5 min read Personal

Life insurance isn’t something young adults consider an immediate need. You might understand the benefit of having a life insurance policy when you’re older, but is it really important in your twenties or thirties?

Surprisingly, getting a life insurance policy when you’re young can benefit you well into your adult life. Even if you’re single, childless, and don’t own a lot of assets, taking out a life insurance policy now could be a smart financial move. Read on to see why you should get life insurance when you’re young.

life insurance budgeting

TAKE ADVANTAGE OF LOWER PREMIUMS

In most cases, life insurance premiums are lower when you’re younger. A young, healthy person is generally expected to live a long life, which reduces the risk for the insurance company. They can offer lower rates on your policy because it’s unlikely they’ll need to pay a claim.

If you wait to apply for life insurance until you’re older, you can expect to pay a higher rate. Someone middle-aged is almost always going to be a higher risk than a young adult with the same health profile. Even if you’re in great health when you’re older, you’ll still face higher rates than if you get a policy now.

GET COVERAGE WHILE YOU’RE HEALTHY

Good health can help you keep life insurance costs down. Being young and healthy means you have access to the lowest life insurance premiums available from most insurance providers. If you do get in an accident or develop an illness in the future, a policy that’s in use can’t be canceled due to the change in your health.

PROTECT YOUR FAMILY’S FUTURE

Along with saving on premiums, one of the biggest reasons why you should get life insurance early is the ability to protect your loved ones. Life insurance provides the financial assistance your family needs if you pass away unexpectedly.

BENEFITS OF LIFE INSURANCE FOR MARRIED COUPLES AND PARENTS

Did you recently get married or start a family? Young married couples in Hawaii should consider life insurance as a safety net in case one spouse dies prematurely. If you or your spouse pass away unexpectedly, your life insurance policy can help cover the financial burden of losing your income.

Life insurance is even more important when you have children. Even if you plan a budget for having children, you’re going to face even more expenses if one of you passes away. A life insurance policy can help ease some of the financial stress and help your children maintain their lifestyle after you’re gone.

life insurance budgeting

LIFE INSURANCE TO PAY FOR YOUR DEBTS

Buying your first home in Hawaii means taking on new and exciting responsibilities. Sure, you’ll probably need to learn some basic home maintenance skills. You’ll also need to think about what happens to your house if something happens to you.

A life insurance policy helps you keep your loved ones out of debt if you suddenly pass away. They can use the policy’s benefit to pay off the mortgage or pay for costs to sell the house.

Mortgages aren’t the only debt protected by life insurance. Your family may be responsible for things like auto loans or private student loans if you pass away. By taking out a life insurance policy, you help reduce the cost of your debt in the event of your death.

SHOULD YOU GET LIFE INSURANCE IF YOU’RE SINGLE WITH NO ASSETS?

Even if you’re not married, have no kids, and don’t own a home, getting life insurance is a smart choice. If something unexpected happens to you, your family is still responsible for funeral and burial costs. These costs can add up quickly and put financial stress on your loved ones, in addition to the emotional burden of your passing. A life insurance policy can help cover the costs associated with your passing.

LEARN MORE ABOUT LIFE INSURANCE

Ready to learn more about why you should get life insurance as a young adult? Our team at American Savings Bank can help you navigate your insurance options to find the best fit. Make an appointment today to speak with an insurance expert and learn how life insurance could benefit you.

Nothing contained in this material is intended to constitute legal, tax, securities or investment advice, nor an opinion that it is appropriate for readers. The information that is contained in this material is general nature. Readers should seek professional advice for their respective situations.

Securities and insurance products are offered through Cetera Investment Services LLC (doing insurance business in CA as CFG STC Insurance Agency LLC), member FINRA/SIPC. Advisory services are offered through Cetera Investment Advisers LLC. Cetera is not affiliated with the financial institution where investment services are offered. Individuals affiliated with Cetera firms are either Registered Representatives who offer only brokerage services and receive transaction-based compensation (commissions), Investment Adviser Representatives who offer only investment advisory services and receive fees based on assets, or both Registered Representatives and Investment Adviser Representatives, who can offer both types of services.

300 N Beretania Street, Honolulu, HI 96817 (808) 735-1717

Not FDIC Insured
Not Bank Guaranteed
May Lose Value
Not Insured by any Federal Government Agency
Not a Bank Deposit
 
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The 411 on the Earned Income Tax Credit (EITC)

ASB January 30, 2024 | 5 min read Other

Note: This post shares information relevant to tax filers. Consult your tax advisor for information regarding your individual situation.

Couple on laptop

Have you heard of the Earned Income Tax Credit? Also known as the EITC or EIC, this federal tax credit helps eligible individuals and families with a tax break. Due to the economic impacts of the COVID-19 pandemic, more Americans may be eligible for the EITC this year.

If you received a letter from the IRS about the EITC, there’s a good chance that you qualify. Those who qualify for the EITC can use the credit to reduce the taxes they owe and possibly increase their tax refund. To claim the EITC, you need to meet certain qualifications and file a tax return, even if you have no other filing requirement or don’t owe any tax.

Eligibility for the EITC

To receive the EITC, you must have income from at least one of the following:

  • Work for your employer or someone else,
  • Work for yourself,
  • A business or farm you own or operate, or
  • Some disability plans

The EITC is for workers whose income does not exceed the following limits in 2023:

  • $56,838 ($63,398 married filing jointly) with three or more qualifying children
  • $52,918 ($59,478 married filing jointly) with two qualifying children
  • $46,560 ($53,120 married filing jointly) with one qualifying child
  • $17,640 ($24,210 married filing jointly) with no qualifying children

   ** Investment income must be $11,000 or less

EITC eligibility is also dependent on several factors, including income and family size. If you don’t have a qualifying child and earned under $15,820 ($21,710 married filing jointly), find out if you qualify for a smaller credit, worth as much as $538.

How to Claim the EITC

To claim the EITC, you must file Form 1040, US Individual Income Tax Return, or Form 1040 SR, U.S. Tax Return for Seniors, with your tax returns. If you have a qualifying child, you must also file the Schedule EIC (Form 1040 or 1040-SR), Earned Income Credit to give the IRS information about them.

Receiving the EITC

The EITC is issued via the taxpayer’s tax refund. You can check your refund status online using the IRS’ Where’s My Refund tool at www.irs.gov/refunds.

For more information about the EITC, visit the IRS’ website at www.irs.gov/eitc.

 

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On-the-Go Banking Tips

ASB February 02, 2021 | 5 min read Personal

The latest advances in banking technology have made everyday tasks like shopping, running errands and sharing a meal with friends and family safer and easier than ever before. While the COVID-19 pandemic is still affecting the way that we live, work and play, there are a lot of ways you can bank and shop while keeping yourself and others safe.

At American Savings Bank, we work hard to provide the tools and technology our customers need so that they can bank and live their lives anytime, anywhere. This includes our contactless cards as well as features in our Online Banking and ASB Hawaii Mobile App.

Ari Haiola, Assistant Vice President and Branch Manager of our McCully Branch, recently joined HI Now Daily to talk about some of our available products and services. Check out the video above.

What are Contactless Cards?

Contactless cards are a fast, easy and secure way for you to check out when you’re out and about.

A contactless debit card is just like a regular card with a security chip. The biggest difference is that contactless cards also have near field communication (NFC) antennas that allow them to communicate with similarly-equipped payment terminals without touching.

The card uses a short-range wireless technology via a chip that sends your encrypted payment information to any contactless-enabled payment terminal. All you need to do is see if your debit or credit card has the contactless symbol on it. You can tell you have a contactless card by looking for the contactless symbol. This symbol looks like the Wi-Fi symbol (four curved lines) turned on its side. The symbol may also have an illustration of a hand holding the card over the curved lines. When paying for an item, look for this symbol on the payment terminal to see if you can use your contactless card.

contactless debit card art

If your card is contactless, simply tap your card on the terminal to pay – no need to insert or swipe! Your payment will be processed in seconds. Contactless payment systems are safe and secure to use. The encryption process uses a one-time code for each transaction, just like a chip debit card.

With contactless technology, you don’t have to swipe or insert your card to make a payment at the grocery store, your favorite lunch restaurant, or salon. As long as both your card and the retailer’s payment systems are contactless-enabled, you can simply tap your card and be on your way — no signature or PIN code required! The result is a faster checkout experience and a lower chance of spreading germs and bacteria.

contactless debit cards

Is My Contactless Debit Card Safe?

Despite the possibility of hackers stealing card information or making duplicate payments, the truth is your contactless debit card is safe and secure. Your new contactless card uses highly-secure chip encryption technology. The only difference is the encrypted payment information is sent over wireless signals rather than scanned by a chip reader.

How Can I Get a Contactless Card?

ASB is currently in the process of rolling out contactless cards to our customers. ASB customers who currently have an ASB debit card will receive a new contactless debit card prior to their current card’s expiration date. New customers will receive their contactless card shortly requesting for one at account opening. If you’re shopping for a new bank account or credit card, check and see if the financial institution offers contactless cards.

contactless debit card art

Are Contactless Cards the same as Mobile Wallets?

Contactless debit cards are different from a mobile wallet, such as Apple Pay, Google Pay, or Samsung Pay, but use the same technology. Both contactless cards and mobile wallets allow you to make payments without touching the payment terminal. The system uses close-range radio-frequency identification (RFID) signals and advanced encryption to make a purchase quickly and securely.

What Other Tools Does ASB Offer?

In addition to our contactless cards, we offer a number of different products and services for you to bank and shop safely while on the go. Our Online Banking, available through our website and Mobile App, allows you to transfer money, pay bills and check balances anytime, anywhere. You can also set up your mobile wallet on your smart phone, uploading your debit or credit card so that you can pay using the same contactless technology at checkout. To learn more about these tools, visit Make an Appointment or stop by one of our branches and one of our knowledgeable bankers can help.

 

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Our Community Impact in 2020

ASB January 26, 2021 | 5 min read Community

2020 was a challenging year for many, with the drastic impacts the COVID-19 pandemic had on the economy and our local community. Many individuals and families found themselves dealing with job losses, lack of childcare, and more, with some unable to make ends meet. Because of this, they relied heavily on the social services and critical support local nonprofits provide.

“We are so proud of how our teammates showed up and stepped up for our community in 2020, despite the challenges the pandemic presented,” said Rich Wacker, President & CEO. “Thanks to the dedication and hard work of our teammates, we were able to bring real impact this past year, which we believe will pay dividends as we recover and move forward into 2021.”

ASB’s 2020 Charitable Giving Highlights:

2020 Charitable Giving Campaign HighlightsClick to Enlarge

  • The bank made ASB history by breaking its record for teammate participation in its annual Kahiau Giving Campaign. In 2020, a whopping 97% of teammates donated a total of $179,316. The campaign benefited ASB Kahiau Partners: Child & Family Service, Kapiolani Health Foundation, Kupu, Partners in Development Foundation and United Ways on each Hawaiian Island (Hawaii Island, Kauai, Maui, Molokai and Oahu).
  • Combined with the bank’s financial donations for the year, ASB donated a total of $1,304,073 to 105 nonprofit organizations.
  • ASB surpassed its Seeds of Service goal of 20,000 volunteer hours in 2020, logging a total of 23,420 Seeds of Service hours. Teammates volunteered with more than 140 nonprofit organizations, despite the challenges to traditional volunteering that the pandemic presented.

 

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How to Stay Safe and Secure Online This Year

ASB January 25, 2021 | 5 min read Personal

From working from home to distance learning, many of us are online more than ever before due to the global pandemic. With more time online comes more risk of scams, identity theft and fraud. Our Information Security and Fraud teams recommend the following tips to stay safe and secure online, all year round.

Man staying cybersecure on devices

COMMON SCAMS
Scammers are constantly becoming more deceptive and savvy. If you think you may have been scammed, or one of the situations below sound familiar to you, contact your financial institution immediately. Tell them about your situation and any information that might be compromised. You can request to block or close your accounts to help protect you from financial loss.

Romance Scams
In 2019 alone, more than $201 million in losses due to romance scams was reported to the Federal Trade Commission (FTC). Scammers create fake profiles on dating sites and apps, or contact individuals through social media sites like Instagram and Facebook. They start a relationship with their victim online and build trust using phone calls, email, text message, and sometimes even video chat. Then they make up a story, and ask for money, or ask you to give them your banking information. Some common stories are listed below to help you identify if you are a victim of this kind of scam:

  • Living or working overseas and is “stuck” (oil rigger, military, doctor) without access to a US bank account
  • Needs funds to come home, pay for a plane ticket or other travel expenses
  • Is in the hospital, or someone close to him/her is in the hospital and needs help
  • Has the money but can’t access it currently and will “pay you back” soon
  • Needs to pay customs fees to retrieve something
  • Needs to pay for a visa, or other official travel documents

Get Rich Scams
Money mule scams involve a scammer sending you money which you are then asked to send on to someone else. Sometimes you are told you will get to keep a portion of the money. But the money they sent is stolen, and the story they are telling you is fake. These types of scams can take many forms. Below are a few examples:

  • A letter, email, or text saying that you have won the lottery (i.e. - Publisher's Clearing House) and need to send money to pay taxes on it before the winnings are released to you.
  • A request for you to be a mystery shopper or do some other kind of job, where you will be paid, but the payment you receive is for more than the amount you are owed. You are asked to send the extra funds back to the fraudster or to someone else.
  • Selling an item on Craigslist or some other website, and the purchaser sends you more than the cost of the item. You are asked to send the extra funds back to the scammer, or to someone else.
  • Sent money and asked to purchase gift cards (i.e. - Amazon, Wal-Mart, Longs, iTunes, etc.) and either send the gift cards or a picture of the card information back to the fraudster or to someone else.

Government Official Scams
These types of scams happen when someone claiming to be some sort of “official” contacts you and claims that you owe money. These scammers often say they are affiliated with the government or some other sort of official in a position of power to scare you into giving them money or your banking information. They may claim to be an attorney, Certified Public Accountant (CPA), or part of the Federal Bureau of Investigation (FBI), Honolulu Police Department (HPD), or Internal Revenue Service (IRS). These scams are sometimes done via phishing email, phone calls or text messages.

Lady staying cybersecure on computer

HOW TO AVOID BEING SCAMMED
There are a number of ways you can protect yourself and others from being scammed. Remember, you should never share: login credentials, including usernames and passwords, your Debit Card Pin Numbers, or any Secure Access Codes (One-Time Passcodes) with others. Here are a few tips to avoid being scammed:

  • Look for Phishing: Take a close look at your emails before opening or responding to them to avoid phishing scams. The most common threat vector for attackers is a phishing email. Remember to think before you click. Don’t click on links from unknown sources. Check for phishy email addresses (e.g. john@amazon.net) and don’t open random attachments. If a deal or offer seems too good to be true, it probably is.
  • Protect Your Devices: Protect yourself from cyberattacks by separating your work and personal devices. This minimizes the risk of an attack reaching your workplace, or vice versa.
  • Double-Check Domain Names: Make sure you visit sites that have “https://” or a lock symbol in the browser. These sites are protected. Use the correct URLs for websites you are visiting. One of the top threats currently is cybersquatting, where cybercriminals register domain names which appear related to be existing domains or brands with the intent of profiting from typing mistakes.
  • Beware of Formjacking: Keep an eye on your credit card statements to catch formjacking attacks and other suspicious activity. Formjacking is when cybercriminals inject malicious code to hack a website and steal credit card details and other personal information from payment forms captured on the “checkout” page. Check your statements regularly and use a credit card or prepaid gift card when making purchases online. This ensures a quick resolution in the event that a cybercriminal gets the card information and makes or tries to make a purchase. With prepaid gift cards in particular, it also limits the amount of money a cybercriminal has the potential to steal. Consider not storing your payment information for one-time purchases.

For more tips and information, visit our Information Security, Fraud & Privacy Hub.

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Making Home Loans Easy – Our New Online Mortgage Application

ASB January 12, 2021 | 5 min read Personal

From shopping to schoolwork, much of what we normally do in person has gone digital due to the pandemic. Now, with the latest technology from American Savings Bank, you can even apply for a mortgage online.

“Due to the pandemic, we’re seeing a lot of people take advantage of the low interest rate environment by purchasing their first, or second home,” says Luxton. “At ASB, we’re dedicated to making banking easy so that we can help make dreams possible for our customers. Our new Online Mortgage Application makes applying for a home loan easier and more convenient than ever before by allowing you to apply for a mortgage from your laptop, phone or tablet anytime, anywhere.”

ASB Online Mortgage

Applying online is easy as 1, 2, 3!

  1. Go to mortgage.asbhawaii.com and set up an account.
  2. You’ll then be asked to enter your information and will even have the optional step of uploading documents from your desktop or by taking a photo on your phone.
  3. Once you’ve completed all the steps, your selected loan officer or a loan officer from our team will process your application and follow up on pre-qualification and next steps.

The entire process can take just 20 minutes and can be used to finance your dream home or refinance an existing mortgage.

ASB’s team of knowledgeable loan officers are also available to help every step of the way, whether you have questions on the application or need to get a pre-qualification letter to purchase your home.

If you need help with your online application, or simply want to know more about our mortgage loan options, get in touch with someone at ASB. You can visit asbhawaii.com/home-loans or contact one of our helpful loan officers directly by calling (800) 293-2878.

 

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How to Deal with the Financial Impacts of a Job Loss or Pay Cut

ASB January 11, 2021 | 5 min read Personal

Unemployment is at an all-time high due to economic impacts of the COVID-19 pandemic. In August 2020, Hawaii had the country’s highest “insured unemployment rate,” according to the U.S. Department of Labor.

If you are dealing with a job furlough, loss or pay cut, know that you’re not alone and that there are resources to help. Here are a few of our recommended tips to help you protect and maintain your financial wellbeing during a loss of income.

Man budgeting

DOUBLE-CHECK YOUR FINAL PAYCHECK
Take a look at your employee handbook or talk with your human resources department to find out how your company handles final paychecks. You may be owed more than the money you earned from your salary or an hourly wage. Some employers pay out unused vacation or sick days on the final paycheck. You may also be eligible for a severance package, which could help you cover expenses while finding a new job.

REDO YOUR MONTHLY BUDGET
A sudden loss of income can have serious consequences for your monthly budget. Review your budget as soon as you find out you’re being let go, furloughed or taking a pay cut. You may need to adjust your savings and expenses to meet your new financial situation.

The first step is to look for ways you can reduce existing expenses. Cut back on areas that are not an absolute necessity, such as monthly or annual subscriptions and nonessential items such as shopping or entertainment. You can also consider lowering necessary expenses such as rent and car payments, by finding a roommate or working with the company that provides financing. If you have an emergency savings or rainy day fund, determine if you need to start accessing it to cover expenses – after all, this is what it’s designed to do.

Family budgeting

APPLY FOR UNEMPLOYMENT INSURANCE
Look into the government programs available to help those who are out of work. The most common form of government assistance is unemployment insurance, which helps to cover your expenses through weekly pay. During the COVID-19 pandemic, some programs were created to further support the unemployed. The CARES Act of 2020 made it possible for some workers to receive unemployment benefits after a pay cut or reduction of hours.

CONSIDER OTHER OPPORTUNITIES
Losing your job or getting a pay cut is challenging, but perhaps you can see it as an opportunity to pursue a career you’ve always dreamed of. Maybe you’ve always wondered about starting your own business or going back to school. You could explore a career change or look into job opportunities in a new industry. Talk about your dreams with your personal and professional network. You might gain some helpful advice for your next steps.

WEIGH YOUR CREDIT OPTIONS
Avoid taking on debt after losing your job, being furloughed or taking a pay cut. If you decide using credit is your best option to cover expenses, carefully consider all of your options and do your due diligence. If you’re approved for a credit card with a low introductory rate, for example, you could use it to pay for necessities. As long as you pay the minimum each month and the full balance before the introductory offer ends, you could save yourself hefty fees or interest charges.

If you are a homeowner, another option available to you may be to open a home equity line of credit (HELOC). A HELOC takes into consideration the value of your home for a credit line. You can draw money from your HELOC for expenses anytime during the draw period. You also only pay interest on the money you borrow. If you don’t need all of it, you can leave it in the account and avoid paying interest on the money you don’t use.

Monthly Budget

SKIP LARGE PURCHASES AND CUT SPENDING
Any major purchases you were planning to make (such as a new car, down payment on a house or large kitchen appliances) may need to wait until your financial situation is more stable. Other expenses to avoid include moving to a more expensive rental home or signing up for memberships, such as gyms or clothing services. Even smaller purchases should be avoided unless necessary.

CHECK YOUR INSURANCE COVERAGE
Losing your job doesn’t just mean you’re losing income. For many, health and life insurance are tied to their employer. If you get health insurance through work, you’ll need to look at your coverage options after being laid off. You can usually pay for COBRA coverage, which is a law that allows you to purchase your current health plan out of pocket. However, COBRA coverage has a limited timeframe and is often expensive.

Other options include shopping for a short-term health plan or browsing the marketplace for an individual plan. Losing your job usually counts as a qualifying life event, which means you can sign up for coverage outside of open enrollment periods.

Family budgeting

EXPLORE HARDSHIP PROGRAMS
Cutting expenses, reworking your budget, and applying for new opportunities may still leave you without enough money to cover your bills in the short term. If financial hardship makes it impossible to cover your expenses, explore hardship programs that may be available to you. Hawaii residents can call Aloha United Way’s hotline at 2-1-1 at any time to receive assistance. You may qualify for financial assistance or hardship programs that allow you to temporarily pause loan payments or defer costs to a future date.

Losing your job is never easy, and it’s especially overwhelming during a pandemic. Following these steps can help you to manage your finances as you prepare for the future.

Need help? Contact one of our knowledgeable bankers to learn more about how we can assist you.

(Nothing contained in this material is intended to constitute legal, tax, securities or investment advice, nor an opinion that it is appropriate for readers. The information that is contained in this material is general nature. Readers should seek professional advice for their respective situations.)
 

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