Author: Philip Tirone

After renting for years, my wife and I just bought a house.
It’s our ideal house—exactly what we were looking for in the exact neighborhood we wanted. We have dreams of raising our children there, and we smile thinking about the birthday parties, sleepovers, and graduation celebrations that will fill our home in years to come. When our children grow into adults, we imagine what it will feel like when they return for Thanksgiving and Christmas. We think about what it will feel like when they come to visit with our grandkids many, many years from now.
It’s a house that will be a home that will hold a family that builds memories together.
Right now, though, as I write this, our dream house is infested with scorpions.
The family who owned the house moved out 3 years ago. Unbeknownst to us, in the absence of human occupants, scorpions took up residency.
Talk about a buzz kill.
We planned on having a special celebratory dinner to mark our first night in our home. But in place of this, my wife and kids are sleeping at my parents’ house while I walk through the house hunting scorpions.
You might not know this, but it’s easier to find scorpions at night because they are nocturnal. Scorpions glow neon blue when illuminated by a black light.
These are facts I wish I didn’t know. I wish our perfect vision had come true.
I’m trying not to get too depressed about it because there’s a lot to be happy about, too. We’ve had the house treated, and in seven to ten days, the scorpions will be gone (fingers crossed). My two oldest kids just started first grade and kindergarten at a great school. My wife and I have a rock-solid marriage, and my two youngest kids are healthy and happy.
But those scorpions.
I told a friend of mine about the scorpions, and her response was laughter.
“I don’t think you understand,” I said. “It’s awful. Have you ever seen a scorpion? Can you imagine how scared we are? There’s no way our kids can be in the home. They glow-in-the-dark. It’s a kid’s worst nightmare: A glow-in-the-dark monster.”
She laughed again.
“I know, but it’s only scary right now. In a few years, you guys will look back on this as a great memory. You’ll think: Remember what a nightmare it was when we moved into this house, and it was infested with scorpions? And you’ll think: Look at our family. We’ve gone to battle together.”
When she put it like that, I thought: It’s only scorpions. We’ve been through worse. Surely, we can get through this!
I am reminded of another friend, who couldn’t find a job when his daughter was young. He lost his job while his wife was pregnant, and he didn’t find a job until his daughter was three.
Recently, I asked his wife, Connie, what their daughter’s first word was. She joked, “I can’t remember for sure. All we talked about during those first few years was Mick’s job search, so her first word was probably ‘résumé.’”
Then they shared a laugh. “Remember how awful that was?” Mick said. “We had to live with my parents.”
But they both had big grins on their faces. It was only awful back then. Now, it’s part of the fabric that bonds their family.
Here’s my takeaway: Our struggles define us as much as our victories. In future years, we will remember the tough times we have survived as battles that we have won. The scorpions in our lives will turn into beautiful, sacred memories that mark a lifetime.
I know that many of my readers are having financial struggles, and I know that these metaphorical “scorpions” can be worse—much worse—than my actual scorpions. It is my hope that you fight this battle and win it, so that in future years, this chaotic time somehow transforms into a memory you can look back upon with a smile.
In the coming months, we will be transforming our website so that it supports you in this mission. Please keep visiting our blog so that we can continue to share our message with you. And as always, we want to hear from you. We can’t address every comment left on our site, but we do read each and every one, and we use this as input in developing content for our site. Please let us know what is on your mind by leaving a comment below.

I know how weird it might seem to some people that my credit emails and my blog are oftentimes about my personal life…
And while I know that people want (and desperately need) practical advise on how to deal with the confusing and critical world of credit scoring, I also know that ultimately, everything boils down to a person’s personal life.
In and of itself, a credit score is meaningless. More important than a three-digit number is how a person, or a family, uses it to enrich a life.
So with that said, thank you for allowing me to share yet another personal story—a story I believe has relevance in your own life.
My two oldest kids (Ava, who is six, and Dom, who is five) started school this year. And it just feels … so permanent. There’s no going back now. My babies are kids, and now, more than ever, we have to make sure that the culture inside our home is stronger than the culture outside our home.
We have had our share of trials as parents. We have four kids, and the oldest is six, so that brings its own set of challenges. The first few years of our life as a couple and then a young family were rocky. I had been in the mortgage industry, and all that took a nosedive in 2008 and 2009, right as our family was growing to include Ava and Dom.
Since then, we’ve had the normal problems any couple faces: Lily and I haven’t always been on the same page as parents. We’ve lost loved ones and grieved as we parted ways with dear friends.
But all that pales in comparison to the challenges before us.
Our kids are starting school, so there’s only so much we can do to control the external forces. Our focus has to be on making sure the internal forces are accompanied by rock-solid values.
Then, over Labor Day weekend, I read an article in a Canadian paper that put some of my emotions to words. One of the people interviewed for the article said …
“January 1 isn’t really the beginning of the year for most families. [The beginning of the year] tends to be Labour Day because everything starts fresh again. September seems to be the reset button for most families.”
It’s true, isn’t it? When the summer ends and kids go back to school, families revert to their routines. We set goals and start thinking about what’s going to happen next.
For us, with our kids starting school, it feels like a giant reset button on life in general. With our oldest kids at school, it’s time for us to set some new goals with this new context in mind.
Life has shifted, as so too must our goals.
What about you? Is this a good time for you to take stock of your life and make shifts? What has changed since the last time you set goals?
And what can we do to support you?
At 720CreditScore.com, one of our main goals is to help you find ways to strengthen your financial life, mindful that the final goal is a happy, successful personal life. We invite you to let us know if there is any information that you think we should include on our site that might help you along the way.
If there are, please leave a comment below..
And remember: A high credit score is a powerful tool that can help you live an easier life, but it is not a reflection of who you are as a person. A great credit score is meaningless if you aren’t using it to support your deepest values.

On September 3, at 10:17 a.m., Lily Tirone made me a dad… for the fourth time.
The birth of all of my children has been unique and beautiful.
Ava was our first. From her, two parents were born.
Dominic was the fastest. Lily labored a long time with Ava, so she expected the same with Dom. We stopped by Mass on the way to the hospital, but when Lily went into active labor in a church pew, we decided it might be time for a trip to the hospital.
And Lucas surprised us and came six weeks early. He was tiny, but healthy and perfect in every way. For the past three years, he’s been our baby. Now he has the privilege of being a big brother.
Little Emma Therese Tirone was born in our home.
We planned it that way. Lily awoke from a contraction in our bed around 7:00, and 3 ½ hours later, she was a mom for the fourth time, and she was taking a nap in our bed.
It all felt so … familiar. The familiar feeling of family.
At my 40th birthday party, Lily gave a toast. She told everyone how amazing it was to bear witness to another person’s life. She was talking about me, and how she had the privilege of watching me succeed, fail, pray, laugh, grow, and struggle.
But the privilege is mine.
Being a spouse is hard work—and Lily and I both sometimes joke that the celibate, lonely lifestyle of our priest is probably a lot easier than ours. We have to keep a solid, vigilant commitment to keeping our relationship on track.
I know for certain that I’m the one who is harder to get along with.
So today, there’s no post about credit or your finances. Instead, I want to thank my bride for letting me bear witness to her life, and all the miracles that have unfolded over the years.
Thank you, Mrs. Lily Tirone, for giving me our growing family.
Phil

Since it’s back-to-school time, I want to share this great story I heard on NPR …
You can listen to the whole thing here, but the gist of it is this:
A mother of three (who is also an astrophysics graduate) wants to promote a cultural-makeover when it comes to math.
“You hear educated adults say, ‘I’m just not that good at math’ or ‘I’m kind of afraid of math.’ And that’s a totally acceptable thing for a well-educated person to say,” said Laura Overdeck in the interview.
“But you never hear them way, ‘Well, you know, I’m just not that good at reading.’”
She also said that the more parents talk about numbers, the better students perform in math.
This got me thinking about MONEY!
If parents talked more at home about money, the cost of things, their savings’ goals, and their investments, would kids be more money-savvy?
Probably. After all, you are your child’s first teacher. The culture you establish at home (or the culture you fail to establish at home) will have the largest impact on your child’s habits as an adult.
So why not start telling bedtime money stories? Or, if you are worried this will keep your kids up, how about giving them snack-time money stories?
Let me know what you think below!
Be sure to listen to the whole interview and subscribe to Laura’s blog.
Philip Tirone

Last week, I sent part one of my back-to-school credit tip.
I told you my “crazy plan” for helping your children build a great credit score.
Part two of this plan include an educational platform whereby your children learn about, budgeting, savings, interest rates, and credit scoring.
Last week, I reminded you that no one else will teach this information to your children—not the schools, not their future employers.
The responsibility lies with the parent.
So after making your children an authorized user, start talking to them about credit scores, interest rates, budgeting, and the like.
Then, establish something I call the “Bank of Mom and Dad.”
If your daughter wants to buy something, lend her the money and then sit down with her to create a weekly or monthly payment plan whereby you budget the payments, which should include interest, just like a credit card company would do.
If your child is late with any single payment, assess a late payment, just like a credit card company would do.
Expect your children to make mistakes, and use these mistakes as teachable moments. Don’t berate them, but make sure they understand the consequences of being late with a payment.
Once your child demonstrates continued financial responsibility with the “Bank of Mom and Dad,” consider providing an actual credit card to your teenager.
If you are worried that your children will be irresponsible with the credit card, my suggestion is this: Allow your child access to the card only if you are present and only long enough to hand it to a cashier. This way, the child will not be able to memorize the credit card number, nor will he have prolonged access to your account.
Then have your child repay you directly for the purchase. Because you are the primary cardholder, you can preserve your credit by making payments on the account regardless of whether your children are paying you.
The purchase can be small or large, depending on your budget and your comfort level. Make sure it is not so big that you will be unable to pay your credit card debt should your child default on payments to you.
Just like with the “Bank of Mom and Dad,” make your children pay interest on their credit card purchases. If they exceed the prearranged limit or fail to make a payment by the due date, you should access an over-the-limit fine or late payment penalty.
When the credit card statements arrive, sit down with your children and explain the statements. Discuss your annual percentage rate, annual fees, late penalties, over-the-limit fines. Ask your children to verbalize their plans for paying their loans in a timely manner.
Expect your children to make mistakes, and help them create plans for correcting their mistakes. If they splurge and end up owing more than they can afford, perhaps they can do extra housework in exchange for an increased allowance. And, of course, teaching children about credit means that you call their cell phones—perhaps at 8 on a Saturday morning—to inquire about any late payments!
Teaching your children about finances and credit is like teaching your children manners. It won’t happen over night. Your children will make mistakes. But it’s far better that you teach them—in the safety of your home—than allow them to enter adulthood without a shred of knowledge about credit scoring and finances!
Okay, that concludes my back-to-school lessons.
P.S. Do you still think my plan is totally crazy? Leave a comment below!

Pop quiz!
If you had to raise your FICO score quickly, and you had a choice—either pay off your charge cards or pay off your mortgage—which would you choose?
Most people say they would pay off their mortgage to increase their credit score the fastest.
But when it comes to FICO scores, eliminating charge card debt is far more powerful than eliminating mortgages or car loans.
And if you think about it, it makes sense. When assigning a credit score, the scoring bureaus assess risk by asking a question: How likely will this borrower default in the next two years?
Most people prioritize their mortgage payments; they would rather skip a few meals than lose their home. So having a balance on your mortgage isn’t really that risky.
But people aren’t quite as responsible with their Visas and MasterCards. In fact, even the most financially responsible people make a few bad decisions when it comes to the allure of credit card spending.
So keeping a low balance (or no balance at all) on your credit cards is a far better indicator of your financial situation, and your ability to pay upcoming bills.
The moral of the story: If you want to increase your FICO score, get your credit card balances under control!
Philip Tirone
P.S. If you want a few ideas on increasing your credit score by lowering your credit card balance, here are a few articles you should read:
The Dirty Little Secret
Do-it-Yourself Tricks
A Penny-Pinching Tip

I’ve been saying it for years, and I stand by it!
I think you should add your children as an authorized user to one of your credit card accounts.
I know you probably think I’m nuts, so let me back up …
A couple of weeks ago, I sent an email encouraging parents to use family meetings as an opportunity to teach children about certain values (like financial responsibility). Otherwise, they might be influenced by peers, credit card companies, or banks … and the results might be ugly.
After all, schools don’t teach this to our children, and banks prey on people who are financially vulnerable.
So if you have children, you would be wise to start teaching them now about credit, money, and financial responsibility.
Teaching children about credit, as well as how to manage credit, will help you raise financially responsible adults, and it will open doors for your children down the line.
Okay, so why do I think you should add your children as authorized users? Let me explain a four-part plan:
1. Add your child as an authorized user but do not give her/him a card! Here’s the important part: Add your child to a credit card that is in good standing. This will allow your child to “borrow” your good credit score, which means his or her credit score will begin to increase.
2. Use family meetings as an educational platform where your children learn about interest rates, budgeting, savings, and credit scoring.
3. Once your children begin demonstrating that they understand the value of money and are financially responsible, you might want to provide children with credit.
You can do this by establishing something that I call “Bank of Mom” or “Bank of Dad.” If your daughter wants to buy something for $30, lend her the money (assuming you can afford it), and create a weekly or monthly payment plan.
Then insist on timely payments, and tell your daughter that she will pay interest if she is unable to pay within a specified time frame. If your daughter is late making a payment, assess a late payment fee as part of your strategy for teaching children about credit.
The goal is to replicate the credit card companies as closely as possible.
4. Once your children prove themselves by continuously repaying debts, you might want to give them actual credit cards. Now, I know this sounds crazy, so let me explain …
I suggest that you allow your child access to the card only long enough to hand it to a cashier, and only if you are present. This way, your child will not be able to memorize the credit card number, nor will he or she have prolonged access to your account.
Then, make sure that your children pay their debt to the credit card company. I suggest that your children pay you instead of the company; this way, you can preserve your credit by making payments on the account regardless of whether your children are paying you.
Then, when the credit card statement arrives in the mail, sit down and go over it with your child. Explain the annual percentage rate, fees, late penalties, over-the-limit fines, and minimum payments. Then ask your children to verbalize their plans for paying their loans in a timely manner.
Expect your children to make mistakes, and help them create plans for correcting their mistakes. If they splurge and end up owing more than they can afford, perhaps they can do extra housework in exchange for an increased allowance. And, of course, teaching children about credit means that you call their cell phones—perhaps at 8 on a Saturday morning—to inquire about any late payments!
What do you think? Do you like this plan?
Do you think I’m crazy? Do you love this plan? Leave me a comment below and let me know!
Philip Tirone