
The Budgetnista Tiffany Aliche Reveals How Her Credit Score Went From 547 To 800+

As women in and out of the workforce, we have made tremendous strides. We've conquered everything from becoming our bosses to leadership roles where we've learned how to manage our own teams and work within the parameters of a company's budget. Yet, there's one thing that we have quite mastered yet--managing our own money.
That's right, we live in a time where we spend way more than we make--pushing aside bills and other necessities for that limited edition designer bag, or swiping our credit card every chance that we get, thus putting ourselves in more debt and sitting on a pathetic credit score that will do more harm than we can imagine.
Learning financial literacy is very important, and practicing good financial behavior can help you live the type of life you desire. Yet women of color and millennials typically overlook their dwindling bank accounts and do not educate themselves. It is only when we experience a financial hardship that we take a closer look at our finances and try to make improvements. Sometimes when this happens, we have dug ourselves in a low ditch, and while it is not impossible to get out of it, it is definitely harder.
I recently sat down with Tiffany Aliche, who is a financial guru and well-known as The Budgetnista to discuss how she went from having a 547 credit score to a score over 800 (she also saved $40,000 when she was only making $39,000 a year!), and her tips on saving, budgeting, and on building wealth:
You Can Easily Lose 40 Credit Score Points In Just One Week
At the age of 23, I had a credit score of over 800, which is an A+. A few years later, the recession hit. I lost my job, and I couldn't afford the mortgage or pay my bills. Since I wasn't paying my bills, my credit score dropped. People don't understand that your credit score is like your GPA for how you deal with money. When you don't pay your bills, your GPA drops. My credit score quickly dropped from 800 to 547 which is like a D-.
One thing that people don't realize is that 35% of your credit score is your payment history - so in other words it is contingent upon if you pay what you are supposed to pay. To rebuild my credit score, I worked hard to pay off credit cards in full at one time. When you do, it makes your credit score jump like Jordan. If you just pay the minimum amount on your bills, your credit score will do a slow climb. But if you want to make your credit score jump like Jordan, pay off a small amount of your credit card each month. I don't know why, but credit card companies care less about the amount you pay, and more about your habit in paying.
So if you pay off something in full, they are wowed. It doesn't matter if you have $8 on the card, if you pay it in full, it will make a difference. So when I figured this out, I put Netflix on one of my credit cards that didn't have a balance, and I paid it in full every month. Netflix would charge my card $8 bucks, and then I would pay them $8 bucks each month and I would see my score go up. So then I decided to do two cards like that. I had Netflix on one, and my gym membership for $20 bucks on the other. So every month, I was paying off 2 cards in full. And within a year and a half, I went from 547 to 750, which is a solid B/B+.
You Can Inherit Good Credit From Other People
To build good credit, you can be an authorized user on someone's card that has great credit. Basically what that means is that they can add you on their card as an authorized user, and you can inherit their good behavior because whenever they pay their bill, it will reflect positively on you. The primary credit card holder doesn't have to actually give you the card either - although as an authorized user you could get one.
Even if the primary credit card holder decides to stop paying their bill, it won't mess up your credit as an authorized user. That's the beauty in it - you only inherit the good credit, not the bad.
You Can Get A Secured Card When You're Young To Build Credit
When you are young, it is unlikely that you will be able to get a regular credit card because you probably will have no credit history. No credit history in the credit world is just like having bad credit or being considered a bad driver because you have no driving history. You haven't proven yourself.
To start building up your good reputation, go to your bank and ask if you can apply for secured card. A secured card is like a credit card with training wheels. The way it works, you give a bank anywhere from $300-$600 and they place it in a savings account for you. Then they give you a credit card that has that amount on it as your credit limit - so basically you are borrowing from yourself. So if you don't pay your credit card, it will take away the money that you have in your savings account. If you treat this card right, and you pay your bills when you should, they will take the secured card away and make it a regular credit card.
You Should Have At Least 3 Bank Accounts For Your Money
I recommend having at least three accounts - one just for your bills, another for spending, and then the third for savings. The account for spending should be attached to your debit card, and then the account for your bills and the account for your savings should not be attached to your debit card.
If you have the direct deposit option through your job, have your money automatically transferred to each account. Your employer may not tell you, but you can have more than one account connected with direct deposit.
Having An Online Bank Is A Must
I recommend having an online bank for your savings account because it makes your money inconvenient, and inconvenient money gets saved because it is not easily accessible. If you want to rate an online bank, go to magnifymoney.com and you can check out reviews and information on the bank.
I always tell people to have a regular bank for ease of use, an online bank for savings, and then a credit union. Credit unions are great because they will give you the best interest rates. Most credit unions are nonprofit, which means the interest that they ask you to pay is just to keep their lights on so the interest rates are lower than other banks.
Ask About Your 401K Day One Of The Job
On your first day at work, before you get into the swing of things, ask about 401K matching. Better yet, ask about this during the interview and see if the company offers it. For your retirement, many companies will match up to a certain percentage of your income that you deduct from your paycheck for retirement. So if you put 3% of our paycheck down for retirement, your company may match it. With some companies they tell you that you have to wait to be vested (usually 30 days or more) to reap this benefit, but you may can start it early if you ask.
In College, Stay Away From Private Loans Because They Are The Devil
If you get a private loan and miss one payment, you immediately fall into default. Default is on the same level as foreclosure or bankruptcy and we all know bankruptcy is like having a big, black F on your credit report. If you fall into default, it will prevent you from getting a car, an apartment - you name it. Also with a private loan, you will likely have to have a co-signer, so if you miss a payment and fall into default then your cosigner is also affected.
If you get a federal loan, you have to miss nine payments to get you to the default stage. One other thing about federal versus private loans is if you fall into a financial hardship, the federal loans will help you out and will be more understanding. But with a private loan, somebody could die and the money would still be due - they would just reach out to the consigner for the money.
You Can Get Paid To Shop
When you are in school, began saving early and get in the UPromise program. It is free to use! What I love most about it is that you can go online and sign up and then your register all of your debit and credit cards, and every time you use your registered debit or credit card at a partner store you will get cash back for your student loans. With UPromise, if you don't use it for your student loans, you can ask them to just cut you a check.
Also, whether or not you are in school, sign up for Ebates. Whenever you want to buy something online, type the store name in Ebates (it could be Target, Groupon, or whatever), and then Ebates will take you to their site and will record how much you buy and give you cash back.
Learn How To Live Off Less Than You Make
After you graduate from college, live a simple life. That can be getting a roommate or getting a used car, just learn how to live simply. If you don't, you will be forced to work a job you probably hate just to make enough money to afford your lifestyle.
Now that you know some of the secrets on budgeting, saving, and building wealth, implement these steps today and hold yourself accountable. An easy way to learn more financial tips and hold yourself accountable is through Tiffany's Live Richer Challenge and through her book The One Week Budget. In her book, she teaches us how to make responsible, financial decisions, while living a life that we desire. The Live Richer Challenge is a FREE, online financial challenge that can help you achieve your financial goals in just 22 days.
Tiffany created this program last year, and her goal was to have 10,000 women signed up and to help them master their money effectively and efficiently. In the end 20,000 people signed up and collectively all of the women saved 4 million dollars and were able to pay off over half a million dollars of debt together.
Women of color make up 70% of buying decisions, so it is time to change our mindset and change our financial situations. Let's start today and build a culture of wealth!
Related Post: 4 Lessons I Learned After Climbing Out Of $35,000 Debt While Making $12 An Hour
- I Paid Off $40K of Debt in 18 Months - xoNecole: Women's Interest, Love, Wellness, Beauty ›
- Ways To Rebuild Credit Score: 7 Strategies - xoNecole: Women's Interest, Love, Wellness, Beauty ›
- How to Fix Your Credit - xoNecole: Women's Interest, Love, Wellness, Beauty ›
- How To Buy A House With Bad Credit - xoNecole: Women's Interest, Love, Wellness, Beauty ›
Brittani Hunter is a proud PVAMU alumni and the founder of The Mogul Millennial, a business and career platform for Black Millennials. Meet Brittani on Twitter and on the Gram at @BrittaniLHunter and @mogulmillennial.
Eva Marcille On Starring In 'Jason’s Lyric Live' & Being An Audacious Black Woman
Eva Marcille has taken her talents to the stage. The model-turned-actress is starring in her first play, Jason’s Lyric Live alongside Allen Payne, K. Michelle, Treach, and others.
The play, produced by Je’Caryous Johnson, is an adaptation of the film, which starred Allen Payne as Jason and Jada Pinkett Smith as Lyric. Allen reprised his role as Jason for the play and Eva plays Lyric.
While speaking to xoNecole, Eva shares that she’s a lot like the beloved 1994 character in many ways. “Lyric is so me. She's the odd flower. A flower nonetheless, but definitely not a peony,” she tells us.
“She's not the average flower you see presented, and so she reminds me of myself. I'm a sunflower, beautiful, but different. And what I loved about her character then, and even more so now, is that she was very sure of herself.
"Sure of what she wanted in life and okay to sacrifice her moments right now, to get what she knew she deserved later. And that is me. I'm not an instant gratification kind of a person. I am a long game. I'm not a sprinter, I'm a marathon.
America first fell in love with Eva when she graced our screens on cycle 3 of America’s Next Top Model in 2004, which she emerged as the winner. Since then, she's ventured into different avenues, from acting on various TV series like House of Payne to starring on Real Housewives of Atlanta.
Je-Caryous Johnson Entertainment
Eva praises her castmates and the play’s producer, Je’Caryous for her positive experience. “You know what? Je’Caryous fuels my audacity car daily, ‘cause I consider myself an extremely audacious woman, and I believe in what I know, even if no one else knows it, because God gave it to me. So I know what I know. That is who Je’Caryous is.”
But the mom of three isn’t the only one in the family who enjoys acting. Eva reveals her daughter Marley has also caught the acting bug.
“It is the most adorable thing you can ever see. She’s got a part in her school play. She's in her chorus, and she loves it,” she says. “I don't know if she loves it, because it's like, mommy does it, so maybe I should do it, but there is something about her.”
Overall, Eva hopes that her contribution to the role and the play as a whole serves as motivation for others to reach for the stars.
“I want them to walk out with hope. I want them to re-vision their dreams. Whatever they were. Whatever they are. To re-see them and then have that thing inside of them say, ‘You know what? I'm going to do that. Whatever dream you put on the back burner, go pick it up.
"Whatever dream you've accomplished, make a new dream, but continue to reach for the stars. Continue to reach for what is beyond what people say we can do, especially as [a] Black collective but especially as Black women. When it comes to us and who we are and what we accept and what we're worth, it's not about having seen it before. It's about knowing that I deserve it.”
This interview has been edited for length and clarity.
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10 Women Tell Me Why They Made The Decision To Be Estranged From Their Parent(s)
Although there are many quotes that I have used in these articles throughout the years, I’d be almost shocked if the one that hasn’t been included the most is “Adulthood is surviving childhood.”
I thought about that one, again, recently, when I checked out a BuzzFeed article entitled, “People Are Just Now Realizing They Had An 'Eggshell Parent' And The Ways It's Secretly Impacting Their Adult Lives.” If you’ve never heard of “eggshelling” before, it’s a term that is used for if you felt like you had to walk on eggshells as a kid because your parents' emotions were super erratic and hella unpredictable. SMDH.
Personally, that is just one of the things I experienced while growing up, although the main reason why I’ve been estranged from my mother for (I think) about six years now (I honestly haven’t really been keeping track at this point) is because she simply doesn’t respect my boundaries. Even well into my adulthood, she has refused to do it and it was messing with my inner peace and personal growth on a few different levels — and y’all, I don’t care who it is, no one should have that kind of power over someone else’s life (if you want to read more about my journey with estrangement, I tackle the topic in my latest book).
And before some of you come with the ever-so-manipulated Bible verse “Honor your father and mother” (Exodus 20:12), I hope you also remember that there is a Scripture that says, “And you, fathers, do not provoke your children to wrath, but bring them up in the training and admonition of the Lord.” (Ephesians 6:4 — NKJV) To provoke is “to stir up, arouse, or call forth (feelings, desires, or activity)”; know what else it is: “to anger, enrage, exasperate, or vex.” Funny how it is not preached or taught nearly enough that parents are absolutely not supposed to raise their kids or treat their adult children in a way that angers, enrages, exasperates, or vexes them — and think about it: when’s the last time you heard a sermon on that? I’ll wait.
Besides, unless you’re someone who has made the courageous decision to put distance between the person/people who’ve raised you, you honestly don’t get how much of a sacrifice it can be. Very few of us are flippant about that decision. Very few of us saw our adult life without our parent(s) in it. Very few of us wanted to deal with all of the “fallout” that comes with making that kind of choice because listen, for me, it’s almost like being in witness protection in the sense of having to also leave certain people who are associated with her alone as well because either they also don’t respect boundaries or they try further victimize me by attempting to impose their opinions into something that they absolutely shouldn’t (for instance, when I shared what I went through with her, one of my closest friends at the time, more than once called me “petty”…yeah, he had to go; you don’t have to defend why you need to protect yourself…if you are doing that, those are unsafe people you are talking to).
It’s not like I’m rare either. In fact, it’s been reported that close to 30 percent of adults are currently estranged from at least one of their parents (you can read about it here, here, here, here, and here). And with that being said, today, we’re going to hear from 10 women (well, technically 12 if you include the videos at the beginning and end) as they share their own reasons why they made the decision to go “no contact” with their own parent/parents.
If you are estranged, I hope you will see that you are not alone. If you aren’t, I hope it will help you to have more compassion for those who have made this kind of choice. Because although “adulthood is surviving childhood” is true for many of us, it actually wasn’t supposed to be that way. And so, we’ve had to take great lengths to go from “surviving” to “flourishing”…even if that meant doing it without the ones who — alongside God, of course — created us.
Article continues after the video.
*Middle names are used so that people can speak freely*
1. Michelle. 32. Estranged from Her Mother for Four Years.
“My mother is a narcissist — only I didn’t know it because I didn’t have much to compare her to because she kept me away from a lot of…everything. Ironically, that is a telling sign that you’ve got a narcissistic parent: they think you are an extension of them, so they try and make you do everything just like them. Since they are so bad at respecting boundaries, they don’t care how old you are — they think they have a say in every decision that you make because their ego is bigger than their love.
It took me years of therapy to recognize this but once I did and I told my mom that she was hypercritical, that she used to pit me and my siblings against each other, that she only knows how to gaslight and manipulate — she played the victim and told me that if I couldn’t accept her as she was, we couldn’t have a relationship.
That’s another thing about narcissist: they hate accountability. I think there should be more articles about parents who are estranged from their kids because they pull that ‘my way or the highway’ BS. I didn’t exactly leave my mom, but I did tell her what I wasn’t going to tolerate. We haven’t spoken in four years, ever since I drew that line. She left because she didn’t know how to humble herself, and I am fine with that. Arrogant people are toxic to be around.”
2. Iyan. 36. Estranged from Her Parents for 11 Years.
“I don’t think that a lot of parents get that they act like their kids should idolize them, which is crazy. We’re not toys or puppets who are supposed to do whatever they say, whenever they say it. Even as a parent myself, I think there is a difference between a child’s individuality and a child obeying me. Too many other parents have too much ego to think the differences through. To your question — I am estranged from my parents because they disapproved of who I chose to marry. He’s not the same faith as them but I don’t think that would even matter because they damn near betrothed me when I was a kid.
They wanted to choose my career path, my husband, my role in church — everything. It got to the point where they were disrespecting my husband, our relationship, and my feelings, and so it was time to boomerang their own Bible and remind them that when you get married, you ‘leave and cleave’ to your spouse and move on from your family. If your family accepts that, they can be in your life. If not, you’ve got to move on. They chose for me to be estranged, not me. I put my husband first, just like I was supposed to.”
3. Jahkai. 29. Estranged from Her Mother for Four Years.
“Sometimes I think that people just have children so that they can have someone to boss around as kids and intimidate when they become adults. My mother is one of those people because it’s like her whole existence centers around trying to force me to live the life that she wants me to live. I used to be so afraid of her, even if that just meant afraid of her rejection, that I would go along with it.
Then I got pregnant with my daughter and saw that she wasn’t even going to respect me as a mom — and when I saw signs that she was going to try and pull that shit with my own child? The claws came out. I tried expressing my concerns and setting some boundaries, but she dismissed my feelings and walked right over my boundaries, so she had to go. There was no way that she was going to try and raise the child I birthed. My child needs peace. So do I.”
4. Gillian. 24. Estranged from Her Parents for Almost Two Years.
“I’m bisexual. That’s the beginning and end of it. I personally think it’s creepy when a parent can be so invested into their grown child’s sexuality that it ends up wrecking their own world. You sleep with who you want to sleep with, and I will do the same.
My parents don’t see it that way. They told me that unless I stop loving women, we have nothing to talk about. You only love me if I love who and how you love? That doesn’t sound like love at all.
I don’t expect my parents to agree with my life or even like it. I just don’t want you penalizing me because we are different. Seems really immature to be any other way…to me, anyway.”
5. Aubrie. 27. Estranged from Father for Four Years.
“My father always wanted me to be an accountant, and I hate math. That’s insane. That’s what happens when you don’t make the time to get to know your own children. So many parents are egomaniacs in that way — just because I look like you doesn’t mean that I am you. Until my sophomore year in college, I just held my tongue and suffered through my education because when I was living at home, I didn’t really have a choice, and when I went to school, my parents paid for my education.
They didn’t want me to have any debt, and I appreciated that, but my spirit was going into debt anyway because my dad had me on a path that I didn’t like or want, and my mom was too weak to speak up for either one of us. By my junior year, I couldn’t take it anymore and decided to get student loans, so that I could start over and major in English. That pissed my dad off two ways because I was changing my major and I was going to take on debt.
We’re not estranged in the classic sense. It’s more like he doesn’t come to the phone whenever I call, and he grunts words over the holidays. So, I call less and go home even less than that. We’re headed towards ‘no contact’ if he doesn’t get over the fact that he has a life, and so do I.”
6. Lameeya. 41. Estranged from Her Mother for Eight Years.
“My mother? I just don’t like her — I never really have. I can’t stand how we’ll all agree that you should choose your friends wisely, but when it comes to your blood, it’s like you should be all in their lap simply because they are related to you. Toxic is toxic, and my mother is the embodiment of that. She plays mind games. She manipulates. She gaslights. She’s spoiled and entitled. I would never pick her as a friend. She drains me in every way. It’s like whenever I would even sense that she was going to call or come around, I would get hives, and it got to the point where it didn’t make sense that I should suffer just because she’s my mother. Who came up with that?”
7. Sloane. 25. Estranged from Her Mother for One Year.
“I grew up COGIC. If you know, you know. When you’re a kid, you don’t know any different or better, but once I started to seek out my own path, I realized that Christianity just wasn’t for me. My mother damn near lives at church and so, of course, I was declaring that I wanted to go to hell in her eyes when I told her that I had chosen the Baháʼí faith. Christians can be so rude. Somehow, they want you to respect what they believe, but they are so comfortable preaching hell and damnation if you don’t think like them.
Anyway, a part of why I chose Baháʼí is because it’s very peaceful to me, and religion never brought me peace in my mother’s house. Now that I’m all about this peace-filled life, anything that is ‘anti’ it has to go. She was on the top of my list. If you can’t respect what makes me ‘me,’ why are you here? It’s just been a year now. If we remain out of contact, that’s kind of on her, but I have no desire to hear her preach every time we speak. Be my mom. I don’t want a pastor.”
8. Torrin. 33. Estranged from Her Parents for Six Years.
“You have your own dysfunctional issues going on if you think that you owe someone your sanity simply because they birthed you. A good parent doesn’t just give you life — they provide a safe environment for that life, and my parents didn’t.
My mother was hell on wheels, and my father was a weak man who let her be that way. She was controlling, erratic, and exhausting, while he just let it all happen.
I recently read that Khloe Kardashian said that her mom didn’t like it when she first started therapy. Controlling parents never do. It took me a lot of therapy to stop beating myself up mentally the way that my mother did emotionally and sometimes physically, but once I got that she was the problem and healing was the solution, I had no problem letting them both go: her for being abusive and my father for being complacent.”
9. Kristine. 40. Estranged from Her Mother for Six Months.
“You always want your parents to get along with your husband — I just didn’t bet on my mother loving him more than me, especially now that we are divorced. That man cheated on me, more than once, and although I didn’t tell my mom while we were married about it, once we separated and I explained why I made what was a really difficult decision for me, she kept finding excuses for him and even tried to make me feel bad for not trying to make it work. Divorces are hard, and the last thing I needed was my mother trying to ‘beat me up’ for standing up for myself.
Now I’ve got questions about her marriage because if you think that I should tolerate nonsense, have you been tolerating your husband’s? Has he been tolerating yours? You get a certain age, and you start to wonder how much projecting your parents do onto you. Anyway, we haven’t talked to each other in six months. She and my ex apparently still go out to dinner, though. You two enjoy.”
10. Madolyn. 45. Estranged from her Father for 20 Years.
“I had an abusive father. He was an alcoholic while I was growing up, and so fear instead of love kept me in communication with him once I became an adult. The plot twist is, he got clean while I was in college, but he suddenly had all kinds of amnesia about the pain that he caused. His apologies were sh-t like ‘I don’t remember that, but if you need me to apologize, okay.’ So, our lives were a living hell, and that’s all you’ve got because it hurts you too much to face it? Ain’t that a bitch.
The last time we spoke was right before I turned 25. I think someone is more harmful when they can’t own their sh-t than when they are actually doing it, because that means they could do it again. No thanks. I’ll take wholeness.”
____
As you can see, being estranged from a parent, going “no contact” with them, it has many layers, reasons, and scenarios. For me, as I listened to all of these women, what did come to my mind, though, is — how beautiful is it that, if the “beauty for ashes” in their stories is they had the strength to become self-aware, self-sufficient and healthy adults in spite of the cracks in their foundation, then there is a silver lining in it all. You should never feel guilt or shame for protecting yourself in ways that your parents absolutely should have. NOT. EVER.
And so, the sacrifice was well worth it — because ladies, look at you now. Salute.
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