The low down

Interest rates dropped for the first time since ‘08. Here’s what to do [Image] ThePennyHoarder.com August 7th, 2019 Iiiiiiit’s Wednesday!!! (OK, so we were only a *little* sad when we woke up and realized that it is not, in fact, Thursday and that we are, in fact, still in the middle of this week that is just draggggging by. Thus the whole “trying to trick ourselves into being excited” thing up there.) Today, we’re talking about FHA loans and how to make extra room in the budget for child care. But first… The Low Down The Federal Reserve lowered interest rates for the first time in over a decade (that is, since the ‘08 recession). Wondering how the government cutting interest rates affects you? For one, it could reduce your credit card debt. [Here’s how](. Bonus Points Did you know it’s possible to make money just by opening a bank account? But sorting through bonus offers from banks can be tricky (not to mention time consuming)! Luckily, the folks over at Money Crashers know what to look for. They comb through hundreds of deals every month to find the most lucrative sign-up bonuses — some worth up to $1,000. Want to see this month’s picks? [We thought you might](. The Best of the Best? Everybody wants what’s best for their child. But sometimes, what’s “best” for the baby might not be best for the budget — or even remotely feasible for the budget — especially when it comes to child care. (Spoiler alert: What’s actually best for the baby is someone who cares enough to want what’s best for them. No need to feel bad if you can’t afford a private Wald-Monte-kinder-au pair.) Last year, The Penny Hoarder surveyed over 1,200 adults and found half spent at least 15% of their income on child care. That’s no small chunk of change. Unless you regularly have hundreds of dollars in surplus at the end of the month, finding the funds to pay for day care will require making changes to your current financial strategy. But that’s where some smart budgeting — and a little research into all of your options — will come in handy. The bottom line? Child care is expensive, and you don’t want to be working so much just to afford that child care that you never have time to see your kid. So whether you’re early in your pregnancy or nearing the end of maternity leave, [here’s what you need to have in mind when setting your child care budget](. [Image] WORD OF THE DAY FHA loans (n): Loans backed by the U.S. government through the Federal Housing Administration. The FHA doesn’t lend you the money; it insures the loan — meaning the FHA will pay your lender if you no longer can. When you get an FHA loan, the Federal Housing Administration is telling your bank that it will get paid, even if you stop making your payments. As a result, it’s less risky for lenders to give mortgages to buyers with lower credit scores and down payments. And as a result of that, FHA loans are those sounds-too-good-to-be-true mortgages that require just 3.5% down (as long as your credit score is 580 or higher). Want to know more about FHA loans? Check out these [nine things you need to know before applying for one](. [The Penny Hoarder] [Facebook]( [Instagram]( [Twitter]( [YouTube]( The Penny Hoarder | 490 1st Ave S, Suite 800 | Saint Petersburg, Florida 33701 | United States You can [update your mailing preferences here]( or [unsubscribe]( from all email from The Penny Hoarder. Questions? View our [Privacy Policy]( . Having trouble reading this email? You can [view it online](.