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Many workers around the country participate in their company’s 401(k) plan.  While these are great vehicles to save money toward retirement, they are often loaded with high expenses and hidden fees.  This artice in the Wall Street Journal reviews what kind of information to look at when selecting mutual funds in a 401(k) plan and what to look out for.  While not necessarily groundbreaking news, the author mentions to be on the lookout for high expense ratios, 12b-1 fees, and short term trading costs.

Here’s an excerpt:

You may not realize it, but you could be paying thousands of dollars a year in fees on your 401(k) retirement account, hidden expenses that affect how your savings will grow. The government is now trying to expose those charges so you can make better investment decisions.

Under regulations proposed by the Department of Labor, 401(k) plans every year will have to disclose each investment’s annual expense ratio — the percentage that goes to management and other costs — along with more detailed performance data. In addition, any administrative or other fees deducted from your account will have to be spelled out. New regulations may go into effect as soon as Jan. 1.

Have you ever been asked or tempted to attend a seminar that supposedly will tell you how to turn a small amount of money into millions?  You see these seminars promoted on late night television infomercials and advertisements in newspapers.  While it is certainly might be tempting to try out, many people are well aware that they are a scam.  These seminars are full of empty promises and require participants to open their checkbooks in order to hear the “secret” to making millions.  Take a look at this Dilbert comic strip to see what happens at these seminars without having to spend a dime of your own money.

The days of easy credit appear to be coming to an end.  Credit card companies have been decreasing credit limits for consumers over the past six months.  As a result, some people are finding it harder to buy things when they are forced to pay immediately.

While easy credit is coming to an end for some people, card companies are continuing to mail pre-approved credit offers to those with a solid credit history.  Remember, one can opt out of these pre-approved mailings.

If you’re like me, you might receive one or two credit card offers in the mail every day.  These annoying letters attempt to entice consumers to sign up for them with promises of a 0% APR for six months, sporting goods, or bonus airline miles.  While some people might enjoy receiving these mailings, the majority of people that get them do not.  In addition to creating more trash that needs to be thrown out, these credit card offers also increase the risk of identity theft.  Although it may appear to be overkill, shredding these pre-approved credit card offers is highly recommended, as it makes it harder for potential thieves to acquire your personal information.

If you are sick of these mailings there is help.  Under the Fair Credit Reporting Act (FCRA), a person is able to opt out of receiving these mailings.  In order to do this, one has to go to a website and enter some personal information.  The website is www.optoutprescreen.com and it works in conjunction with four consumer credit reporting companies (TransUnion, Equifax, Innovis, and Experian).  It will take up to a few months to completely stop receiving credit card offers, but the amount of junk mail one receives from credit card companies will be reduced significantly.