Financial Literacy Month: Money Talks with Amerant Experts

Saving is more effective when it is a regular part of your routine, rather than something you try to do at the end of each month.

“Saving is not something you do one time. It’s a habit you build over time,” says Elizabeth Ayala, VP, Profitability Manager at Amerant Bank.

The most common savings mistake is waiting, waiting for a higher income, a slower month, a better time. That moment rarely arrives on its own, and in the meantime, no foundation exists.

Start with an amount you can repeat. It can be small. What matters is consistency. Over time, that consistency creates stability and gives you more flexibility when unexpected expenses come up.

Automate your contributions by setting up a recurring transfer on payday, before discretionary spending can take effect. Eliminating the decision-making process is one of the most effective ways to ensure consistency in saving.

Having a clear goal is important. It can be an emergency fund, a down payment, or a career transition. Assigning your savings a purpose makes the habit easier to maintain and less likely to be skipped.

Many disciplined savers hesitate when it comes to investing. It often seems like a different discipline that requires specialized knowledge or a minimum level of wealth to participate. However, neither of these beliefs is accurate.

“Getting started is easier than most people think. The key is to take that first step and stay consistent,” says Baylor Lancaster-Samuel, SVP, Chief Investment Officer at Amerant Investments.

Saving and investing serve distinct purposes. Savings provide stability and liquidity. Investing creates the opportunity for long-term growth. Both play a role in a sound financial strategy, and neither replaces the other.

For those getting started, a few concepts are worth understanding:

• Start with your workplace retirement account. If your employer offers a 401(k) with a matching contribution, make sure to contribute enough to receive the full match. A 401(k) is one of the most beneficial financial decisions you can make.
• Consider a target date fund: a diversified, automatically rebalancing investment option that adjusts its risk profile as you approach retirement. It is effective and low-maintenance, making it suitable for investors at any experience level.
• Understand dollar-cost averaging: Instead of trying to time the market, this strategy involves investing a fixed amount of money at regular intervals, regardless of market conditions. Over time, this approach helps reduce the impact of market volatility and alleviate the pressure to find the perfect time to invest.

Your credit profile reflects how you manage financial commitments over time.

“It’s not about quick fixes. Strong credit comes from doing a few key things consistently,” explains Becky Castillo, SVP Private Client Relationship Manager at Amerant Bank.

The fundamentals are simple, but they require discipline. Here are three important components that will impact your credit score:

• Payment history: The most significant factor in your score. Consistently making on-time payments has a greater influence than any other single behavior.
• Credit utilization: The percentage of your available credit that you are currently using. Keeping this below 30 percent shows lenders that you are not financially overextended.
• Length of credit history: Accounts in good standing that have been open longer strengthen your credit profile. Closing older accounts can lower your score, even if they are inactive.

Improving your credit score is not an immediate process, but it is a predictable one. The behaviors that move it in the right direction are the same behaviors that reflect sound financial management overall. To stay informed, Amerant Credit Insights lets you track the factors that affect your score and monitor changes over time. This visibility helps you make better-informed decisions and stay on track.

Cash flow describes something every household navigates, whether they track it or not: income coming in, expenses going out, and what remains. That remainder, your margin, is what determines whether your finances feel manageable or constantly reactive. Income is only part of the picture. What often creates stress is the timing.

“A business can be profitable and still run into trouble if cash is not managed correctly. The same applies to personal finances,” explains Shalako Wiener, SVP, Corporate Banking Relationship Manager at Amerant Bank

When bills and expenses hit before your income arrives, it creates unnecessary pressure. The goal is to understand how money moves through your account and plan around it.

A few adjustments can make a difference:

• Align payment dates with your income when possible
• Spread out large expenses instead of clustering them
• Keep a small buffer to absorb timing gaps

To stay on top of your day-to-day finances, tools like the Amerant Personal Finance tool can help you track spending, monitor cash flow, and organize your financial picture in one place.