ASK THE FOOL
Women in Charge
Q: How many women are CEOS of big companies?
– R.W., Rutland, Vermont A: The folks at Catalyst (a nonprofit advancing women in the workplace) maintain a list of women CEOS of the S&P 500. As of April 1, there are 30 out of the 500 – or 6%. They are Mary Barra, General Motors; Corie Barry, Best Buy; Gail Boudreaux, Anthem; Rosalind Brewer, Walgreens Boots Alliance; Michele Buck, The Hershey Company; Debra Cafaro, Ventas; Safra Catz, Oracle; Joanne Crevoiserat, Tapestry; Mary Dillon, Ulta Beauty; Jane Fraser, Citigroup; Adena Friedman, Nasdaq; Lynn Good, Duke Energy; Tricia Griffith, Progressive; Vicki Hollub, Occidental Petroleum; Jennifer Johnson, Franklin Resources; Reshma Kewalramani, Vertex Pharmaceuticals; Christine Leahy, CDW; Karen Lynch, CVS Health; Judy Marks, Otis Worldwide; Lisa Palmer, Regency Centers; Kristin Peck, Zoetis; Linda Rendle, The Clorox Company; Barbara Rentler, Ross Stores; Lori Ryerkerk, Celanese; Lisa Su, Advanced Micro Devices; Julie Sweet, Accenture; Sonia Sygnal, The Gap; Carol Tome, United Parcel Service; Jayshree Ullal, Arista Networks; and Kathy Warden, Northrop Grumman.
Here’s hoping that within a few years there will be too many to list individually.
Q: Is it true that you can buy shares of stock directly from companies instead of through a brokerage?
– H.C., Watertown, Wisconsin A: Yup. While you can own stocks in brokerage accounts and through mutual funds, many companies also let you buy their shares directly. You can do this using Dividend Reinvestment Plans (sometimes called “DRIPS”), Direct Stock Purchase Plans (DSPPS) or other methods. These plans generally let you spend small sums on stock, charge low or no fees and often allow you to reinvest dividends in additional shares or fractions of shares (though reinvested shares can require extra record-keeping).
FOOL’S SCHOOL Check Your Credit
It’s important to keep track of your credit record and credit score – especially if you have some borrowing in your future, such as for a new car or a new house. Your credit record determines your credit score, and the higher your credit score, the better interest rates you’ll be offered.
Consider this: If you were to borrow $200,000 for a $250,000 home with a 30-year fixed-rate mortgage, your monthly payment might be around $955 with a 4% interest rate – but $1,074 at 5% interest. That $119 monthly difference will amount to $1,428 over a year and will cost you almost $43,000 in total interest paid over the 30 years.
While your credit report is likely several pages long, listing your creditors, bill-paying history and much more, your credit score is just a single number. Many credit cards offer free access to your credit score, and that’s handy whether you’re just curious or are working on improving it. (You do that by paying bills on time and paying off debts, among other things.)
You should review your credit reports regularly, to find and fix any errors that might lower your score. (While you’re there, look for any signs of unauthorized activity, which might reflect identity theft.) Each report should tell you how to dispute anything that you believe is an error.
If a report contains information that’s negative but accurate, it’s likely to remain on your report for up to seven to 10 years. Fortunately, though, credit issuers tend to give more weight to your recent bill-paying history, so a clean record for the last year or two can make a real difference. Keep paying your bills on time, and your credit score will increase.
Everyone in the United States is legally entitled to an annual free copy of their credit report from each of the main credit-reporting bureaus: Equifax, Experian and Transunion. It’s smart to review reports from all three bureaus, as they may differ. Learn more about credit reports and how to order your free ones at Consumer.ftc.gov.