We recently completed renovations at our branch in Waterboro.  Opened 20 years ago, the layout and décor both needed a little TLC.  Our customers and staff endured a challenging few weeks (that I am sure seemed like months) as the work was done around them.

The good news is, the work is done and we are thrilled with the results.  Since the structure was sound, renovating was the way to go rather than building a new branch.  By renovating we spent much less money and the project was completed in weeks rather than months.  Maybe you are thinking about renovations at home this year.  If so, here are a few thoughts to keep in mind;

1. Be sure you have a clear picture of what changes you want to make.
2.  Work with a qualified, experienced contractor.
3. Make sure the project is fully defined in writing, along with the financial terms.
4. Be sure you carefully supervise the work to give yourself the best chance at a satisfactory outcome.

Well, if you are the lucky type you can enter our Renovation Contest on Facebook for a chance to have Biddeford Savings fund part of your project’s cost.  Otherwise, you will need a good financial plan for your project.  Assuming you don’t have the cost of the project in your bank account (which I hope is at Biddeford Savings), some type of loan will be necessary.

1. Many homeowners use a Home Equity Line of Credit (HELOC) for improvement projects.  A HELOC is ideal for this purpose as you only borrow as needed for the project and have very flexible repayment terms.
2. Another option is to refinance your first mortgage to fund the project.  If the current value of your house is sufficient to provide the needed funds this can also be a good option.  If you can lower the interest rate on your existing mortgage in the process so much the better.
3. If the project is really extensive, you may need to look in to a construction loan.  Construction loans are a bit more complicated but give you an option if the renovations are going to be costly.

Regardless of which path you are considering, the first step is to speak with a knowledgeable loan officer – and it just so happens we have one or more at each of our locations, give us a call!

Spring, that is.  I know that, technically, Spring has begun but it does not yet feel like it.

As Spring comes each year I get excited to start thinking about Summer events.  Fun things like weeding the garden, spreading mulch, and mowing the lawn.  Wait, I meant to mention walking on the beach, biking outside, and playing golf.  Either way, this year all those items seem to be on hold as we watch the snow slowly melt in the enduring cold.  Rest assured, it will warm up and soon enough someone will utter those immortal words, “It sure is hot today.”

The long-lasting cold does provide us with time to tackle a few important Spring tasks.  Cleaning out the garage and basement come to mind.  You can open up storage space and, if you choose to donate unused items to charity, you might even get a tax deduction while helping someone in your community.  Just a little food for thought.

Clearly, the cruise companies know that good service is key to repeat customers and good word of mouth.  They have well defined service standards and train their staff thoroughly.  Perhaps more important, they hire people with the right attitude for the job at hand. Waitstaff need to be outgoing, engaging, and energetic.  The staff that keep the ship clean don’t have as much interaction with guests so need a different skill set.

I have been in banking for almost 40 years (oh, my) and am more convinced than ever that good service begins with good hiring practices.  You still need to train, coach, motivate, mentor, and measure performance but if you don’t hire well you simply won’t get there.

 

When I wrote this post I was sitting in an airport, heading back to Maine after a 10-day cruise.  The crew on the ship provided amazing service.  From the staff that checked us in for the trip to the cabin attendants to the waitstaff they had the service “thing” nailed.

They were always cheerful and attentive and it always felt like they were sincerely interested in their guests having a good trip.  At the end of the trip we were sad to realize we would probably never see them again.  Have you often said those words after flying somewhere?

While some of the folks who work in the airport do a wonderful job it seems they are the exception, rather than the rule.  On the cruise, everyone I encountered provided excellent service, every time.

Think about your experiences, can you recall some companies that have mastered service (think Disney, for one) and others that have a long way to go?  What made the difference?  In my next post I will share some thoughts on what makes the difference.

Saving money is easy (well, easier) if you begin with the end in mind – in other words, have a goal.

Once you have developed an understanding of where your money is going each week you can begin to think about how you might like to change your spending habits.  Setting goals involves deciding whether or not you would like to save money for some future use.  That future use could be to pay for an education, a vacation, a car, or a house.  Which of those items you are planning to save for will influence how much money you need to save and how long it will take you to reach your savings goal.

It is important that your goal be realistic, lest you get frustrated and give up.  For instance, if you earn $20 an hour and want to save up to buy a Ferrari you will either not be able to eat or will be saving for a very long time.  It might be more realistic to try to save enough money to buy a solid used car and leave the Ferrari for later in life.

Biddeford Savings’ website offers several different calculators to help you plan your savings – click on the Customer Tools icon on the home page to get to them.  This process will let you know how much money you need to save to reach your goal.

Now it is time to go back to the budget you have developed and see if you can “afford” to save enough to reach your goal.  If you don’t have enough extra income to meet your goal you have to choose; adjust the goal or change your spending habits so you can reach it.  This is when the budget becomes really useful since it will allow you to make informed choices – is saving for that winter getaway vacation worth giving up 2 lunches out a week?

Those are the trade-offs we all end up making and if we have a budget we can make them in an intelligent manner, understanding the consequences of our choices.  It comes down to a basic question, are you willing to do the work necessary to control your finances or are you going to allow them to control you?

In recent years Congress has struggled mightily with the budget process but the truth is most of us are not much better at it than they are.  Depending on which poll you look at, somewhere between 40% and 60% of Americans keep and follow household budgets.  Now that I think about it, that is actually a lot better than Congress seems to be doing.  But not very good, just the same.

If you find it hard to save money or even to make ends meet, odds are you don’t have a budget.  Having a budget will help you understand where your hard-earned income goes which, in turn, will help you begin to save.  A useful budget does not need to be elaborate, more important is that it be understandable and easy to use.  Once you get the hang of it, or if you love Excel spreadsheets, knock yourself out, but start simple.

At the website www.bankrate.com you can find an easy to use budgeting tool that will get you started.  Biddeford Savings offers a simple budget calculator as well as a link to Intuit’s financial management software, called FinanceWorks.  FinanceWorks offers a number of free useful tools and calculators, feel free to check it out.

The real key is to begin tracking your expenditures.  You may be shocked to see how much you spend at Dunkin Donuts, Starbucks, or the local pizza place.  Once you begin to get your arms around where your money is going you can start to set limits for the various categories.  Those limits will be a function of your income and your priorities – keep the limits realistic to help you keep to them.

As they say, Rome wasn’t built in a day and good financial management doesn’t happen in a day, either.  Start small, keep at it, and before you know it you will find it easier to meet your obligations and even to set some money aside for the proverbial rainy day.  At that point you can start to think about your financial goals, the topic of next weeks’ post.  That being said, we do need a stinkin’ budget, so get out there and budget like your finances depended on it (they do!).

 

I hope you all had a wonderful holiday. Many of you, as I did, probably shopped at locally-owned businesses for some of your gifts this holiday season.  Local businesses are essential to the local economy. By shopping locally we helped our neighbors create jobs and build their businesses.  Banking is no different and where you bank matters.

Our bank employs 75 Mainers, providing them with good jobs – competitive compensation, career advancement opportunities, and the chance to help strengthen our communities.  We contribute over $100,000 and 3,000 volunteer hours a year in the communities we serve.  When you choose to bank locally you help us to continue that practice of giving back, to preserve those jobs, and to create more.  We are here to help our customers on their path to prosperity – when we do our job well they return the favor by helping us along our paths to prosperity.  I know that some individuals and businesses have financial services needs we cannot meet, but for the vast majority of the residents of York and Cumberland Counties we can ably meet their needs.

Why not do business with neighbors who have been serving the community since 1867 (not me personally, but the Bank).  We truly get to know our customers and that allows us to do a better job of helping each one realize their dream.  If you value the personal touch and dealing with bankers who know you and your community, give us a try.  You will be joining your many friends and neighbors who consistently tell us in surveys that our staff are doing an excellent job of meeting their needs; of helping them along their paths to prosperity.

Many of you, if we were well behaved during 2014, were blessed with holiday checks this season. But with your busy schedule you may not have the time to come into the bank to deposit them. With our Mobile Banking and Mobile Deposit services you have a Biddeford Savings branch in your pocket.

These apps make it easy and convenient to do your banking – from checking balances to paying bills to depositing funds – while you are on the go.  Simple, safe, and secure are the key attributes of our services.  You can access them through our web site or via the Apple and Google app stores.  Best of all, they are free! In the meantime, I wish you all a Happy and safe New Year!