Are Your Finances Strong Enough To Repair Earthquake Damages The Top Five Things To Consider Before You Apply For That Credit Card Long Term Financial Planning Requires Careful Consideration What Moves The Forex Markets The Option Of A Tenant Loan
Are your finances strong enough to repair damages to your home and possessions caused by earthquakes? Unless you’re wealthy, repairing damages to your home and possessions caused by earthquakes might pose strain on your finances, and let’s face it -damages caused by an earthquake are usually serious enough to need immediate repairing.
Unfortunately, most basic homeowner’s insurance policies do not include the repair of damages caused to your home and your possessions due to an earthquake, nor do they compensate you for the damages and loss your valuables suffer due to an earthquake. And again, unless you’re wealthy, your finances might not be able to stretch far enough to cover all of these costs yourself.Plus, some valuables just can’t be replaced, such as family heirlooms.
So, how can you get earthquake insurance?
You can usually add additional coverage to your current homeowner’s insurance policy; this should be seriously considered by those that live in areas that are highly susceptible to earthquakes such as California. This additional coverage can include a plethora of factors, such as the repair and replacement of your earthquake-damaged property; the repair and replacement of the contents of your earthquake-damaged home; and even the cost of temporary living expenses in the event that your home is completely destroyed due to an earthquake.
Additional insurance can also cover buildings adjacent to your home, such as a garage.
Your premium for adding additional insurance for earthquakes will depend on several factors. Older homes, homes made of brick, and homes located in earthquake prone areas will generally have higher premiums than newer homes, homes made of wood, and homes not located in earthquake prone areas.
When choosing additional insurance for earthquakes, you should choose to purchase enough coverage to pay for completely rebuilding your home and replacing or repairing your damages. This way, you’ll rest assured that you, your home, and your possessions are completely covered, no matter what.
Credit cards are now fast becoming the best way to pay. Although some merchants and establishments have yet to install credit card machines in their stores, a good majority of department stores and major outlets take plastic. There are several advantages associated with carrying credit cards. You can make emergency purchases easily, as you do not have to look for a working ATM if you suddenly run out of cash at the last minute. You do not need to carry large amounts of cash in your wallet, which can be dangerous if you are traveling abroad and do not have means to access your bank account.
A credit card, however, will also have its disadvantages. It can encourage rather than discourage spending, as it offers the illusion that no money is being spent at all. Although you are not obligated to pay the full amount that you owe the credit card company, what money you have yet to pay will be slapped with a high interest rate, further increasing your debts in the next billing cycle.
If you want to apply for a credit card and enjoy its advantages, take note of the following tips before you consider any credit card offers.
1. Study your spending habits. If you can, have a copy of your bank account printed out. Do you spend more than you earn? If you appear to be living beyond your means on a cash basis, then you may milk your pockets dry if you have a credit card.
2. Take a good look at your bank account and your total savings. Can you pay your credit card bills when the time comes to pay, and in full, at that? A common practice used by wise spenders is to look at ninety-percent of one’s savings, and then divide that amount by twelve, corresponding to the twelve months in the one year that you will be holding the credit card. They then use the allocated amount each month as the benchmark, or the maximum that they can spend using the credit card.
3. Are you applying for a credit card because you want to spend conveniently, or because you are after incentives associated with the card? Some credit cards offer incentives such as gift certificates, cash back guarantees on about one percent of total purchases, and point awarding systems that can translate into frequent flier miles. You may be forced into spending more using your credit card only to get these rewards. You may save more by saving money instead of using your credit card.
4. For how long do you intend to hold the credit card? Many credit card companies charge high annual fees after the first year of use, and these fees can make a dent on your savings. Be sure that you have enough savings to pay, and that you are earning enough money to replace any losses you may incur due to spending using your credit card.
5. How do you intend to pay for your credit card bills? Some credit card companies can arrange for an automatic debit from your savings account, although this can be inconvenient if you suddenly discover that purchases that you did not make are being credited to your account. The paperwork to return your money to you can be complicated. Moreover, credit card theft of less than five thousand dollars is usually not investigated, so you have to be prepared to take a lot of financial risks.
Although they seem to be fraught with disadvantages, credit cards can actually help you manage your finances better. As long as you know how to spend wisely and not abuse your credit cards, you can enjoy the advantages that they can offer.
The old adage says Haste makes Waste, and caution is your only friend. How true such a proverb is when it comes to the world of personal financial planning. Caution means that you stop and look at all options before making any decisions in order to ensure that more often than not the result is a sound decision with a positive outcome. This step is almost mandatory when dealing with issues of financial planning, 401(k)s, and future money needs like retirement funds, etc. Poor financial decisions can result in catastrophic consequences like late payment, a deteriorating credit rating and even bankruptcy.
When investing in real estate for short term purchases, one of the options you may be considering is an interest only mortgage. These can be a tricky investment and so you may want to consult with your financial advisor, before entering into a mortgage of this type. And, since it really can’t be considered a piece of your investment portfolio, a will more than likely be part of a business venture or investment. This is where the looking at all the options really comes into play. An interest only mortgage is not a good financing option when you are looking at purchasing a piece of property for a long-term investment purpose or are going to claim capital gains on the property. Interest-only mortgages are for quick profit transactions. You get in, and you get out. No hanging around in the middle. In. Out. Fast. Easy. Why do I say that? Because interest only mortgages do not allow for an increase in value to you, there isn’t an equity growing measure included so you can’t get more out of the transaction, really; and, your investment debt never decreases.
Short-term implications and considerations of interest only mortgages have one main point. The payments are pretty low during the term of the payment, but that is simply because the overall liability is never going down. Other than that, this mortgage product really shouldn’t be a regular item of consideration in your financial planning portfolio.
The interest only mortgage offers little in the way of tax deferred savings when compared to the bigger products like IRAs, MSAs, and even 401(k)s. Sure the interest is tax deductible, but not at a one-to-one ratio. Even SEPs for the self-employed individual can have a one-to-one ratio of tax savings.
Over the long-term financial planning picture, if you were to consider an interest only mortgage in comparison to a regularly amortized mortgage you would see that when the regularly amortized loan is paid out, there is still a long line of payments to be made on the interest only loan. The amount of savings could be quite substantial if you consider the time value of money. Time value is easy to understand once you learn it. The basic concept is that the dollar is worth more today than it will be worth tomorrow (history seems to confirm this). So money put in savings today, will ultimately be worth more than money you start saving in ten or fifteen years. This is why financial planners urge folks to plan for retirement at such an early age instead of waiting until age 35 or 40 to start saving for the future.
While an interest only mortgage may seem like a viable option to you, be wary and consider all the other possibilities. Chances are a reputable financial planner will have other options that benefit you more in the long run.
Investors in any market, be it securities or currencies, wants to know what causes price fluctuations so they can predict them and make a profit. While stock investors research publicly traded corporations in order to make trading decisions, those on the Forex must consider what influences the currency exchange rates between nations. Because it is so volatile with significant fluctuations in short term prices, it is especially important for the Forex trader to understand what moves the markets in order to be successful and make a profit.
Partly because trades occur 24 hours a day between Sunday and Friday afternoon, the Forex is a very volatile market. Just as with equities, pricing on the Forex is influenced by economic and political factors facing the nations involved in the currency pair. Because the U.S. dollar is used to back 90% of all the transactions on the Forex and its economy plays such a significant role in the world economy, economic data released by the government will affect market prices
When searching for a loan it is guaranteed that borrowers are often going to be bombarded with the question, do you own a home? Lenders like homeowners because they have a great asset they can borrow against. Lenders know that homes and property go up in value as they age and that means they can get their money should the borrower default. What does this mean for the non-homeowner? Well, it does not have to hinder their efforts to get a loan because now there is an option called a tenant loan.
A tenant loan is an unsecured loan meant for people who rent. They are especially designed for tenants who would otherwise have difficulty getting an unsecured loan. In the UK tenant loans are becoming quite popular. Lenders are seeing there is a large group of the population that does not own homes. They are seeing that they are losing out by focusing on only homeowners and that tenant loans are a booming business.
When getting a tenant loan or no credit check loan a borrower needs to still be careful. There are scams out there that can end up being very costly. One way to make sure to get a good deal is to shop around. Compare loans and find the most attractive offer. When comparing loans, though, borrowers should not forget to check out all of the terms and conditions. Sometimes extra expenses are hidden away and that could make what seems like a great loan turn out to be a bad choice.
Tenant loans can be used for many different purposes. They can be used for whatever the borrower wants. However, with an unsecured loan it is often easy to throw caution to the wind. That is not wise, though. An unsecured loan still must be paid back and even though the borrower has not risked any collateral, they still are risking a lot by frivolous taking out a loan without considering the cost or how they are going to pay it back. A tenant loan needs to be worked into the borrowers budget and paid back according to the agreement so the borrower does not end up in financial trouble.
When getting a tenant loan a borrower should be aware of their financial situation and make sure that a loan is the best option. Its not likely a lender will loan money to someone who can obviously not afford it, but sometimes financial troubles can not be seen through comparing income statements and credit records. It is ultimately the borrowers responsibility to make sure they can afford the loan.
No credit check loans are a great way for someone to get a loan when they do not own a home or otherwise have collateral to secure a loan. However, it is still a loan. Lenders always regard unsecured loans as risky, even tenant loans. They will charge higher rates for this type of loan and may require a higher credit score. However, the availability of no credit check loans and the competition in the market is making them very desirable and a good idea for someone who needs a loan..
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