Oct 19

Why Are NSF Fees So High

No business can stay in business if it cannot make a profit. If you started a business, would you continue to provide your service or products if you had to pay the expenses of the business from your own pocket? Of course not! So, when we discuss banking, we need to understand first that banks are businesses, and the purpose of a business is to make a profit.

The service that banks provide is to keep your money safe while it is in their care. Checking and savings accounts are known in banking as DDA’s, Demand Deposit Accounts. This means that when you put money into your account, you have the right to get it out of the account. But, understand, you can only get out what you put in.

Electronic banking (debit cards and ACH transations) greatly increased the opportunities for NSF fees, because people became used to using the “float”, or “kiting” checks. Under the old, manual system of banking, the float might be as much as 7 – 10 days for out of town checks. If a check was mailed to pay a bill, it took 2 – 3 days for the payment to arrive. Then, the business had to deposit the check into their account at their bank, which meant that it was probably deposited the next day after it arrived. Then, if your account was with a different bank, your check had to be sent to your bank, and it was probably deducted the next day. So, it was easily possible to have 3 – 5 days before the check was paid out of your account. Most people knew this, and they counted on the timing so they could wait a couple of days before depositing money into their account.

However, bankers made a strong argument to Congress

Oct 18

Personal Loan vs Credit Card Withdrawals


A personal loan is easy to get, but do your research on cost, term and services.

Personal loans enable you to take care of instant necessities without much hassle. You do not have to provide security or guarantor; you can utilise the amount of loan for any purpose, except speculation. But, before taking, you should plan your requirements and assign the operating expense to be met with this loan.

The amount approved will depend on your eligibility, based mostly on your income. The repayment is monthly and the tenure varies from one to five years. Since personal loans do not require any security or hypothecation of resources, the banks charge higher interest rate compared to other secured or protected loan like home loan.

On the other hand, let’s say you want to take the loan money through your credit card. How does this compare?

Foremost, withdrawing cash using a credit card can be very costly if you do not repay quickly. Interest rates on credit card loan withdrawals can range from 20-40 per cent on an annual basis. For nearly all cards, the interest rate on cash withdrawals and credit outstanding for purchases made are the same. But here is the kicker – for the purchases you make through your card, you get an interest-free period to pay back. Cash withdrawals on your card have no such benefits; interest is charged from the moment you withdraw the cash.

And, do not forget the transaction charge, levied on the withdrawal at the ATM. The average interest rate charged for a personal loan is in the range of 12-22 per cent , whereas the average interest rate is 20-40 per cent for withdrawal from a credit card.

Therefore, unless in a very real

Oct 17

Consumers Look for Lower Loan Rates

The average interest rates for loans will vary based on the market. Consumers want to find the lowest loan rates because this will allow them to pay less over the course of the loan. There are many different options for every consumer and every type of loan.

Every financial institution will have a different rate that they are going to be looking at. This is because they figure out their rates and try to match them to the average of all of the different banks. This is something that can change from day to day.

At the closing of a loan, the bank representatives are going to let their consumers know what the interest rate is going to be and possibly before closing. Some people do not think about this because they want their home, but it is important to think about the interest rate and what will be repaid.

The interest can also be based on a credit score. There are many possibilities that can affect this score. Paying bills, previous credit accounts and more are going to be things that are going to affect the score as well as many other things.

When someone chooses to get a loan, they are going to check out which loan is going to be best for them. The interest rates can vary based on the type of loan and the length of time that the consumer plans on taking for the repayment of it.
It is also important to take into consideration other fees that may be associated with the loans. There are closing costs, down payments and more. The amount of time before a person can get the money is also important to consider.

Some people need the money right away. These people are going to be paying more for their loan and may have

Oct 17

Non Status Business Bank Accounts For Upcoming Entrepreneurs

Non status business bank account is specialised in helping new entrepreneurs to become established professional business entrepreneurs. These accounts are ideal for those people who can not prove their income and facing poor credit status. These bank accounts give another chance to the poor credit holders to prove them a good account holder. One can acquire this account in without any restriction in any reputed bank as number of high street banks offers this banking service with multiple facilities.

Every UK customer can obtain this account to form new company or to manage finances of any existing business. These accounts are offered without the trauma of lengthy documents and business plans. One can take this banking service just by providing your identity proof and address proof. As soon you provide these documents with application form banks open your new bank account to handle your business finances.

Whether you are a sole trader, have a partnership firm or a limited company these non status bank accounts provide you the numerous benefits that helps in building your business. Some of the services offered by banks re mentioned below:

Its no credit check facility helps everyone to qualify for this account
Ideal for people suffering from CCJs(County Court Judgments), defaults, a poor payment history, an IVA or bankruptcy
Unlimited deposits & withdrawals facility
Cheque book and debit card is also offered
Free and regular updates
Internet and telephonic banking is also provided for more convenience

With these account banks appoint the personal money manger that look after your account and record your all transactions. This manager helps you to make right financial decision and to bring back your financial life on track.

On internet you will find various such banks and service providers that assist you in opening

Oct 16

Current Affair Knowledge in IAS and Bank Exams

Bank exams and IAS exams are two exams which witness the maximum number of candidates. They are highly competitive in nature due to the inclusion of current affair questions and answers in their exam. Current affairs are the backbone in both these exams, where a candidate can not clear if he/she does not have a sound knowledge of the current happenings taking place around him/her. Once has to work very hard to clear these tough exams, however, once they are cleared a secure future is set for you. Their popularity amongst the masses lie in their open invitations to candidates from all academic fields, and the power these jobs tag along with them. Moreover, working in a government field has its own advantages. Therefore, there is no reason for them not be popular and it is for the same reason that they are the top most career choices for many youths of India, today. Getting a job in a bank or becoming an IAS officer sounds exciting and challenging, however reaching this position is not an easy task at all. The candidates who are finally selected by them are not average candidates but highly meritorious candidates who have proved themselves. Both, the IAS exams and the bank exams require months of thorough preparation with a strong concentration on the entire syllabus. However, while the bank recruitment precedes one exam and an interview; the IAS recruitment requires clearing the IAS prelims, IAS mains and then the interview round. All the stages are equally important and their scores are added in the final results. One thing that is common in bank exams and IAS exams is a major portion of the question paper being dedicated to the current affairs. Question and answers in the written exam and even the interview, consists of

Oct 16

The Bank Of Montreal Is Claiming Mortgage Fraud

The Bank of Montreal estimates it may lose as much as $30 million on a mortgage scheme that involved some of its own employees. The bank is suing a few hundred people including four of its own employees, along with mortgage brokers and, so far, seventeen lawyers in what they allege is one of the largest cases of mortgage fraud in Canadian history.

The Bank of Montreal says its securities department first noticed irregularities in several of their Western Canada mortgages back in 2006. This prompted the bank to hire a forensic accounting firm who spent the next year digging through the details to uncover what was really going on.

The forensic accounting firm realized a rather sophisticated scheme where scammers would chose the worst house in a preferred, established neighbourhood. They would then convince the bank the house was worth much more than it really was due to it’s location, and being as banks rely on software programs to determine house values, the banks would concur. The scammers would then purchase the house and pocket the difference.

To qualify for the mortgages, these scammers were paying unsuspecting people, generally new immigrants $2,000 to $8,000 for the use of their name on the mortgage. Lawyers would then step in and draw up fake documents of earnings, often showing inflated wages and high net incomes to ensure the immigrants would qualify for the mortgages. The legal documents filed by the bank shows the fraud scheme was operated by 14 inter-connected groups that generated approximately $140 million of which $70 million was in fake mortgages.

The Bank of Montreal’s documents also showed that millions of the fraudulent money was sent to countries such as India, United Arab Emirates, Lebanon Pakistan and Saudi Arabia. They also noted that in one instance alone, a

Oct 15

Personal Finance Apps For Your Smartphone

Remember that foggy zone you used to be in when you wanted to take complete control of your finances? When you wanted to be more responsible in saving and spending to plan the present and future? Those foggy days are over and the days of finance apps on your smartphones that bring more clarity with ease of use are here. We are discussing top 5 finance apps that will prove to be useful to you.
1.Mint.com Personal Finance
This application is one of the best personal finance apps. It syncs with your bank transactions and categorizes them automatically. It creates customized budget based on your past spending. It keeps track of your spending and keeps reminding you about your budget. You can create separate mini budget for entertainment, gas, eating out- things you want to monitor. The app sends you reminders, alerts and colour codes the categories so that you know when you reach danger zone. It also offers tips on stocks and investment.
Platform: iOS, Android
Price: Free
2 . MoneyWise
This app is very easy to use. It is a budgeting and expense tracking app. MoneyWise enables you to set your financial goals. It monitors the cash flow, categorises your expenses and with the help of colourful charts and graphs it lets you know about the status of the expense categories. You can export the data from this app as HTML or CSV files.
Platform: Android
Price: Free
3.Spending Tracker
This app as the name suggests tracks your expenses. It will help you unlock the mystery of where exactly your money goes every month. You will be able to organise your expenses on daily, weekly or monthly basis. It can be customized to suit your needs. The easy

Oct 13

Running A Profitable Personal Finance Blog

Nowadays most internet users are familiar with the concept of online blogs. Indeed many people will now have their own blog, whether it’s a personal blog or a blog discussing a certain subject. However in this article I want to outline the various different ways you can generate a decent income from a finance-related blog.

Personal finance is one of those subjects where you will never run out of things to talk about because there are always lots of new products being launched and lots of news stories you can cover. For example you can discuss budgeting, credit cards, loans, mortgages, pensions, property, saving, share trading, taxation, etc.

Each of these subjects is potentially very profitable in it’s own way. The key to success is to pick a subject you enjoy talking about and then decide which type of revenue model(s) you are going to use on your blog. You basically have three separate options.

Firstly you can join Google Adsense or indeed any of the major pay-per-click companies. This will enable you to place blocks of ads on your blog and earn money every time one of your visitors clicks on one of these ads. In the finance niche this can be highly profitable because you can sometimes earn several dollars per click.

Another option is to sell ad space directly to any interested parties. This will often be significantly more profitable because you don’t need to split the revenue received with any other ad network. The great thing about this approach is that you can earn money up front, which allows you to plough money back into your blog straight away.

The final option is to become an affiliate marketer and promote various different products on your blog. This is often seen as being the most profitable income-generating

Oct 08

The World of Finance and Its Destructive Power

With the US government now closed down one must wonder what it is about money that allows politicians to force this issue? It appears to amount to is a fight over medical care for the least privileged. While called Obama Care the aim is to ease the pressure on many victims of illnesses by providing cheaper or free medical services for them.

Mothers frequently write about ill children for whom they cannot afford even a doctor’s consultation while desperately appealing to the government for help. Hospitals cost the earth in the USA and the professionals who have taken an oath to help everyone tend to charge like wounded bulls for their services. It is simply not right.

Many politicians with money and the ability to rake in high returns, for the most part, have turned their backs on those who cannot rise above the lower status of poverty. They cater best to the big end of town who run the money making industries and medical centers. Humanity is a mixture of different types and thought processes that put many at logger heads with their fellow creatures. So where is common sense and compassion in all of this?

Over decades of research into the ways of the world my view of the situation is that it is primarily propelled by greed. It is the world dominated by 666 who is identified in the Book of Revelation as the one in control of finance and trade (Revelation 13:13-18). He elevated the need for money to boost his own power and control over matters. He started Christianity through his invention of Jesus Christ and the establishment of the Roman Catholic Church and one of his cohorts in the conspiracy started the Muslim religion as part of the ongoing fraud.

The need for wealth is destroying the environment,

Oct 08

The 5 Biggest Myths About Invoice Finance Exposed

Although invoice finance has grown in popularity considerably in recent years, and the product continues to evolve and develop, some age-old myths about it still exist today.

It’s niche, and perceived as being far more complicated than conventional lending products, and as such a lot of misinformation and misunderstanding surrounds it.

Which arguably the industry has still not done enough to address.

I’ve come across most of them in my time and here, in no particular order, I address the most common:

1. ‘People will think my business is in trouble.’

Invoice Finance doesn’t have the stigma attached to it that it once did – nowadays it’s first resort, not last. Over 40,000 businesses in the UK, and thousands more worldwide, are using it for funding.

It’s now widely acknowledged as a superior working capital solution for growing businesses, not failing ones.

2. ‘My customers won’t like it and will stop buying from me.’

Thankfully, a myth that is phasing out as invoice finance becomes more mainstream.

Some of the largest firms in the UK, including many household names, have absolutely no issue with their suppliers using invoice finance.

And often the customers that kick up the biggest fuss are also the slowest at paying their bills.

But if disclosure really is an issue, the product can be provided confidentially (subject to status). Your customers will have no idea you are using invoice finance.

3. ‘I will lose control of my business.’

With hundreds, potentially thousands, of clients your funder does not have the time nor the inclination to run your business for you.

And the product can be as high-touch or low-touch as you want it to be; one of the most notable advancements of invoice finance in recent years is that it is no longer ‘one size fits all’. An invoice discounting facility, for example, will allow you to retain complete control

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