Debt Management

Long and Short Term Loans – Understand the basics for a better selection

Whether to take a short term loan or a long term largely depends on the requirements and the repayment capability of the applicants. Both these loans offer the money required to meet the needs of the individuals but each one of them has its own characteristics and features which need to be looked at before getting to a final decision. Knowing the difference can help one take better and informed decisions which can have long term impact on ones finances.

Long term loans- Take a deeper look

The long term loans are meant for   a long tenure which often extends up to 15-30 years. They are required to be paid back in the form of small monthly equated installments much to the liking of the individuals. These are generally provided by the banks, financial institutions of repute. The lenders run a complete background check of the individuals and ascertain their eligibility on the basis of a number of factors including the credit rating and the history being the prominent ones. The processing of these loans takes a much long time and the reasons are quiet obvious- the amount of risk involved and the high value of the loans.

Some of the long term loans include mortgage, automobile and the student loans. Since these loans are designed to offer large sums of money their tenure is generally kept long so as to keep the monthly repayment low and enable customers repay them comfortably. Normally with such high amounts, lenders generally keep assets as pledge against the loans known by the term collateral. Those with better credit ratings can expect lower interest rates, although credit rating is not the sole criteria for these loans.

One of the drawbacks of the long term loans is that the processing of the loan takes a very long time often extending up to a month. There is a huge amount of documentation and verification of the same involved and all of this takes a lot of time. However, anyone looking for the purchase of a house or a car, the long term loans are the obvious choice.

Short term loans – Meant for specific needs

Although there are different kinds of short term loans, the ones which are the most common are the payday loans. These loans are also known as the fast cash no credit check loans. The approval is very simple and one can have them at a short notice of just 24 hours. These are designed for people who are in immediate need of cash in small amounts but do not have the credit ratings or the documents and most importantly time to get this loan from the traditional banks. The lending criteria of banks requires the applicant to have a good credit score, stable job, good income, high value assets, which makes it difficult to qualify them.

One of the distinctive features of the short term loans is the high interest rates that they carry. This is mainly on account of the higher risk associated with these loans. No credit checks on the applicants keep the lender under suspicion of the borrower’s financial credibility. Hence these loans are simply offered on the basis of the employment and the income details of the individuals.

Knowing the features of both the long terms and the short term thenetlend loans it should be a lot easier for you to decide amongst the two. If you have the capacity to repay the loans fast and require a low amount, the short term loans will work in your favor. However, if you are in need of high value loans are interested in lower monthly installments and have a stable job which can allow you pay over a long time; long term loans are best suited to you.

Business

How To Find Great Growth Consultancy Companies

It is really difficult to grow a company these days. The main reason for this is that the competition is so much stronger than it used to be. In every single niche there are companies that you will compete with and taking everything to the next step is difficult. In many situations you will need the help of a growth consultancy company.

The problem is that there are so many consultancy firms out there. Finding one that you can trust is difficult because all of those that you contact will be interested in your firm in the event that it is ready to grow. Obviously, you are interested in choosing the one that is most likely to bring in the help you need.

Read Reviews

The simplest way to be 100% sure that the firm you consider hiring is great is to see what the professionals say about the services offered. For instance, you could take a look at a Today’s Growth Consultant Review if you consider working with the company.

You will notice that there are reviews written by both past and current clients. These are particularly important since it highlights how the communication between the firm and the serviced business worked.

At the same time, you can learn so much about the consultancy firm you consider by simply seeing what professionals recommend. There are many bloggers that are specialized in the finance niche and that rank the firms located in a specific region. Check out the ranks and deal with the companies that have the highest reputation.

Analyze The Contract Before You Sign

While most of the consultancy firms are interested in your success since this is what helps them to make money, this does not mean that all of them are completely honest with you. Some will try to get you on-board by telling you exactly what you want to hear. After you are told that the firm will deliver some services, read the contract and make sure that everything told was actually included in written form.

One of the easiest ways to figure out if a firm is interested in your well-being is to analyze the contract. Make sure that you read every single line. This is especially true when referring to fees and the section where the guarantees are listed (if guarantees exist).

Conclusions

On the whole, it is very important that you are patient and that you analyze all the options that are available. In business, every single decision that you take can have an impact on how you eventually evolve. A very experienced growth consultancy company will be able to aid you make more money and take your business to the next evolution phase. That is what you want so be sure you work with one that is really good.

Bankruptcy

Should Needy Seniors Be Given Help?

My time as a bankruptcy counselor allowed me to hear a lot of stories of what people were going through and how they got to the point of bankruptcy.

For the most part it was sad stories with people that were older and just didn’t have the money to support themselves so they had to use credit cards. I can understand that it’s going costs more to be older and there are unexpected things that happen and medical bills that can get expensive. But these people were living off of disability and social security.

I feel like when the sole income of someone is government programs they should be provided a class to help them with budgeting and to help decide the amount of money they need. That way people that need more money will get it and people that need less money won’t get it. Helping them to make a budget will help to give them a clear image of their budget and keep them from getting into credit cards because they need them to survive.

Yea I’m sure there are a lot of issues with a program like that but in the end I believe it would help a lot of people from getting to a point of no return. Getting into a lot of debt as a senior is damaging a lot more than just you pocket book. It’s a lot of stress on your body and mind. It’s definitely something seniors should not have to worry about since in all honesty they need more help than everyone else due to health issues and having the world change around them.

There are going to be a lot of retirees soon and there needs to be something out there to help them with life and there finances. Otherwise we could be in a lot of trouble real soon.

What do you think about something like this? Should people whose only income is from the government be given help on how to handle their finances? How should they be helped?

Money Management

How to Get Your Credit in Shape for a Home Loan

When buying a home, the majority of your financing options depend on your credit score. So before you apply for a home loan, make sure your credit score rating reflects positively on you as a borrower. You want to put your best foot forward, because even with interest rates at historic lows, you still need to qualify for a loanto take advantage of them. Take the necessary steps to improve your credit score before you apply for a loan, and you’ll have better chances of qualifying for the best possible financing rate.[1] Rebuilding or improving your credit score isn’t difficult, but it does take time, dedication, and careful budgeting.

Repay Your Debts

Start repairing your credit through debt repayment. Take a look at your budget and figure out if there are any areas where you can cut back. Do you really need to pay $100 a month for cable? Can you cut back on electricity and water use? Can you carpool to work to lower your gas expenses? Allocate any savings you can find to debt repayment. Repay your debts with the highest interest rates first, so your more expensive loans don’t continue to grow.[2] Very often, that means repaying your credit card balances first, since they have such high interest rates. Once you’re out of the hole with your credit card company, move on to lower-interest debts like student loans or auto loans.

Check Your Credit Score

After your debts are repaid, get a free credit report from AnnualCreditReport.com, where you can request reports the three major credit bureaus, Experian, Equifax and TransUnion.[3] Make sure there are no fraudulent charges or other issues. Credit reports can alert you of late payments that may have escaped your notice or if there are credit account you may have opened and then forgotten about.[3] If you find an error on your credit report, contact your credit card issuer so it can be resolved right away. There’re required by law to investigate your disputes. Be sure to repay your credit cards and resolve any delinquencies before applying for a home mortgage. A realistic look at your current credit score gives you a solid idea as to how much you need to improve; it gives you a solid number to improve upon.

Please note that if you have credit cards that you forgot about, it may not actually be in your best interest to cancel them right away. By closing an unused card, you’ll lower the total amount of credit that’s available to you. That will raise the percentage of your total credit used, which will lower your credit score.[3]

Pay Bills On Time

You can also help improve your credit score by paying your billson time. If you’re forgetful, try setting up automated payments online.That way your biller can just deduct your bill directly from your bank account. You won’t have to worry about missing payments or late fees.[2] You could also consider setting up reminders on your phone or computer that update you regularly about the status of your bill. Showing that you have a credit history of making successful, regularly scheduled payments will show lenders how reliable you are.

Get Pre-Approved

When you’re considering buying a home, getting pre-approved can give you a realistic look at how much financing you’ll receive and how much you need to save for a down payment. Pre-approval can also help you estimate the toll your mortgage payments will take on your monthly budget.[2]If your pre-approval shows you that your finance aren’t ready to handle a home loan yet, wait to move forward. Continue to build your credit score by keeping your credit card balances low, paying your bills on time, and avoiding any new debt.

Buying a home can be an exciting experience, but it requires you to jump through quite a few hoops. Make sure your credit is in peak condition before you apply to ensure that you have a positive experience when applying for a loan and financing a house. All your saving will pay off when you qualify for a low interest rate; it will lower your mortgage payments and shorten your repayment period. The less you have to pay, the faster your home will be completely yours.

Byline: Rachel is a grad student who is all too familiar with loans and strict money management. She also writes articles for Check ‘n Go on responsible borrowing, investment, and budgeting.

References 

[1] “How to Buy a House.” WikiHow. n.d. n. page. Web. 23 Apr. 2012. .

  [2] Purcell, Patti. “Getting your credit score in shape for home ownership.” Citizens First. n.d. n. page. Web. 23 Apr. 2012. <http://www.citizensfirst.com/financial-life-archive/item/1-getting-your-credit-score-in-shape-for-home-ownership.html>.

 [3] Orsini, Patricia. “Get Credit Score in Shape Before You Shop For Home.” AOL Real Estate. 15 07 2010: n. page. Web. 23 Apr. 2012. <http://realestate.aol.com/blog/2010/07/15/get-credit-score-in-shape-before-you-shop-for-home-sponsorship/>.

Insurance

Full-Proofing Your Wedding Plans with Wedding Insurance

Everyone wants their wedding day to be perfect and for the most part, it’s quite rare to hear of a wedding that went awry. Still, despite the very slim chances that something big comes down on your wedding day enough to set it back, it does happen. Just this week, news of flooding inAsiawas accompanied with pictures of a bride and groom kissing in knee-deep flood waters. Yes, they managed to push through with their wedding despite torrential downpour and raging flood. Not everyone can be as “fortunate.” 

This is where securing a simple wedding insurance can come in handy. There are offers like the Debenhams wedding insurance that provides some level of security against unforeseen circumstances so all your wedding preparations need not go down the drain. If you’ve booked a big venue, for example, chances are that a cancellation would not be allowed for free – if it will be allowed at all. A handy wedding insurance can help ease all your worries knowing you have a fallback plan that will answer all the necessary bills for rescheduling the wedding. 

So what can one expect from the best wedding insurance offers available? Here is a sampling of the more prominent features of the best wedding insurance packages available: 

  • Coverage for a fraction of, or the full, wedding cost amounting to as much as £70,000. If you want to be secure in your planning, you just know you will need to have this as a back-up option.
  • The best wedding insurance packages can actually be used to cover overseas wedding arrangements for the same cost as the local versions. If you are feeling romantic and would want to plan an exclusive beach wedding in, say, Costa Rica and you want to be sure with all the necessary details, there is no better way to be secure than with a wedding insurance policy.
  • Coverage for supplier failures. Yes, you can always choose the best and most reliable suppliers but even they can fall on hard times when emergencies pop up left and right. A £10,000 maximum coverage for supplier failures will certainly not hurt your wedding preparations. 

The allures of the perfect wedding are spellbinding and mesmerizing but even the best laid plans of mice and men can encounter unforeseen issues. Prepare the right way by picking up a contingency option in the form of a wedding insurance. That way, you can be certain that come heat or high water, you are well taken cared of and set for a rescheduling without as much as a single worry on the expenses. 

If you want to start the rest of your life in the right way, you can never go wrong by starting the planning habit with your wedding.