Useful Tips

Interesting guides & tips in popular niches

What To Ask Yourself Before Applying For A Payday Loan

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We can plan our finances for the month as much as possible, but sometimes unexpected expenses can appear out of nowhere. Especially if these expenses come up near the end of the month or just before payday. Many people are able to borrow cash from family members or friends, but what if you don’t have  that option? Over the past few years, payday loans have become an increasingly popular choice for people all over the UK. But, what things need to be considered before taking out one of these loans from fast short term loans lenders?

How Much Do I Really Need To Borrow?

If you are considering taking out a payday loan, then it’s important to make sure that you’re only applying for the minimum amount that you need. As these loans are quick and easy to apply for, it can be tempting to apply for more than you need. However, doing this can mean you get into hot water when your repayment date comes along.

Payday Loan

Will I Be Able To Pay It Back?

One of the most important things to check before you apply for a loan, is that you will be able to afford the repayments. On payday loans online lenders, all of the repayment costs are laid out in a simply chart, which tells you exactly how much you will have to pay back. There are no hidden costs or fees to use their service as they believe in being completely transparent.

Will I Qualify?

To start your loan application, you must meet these criteria:

  • Over the age of 18
  • Employed and earning at least £500 a month
  • Be a UK Resident
  • Have a bank account with a debit card

Have I Considered All Of My Options?

Before you go ahead and apply for that loan, you should make sure that you are making the right decision for your circumstances. You should only take out a loan for emergency financial situations and only on a temporary basis. If you suffer from a long term debt problem, then it would be recommended that you seek the help of  debt management professional. If you have looked at the repayment costs and think that a payday loan is the right option for you, then why not start your loan application now?

3 Quick Points on the Income Drawdown Plan

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Getting the most out of your money as retirement nears is a topic that’s getting much more attention than it used to. This makes sense, as the recovery from the global recession isn’t nearly as strong as experts had hoped for or even predicted. A sluggish economy naturally makes people fear that they’re going to have to work longer and longer, putting off retirement until they feel they’re too sick to do anything else.

But what if you had more options than at first glance? An income drawdown plan could be a great option, and it’s not something that’s discussed as often.

If you plan on paying into your pension for a longer period of time for the tax relief benefits, then an income drawdown is perfect. Your money stays invested, and you take the pension from the income that the investment fund generates for you. Since investments go up and down as time passes, it’s not without risk. You could lose a lot more than what you put into it, which is a risk that you need to think carefully about.

Income Drawdown Plan

Still, the growth potential is huge with an income drawdown plan. With everyone talking about rising costs, this is something that you need to think about.

There’s another question at stake here too: what happens after your death? What can you really count on other than having to leave your precious loved ones behind? With an income drawdown plan, there’s a chance that you can pass that money onto your loved ones after your death.

Don’t think that you’re giving up the annuity portion completely. If you decide that you want to get an annuity down the road, then you can buy that separately. Your income drawdown plan truly is that flexible.

Make sure that you sit down with a qualified advisor. They have plenty of time to leisurely go over your options. A no-rush environment is critical when you’re trying to figure out your future.

If you have an existing pension, you may be able to transfer it into an income drawdown plan. In addition, the regulations are always changing. Having an adviser that can help you keep up with the changes is very important.

What is Transaction Reporting?

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Transaction reporting is the detailing of each major currency exchange, withdrawal, transfer or payment made by, to or through a financial institution.

Why financial reporting is necessary

Increasing regulation and legislation surrounding every financial interaction means that the British government and European Union have a pressing need to monitor financial firms with greater stringency to ensure that all of their financial practices are undertaken in line with regulations.

Transaction reporting

Under EU law, financial reporting is compulsory to ensure governing bodies and governments can monitor financial transactions for money laundering, tax evasion and other criminal offences that might be practiced within financial firms. Of course, financial firms themselves also take a strong interest in the details of their financial transaction reports. The details of such reports provide those in charge of a firm with a clear insight into its dealings, incomes, expenditures and monetary operations. Fail to provide a financial transaction report or neglect to follow its regulations and you risk committing a criminal offence that could lead to a fine, imprisonment – or both.

Who compiles transaction reports?

All MiFID eligible securities need to be reported to a Approved Reporting Mechanism (ARM), such as UnaVista, who will in turn report this to the relevant country’s competent authority. Data should be validated against the latest sources, so that errors on under – or over-reporting are spotted.

Who do firms send transaction reports to?

Transaction reports were previously sent to the Financial Services Authority (FSA). However, this responsibility has now moved following the division of the FSA into two separate regulatory authorities: the Financial Conduct Authority (FCA) and the Prudential Regulation Authority (PRA). Banks, credit unions, insurers, major investment firms and building societies should therefore now send their transaction reports to the PRA.

The Transaction Monitoring Unit (TMU) is responsible for the collection of transaction reports in the UK, and it is their task to monitor firms’ compliance with transaction reporting regulations. They are also tasked with the surveillance of UK markets.

Sources:

http://www.fca.org.uk/firms/systems-reporting/transaction-reporting,
http://www.lseg.com/markets-products-and-services/post-trade-services/matching-and-reconciliation/articles/should-you-be-transaction-reporting-fca

When to Refinance With Low Interest Mortgage Loans

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Mortgages have reached some of their lowest levels in decades, and low interest mortgage loans have created a huge, renewed interest in home refinance loans. Many homeowners who bought their home years ago have historically high interest rates on their home mortgages. However, the current interest rates are luring homeowners into a refinancing frenzy. Reducing your home mortgage interest rate by as little as one percent with a new low interest mortgage loan can decrease the amount you pay in interest each month by approximately $125.00 for a $200,000 home loan.

So, when should you refinance your home with a new low interest mortgage loan? There are several factors that you should consider when deciding if a home refinance is right for you. Everyone’s situation is different, and you should consider your options carefully. There is a breakeven calculation you can use to help you determine if a home loan refinance is a smart move for you.

How Long Are You Going To Be Living There?

Most home refinances require the homeowner to pay a new origination fee of one percent of the new home loan. So, for example, if you refinance a $200,000 balance into a new low interest mortgage loan, you would have to pay one percent of that amount, or $2,000, to the bank for that new loan. This may not be as big of a deal as you may think if you are greatly reducing the interest rate of your mortgage. If you are saving $125 every month or $1,500 in savings every year, you can recoup that fee in less than two years. So, that becomes your breakeven point. You would most likely want to ensure that you will be in your home and not move (in this example for two years or longer) in order to make your new low interest mortgage loan pay for itself in cost savings.

Have You Been In Your Home A Long Time?

Another factor that you may want to take into consideration is how long you have lived in your home. In order to qualify for a refinance from one of the low interest mortgage loans that are now available, you typically have to have significant equity built up in your home. This is especially true if you are trying to receive a cash-out home refinance. One of the general rules of thumb that many mortgage lenders use when determining customers’ qualifications is that you can typically only borrow up to 80% of your home’s value. This percentage is called the loan-to-value ratio or LTV and can be a critical metric that lenders use to determine whether you qualify for a home refinance. Many people who have lived in their homes for a while are opting to refinance because it is now time to start putting money toward repairs. Paying contractors like All Around Roofing and Exteriors Inc can get very expensive, so saving money on interest rates is a great way to make it more affordable.

Lenders Typically Require an Appraisal

Your home has to have a current appraisal in most cases in order to qualify to refinance your home loan with a low interest mortgage loan. This has especially true in today’s housing market which has seen dramatic changes in home values across the country. You have to show that your home is worth more than the amount you request to borrow during a refinance, and it has to represent its current value in today’s real estate market.

A home refinance loan can be an excellent option for homeowners who have been in their homes for a while and plan to stay a little longer. With a refinance, homeowners can benefit from the cost savings of low interest mortgage loans that are currently available. In many cases, the interest rates on home loans have not been cheaper in decades.

Using a credit card responsibly

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A credit card is a powerful tool. It can offer you convenience and ease. In our world these days, many things just aren’t possible without one – buying online or renting a car, for example. They are a great tool, but they can get you in a lot of trouble if you don’t use them responsibly. They can quickly get out of control and cause you problems. They have high interest rates which can add up and bury you in debt. In the majority of personal bankruptcies, credit cards have played a major role. Here are 7 tips you can use to avoid getting in trouble with your credit cards:

Don’t follow their payment rules. Credit cards companies have minimum payments. If you only pay the minimum payments, you will be paying forever. It would take you 44 years to pay off a $4,500 balance using just the minimum payment each month. The minimum payment allows the interest to build up very quickly, too. That same $4,500 balance on a typical card would build up $17,000 in interest by the time you pay it off. That isn’t good. Pay as much as you can afford everything month. Hopefully, that will mean much more than just the minimum payment.

credit card

Be careful of fees. Banks and credit card companies make millions of dollars every year by charging their customers fees for everything they do. Some of the fees are obvious – late payments, getting a new card, ordering another statement for your account. Those fees are obvious and you probably already avoid them whenever you can. More important, though, are the fees that you probably aren’t aware of. Some cards have a fee for balance transfers or even fees for talking to a real customer service agent instead of a computer. There might even be inactivity fees if you don’t use your card for a few months. Look over your agreement to understand what fees are associated with your card and do all that you can to avoid them.

Stop when you are in trouble. If you can’t afford to pay your minimum payment and your problems look like they are going to continue into the future, don’t keep using your card. Building up higher balances isn’t going to help anything. It is just going to cause troubles. Stop spending, look at your situation, devise a plan to get out of trouble and stick to it. Once you have everything sorted out and your finances are back under control you can start using your cards again. [Read more…]

Is Christmas Shopping Really an Emergency

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See, we don’t really get too terribly sarcastic here, for a reason. I believe that it’s because all of us around the blog want to make sure that you’re getting the best information possible when it comes to your finances. Trying to just give you the same watered down, rehashed information isn’t really our speed. So when you guys write in questions, we do try to answer without the bias and the snark. However, there are some questions that really make this hard, truth be told. We get asked whether or not something like Christmas can be considered a financial emergency. See, we thought the answer would be obvious, but apparently it’s a common question.

People feel obligated to do something special for Christmas on a grand scale, which is really not the point at all. You want to make sure that you’re thinking about more than just hanging onto a bunch of presents. That’s not what the season is all about anyway. You want to install in your family members a sense that this is a time to be grateful for everything that they have. I know that most associate this only with the Americanized version of Thanksgiving, but I think that the entire season should be about gratitude. We are all truly lucky to have so many luxuries, even when we assume that they aren’t luxuries. It’s never a bad idea to step back for a while and actually be grateful.

Christmas Shopping

If you’re trying to save money, then why not make everyone’s gifts rather than trying to get it at the last minute? It would give your gift a personal touch and make the recipient feel like you really went out of your way to take care of them. What could honestly be better than that? There’s nothing wrong with looking into just about everything that you can when it’s time to balance finances with fun and games. You don’t have to be fussy about the whole affair. You don’t even need to make some big announce that you’re thinking more about saving money and not spending so wildly. There’s something about the holidays that really brings out a desire to spoil our families. However, we have to think about the future even as we enjoy the present. This means having a little self control rather than going completely wild.

So, in a nutshell: Christmas is not a financial emergency. Your family will not melt if they don’t get the latest and greatest. However, to be able to look back and realize that you saved enough to put your children through college… now that’s amazing, is it not? Or maybe you dream about getting a bigger home? No matter what big dream that you see on the horizon, you’re going to need money in order to make it happen. There’s nothing wrong with thinking through these things and not getting worked up so much.

There’s a time and a place for everything, of course. You don’t have to panic because you’re cutting back. Believe it or not, a lot of families are finding themselves in the same boat as you. They want to make sure that their children have good stuff, but not at the cost of the future. It’s really a big deal now that the economy has cooled off and it looks like it’s going to still be sluggish for a few more years to come. Everyone has to do what they feel is best, rather than just going with the solution that seems the best. Now is definitely the time to start looking around carefully at your finances, before the holidays actually are upon us.

PPI selling tricks and claiming your payments back

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“Before we conclude this agreement for credit, have you considered having an insurance policy in place to help you with your credit repayments if you suddenly got sick for a long time, had an accident, or get unemployed?”

This and other sales pitches would have been the most overused tirades in the financial services industry when PPI was introduced. It could have been the same question you were asked when you applied for or followed up on an application for a credit card, loan, and/or mortgage. What’s amusing is that the sales staffs was just so charming and enticing when the product was being described as helpful and secure. However, the irony pushed in when years of mis-selling was discovered. It became the protection policy that never protected you.

PPI selling tricks

Now, you might be wondering, how could the trick of mis-selling PPI have happened? Address that doubt by answering the questions below:

Were you asked questions that determine the suitability of the policy to your current situation and living status?

Was the need for the insurance established during the sale?

Were you not made aware that PPI is an optional product and that it does not matter when it comes to the approval of your finance agreement?

Were you not informed of the eligibility requirements such as age, residence and employment status, pre-existing medical condition, etc?

Were the policy terms and conditions, extent of cover, exclusions, and limitations not discussed in the sale process?

Were you not given a cooling-off period to let you cancel the policy without any cost?

Were you not made aware of the total premium costs and how it would incur interest, and that the policy may expire even earlier than your credit card or loan repayment?

If you answered YES to any or all the above, it is very clear that you were deceived into buying Payment Protection Insurance, Having learnt that, you now stand the chance of making a claim for your payments to be refunded, plus some interest it accrued from the start.

BEGIN WITH CHECKING YOUR ACCOUNT PAPERWORK

Look through your documents for any references to the payments you made to PPI. Your statements, receipts, agreement forms, and policy certificate will indicate the insurance policy cost and its duration of activity alongside your account. If you’ve got missing documents, request for copies from your bank. [Read more…]

An Instant Payday Loan Gives You Exactly the Cash You Need – Instantly, Of Course!

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Look, let’s get down to the basic point here: if you need money, you need it quickly. There’s really no time to wait for your grandmother to check and see whether or not she can really come off the extra money or if she would be better off just telling you no. When you really have to have funds, you know that you need to go ahead and take things to the next level in terms of financing. You need fast financing options that can really get the job done. Going to a bank is out of the question when speed is a priority. You don’t want to think that it’s impossible to get things done — you just need to make sure that you’re looking at the fastest route, always.

Payday loans can really get the job done, even though a lot of people automatically have a negative opinion of them. Let’s get something straight: you don’t have time to really run through all of your options. You need to pick the best option possible. For example, a lot of people complain about the high interest involved with payday loans, but this pales in comparison to the massive fees that you could face by missing a utility bill, or having to constantly walk back and forth to work because your car isn’t working. When there’s a serious emergency, you have to get the problem taken care of. Just hoping for the best really isn’t enough. You have to do more than that, and it’s time to go with a quicker solution like payday loans.

Instant payday loans

Instant payday loans do exactly what they say. They’re going to give you the quick cash you need without a lot of hassle. What more could you honestly want than that?

Keep in mind that you are going to have to make sure that you pay this money back as soon as possible. The last thing that you really want to do is find that you aren’t going to be able to handle the emergency in question. So go online and get an instant payday loan. Take care of what needs to be taken care of. After you have the financial pressure off your back, you can move on to the things that really matter. What could be better than that, when you really think about it?

No Need to Fear The Arrival of A Spring Newborn!

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Your baby is on the way, but that doesn’t mean that you have to feel pressured by a lack of finances. There’s always a chance to save more money, but you have to make sure that you just do the best that you can do. Stressing yourself off isn’t going to make your life any better. You have to think about what’s going to be the better fit for your child. When you stress yourself out, you’re not really thinking about your child’s future. You’re thinking about your worries. The truth about worrying is that it rarely solves anything. You’re still stuck with the same worries and you can’t necessarily change them…so why worry?

Get into the mode of planning the best way you can. Your little bundle of joy is going to be here whether you plan or not, but having a plan will keep you calm. For the most part, they will already have their nourishment needs under control. You will most likely breastfeed or already have formula purchased for them. Don’t hesitate to reach out to friends and family for help with clothes and other supplies that your baby will need. There are also charities that work directly to give new parents the materials that they really need.

You also want to look into figuring out what benefits will be available. The UK is great about helping new parents through a few Government schemes, so you don’t want to ignore this as you’re trying to figure the rest of everything out. As long as you’re willing to keep focused on the bigger goal, there’s really no way that you can fail. Just don’t give up.

What about saving? You might want to create a fund for your children. This will be great for their grandparents and many of your friends. A lot of people want to contribute to the quality of your child’s life in some way, but they don’t always know how. Instead of getting worried, you can reach out to all of the people that want to help your little newborn grow strong.

You can actually start up a Junior ISA and even a special type of pension. The more that you can contribute to your child’s savings, the easier it will be for them as they grow up.

Even though you’re stressed about the arrival of your newborn, you want to make sure that your finances are in order. This isn’t the time to start paying bills late. You want to make sure that your credit stays as high as possible. If you’re dreaming about saving up for a home, this type of savings will come in handy. There’s no reason to give up when there’s so many reasons to push forward. Why not get started today, while it’s all still on your mind? You’ll truly be glad that you did!

Same Day Loans Make Your Needs a Priority – What Could Be Better Than That

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Are you a priority in your own life? When it’s time to take care of family, be supportive of friends, and be a team player at work, chances are good that it’s hard to really feel like anyone is putting you first. You might be taking care of everyone and doing the best you can, only to find that when you really need help and support, there’s no one around with enough availability to give it to you. When you’re in the middle of a financial emergency, it’s easy to feel betrayed. Even though you might have helped out friends and family, chances are good that there’s no one around to help you when you really need it most. Instead of giving yourself over to negativity, doubt, fear, confusion, and hopelessness, you just need to find resources that can really give you the jump start that you need. You need to and check out same day loans.

Same day loans are truly a realistic option when it comes to taking care of a financial problem very quickly. There’s no need to worry about being rejected. As long as you have an actual income, the sky is the limit. You can do just about anything you need to do with the money without being judged. Speaking of judgment, you’re not going to face social outrage because you took out a same day loan. In fact, nobody has to know about it but you. You get to have the money quickly transferred into your checking account, leaving you free to take care of whatever financial fires that need to be doused.

If you’re going to go online, you need to have a quality site that you can turn to. One site that immediately comes to mind would have to be peachy.co.uk. This is a site that not only gives you the best approach possible to taking care of your finances, it also gives you more information. It’s all about peace of mind when you’re trying to take care of your family, and the site wants to make sure that you have peace of mind when it’s time to apply for a short term loan.

Open your mind to the possibility of getting your financial problems behind you as quickly as possible. It definitely can be done, you know! Good luck!