Finance

While many people experience times when money might be on the slim side, there might come a month where, despite your best efforts, you still come up short for the rent that you owe. Especially if you’ve had other unexpected expenses or weren’t able to bring in as much money as you normally do, you may find that, at the end of the month, you simply don’t have what you need to make your rent.

In this situation, there are a few things that you can and should do. To help you see just what these things are, here are three things to do if you’re worried about making rent this month to help ensure that you don’t get evicted and wind up in an even worse situation.

Get In Touch With Your Landlord

As soon as you realize that you won’t be able to pay your full rent for the month, the very first thing that you should do is get in touch with your landlord. Hopefully, you have a good enough rapport and relationship that you can explain your situation and try to come up with a solution together.

Some of the options that you might want to present could include paying part of the rent now and part in a few days or weeks when you have more funds available to you. You could also ask if you could add this rent payment to the next few months of rent in the form of a payment plan.

If you and your landlord are able to reach an agreement, make sure you both get it in writing so that you don’t have to argue about the details again in the future.

Ask Others For Financial Help

If you know that you won’t be able to make your rent this month but that you will be able to get things back on track next month, one option you might want to try is to ask your friends or family members for some help just with this month’s rent. Depending on what you’re both comfortable with, you can either agree to pay them back or accept this as a one-time gift so that you can make your rent.

Look For Emergency Assistance

For those who don’t have people that they can turn to when strapped for cash, something else you can try is looking into emergency assistance that might be available to you.

There are all kinds of grants and assistance programs from the government and other organizations that are meant to help people when they are in a bind making their rent. By doing some research online and finding some that you might qualify for, you could get the money you need just by filling out some paperwork.

If you fear that you won’t be able to cover your rent this month, consider using the tips mentioned above to help you find a way to address this problem without getting evicted.

 

Homeownership is part of the American dream. Many of us strive for that day when we can own our own home, a place to build memories with our families over the years. We want a house we can make into a home. However, with the rise in housing costs, homeownership can seem like a reality that is years away.

The conventional thought around purchasing a home is that you must save enough to be able to pay a 20 percent down payment toward a home in order to qualify for a mortgage. This can make homeownership unachievable for many people. Fortunately, there are options available for first-time homebuyers that can help reduce or even waive the down payment requirement altogether, making the possibility of owning your own home achievable sooner than you may think.

To put zero down as a first-time homebuyer, you need to find a lender that offers zero-down home loans. Not every mortgage lender offers the same terms, so shopping around for the best lender for your financial situation is key to success. The mortgage lenders at Solarity Credit Union, for instance, offer zero-down first-time homebuyer home loans for those who qualify, as well as other mortgage programs that can help you achieve your goal of homeownership without waiting years to save up enough of a down payment to qualify for a mortgage.

Before you opt for a zero-down first-time buyer loan, you should do a little research so you understand what you’re signing up for. In this article, we’ll go over the basics so you can determine if this is the right option for you.

What Is a First-Time Homebuyer Loan?

First-time homebuyer loans from the Federal Housing Administration are backed by the US government. FHA loans are available for borrowers who have lower incomes, making them a higher risk for defaulting on the home loan and having their home foreclosed on by the bank. Since FHA loans are backed by the government, this takes some of the financial risk off private lenders, who may offer FHA loans to their customers if the customer is unable to pay their loan back in full.

FHA loans have terms with lower down-payment requirements to help make homeownership more affordable. Most FHA loans require at least a 3.5 percent down payment; however, there are lenders who offer zero-down first-time homebuyer loans.

How Much Money Should I Put Down on a Home?

Traditionally, a 20 percent down payment was required to be able to qualify for a home loan, but that has changed over the years. Many lenders now offer options that require less.

If you are financially able to put 20 percent down on your home purchase, that can be to your financial advantage, as you will most likely not have any associated fees with having less money down on your home. Often, with lower down payments, you are considered a higher financial risk, so the lenders require you to also pay for private mortgage insurance (PMI) premiums every month as part of your monthly mortgage payment, which can raise the cost of your monthly mortgage payments quite a bit.

If you are unable to save 20 percent of your total house cost, you can still qualify for an affordable mortgage. The terms might not be as ideal as if you had 20 percent, but being able to afford a home when you otherwise couldn’t is an advantage in itself.

Available Mortgage Programs With Zero Down Payment

First-time homebuyer loans are one home loan type available to consumers with zero-down options, but there are other mortgage types as well. The US Department of Agriculture (USDA) loan is another government-backed loan option available to low-income consumers in certain rural areas who are looking to buy a home and qualify.

Another loan type that offers zero-down home loans is the US Department of Veteran Affairs (VA) loan, which is also government-backed. They are specifically available to military veterans and their spouses.

There are private loan options available as well that offer ways around having no down payment saved, such as a zero-down loan for well-qualified borrowers. An 80/20 loan is another possibility. In this case, you borrow 80 percent of the cost of the home from one lender and 20 percent from a different lender, thus funding 100 percent of the home cost.

What Are the Pros of Putting Zero Down on a Home?

The primary benefit of being able to own a home with no money down is that you can purchase your home without the long wait while you save up enough cash to put money down on your future home. Another pro is having your saved cash available for any needed house repairs or updates. Most homes require some work after moving in, and then there is also the need to purchase furniture and basic home care tools, such as a lawn mower or a security system.

What Are the Cons of Putting Zero Down on a Home?

There is a downside to putting no money down on a home loan. Zero down payment leaves you with zero equity on your home, which can leave you “upside down” on your mortgage. Being upside down, or underwater, on your loan means you owe more than the value of your home.

This can happen if the housing market fluctuates and causes your home’s value to drop lower than what you paid for it with your home loan. If you become unable to pay your monthly mortgage payments, selling the home would still leave you owing on your mortgage if the value of your home decreases enough to where it won’t cover the entire cost of your loan.

Putting no money down on a home loan also means you will be paying a higher interest rate on your loan, which means at the end of the loan period, you will have much more for your home due to the higher amount of interest being charged each month. You will also most likely need to pay for mortgage insurance, which will increase the overall cost of your loan.

Can I Afford a Home Now?

If you would like to see how much home you can afford, try this home affordability calculator to see if it’s time to start shopping for a home. When you are ready to get pre-approved for a home loan, contact Solarity Credit Union, based in Washington State, for your zero-down first-time homebuyer loan options.

 

In foreign exchange trading, a PIP stands for ‘Point In Percentage’ and is one of many fractions used to describe the value of a currency. In forex trading, it is common to use fractional amounts to make the figures more manageable. Using decimals or percentages can be much easier when calculating profits and losses.

PIPs are essential because they allow traders to measure their profits and losses accurately. In FX trading, you’re typically quoted prices to the nearest pip, so it’s essential to be aware of how much each pip is worth in your chosen currency pair.

How does a PIP work in FX trading?

PIPs are a popular way of describing changes in a currency’s worth as they avoid large, unwieldy figures. They also make it possible to easily compare one currency with another, which would otherwise be difficult due to their value differences.

For example, if two currencies were at parity (one equal dollar), an increase of 0.10% would mean that the more valuable of the two (in this case, the dollar) has increased in value by 0.0099 against the less valuable of the currencies. That same move on another currency would be much less impressive, an increase of only 0.0005, which is hardly worth writing about.

Different brokers and trading platforms will use slightly different PIP values, but standard practise is to multiply a PIP figure by 100 to remove the decimal point and add ‘points’ at the end for clarity, e.g. +1 = one point, +2 = two points etc. This means that when dealing with transactions and figures where PIPs are used, it can be imperative to check whether your broker calculates its PIP values in the usual way (multiply by 100 then add ‘points’) or whether they are using the system where PIPs are written with numerals after them, e.g. +1 = one pip, +2 = two pips etc.

Using points instead of multiplying by 100 can significantly affect your profits and losses, so checking your broker’s format is always essential when dealing with figures involving PIPs.

Using PIPs in FX trading in Singapore

In Singapore, FX brokers typically quote prices to the nearest pip. This gives traders a clear understanding of their potential profits and losses before entering a trade. Mastering PIP values is an integral part of becoming a successful FX trader in Singapore. With practice, you’ll be able to judge market sentiment and make informed trading decisions that could lead to profitable trades.

Risks associated with using PIPs in FX trading

There are some risks associated with using PIP in Singapore, both legal and moral risks that may arise for traders who use PIP when dealing with clients when setting prices for their trades.

The first example used is when the trader’s client is an un-sophisticated individual or company that does not know to check the PIP value when used. They will accept rates given by traders when they set their prices, but they are actually paying more than they should be for the trade.

This can occur in MTM (mark to market) reporting, where amounts due are recognised at current exchange rate values. However, this may not be suitable for clients who use funds that need to remain liquid, so they will incur debts if their assets are converted into another currency while remaining on margin during trades.

Another risk of using PIP is the false assumption that a more considerable PIP value reflects a higher chance of a country defaulting on its debts. The reality here is that this does not mean much if the PIP value is small and only affects a small portion of your portfolio for trades or sizing. Your chances of being right are still just as slim even though you have used a more significant number to reflect a higher chance.

Finally

For FX traders wanting to know what forex online trading is, and looking to use PIP in Singapore, we recommend contacting a reputable online broker from Saxo Bank.

 

If you are going to start working on some renovations around your home, one of the most important things to iron out before you start the work is your budget. Without a properly thought through and planned budget, you might find that you aren’t prepared to spend the money that is necessary for a quality renovation. On the other hand, you may also easily spend much more than you anticipated if you haven’t put some financial boundaries on yourself.

To help with both of these aspects of your project, here are three things to consider when creating your budget for your home renovation.

Prioritize Your Needs Over You Wants

Your budget is going to depend not only on what you can actually afford, but it will also depend on how big of a scope you’re hoping to cover within your projects. For smaller projects, you can usually get by with a smaller budget.

With this in mind, you’ll really have to think about the scope of your renovations when making your budget. If you don’t have a lot of money to work with, you’ll need to start with prioritizing your “needs” over your “wants”. But if you do have a lot of money to spend on your renovation, you can start getting into some of the things on your wishlist rather than just doing the bare minimum to make your home functional.

How Your Contactor Impacts Your Budget

Unless you’re planning on doing all of the work for your renovations yourself, you’re going to have to hire a contractor to do the actual work for you. This will add some money to your budget, since you’ll have to pay your contractor as well as paying for the materials they’ll be using.

While you might think that getting the cheapest contractor would be the best option for you financially, as with most things, you get what you pay for with a contractor. Generally, you should try to go with a contractor with a good reputation that has bid for your project in the middle of the road as far as costs. This way, you can know you’re working with someone who will give you a quality product without having to spend too much.

Think Ahead To Resale Value

It’s not only the cost of completing your home renovation project that you should consider when you’re planning your budget. With many renovations, you may end up increasing the resale value of your home along the way. And when this happens, you can recoup a lot of your costs once you sell your home. This may give you a little more flexibility in your budget if you know that you’ll be selling the home sooner rather than later and can then get a fast return on your investment.

If you’re trying to create a budget for your home renovation project, consider using the tips mentioned above to help you with this.

 

Accessorizing is underrated, especially when you are on a budget. A basic daily outfit can quickly go from dull to drama with the right accessories. You don’t have to be a fashionista to create trendy looks, and you certainly don’t need to go broke doing it. All you need are unique tips to accessorize your personal style and put your best-dressed foot forward. From phone cases and eyelashes to scarves and handbags, read on to be inspired to try something new.

Is it a goal of yours to purchase new property? Are you trying to improve your standard of living by buying a new house and moving in? If so, you may have been digging into your finances lately to see if it’s something that you can afford or seeing if it’s something that might be considered a good investment. To make this decision, you must get all of your financial materials organized as well as possible. Anything in your history that may work against you needs to be brought to the surface so you can make the best decisions possible.

Consider a few different ways that would be sensible when it comes to organizing your money. Perhaps you could get some home loan advice from reputable parties. You could put yourself on a budget and analyze any previous income and expense reports that you have access to. And comma before you purchase any new property, you should make sure that you have enough in your savings account to be resilient in case of an emergency situation such as the one that is currently happening around the world.

Home Loan Advice

Start with getting great home loan advice. Unless you’re already a financial expert when it comes to real estate, there are probably substantial knowledge gaps in your understanding of the market. There are people or companies with decades or even generations of experience working with home buying, so it absolutely makes sense for you to find someone that you trust to get tips from. You can also contact a trusted financial institution that can give you data about your best options regarding investments and purchases.

Putting Yourself on a Budget

If you haven’t already put yourself on a budget, then now is the time to do it. You can install free budgeting software that will hook up to all of your major accounts to get a good idea of where you stand financially. From there, it is a matter of following the advice of experts on a week to week and month to month basis. The more knowledge you have of your spending habits, the better you can put resources into things like real estate investments.

Making Sure Your Savings Account Is Set To Be Resilient

Do you know how much of your income should be put into your savings account? Most people have a rough idea, but even if they do, they don’t follow it. Especially now, in this period of chaos and financial nervousness, your savings account can be the most steady aspect of stable living. If you’re planning on buying a new property soon, make sure that your savings account is big enough to handle any emergencies.

 

If you’re thinking about investing in order to secure your financial future and to retire early, you’ve come to the right place. Simply continue reading to discover a few smart investments for the future which will help you increase your personal net worth.

If you didn’t study economics, finance or business at university and doubt your own abilities to read the financial markets properly, you may want to learn how to use copy trading to your advantage.

What is copy trading? Copy trading is a simple practice, in which you’ll be able to copy the real life trades of more experienced investors. Who already boast an impressive track record when it comes to profiting from wise investments.

Your job will be to research the profiles and statistics of a wide variety of copy traders, in order to find individual’s whose abilities you trust. Make sure to check how much profit each trader has made each month, over at least a 2 year period. As it’s a smart idea to copy individuals’ trades who have made consistent profits. Over traders who made incredible profits one month but made a loss the rest of the year. As sometimes platform’s will feature fly by night success stories on their copy trading pages, which you should avoid.

In order to avoid losing your hard earned money, it’s a great idea to invest smaller amounts in copying the trades of a handful of well established traders. Instead of investing thousands of dollars in copying a single trader. For more information on copy trading, you may want to learn about South Africa copy trading.

Precious metals:

As well as investing on the stock market, it’s well worth investing in precious metals. That way if the stock market takes a dip, you won’t be at risk of losing all of your money. As traditionally when stock market prices fall drastically, the prices of gold and silver increase over night. So if you invest in shares on the stock market and precious metals, you’ll cover your bases and will be able to continue to bring in money, regardless of what the future holds for the stock market.

Blue chip stocks:

Blue chip stocks are ordinary stocks which pay out regular monthly dividends. So if you don’t want to wait half a year to receive dividends from your shares, it’s a wise idea to start investing in a few blue chip stocks. As the sooner that you receive your dividends the sooner you’ll be able to reinvest your dividends in order to increase your passive income.

Property:

Property is another wise investment as most properties appreciate in value over time. You can also rent out any additional properties which you may purchase in order to earn regular rent. Which again will increase your passive income. Remember that if you work on increasing your passive income you’ll eventually bring in enough passive income per month to retire.

So if you’re passionate about investing in your future, make sure to add property, blue chip stocks, precious metals and copied trades to your investment plan.

 

Buying a home is likely going to be one of the biggest purchases you make in your lifetime. Not only will this be the place that you live for years to come, but you’re also going to be spending a lot of money in order to own this piece of property. Because of this, most people are willing to look for any way that they can save some money along the way.

Luckily, if you plan and prepare correctly, there are plenty of ways that you can save some money and pay a smaller amount for the ownership of a home. To show you how this can be done, here are three things you can do to pay less on your home loan.

Save For A Larger Down Payment

One of the first and best ways that you can save money when buying a home is to literally save as much money as you can to go toward your down payment.

According to Kathryn Vasel, a contributor to CNN Money, the larger of a down payment you’re able to have, the less money you’ll have to borrow from someone else in order to pay for your home. This means you’ll have a smaller loan to pay down, which could mean lower mortgage payments. And if you’re able to put down at least 20 percent of the cost of your home, you’ll also be able to avoid having to pay for private mortgage insurance, too.

Shorten The Life Of Your Loan

Another way you can wind up paying less on your home loan is if you’re able to refinance your mortgage and shorten the terms from your previous loan.

Debt.org shares that if you’re able to refinance from a 30-year loan to a 15-year loan, you’re essentially saving the interest that you would have paid over that extra 15-year timeframe. While this will usually mean that you’ll have a higher monthly mortgage payment, if you can afford it, this could have you paying so much less over the life of your loan.

Commit To Making Extra Payments

If you’re not ready to make a commitment to refinancing but would still like to cut down on the amount of interest you’re going to be paying on your home loan, another great option is to simply commit to making extra payments on your current mortgage.

According to Natalie Campisi, a contributor to Bankrate.com, making just one extra payment each year over the course of your loan can save you thousands of dollars in interest. Not only that, but you’ll also be able to pay off your loan quicker, so you’ll get out from under this debt at a faster rate.

If you’re wanting to cut down on the amount of interest you’ll pay on your home loan, consider using the tips mentioned above to help you find ways to accomplish this.

 

The good thing with a no deposit car finance deal is that you can get it any time you want. Since you don’t have to pay for the deposit, you just need to sign the application documents, and you can soon drive a new car. Before you get too excited, you will still need to apply for this loan. To qualify, you need to show these requirements.

Proof of capacity to pay

Since you’re not paying any amount upfront, the loan provider needs a guarantee that you have enough money to pay the monthly quotas. If you are currently unemployed or you don’t have any reliable income source, your chances of getting approved might be low.

Proof that you didn’t file for bankruptcy in the past 

Whether it’s personal or business, filing for bankruptcy under your name could reduce your chances of getting this loan. It’s already a risk on the creditor’s part to allow you to get a new car despite not paying a deposit. It’s an even bigger risk for someone who already experienced bankruptcy in the past. A low credit score holder might still have a chance to obtain this loan, but not someone with a history of bankruptcy.

Legal age and driving licence

Compared with other types of loan, it’s a lot easier to obtain this no deposit car loan. As long as you’re 18 years old or above, and you have a valid UK driving licence, you’re good to go.

Correct application documents 

Although it’s way easier to get approval for this loan, you will still go through a process. You need to submit application documents and wait for the approval. Don’t falsify any information in the hope of successfully getting the loan. When caught, you could be in serious legal problems. You will also ruin your chances of getting approved now and for any other future applications.

Read the details first

These requirements aren’t necessarily difficult to fulfil. However, you still need to think hard if you should obtain this loan. Since you don’t have to pay any amount upfront, your monthly payments might be high. When factoring in the interest rate, the monthly fees could even be higher. If that’s something you can’t afford, this loan might not work for you.

Not all companies offering this deal have the same terms. It’s crucial that you read the fine print before closing the deal. You also have to compare the choices and understand them well before determining if you will pursue the transaction. Car finance is a long-term commitment. You can’t sign up and be irresponsible with the monthly payments. The application might be easy, but it’s only the first stage of the process. You still have a lot to do to own the car finally. Don’t rush the process and wait until you’re ready. Settle your existing financial issues first, and you can finally obtain a car loan that works for you like the ones offered by car finance giant.

 

 

 

Pensions: A Beginner’s Guide

If you watch the news or read a digital or print newspaper – which we imagine applies to nearly everybody – you’ve probably read that there’s a pensions crisis brewing, and one which will have severe implications for the United Kingdom and the United States of America. If you’ve grown up and spent your life in the United Kingdom, you’ve probably always expected that the state will care for you during your retirement years. Such talk is therefore quite alarming.

Because of this, we thought it would be a good idea to put together a basic guide on where we stand with pensions, and which types of pension are available. We’ll also discuss what action you might want to consider taking to ensure that you’re adequately looked after in years to come.

We’ll start with the type of pension that almost every British citizen is entitled to expect; the state pension.

What Is The State Pension?

The state pension is a financial provision that the United Kingdom makes for every single one of its citizens, with the intention of supporting them in retirement. Every qualifying citizen automatically becomes eligible to receive the state pension when they reach their retirement age, which at the time of writing is 65 got both men and women. For a single individual, the current rate of the state pension is £168.60 for each individual claimant. Should that not be sufficient for people to survive, a state second pension is also available to some claimants, and is means-tested to maximize the level of benefit awarded to those most in need.

Does Everybody Receive The State Pension?

Almost everybody. In order to qualify for the full state pension, you must have paid 35 years worth of National Insurance contributions during your working life. You’ll still receive a partial payment so long as you’ve paid in at least ten years worth of National Insurance contributions. This is sometimes an issue for self-employed persons who haven’t maintained their tax obligations.

What If The Investments Don’t Go Well?

With this type of scheme, it’s possible that the amount of money you’ll receive will be less than the total sum you’ve paid in during your working life. That may not seem fair, but investments are a gamble. Just like not every spin of the reels on a mobile slots game will result in a win, not every fund you invest in will generate a profit. Stock traders, like mobile slots players, are betting and speculating on the outcome of their actions. A stock trader will tell you that they have more control of the outcome of their bets than someone playing Vegas Slots, but the reality is they’re just powerless to stop things going wrong when they back a loser.

Understandably, that type of scheme isn’t for everybody. That’s why there’s another form of workplace pension available.

That Doesn’t Sound Like Enough Money

It isn’t. It’s an open secret that the state pension is woefully inadequate for its intended purpose, and will likely have to be topped up with additional benefits for most claimants in order for them to avoid collapsing into poverty (hence the coming pensions crisis). It might get worse, too – the eligibility age for the state pension is due to increase to 67 in the mid-2020s, and 68 in the mid-2030s. Young people currently at university may find themselves working into their 70s before they become eligible to receive the pension – presuming it still exists by then.

Clearly, the state pension alone isn’t sufficient to support us in retirement, so what else is out there for us? One additional provision is the Government’s workplace pension initiative. Since 2017, every employer in the county has been required to make contributions into a workplace pension for their employees – unless the employee has specifically opted out of the scheme. What benefits do we get from that?

What Is A Workplace Pension?

It’s a pension plan which is usually contributed to by both you and your employer together. Unlike the state pension, the funds become available at the age of 55 – although you’re free to carry on working and adding to your pension pot if you wish to do so. The more you pay in, the more valuable it will ultimately become. Workplace pensions are set up one of two ways.

Defined Contribution Pension Plans

Under the terms of a defined pension contribution plan, the money paid into your pension scheme by yourself and your employer is invested. Provided the investment scheme goes well, this will increase the level of funding available to you when you eventually choose to draw down on the retirement plan after reaching the age of 55 or later.

Defined Benefit Pension Plans

Under the terms of a defined benefit pension plan, you receive a promise from your employer that you’ll receive a specific income when you choose to retire. That income will be based on how many years you spend working for that employer, and the level of your income when you stop working for them. You don’t stand to receive as much money as you would from a defined contribution pension plan if everything went well, but you also aren’t subject to the risks which come from underperforming funds. When you reach 55, just as in the other scheme, you’ll have three options.

What Are The Three Options?

Unlike your state pension, you have some freedom of choice when it comes to your workplace pension. You could choose to take it all as a cash lump sum at the age of 55 if you so desired, although you’d have to be conscious that you’ll receive no more money from it for the rest of your life. You could treat it like a savings account and dip into it as and when you wish to. Option three would be to treat it like a regular pension, and receive a monthly income from it for the rest of your life.

Will The State Pension And The Workplace Pension Together Be Enough?

We don’t know. Nobody knows what the state of national or personal finances will look like twenty or thirty years from now. That’s why it always makes sense to speak to a professional pensions adviser if you have concerns about your financial future when you reach retirement age.

What Might A Pensions Adviser Direct Me To Look At?

Personal pensions. These are pension schemes which are nothing to do with the Government; they’re set up by you (under the guidance of your adviser), and maintained by you (with your adviser’s assistance). Your financial adviser will assess your current income and expenditure, determine how much money you’d require to maintain your current quality of life in retirement, and address any potential shortfalls. From there, they will make a recommendation as to how much, if anything, you should consider paying into a personal pension.

What Options Might They Have For Me?

Too many for us to discuss here, and their range of products may vary depending on who they’re affiliated with! As a general rule, a fully qualified pensions adviser should be able to provide advice on a range of different pension products, ranging from those suited to people with a large risk tolerance to those who want to play as safely as possible.

This article doesn’t constitute financial advice, but the information you’d get from a qualified pensions adviser does – so go and see one!