Redefine Finance !!!

It is very easy for the lenders to sweetly deny the loan, labeling the borrower as 'a high risk client'. A guaranteed car loan can be a better option in these cases and it would help all the consumers to own their dream car.

Borrowers with slightly less than a perfect credit score are denied but they have all the rights to own a car of their choice. Do not your weird thoughts ruin you and let's look at the reality here. One cannot change the poor or bad credit history overnight but there is a possibility to come home in the company of the SUV that the user wished. These are special sort of loans given to the individuals who were ripped off elsewhere due to poor scores.

Guaranteed car loans are offered to people with poor or no credit score and are mostly offered to students who are just out of the college. Most lenders will scrutinize the borrowers for having poor credit history and they face loan denial charges. The companies are very much comfortable in sweetly refusing the loans and they are not ready to know the reasons for the poor credit history. Guaranteed car loans can avoid such kind of humiliations but the interest rates offered are higher for poor scores. It is up to the borrower to get a loan at a higher interest or to be without the loan. Here are some tips to be followed to get a guaranteed car loan.

Maintaining a good credit score is very important to avail the loan. This enables the borrower to negotiate a better deal with the lenders and saving few thousand dollars. Borrowers should shop around before signing the deal.

Comparison of rates and other benefits must be done with the data collected. Searching online and applying for quotes can be useful in these cases. Spending a little time to know about various lenders and their policies may end up in saving few thousand dollars. The pact must be signed and inked by both the parties. This will be helpful for both the parties and this avoids the lenders in throwing any hidden charges. It is important to get everything in written, which safeguard the interests of both the parties.

The loan amount offered is heavily dependent on the resale value of the automobile. A Payment schedule should be fixed according to the financial capacity of the borrower. The best way to save some bucks after buying a car is to apply for a refinancing. People might pay higher interest rates when opted for a guaranteed car loan. This is subjected to having bad credit and bankruptcy background. A better deal would be the one having lower interest rates and the borrower can enjoy offering the auto loan whose benefits later. The number of days to ink the deal is very less. People can get the loans in just a week's time.

You could be considering accepting one of the hundreds of advertised proposal on TV and newspapers for a personal loan which will combine all your debts into a single account for easier management of payments. Prior to calling them and filling out that form, you have to assess your present state of affairs and the possible repercussions on your finances. Because all these proposals are sugar coated to entice you to get their facilities yet they are not as perfect a solution as the lending companies make it appear to be.

It is but natural for a lot of individuals to look at exceptional deals with cynicism, and ask, “What’s the catch?” For most of us, when it comes to consolidation loans, we generally just look at the amount that can be borrowed and the corresponding monthly payments, disregarding the other terms and conditions of the contract.

Loan companies know the general psyche of a potential borrower only too well, so the proposals highlight only the loan amount and the monthly payments to determine which loan term we can afford to pay, without detailing what portion of the payment is actually going to the principal debt.

We have been made to believe that by combining all our loans, it will simplify debt repayment. What we do not look into more closely is how many years will it take you to pay back that loan and how much the total payout will amount to. No matter how light the monthly repayment scheme is made to appear, computing it against the total number of months, for instance 60 of months, of repayment could give an unbelievably staggering amount.

Put the payment terms in an annual setting and see if that will not change your entire perspective. After doing that, the next question you will ask yourself is will you want to be saddled with such a debt for five long years. If that looks okay with you, the next thing you have to do is compute how much will this consolidation loan going to cost you given the 5 year term. This might jolt you to reality and change your mind completely.

Generally, interest rates for these types of loans fluctuate from year to year. Sometimes they could go down and that will be good for you, but most of the time it is on the uptrend. So if you finally decide to consolidate your debt, don’t just look at the monthly repayment affordability but the total amount it will cost you for the entire loan term. Another question you should ask is if you are able to, can you pay the loan in a shorter term than that which is stipulated, because if you can, then it is a good option to take.

Clearing all your debts in one action will actually give you a feeling of relief and happiness, but should come with a warning.

NEVER EVER even think of using your cleared credit cards again or you will suffer the consequence of ending up in more debts than you can afford to pay. This will totally put you in a financial glitch that may take you several years to recover from.

If your hobby is doing Tax and accounting then no need for you to read this article. For the rest of us, if you need help with your yearly tax return or run a business that requires hiring an accountant, then it can be quite a task to find a skilled accounting firm offering professional help and expertise.

Whatever type of accountant is required, (chartered, tax, etc.); most people don’t really know what they should be looking out for in their search. Generally decisions are based on the locality, an advert found in the phonebook or recommendations from friends and colleagues. Taking the time to find out something about the company you select will make all the difference between an accountant who is just doing their job and one who will be loyal and enterprising.

If you are running your own company or if you are self-employed, hiring an accountant can be priceless. A few of the services they offer include completing tax returns, keeping company accounts, financial planning, auditing and book-keeping. Most of the professionals also advice on anything from buying new company cars to selling shares.

If you already have your own business or are in the process of setting one up then you will know how important the accountant can be. They should know the rules and regulations concerning any financial activities and be aware of any changes in the law that might affect your business. With the right accountant you can be sure your business is in capable hands.

Accountants can save you from spending your valuable time by maintaining all the essential paperwork for you and they even advice you on ways to cut costs. For example, because a dependable accountant will be up to date on tax laws and legislation, they will save your business quit a lot of money. It’s crucial to select an accountant fitted to your company as they will not only keep the records and finances updated and in order but can also smooth the progress of expansion.

To find the right accountant is the difficult part. The first place to start is on the internet. Preferably you want an accountant in your local area that has been established for a number of years, this will enable you to meet them face to face to discuss your needs and requirements and check out their reputation and qualifications. Ask around colleagues and business owners in similar industries for their recommendations and opinion. You could also ask your financial planner, bank and insurance agent for their advice.

If you worry about the costs of an accountant then keep the following in mind. Large accountancy firms might have the advantage of offering their services at more competitive rates, whereas a smaller company could provide a more personable service and commit more time to your account. Thus the question is; do you want quality or quantity? Don’t hold back on contacting a firm to ask questions and advice before making that decision. Chew over the area you need advice or help in as companies often specialize in particular fields, for example if you are setting up a small clothing company, the accountancy firm you select should be clued-up and have some clients and thus experience in this sector.

Always check for accreditation from an officially recognized body, especially if you are thinking of selecting an individual accountant. Only registered agents are allowed to charge for preparing or lodging a tax return.

There are only a few companies in Australia which offer an accounting firm referral service. These firms can find you professional help in your local area for free. Make sure that the members of their network are fully qualified Chartered Accountants or Certified Practicing Accountants. If you are searching for a general chartered accountant or require a specialist, they should be able to help you locate one in a location of your choice. They can provide a range of accountancy services, from financial planning to trust accounting, from setting up a company and auditing to superannuation.

Handing your financial records over to someone you don’t know involves a lot of trust and co-operation. Choose an accountant firm that responds quickly to your questions and has an understanding of your business. Also ask for their pricing policies and see if it is within your budget. An accountant is not only there to complete your tax returns but to offer advice and guidance that can lead your business in the right direction and into the future.

FOREX trading is becoming more and more popular in today’s economy and has no sign of slowing down. FOREX trading can make you or break you depending on how much money you have invested and how much money you stand to make.

But how do you choose a great broker to invest your money properly? Here are a few ways to choose the right FOREX broker that is going to work for you.

Maybe the most important thing you need to consider is their reputation. If they have a reputation that is not that good or is kind of shaky, then you might want to try and find someone else to invest your money because after all, it is your money that you are risking. A great broker with a good reputation might be a little busy, but their work stands out.

Also when looking at a brokers’ reputation, you also need to look at their foundation, where they are getting the money and what financial organization that the broker allied themselves with. This is a good indication on how good the broker really is. You do not have to settle for someone who you think is not worth your time. You have to make the decision on how your money is going to be invested so you have the right to pick your own broker.

If you are looking into getting into FOREX trading then you have to choose a platform on how you want to trade. There is software that you can get that manages all of your trades and helps you out and makes suggestions on what to buy and what to sell. If you are still not sure about the platform you want to you can use a demo program and run that. This will help you out a great deal because you are not risking any money until you are ready.

Also if you are just starting out then it is safe to assume that your account is small and you don’t have a lot of money in that account to start trading. This is a good thing because you don’t want to invest a lot of money right out of the box. Start investing your money slowly because this way if you start making money you can sell that stock and start building your account larger. Being smart with your money can take you far.

With more than 600,000 new small businesses started each year, it's safe to say that the dream of being a successful business owner is a strong one.

It is a dream for every new business owner to become a successful businessman. With more than 600,000 new businesses starting each year its now easy to have such a dream.

If you are considering starting your own business, or are already the proud owner of a business- here are 7 reasons why your small business needs a credit card:

1.Keep your personal finances and business finances separate. It's easier than you think to accidentally mix up your funds. Using a credit card that is used only for your business expenses and purchases eliminates the problem of labeling every transaction in your personal checkbook or on your personal credit card statements at the end of the month.
2.Build credit in the name of your business. If you obtain a credit card in your business name, the more you use it and make on-time payments, the stronger you will build the credit score of your business. After several months of building a good credit history, you may be able to obtain small business loans or other sources of financing if necessary.
3.Get stuff for free. There are numerous rewards programs with credit cards. If you choose one that works for your business, you can easily earn the things you usually buy for free. For example, some rewards credit cards offer you a way to earn office supplies at a discount. The key to making a rewards program successful is to choose one with no annual fee and pay your balance off in full each month. If you travel regularly for business, it would make sense that you get a card with travel rewards- either earn miles towards free flights, or get free or discounted hotel rooms.
4.Easy record keeping. Owning a small business means you are allowed to deduct certain purchases on your taxes, but only if you have good records to prove you've made those payments. A credit card with an annual, itemized statement will make tax season a snap, regardless of the number of transactions you've made on your card.
5.Additional credit cards for employees. As your business grows, you may find the need to allow key employees within the organization the ability to make purchases or pay for business expenses on your behalf. Most credit card companies will allow you to obtain additional cards in other people's names. Your transaction listings and statements will show which credit card made each purchase, allowing you to see at a glance whether the employee use of credit is being abused or not.
6.Concierge services. Depending on the credit card you choose, you may benefit from additional services like reservation assistance, verification of flights, and even a personal shopping service. Did you forget to get your wife flowers for your anniversary? A quick call to your credit card concierge service and they can make the arrangements for you.
7.Travel benefits. In addition to the potential to save money on travel costs with a credit card rewards program, most credit cards offer travel accident insurance that helps cover you for things like lost luggage or flight cancellations.

New Delhi: State-run telecom operator Mahanagar Telephone Nigam Ltd (MTNL) on Monday said it will offer new 3G prepaid connections for Rs 109 in its Mumbai circle. 

New subscribers can avail new '3G Tariff', with local voice and video call charges at 20 paise per minute on own local network and 50 paise per minute for other local networks across Mumbai telecom circle with lifetime validity, MTNL said in a statement. 

High Speed internet access and download of contents can be obtained through 3G technology

‘Jadoo’ is the brand name of the3G service offered by MTNL

The new connection comes loaded with 25 minutes of free video call, 25 MB of free data usage as well as talk time of Rs 25, it said.

STD voice and video calls would be charged at 75 paise, it added.

Nasscom expects at least 70,000-80,000 engineering grads who passed out in June 2009 and were offered jobs in their 5th and 6th semesters by TCS, Infosys and Accenture, among others, to get absorbed by March 2010. Not too long ago, there were apprehensions that the appointments of these tech grads could get deferred till 2011 in the aftermath of the global slowdown. That perception appears to have changed.

Speaking to ET, Nasscom vice-president Sangeeta Gupta said: “There’s some amount of pick-up in IT spending and clients have become active in the decision-making process. This augurs well for the IT industry and is likely to result in hiring by IT companies.

Companies like TCS, Infosys and Accenture, among others, are expected to start honouring the offers they made. As a result, at least 70k-80k engineering graduates, who were issued offer letters, are expected to get absorbed by March 2010.”

Incidentally, McKinsey in its report titled ‘Perspectives in the IT industry by 2020’, has noted that with the current pace of reforms and expected constraints in talent and infrastructure supply, the exports component of the Indian IT industry is slated to reach $175 billion in revenues by 2020. The domestic component will contribute $50 billion in revenues by 2020, which is larger than the total export revenues for India now.

ICICI Bank the second largest lender in India clocked a 2.6 per cent jump in its net profit in Q2 FY 10 and expects its loan growth to pick up and slippages to decline in the latter half of the fiscal.

It’s net profit in Q2 rose marginally from Rs 1014 crore to Rs 1040 crore.

The lender is continuing the process of reducing retail unsecured loans to 6-7 per cent of its total advances by end-fiscal in a bid to enhance its asset quality, its Managing Director & CEO, Chanda Kochhar, said.
In certain loan portfolios like Home Loan, car and project finance the bank sees double-digit growth, as there is a pick up in economic activities, Kochhar said.

However due to the sluggish growth in First half, the banks credit growth for the full year is likely to be in single digit

ICICI Bank, which was reducing its loan-book size, especially in the retail segment, has completed the first phase of its balance-sheet contraction, Kochhar said.

Asia’s richest man, took a 66 percent pay cut to “set a personal example of moderation” after India’s government called for austerity in salaries of executives.

The Bombay Stock Exchange benchmark Sensex on Wednesday surged to a new 17-month high by adding over 204 points on buying support particularly in banking and metal stocks amid strong cues from Asian markets.

The Sensex, which had closed with a hefty gain in previous session on Monday, added 204.44 points at 17,231.11, a level last seen on May 20, 2008. The benchmark touched the day`s high of 17,274.59 led by stocks in metal, banks and drugmaker companies.

Similarly, the wide-based National Stock Exchange index Nifty shot up by 63.95 points at 5,118.20.

Investors were also upbeat after a top policy adviser said the central bank was likely to hold interest rates at a near decade-low when it reviews policy on Oct. 27, reinforcing expectations the government's priority was to boost growth.

The 30-share BSE index closed up 1.2 percent, or 204.44 points, at 17,231.11, with 25 of its components advancing. It rose to 17,274.59 during trade, its highest since May 21, 2008.

"We may rise another 500-600 points from here but we should correct after that, as we have risen too fast," said Amitabh Chakraborty, president of equities at Religare Capital.

He said profit-taking was imminent.

The market has gained almost 79 percent so far this year, and the benchmark has more than doubled from 8,047.17 points struck in early March.

Brokers said markets were catching up with gains across the region on Tuesday when the domestic market was close due to state elections in Maharashtra.

They added that Asian shares were mostly firmer and the market was also underpinned by rising foreign portfolio flows.

The traders said the Sensex had gained almost 79 per cent this year as foreign funds stepped up purchases on the back of a recovering economy.

The FIIs pumped in nearly USD 13 billion into Indian stocks this year, almost putting back what they had pulled out in 2008 when the index slumped to more than half.

The market also got partial boost after HDFC Ltd reported a higher-than-expected 24 per cent rise in its second quarter net profit. The state-run lender, State Bank of India rose 4.46 per cent to Rs 2,269.45.

Healthcare sector index was an important participant in today`s rally as drugmakers`s price estimates were raised at Goldman, Sachs. Ranbaxy Laboratories, a third-biggest drugmaker by market value, advanced 1.17 per cent after Goldman Sachs increased share-price estimate by 23 per cent.

The metal, capital goods, auto and banking stocks lended maximum support to the market recording handsome gains. Metal index rose the most by 5.27 per cent to 15,587.83 followed by capital goods index up by 2.38 per cent to 14,185.34.

Telecom companies bucked the trend and dropped after slower subscriber additions at leading GSM mobile operators Bharti Airtel and Vodafone Essar in September amid intense price competition.

Bharti dropped 3.25 percent to 339.40 rupees and Reliance Communications fell 6.5 percent to 231.60 rupees.

Around 507 million shares changed hands on the Bombay Stock Exchange, with advancing shares outnumbering declining ones in the ratio of 1.6:1.

The 50-share NSE index closed 1.3 percent higher at 5,118.20.

Creating a budget may not sound like the most exciting thing in the world to do, but it is vital in keeping your financial house in order. Before you begin to create your budget it is important to realize that in order to be successful you have to provide as much detailed information as possible. Ultimately, the end result will be able to show where your money is coming from, how much is there and where it is all going.

Financial confident people work with a budget. A good budget ensures you live within your means hence avoid unnecessary spending. It also helps you save part of your income. In order for your budget to work for you then it should meet some standards. But one of the most crucial elements of a good financial plan is that it should always be based on your financial goals.

Budgeting is not just about keeping track of your expenditure but it also includes helping you meet your personal financial targets in life. This is because, without financial goals in life you will never be in control of your money. To improve your financial status, start planning your finances carefully.

• Gather every financial statement you can. Includes bank statements, investment accounts, recent utility bills and any information regarding a source of income or expense. The key for this process is to create a monthly average.
• Create a list of monthly expenses. Write down a list of all the expected expenses you plan on incurring over the course of a month. Includes a mortgage payment, car payments, auto insurance, groceries, utilities, entertainment, dry cleaning, auto insurance, retirement or college savings and essentially everything you spend money on.
• Record all of your sources of income. No matter If you are self-employed or have any outside sources of income or If your income is in the form of a regular paycheck where taxes are automatically deducted. Record this total income as a monthly amount.
• Break expenses into two categories: fixed and variable. Fixed expenses are those that stay relatively the same each month and are required parts of your way of living. Variable expenses are the type that will change from month to month and this category will be important while making adjustments.
• Total your monthly income and monthly expenses. If your end result shows more income than expenses you are off to a good start. If you are showing a higher expense column than income it means some changes will have to be made.
• Make adjustments to expenses. If you have accurately identified and listed all of your expenses the ultimate goal would be to have your income and expense columns to be equal. This means all of your income is accounted for and budgeted for a specific expense. If you are in a situation where expenses are higher than income you should look at your variable expenses to find areas to cut.
• Review your budget monthly. It is important to review your budget on a regular basis to make sure you are staying on track. After the first month take a minute to sit down and compare the actual expenses versus what you had created in the budget.

 

Civil Aviation Minister Praful Patel met Air India Unions and the management in Mumbai on Wednesday to review its rationalisation and turnaround plan.

The government is likely to infuse additional equity into ailing Air India, which has evolved a major revamp plan to cut costs by Rs 3,000 crore and increasing revenue by Rs 2,000 crore every year.

Addressing the media after the meeting, the minister said, "We have reviewed the functioning of Air India; we met unions and explained government plans to turn the airline around."

"One step would be induction of equity and the other restructuring high cost debt to low cost debt," he told reporters here after holding separate meetings with Air India employees unions and the management.

He assured that the government will infuse equity, but only if there is cost cutting in the airline.

"Air India employees have shown a lot of understanding. It seems management and unions can forge an understand of way forward," he said.

A draft note on equity infusion in Air India, prepared by the civil aviation ministry, is being sent to Cabinet Committee on Economic Affairs (CCEA), Patel said.

He said a series of measures to cut costs and enhance revenues would include returning leased planes and leasing out some new ones.

Air India, which is faced with losses estimated at over Rs 7,200 crore, has undertaken a major revamp plan parts of which have already come into effect, Patel said.

Patel's announcement comes just two weeks after executive pilots of Air India had struck work and gone on mass sick leave protesting cuts in their productivity linked allowances.

Caught on the backfoot , the management had deferred the cut and the government had formed a sub committee of the Air India board to examine the issue. There are 14 unions of pilots, cabin crew, engineers, officers and other employees in the airline.

"Air traffic has improved over the last six months and overall market scenario has definitely witnessed a slight improvement in the last month or two and that does send out a signal of cautious optimism that aviation industry would lead to a road to recovery though it may not be as thick as we witnessed a few years ago," he said.

Don’t ignore Second Income if it is coming in your hands
 Many people just ignore income sources which are very little according to them but they never know how valuable it can be.
 

Let’s see how….

After making a discussion with many people who are currently involved in extra income sources we found that here are a couple of different ways to look at an extra income. For example suppose you are earning $1,500 per month, then here are the following ways to look at benefits:
 

1. Savings account: To earn $1,500 a month that is $18,000 per year in a savings account at 4%, you would need to save $450,000!
2. Investment account: To earn $18,000 per year from investments at 10%, you would need to invest $180,000.
3. Employment: For many, to get $18,000 per year in raises could take several years of dedicated service to your employer.
4. Financial Freedom: Extra income of $1,500 per month could cover car payments, help pay down credit card debt, or cover some or even all of a mortgage payment.
    

 

What brings a rich source of Extra Incomes????

 

Let’s populate 10 Extra Income Ideas:
 

• Real estate investing: Real Estate investment is one of the best way to make and extra income however it requires expense and enormous potential. The current down turn in the market is an ideal time to buy a property.
• Ebay Store: you can run an ebay store which is an online store in which you can market products and earn commission generated by the sales. Running an ebay store is now easier than ever before.
• Realtor: This may seem like a crazy time to start selling real estate, but in a slow market a lot of the competition runs away. You'll need an initial investment to obtain your real estate license, but over the long term have the potential to make substantial income.
• Website Design: Website design has become a growing industry with the continued growth of the Internet. And it is now-a-days a very good source to make online income as there are many online resources available that can easily master in website designing.
• Graphic Artist: There are a lot of ways to generate money through graphics. Just the logo business alone could keep you busy if you have the artistic skills necessary to develop cool graphics.
• Virtual Assistant: Now-a-days its trend of Virtual assistances. Virtual assistants don’t require their physical presence in the companies. Many virtual assistants from places like India are working full time for people in the U.S. Best VA’s can earn $30 to $50 per hour.
• Freelance writer: If you have a good writing skill then you can earn great money by writing for others. If you don’t know how to start then you may Contact bloggers who are always looking for great writing. As blogs grow, they can afford to pay freelancers good money for quality articles. Websites looking to build links also hire freelancers to write guest posts to be published on blogs and websites.
• Home business: The ideas and potential for a home business are limitless. One of the great benefits about running a home business is that it greatly reduces your initial investment.
• Sell a product: you can sell different products which you can manufacture on your own or you can sell products of another company by the process of producing and marketing it.
• Blogging: Making money online requires very little cash investment and can be done on your schedule from home.

We should not make any mistakes in our financial plans as recession is here. While we do not know how long or painful it will be….The stock market has lost more than 20% in the last 10 trading days.


But, there are steps which we can take to make us better prepare for difficult financial times ahead. There are some basic things we can do. We need to plan following things:

(1) Income (2) Expenses (3) Savings and (4) Investment.

Protect Your Income during a Recession

1. Protect Your Job: Protecting your job should be the number one priority by putting in a few extra hours, working a little harder, and improving your skill set. Those who stay employed during a recession generally ride out the storm just fine.

2. Be Ready For Layoffs: While we should do everything what we can to keep our jobs but some layoffs are unexpected. This means having your resume updated and knowing where you could apply for a job.

3. Earn Extra Money: Make extra money blogging, but that's just one of many, many ways. The beauty of extra income is that it goes right to the bottom line. It could make a huge difference if you ever lose your job.

Reduce Your Expenses during a Recession

1. Evaluate Your Mortgage: One of the positive elements of our current financial crisis is that interest rates are low. If you have an adjustable rate mortgage, it's time to see if you can refinance to a fixed rate loan. Notwithstanding what we all hear on TV or read in the papers, those with good credit can still get mortgages.

2. Refinance high interest credit cards: If you are paying high interest rates on credit cards then consider to move balances over to a 0% APR balance transfer card or a low interest credit card. When considering this option, keep in mind three things:

• The interest rate after the introductory offer: Zero percent introductory rates do not last forever, so make sure you know what the interest rate will be once the 0% expires.

• Balance transfer fees: Today, virtually all balance transfer credit card offers charge a fee for the transfer. Make sure to avoid unlimited fees if at all possible.

• Don't use the card for anything else: One of the big gotchas of credit card balance transfers is that if you use the card for purchases in addition to the balance transfer, your purchases usually get charged interest.

3. Reduce Spending: This is obvious, but it is important to recognize that there are many ways to cut spending. There are literally thousands of ways to save money. Pick those that work for you, and start saving now. As part of this, seriously consider a cash back credit card. If you pay off your balance every month.

Saving and Investing During a Recession

1. Don't stop saving for retirement: Do not sell any of your investments. As Warren Buffett would say, I'm trying to be "greedy when others are fearful”. Be persuaded that what we do with our investments now and in the immediate future will dictate more than anything.

2. Rethink your emergency fund: It is more important now than ever to have an emergency fund.

3. Don't rely on a home equity line of credit: This point is critical. You may have available credit on your home equity, but did you know the bank can eliminate that credit? Go find your home equity line agreement, and you will see that if the value of your home falls or your financial situation changes, the bank can reduce the amount of your available credit.