http://www.fxarticles.net/ Articles at Forex Articles en-us http://www.fxarticles.net/money-management/how-to-beat-the-balance-transfer-card-dearth.html http://www.fxarticles.net/money-management/how-to-beat-the-balance-transfer-card-dearth.html Fri, 04 Jun 2010 23:32:50 -0400
But credit card providers are in the business of making money and the heyday of balance transfer deals was never going to last long. One-off balance transfer fees of typically 3 per cent were introduced to give providers a chance to make some money out of the rate tarts, but it has long been clear that the number of balance transfer deals and the length of the introductory period would need to be cut.

At the same time, consumer bodies have been piling the pressure on providers to clean up the credit card sector, and their long-term campaign has finally borne fruit. In March a raft of new rules were announced forcing credit card companies to treat customers more fairly and axe some of the more sneaky charges.

Consumers bear the brunt

While this is clearly good news for consumers, many experts reckon that the money card issuers lose as a result of the new rules will have to be clawed back elsewhere. Not only could we see credit card fees become commonplace it could also lead to a dearth of balance transfer deals in the future.

Indeed, the number of balance transfer deals has already fallen significantly during the credit crunch. And within days of the recent announcement of the new rules, Virgin pulled its longstanding best buy 16-month balance transfer card, replacing it with a less attractive 14-month offer. It is now expected that other balance transfer providers will follow suit.

It's not just regulatory pressure that is causing providers to rein in their 0 per cent balance transfer deals. They are also looking closely at the risk of borrowers transferring large debts to them and then defaulting. As a result of the recession card providers are much choosier about who they will accept, as they don't want to take on long-term debts from customers who cannot afford to repay them.

Best balance transfer cards

For the time being, there are still plenty of good balance transfer deals available. If you want to maximise the length of time you can benefit from 0 per cent interest it could make sense to switch now, while there is still a decent choice of deals. Below are five of the best:

Provider Card 0% Balance Transfer period Balance transfer fee APR
HSBC Credit Card 15 months 2.9% 16.9%
First Direct Gold Card 15 months 2.9% 16.9%
First Direct Credit Card 15 months 2.9% 19.9%
Santander Credit Card 15 months 3% 15.9%
Barclaycard Platinum Card Until June 2011 2.9% 15.9%

Correct as of 19/4/10

Long-term outlook

Perhaps you don't want to keep switching your credit card balance every time your 0 per cent deal runs out, or maybe you are concerned about the choices you will have when your current deal comes to an end.

If so, you might prefer a low standard rate credit card that charges you one low rate of interest on any balances transferred as well as on purchases. You don't get the benefit of a 0 per cent introductory deal, but you do get pay a low rate for the long term - much lower than a standard APR. So you don't need to keep switching.

Halifax's Easy Rate Card for example charges 6.9 per cent on purchases and balance transfers, and doesn't charge a balance transfer fee. And Barclaycard's Platinum Simplicity has a long-term rate of 7.8 per cent and also comes with no balance transfer fee.

If you do want a 0 per cent balance transfer card, now is a good time to search the market and apply, while there is still a great choice of deals. But there are longer-term options if you feel it's time to step off the credit card merry-go-round. ]]> http://www.fxarticles.net/money-management/easily-find-fast-cash-loans-online.html http://www.fxarticles.net/money-management/easily-find-fast-cash-loans-online.html Wed, 02 Jun 2010 00:38:26 -0400
Fast cash loans are easy to get because you let the Internet pawn shop hold a personal item of value for you in exchange for a quick, low interest cash loan. All you need is an item of value. Since there is no credit check and the loan is never reported to a credit reporting agency you don't have to worry about your current credit score disqualifying you for the loan or the loan impacting your credit in any way. The process is simple, convenient, and private.

All you have to do to get started is fill out a form describing your item. Then you will receive a provisional offer. If you accept the offer all you have to do is ship your item via paid, secure courier to the Internet pawn shop. When your item is arrives at the Internet pawn shop you will receive your money via electronic bank transfer the same day. Your item is then stored in a secure vault for the duration of your loan term. You're free to pay back the loan at any time during your loan term in order to retrieve your pawned item once again by paid, secure courier. If you decide you don't wish to pay the loan amount back or are unable to repay your loan, then the Internet pawn shop will sell your item for you without reporting to the credit agencies. Sometimes the Internet pawn shops sell your item for more than the original loan amount. In this case they will deduct any overdue fees or interest and then send you any excess funds that they received as the result of the sale of your item. There aren't a lot of things simpler than the process of using an Internet pawn shop to obtain fast cash loans online.

Getting fast cash loans through an Internet pawn shop is extremely easy and convenient. You can do it from the comfort of your own home without having to go down to an actual brick and mortar building. You can also get up to 50% more cash from an Internet pawn shop than you can from a traditional pawn shop. You can also take longer to pay back the loan with most loans requiring no payments for 180 days. Rates are also 70% lower than that of regular pawn shops. Also, your item is more secure than if it is sitting in your own home. All of these facts combine to make Internet pawn shops a truly great source for obtaining fast cash loans online.
]]> http://www.fxarticles.net/money-management/what-does-and-%238216%3Bpre-approved-actually-mean.html http://www.fxarticles.net/money-management/what-does-and-%238216%3Bpre-approved-actually-mean.html Tue, 01 Jun 2010 22:17:17 -0400
Forgive me, I usually try to make these blogs fairly objective (don't laugh!) but something really, really infuriated me this week. It started with a scenario you may all be familiar with: I stepped into my bank, Alliance and Leicester, to discuss some pretty dull stuff that I won't go into.

As I gave my account details, I was told with much faux excitement by the bank clerk that I was eligible for their Santander Zero Credit Card. Having had my eye on that particular card since I joined around six months ago, I duly called up head office to find out more. The lady on the end of the phone confirmed that I was entitled to the card, and this short exchange followed:

Me: ‘But could I still be rejected once I've gone through a credit search?'

Bank Clerk: ‘No. There is no reason why that should happen.'

So, happy with my afternoon's work, I duly arranged an appointment for two days later and skipped off back to work. Lo and behold, when that meeting with my bank manager came around I was politely rejected after the credit cards referencing went through. Not only does this now mean that I have a mark against my credit file for the search, but it's also one I didn't really need - I only applied for the card to utilise its 0% balance transfer deal for the first year.

Now, before you get all ‘more fool you' on me, I accept that I should have known better and double-checked my ‘real' eligibility with another member of staff. However, I surely can't be the only one who has done the unthinkable and actually accepted what a bank clerk says to be true.

Indeed, the Office of Fair Trading (OFT) (remember them?) seems to agree. In fact, on the very day that my personal saga was unfolding, they released new guidelines on irresponsible lending practices. After a brief flick through, I stumbled across Chapter 5, which reads:

"Credit may not be described as 'guaranteed', 'pre-approved', or able to be provided without any credit checks being undertaken, unless it is free of any conditions regarding the financial circumstances of the borrower to whom it is to be provided."

In short, while this sort of thing is nothing new, it is now something that the OFT have recognised as a major problem. The difficulty is, while complaining to the OFT fits nicely with my desire to support the greater good, they provide only an overview of the market and will not adjudicate independent cases. As a result, my complaint sits with my bank, and I shall let you know the results on these pages when I get them.
]]> http://www.fxarticles.net/money-management/why-remortgages-and-secured-loans-should-improve.html http://www.fxarticles.net/money-management/why-remortgages-and-secured-loans-should-improve.html Thu, 20 May 2010 00:37:54 -0400
Equity is the difference between the value of a property and the outstanding mortgage balance. This means, that if a property is worth £300,000 and the mortgage on it stands at £220,000, the equity in this particular case would be £80,000.

Before the recession, house prices in general rose year after year, with a home doubling in value every seven years approximately, and as such, if a homeowner had lived in his property for several years, he would have a considerable amount of equity that he could use on which to secure a secured loan or a remortgage.

A secured loan is a second charge on a property that is regisered after the first mortgage at the Land Registry and that is why they are sometimes referred to as second mortgages as well as homeowner loans.

These secured loans can be used for a large number of purposes, from paying for a wedding or a holiday, school or university fees, to fund home improvements and very often they are used as debt consolidation loans.

What debt consolidation is, is the rolling together of all outstanding debts in credit cards, personal loans, etc. into a single much cheaper payment every month.

A remortgage is the moving of a current mortgage to a different lender, and like secured loans, were very popular prior to the credit crunch when homeowners had equity to obtain a better interest rate by changing to a new mortgage lender.

Low mortgage rates depend on the equity, and the more equity the lower the rate charged.

The recession put paid to the popularity of these two products, as many, due to the fall in house prices simply had no equity.

House prices are now rising again, and if it continues in this way, it should not be long before secured loans and remortgage applications and approvals all increase again.

Further signs of improvements are being witnessd with the lowering of interest rates for homeowner loans and remortgages, and the introduction by one secured loans lender of self declarations of income for self employed homeowners.

These self employed loans are only available to homeowners who can provide the last three months bank statements, and substantial equity is also needed.

However it is still good news for those self employed who have been struggling to obtain extra money, and it again is an indication that remortgages and secured loans are once again witnessing an upturn. ]]> http://www.fxarticles.net/money-management/what-are-secured-homeowner-loans.html http://www.fxarticles.net/money-management/what-are-secured-homeowner-loans.html Tue, 11 May 2010 23:31:46 -0400 secured loans are very popular loan that homeowners look at when looking to raise extra finance.

Secured loans borrowing starts from £5,000 to roughly £250,000. Secured loans are suitable when you are looking to raise a large amount of finance as they can ne taken over a longer period that other loans which keeps the monthly repayments down.

The common uses for a secured loan is for debt consolidation all though a secured loan is suitable for a number of different reasons.

Debt consolidation works by consolidating loans, credit cards and higer purchase agreements into a lower interest rate than your exsisting ageements are at. Taken out a secured loan for debt consolidation not only can be a massive saving every month but the only payment that you will have to make instead of several. Secured loans are good for debt consolidation as they sometimes have a lower interest rate than most other loans. Secured loans have a lower rate of interest than other loans due to the secured loan being secured and given the lender a guarantee of getting their money back.

The other use for a secured homeowner loan is for home improvements such as extension or a large home improvement project. Secured loans are ideal as this can be costly but taken out a large secured loan can be resonable every month over a long time.

To be able to qualify for a secured homeowner loan you have to have sufficient equity in your property. Equity is built up over the years and when your property is worth more than your exsisting mortgage balance. The only way to release equity is by selling, remortgageing or by taken out a secured loan.

When considering a secured loan you should always compare secured loan lenders as there a lot in the market offering good rates and you should always get quotations from a few companys. There are a lot of compariosn sites online that list secured loan rates and this should be a good indication of what is in the market.
http://www.championfinance.com ]]> http://www.fxarticles.net/money-management/new-credit-card-measures-how-they-affect-you.html http://www.fxarticles.net/money-management/new-credit-card-measures-how-they-affect-you.html Fri, 23 Apr 2010 22:20:24 -0400
The best news among the measures is a change in what banks call the allocation of payments. Previously, many lenders had used customers' payments to write off the cheapest debts on their credit card first - meaning that more expensive debts were allowed to mount up. However, today's change will bar this practise, which at present affects around a quarter of all credit card accounts.

Under the new regulations agreed between the credit card industry and government, the minimum monthly amount that credit card customers have to pay back will also increase to cover all interest fees and charges, plus 1 per cent of the principal borrowing. The aim of this is to discourage borrowers from allowing expensive debts to build up.

How this affects you

Here's the lowdown of the main changes and how you will be impacted:

• You will now always pay off your most expensive debt first. Previously, many lenders had sneakily allowed consumers to pay off cheap debt first, allowing them bigger earning on interest

• New credit card customers will have a minimum payment that will cover at least interest, fees and charges, plus 1 per cent of the principal. This will not be an increase for many customers, who may already have minimum payments above this level, but is aimed at encouraging borrowers to change their repayment behaviour

• If you regularly repay the minimum on your card, you will be reminded that this is the most expensive way of paying off your debt

• You will have a 30-day ‘opt out' period for any increase in the credit limit on your card.

• Existing debts will have a 60-day notice period before any increase in interest rates occurs.

• A ban on offering unsolicited credit to people in financial difficulties

A baby step forward

The proposals have been greeted with a largely lukewarm response from pressure groups, with Credit Action, a consumer debt charity, describing them as "baby steps in the right direction".

Chris Tapp, director of the charity, said that "there is much more that could have been done by the government to really, fundamentally, overhaul the way the credit card market works". He also indicated that greater movement, in particular, could have been made on minimum payment levels.

According to the UK Cards Association, around 3 per cent of credit card customers pay the minimum amount for 12 consecutive months - so today's measures will go some way to cutting debt levels for credit card customers. However, Tapp suggested that lenders should be forced to take further actions by clearly outlining how much more such action costs customers on each bill.

Will it cost us all more down the line?

While the news has generally been well received by credit card companies, it is likely that the additional cost to the industry will have to be made up somewhere - and that could well mean that consumers end up paying the price further down the line.

Joanne Garcia, head of credit cards at Confused.com, noted: "It's great to see credit card providers agreeing to treat their customers more fairly and encourage them to be more in control of their finances.

"However, customers may end up paying in the long run as the cost of these changes are likely to see another nail in the 0% balance transfer card coffin."
]]> http://www.fxarticles.net/money-management/checking-your-mortgage-broker-on-your-side-choose-the-best-home-loans-offer.html http://www.fxarticles.net/money-management/checking-your-mortgage-broker-on-your-side-choose-the-best-home-loans-offer.html Sun, 18 Apr 2010 03:04:17 -0400
It is straightforward to get a little home loans financing if you have the wherewithal to reimburse the loan, but for people with individual needs then it may be a bit more involved. Some buyers might be interested in delayed home loans repayments, while others may choose not to.

As an example let us glance at people who are purchasing for whom this is the first purchase. They will in most cases have a moderately low earning figure that is prone to increase over the years, and will by and large not have put aside enough for a large deposit. They will therefore be looking for a contract that will allow them to pay least in the beginning and more towards the end of the lifetime of the loan. This is certainly mainly applicable of younger professional couples, where an interest only arrangement would suit them to a greater extent.

A buy to let, or a property speculator on the other hand, will want a mortgage with other stipulations, having a shorter term and lower interest rates.

These are the reasons there are some special riders in first time buyers home loans mortgages that are not obtainable for others. An illustration of this is the First Home Owner's Grant of $7,000 - which was made larger for a short time in order to push home purchase during the recession, and is set at $21,000 till 31st October 2009, then $10,500 prior to the end of year when it slips back to the normal $7,000.

You have to file an application in the state or territory your new home is in, and you have to start residing within a year of purchasing it. You must also never have been the owner of a home before. You must also be over and an Australian permanent resident.

If this is your first purchase of a home you may be allowed to an unique home loans interest rate, and it is feasible that you can get a mortgage sum that is above normal, but not 100%. In fact, there are so many selections in front of first time home purchasers that you are soundly advised to use the services of a home loans broker to deal with your mortgage finance for you.

A broker can discover the most satisfactory deal for you from numerous of home loans institutions, which an individual lender cannot do. Perhaps that you need a greater percentage loan to the worth of your home because only a small deposit is what you can afford, or maybe a lower interest rate is more important to you. You might favour a deferred payment plan, through which you pay no amounts for three months, permitting you spend your spare cash on decorating and furnishing your house. A home loan broker has access to a range of lenders and can look after these needs for you.

Possibly you want to purchase to rent it out. Several people want to do this, and they are indifferent to anything but the best interest contract because they have no interest in long term mortgage agreements or in any of the other deals on offer. Actually, their needs are in direct contrast to people of first home purchasers. This is also true of business properties, where the best finance deal will not include deferred or home loans interest only repayments, and since they are self-employed they may even opt for a low mortgage.

Like most of us, young professionals also do not have much money when they are newly married, but the knowledge that their joint salaries are liable to keep rising is their greatest gain. Young professional couples also are liable to have children at an older age, in order that they possess a relatively high income in contrast to most others.

If your profile matches that group, then you should opt for an interest only mortgage, where you pay only the interest and bank privately so that you are able to pay off the principal when at the completion of the mortgage term it becomes due for repayment. You could do that by means of an investment account or endowment insurance, as an example, though lately there have been some adverse reports about them due to lower than expected profits.

However, these are mortgage finance options which a home loans mortgage broker can help you with better than a mortgage lender. Mortgage brokers are highly valuable, particularly if you are inexperienced in dealing with lenders and talking to bank managers. Your broker will be able to procure for you a far better mortgage deal than you could achieve yourself, and he is the more acceptable means of getting a reasonable home loans package that you should buy the house of your dreams. ]]> http://www.fxarticles.net/money-management/good-bank-car-loans-with-a-loan-calculator.html http://www.fxarticles.net/money-management/good-bank-car-loans-with-a-loan-calculator.html Sun, 18 Apr 2010 02:10:50 -0400
Probably the most essential thing to observe when comparing loan quotes is the interest fee that you will disburse for the amount that you wish to borrow. This job can be a complicated one if you do the calculations by hand. This is the basis why a good car finance broker that gives you an online car loan calculator helps. Because of the calculator, you're able to know how much and how long you will need to have the funds for a particular amount you borrow.

Additional essential issues that should escort you in selecting good bank car loans contain the bank's fees and charges, any discounts offered for timely agreement, the time taken for your loan to be agreed to and expended, no matter if the bank will finally lend for the car you wish to acquire, etc. If you take these factors into account, you can come up with a short record of probable lenders from which to make your selection.A good finance broker should have amongst their selection the most attractive car finance companies in Australia. Its provisions are fitting and the fees are within your means.

When seeking a bank car loan, you can either select a secured auto loan or an unsecured personal loan. A secured loan charges a lower interest rate than the latter. Also do not forget that many banks do not lend against cars acquired from a foreign country. Ask your bank if you intend to purchase from a foreign country: you might be fortunate but are more likely to be informed that the personal unsecured loan with the greater interest rate is the only option accessible to you

A car loan is normally offered for a cycle of between 5 to 7 years. Various banks may add to the period if you ask them to take action when are applying for the loan. Also, banks will provide you an auto loan based on the assessment of the car that you wish to purchase. If you are choosing a old automotive, the repayment period may be abridged and you may be limited with the full amount that you can borrow. In fact, you may even incur some consequences from a few lenders.

To get a superior bank car loan, you have to go through the contract thoroughly to ensure you are comfortable with it. Some banks will accept some additional items to the loan if you speak to them. For example, you might look for a reassurance on warranties against mechanical breakdowns, shielding against unemployment or disability, addition of extra accessories that you might fit and so on. These new inclusionshave to be accepted by the bank along with being not assured that they will be accepted. Even should they be consented to, you may still have to work under the conditionsof the contract. For instance,you'll need to repay the loan within the established period.

Car Loan Calculator aids in sourcing low interest bank car loans in Australia. The companies they deal with have a triumphant track record and they are on the list of preferred car loan lending firms in the country, so speak to them if you feel the aspiration for finance for the vehicle, new or secondhand. Also make sure to use our car loan calculator so you recognize not just what your loan repayments is going to be, but in addition what volume of bank car loan it is possible to afford. ]]> http://www.fxarticles.net/money-management/the-get-out-out-debt-double-whammy-starts-by-playing-chicken-with-your-bank.html http://www.fxarticles.net/money-management/the-get-out-out-debt-double-whammy-starts-by-playing-chicken-with-your-bank.html Sun, 04 Apr 2010 22:54:59 -0400
But what if can lower your interest rate and take the $60 that you saved and apply it to your monthly payment? Now you're paying $200 a month instead of the minimum of $140, but $60 is going directly towards principal. In this case it will take you 48 months to be rid of your debt and in that time you will only pay about $1,500 in interest.

Lowering your credit card interest rates and applying the "saved" money to your monthly payment is a great strategy to get out of debt.

With that in mind, if you have a have high interest credit card you should be laser beam focused on lowering your interest rate. As you have seen you will save money on your minimum payment which can be applied to a payment that will save you thousands of dollars in interest and years of monkey-on-your-back payments. While it may be clear to you that lowering that monster interest rate makes perfect sense, your bank or credit card company may decide not play along as nicely as you would hope.

If You Have Very Good Credit

Step one: Pick up the phone and call your bank. Be nice, but don't beat around the bush. Ask for a lower rate. How low? If you have good credit and have been a valuable customer (i.e. you pay on time) you should be able to get a rate of about 10% or less. If the customer service agent isn't helpful, ask for a supervisor. If that doesn't work trying calling back in a few days. Make it clear that as a loyal costumer you would hate to leave, but you will do just that if your loyalty isn't rewarded with a more reasonable interest rate. Finally, if your bank is not showing you the love, start checking on lower interest cards and transfer your balance(s). Start applying the money you saved to your monthly payment and what the balance disappear!

If You Have Fair Credit

You are not in as strong of a bargaining position, but step one (above) still applies. Pick up the phone and ask for a lower rate. If you don't have any luck start looking for any card that is even a couple of percentage points less than what you have now. If you get approved, call your bank and say that you are going to transfer your balance to xyz bank unless they can offer you a better rate. Shoot for another two (or more percentage points) lower than the new card. If they say no pull the trigger and keep looking for better deals. When you get one, take that extra money and apply it to your highest interest credit card.

If You Have Very Poor Credit

This is where it can get tough. As above, pick up the phone and ask for a better rate. If you don't get it ask what you can do to qualify for a better rate. You may want to explain that your present circumstances have put you in a position of financial hardship. If you have one credit card that has the combination of a very high interest rate (24-29%) and a high balance you may want to consider the last resort of not making a payment on that card for a few months and using that money to pay off and close a card with a smaller balance. Remember, any money you save anywhere should be applied to credit card so you are no longer making a minimum payment.

What's going to happen if you don't pay one card? Well, you'll get dinged further on your credit score, but if your credit is already a mess that may not be as big of concern to you. After missing a couple of payments you can go back to the bank (or wait for them to call you…don't worry they will) and tell them you just cannot afford that high interest and big monthly payment. They may or may not do something for you at that point. If you decide to stop paying that card all together (but stay current on everything else) your account will be turned over to a third party collection firm. At that point you may be able to negotiate a settlement with them. Often times they will offer one to you. Again, this is a last resort and a fairly desperate measure but one that may make the most sense in your situation.
]]> http://www.fxarticles.net/money-management/could-consumers-see-the-rights-they-get-with-credit-cards-extended-to-debit-cards.html http://www.fxarticles.net/money-management/could-consumers-see-the-rights-they-get-with-credit-cards-extended-to-debit-cards.html Thu, 01 Apr 2010 00:24:09 -0400
In the current uncertain climate, many consumers are finding themselves out of pocket each year because of the rise in the number of companies going bust - or because they have been ripped off by rogue internet retailers or bad service, such as non-delivery.

However, the government is currently conducting a review of the credit card industry, and has hinted that it might tighten the rules to give greater protection to those who pay by debit card. (See: How the government credit and store card proposals affect you.)
Credit card protection

At present, one of the best ways to protect yourself when making payments is by using a credit card as under Section 75 of the Consumer Credit Act, your card provider is "jointly and severally liable" with the retailer, which means you have the right to claim from your issuer if the retailer refuses to pay, or has gone out of business.

The rules enable you to reclaim money on purchases worth between £100 and £30,000 that you don't receive or are faulty.
What protection is offered by a debit card?

While shoppers can avoid losing out by paying with a credit card, many people are reluctant to buy goods and services on credit - and particularly when making purchases online.

But if you pay by debit card, you generally aren't covered if goods are faulty, fail to arrive, or if a company stops trading; this is because debt cards are not, strictly speaking, credit agreements.

That said, some Visa debit-card providers will make good the loss through a voluntary scheme known as Visa Chargeback which gives similar protection to that granted for credit card purchases.
Credit card crackdown

The government is in the middle of a crackdown on credit card lending, and the UK Cards Association - which represents the credit card industry - has just submitted its package of changes in response to proposals put out to consultation by the Department for Business, Innovation and Skills (BIS) last October.

The BIS is now reviewing the "landscape" on pre-payments with a view to reporting back to ministers in the next few weeks - but has acknowledged that consumers have concerns about their rights when using different types of credit cards.

The government will then publish its response, and this could include new legislation.
Could this be a consumer victory?

With the banks arguing that it would be very expensive to offer the same rights on debit cards, any changes to the existing rules would be a major victory for consumers.

But campaigners have certainly put forward a persuasive case for bringing the debit card rights in line with credit card rights, and point to findings showing that one in 10 consumers are not receiving goods or services they pay for in advance - with less than half getting their money back, and an average loss of £242 for those losing money. (*)

In the words of Steve Brooker, of Consumer Focus: "Consumers are losing out in the fight to reclaim money from bankrupt businesses. Better protection of pre-payments is in everyone's interest."

(*) Consumer Focus ]]>