How to Fight Credit Card Interest Rate Hikes

Editor's Note: This is a guest post from Mirsad of Think Credit Cards a consumer resource that helps you find a card for your needs and also provides you with tips and strategies on how to reach credit card debt relief.

Did you know that the law in effect today only requires your credit card company to give you 15 days notice that they are going to raise the interest rate on your credit card? In addition, credit card companies are using tactics to send these notices that seem a little under-handed.

When sending you the latest news that your interest rate is going to be increasing, they often send these notices with other information such as ‘you are pre-approved' for this offer or that offer. The notices that sent are often just a tiny piece of paper with print that is so small you cannot read it without a magnifying glass.

Another way of raising your interest rates that you may not think anything of is by only raising it by a small percentage. When you see the amount you do not think that is much; however you should read the small print on everything that is sent to you from your credit card company. That small amount they are raising is going to be that much each month. Before you know it, you will have a very high percentage rate.

How do you stop this? The credit card companies seem to think you will just go along and pay higher interest rates without complaint. If you ask why, they will give you a glib answer that is in effect not an answer at all. Basically what they are saying in a civil manner is that it is none of your business. You are the one paying the bill, so don't you think it really is your business and you have a right to know why you are being charged more?

If everyone would put their foot down when it comes to these increases, the credit card companies would have to stop and think twice about doing this. There are ways to stop it but sooner or later every one of them will get around to doing this. Check and see if you can find a credit card that has a low or no APR for a period of six months to a year. This will give you time to pay down what you owe without paying interest or only paying a small amount of interest. There are several that will waive the transfer fee if you have good credit.

If you use this for negotiation leverage with your current credit card company, you may be surprised to find they will listen to you. If not, follow up on what you say you will do and transfer to another credit card. Always arm yourself with all the information you can get if you are planning to try and negotiate with your credit card company.

Get a copy of your credit report and see if anything has changed. If your credit is actually looking better and they are still raising the interest rate, you stand a better chance of moving to another credit card if your current one is determined to charge you more.

There is another option you can use if you do not want to transfer to another credit card. Call the credit card company, tell them you are refusing their new interest rate and are not going to be using the credit card anymore and stop using it immediately. If you use it after they tell you they are raising the interest rate, you are accepting the new terms.

Pay off your balance by continuing to make payments as you previously have and when the balance is paid, the account with this company is terminated. You will be making payments on the old interest rate since you declined the new one.

When you consider how many people have credit cards in this country, each increase even if it is only one-quarter percent can add up to a major amount of money. Multiply that by 12 for the ones that are raising it that much monthly and you will get an idea of how much money the credit card companies are making from furnishing you and thousands of other consumers credit.

If you receive any correspondence from your credit card company, make sure you read everything. The best way to arm you against interest rates hikes is to know about them in the first place.

About the Author: Mirsad Hasic is the editor of Think Credit Cards a site where you will learn different strategies for credit card debt elimination and also learn more about different types of credit cards. You can check out his RSS Feed here.

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How to Bring Our Students Aware of Personal Finance Knowledge

Article By Sherin Dev; Follow me in Twitter or Facebook

Life as a student is the best in life with lots of enjoyments and activities. Being a student with financial freedom adds more spice, by having money handy. This would help oneself to live in dignity and esteem. There’s always a question in mind of a student as to what should he/she do to have financial freedom? Who will help them to bring this status? What should they do for students to make them financially sound? This short article gives you answers to all these questions.

Why Students are Laggards in the Area of Personal Finance?

Students are considered to be the best brains available in the world. Even ordinary village schools in remote locations have the best brains that may later contribute to the development of nation. Just turn back to the history, we can find ample examples of such characters. However, it is sad to know that students are far behind when it comes to manage money whether or not they are from developed or developing nations.

What are the Problems and Best Solutions?

We would now look into some of the important factors which drag out our students from being financially self sufficient at their early age.

Each kid should start learn money saving practices from their parents. Unfortunately it is not happening in our families. Most parents are reluctant to give money to their school children by thinking they will lose the money. It is of course a wrong approach. School times are the best for kids to learn and start with money practices. Parents should mentor them how to save and deal with money. For an example, present them with a piggy bank and give coins regularly to deposit in it. Later, open a bank account in their name and deposit all the money from their piggy bank to this bank account, time to time when the piggy bank comes full. Offer them coins when they do something good like helping parents in house works, doing home works properly, winning on sports or games etc... This would not only give them money saving practices, but get proud on they are earning money by doing work. What else required giving them knowledge on the taste of money getting when doing work? Let them thus grow as responsible citizens.

Another major issue, parents forces their kids to study all the subjects, but not giving care to teach good money management practices. They would thus make their children to grow without any knowledge on money and how to manage it. Common thoughts among parents found in this area is, most of them thinks their kids would start manage money efficiently at the time when they start earning. What foolishness? If a tree doesn’t have any deep root, how it grow survive from nature changes and give fruits later? In my best opinion, at the age of 17, each students should be well versed on money saving, money management, investing. They should also aware about what is going on in the market that connected to money or related instruments like investment instruments, banking, stock markets etc.. Parents have important role here to bring their kids on total financial knowledge depends on their age. They should have control on their kids in each stage until they are able to stand as their own.

One of the major disadvantage found with our school and collage syllabi is, nowhere it touches personal finance subjects. Our syllabuses only injecting subjects like mathematics, science and various languages, but personal finance or related subject are none! There where various recommendations from various angles to government to add personal finance and financial planning related subjects as a part of syllabus, but everything went like a line in water. Our students highly required such subjects in their syllabus to intelligently manage their money and become responsible citizens later. Unfortunately, parents and teachers forcing their kids to come out from collage as extreme professionals, without any money management knowledge. As personal finance has most important roles to everybody's daily life and most of our professionals are ignorant, they are vulnerable to wrong advices and a big failure with facing the life where clear personal finance approach and skills required!!!

Conclusion

Money management practices should start from home itself at the early age of a kid under the mentor of parents. Teach and engage students to various money related activities suitable for different age. Getting control on money is not easy for any one, but anyone can make it easy through learn it at right time. Motivate kids by the stories of successful personalities like Warren Buffett, entrepreneur ventures like Google, Facebook etc.. Involve them to the daily personal finance activities to understand what is going on around them and to get knowledge.

Our collage students nowadays getting sufficient pocket money, but most of the parents are not aware what they are doing with it. Unlike students of other developed or developing countries, students are very reluctant to make money while studying in collage. If do a search in internet, thousands of articles available on the possibilities for college students to earn money but none of them focused to college students. As a fast developing country, markets provide enormous opportunities for our collage students to earn lots of money if willing. Encourage our collage students to identify the earning possibilities suitable to them and engage to it. Collages have important roles in this area to build their students financial responsible.

Each college student should have a goal of start investing with their own money immediately when after coming out from collage. To do so, they should start earn and save money intelligently from the very next moment they joins to the collage. This would force them to manage pocket money properly and engage with earning activities. Most importantly, such goals build most required qualities students in discipline and dedication students should build some good qualities such as dedication and discipline to become successful.

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insurance blog

For the late comers, here is a group of eminent articles on the specified subject category. Click to read an appropriate one you are looking for. To read more about personal finance and investment category, visit the home page by clicking the home button above, right side of the blog title.

1. Diabetes & The Impact On Life Insurance
2. Do You Need Disability Insurance?
3. Guidelines to Select Worthy Insurance Policies
4. How To Save The Most On Auto Insurance
5. Importance of Travel Insurance
6. Important Insurance Thoughts for Young Subscribers
7. Maximize Wealth Through Intelligent Fund Switching Practice
8. Most Required Qualities of an Insurance Agent
9. PPI Claims – What are they?
10. Protect Self and Family - Dig into the Chances of Insurance
11. Term Insurance Plan Analysis
12. ULIP common points to remember
13. What is a ULIP product

To read articles from more category, visit and select from the Archives page

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Create an Investment Portfolio in a Musicians Way

Article written by Sherin Dev; Follow me in Twitter or Facebook

Listen to your favorite music. Identify what all the instruments played along with how and where it used. Who is the singer and how his or her sound par with the background music. You will certainly feel all the instruments and other sounds have used in an excellent way to construct the song to provide full charm to the listeners. Such combination can be done by experienced, talented music directors!

Expertise and success of any musician is in not only making of any music, but deliver it to the listeners by mixing the sound and rhythm properly. If not, it would be a super flop and there will not be any listener for his album. This is a failure of music director. Combination of instrument sounds in the right place with right amount to get proper rhythm is the major success pillar of any music and music director. We can imagine how much efforts required making such successful combinations. Such classical combinations later give the musician fame and money.

Investment portfolio construction should happen in similar way. Approaching right personnel, adding right combinations of investment instruments, considering right time and how much to each, would determine whether the portfolio able to meet the goal or not. Like a music director, lots of efforts and support from external sources are required to construct such winning portfolio. While playing the music, each instrument has a controller or artist behind it to play properly and successfully. Whenever constructing an investment portfolio, expert knowledge and advice are the vital part to the selection and addition of investment instruments in a well balanced way, to the portfolio.

One can achieve such expertise by study and experience. However, it is advisable to approach right people to get proper advices to ensure to avoid possible mistakes. Expertise of self or another person would reflect inside the portfolio like an artist playing the instrument within the music at right time.

One should consider all the advantages and disadvantages of each investment instruments during the creation of a portfolio. Also, should find answers for when, how much and how long to hold each investment instruments in the portfolio and why. Major factors like financial and life status, risk taking capacity, different goals with different durations all plays majors roles to justify your actions time to time.

Conclusion

Whenever you decide to create a portfolio, remember to hear your favorite music and think a little about it to understand how it constructed by adding right instrument sounds with the lyrics. Think what element attracted you most to this music. Then think about your portfolio by writing down your goals, possible investment instruments, how long each should be hold, where to get proper advices etc... You can finally come up with a good portfolio blueprint. Time to time modification in this basic blueprint later gift you with a perfect, winning portfolio. Best wishes!!

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Where Should Investor Find Company Information and News

Article written by Sherin Dev; Follow me in Twitter or Facebook

A comment under the article "BICII - Nestle", Brijesh, one of our readers asked about the database I am using to get information about a company to take investment decisions. I have replied to the comment with the information he have asked, but thought It would be good for our readers to understand some of the vital information sources about any company.

As I have mentioned in various articles, creation of a list of possible investment candidates must be the first step of any investor. But, how many companies an investor goes to monitor when there are thousands of companies listed in the stock market? Monitoring all those companies is a great task and it is virtually impossible by any individual. Making a list of some very good companies would help an investor to make straight and correct investment decisions. Some of the vital elements to consider a company would be product or service status in the market, management quality, financial quality and investors’ rewards. Once identified and added, the next step would be a long wait to get the stocks in a right price to purchase. During this period, good investors should not miss any kind of information comes out from the company. Not only had that, but vital information always helped investors to understand when the investment is possible.

When looking for information, investors should rely only trusted sources. What are those trusted sources, here is a clear list of sources you can take a look to retrieve information about any company that have added to your investment candidates list.

Company Websites - Investor Relations Section

Any listed companies should have a registered website where a particular section named 'investor relations' to provide all necessary information to investors. This area generally have present and previous annual reports, company and stock performance information, quarterly updates, any information for investors, shareholder information, investors contacts, previous documents archives, news for investors etc.. In my personal view, company websites are the best source for investors to get all necessary information. I particularly look into all annual reports to understand what management said in each year and its result in the subsequent year. This would expose the management quality of any company.

Stock Exchange Websites

Stock exchanges have a section for public to read information about company and time to time news’s and happenings in the company. This is certainly a good place for investors to get fail proof company information. All financial information, investments, product and service information, shareholder information, bulk buy and sell details all should be available in such sites.

Business Newspapers

Reading business newspaper regularly would help investors to get day to day, updated information about companies. Generally all happenings inside and outside of any company would appear in business newspapers. Major investments, information about profit and lose, financial reports, company product launches, debt information, all would appear in business news papers for public. Any investor, who is serious in investments, should read financial newspapers daily and regularly.

Business and finance magazines

Business and finance magazines are best to get detailed report about the company. This would help investors and readers to know more about the company very specifically in detail. However, whether or not, such features always provided by internal desk or guest writers, investors should ensure the authenticity of such reports.

Financial Websites

Financial websites are good to receive information that requires by investors. Such websites generally have excellent archives of financial and annual reports, company news updates etc.. An additional advantage would be, such sites provide historical and present stock price information, valuations and competitor comparisons to know more about the company. This also has historical financial data about the company that highly accessed and used by technical analysts. Yahoo finance is my favorite website where I can even create my own portfolio of my listed companies to track always.

Google Alerts

I have configured number of Google alerts on almost all the companies that I have added to my investment list. This is a best way to receive information that may sometime not available in any or all of the above sources or an investor miss incidentally. Google alerts generally deliver news whenever it added anywhere in the internet in any site or blog listed in Google. Google alerts can be configured to deliver directly to the email box or to the hand held devices depends of how investors want to receive the alerts. Another advantage is, this service is totally free for anyone to use.

Financial blogs - Authenticity should be confirmed

Blogs are famous to give information about companies time to time. However, investors required to ensure the authenticity of news that appears in the blogs. Some of the bloggers would really do their homework and researches, but most of them not. So confirm the authenticity of information before take the news from any blog to support any of the investment decisions.

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Financing Your Business

Editor's Note: This is a guest article from Felicia Christina

Numerous different types of loans are offered by various banks. These loans are made with certain regulations and laws by which the bank is governed.

Among the different kinds of loans present we can select one that matches our needs and one that we are eligible to apply for. Also another vital factor that needs to be considered is the interest rate offered by the bank. These can either be fixed rate or could be adjusted according to several factors.

If you go select the variable interest rate option, this will change constantly with the market’s current rate.Interest rates of bank loans may be influenced by various factors. Inflation is one such factor. If inflation rise is small, interest rates will hike by a small margin. On the other hand, if the rise is very high, interest rates will be raised significantly.

A banking loan may even be secured over the internet. The process is whole lot easier and faster compared to get it done through an official at the bank. Also this enables the individual to compare the interest rates offered by different banks. However one must be careful in safeguarding oneself from becoming prey to Internet fraud.

People could also make use of certain schemes offered by banks at particular time periods.

A bank loan may be applied for various different reasons such as buying a home, vehicle, educational purposes, starting businesses etc.

Let’s have a look at the general categories of loans:

Secured loans:

Secured loans are given in exchange of an asset of the customer that he places as his security.If the customer is unable to pay back the loan the bank will claim ownership of the asset that was used as security for the loan.

Bankers never give loans that exceed the property’s total value. Usually only 60-80% of the property’s total value is given.

Unsecured loans:

This category of loans do not ask for security and therefore are not commonly found for people who want to start a business. This is because the banker is ignorant of the client’s economic history and is therefore taking a high risk. However for individuals with good credit histories, these loans may get approved.

Individuals may then select a loan from the different types of business loan listed below.

* Loan to start business: These can be utilized to start a business. These are offered depending on the individual’s business type and these loans were the banks major source of income in the past.

* Mortgage banking loans: This kind of loan is given to people for the purpose of building a house or for the renovation of their current house. The conditions for this type of loan is different in each bank.

* Loans for automobiles: These are offered to individuals having their very own automobiles.

* Loans for students: These help students finish off their education and various packages are offered by different banks.

*Loans for personal reasons: These fall under the unsecured loans category and will be offered in amounts not exceeding Five Thousand Dollars.

Another category of funds is the “Close ended funds” and may also be known as “financial sureties.” They are found in the stock market and are traded for stock exchange. Their share prices are determined according to people who invest in them and not by “Net Asset Value” or NAV. These shares are handled by an individual who manages funds. The sponsor with the aid of underwriting, supply funds to be invested for a specific purpose.

These shares cannot be bought by posting checks. Like stocks, close ended funds must be purchased from a market that is open and the most suitable time to invest in them is as soon as they are made available in the stock market. So now let’s take a look at the advantages and risks in obtaining close ended funds.

Clearly the advantages are the fact that people can benefit from its discounted rate which is worked out by obtaining the difference of the fund value and NAV.

Also, people intending to purchase stock can buy them off at discounted rates and good quality.

Then what are the risks associated with close ended funds?

These funds are liable to change drastically within short periods of time and they are of a constantly changing nature. Further the discounts may drop down to real low values that even their owner may be unable to give its real value.

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A Personal View on Pre and Post Retirement Life

Article written by Sherin Dev; Follow me in Twitter or Facebook

A word before starting this article may good to avoid possible confusions later. Whatever I mentioned in this article is my personal view only and in no way connected to anywhere, anybody or consider as an advice. I am just making a note on my personal view about how my retirement life should be and what would be its possible features.

One of the myths about retirement life is, it is the toughest time in one’s life. No job, no activities, always required to depend somebody. All these thoughts are utterly wrong. My personal retirement life never goes to face any such issues. Generally people think life after retirement is bored. But, I think that would be one of the best times I am going to get in my life. Like when I was a school child in my childhood.

From the birth of one, he is either depends to someone or someone always would be there to depend on him. An example, in our childhood time, we all depend our parents. In the middle age, we have family to depend on us. Wife, kids, parents all become our dependents at this time. We are thus not free in our life. But, when retirement approaching to a person, he is of course going to be a free bird by getting relief from all such dependencies!

It is certain; retirement plan should start at the earliest. Depends on the status of individual, it may vary. There should be some particular features to enhance the retirement life maximum. Find some of them mentioned below and add once if you have something in your mind, better than this.

Money Requirement

Money alone never brings happiness to anyone. But, the same time it would be able to bring happiness to your retirement life once if you had planned it properly. Yes, there are certain limitations, but money still able to play major role to bring happiness. I consider money as one of the most important element which has huge influence to one's retirement life. Money can some time, not all the time, decide whether a person can able to live his retirement life freely or not.

A well designed, goal based retirement plan, which started very early, would later equip people with sufficient finance to enjoy retirement life. Not only having money, but its intelligent utilization also have important role to play. Example, all the risk investments like stock investments, that later moved to monthly income plans to get regular income at the time of retirement life is an intelligent action.

There would not be any thought on post retirement investments with the retirement money because, this money already has been considered as the result of formerly happened pre-retirement planning, where decided the total required amount to live entire retirement life!

Consider Debt Status

I consider starting a retirement life without any debt. If any, it should be wiped off before the retirement life starts. Having any debt at the beginning of retirement is highly dangerous. If you have such, whether it is huge or little, yes, hell is here with you.

Deal with Major Expenses

If you ask to anyone about the major expenses happens to them, you will certainly get an answer related to hospital. Expenses for aged people generally high when compare with others. Always remember to protect self before the start of retirement life. If not, it would late wipe off all the retirement savings easily and unexpectedly. A good medical insurance would solve all such issues and never required you to pull money again from pocket to pay. I consider having a right insurance is sufficient to get protected from such critical, unexpected expenses.

Earning Possibilities

If not plan well prior to the retirement life, this section could give lots of misery later. Retired life give lots of time to execute any ideas that have planned prior to retirement starts. One should plan this well and execute at the right time to spend retirement life and time totally engaged. An example, a retired teacher or professor can easily start a home tuition to engage self as well as earn handsomely. I would be going to be the one in such kind. If nothing possible, I can continue blog my life experiences to the world.

What to Do to Spend Time

A hobby makes you more active and engaged. Generally retired people prefer gardening as a hobby. There are thousands of such hobbies to choose and start as their own. Hobbies not only help to spend time, but some of them help to earn huge money by spending little time each day.

Immediate Support

Aged people generally required help from others whenever required. At the time of your retirement, make sure you are not alone in your home, but helping hands always there whenever required. It may your kids, neighbors or anybody, but it is an important element in retirement life. Remember, hands and legs never act in your way as you think when you get aged.

Conclusion

In my personal opinion, money, support and time are the three major elements on one should plan well before the retirement. Money would make you free from dependencies, activities and hobbies help to spend time creatively along with earning possibilities and support help to live free of worries.

I am sure; each of you has personal view to retirement life. Why to wait? Express it here and let us know what we are able to learn from it!

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