Banking

Could The PPI Claims Epidemic Jump Over The Atlantic?

In the UK PPI claiming is a huge market, some of the biggest banks and lenders have set aside billions of pounds worth of capital to cope with all the complaints they are likely to receive in 2012. The problems began when it became evident that lenders were selling the controversial financial policy to people who were not eligible to utilise it if needed.

What is PPI?

Payment Protection Insurance is a policy that is bought in conjunction with a credit card or loan that protects the holder against being unable to meet future repayments because of sickness, accident or unemployment. It’s a product that is widely sold around the USA and Canada but has seen little or no issues as yet, whether that is because the complaints are being protected by state so that they do not follow in the footsteps of the UK or the problem does not exist is unclear.

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January 23, 2012
Shopping

How To Save Lots Of Money Without Depriving Yourself

Imagine you’re looking to buy a big screen TV. When you walk into the store, a salesman approached you and after talking to you about your needs, he gave you three choices:

  1. Toshiba – $2000
  2. Samsung – $2300
  3. Sony – $2500

Other than the brand, you couldn’t see any difference in them – and you didn’t care about the design of the TV. Which would you choose?

Most people would be stumped. Yet we face similar choices on a daily basis. Would you buy a $5, $6 or $7 pen? Which shampoo should you try this month? What about your toothpaste?

According to Dan Ariely, author of Predictably Irrational , when faced with a choice we can’t make, most people would go for the safe choice, which in this case, would be Samsung. Why? Because we are wary of the cheapest choice yet afraid of paying too much for something we are not sure about.

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January 20, 2012
Budgeting

Budgeting In The New Year

The New Year is a great time to set a personal budget and to begin looking at ways to better manage your financial resources. Doing so can not only help you to take better control of your money today, but will also help you to prosper in the future.

If you do not already have one, the first step should be to establish a budget. Sit down and take the time to make sure you know exactly how much income you have coming in and how much is going out. After you have done this, carefully review your income and expenses to look for areas where you can possibly scale back. While you may not be able to budget for some fixed expenses such as car loans and rent or your mortgage payment, there are other areas where you can establish a budget and stick to it.

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January 18, 2012
Credit Cards

Take Steps To Improve Your Personal Finances In 2012 By Avoiding These 5 Credit Card Missteps

The season of resolutions is upon us, and one resolution we could all serve to make (and keep) is to cut down on our credit card missteps. After all, consumers are quickly racking up new credit card debt, which is the type of dangerous overleveraging that got us into deep you-know-what during the Great Recession. What’s more, 41% of U.S. adults would give their personal finance knowledge a grade of “C” or worse, according to the National Foundation for Credit Counseling’s 2011 Consumer Financial Literacy Survey. So, to help get this resolution started, here are 5 credit card mistakes that we can all excise from our lives during 2012:

1. Not having an open credit card in your own name
Whether or not you feel comfortable making purchases with a credit card is basically immaterial. Simply having a credit card under your own name (not as an authorized user) is the easiest way to add positive information to your major credit reports on a monthly basis, and this information will be relayed even if you lock your card away in a drawer. Since one’s credit score is integral to getting the best loan terms, leasing a car, renting an apartment or getting certain jobs, this advice applies to pretty much everyone over the age of 18.
Wait, doesn’t the new credit card law preclude people under the age of 21 from opening credit cards? Actually, no. Young people must simply ask a relative to be a co-signer or indicate on their application that they have sufficient assets/income to cover a credit card’s monthly minimum payments (typically around $15 for newcomers).

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January 18, 2012
Money Saving Tips

Five Ways To Save Money Traveling In Expensive Countries

Don’t let a small budget stop you from planning the vacation of your dreams. Worldwide travelers on tight budgets have come up with imaginative ways to save money and still enjoy a quality vacation. With a little research, you can find enough inspiration to help you to plan a getaway to that ideal destination.

Couch Surfing

Couch surfing is an option that can save you tons of cash on lodging. The concept, which has taken off like wildfire, connects travelers to people who are willing to let them stay at their home for no cost. Hosts in those cities post pictures and other information in their web profile. Prospective travelers surf, or browse, the couch surfing websites for the cities they wish to visit for compatible accommodations.

In addition to free lodging, travelers also receive the benefit of getting first hand knowledge about sightseeing in the city from the people who live there. They are also provided with the opportunity to meet new people; including the potential to meet other travelers who may be staying at the home. Couch surfing continues to increase in popularity around the globe. One primary couch surfing site, which offers tips on safety and other useful information, boasts over 65,000 registered members from the United States alone.

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January 16, 2012