Money Save Money

Buy a new car- financing at zero percent interest

Thu, 26 Aug 2010 00:19:16 PST

There are few offers as enticing when you are looking for a new set of wheels as zero percent financing.When you do the straight calculations comparing an interest rate of zero percent to 7.5 percent on a 20,000 car loan over 24 months, it shows you can save $1600. Over 36 months you can save almost $2400. On a 35,000 car loan over three years, you can keep extra $4200 in your pocket. It is really good deal. Often they are used to get you in the door, along with other offers like zero down and zero payment for six month. Car dealers are not in the charity business and most of these offers are designed to get money from one way or another way. An incentive upfront usually means higher cost down the road. Its up to you to calculate which approach is the best for you.

How fast should you prepay your credit debt

Sun, 22 Aug 2010 23:35:44 PST

If you are carrying a balance on your credit cards, and adding to it every month, you have to stop today. Once you transfer your credit card balance to a new lower interest card, you should notice a significant drop in your monthly payment. Instead of paying only the new lower balance, continue to make the same monthly payments as before. Its called prepaying your credit card debt. For example let you are owing $5000 on your credit card and that card is charging you 18% interest per year. The interest on the debt comes to $75 per month and let’s say your minimum payment due is $100 per month. If you transfer the debt to a card that is charging you only 6% interest the monthly interest on the account is only $25 per month, so your minimum payment will fall to around $40 per month. So you can save $60 per month. When you prepay loan, you are effectively earning a rate of return on your money equal to the net interest you are paying.

How much money we spend on paying interest from our income

Wed, 18 Aug 2010 00:16:04 PST

We pay interest to banks for our homes,car loan,personal loans,line of credit and credit cards.In our life we are spending lots of money on interest.Interest charges separate the consumers who get a head from the ones who fall behind.We have to avoid high interest costs on car ownership and paying off credit cards is an essential part of smart financial plan. Interest rates on debt will fluctuate due to global market forces the demand and supply for money the current and expected rates of inflation the length of time. The funds are lent or borrowed follow the monetary policy.Canada has been enjoying interest rates at historic lows at some point they will go up. Our pay cheques goes to income, property and sales taxes. Insurance costs quickly up more of our money as we pay premiums for home, car and life insurance

Save money for your emergency needs

Sat, 14 Aug 2010 00:09:25 PST

Every single family has to save some money from their monthly income to their emergency needs.Anything can happened at any time in your life. When things happen, you need to be prepared. Your car breaks down, the roof leaks, your kids get sick, someone loses a job, someone dies. You should save some money for your emergency needs.Most experts say that you should keep between three and six months worth of your living expenses set aside in your emergency fund. If your expenses are $2000 per month, you need to save $4000 to $12000 dollars for when emergencies hit. The reason for the need of an emergency fund is due to a unexpected loss of income. If it you or your spouse loses a job you still have bills to pay and it may take a few months to find suitable new job.

Register Retirement Income Fund is an investment plan for your future wealth

Wed, 11 Aug 2010 00:31:40 PST

We all earning money for our day to day financial cycle, why we are not think about our future needs or un expected expense? Invest in RRIF today and get the income in future.Registered Retirement Income Fund (RRIF) allows funds transferred from an RRSP to remain tax sheltered while continuing to earn tax deferred income, as long as those funds remain in your RRIF. Consider a RRIF when you need to convert retirement savings to income. The only difference between an RRIF and an RRSP is that you are not allowed to put any money into your RRIF. Instead you are required to take out a certain minimum amount each year.

RRSP Home Buyer’s Plan for first time home buyers- don’t miss the opportunity

Sun, 08 Aug 2010 00:01:44 PST

You can borrow up to 20,000 from your RRSP to buy a home with out paying any extra taxes or penalties under the federal government Home Buyers’ Plan.If you are qualify for the RRSP funds you must be on deposit for at least 90 days. You must also provide a signed agreement to buy or build a qualifying home. The best part, the withdrawal is not taxable as long as you repay it within a 15 year period. The payback amount is at least one fifteenth a year of the amount you withdrew from your RRSP. If you set up a RRSP pre-authorized monthly payment in bi-weekly or weekly contribution to your RRSP then you do not miss any repayments. It automatically withdraw from your account and pay The contribution loan.

Money Market Deposit Accounts are managed by Banks and other Brokerages

Thu, 05 Aug 2010 00:40:29 PST

Money market deposit funds are available through mutual fund companies. Money market deposit accounts are insured by federal government and corporate securities. Money market accounts are very safe and liquid investment. Mostly money market account offer a low interest rate than the other investment funds. Money market funds are like bank savings accounts in that value of your original investment does not fluctuate.

Use a reward credit cards on your purchase & earn reward points to save money.

Mon, 02 Aug 2010 01:01:31 PST

Banks offer many kinds of reward card to get a long term relationship between their clients. If you have a good credit score, you can switch your visa card to get the reward point visa cards. Banks are using member ship rewards points for the clients, who can able to keep client relationship.Reward credit card booming is creating goodwill with clients.Rewards programs has two different ways to get your point one Membership Rewards, next one is ability to instantly transfer points to Aeroplan1 point = 1 Aero plan. For example American express reward credit card start redeeming travel rewards with as few as 7,500 points, good for a $100 statement credit on any travel purchase. It is worth up to 33% more than points on most other travel rewards cards

Saving money for your children’s Post Secondary Education-RESP

Sun, 01 Aug 2010 00:37:05 PST

Are you worrying about your children’s education expenses? You can start contributing Registered Education Savings Plans for your children’s post-secondary education. You can set up an effective saving plan for post-secondary education expenses two basic ways. The first one is a Registered Education Savings plan. RESP is the more attractive investment of post-secondary education. The contribution limit of RESP is increased recently and a government plan to subsidize your contributions. The next plan of the contribution is use an in-trust account, under arrangement you can put money into a special account and invest the fund in-trust account on your children’s behalf. Start saving for your children’s university/college educations as soon as possible with regular contributions.

Use Online Banking to save your Time and Money.

Tue, 27 Jul 2010 01:32:29 PST

Online banking is the more popular banking system in the modern technology world. Online banking is saving our time to go to the bank and the waiting time to do our day to day banking transactions. Opening an account with any financial institution and sign up your online banking system on your bank account. Online banking is helping you to do your banking 24 hours at 7 days. Online banking system, that you can check your account balance and the transactions at anytime. You don’t need to wait for the statement of the account, that you will receive end of the month from your financial institution

Add an overdraft protection as a feature of your bank accounts to avoid the unexpected expenses.

Sat, 17 Jul 2010 01:45:59 PST

When you open a chequing or saving accounts choose overdraft protection as a feature of your bank account to avoid an unexpected expense such as a post-dated cheque cleared by mistakenly or a cheque you've received may take a little longer than you anticipated to clear through your account, also a pre-authorized payment could fall due a day or two days before you have the funds to cover it, for any of these happen the overdraft protection provides peace of mind for those times you need a little extra care to cover a cheque or bill payment because we never know when the unexpected may happen. If you want to get the overdraft protection as a feature in your account, you should maintain a good credit rating.

Minimize your Taxes and Maximize your Savings- Open a Tax Free Savings Accounts

Sat, 10 Jul 2010 01:29:12 PST

The Tax Free Savings Account is an easy way to save your money. All Canadian residents age 18 and over are eligible to contribute to a Tax Free Savings Accounts. You can contribute up to $5,000 per year. Also you can earned the interest income on deposits on your investments in a Tax Free Savings Account is not taxed. You can also withdraw your money at any time for any reason without being taxed. You can put it back starting from the beginning of the year. You can make withdrawals when you need your money and you don’t pay any tax, which makes the Tax Free Savings Accounts suitable for both short and long term savings, and also gives you flexible option to your money if an unexpected need occur. Whether you’re putting money for a down payment on a house, saving for a major purchase like a car or a vacation, or making sure you have enough for a comfortable retirement, a Tax Free Savings Accounts can help you to get a better life.

Why should we contribute the Registered Retirement Savings Plan

Sun, 04 Jul 2010 01:01:49 PST

We all think about our day to day investment plan and long term investment plan, why we are not think about the contribution of retirement savings plan? When we are getting old we need to save some money for our old age expenses. Anyone who has earned income with a social insurance number, who is eligible to buy an Registered Retirement Savings Plan.A Registered Retirement Savings Plan is a personal savings plan registered with the Canadian federal government allowing you to save for the future on an investment intend to reduce the tax purpose.You and your employer make a specific contribution to an account each year based on your earnings. Your earning will accumulated over the years through these contributions and the interest they generate is what you use to buy your pension.Your retirement income is unknown until the day you retire.

Don’t Miss The Advantage of Using Credit Cards

Tue, 29 Jun 2010 23:06:42 PST

Every one has to build up the good credit history in the modern life. You need to make a credit report to apply for an apartment or finance a large purchase, such as buying car, home. Employers often review a credit report when they hire and evaluate employees. If you have problems with your credit cards, such as late or missed payments, stay in your credit report for seven years. When you sign up for a credit card, you are the responsible person to paying your bills. You should pay your credit card bills on time and don’t spend over the limit on your credit cards stay within your credit limits.

Life insurance is the healthy investment to financially protect your family

Fri, 25 Jun 2010 02:39:58 PST

Life Insurance

A life insurance plan helps you to take care of your family may be you are not around for them. You have to protect your family against the un expected events. Life insurance plans are not only for your family's security but also a healthy investment choice. Life insurance investment plan make sure that your money works hard for you by giving you good returns along with peace of mind, for your family is protected. Life insurance plan is the best solutions of your own home, the best education for your child and a comfortable lifestyle for your family.

Investing your money in GIC

Tue, 22 Jun 2010 00:51:10 PST

Low risk investment

Guaranteed investment certificates are backed by a bank, trust company or insurance company. If you choose the offer of a fixed rate of return projected anywhere from a few months to five years forward. The return is always positive. GIC can work for you at any stage of your life.You can be a good place to put your money that you don’t need to get at risk. If you invest in fixed interest rate, you don’t need to lose any of your principal amount of the investment. You can choose the offer of a variable rate of return during their term. As interest rates fluctuate, therefore the rates on these GICs are allowing you to continue earning more as rates increase

Global Economic Getting Unpredictable Success in Bonds Investment

Sat, 19 Jun 2010 00:36:57 PST

BUY BONDS NOW

Bonds markets are continues to soil in their investments and investors confidence in bond mutual funds are getting the strong share of new investment dollars. You could get safety by investing in bonds rather than stocks, the best way to invest the bond market is by taking a low risk. When you invest the bond market, you should know about the elements of bonds. The most critical element in bonds is interest rates, when rates go up and the bond price go down

Time to Refinance your Mortgage Loan

Mon, 14 Jun 2010 23:59:04 PST

Mortgage market rates are getting gain strongly also the economy is starting to get strength. Some economists advised about that mortgage rates still near historic lows but the mortgage rates will soon start rising. it is the expectation of the future mortgage rates. People has variety of motivation to refinance their mortgage. Compare with the past years still the mortgage interest rate is historic low. It is the time to refinance your mortgage and can save some money because the interest rates have dropped. Refinancing can be a way of raising capital for some reason. You can get out of one type loan and get into another.

How can we manage the financial risk cause on fluctuations

Sun, 13 Jun 2010 02:22:10 PST

Financial managers has to identify the type of price fluctuations which is the greatest impact on the value of the firm. Price and the rate are increasing in recent years by the fluctuation of economic. This is a cause for a particular firm depends on the nature of the firm’s operations and its financing. An all equity firm would not be as concerned about interest rate fluctuations as a highly power to get thing. A firm with a small activity or no international activity would not be concerned about the exchange rate fluctuations

Short and Long term interest rates are determine by the nominal interest rates

Thu, 10 Jun 2010 00:10:21 PST

Short term and long term interest rates will be different, but sometimes short term rates are higher or lower. The difference between short and long term rates has ranged from zero to up to several percentage points, both positive and negative. Long term rates are higher than short term rates. The relationship between the nominal interest rates determine the two kind of interest rate structure. The real rate of interest and the rate of inflation.