Understanding Your Bank Account Details Better

With so many different terms floating around, banking terminology can get really confusing. If you are someone who doesn’t know their AER from their APR and their PIN from their Chip, then this guide to common banking terms could enlighten you. AER AER stands for Annual Earnings Rate. AER is used to calculate the annual amount that you earn on an investment or savings account. The higher the AER, then the better the investment or savings account. If you are looking for a savings account then compare AER’s to work out where your money is going to make the most profit. APR APR stands for Annual Percentage Rate, and is the amount of interest that you pay each year on a loan or mortgage. The lower the APR then the less you will pay yearly on that item of borrowing. Items with high APR’s like credit cards have APR figures around 15-20% whereas mortgages have a low APR figure of about 5-7%. The quickest way to compare loans is to look at their APR values. Chip and PIN Chip and PIN is the current system used to pay for items or withdraw cash using a credit or debit card. The card has a 4-digit PIN, or personal identification number, that you enter into a cash machine or till machine in order to retrieve money or pay for goods. The chip on the card holds information that, combined with the PIN, allows the machine to identify you as the correct owner of the card. Chip and PIN is more secure than the previous magnetic strip and signature technology that was used a few years ago. Overdraft An overdraft is a sum of money that you are minus within an account. If you go beyond the amount of actual money you have in an account, then you go into the overdraft. Many accounts have a pre-arranged limit that allows you to go overdrawn, which can be useful, as unauthorised overdrafts will cost you a lot in interest and fees. Phishing If you use online banking, then Phishing is a term you might have heard of but you might not know what it means. Phishing is a form of scam or illegal attempt to get hold of your bank details online so that they can withdraw money from them. When online banking started this was a big problem, but with increased security measures the problem is getting better. Most Internet browsers include a Phishing filter to stop such practices from occurring. Standing orders and Direct Debits Standing orders and Direct Debits are similar in some ways, but different in others. Both involve a regular amount being transferred from one account to another. Standing orders are a regular, fixed amount that you pay to another person or company, usually monthly. Direct Debits are an amount of money, which can be fixed or varied, that is removed from your account at set intervals. One example of a Direct Debit is mortgage repayments. Getting advice If you are unsure about any other banking terms, then visiting your local bank branch or looking online might help. Never be afraid to ask about something, because if you don’t understand something that is part of your account policy, you could lose money or not be taking full advantages of the features on offer to you. Peter Kenny is a writer for The Thrifty Scot. Please visit us at Best Current Accounts and Child Trust Funds Visit thriftyscot.co.uk

Should I Use an Independent Financial Adviser

In recent times, Independent Financial Advisors (IFAs) have been used by many people as an alternative to mortgage brokers. The main reason for this is that there is a crossover between the services they offer. IFAs and mortgage brokers usually receive their qualifications from the same few training institutions. When a person receives their qualification in one of these fields they only need to complete a reduced number of exams to receive the other qualification. This is one indication that mortgage advisors and IFAs undertake similar activities. Because mortgage repayment costs account for the largest expense in a normal household, having the right product is seen as a necessary element to prudent financial planning. It is for this reason, more than anything else, that people have been turning to their financial advisor to source the right mortgage deal for their needs. Many IFAs will have completed the qualifications and training necessary to become a mortgage broker and will be able to assist their clients in obtaining a home loan with ease. Mortgages are also interlinked with insurance. Interest only products will usually require some sort of insurance to cover the event of the mortgagor being unable to meet their obligations due to accident, sickness, or unemployment. IFAs have an in-depth understanding of the insurance market and can therefore offer advice in such matters when a client applies for a mortgage with them. Many mortgage brokers also offer insurance products to their clients as an additional service. Even if your IFA does not offer a mortgage broking service, it is likely that they will be able to refer you to someone who they regularly put their clients business through. However they quite often do offer both services so if you already have an IFA and are looking for mortgage advice, it may not be necessary to seek out the services of a separate mortgage broker. UK Mortgage Source provides information on UK mortgage brokers and provides a contact point for individuals searching for qualified Mortgage Brokers

Retirement Planning For Baby Boomer s: Three Reasons to Plan Even If You Don t Want to Retire

Retirement Planning For Baby Boomer s: Three Reasons to Plan Even If You Don t Want to Retire Many Baby Boomers love their work and can t imagine ever giving up their career. Others are making great money and would not retire because they would be sacrificing too much financially. DO NOT use either as an excuse not to plan for retirement. Regardless of how you feel about your career, how much money you re making or if you think you would be bored in retirement; you need to determine how much wealth you need to retire. It is your duty to the rest of your family to try and achieve financial independence. Here are three reasons why: Circumstances Change: You may love your boss, your company, make great money and work in a hot industry. Remember, everything goes through cycles. In a few years your industry may be in a vicious down cycle and you may find yourself without work. Maybe it has never happened to you, but it happens all the time. Remember the high-flying housing market? Remember what happened in Telecommunications in 2001? Accident or Illness: You aren t bullet-proof anymore. You could have an accident that makes it physically impossible to continue working at the job you love. An illness like cancer could change your job situation overnight. Attitudes Change: Sometimes people change their attitudes about what they are doing. Maybe a spouse gets ill, children leave home, or you just get tired of being on airplanes every week. One of the basic tenets of planning for anything is being prepared to implement plan B in case plan A fails. You owe it to yourself and other family members to plan for a day you are not working any longer. Determine how much money it takes to retire. Execute your plan to make sure you achieve wealth and independence. Once you have it, continue to do what you want to do. If change is forced on you, maybe you will realize you are still capable of being bullet-proof after all...good luck. David Skill, a Chartered Retirement Planning Counselor has created an easy retirement system that enables conscientious baby boomers to determine how much money they need to retire. David asks all the vital questions, uses common language and plenty of examples so the participant builds confidence their money will last through retirement and they will not burden their children. Check out >>>>>>>>> babyboomerseasyretirement.com/

Find Prosperity Through Financial Goals

There is a quote by an anonymous writer that says, “Goals are as essential to success as air is to life.” This statement is especially relevant to financial success and how it relates to financial goals. The way to succeed financially is to frequently set and accomplish personal finance goals. The problem is when most people hear or read the words ‘personal finance’, their eyes glaze over and they immediately begin to think about something more interesting…like what’s the function of their keyboard’s scroll lock button? But, the reality is that learning how to make the most of your finances is really pretty easy and that just a little bit of attention can go a long way. Where Are You Financially? It is hard to get somewhere if you don’t know where you are in the first place. And with personal finance, it’s just as difficult to set financial goals for the future, if you don’t know where your finances are currently. The best way to measure your financial standing is to figure out your personal net worth. Personal net worth is basically your personal finance bottom line. After taking into account all of your assets and all of your liabilities, what you end up with is considered your personal net worth. The Four Types of Personal Finance Goals As you figure out your personal net worth, ideas for goals will begin to develop, write any of these down on a piece paper and then refer to them later when you are goal setting. There are four classifications for financial goalsâ€"the time limit you set to accomplish the goal will determine what type of goal it is. Short-Term Personal Finance Goals These goals typically take less than one year to complete. These goals are usually extremely important, as many of your bigger goals will depend on your success with these short-term goals. These goals are also important because they build moral and increase your financial confidenceâ€"suddenly the larger goals don’t seem so impossible. Short-term goals might include reading a finance book, beginning to track your finances with personal finance software or even paying off a credit card. Mid-Term Personal Finance Goals These goals should take less than five years to complete. These goals can relate to your short-term goals (i.e. a short-term goal may be paying off your Visa card and a mid-term goal is to have all of your credit cards paid off). Mid-term goals, as well as your larger goals, need to be tracked closely as procrastination can often make mid-term personal finance goals very hard to accomplish. Mid-long-Term Personal Finance Goals These goals should take anywhere from five to 15 years to accomplish. There are people who have become totally debt-free from perusing a mid-long term goal. These goals sometimes evolve or change completely depending on life’s priorities. Long-Term Personal Finance Goals Long-tem personal finance goals may take sixteen years to a lifetime to accomplish. These are goals that deal with your retirement and leaving an inheritance for your children. Many people set long-term personal finance goals to have a personal net worth of ‘X’ amount of dollars by a certain age. Long-term goals also change and evolve as people grow and their priorities in life change. You should review and evaluate your long-term financial goals at least once a yearâ€"maybe when you do your taxes. Reward yourself for completing financial goalsâ€"smaller goals may be associated with smaller awards, while the completion of larger goals may be rewarded with a family vacation. Speaking of family, involve your spouse and your kids (if applicable) in your financial goals. They will provide motivation and some financial goals will involve the entire family’s help to obtain. Personal Finance Prosperity Prosperity is a word that is defined by the person who is uses it. One person may not consider themself prosperous until they reach millionaire status, while another person may prosper because they provide their family with simple home that’s completely paid for. While making financial goals, it’s a good idea to take some time and think about what you want in lifeâ€"what will make you prosperous. Once this has been determined, set goals that will help you achieve prosperityâ€"best of luck. Cristopher Fowers Cristopher Fowers is a Writer/Reviewer for TopTenREVIEWS.com. TopTenREVIEWS features expert reviews for technology and entertainment products and services. For more information and an in-depth review on personal finance software, see the TopTenREVIEWS Personal Finance Software Review . We do the research so you don’t have toâ„¢.

Brits Could Face Financial Crisis

Brits Could Face Financial Crisis An increasing proportion of Britons could be coming under financial pressure, new figures suggest. In research conducted by Legal and General, millions of people are avoiding taking out the three forms of cover - life insurance, income protection and critical illness insurance - with some 54 per cent of consumers not having any such policies. The study also showed that that just 14 per cent of people have income protection, in comparison to the 22 per cent who have taken out mobile phone cover. Meanwhile, 41 per cent of Britons possess life insurance with less than one in five (17 per cent) having critical illness cover. However, should consumers unexpectedly lose their job or become ill, not having such insurance in place could well see them struggle to meet various demands on their spending, for example utility bills, secured loans and mortgage costs. Out of those who lack any form of protective policy, 20 per cent stated that such insurance was too expensive. Meanwhile, nine per cent of respondents reported they were prepared to run the risk that they will not become ill or die prematurely. Research from the insurance company also indicated that 29 per cent believe they do not have enough financial commitments to make them get cover. However should they die unexpectedly, 15 per cent of consumers reported that their families would rely on their savings, while nine per cent would sell their property. And with ten per cent of those surveyed admitting that they simply do not know how their family will would manage financially, it is quite possible that many households could develop difficulties paying back credit cards, home loans, bills and other monetary commitments in the aftermath of the death of a loved one. Commenting on the figures, Bonnie Burns, protection product marketing director for Legal and General, said: The nation s priorities seem misguided, with people more worried about losing their mobile than about how they would cope financially if they had a critical illness. We all know that it is difficult to face up to our own mortality, but when insuring possessions is prioritised above insuring lives, then something has to be done. She added that as protection insurance is widely available, value-for-money and easy to arrange , there should be no reason for consumers not to consider taking out such cover to help safeguard their finances should the worst happen. As a result, those who would like to take out protection insurance but are currently under so much financial pressure that they feel that they cannot afford cover may wish to consider applying for a debt consolidation loan. In taking out such a loan, borrowers will be able to meet demands on spending, such as plastic card debt, quickly and so have more disposable income left at the end of each month. Meanwhile, getting a debt consolidation loan could also be recommended to help with the rising cost of living as research carried out by uSwitch earlier this month indicated that taxes and social contributions have risen by 85 and 77 per cent respectively over the past decade, in comparison to the five per cent growth in net household income. Mark Dawson writes for the the Loan Arrangers where you can apply online for low rate loans , you can also compare loans online, bad credit loans applications welcome.

Loans Until the Next Paycheck

These days, payday loans are quite a common feature. If you urgently need some money in advance of your payday, it is quite respectable to look for help to a bank that provides payday loans. This is extremely different from the olden days when borrowers were generally frowned upon. Things are very different today. The cause has to be the expansion of the world of personal finance, and the general transformation in attitudes towards loans. In the world today, people look for instant gratification. People today still continue to try and save up for the inevitable large purchases. However, thanks to the rise of credit cards and debit cards and loans of all kinds, we have become much more eager to purchase things immediately. The feeling today is that repayment of loans is no longer a problem. The easy terms of the loan providers have resulted in this attitude to some extent. In my opinion, this feeling is the result of the changing thought process of the general public. The change in attitude and the easy terms are both linked, each feeding off the other, and deciding which one happened to come first is an impossibility -- the old chicken and egg question. An outcome of this readiness to go in for loans and the easy terms on the loans available was the birth of payday loans. Now, the first time that I heard about payday loans, I felt that this was just another gimmick and nothing more. I felt that it was some kind of a scam to get people more and more entangled in debt, with the consequence that these people would remain lenders forever. After all, if you will only think about it, you will find that almost everyone you know is trying to take care of either a car loan or a mortgage or both. Now, add a payday loan to the list, and you might have to start thinking of ways to start paying off these loans. Of course, things are much better than that. First of all, nobody is given a loan without the loan provider s first ensuring that the borrower has a good credit history. Moreover, payday loans really do make life much easier for all of us. If you find yourself a little short of cash in the middle of the month but have to pay a major medical bill, resort to your neighborhood payday loan provider. Take a stroll to a bank nearby and see if you can find an appropriate payday loan. Visit for fast payday loans , UK payday loans , and loans in general.

Are We Heading Towards A Cashless Society?

Are We Heading Towards A Cashless Society? The western world is advancing at such a rate now that it seems almost inevitable that we are slowly heading towards a cashless society. You only have to go outside and go about your daily life to see how fast technology is advancing. Take London as an example. They re actively encouraging people not to carry cash around with them with recent initiatives they ve introduced. First of all they issued Oyster cards, which people can use to pay for London s bus and tube networks, and just recently the Evening Standard made it possible for customers to pay for their newspaper via a cashless payment card. Now I hear that they re considering making it possible to pay for parking in the city via mobile phone rather than parking meters so this is yet another reason for people not to carry cash around with them. If this spreads to the rest of the UK, and if other countries adopt similar initiatives, then it s surely only a matter of time before the whole of the western world uses technology in the form of prepaid payment cards to make cash obsolete. The only reason we need cash at the moment is to pay for those small items from retail stores, but the technology is clearly there to make payment cards fit for this purpose, and I think pretty soon it will become the norm to pay for everyday goods via some kind of payment card. Furthermore the fact that more and more people have mobile phones and access to the internet means that people could quite easily make payments to a payment card via these means. Therefore they would just need to transfer money electronically to their card so they can use it on the high street. Of course the major downside is that we are heading closer towards the Orwellian world of 1984 and Big Brother where the government knows exactly what you are doing as they can track all your activities electronically. However as long as you re not engaging in any criminal activity then I don t think there s any major cause for concern, although I m sure the conspiracy theorists won t agree. Ultimately you can t stop advancing technologies and no matter how much you dislike mobile phones, the internet, and the Big Brother world we are becoming, it s surely now only a matter of years before we become a cashless society where digital money replaces physical money. James Woolley runs a blog that discusses all aspects of money including shares, property, running your own business, and wealth building in general. Visit this site now by clicking on the following link: letsdiscussmoney.com

Understanding Is Key To Avoiding Financial Problems

Understanding Is Key To Avoiding Financial Problems Those concerned about their capacity to manage money should at first take steps to do some groundwork , an industry expert has advised. According to James Falla, managing director of Thomas Charles, Britons who are developing problems in meeting demands for payment on areas such as mortgages, loans and utility bills need to take the time to consider the various options available to them as they look to get out of the red. He stated that before making a decision on how get back on their financial feet - whether this is through applying for a loan to consolidate debts, bankruptcy, an individual voluntary arrangement or signing up for an informal debt management plan - consumers should attempt to find out where they stand in a monetary sense. Creating such a plan, he stated, will allow people to identify how much cash they have coming in and where certain areas of expenditure can be reduced. Mr Falla added that by understanding their own situation, many people will be able to recognise the best option for them and could actually avoid getting into money management problems in the first place. He said: A lot of people get into difficulty because they don t have a good knowledge of their financial situation and they re not very good at managing their money or understanding it. But that s the key - to try to understand where you are, which is not really a nice thing to have to do. When you have a problem, the last thing that you really want to do is to put it all down on paper. But it s very, very important. The Thomas Charles director reported that getting to grips with their financial situation before seeking advice from professional bodies will aid consumers to listen to what the options are and how they are going to help in that particular situation . In turn, he advised that this may help people in avoiding a shock . However, people were warned that the key thing is not to enter any form of financial plan without first understanding what they are getting into and making sure that they will be able to afford payments, as otherwise they may find themselves experiencing more problems in paying back loans and plastic cards. Mr Falla also advised that there is plenty of information out there on the internet , which could see numerous people find help in getting a loan online. Further research from the debt consultancy, conducted in conjunction with YouGov, also showed that 15 per cent of Britons owe at least 15,000 pounds. Such sentiments concerning financial planning were recently echoed by Chris Tapp. Speaking earlier this month, the director of Credit Action reported that more consumers are struggling to manage money as the impact of five base rate increases by the Bank of England since August 2006 has risen the interest attached to personal loans and other types of borrowing. As a result, he urged people to take steps to get their spending under control, especially as the yuletide season approaches, with drawing up a budget or applying for a loan for the purposes of consolidating debts two possible ways in which this can be achieved. Tom Dawson writes for Essentially Home Loans . Our visitors can apply online for secured loans and debt consolidation loans at the lowest interest rates.

Retirement Planning - Taking Early Social Security Is a Missed Opportunity For Baby Boomers

Baby Boomers, you know you need to save for retirement. The media reminds us everyday. If the constant reminders haven t caused you to start a savings program, then look at how it could affect your Social Security check. Depending on your year of birth all Baby Boomers are eligible for full Social Security benefits between the ages of 66 and 67. However you can choose to start receiving reduced benefits at age 62. The reduction is 25-30% depending on your birth year. This option is currently the choice for more than half the eligible workers. And 73% of eligible people are claiming benefits before their full benefit age (after 62 but before full benefit age). The downside to receiving benefits at age 62 is the reduced rate is permanent. Sometimes there are good reasons for choosing benefits at this age. For instance you may not be able to physically perform your work anymore. However, if the reason is you need money and do not have other income sources, you are wasting a golden opportunity at more retirement income on a permanent basis. Some people may argue that receiving reduced benefits vs. no benefits from age 62 until ages 66 or 67 will result in more money in the long run. In reality you can expect that somewhere around age 77 the total payout of full benefits will exceed the reduced payout even though the reduced payouts had a four or five year head start. At age 62 the average male is expected to live to age 80. The average age for females is age 83. So if you live the average life expectancy you are selling yourself short. What if you exceed the averages and live into your 90 s? This is where your decision not to save today and take reduced benefits at age 62 will really hurt. Don t regret important life choices. Start today by calling the Social Security Administration at 1-800-772-1213 and ask for your benefit estimate. Compare the difference you will receive between early and full benefits. Your next step is to put together a savings plan to make sure you do not leave any money on the table in retirement. You paid for it every year you worked. Make sure you get what you deserve... Good luck. David Skill, a Chartered Retirement Planning Counselor has created an easy retirement system that enables conscientious baby boomers to determine how much money they need to retire. David asks all the vital questions, uses common language and plenty of examples so the participant builds confidence their money will last through retirement and they will not burden their children. Check out >>>>>>>>> babyboomerseasyretirement.com/

How to Choose Your Bank

There are a lot of options to consider when choosing a bank. Now days, there are more options, services and accounts than ever to choose from. It can be confusing when deciding where to start. If you do a little research and possibly a little visiting, you can find a bank that fits your needs and goals. If you find yourself in a financial binds pretty often, then you may want to choose a bank that offers something like a payday loan or a cash advance. These can be helpful if you re finding yourself making late payments on loans or credit cards. They can help you out of a financial bind and help you to avoid late fees and bad hits on your credit. Just be aware of the terms and try to make all of your payments on time. It s also important to make more than the minimum payment whenever possible to avoid putting bad information on your credit report. If you qualify, then overdraft protection is a great thing to have on a checking account. Overdraft protection usually is a line of credit extended to you that can cover bounced checks or overdraws on your account. Overdraft protection can allow you to pull more out of an ATM than you actually have in your account. This is helpful when you re in need, but be careful not to abuse the privilege. Even with overdraft protection, you can incur substantial fees every time you dip into your overdraft account. Sometimes the charges go directly on to a credit card. This can seem advantageous, but each overdraft generally comes with a fee and shows up as a cash advance on your credit card. Cash advances from a credit card aren t usually calculated at the same annual percentage rate as a regular purchase. Cash advances from your credit card are usually at the highest interest rate available to the credit card company. Keep track of your account. If you know that you re getting close to emptying your checking account, it might be a good idea to use your credit card if possible. This way, you re only charged the regular APR with no extra fees. This can save you from going more deeply in debt than you can handle. Savings accounts are really useful ways to save money. It helps your credit score to have a checking and a savings account. Savings accounts usually have more strict guidelines on how often you can take money out than checking accounts do. This can be beneficial if you re serious about saving. Savings accounts can also be used as overdraft accounts and often don t have fees associated with the first few overdraft withdrawals. Be careful not to deplete your savings and try to have regular amounts of money going into savings at set intervals. A good option is to have an automatic draft from your checking to your savings happen on the same day that your paycheck goes into the bank. This way you don t ever see the money available in your checking and you don t make it an option not to save. Shop around online and visit banks in your area that are convenient to you. You re sure to find a bank that fits your needs and your lifestyle. About the Author: Bob is an Online Marketing Strategist of paydayone.com, a company that can provide a payday loan or online payday loans to individuals. For more information, please visit paydayone.com

Savings Shortfall Remains Crucial Problem

Savings Shortfall Remains Crucial Problem Older people are losing out on billions of pounds every year, a new study reveals. In research carried out by Unbiased, up to 2 billion pounds in pension credits are to remain unclaimed over the course of this year. With between 20 and 25 per cent of pensioners failing to take out their entitlement, which guarantees them a weekly income of at least 119 pounds and 5p, those consumers who are missing could be set to develop unnecessary pressure on their day-to-day finances. David Elms, chief executive of Unbiased, said: Our lack of saving for retirement remains a crucial problem for the UK and those that are in a position to save more should be doing so. However, it seems that people are compounding the situation - be it through apathy or confusion - by failing to claim vital sources of retirement income in the form of tax credits . Findings from the firm also revealed that those people currently in work are missing out on huge sums by not putting their money in competitive savings accounts. According to the firm, high-rate taxpayers are paying an extra 739 million pounds in unnecessary tax by failing to make additional voluntary contributions - which allow consumers to make top up payments from their salary, which in turn leads to a larger pension fund at the time they wish to retire. No one likes paying more tax than is necessary and no one likes missing out on something that is rightfully theirs, so we are urging people to either kick-start their pension and tax planning or review their current situation with urgency. A discussion with a local independent financial adviser is a great place to start this process , he added. Meanwhile, a MoneyMood Survey carried out by Legal and General earlier this year indicated an increasing desire among Britons to save money. After paying off bills and servicing credit cards, personal loans and other forms of debt, just less than two-thirds (62 per cent) of consumers at the end of May were in the mood to put cash away. This is in comparison to 57 per cent in July 2005. Julia Clayworth, wealth management customer marketing manager for the financial services provider, said: This suggests more households are finding themselves in a position where they can afford to save rather than struggling to make ends meet . She also suggested that the surging desire to put money aside was due to recent interest rate rises by the Bank of England s monetary policy committee curbing consumers finances. The Bank s increases are having the desired effect - more saving less spending . In an earlier Unbiased study, Britons were reported to have borrowed some 41p for every pound they saved over the first quarter of 2007 - a rise from the 35p noted at the end of last year. Mr Elms reported that despite a conscientious effort being put into saving, such hard work is being unraveled by continued increasing usage of credit cards, loans and overdrafts . Tom Dawson writes for Essentially Home Loans where visitors can apply for secured loans online , we also specialise in bad credit loans for UK residents. Visit Today: news.essentiallyhomeloans.co.uk