February 6, 2008 at 12:51 am (banks)
Tags: bank satisfaction, customer service, fees, financing deals
I’ve asked people this question before. Most say no. Yet they never move on. They think it’s too much hassle, it might cost money, it might inconvenience them in future. I’m guilty of the same thing. I can’t stand my bank. It’s one of the most well known banks here and yet it has the poorest customer service imaginable. Recently, a lot of banks have been advertising aggressively in an attempt to “steal” customers to their fold.
They say they will deal with the hassle, the expenses, the complications. They even offer zero fees which is a lot better than the most popular bank. Yet, people still don’t move. I don’t know if it’s a fear of something new or distrust in something that isn’t as established as they are used to but they are passing up on some great deals. They could be saving the money they are spending on extra fees at the moment. We are a strange country in that sense. We are so used to one company monopolising any given sector that when new ones begin to grow, we don’t take what’s offered to us on a plate. My advice is: make sure it’s a good deal, yes. If you’re sure then grab it with both hands. If a phonecall is going to save you money then why not make it?
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February 5, 2008 at 3:15 am (mortgages)
Tags: falling market, house prices, worthless mortgages
House prices are ridiculous over here. I don’t as yet have a mortgage and although I wish I owned a house, I am very glad that I don’t have a mortgage. Things went crazy here for a while – house prices literally soared and kept soaring for years. People went mad applying for amazingly high mortgages to pay for amazingly small homes.
Suddenly the prices stopped soaring. The market dipped. The prices began to fall. Some say rapidly although that is a matter of opinion right now. They could keep falling. Nobody has any idea of what will happen next because people have stopped buying. People are afraid to purchase, everyone wants to sell and nobody can. Those people who received huge mortgages for tiny homes have now discovered that they don’t have the room for a family and need to move on. It isn’t happening for most of them.
I know a lot of people who are now stuck with worthless homes that they can’t shift and yet will be paying off for a very long time. It’s a shame but I feel that foolish purchases were made. It was as if the country was suddenly in a race to buy a home. We drove the prices up so high that it seemed to click with the entire nation that it was just too much. So the purchases stopped and the values fell. There are no guarantees, there are no assurances. Things can go very well or very badly. It’s all down to timing and luck in the end.
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January 31, 2008 at 5:49 am (pensions)
Tags: 401k, contribution limits 2008, pension
I wish we had the 401k over here. It is one of the better pension funds in my opinion. But the IRA sets contribution limits which increase each year and as we have just entered a new year, the limits have changed again.
The contribution limits this year have hit $15,500 while the catch up contributions for those over the age of 50 is still $5,000.
So you can put a huge chunk of change in your pension fund this year if you have the means. Of course, it is also subject to the employer’s limits too but not all company plans have additional limits.
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January 30, 2008 at 6:37 am (Uncategorized)
Tags: advantages, investments, mutual funds
Mutual funds pool the resources of a number of investors which opens up a number of advantages. Investments into mutual funds can require lower initial deposits than other types of investments which make them available to people with lower incomes. This widens the net for investors from all walks of life and forms of employment. Mutual funds tend to be divided amongst a number of different areas which can have the potential to lower the risk and higher the chance for profit. Diversity is essential for anyone’s portfolio because if one area of your investment fails, another might succeed above its potential.Mutual funds are usually taken care of by a Fund Manager who researches the market and makes decisions on when to buy and sell. This gives total beginners the same chance at gaining profit as people who understand the markets. The fact that a number of resources from investors have been pooled together, they can potentially invest in companies that they may not have been financially able to on their own. There is also generally quick access to the money that is gained. For a low-risk option, I think Mutual Funds are an excellent way to go, in particular for those embarking on their first journey into the world of investments.
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January 29, 2008 at 6:01 pm (clearing debt, goals)
Tags: bills, clearing debt, expenditures, loans, utility
I still don’t have an exact number on what is owed. But I’m still working away, trying to clear it off. Every bit helps after all. Instead of clearing off one bill at a time, I’ve been chipping away at two major ones that I want to get rid of. On Friday (hopefully), one of these will be cleared off, then next week the other should be cleared too. Then I have to think about what happens next.
One of these is a loan so at least that will be one out of the way but it still leaves the bigger loan. That’s being paid monthly at the moment and I’m not entirely sure how long is left on it, three or four years perhaps but I’m keen to finish with that one a lot sooner. I may save up for a long period and try to clear off a large chunk but it depends on what else comes up.
The second bill is an oversized utility bill. The next one of those should arrive next month at some stage so there is a chance that will be another large hurdle to get past. But at least there won’t be any arrears.
After that, who knows? I’ll try to save on a more long-term basis, work on saving up to pay the car insurance in the one go this time instead of monthly. It’s just too much hassle. I also want to be prepared for the next time the car needs to be repaired or for any unexpected emergency. The next two months are really bad for me in terms of gifts. So many birthdays to contend with. It’s lucky that I will be coming into a reasonably sized lump sum that might just cover all of the presents that I need to buy.
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January 14, 2008 at 5:35 am (clearing debt, goals)
Tags: clearing debt, lowering bills, my goals, saving
My first goal is to cut down on my spending, increase my savings and lower the costs of bills. It seems easy but when it comes to actually trying to achieve it, something always comes in the way. I’ve decided that I won’t let anything in the way anymore. I’m not sure exactly how much debt we’re talking about but it’s closer to 20 grand than 10. The big loan is the last thing for me to focus on. There are smaller ones that need to be cleared off first. First I have to find out exactly, down to the cent how much is owed. Then I need to work out which ones are the most important. I could clear off one thing at a time or work on a couple of things in the one go.
I also have to juggle with other expenditures that are going to be flying at me in the first couple of months of the year. I think that May is the first “clean” month I have in the year so it’s going to be hard going. BUT I’ve started to save and I think I have enough to pay off one loan but it depends on how much interest has been built on it since then. I plan to find out as much as possible tomorrow to try and work on things a bit more clearly.
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January 13, 2008 at 5:47 am (finance articles)
Tags: advice, finance, investing, investing time, reducing bills, saving, welcome
I used to write a lot of articles about all areas of finance, yet I never practised what I preached. I really want to improve the way I save and invest as well as reduce bills. I’m going to use this blog as a way to encourage me to really listen to my own advice!
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