Monthly Archives: May 2021

May 24, 2021

Association of Indian Banks turns to Ministry of Finance for reimbursement of compound interest exemption by banks

Center repays penal interest on loans up to Rs 2 crore, but North Block has yet to decide to repay loans over Rs 2 crore

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Posted on 05.24.21, 01:23 AM

The Association of Indian Banks (IBA) on behalf of the lenders has approached the Ministry of Finance to repay their burden due to a recent Supreme Court ruling on waiving compound interest or penalty interest on all loan accounts that have opted for a moratorium during March-August 2020.

The Supreme Court’s March judgment ordered banks to waive compound interest on loans over Rs 2 crore, subject to a moratorium, as lower loans got general interest on the interest waiver in November of Last year.

“Whatever amount is recovered as interest on interest / compound interest / penalty interest for the period during the moratorium, it will be refunded and will be adjusted / credited in the next installment of the loan account”, a three – Judge Ashok Bhushan’s investigating magistrate, R. Subhash Reddy and MR Shah had ruled on March 23, 2021.

The government has agreed to absorb the cost of waiving penalty interest on loans below Rs 2 crore. But there is no communication yet from North Block on whether it will reimburse the banks for the repayments they make on loans over Rs 2 crore.

While banks are at different stages of executing the repayment order, PTI citing Punjab & Sind Bank Managing Director S. Krishnan said the bank burden is around Rs 30 crore.

The issue of reimbursement of the reimbursement amount by the government is being pursued by the IBA on behalf of the banks, he said: “So far we have not heard anything positive about this.”

The Supreme Court refused to interfere with the Center and the Reserve Bank of India’s (RBI) decision not to extend the moratorium on loans beyond August 31 last year, saying it was was a political decision.

After the judgment rendered in March by the highest court, the Icra rating agency estimated that the compound interest for the six-month moratorium for all lenders would be Rs 13,500-14,000 crore.

The government reimburses the banks for all criminal interest up to Rs 2 crore, or Rs 6,500 crore.

Waiving penalties for borrowers over Rs 2 crore will cost banks Rs 7,000 to 7,500 crore, Icra said.

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May 21, 2021

Even in a low interest rate environment, you need a savings account

Ruth M. Baumgardner Savings account

There are a lot of uncertainties about these days, and it has impacted the way we manage and invest our money.

The savings account has always been a proven watch, an easy and accessible vehicle to park your extra money for future needs. As COVID-19 continues to leave economic uncertainty in its wake, more and more people are turning to this old favorite account to stow their money away, but is it the right decision to make in a rate environment? low interest?

“Interest rates are at historically low levels and are expected to stay low for some time,” says Jay Abolofia, founder of Lyon Financial Planning outside Boston and certified financial planner. “In general, it’s good for borrowers and bad for savers.”

Savings account rates are very low

The pandemic is one of the main drivers of the drop in rates. In response to the economic fallout, the Federal Reserve cut interest rates to near zero in March 2020.

“While this has benefited the economy in many ways, it has also led many banks to cut interest rates for savers,” says Chris Abrams, founder of Abrams Insurance Solutions, an independent company of insurance and financial services.

Throughout 2020, savings returns have steadily declined, although they have largely stabilized. The best savings accounts currently pay around 0.6% APY, while the national average is only 0.06%.

So why would anyone consider a savings account in such a climate?

“Even with such low rates, a bank savings account can play a vital role in your overall cash management strategy, primarily because of its liquidity and deposit insurance,” says Abolofia.

Best Uses of a Savings Account, Even in a Low Interest Rate Environment

A savings account can be the vehicle you need in some unexpected life situations. However, there may be other accounts to consider for certain goals or time horizons.

“Having a strong emergency fund will help you avoid a situation where you have to sell stocks that have fallen in value to pay for unforeseen expenses,” says Scott Schleicher, senior financial advisor at Personal Capital. “A common rule of thumb is to save between three and six months of non-discretionary living expenses in an emergency fund. This includes expenses like your mortgage or rent, utilities, insurance, groceries, and transportation.

Here are some other uses of a savings account.

When you need quick and easy access to cash

When it comes to withdrawing your money, savings accounts can make it easier for you compared to other products.

You can withdraw money from your savings account without paying a penalty, unlike a CD. This feature is especially important when dealing with unexpected emergencies. A savings account gives you convenient access to money for a new car tire or to pay for a similar emergency.

Even though the Federal Reserve removed a rule limiting savings account withdrawals and transfers to six per monthly statement cycle, your bank may still have that rule.

When you need a place for your short-term savings goals

The decision to use a savings account instead of another investment vehicle will likely depend on when you need that money, says Gilles Hudelot, director of education for the Mentoro Group, an investment company. financial well-being education.

“Anything that might be needed in one to two years would be in the bucket in the short term,” says Hudelot. “This includes emergency funds and short-term savings goals like Christmas, vacation savings, or expenses that you know are coming soon. The risk of that money falling in an investment account does not outweigh any possible gains you might get.

When you need a place to keep your money safe

As long as you bank with an FDIC-insured bank or NCUSIF-insured credit union, you have more protection than with other investments. They are backed by the full faith and credit of the US government. The government will cover up to $ 250,000 for chess. Always make sure that you follow the limits and guidelines of the FDIC or NCUSIF.

Situations where a savings account does not make sense

Even with all of its benefits, a savings account is not for all scenarios.

When you need a place for your long-term savings goals

Consider strategies that will help you earn more money over time, such as investing it. Savings accounts are great for your short-term savings or emergency fund.

When you fail to meet the minimum account balance requirement

You will need to meet the minimum account balance requirements for it to be right for you.

“Most savings accounts today will have a minimum balance requirement, which means that if the account balance falls below the minimum amount, the account will incur fees or charges, which can deprive your account of his / her interest rate that he (he) earns, ”says Juan Carlos Cruz, founder of the Britewater Financial Group in Brooklyn, New York. “Using a savings account for retirement and that low interest rate may not help keep up with inflation. “

When you are looking for big returns

A savings account will not be suitable for all situations.

“If you are looking to save for a future financial goal, there are many better options for maximizing your money,” says Jacob Dayan, CEO and co-founder of Community Tax. Bonds, CDs, treasury bills and notes are best suited for risk avenues. For those who can take more risk, there are great options like index funds and blue chip stocks. These options are much better suited than a savings account where you can put your money into and earn higher returns.

At the end of the line

A savings account may not be ideal for all situations, such as saving for retirement. Savings accounts, however, can be a fantastic tool in your financial arsenal when you need short-term savings close and safe.

“Savings accounts are like parachutes,” says Roy Ferman, Founder and CEO of Seek Capital. “Your finances could be in a tailspin, whether it’s debt, loss of income, or a potentially deadly virus that has shut down the world. A savings account will be used to catch up with your fall.

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May 21, 2021

Tax-Deferred Investment Account – What is it?

Ruth M. Baumgardner Investment account

Elderly woman checks her tax-deferred investment account

In a tax-deferred investment account, dividends, interest, and capital gains are not taxed until the money is withdrawn. These types of investments are attractive to people whose income or net worth puts them in a high tax bracket. They often expect to be in a lower tax bracket when they retire. But people in higher tax brackets aren’t the only ones considering tax-deferred investment accounts. Here is an overview of some deferred tax possibilities. Consider working with a Financial Advisor that can help you create a tax-efficient retirement plan.

What are tax-deferred investments?

When you have a tax deferred investment option, you have an account that allows you to defer payment of your federal income taxes. Instead of paying taxes up front, you can wait to withdraw money from the account. Therefore, any income you earn from your contributions is also tax-deferred. Plus, some tax-deferred investment accounts also allow you to invest pre-tax dollars, so neither your contributions nor income is taxed until you start withdrawing that money.

Some tax-deferred accounts may incur early withdrawal fees, such as when you withdraw money before the age of 59.5. When you withdraw money before the appropriate age of 59.5, you may be subject to a tax penalty of up to 10%.

These types of investment accounts differ from tax-free investment accounts. You always contribute to a tax-free account, which enjoys the same advantages as the tax-deferred version. However, there is one major difference when it comes to recovering funds. With a tax-free investment, you don’t have to pay tax on the funds withdrawn. However, they also don’t give you immediate tax benefits like you would with an IRA. or 401 (k). You will usually find tax-free accounts in the form of Roth IRAs and plans with Roth functionality, such as Roth 401 (k) s.

Types of tax-deferred investment accounts

There is more than one investment option available when it comes to tax deferred accounts. Some of the options you may come across include:

Employer-sponsored pension plans

The type of employer sponsored plan that is offered to you may vary. Some common types include 401 (k) or 403 (b), which allow both tax-deferred compounding and pre-tax contributions.

Traditional and Roth IRAs

Depending on certain factors, such as your income level, you may be able to make pre-tax contributions to your traditional IRA. Alternatively, there are Roth IRAs, but they don’t allow the same pre-tax status. Instead, they can be tax exempt if you meet the right criteria.

Fixed and Variable Deferred Annuities

Senior Asian Couples Check Their Investments

Annuities are insurance products. In exchange for the purchase of an annuity contract, the insurer pays you, generally in the form of recurring sums. They can come in different forms but fall into two categories: fixed and variable. Annuities provide you with a death benefit and other possible guarantees, which may be subject to certain restrictions. These are important tax-deferred investments for those who want to ensure their beneficiaries are protected after death.

I Bonds or EE Bonds

Series I and EE savings bonds are low risk savings products. They are also non-negotiable and bear interest, although they have some differences. For example, while they both have fixed rates, the Series I also includes a variable rate. The interest involved is tax-deferred for these two bonds until you cash them; however, it may be tax-free if you use the funds for education.

Whole life insurance

Whole life insurance is a type of permanent life insurance, which means it lasts your entire life. That is, it is a lifetime policy as long as you pay your regular premiums. A portion of these premium payments goes towards a cash value component. This cash value accumulates over time without being taxed, making it tax-deferred.

Many people view their whole life insurance as a source of emergency cash through cash value. It grows quickly with no taxes to reduce it, and interest accumulates.

Should I invest in tax-deferred investments?

Your personal situation and financial goals can help you determine if tax-deferred investments could help you. As it depends on the individual, it is worth considering whether you need to allocate assets into one. In general, these are effective savings tools for those with long term goals.

So if you think about what your Pension saving the future might look like you have tax deferred investments as an avenue. You can capitalize on your investment and allow it to grow. Meanwhile, similar investments would subject you to annual taxes which can reduce their growth.

While a tax-deferred account has its advantages, it may not always be the right option. If you are not sure whether they will work for you, talk to a financial professional. They can direct you to an investment strategy that will help you reach your long-term financial goals.

The bottom line

While there is more to an investment strategy than the taxes involved, a deferred investment could be beneficial. They offer you the possibility of building up savings without worrying about the tax consequences. If you want to learn more about these types of investments and whether they might be right for you, consider speaking with a Financial Advisor. Their financial knowledge can help you determine your options. Plus, they can guide you to the right investment strategy and find other ways to lose money besides taxes.

Investment advice

You want to make sure that you are on the right track with your long term savings. It requires a solid understanding of your current financial situation as well as what it might look like in the future. If you want a better idea of where you are, try our cost of living calculator or our retirement calculator to get an estimate.
Tax-deferred investments can be an essential step in preparing for your retirement. But juggling your accounts or planning finances for your long-term goal can be challenging. That is why it might be time to seek out a financial advisor. Looking for one shouldn’t increase your stress either. With SmartAsset’s matching tool, you can pair up with financial advisors in your area for free. If you are ready to put your plan in order, start now.

Photo credit: © iStock.com / insta_photos, © iStock.com / eggeeggjiew, © iStock.com / kate_sept2004

The post office Tax-Deferred Investment Account – What is it? appeared first on SmartAsset Blog.

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May 19, 2021

How to tell it’s time to close your savings account and open a new one

Ruth M. Baumgardner Savings account

Thinking of closing your savings account? Here are some good reasons to close your current account and open a new one. (iStock)

Is your current savings account just not working for you? You may not be happy with savings account rates, account conditions, or minimum balance requirements on your existing savings account. If so, maybe it’s time to quit … and open a new (and better) savings account.

You have options. You can stay put with your current bank or credit union, change banks, or buy a savings account online. Don’t know where to start to buy a new savings account? Visit Credible to explore multiple high yield savings options, all in one place.

5 MYTHS ABOUT HIGH RETURN SAVINGS ACCOUNTS

When to close your savings account

The best time to close a savings account is different for everyone. Here are four ways to say it’s time to close a savings account and open a new one:

You can earn a higher interest rate on your savings account elsewhere. Right now, when interest rates are low, you can earn very little on your savings. If so, check to see if your current bank offers a high yield account with higher savings rates, or take your money and run to another financial institution.
You want to switch from a variable rate account to a fixed rate account. Many financial institutions offer variable rate or fixed rate savings accounts. When opening your account, you may have benefited from a variable rate, which goes up and down with the market. When savings account rates are low, you may decide that a fixed rate account will give you better stability and value for money.
Your bank is too small to provide what you need. To eliminate the costs and overhead of offering multiple savings accounts, some rural or smaller banks cannot provide all of the options you want or need. This may be the only reason you need to change banks.
You want the convenience of working with a bank that offers online or mobile banking. It can be much cheaper for financial institutions to have a website or mobile banking presence than to maintain physical locations and employ staff. These savings often allow online banking providers to offer benefits such as higher interest rates. They may charge no fees and you can access your account 24/7 through a mobile app.

WHY PUTTING MONEY IN A HIGH RETURN SAVINGS ACCOUNT IS A GOOD IDEA

How to open a new savings account online

Opening an online savings account is relatively quick and easy. Follow these steps to find the savings account that’s right for you.

Research all of your options. Many high yield online savings accounts examine your credit score to determine savings rates. Some online banks require you to maintain minimum balances to avoid fees or offer a hook rate that expires shortly after you make your first deposit.
Find out the minimum deposit conditions. If you’re changing your savings account to earn higher interest, or moving from a traditional bank to an online bank, you’ll want to consider whether the new account requires a minimum opening deposit. You may not have the money you need to open an account.
Look for fees or hidden charges. Before opening your new online savings account, check to see if the online bank charges withdrawal fees or monthly account maintenance fees. The monthly fees add up and can negate all the money you would save by earning higher interest.

Opening a high yield online savings account is easy. Credible’s online high yield savings account marketplace allows you to compare the interest rate and minimum required balance between multiple banks, all in one place.

HERE’S HOW MUCH A HIGH RETURN SAVINGS ACCOUNT PAY

Can I close a savings account without penalty?

Most banks don’t charge any fees for closing a savings account. However, you will need to make sure to cancel any deposits or automatic payments before closing the account. To close your current savings account for free, follow these steps.

Any recurring transaction linked to your current savings account must be canceled. This can include any automatic deposit or withdrawal. To avoid insufficient funds or overdraft fees, make sure all recent transactions have also cleared before closing your account.
If you bank at a local branch, make an appointment or call to speak to a personal banker who can help you close your savings account or switch to a high interest savings account. You can also send a letter to start the process, but it will take a lot longer.

4 FACTORS TO CONSIDER WHEN CHOOSING A HIGH RETURN SAVINGS ACCOUNT

Does opening a new savings account affect your credit rating?

If you’ve improved your credit score, changing banks won’t affect all of your efforts. This is because neither savings accounts nor checking accounts are listed on credit reports because they do not involve borrowing money, such as a personal loan or credit card. Since your credit isn’t affected, switching accounts for a better interest rate on your savings account can be a great financial decision.

Do you want to know where you are? Credible offers credit scores and credit monitoring services through Experian, so you can make an informed financial decision.

TRYING TO SAVE $ 25,000 IN ONE YEAR? CONSIDER THESE STRATEGIES

Have a finance-related question, but don’t know who to ask? Email the Credible Money Expert at [email protected] and your question could be answered by Credible in our Money Expert column.

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May 17, 2021

Maybank Islamic launches MIGA-i, the first online gold investment account

Ruth M. Baumgardner Investment account

KUALA LUMPUR: Maybank Islamic Bhd’s first investment product – Maybank Islamic Gold Account-i (MIGA-i), will allow clients to open an account, buy and sell gold and transfer money gold, all easily online through Maybank’s online banking channel, Maybank2u.

Clients can start investing in gold and make buy or sell transactions starting at RM10 only through the recently launched investment product.

This service allows customers to own physical gold of 999.9% purity, as accredited by the London Bullion Market Association, without having to hold the physical gold or worry about its custody.

Datuk Managing Director Mohamed Rafique Merican said that MIGA-i differs from the conventional gold account because this sharia-compliant gold account allows clients to exchange the gold balance available in their account with physical gold. , in denominations of one gram of minted gold. to a kilogram of cast gold ingot.

The bank is also the first financial institution in the country to be able to deliver physical gold to the customer’s home after its redemption.

“Anyone can invest in gold with an initial investment as low as RM10. An initial prime rate will be given to clients with an investment of 100 grams and above to ensure that clients get the most attractive gold prices. market, ”he said in a statement. declaration.

The account is also the first of its kind on the market to allow clients to take advantage of the real-time market price to buy and sell gold.

And soon, customers will also be offered the option to place future buy or sell orders based on their preferred price through Maybank2u.

Other benefits that customers can enjoy on this account include the lower spread between the bank’s buy and sell price and there are also no additional charges when the customer transfers the gold. in grams from one MIGA-i account to another MIGA-i account.

“There is now an upward trend in gold investment among consumers. The COVID-19 pandemic has pushed risk averse investors to turn to assets such as gold which they see as a stable investment, ”said Mohamed Rafique.

For MIGA-i, Maybank Islamic has partnered with a gold bullion trading company, Ace Innovate Asia Bhd (AIAB), which has been involved in the trading of scrap gold bullion, cast gold bullion and minted gold bullion since 2011.

For more information, customers can log on to www.maybank2u.com.my/miga.

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May 11, 2021

Savings account checklist: documents needed to open an account

Ruth M. Baumgardner Savings account

Opening a savings account is a quick and easy process. In most cases, you can do this from your home. To make the process even easier, make sure you have all the documents and information you need to open a savings account.

Checklist: what you need to open a savings account

Before you compare the accounts of different banks and credit unions, here is what you will need for your application:

Government-issued ID: driver’s license or passport.
Social Security Number: Some banks will accept an Individual Tax Identification Number (ITIN) if you don’t have a Social Security number.
Date of Birth.
Address.
Contact information.
Bank Account Information: Many banks will require an initial deposit, so have your checking account and routing number ready.

Things to consider when opening your savings account

Consider a few key factors to find a savings account that will meet your needs and help you grow your money.

Deposit insurance

Look for financial institutions that offer deposit insurance. Banks should be FDIC insured, while credit unions are NCUSIF insured.

Most institutions insure up to $ 250,000 in an individual savings account in the unlikely event that the institution goes bankrupt.

Interest rate

When you save, you pay yourself. Depending on where you open a savings account, the bank or credit union will also pay you interest.

We are currently in a low interest rate environment, so you are not going to earn a big return on your savings account. However, online banking is the best option for your earning potential. Indeed, these banks without physical branches pay 25 to 50 times more than the savings rates of the largest banks in the country.

Think of it this way: you walk down the street and you see a dime, a dime and a quarter. If you can only pick up one, it won’t be the dime.

Characteristics

You will likely have a range of savings needs. With that in mind, compare the features of different savings accounts.

For example, some banks offer the option of creating savings sub-accounts which can make a big difference with your mental accounting. One sub-account may be named “vacation fund” while another is “tuition fund”. This can help you distinguish between saving for different purposes.

Read Bankrate’s banking reviews to compare banks and some of the useful features they offer.

Expert tip: How to maximize your savings account

Make money in your savings account part of your routine. Ask your employer to deposit part of your regular salary directly into your savings account or to automate monthly transfers from your checking account. Either way, you’ll benefit from a tune-and-forget strategy that lets you save money without even thinking about it.

If you’re young and start saving 10-15% of your salary, you’ll set yourself up for long-term success. As your income increases over the course of your professional career, that 10-15% amount becomes more meaningful and saves you a significant amount of money.

It’s also important to identify unexpected opportunities to grow your savings. These can be big chunks like a tax refund or a gift, or they can be as small as the money you save using coupons. Whenever you find yourself with surprise cash, it’s time to think about how to put it away – rather than spend it.

Finally, regularly reassess your needs. Know that the base layer of your savings, your emergency fund, should scale with your age. A six-month spending buffer will have a different number when you’re single in your twenties than when you’re 55 with kids in college. The goal of your savings will always be in motion. Make sure to adjust your strategy to maintain the cushion you need to cover any unforeseen costs.

Greg McBride, CFA, is Bankrate’s chief financial analyst. As an expert in personal finance, he is regularly cited in the media for his in-depth commentary and practical advice to consumers.

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May 9, 2021

Here’s how to transfer your account without visiting the bank

Ruth M. Baumgardner Savings account

Are you a client of the State Bank of India (SBI)? Thinking of transferring your SBI account? Now, transferring your SBI account to another branch has become easy. From now on, you no longer need to go to the bank to have your branch transferred. This can be done online from the comfort of your home. Due to the coronavirus pandemic, priority has been given to the digital contactless service.

“If you need help transferring your account from one branch to another then SBI is here for you. Use YONO SBI, YONO Lite and OnlineSBI from the comfort of your own home and safe from banking,” said SBI in a tweet.

Here is a step-by-step guide to transferring your SBI account from one agency to another online.

1) Log on to the official SBI website “www.onlinesbi.com”.

2) Select “personal bank” with your username and password.

3) Now click on the “e-services” tab in the top menu bar.

4) After that, click on “Transfer from savings account”.

5) Now select the account you want to transfer. If you only have one bank account in your CIF (Client Information File), then it will be selected by default.

6) Now you need to enter the branch code to which you want to transfer the account. Read and accept the terms and conditions and click ‘Submit.

7) Check all the details of your account transfer with the existing agency code and the new agency code. And then click on ‘Confirm’.

8) Once you have confirmed the details, an OTP will be sent to your registered cell phone number.

9) Enter the WBS and click on “confirm”.

10) Now a message will be displayed as follows: “Your branch transfer request has been successfully registered”.

Besides Online SBI, one can use YONO SBI, YONO Lite to transfer accounts. However, you should know that the online process can only be done if your mobile number is registered with the bank.

Previously, SBI had decided to let its customers update their KYC (Know Your Customer) information from the comfort and security of their own homes. “In view of the difficulties faced by customers due to the local lockdown induced by the second wave of COVID-19, the State Bank of India (SBI) has decided to allow the acceptance of the documents for the KYC update by mail. or by post. Customers will not be required to visit the branch for KYC update purposes. Please ensure that the partial freeze of CIF due to the KYC update is not carried out until May 31, 2021 ”, SBI informed its clients.

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May 8, 2021

The Vaccine, Your Investment Account and Warren Buffett

Ruth M. Baumgardner Investment account

It’s hard to argue that the COVID-19 virus does not continue to be public enemy number one, despite our progress. The varying degrees of openness in widely populated states will soon provide definitive answers as to whether we are taking the plunge or not. By all accounts, the trend is very favorable as measured by the reaction of the financial markets. Since it is not for this writer to influence the vaccine debate, I will simply quote the experts. The Centers for Disease Control (CDC) reports that as of 4/15/21, only 1 in 13,000 fully vaccinated Americans contracted the virus after receiving all of their vaccines. On the other hand, side effects have been experienced by a small handful of millions of people who have been vaccinated. The calculations are incredibly in favor of the vaccine, but this is America, so your choice will be honored anyway. Those who aspire to a sustainable return to normalcy – socially, financially and economically will get a vaccine as soon as possible according to experts in each of these fields.

The real debate seems to be more about the timing, not the ultimate success or failure of our battle with the virus. First Trusts suggests that if everyone had taken all of the recommended precautions and had been vaccinated at the earliest opportunity, we would have achieved collective immunity on May 1. It didn’t happen, so it just moves the date further and increases the number of deaths. (now up to 579,000 and above).

The favorable downward trend in positive cases and deaths continues to provide an improving environment for investment opportunities. Despite the multitude of things some might perceive as negative, Naira Malik – Chief Investment Officer and Head of Global Equities at Nuveen Investments continues his optimistic outlook. His team believes that the S&P 500 companies will increase their profits by 25 to 30% on average this year. This is moderately above the consensus for the financial research industry, but it looks extremely good! Their growth projections would put our level of economic output on track to reach pre-pandemic levels in early 2022. Translation: If you’re patient and ignore short-term volatility, your investment account has a lot to do with it. wait over the next few months.

On May 1st, I had the pleasure of attending the Berkshire Hathaway Annual Meeting. It was broadcast live on Yahoo.com for 3.5 hours as Warren Buffett and Charlie Munger (aged 90 and 97) passed on wisdom, clichés and quotes for as long as anyone would listen to them. While there have been countless significant takeaways, I think two were particularly worth sharing. First, never bet against America. With a relatively short history and a lot of turmoil, our capitalist system has created more wealth than any other nation known to mankind. Perhaps more importantly, Buffett sees this trend continue for at least another century. Second, on the controversial global warming debate. Berkshire Hathaway is a major owner of Chevron shares – and would have no problem owning other similar fossil fuel companies. Buffett proclaimed “Extreme people on both sides are a little crazy. I would hate if all hydrocarbons were banned in three years. It wouldn’t work. And on the other hand, what happens will be adapted over time.

I might add, of the 47 publicly traded companies in which Berkshire Hathaway owns shares, Apple Inc. is by far their largest stake. Apple is the “fruit company” that made Forrest Gump, Lieutenant Dan and Steve Jobs rich. Buffett said that if an American had to choose to keep his car or his iPhone, he would get rid of the car! He argues that current Apple CEO Tim Cook is the best business executive he’s ever seen. For an introduction to life, economics, business management, and long-term investing, I highly recommend you Google their “top takeaway list” from their famous annual meeting.

The opinions expressed in this document are for general information only and are not intended to provide specific advice or recommendations to an individual. To determine which investment (s) might be right for you, consult your financial advisor before investing. The economic forecasts set forth in the presentation may not develop as expected and there can be no assurance that the strategies promoted will be successful. The referenced performances are historical and do not guarantee future results. Not all indices are managed and cannot be invested directly. Investing involves risks, including loss of capital.

RFG Advisory and its investment representatives do not provide tax, legal or accounting advice. This material has been prepared for informational purposes only and is not intended to provide, and should not be relied upon, for tax, legal or accounting advice. Please consult your own tax, legal and accounting professional for advice on these matters.

Visit us at www.williamsfa.com. Tommy Williams is a Professional CERTIFIED FINANCIAL PLANNER ™ with Williams Financial Advisors, LLC. Titles offered by representatives registered via Private Client Services, member of FINRA / SIPC. Advisory products and services offered by investment advisory representatives through RFG Advisory, a registered investment adviser. RFG Advisory, Williams Financial Advisors, LLC and Private Client Services are unaffiliated entities. The branch is located at 6425 Youree Drive, Suite 180, Shreveport, LA 71105.

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May 4, 2021

The best ways to borrow money at no cost and maximize protection

Ruth M. Baumgardner Borrow money

0% CREDIT CARD LOANS: Good for small but complex amounts

If you want a cash loan (for example, you buy something you can’t pay with a credit card) then for less than £ 3000 a 0% money transfer credit card can be done. a way to get a lot more. cheaper than traditional loans.

Here, for a one-time fee of 3-4% of the transferred amount, you transfer money from the card to your bank account and then owe instead of the card company.

✔️ Pros: Interesting for a decent time | Can verify eligibility without applying | Regulated – can therefore go to the ombudsman if there is a problem

❌ Disadvantages: One-off costs | No protection under Article 75 | Easy excessive spending and borrowing | Refunds are not fixed, so it’s easy to underpay | Not everyone can have one

As with the 0% spend cards, money transfer cards are ideal for those who trust themselves to only use them for a one-time purchase and to clear the card before the 0% is over. These cards are complicated, so please read our guide to 0% money transfers to make sure you get it right.

BEST DEALS NOW
What really matters is what you’ll be accepted for, so ALWAYS check which 0% money transfers you’re most likely to get first.

Once you have a card, make the transfer as soon as possible. Then make sure you repay it within the 0% deadline – the best way is to set up a direct debit repayment for a fixed amount, much like having a loan, to make sure you pay it off (and never miss a payment).

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May 4, 2021

Best Ways To Borrow Money When Needed

Ruth M. Baumgardner Borrow money

Unexpected expenses always come at the worst time. Whether it’s the need for extra cash to cover an upcoming project, paying medical bills, paying for expenses after a recent job loss, or money for urgent travel. Fortunately, there are several financial products and lenders that are suitable to meet your unique borrowing needs.

Below are the best ways to borrow money when you find yourself in a difficult situation. Determine which option is right for you based on your unique financial situation.

3 quick ways to borrow money

You don’t have to be catastrophic to experience a temporary cash flow shortage that can cause unnecessary financial strain. Changing jobs or moving sometimes leads to urgent but short-term liquidity problems. Sometimes the recommended six-month rainy day fund may not be enough to cover an emergency expense. Here are some of the best options available for quick cash.

Get instant loans

Instant loans allow you to borrow between $ 100 and $ 1,500. These types of loans are funded on the same day, so you can cover all the expenses at any time. These online lenders cater to a large base of consumers, including anyone with bad or fair credit ratings. You can pay off these types of loans in 14 to 62 days.

Family and friends

Depending on how much you need, a loan or a gift from family or friends may be a good option. However, make sure you can trust the person and feel comfortable discussing your financial matters. Before taking out the loan, agree on the terms, interest rate and payment schedule. Agree in writing so that everyone involved understands the terms and establishes a loan amortization schedule that shows the required payments.

Pawn shop

The value of a pawnshop loan depends on the cost of the warranty you provide. Some items include electronics, antiques, and jewelry. A pawnshop assesses the value, condition and resale potential of the collateral and makes an offer. If the amount is close to what you need, you leave with the money and a pawnshop the same day. You can get your items back after you’ve paid off the loan within a specified time – typically 30 days to a few months.

4 effective ways to borrow money

Some options for borrowing funds are more affordable than others. If you’re looking for cash during a tough time, to start a business, pay your tuition, or even finance your home improvement project, here are some of the best options on the market.

From your bank or credit union

A traditional bank is probably the first place you’ll consider when looking for a line of credit or loan. These institutions provide their clients with various products. Some financial products include savings and chequing accounts, credit cards, personal loans, and retirement accounts. The wide choice makes your bank a flexible and convenient way to borrow money. Be sure to study Annual Percentage Rates (APRs) and loan terms when shopping at different banks.

Credit unions are member-owned financial institutions that are committed to offering competitive rates to the community. The community structure means that credit units have lower lending standards, which makes them ideal if your credit is not exceptional. Personal loans from a credit union come with attractive interest rates.

Low Interest Credit Cards

Credit cards are a suitable option for borrowing money since the providers only charge you interest on the outstanding balance. You can avoid interest accrual when you use a card with a 0% introductory offer on balance transfers. The Zero APR credit card also offers interest-free financing on purchases for a specific period of time. The period usually varies from 10 to 12 months, after which you are subject to interest rates depending on your creditworthiness.

Your Tax-Free Savings Account (TFSA)

The TFSA offers an option to store your emergency fund in a place where it grows tax-sheltered and can be withdrawn at any time free of charge. Sufficient funds for rainy days in a TFSA can, for example, make urgent repairs around the house. A TFSA is also a better option for Canadians with limited incomes than a Registered Retirement Savings Plan (RRSP).

Cash advance discovery

This is the money your bank will offer you temporarily when your checking account is overdrawn. The amount ranges from a few hundred to thousands of dollars. Cash advance facilities are ideal for solving short-term problems that require a relatively moderate amount of money. You can also access a cash advance using your credit card. However, overdrafts are expensive because banks charge a fee to protect their accounts in case you don’t have enough money to cover the transaction.

Start an app today

Whether you need a long term loan or need some quick cash, take your time and research the options available. Ask questions before you borrow money. Evaluate how much you need to find the best way to borrow. Ask if there is loan fees, how long you have to repay and if the lender performs a serious credit check which may affect your credit scores.

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