How to Pay Off a Loan Faster

Loans can be excellent tools for achieving your purchase or investment goals more quickly. However, every loan comes with accumulated interest payable by the borrower. As such, the sooner the borrower repays a loan, the more they will save on the costs of the loan. You can pay off a loan faster if you save more, pay more often, and budget effectively. Here are some tips:

Lump sums and windfalls

Use any lump sums or windfalls to repay your loan. Instead of spending the proceeds from a lottery win, your tax return, or selling your car, use the extra money to pay off your loans and save on interest.

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How to Plan for Retirement

It is never too early to start thinking about retirement. By planning early and having a well-defined retirement plan, you’ll have adequate income to maintain your lifestyle and fully enjoy your retirement years. Retirement planning can be a complicated process that involves financial management and a clear savings and investment plan, so here are some steps to help guide you through.

Step 1: Find out how much you need for retirement

A starting point is to determine how much you’ll need for your retirement years. How much you need will vary depending on your preferred retirement lifestyle, but the ASFA Retirement Standard serves as a useful benchmark or guide.

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Is it an end to the US mortgage problem?

Every year, we hear different versions of how people get in the web of mortgages and eventually, have to lose their dear possessions.  We have some good news for you: the old basic, trap-less mortgage is back.

Richard Cordray of the USA Today has stated that the Consumer Financial Protection Bureau issued the new rules to ensure transparent borrowing experience to consumers. Now, no more going from desk to desk at your bank for the remedy to your mortgage issues; it has all been eliminated. Continue reading


How to Pay Off a Mortgage Faster

A mortgage is a non-deductible expense that takes up a considerable proportion of the typical household budget. As such, it’s a type of debt that should be paid off as soon as possible. Homeowners can reduce the term of a 30-year mortgage by decades and save hundreds of thousands of dollars by managing their expenses and making more repayments. In the end, paying off a mortgage faster frees you to do more things with your money.

1. Use a budget

A budget sets a solid foundation for making extra repayments and managing expenses. Create a realistic budget, record your expenditure, and regularly review the budget. Check your weekly expenses to identify where you can save more money to divert to your mortgage.

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What is money management?

Managing your finances is money management, that’s true, but is it as simple as it sounds, and if it is, then how should you go about it?

Concept of Money Management

The key to managing money is controlling expenses, according to News.com.au. We normally do not realize how much money we spend until we exhaust the complete paycheck, by the end of the month. Why does that happen? It happens simply because we do not segregate needs and wants and over-splurge. Continue reading


How to Create a Savings Plan – A Step-by-Step Guide

Financial advisors often recommend that their clients create personalised savings plans, and for good reason. A savings plan can help you to focus on your goals and motivate you to achieve them by encouraging you to manage your expenses more successfully. These step-by-step instructions outline the essential steps for creating a savings plan, whether you’re saving for a major item such as a deposit for a new house or a smaller expense such as an overseas holiday.

1. Identify the goal

Start by identifying what you want to buy or achieve. For example, you may want to grow your retirement funds, pay off your credit cards, or buy a new car. List all your goals and categorise them as ‘short term’ or ‘long term’. Define these goals in detail so you can accurately work out how much you’ll need.

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How to Get Your Finances in Order

The start of a new year is an excellent time to review your financial plan for the coming year and beyond. The secret to hitting the mark on your financial goals and resolutions is to take the time to plan a budget and to consult it regularly to track your progress. This guide shows you how to revitalise your financial situation and achieve your financial goals more quickly.

1. Learn budgeting basics

Good budgeting involves setting financial goals, tracking your expenses, reviewing them, working out what you can cut back on, and learning to manage your spending so you achieve your goals. Set up a budget and ensure that it is as detailed as possible. Then match your budget, including your spending and savings targets, to long-term goals such as buying a new house or car.

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Overview of economy in 2014

Stocks are ready to rebound, housing price is reaching all time highs and jobs are becoming scarce; this is the real condition of 2013 economic status in the USA, Paul J. Lim of CNN stated. What will be the economic condition in the coming year? People need to know about it, in order to build up a portfolio of their shares and bonds and also to decide about their other investment decisions. Continue reading


People cramped for choices with new mortgage rules

The new mortgage rules that will take effect from January 10, 2014 would certainly make it difficult for borrowers as far as exploring different choices are concerned. As per the new rule, banks should take care to ensure that the mortgage EMI’s are designed in such a way that they become affordable for the customers, states Les Christie of CNN Money. This is perhaps the result of the Dodd Frank Law that was passed in 2010. Very stringent penalties await those who do not follow this dictum. Continue reading