If you are feeling tight with your daily cash expenses, you know how painful it is when the bank charges you more money in fees due to non sufficient funds in your account. Your account may go $10 or $15 in the negative, but you might have to pay close to $100 just in fees due to the account been overdrawn and the bank paying on your behalf for the transactions. Here are some helpful tips on how to avoid such charges.

Keeping a ledger : Working with a balance that you get online or at the ATM is not just enough. The bank balance only shows the transactions that have been posted to your account on a particular day. There are certain transactions that are not posted instantly. Rather than forgetting about a particular transaction, it is important to write down everything as you go and keep a check on the running total. That ways, you are always aware about how much money is available in your account. Banks will often change the order of your transactions held in your account. Sometimes, they post from the largest to the smallest so you need to check with your bank about their banking procedures, but it is always a good idea to maintain a ledger with yourself so that you stay safe and stay aware about the balance availability in your account.

Asking about funds availability : Some banks will hold your money for a short period of time when you deposit a check. This will allow the bank to be sure that the check will clear. Keep in touch with your bank and ask them about when the funds will be available before you start spending to avoid any unpleasant surprises.

Opt out of overdraft coverage : This feature is available with almost all banks and they have a different name for it. They want all their customers to use this feature. The fact of the matter is, as per the laws passed by the congress, it is illegal for banks to pay debit card transactions and charge you overdraft fees when they know that there is no money in your account at the time when you swiped your card, unless you give them any written permission. There are times when you want the transactions to go through, but in most cases, the bank should make you aware that there is not enough money in your account rather than charging a $100 fee, just because you spent $3 more than what you had in your account.

Overdrafts protection : Most banks will give you the option to open another account just to cover you, in case you are spending too much. The most common practice is to link your savings account or your credit card to your checking account. Just in case, if you over spend, your bank will immediately transfer the funds from the other account to cover your transactions. There is a fee for this service but it is certainly much less than spending in overdraft fees.

These are some important and helpful tips in avoiding overdraft fees. You should always check with your bank and know about their overdraft policies before opening your account with them.

If you find yourself in need of cash, you may want to consider taking out a home equity loan. These loans allow you to tap into the equity you have built up in owning your home. Read on to find out why this could be a smart way for you to borrow money.

1. Easier Qualification

Since your home is used as collateral for home equity loans, it is typically easier to qualify for this type of loan than many others. For large expenses such as home repairs, college tuition and debt consolidation, these lending services Louisiana could be the easiest route.

2. Low Interest Rates

Home equity loans normally have much lower interest rates attached to them than credit cards and even other types of loans. If you need cash but don’t want to pay high interest rates, one of these loans might be the right choice for you.

3. Lump Sum

These loans provide you with a lump sum of funds after you have applied and been approved for a loan. The money is paid back with a monthly payment that consists of interest and principal, much like a mortgage. If your home is sold, any outstanding home equity loans need to be paid in full.

4. Help Pay College Tuition

If you would like to help your children finance their college education, but lack the cash to do so, a home equity line may be a great option for you. If the interest rate is lower than those of student loans, you would save money in the long run.

When you are in need of cash, you may be able to tap into the equity you have in your home. Home equity loans typically have easier qualification standards, low interest rates, provide you with lump sums of cash and can assist in the payment of college tuition.

In your household budgeting, the place where you can do the maximum budgeting is your food budget. When you are able to save a good amount of money in your groceries, your total budget will also get balanced and you will have more funds in your savings account.

Now the question is how much can you spend in groceries? As per the recent survey it was seen that a family of four people is currently spending about $100 to $116 per week based on the “Thrifty Plan”, depending on the age of children. If you are trying to reduce your budget, here are some important tips to follow:

Eliminate eating out! Restrict your dining out to as lowest as possible. Maybe, you can do it once in a month at the maximum. Most of us get caught up in fast paced living and eat out at least once or twice every week. Its just a complete waste of money. If you are able to stop yourself from dining out, you will be surprised to see how much you can save in a month.

Minimize the use of convenience foods. If you can cook the food on your own, you can make it for a fraction of the total cost. Most of us are so used to convenience foods that we don’t want to take the pain of cooking the food on our own. You can even go through the recipe books and make the food of your choice.

Do your homework. You should always keep your eye on the weekly sale going around in your neighborhood. If you can spend some time in planning things, you will save a lot of money in the grocery shopping and reduce the food budget.

Eat vegetarian food twice in a week. Vegetarian food is always good for health. Beans and rice are good examples. Sometimes egg dishes can be a nice change in routine for dinner.

Avoid using packaged mixes. Cakes, breads, muffins, pastry, pizza dough, pancake, and waffles all come in a variety of pre-packaged mixes. You can make the same things at your home and that also at a very cheaper price.

Find out the offers in your local store. Check out the store in your area. Maybe you will find some good deals in your favor.

Now that you know how to shop and where you should go for shopping, use all your resources. Combine your rebates, sales, and coupons whenever possible so that you can purchase the maximum grocery. You need to be a little bit dedicated for this, but you can literally get paid to purchase items if you are willing to invest the time.

Investing is an important part of financial planning because it can help you make money to live comfortably today or to retire comfortably a few years from now. It is rather obvious that some investors are a lot more successful than others. Although some of their success may be attributed to catching a lucky break, many successful investors share the same key traits. So, if you want to become a successful investor, here are some of the traits you need to have or cultivate within yourself.

Patience

Patience is a key trait for investors who would like to create wealth over the long term. Patience helps you cultivate trust in the investment decisions you have made and helps you not worry about seeing a return on your investment immediately. Impatient investors pull out of great positions after a short while if they are not seeing the results they envisioned when they invested. Sticking to your plans and avoiding being swayed by present buy and sell trends will make you a better, more successful investor.

Hunger for Knowledge

Successful investors not only possess in-depth knowledge about the market, but they are always seeking new information and knowledge from various sources. They understand the position of different investment options and do thorough research about the companies, stocks, and other investment opinions they are interested in.

A good investor also studies the growth patterns of different industries and companies over the years and relies on reliable market forecasts and analysis from reputable sources like affiancefinancial.com. Using all this information, an investor also plans their point of exit if their research and prior knowledge indicate they are holding on to a losing position or option.

Risk Appetite and Aversion

The most successful investors are risk-takers, but with one key trait on top – they know when and how to take risks. Although they take risks all the time, they are smart about it and would never enter a position where there is a possibility of losing their money.

Knowing your level of risk appetite and how to avoid risks is often shaped by experience, confidence, and knowledge.

Adaptability

Although an investor has to be patient, they also have to be nimble. They have to know when to go one way when other people are going the other. Being adaptable puts you in a better place to take advantage of great investment opportunities that others might not be aware of.

Vision

Successful investors have clear goals. They set their goals regardless of how other people feel about them and with a clear plan in place on how they will achieve them. If you do not have clear goals and plans on how to achieve them, variations and market forces might cause you to deviate from your original plan. Also, successful investors are prepared for uncertainties in the market that may derail their plans and goals.

To be a successful investor, you either have to have the traits that make investors successful or learn to cultivate them. Although the traits above are a great place to start, you can always shadow a successful investor so they can teach you everything else you need to know to become a successful investor.

If you are a home buyer looking for a loan, it would be in your best interests to hire a broker. Hiring an experienced and competent professional brings a lot of advantages to the table. However, there are some important things you should know before hiring one.

What Does A Mortgage Broker Do?

A broker is a middleman who connects borrowers to lenders. He/she also manages mortgage loan processes for their customers. Brokers also help their clients to approach new lenders or manage fees. This saves their clients from the numerous hassles they would have gone through if they did it by themselves.

Their duties include ensuring that the terms and conditions of the transaction are understood by the customer, and searching for the best deals for their client. They are also responsible for submitting all the paperwork to the client and ensuring that their client gets an option that saves money. Click here to learn more about the duties of a broker.

Who Needs a Broker?

If you need a loan for a house, car or any other property, a good broker will help you obtain them at the best interest rates possible, without all the stress involved. Brokers also present you with loan opportunities that you would not have found if you were searching by yourself.

Benefits of a Mortgage Broker

Mortgage brokers bring various advantages to the table such as…

1. The Expertise and Skills Necessary to Meet Your Requirements

Brokers lead their clients through the various procedures involved with obtaining loans, handling any issues on the way, and also taking care of the process of the transaction. If, for instance, their client has poor credit, they look for lenders who are more favorably disposed to meet their client’s needs. Because of their knowledge in these matter, they are also helpful to people who want to obtain larger loans from institutions such as banks.

Note: Keep in mind that some banks don’t work with mortgage brokers.

2. Saves You a Lot of Time

Instead of filling forms for individual lenders, you are only required to fill one if you are working with a broker. He/she also provides you with a comparison of the recommended loans and points out closing costs, cost differences, and rate points of each loan. This saves you a lot of time in the long run, and ensures that you go through all the best available options.

3. Saves You a Great Dealof Money Without Any Hidden Costs

Brokers receive loan offers from lenders from a wholesale perspective. Some have even built long-term relationships with the lenders. As a result, their clients are offered the best available rates. This lowers the overall cost of the loan for the borrower. Good mortgage brokers should give you the details of the total loan cost and also inform you of how they receive payment for their work.

4. Searches for the Best Deals Available

Rather than preserving the interests of lending institutions, good brokers should have their client’s interest at heart. They act as knowledgeable consultants and agents for their clients. Good brokers also offer great value when it comes to loan products, interest rates and repayment amounts. This comes as a result of having access to various mortgage products. In order to identify your needs, a broker will interview you.

Depending on the situation, the loan may be more demanding than a 15 year or an ARM (adjustable rate mortgage). In such cases, complex strategies and solutions are required; this is another benefit of hiring reputable and experienced brokers. With their years of experience in the field, they can easily and efficiently plan everything out for you. You can visit sites such as https://www.wealthyyou.com.au for some of the best mortgage brokering services for readers in Australia.

5. Gives You Access to Numerous Loan Options

Due to their network and years of experience, competent brokers can offer you different loan options from various lenders. This increases your chances of getting your loan at the best interest rate possible.

Downsides of Hiring a Mortgage Broker

Despite the various benefits that come with hiring mortgage brokers, there are also a few disadvantages which you should take into account such as…

1. Diminished Benefits Today

In the market of today, you may not benefit much by enlisting a broker. In previous times, brokers were hired by people who had trouble accessing lending programs by themselves. However, today, you simply have to do a search online and compare the available lenders. As a result of this, you don’t have to spend money paying a broker. Even though some lenders don’t work with brokers, this doesn’t mean they are obsolete. You can still hire them to help you with your loans.

2. Not Always Working to Preserve Your Interests

If we are being honest here, no broker is going to tell you that they don’t have your best interest at heart. However, there are some that don’t. Most brokers try to connect you to a lender that meets your needs but some will direct you to lenders that will pay them higher commission. The rates offered by such lenders may not be ideal for you and may be more expensive than what you are comfortable with. That’s why you must choose the best mortgage broker available. It’s important that you check carefully to ensure that the broker isn’t just looking for his/her own personal gain.

3. Cost to Hire Them

One major downside of hiring brokers is paying them. They receive payment from you, even if you don’t pay them directly. Some lenders will give them a fee for bringing a customer. In some cases, their fee is subtracted from the loan, regardless of the process. In such cases, the chances of getting a discount from your bank are slim. As a result, the broker’s payment is added to the loan’s closing cost. This may not seem like a big deal to some people, but you need to keep in mind that every dollar counts.

How Much Would It Cost To Hire A Good Broker?

The fee collected by most brokers is a combination of payments from the borrower and from the lender. The price varies depending on the expert you hire. However, they take about 1% to 2% of the total loan most times. Always ensure that you are informed about their fees before enlisting their services in order to avoid any surprises when you finish a transaction.

When Do Brokers Receive Payment?

Most times, brokers receive payment after the release of funds and when the loan is closed. This depends on the accounting schedules of the lenders. In some cases, this could be a month after closing the loan. To learn more about this, you can read this article.

Conclusion

Enlisting the services of a mortgage broker opens up a lot of opportunities. You get a wide range of loan options and have access to the best interest rates available. Even if you have poor credit, they can connect you with a lender that can provide you with the amount you need to buy a property. In a few cases, he/she may be looking for his/her own gain. It is advised that you ensure that whoever you hire has your best interests at heart.

Are you looking to lower your mortgage payments? Maybe they’re just too high for you at this point in time or maybe you’re simply looking for more flexibility in your monthly budget. 

Either way, you’ll be happy to know that this can be done, and the way to go about it is refinancing. 

Now, there are several paths you can take to make this happen, and you should also keep some important things in mind before you decide to initiate the process. 

Don’t worry, we’ll cover the most important of them in this text and prepare you well. Let’s get going!

Refinancing because the interest rates are lower

It’s not uncommon for people to refinance their mortgage because they see that the interest rates have become lower. It certainly seems logical – why not take the chance to pay lower monthly instalments if you can?

Just remember that if you’re changing lenders, you may need legal help to complete the process, and Optimal Solicitors from Manchester specialize in that.

However, there is a catch. If you opt for this, you can expect to have to pay the so-called refinance closing costs. And this can be a fairly significant amount, too.

So, you have to calculate how much you stand to save if with a lower rate and compare that to the total refinancing costs that you’d have to pay. It is generally considered worth it if you can get the rate down by one per cent, but that depends on your situation, of course.

Refinancing to gain more time to repay the mortgage

Another popular solution when it comes to paying the mortgage is refinancing in such a way that you extend the period you have for that. Essentially, you will be moving the deadline down the road.

For example, if you have a 30-year loan on your hand, a part of which you’ve already paid off, you can transform the remainder into a completely new 30-year loan. That way, you get your mortgage payments down.

However, the main thing to consider when making this move is the interest that will accrue this way. Yes, you will breathe much more easily every month but will also end up paying more in total. You have to ask yourself is that really worth it.

Naturally, if you simply can’t make the payments anymore, this move can be a lifesaver that helps you get back on your feet.

Getting rid of insurance

Apart from helping you directly with lower payments, refinancing can also help you in another way. If you refinance and turn your mortgage into a standard loan, you may be able to be rid of mortgage insurance, which will bring your payment down.

Just remember that if you were sold payment protection insurance in a dishonest way, there are legal experts that can help you get compensated for that.

The fee that applies to insurance can be anywhere between approximately 0.5% and 1% on an annual level, but this will depend on a variety of factors.

So, you have quite a few options when it comes to refinancing your mortgage. Analyse them all before making a decision, preferably with expert help by your side.