For Fresh Graduates: Always Remember These Things

 Everyone has something to regret and most of the lists found in the Internet is something we could all relate to. For fresh graduates, it’s very important to understand that aside from your academic endeavours and idealistic perspective, managing finances is also very important.

 

So if you intend to know more about money before you regretfully lose it and learn as well, here are some free tips!

1.    Live Below Your Means

The line “live within your means” is incompatible as ‘below’ has become more appropriate lately with the world’s economic situation. Living below your means helps you have emergency funds while avoiding high-value objects that could become lower in value sooner or later.

2.    Build Your Credit Early

Have a credit card and always repay it in full month after month. If you have it at an early age, you could build your credit reputation with banks, which will then show you the way to better financial responsibilities in the form of more expensive but rewarding financing.

3.    Prepare For The Future

If you learn how to monitor your spending and keeping track of your expenses always be prepared for the future. If you don’t have much foresight, just remember that your employers could provide equal matches for your 401(k). Always try to save money, every small amount you put aside really helps.

Interest-Only Traps: How, Why and What Can You Do?

One could say UK banks are focused on making profits instead of ensuring consumers get the most out of their financial products. As some terms and conditions trap UK consumers into an interest-only mortgage with a very high rate, only re-mortgaging becomes the option to lower the fees.

Some UK banks have these terms and conditions:

A customer with an income of £75,000 or a joint £100,000 annual income could change their interest-only mortgage rates smoothly. 

Initially, your bank could refuse your request. But look for the following clause in your terms and conditions.

“Banks could make a decision on interest mortgage rates should they find the customer satisfactory in fulfilling the requirements needed.”

Or something like that.

If banks ignored this instance, you could talk to them. Never settle for anything less and never let your bank decide. Make sure that you feel uncomfortable with your current interest-only mortgage rates.

Remortgaging, which puts the interest at a higher rate for your mortgage, has some advantages. It reduces your taxes yearly. Think about that. But if you’re decided to lower the rates on your interest-only mortgage, then whichever works for you is better. 

Just make sure to avoid the trap. Read your terms and conditions thrice and avoid giving the bank the final decision.

Austria Is Becoming Greece. Wait, What?

Austria’s financial troubles seem to mimic the early signs of Greek financial mismanagement. According to Telegraph.co.uk’s Jeremy Warner, Austria’s failed Hypo-Alpe-Adria Bank International falls into the same category. He said that the latest turn of events aren’t yet in the eyes of financial markets or policymakers.

The Austrian government has had enough to fund the banks’ losses. The government said it would “bail-in” external creditors with €7.6 billion. The Austrian government is to cut loose an entire region and let it “go bust.”

Warner said this is a similar situation to Greece during its early financial downfall.
The bail-in for Hypo will create consequences for other Austrian banks, especially those holding a high volume of bonds from Hypo and interlinked banks throughout Europe.

Greece is Still In Trouble

Despite his charisma and intelligence with the "war of words" in Germany and other European countries, Greek Finance Minister Yanis Varoufakis bears no fruit. Greek Prime Minister Alexis Tsipras warns him to "stand down" and maintain a lower profile.
Varoufakis is told to "talk less, do more" instead of babbling with the media about his plans. He has since maintained a low profile in social media and limited his appearances in the media.
Local Greek newspapers are warning Varoufakis that his "support profits" from the Greek elections are running out because of his actions.

How Investors Lose Out Their Investments Through Emotions. [Infographic]

Three Reasons Why You Should Put Forward Your Retirement Instead of Your Child’s College Plan

For most parents, the love for their child dominates their own personal need, only to find that they may become fiscal burdens in their child’s future. Most will prioritise their kids’ college funding because it is “the right thing to do.” However, being a good parent also requires being a critical and thinking parent, and sometimes, your retirement is more important to put forward because of the following.

1.    There Are Many Alternate College-Funding Sources

You don’t have to build capital to ensure that your child gets a proper education through a college fund. Your children will have the option to get grants, financial aid, scholarships and even a college loan that can help them cover their college costs. Meanwhile, you have no other option for making up for lost money from retirement savings. Children are also likely to appreciate your fiscal investment if you tell them they are also part of it.

2.    If Your Retirement Is in Good Shape, Then Consider Saving For College

If your retirement fund is already in good shape, then it is the time to fund for your child’s college. Remember, there are avenues to get educational financing. However, you don’t have any alternative for your retirement fund. You will end up weighing down your kids when they become successful and you become a burden to them, which could strain your relationship despite your earlier good intentions.

3.    Stick With Your Financial Plan

Your financial plan gets altered when things go out of hand. When it does, you end up having to give your children their dreams rather than fulfilling yours. However, it would end up as big trouble with your children’s financial plans in the future if you haven’t fulfilled yours, or you are unsatisfied with your own lifestyle by that time. This is why fulfil your own dreams and responsibilities to yourself first before your give them anything to pursue their dreams.

Three Quick Ways to Save On Your Christmas Spending

Christmas is just around the corner. You’ve been feeling the hassles of the Christmas shopping rush, the traffic and the dent it will leave on your expenses. However, the season of giving doesn’t mean you should give a lot for the department stores and other retailers. Here are some tips you could do to decrease your spending.

1.    Credit Cards

 A high credit limit isn’t the quickest solution to help your Christmas spending. While it does allow you to enjoy the holidays and pay for your debts later, having a debt-laden Christmas isn’t exactly a bringer of glad tidings. Always use the money you have on hand. This will limit your expenses and will even improve your creativity!

2.    Consider Discount Vouchers

Right now, many mobile stores offering assorted items such as clothes, toys and even vacations have discount coupons. They even let you have free delivery if you’re just within the country. Think of the amount of money you’ll save from expenses and gas money!

3.    Get Creative

Christmas is about giving and banking on this idea means imparting not your money, but your time. Make creative projects that personalise the items you’re to gift to important people in your life this Christmas. You could also host a Christmas cook-off where everyone brings their best dishes for Christmas. This saves you lots in hosting a Christmas in your home and having a feast with people very important to you.

Things To Take Note When You’re Feeling Demotivated

It’s just the start of the week and I can’t blame you if you feel quite demotivated to do work or anything. The Monday Blues is now amedically-accepted condition. Dealing with Monday or early-week demotivation can be hard, but it is possible to do so.

1.    Charity

Giving money to charity might be the farthest thing from your mind. However, you validate your capacity to give to others by doing this. This will help uplift your spirit and mood, and have confidence in your capabilities by the start of the next day.

2.    Watch Inspiring Videos

Searching for inspirational videos will help you see that your Monday Blues is just a speck of psychological trouble compared to people who had risen from a huge setback. You don’t only get motivated, you actually get psyched and learn a few lessons that could help inspire confidence in yourself.

3.    List Your Goals

Listing your goals helps you remember them faster and activates your body’s “fight” mode. It also helps your body steer itself in the right direction. Every human being needs a goal, or else life and existence will have no value at all.

4.    Share the Love

Even if you’re demotivated, showing your parents or your lover with surprises and love helps you get the same love back. Even if they do not reciprocate, the feeling could give you a validation of your capability to exist and express yourself.