Many people are of the opinion that savings and investments are one and the same and you may be one of those individuals. However, there are a few subtle differences so let’s have a look at these in a little more detail.
In very simple terms savings tend to be spare monies that you put to one side to cover such things as that “rainy day” situations, should an emergency occur. For instance, your car may fail its MOT and require a substantial amount of money spending on it. You may also save towards a holiday that you have planned in a few months’ time or towards paying for a celebration such as a wedding.
Therefore, savings tend to be towards events both unexpected and planned that take place over the short term i.e. perhaps a few months or in a couple of years’ time.
So, where should you save your hard earned money? Some people, quite literally, save any spare coins in a large jar that is very much an informal arrangement. Up to an extent, that is fine, but the downside is that they are not earning any interest on their capital. Others may open an instant access deposit/savings account at their bank, building society or the Post Office and, periodically, pay funds into the account. At least with this type of account they will be paid interest albeit at the moment instant access savings account interest rates are very low. These types of savings accounts carry no risk to losing your capital.
Some people will regularly transfer funds from their bank current account into their savings account by way of a standing order. In this way they get used to the idea of setting money aside on a weekly/monthly basis. Should they require funds out of their instant access savings account they can usually just transfer the amount required directly into their current account either by contacting their bank or doing it themselves online.
However, having said all the above, you could set up a savings plan whereby you are saving on a monthly basis in a stock market based investment like unit trusts. In which case, those monies should be viewed as being saved for at least five years to, hopefully, iron out any ups and downs that often takes place within equity based products as you are risking your monies. Saving over the longer term tends to be for things like planning well ahead for your retirement.
There is much debate about what constitutes an investment. It tends to involve investing a reasonable lump sum over a period of time rather than saving smaller amounts on a regular basis for easy access. Having said that, the lump sum could be as little as £100.
Some would say that the minimum term that you invest for should be for five years or more and that you invest your money in the stock market or commission certified professional organisations that invest your money in the stock market. However, some people are of the opinion that an investment could also be a one-year fixed rate bond with your bank or building society where you have not put your capital at risk. In fact, both of these are investments. It is money that you have set aside that you will not need access to until sometime in the future. If you require access to the funds sooner than anticipated there may well be a financial penalty to do so.
Investment vehicles could be things like bonds, stocks and shares, unit trusts etc. The theory is that by investing in stocks and shares you should achieve a higher return than placing funds in a savings account.
Hopefully, the above has explained the differences between savings and investments but the best thing that you can do is to seek appropriate advice from a financial adviser who will be able to guide you in the right direction.
Scott Bryan is a financial blogger who enjoys explaining the arcane world of finance in everyday terms. Formerly a high street bank manager for over thirty years, he knows that everyone has unique requirements and so is dedicated to helping you find the right solution for you. He now works as a freelance financial writer when not consulting for Profile investment portfolio management software.
Posted by admin on Jun 17, 2013 in Debt, Loans | 0 comments
Almost all the payday means quick loans are offered by individuals and those who offer credit cards and deals in this. This loan is short term unsecured loan and the quick loan system is running since much time in different countries. This loan system runs at its highest level in USA and its states. Payday/Quick loans are famous because they contain the most highest interest rate in them and if you have read the previous year’s newspapers, many people have complaint against this loan to ban it but the system is still running.
Just because the bank doesn’t proceed the to the consumers in less time so mostly people who are in hurry to have a loan they take this quick loan. Quick loan has many risks if its installments are not paid on time, unlike banks the lenders of the quick loans can do anything to receive the installments from borrower even they can have anything from their houses according to the agreement between the two.
How to get the quick loan?
First of before getting the loan, one should have knowledge of the interest rates in quick loans. For many years’ people who were payday loan lenders run this system with usury and there was not any law from them. From some last year’s some jurisdictions have given the specific limit of interest for payday loan systems. You can have idea about the interest rates that for a 100$ loan you have to pay 15$/week interest means the annual rate will be 390%. Whoa! It’s more than enough! Well if you are still interested in quick loan than let’s take a look at its process.
The process of this loan involves the investigations and proofs like banks providing loans. The lender before providing the loan needs the full verification of borrower like bank statement, any property of borrower to be kept as mortgage if the loan is big etc. and after verification the borrower is need to give a cheque of full amount plus interest fees in advance to lender in form of security and in some cases lenders even use credit cards of borrower.
Who and why people take quick loan?
Quick loans are mostly used by the people with annually income low then $40,000. They use the loan to cover their daily household expensive and in many cases they use this loan in emergency situations. According to the study the most number of quick loans are borrowed in USA and by females aged 30-44.
There are many contradictions on payday/quick loans. As the process is said to be illegal and contain much interest rate and because of this loan many people suffer from financial hardships. According to many sources during the last five years many banks plus big organizations including general public charged the complaints about this system but till now there is not any big action taken. So this was all about the payday/quick loans and if you would like to take recommendation from me than I would suggest you to not take any quick loan unless it’s a big emergency because there are much interest rates and hidden charges which can dangerous for your future life. Stay alert!
More andmore people are trying to find ways to streamline their increasingly busy lives. Shaving a few minutesoff day to day activities can help save a lot oftimeover the course of a weekor a year. One great new and innovative way to save time is with the Visa contactless pay system.
If you have never heard of it then you are in for a surprise. How many times have you stood behind someone in a queue at the checkout that is paying by card but cannot remember their pin number? Or even more frustrating, when it is you who cannot remember those very important 4 digits? How about when the transaction is taking along time to process? Through no fault of your own you can be holding up the other shoppers for what can seem like a really long time. That is all set to change with the Visa contact less pay system.
Choosing Visa Contactless as a way to pay simply means the card is scanned by the machine.Thereis no need to sign receipts or to enter apin number; the card doesn’t even have to be inserted into the device in order to connect to the banking system. It is scanned rather like the barcodes at the checkout, it takes seconds to do and the payment is processed immediately.
Anyone looking for quick and easy ways to buy things without leaving home can consider online shopping. Using the credit card over the internet to have items delivered directly to the door is a popular way to shop. Almost all businesses that accept online payments have a secure processing site to ensure there is no risk to the card account holder.
Isn’t smartphone technology great? After all, it enables us to be able to pay bills without carrying cash. It is possible to download an app for restaurants and stores which means it is simply a matter of either scanning the bills barcode or entering the code into the handset and authorising payment from your credit card.
This latest technology can be a minefield for some people, but finding out more is easier with videos and blogs sponsored by Spreaditfast, getting the word out to the public in a fun and easy to use format
In the past, forex traders were advised to always keep their emotions in check. Fear, greed, joy and anger were supposed to be left behind when a trading session was begun.
Do Not Forget you are Human
Fortunately, some would say, human beings are emotional by nature, and so it is better to spend your time learning to understand how your emotions are affected by trading, instead of trying to turn yourself into an unfeeling automaton or a clone of that famous Vulcan, Mr. Spock.
This is to say that the fear you will feel when you are getting ready to execute a trade is not to be avoided, but rather it can be used to your advantage. Fear is that intuitive sensation that sometimes arises when you are trading that makes you pause to consider the actions you are about to take. If you think back on your life, you will probably remember more than one occasion where fear held you back and prevented you from doing something that would have turned out poorly. Accept that fear is useful, and it can help you as you continue to develop as a trader.
Much the same can be said for the other emotions mentioned above. Allow yourself to experience joy when you make a good trade. This will program your consciousness to recognize similar trading situations in the future, and then to act upon them. Even greed can be useful when you realize that you are experiencing it and use that realization to exit a winning trade before the market reverses and erases your profit from that trade. Likewise, anger, generally considered a negative emotion, can be valuable in its ability to quickly teach you to avoid stupid mistakes in the future when you are tempted to try and make a trading idea succeed that has limited potential for success.
Observe Your Emotions at Work
Developing the ability to recognize when your emotions are directing you to take some action is critical to successful forex trading. You may have seen websites touting the superiority of automated or robotic trading programs. Automated programs are not completely devoid of value, but be sure to remember that they are developed by humans, and if they were perfect and everyone used them, there would be no losing trades and, therefore, no forex market.
Understanding and using your emotions to your benefit exposes a pitfall to forex trading that is generally considered as one of its primary benefits: Individual retail forex trading is primarily a solitary activity that is conducted from the comfort of your home. This has led more than one trader to determine that it would be great fun to have an adult beverage or two while trading. This is not as good an idea as it might seem upon first examination.
Alcohol affects the brain in two ways: It lowers inhibition, and it magnifies personality traits. This is not an effective way to understand emotions; it is more of a way of escaping them or losing control of them. You might become inclined under the influence of alcohol to take excessive risks while trading that you would not otherwise take, and there is enough risk and uncertainty during the best trading conditions that it is indeed foolhardy to increase these risks unnecessarily.
An Excellent Way to Understand the Role of Emotions in Trading
One thing about forex trading that is rare in most other endeavours is the ability to practice trading with a simulated or demo trading account. Think Forex demo accounts, as well as those offered by virtually every worthwhile forex broker, offer the perfect opportunity to observe your emotions at work in every conceivable trading scenario you likely will ever encounter.
Emotions are generated by the more primitive regions of the brain. These parts of the brain cannot distinguish the difference between simulated and real trading, so the emotions will be identical, albeit slightly less intense, to those of real trading. Use simulated trading accounts for as long as necessary for you to understand which of your emotions is stimulated by which trading scenarios, and you will perfect your variation of Mr. Spock’s parting phrase: Trade long and prosper.
There are a few different reasons for arranging a day out with the people from work and one of the most common ones is to try and clear up problems and achieve a better working environment in the future.
It is common to find that a team which works closely together ends up having problems due to personality clashes or badly defined roles which cross over. However, the longer you try and ignore it the worst it could get. This is why it is a sensible idea to get everyone out of the office and doing something different for a few hours.
There are many ways of doing this and corporate days out often involve a meal, a series of presentations or something similar. If you are looking for something different now then what about getting your team to walk around London and try to find some hidden treasure? This isn’t as farfetched as it might sound at first.
Choose a City
In fact, if you arrange your corporate treasure hunt with a top firm like Wildgoose you can choose from a number of UK cities in which to carry out it in. The idea is the same in all of them and if London has one advantage it is that it is so big that you get to choose from a wide number of different treasure hunts. However, wherever you are based in the UK you are likely to find one close to you.
Enjoy the Day
Some corporate days out are just events to try and get over and done with, aren’t they? If you need to do a presentation then you will probably be a bundle of nerves about this, while anyone who is going to sit through a whole bunch of presentations isn’t exactly going to be looking forward to a fantastic time of it. However, when it comes to an adult treasure hunt everyone can enjoy a relaxed and fun day. The firm organising it will take care of the all the practical matters, so you and your team members just need to concentrate on thinking about solving the clues finding that elusive but much sought after treasure.
Learn from It
Another of the big advantages to this sort of work day out is that you can learn a lot from it. It is like a top quality training session, even though it is held in the middle of the city and involves searching for a bounty of treasure. Once the game element is over perhaps the managers in the company will want to consider how best to show their staff what they have learned for it. This kind of fun event needs the participants to show the kinds of skill which they also need at work; good communication, strong teamwork, problem solving etc. If you can get some practical benefits out if it as well as a lot of fun then it will have been a very worthwhile experience.
Taking out a life insurance policy is an important step in safeguarding your family’s future. Regardless of your age or how healthy you feel today, creating a safety net earlier than later is good sense as it avoids life’s changes further down the track. Here are the top five reasons why life insurance policies are essential for anyone who wants to provide protection for those closest to them.
You Don’t Know What’s Coming
Anything could happen by the time you finish reading this sentence. If you could plan for random accidents, sudden diseases and acts of nature, then you wouldn’t have to worry about them. You can’t, so you must take precautions.
Fatal mishaps aren’t the only things you’ll need to watch out for. Career path detours and employment issues might not kill you, but they can force you to deplete any savings quick-smart and thus affect your family’s ability to live normally for years. Looking ahead by starting a policy as early as possible will make it much easier to reduce the negative effects of these kinds of life hurdles later.
You Can’t Avoid the Inevitable
Most people dislike thinking about their own imminent demise let alone talking about it. Let’s face it, regardless of what you believe; the big unknown can be scary.
For some, however, this customary avoidance acts as a source of daily stress. Being kept awake at night worrying about leaving behind your loved ones isn’t healthy for anyone. Allowing yourself to push these thoughts back isn’t easy, but making provisions for the inescapable future instead rather than dodging the subject has got to be easier! Life insurance can reduce some of this stress and feel contented with the knowledge that should the worst happen, your loved ones will be taken care of.
Covering the Gaps
Not everyone has the ability to save for their family’s future, however insurance benefits can definitely help maintain a reasonable standard of living should you die.
Life insurance policies come with many features and benefits that make them easy to customise and tailor to any income level. A good way to find a plan that fits your family’s specific needs is to compare life insurance quotes online.
Money Isn’t the Only Benefit
While the payouts that life insurance policies provide are important in and of themselves, they also have a number of critical side effects. For instance, your policy benefits might allow your spouse to stay with the kids during critical times and take care of them instead of having to work or pickup an additional job.
Just like planning for your retirement, life insurance is important in guaranteeing support for those closest to you for when you’re no longer around. Even if you’re not the primary breadwinner of the household, your policy benefits will help your survivors. While it’s true that insurance money is no substitute for your presence, it’s definitely useful for lightening the increased financial burdens that may accompany your passing.
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