Somehow Instant Costs a Lot, But Sending Money Is Now Almost Free

We grew up with the knowledge that everything that comes easy and convenient comes with a price-which is true in the past.

Going back in time, in order to send money to people who do not live near us means going through the postal office. Remember that this process involves operators who need to be trusted because you are already in doubt of sending money since money itself poses a lot of temptation. In addition, it takes several days (if not months) to be able to get the money through, if it ever does go through. Because of the impositions of such unsecured services and the length of time and inconvenience it imposes, the existence of remittance centers who handle sending money slowly grew in number.

However, at the start of their operations, the transaction fees were very high and almost unaffordable for most people which is why some still opt to transact with postal offices. The reason for this is that internet services were also costly and all the other equipment, and software needed to make the transactions possible requires a lot of investment. At this point, it has become possible but still costly and still takes a great deal of time.

With technology slowly improving and with the rise of businesses in competition, the notion of “what is instant costs a lot” has been changed or altered. Many are now able to send remittances anywhere at faster transaction times with little or limited cost. The changes couldn’t have been made possible if businesses were unwilling to participate with such changes. Although some still prefer to do old school transactions, the demand of the majority for more convenience and change has slowly turned the face of both banking and financing.

With the rise of technology, the local remittance centers were now forced to decrease the transaction charge they have for every transfer in order to remain competitive in the industry. Banks have provided its account holders with the convenience of doing online banking making transfers to account holders who have accounts in the same bank. Even remittance centers have provided online transactions so some customers who prefer online transfers can do so independently.

Although the migration seems fast, walking into offices who still assist people in sending their money proves that not all are adept with the changes. Many still prefer transacting with these institutions but the charges are visibly lower compared to how it was in the beginning. This is mainly because not everybody is already technology savvy and the services of most online applications for actual recipients are not accessible in terms of location.

We cannot foretell how long it will take for everything to go digital, but one thing has remained for sure. Each day, people are improving the standard of living to address the convenience each person needs. The financial world may have come in slow but it is slowly adapting and realizing the necessity to innovate and make the necessary changes to stay in the market. Things have changed and will continue to change at a much lesser cost all for the sake of competition.

Car Leasing – A Quick Guide

Without having a huge amount of cash lying around waiting to be spent on a car, it would be easy to think that there is no way for you to drive the latest cars around, and be stuck driving older models. Typically if you want a car, you buy it, then after 5 years you want a newer model car, but you’re stuck with a car you may struggle to sell for anywhere close to what you paid. This is without considering the amount you’ve spent on repairs & maintenance of the car.

Many people dismiss leasing a car as something best used for short term purposes, as a way to show off your car without spending thousands on a regular basis. Maybe once this was true, but over the last few years leasing a car on a long term basis has become more viable an option than ever before.

Rather than buying a car and then selling it 2-3 years later with a loss in value, known as the depreciation, car leasing is based on the principle that you rent the car from the lease operator and your payments cover the loss in value between leasing the car and returning the car, plus a small amount of profit to the car leasing
company.

Based on this, ordinarily you might pay £20000 and sell the car for £14000 3 years later, with a loss of £7500 plus maintenance & repair costs. Leasing a car means you would be paying the £8750 over 3 years, or £2916 a year spread out in monthly installments of less than £250.

The loss in value of a car over a period of time is much more important when looking at a 2-3 year time period, typically this value is worked out as; roughly 25% of the cars value is lost in the first year, 13% for the second, 7% in the third, it follows this pattern of half the previous years depreciation. So while over a longer period of time leasing a car may not work out to be cheaper due to the much lower depreciation, leasing a car is usually done over a 2-3 year period. Selling a new car this regularly would lead to huge amounts of money being lost with the higher depreciation, but with leasing a car the depreciation is what you pay for, rather than the cost of the car.

It is in the best interest of the car leasing operator to keep the value of the car as high as possible for the duration of the lease. This is because at the end of the leasing period the car is returned to them, after all it is still their property. Because of this most car leasing operators will offer free maintenance for the car, plus the new car warranty that will likely cover the new car you are leasing. This can potentially save a large amount of money compared to buying a car outright and being responsible for its maintenance, or possibly not being covered by a new car warranty.

In a lot of cases it is true that buying the car outright, over a longer period of time, would have cost the same amount or less than leasing. However this means that to buy the car you need to be able to either have a pile of cash sitting around waiting to be spent, or be willing to stay with the same model car for a much longer period of time than if you were leasing. If you wanted to replace your car every 2-3 years with a new model, leasing a car is undoubtedly a cheaper option.

Leasing a car is not a simple case of paying a fee and doing as you please while the leasing operator foots the bill. Generally there are usually stipulations in the contract that going over an agreed mileage will lead to additional costs, or that maintenance costs beyond the general wear and tear of a car will not be paid for by the car leasing operator. This isn’t as bad as it sounds, details like that are agreed upon before starting the contract. If you were to buy the car up front, you would have a harder time selling a car that has a huge mileage on the clock for as much as without. The same goes for paying repair costs that are down to carelessness. Leasing is no different in this respect, – taking care of the car you are leasing means it will cost you less money overall.

Magic Leasing are one of the UK’s most competitive, friendly, and professional leasing companies in the UK. Based out of Bolton in the North West of England, their website provides easy to find information and detailed pricing as well as contact information to find out more about Car Leasing opportunities in the North West of England.

Six Ways to Improve Your Credit Score

Making sure your credit is in the best shape possible before applying for a mortgage is crucial. You should know everything on your credit report and be able to answer questions about old and new accounts. No lender wants to hear the words, “I don’t know,” if they ask what a charge-off was. Besides, if you get familiar with your credit report early enough you will have time to address anything that’s bringing your score down. You may not think having one small mistake removed will make a difference, but it will.

1. Focus on Recent Negative Entries – If you have blemishes on your credit that you are going to address always work on the most recent ones first. Older credit problems don’t hold as much weight as newer ones.

2. Don’t Open New Credit Cards – Just because you can get approved for many credit cards does not mean you should apply or them. Some think that opening a number of cards will make them look more attractive to lenders because they have more available credit. Unfortunately, having a lot of “new” credit could actually work against you and reduce your credit score.

3. Hold On to Old Credit Accounts – Lenders love seeing established credit. If you have old credit cards you no longer use anymore because they have been replaced by newer ones with lower interest it can be tempting just to close them. This is the last thing you want to do. Old credit makes you look more established. If you have to charge one small thing on the card and pay it off monthly to ensure the card remains open then do so.

4. Always Pay on Time – Paying bills late has more consequences than just being stuck with late charges. Payment history accounts for about 35 percent of your credit score. Get in the habit of paying bills early, so you are less likely to be late.

5. Pay Down Balances – Don’t use available credit just because you have it. You may be interested to learn that 30% of your score is comprised of credit utilization, so aim to keep your used credit below 30%.

6. Eliminate Nuisance Balances – If you have a dozen credit cards in your wallet from different retailers and they all have only a small balance, these are nuisances to your credit. Pay off all these cards or transfer balances to one Visa or MasterCard (preferably an old card).

When you buy a home, your credit is going to receive a lot of attention. Order a copy of your credit report from all three bureaus early so you have time to address any concerns you discover. The smallest improvement in your credit score could result in big savings with a lower interest rate.

The Federal Fair Debt Collection Practices Act: What You Should Know!

There’s a deep emotional and psychological toll that dealing with constant calls, letters, and emails from debt collectors can take. Studies have found that most people are simply too frightened to answer these calls or even read collection letters.

The reason for this is obvious: A large number of creditors tend to use scare tactics in order to collect a debt. However, you should know that you do have rights under the Federal Fair Debt Collection Practices Act.

Knowing what the terms of that Act are will arm you with the ammunition you need to speak with debt collectors from an informed and empowered stance. Here are some of the things that you should know about the Federal Fair Debt Practices Act before you pick up the phone to negotiate with a your creditors.

Defining Debt Collectors

Debt collection companies are usually hired by banks and credit card companies on a commission basis to collect certain debts. Some debt collection companies also purchase bad debts (including student loans) from financial institutions and lenders. In either case, the people that will call you to collect debt usually work on a commission basis (meaning that they are only paid when they successfully collect a full or partial debt).

As with most people that work on a commission basis, debt collectors will try almost every trick in the book to get you to agree to a debt repayment. The problem with this tactic is that there are some things a debt collector cannot say, threaten, or do to try and obtain that payment from you.

What are those things? Take a look at the following details:

Threats of violence. A debt collector can never threaten to use violence of any kind in order to obtain payment.

Excessive phone calls: this law is a bit tricky to navigate, since there is no real meaning to the term “excessive” in this case (an attorney can determine whether or not calls are in excess, but it’s hard to do on your own).

Calling your place of employment after you have explicitly noted that you cannot receive calls at work.

Calling someone in your family and discussing your debt with that person in any way. Unless the person that a collector is calling has co-signed on a loan, your debts are your business.

A creditor cannot call you before 8am or after 9pm.

The best way to get a debt collector off of your back is to speak with a qualified attorney, and allow your attorney to stop those calls for you.