Posted on 17 January 2011
Tags: affordable, amount, assets, autopilot, balance, beneficial, benefit, brokerage firm, budget, budgets, Business_Finance, cards, checking account, commodities, Contributions, credit, credit card, Credit Cards, deposit, dollars, emergency, expense, expenses, extra charges, FDIC Insurance, Finance, finances, financial, Financial economics, financial plan, financial status, financing program, free checking account, free checking accounts, free money, habit, high interest credit cards, high yield saving account, homeowner, homeowners, household, Individual Retirement Account, Individual Retirement Accounts, inflation, interest credit card, interest rate, Interest Rates, investmen, investment, IRA contribution, minimum balance, Money, money saving, money saving tips, monthly expenses, Mortgage, paycheck, Pension, Personal Finance, purpose, refinancing, Reserve, retirement, retirement plan, Retirement Savings, risk, Roth IRA, save, save money, saving, Saving account, saving accounts, saving money, savings, service fee, shares, spending, spending plan, step, stock market, taxable income, taxes, traditional IRA, transaction fee, Types, workplace, zero interest, Zero Interest Rate
In order to save much of your money and stabilizing you financial status in the following year, you need to follow certain tips.
1. Emergency saving account
Develop your habit of saving money. Open a dedicated saving account and deposit your money right from your paycheck. This will save your money to be spent at unnecessary things. Another thing you can go for is putting your saved money on autopilot. If you follow these steps, you will certainly develop a many saving habit.
2. High-yield saving account
If you eventually decide for saving your money, you definitely need some place to put them in. For such purpose, keep three things in mind while choosing one for you. The foremost thing must be that what ever place you chose, must be easily assessable in the time of the need. Secondly, there must not be any risk of investment. Thirdly, there must be a return for your earning in order to preserve them when there is inflation.
3. Free checking account
The checking account must be an authentic one; otherwise you will lose hundreds of your dollars every year. A monthly service fee charged by an average interest-bearing checking account is $12.55.
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Posted on 10 July 2009
Tags: ability to pay back loans, american banker's association, American Banker’s Association, bank, Bankruptcy, consumer delinquencies, credit card, credit card defaults, Credit Cards, credit crisis, Financial economics, Foreclosure, home equity loans, Interest Rates, job losses, Personal Finance, Real Estate, un-employment, united states, US economy
Defaults and Late payments on home-equity loans and credit cards are climbing to the highest levels. According the the American Banker’s Association the figures are alarming and disturbing. The worst hit area is home-equity loans. If this trend continued, it has a potential to develop into a major credit crisis in near future.
How This Happened?
In my opinion availability of cheap credit and rising house prices during early part of this decade created a window for home owners to take home-equity loans. Consumers were literally treating their homes like they were liquid assets (cash in bank or ATM). They were buy consumables and services(insane). All was well until the home prices started going down and down. The market collapsed and the consumers were left in pile of debt. 
The data shows that default rates on home equity loans have climbed to more than 3.5 percent in first quarter of 2009. The late payments on credit cards is also touching 2% levels. This is a big jump compared to the figures this time last year.
One in 9 American is Jobless
The major contribution in this mess is Un-employment. According to official data, every 1 in 10 person is out of job. This is national average. there are states where every 1 in 8 people is out of job. worse thing is that is just a beginning. Job losses will keep on rising and people’s ability to pay their bills will come to a grinding halt.
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