Business & Finance Posts

How to Know When You’re Getting Ripped Off

Do you feel businesses are taking advantage of you, trying to convince you to spend more than you intended? You are not alone. A recent survey showed 83 percent of women felt ripped off by mechanics. Here are some ways to protect yourself from overcharging.

 

Car Mechanics and Women

 

How to Know When You're Getting Ripped Off

 

Many women are hesitant when it comes to getting their car fixed. In fact, taking your car in for service ranks right up there with going to the dentist. But preparing yourself before going to the mechanic can help save you money.

Most women do not take the interest in cars the same way men do and as a result, they are not well versed in the way a car works. Take time to study your owner’s manual. Know when items need maintenance so when the mechanic says you need an oil change, you will know exactly when your car is due for that.

Over 45 percent of car owners admit to not keeping up with preventative maintenance. If you had a leak in your roof, would you wait until the roof caved in to fix it? By following the recommended timeline for maintenance, you will save yourself money in the long run. Learning to do some of the simple things yourself will also save you money.

Getting quotes from at least three local garages before you decide where to take your car can also lead to savings. Listen to your car as well. When talking to the mechanic, be descriptive about what you hear, what you smell, or what you see. Write it down if you need to. The more information you can offer means fewer labor charges from the mechanic as he searches for the problem.

Prepare Yourself Psychologically

Ripping someone off requires a person convincing you that you need to spend money that isn’t in your best interest. Many times, salespeople try to guilt you into buying unnecessary extended warranties. The clerk makes it seem you will regret it later if you don’t buy the warranty. You are told to buy this warranty now or risk a power surge damaging that new television. In this case, a good power cord protector makes better sense. Remember, extended warranties or product insurance plans are pure profit for the store so don’t be intimated into buying something you don’t need.

Do Your Research

An effective way to prevent yourself from an overcharge is to check out the company before you hire them. Ask friends or relatives if they are familiar with the business. Online reviews are an excellent way to find out a company’s reputation. Maintenance agreements can also save you costly repairs and have less fine print that extended warranties. These agreements call for a technician to come at regular intervals to check appliances or HVAC systems. By inspecting the equipment, a trained technician can show you a potential problem and take care of it before a complete breakdown occurs.

The best prevention against rip-offs is education. Know what you are talking about before speaking with a repair person and you will save money, time, and aggravation.

 

The Burden of Debt Arising because of Home Loan

The amount of money that is borrowed by one party from another is known as debt.  The money has to be repaid by the borrower within a specified date with interest.  A home loan is an agreement between a borrower and lender where the lender lends money to the borrower so that he can buy his property. The property is kept as security for the amount of money borrowed.  There are only a few people who can buy their house property without any financial aid. Let us discuss a few reasons for applying for a home advance.

burden of debt arising because of home loan

Different aspects of loan

Loans for homes can last for several numbers of years. It may exceed beyond ten years. You should apply for loans and make loans for repayment in an appropriate way.

  • Closure of advance by prepaying

You may go in for the closure of advance by prepaying the remaining portion of debt. You may be levied prepayment charges by the lender. It all depends on the terms of agreement.

  • Opt for one with prepayment facility

If you do not want to make that extra payment, then you should opt for a debt with prepayment facility. There are many companies which do not charge anything on the foreclosure of loan.

  • Capital appreciation

Investment in a real estate is a wise decision. In recent times, rents for homes and costs of construction are constantly rising. Now you may go in for a home debt by browsing online.

  • Take possession of your dream home

From the comforts of your home, you may make a well-informed decision. With an appropriate debt amount, you can finally be able to possess a house property of your dreams.

Hburden of debt arising because of home loan

Entitlement to Tax benefits

You will be entitled to certain tax benefits and can save to a considerable degree by taking a home debt. You can also claim tax deductions on the interest portion of loan. Deductions are also available for the processing fee. Visit here to learn more about it.

Rates of interest depending upon your requirements

There may be a fixed interest rate or floating interest rate associated with the home debt. A fixed interest rate is set at a certain amount and remains the same till the completion of payment of loan. A floating rate of interest fluctuates with the conditions of the market. You should opt in for a fixed or fluctuating rate depending upon your requirements.

Decision of taking a loan or not   

Taking a loan on home is a huge investment decision. It is a long term plan. Most of the people make home loans for a period which may extend up to thirty years. Many of them go in for floating interest rates. It is not a wise idea to make such a major decision solely by rate of interest. Twenty years or thirty years tenure is a long-term matter, and it is impossible to predict the outcome as the rates will be subject to changes. Once you decide to opt for a home loan, you should start your search for an appropriate lender who can offer the best terms after examining your eligibility criteria.

 

 

Assess the Amount of Home Equity you would Require for Debt Consolidation

Homeowners from every nook and corner are taking up debt consolidation for turning out loans for home ownership. Compared to other lines of credit they carry lesser rates of interest. Once you secure a loan for the home equity, you may also aid your finance for expenses and life events that are unexpected. Having equity in homes, you become qualified to use the home equity to integrate debts and to pay lower rates of interest. The rates of interest can be paid on a monthly basis. When you develop the interest to use home equity loans for the integration of debts, here are a few steps you must take before you commence.

Do Apprehend

The prime step towards home loan equity is the understanding of how debt integration mixes with your financial obligations. Debt integration loan may often be used for credit card payments, miscellaneous debts and auto loans. These loans can be consolidated into a single monthly payment with a low fixed rate of interest if you desire. However, there are times when despite your low monthly payments you end up paying more interest over the loan life. This can be an incidence if the term of the loan is longer. Therefore understand the whole process of home loans equity, better for prescribed payments.

Do Congregate

If you want to qualify the criterions for home loans equity, you ought to have enough ownership because you will have to borrow against the home value. Before starting to contact the money creditors, you must muster all loans, bills and latest statements you wish to consolidate. Once this step is done, you will be curious to know about the amount you owe.  You will also want to enquire about the annualised percentage rate you are paying currently and whether there are more payments you are making than the minimum amount per month. There are a few bills and statements that are suggested to be considered too.

Enumerate and scrutinise

After having compiled all the valid statements and information check online for the debt integration calculator. Figure out the total debt amount that needs to be paid off and your possible savings amount with debt integration. The calculator of debt consolidation is a free tool to help people enumerate the amount they need for consolidating their debts. Despite being very helpful, they cannot replace a financial planner. Finally, conduct your research or scrutiny to make out if the home loan equity that is secured is the perfect choice for your situation.

You must contemplate

Once you have done the final decision of utilising the home loan equity for debt integration, you must always consider the implications of it. You must arm yourself with enough knowledge to make a choice whether consolidation of debts can improve your situation financially. The next step is to contemplate your options for the kind of debt integration you would need or require. After having made considerations if you see you have enough home equity and are seeking for a lower loan interest then home loan equity for debt integration can be the perfect choice for you.

People struggling with credit card debt issues are suggested to check out for credit card debt relief so that you can make things easy for yourself and have a happy and stress-free life. Getting rid of debts and having a debt free life is a dream of everyone and if you plan well you can surely acquire the same.

Importance Of DTI Ratio While Working On Home Mortgage Loans

It does not matter whether you are ready for the mortgage qualification or not, but debt to income ratio always matters a lot. The income’s percentage, which goes for paying the mortgage debts, can always help lenders to figure out bit monthly mortgage payment, which you are able to handle. It is quite important just like your credit score and also like job stability. Lenders make it a point to work extra hard and calculate the said debt to income ratio. For that, they are going to divide monthly debt obligations from gross, income or pretax. Majority of them look for 36% or less than that, however, there are some exceptions available in the market.

Importance Of DTI Ratio While Working On Home Mortgage Loans

Checking on the ratio

The ratio is basically known as DTI in the mortgage industry. It helps in answering the amount, which you can afford for the house. It becomes a great guide for all the mortgage lenders out there, who are willing to find out the amount they can borrow. But, remember that DTI is not the full story as it has some more to it. It helps in leaving out some unavoidable monthly expenses, like utilities, food, health insurance and definitely transportation costs, among other variations. It is mandatory to keep these in mind as you are able to evaluate ability to buy a home.

Importance Of DTI Ratio

How DTI can work?

When it comes to ratio, there are practically two types relating to DTI. The first one is defined as front end ratio, which is also known as household ratio. This is basically the dollar amount relating to expenses of your home. Some examples are property tax, proposed form of monthly mortgage, homeowner’s association fees and even insurance ones. These are collaborated together and finally divided by the gross income on monthly basis. You can visit here to get some more ideas on it.

The second ratio type

Other than the front end ratio, you have back end ratio as another important option under house mortgage industry. This comprises of all forms of debts, which you need to pay on monthly basis. Some examples are student loans, credit cards, car loans and even personal loans. This is added with the proposed expenses of other household. These back end ones are a bit higher and would like to take into account some of the reliable monthly debt related obligations around here. The more you get to know about it, the better options you are about to come across for sure.

The areas matter the most

Mortgage lenders ensure to check both the types of DTI ratios, before working on the home mortgage process. But if you had to compare between front end and back end options, the latter forms major services now. It helps in taking the entire debt load into proper account. Lenders always make it a point to focus more on back end ratio for some conventional mortgages, along with loans, which are offered by online mortgage lenders or banks and not by any government programs. Get to the core of the values, before it gets too late.

6 Mistakes to Avoid When Hiring an HVAC Company

Is your HVAC unit in need of repair? If you’re looking for a company to fix it for you, it’s important to remember that, unfortunately, not all of them are reputable. These companies can do more harm than good, so you should hire the right one for the job. Dishonest companies will try to push unnecessary services like monthly maintenance plans that don’t cover anything or come up with mysterious charges once the job is done.

Sometimes they’re not even real businesses, and if they happen to be uninsured, any damages to your equipment won’t be covered. Learn about the six mistakes to avoid when hiring an HVAC company.

Not Get Everything in Writing

Signing Paperwork

Image via Flickr by danielmoyle

It’s not uncommon for dishonest businesses to add unexpected charges to your bill, take longer than usual, or use more expensive components than previously agreed. Instead of entering into a verbal agreement, have a written contract with the company discussing the length of the project and any materials that will be used.

Not Checking If the Company Is Real

Even in this day and age, there are fraudulent companies that slip through fiscalization and work with no licenses. They pretend to be real businesses and perform services that they don’t have permission to do. Check your local organization to make sure the company is licensed.

Ignoring Customer Reviews

If a friend of yours had a horrible experience with a company, you’d think twice before hiring them, right? You should check all the reviews before contacting a business to repair your cooling and heating equipment. If there are too many bad reviews, it’s a sign you should avoid the company.

Buying an Unnecessary Monthly Maintenance Plan

You don’t need a monthly maintenance plan for your HVAC unit. Reputable companies will check your equipment once a year or when a serious issue takes place. They want to ensure your unit is working efficiently (therefore reducing your energy bill) and most of the time will offer a one-year warranty to guarantee you’re satisfied.

Hiring a Company With No Insurance

Imagine hiring a company for a regular check up, and they end up breaking your HVAC equipment? If the company is uninsured, you’re unlikely to receive any compensation unless you take them to court. If you’d like to avoid a massive headache, insist on checking whether they carry any insurance.

Not Comparing Rates With Other Companies

Unless you live in a small town, there are likely to be a few companies offering HVAC maintenance services. You should research other businesses and check their prices before hiring any services. You can save a lot of money by avoiding a company which would otherwise overcharge you.

At the end of the day, heating and cooling equipment is expensive and needs to be properly cared for. In the same way you wouldn’t lend your car to an inexperienced driver, it’s essential to leave your HVAC unit in professional hands. Just remember to check the companies thoroughly, so you don’t end up hiring a bogus business.

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