Money Balances – Wagdy Ghoneim http://wagdyghoneim.com/ Sat, 22 Jan 2022 01:53:52 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://wagdyghoneim.com/wp-content/uploads/2021/03/wagdyghoneim-icon-70x70.png Money Balances – Wagdy Ghoneim http://wagdyghoneim.com/ 32 32 Advantages, disadvantages and who should create an account https://wagdyghoneim.com/advantages-disadvantages-and-who-should-create-an-account/ Fri, 21 Jan 2022 22:09:20 +0000 https://wagdyghoneim.com/advantages-disadvantages-and-who-should-create-an-account/

Personal Finance Insider writes about products, strategies, and advice to help you make smart decisions with your money. We may receive a small commission from our partners, such as American Express, but our reports and recommendations are always independent and objective. Terms apply to offers listed on this page. Read our editorial standards.

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*Personal Finance Insider normally includes an investment platform’s Better Business Bureau rating in this row, but Titan does not have a BBB profile at this time.

Is Titan for you?

Titan is an investment company offering active portfolio management to individuals in the United States. Built from a team of experienced Wall Street professionals, the firm offers active portfolio management and hedge fund-style investing to all investors – something that has traditionally been reserved for ultra-high net worth individuals.

Titan also supplements its investment offerings (which include cryptocurrencies) with helpful resources such as jargon-free market research and educational articles/guides.

The company’s mobile app is available on iOS and Android devices.

Not sure if Titan is for you? Keep reading to see how it stacks up against similar investment platforms.

How does Titan compare?

If you’re looking for professional portfolio management, Titan, Wealthfront, and Betterment are all great options. Each platform also offers a range of portfolio options, but their minimum requirements, fees, and investment options vary.

Wealthfront and Betterment are two household names in the robo-advisor space, but Betterment is a stronger choice for those looking for human advisor advice. Wealthfront could be ideal for passive investors who want exposure to both ETFs and alternative investments such as crypto-trusts.

Titan, on the other hand, is a great option for hedge fund-focused investors who have access to top-performing domestic and international stocks, cryptocurrencies, and other assets.

Ways to invest with Titan

Managed portfolios

Titan is best for those who want to sit back and let the professionals handle their investments. You can start with as little as $100, and you’ll have the choice of an individual account or an IRA. Titan has two separate advisory fees: (1) a $5/month fee for balances less than or equal to $10,000 and (2) a 1% annual fee if you have more than $10,000 in net deposits on your account.

Although the annual fee of 1% is higher than the fees of most investment platforms that offer portfolio management, it is still around half of the typical hedge fund advisory fee (2%/year), according to Titan. When it comes to its investment portfolios and strategies, Titan invests your money in a mix of four:

  • Flagship: Titan says this strategy focuses on finding high-quality US companies that can outperform the S&P 500 Index. The large-cap strategy contains 15-25 stocks and has an annualized rate of return of 18.8%.
  • Opportunities: This portfolio also has about 15-25 stocks, but instead focuses on identifying smaller US companies that have the potential to generate significant returns. Its annualized rate of return is 40.6%.
  • Offshore: As the name suggests, Titan indicates that this strategy focuses on companies in emerging/developed markets from other countries. Its current annualized rate of return is -22.6%.
  • Crypto: The crypto strategy holds around 5-10 coins and currently has an annualized rate of return of 120.7%.

You should note, however, that the Titan Opportunities and Titan Offshore strategies have a minimum requirement of $10,000. You will only be able to use Titan Flagship and Titan Crypto if you have less than $10,000 in net deposits.

If you’re new to the market, you might also find Titan’s market commentary and investor updates particularly useful. The company regularly publishes short, digestible guides to keep you up to date with all things investing. Plus, it offers several educational articles on all things investing.

Is Titan Trustworthy?

Personal Finance Insider rates reliability by reviewing each investment platform’s Better Business Bureau profile. The BBB bases its ratings (which range from A+ to F) on how well it believes each company interacts with its customers.

Although Titan does not currently have a BBB profile, it is still important to do your due diligence before making a final decision. And as for its track record, Titan’s slate is free of any major scandals or lawsuits.

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Australian Regulators Weekly Digest — Monday, January 17, 2022 https://wagdyghoneim.com/australian-regulators-weekly-digest-monday-january-17-2022/ Tue, 18 Jan 2022 08:34:41 +0000 https://wagdyghoneim.com/australian-regulators-weekly-digest-monday-january-17-2022/

Stay current with the latest trends in financial services regulation and compliance?

Investing time in your professional development within a rapidly changing financial services industry is a challenge. To meet this challenge, the Australian Regulators Weekly Envelope is designed to keep you at the forefront of your practice by quickly settlingng on the five main developments of the past week, analysis and practical considerations for the future.

  1. Liquidity facility (APRA): APRA issued a letter to banks announcing that the overall committed liquidity facility was reduced to $102 billion on January 1, 2022 from $140 billion on September 10, 2021. As of January 2015, ADIs to which APRA applies Basel III liquidity standards must hold sufficient High Quality Liquid Assets (HQLA) to withstand a 30-day stress period as part of the Liquidity Coverage Ratio (LCR) requirement. Apart from government securities, the only other significant assets recognized in HQLA are the liabilities of the Reserve Bank; namely, banknotes and ES balances. The Basel III standards allow jurisdictions to use an alternative treatment for holdings of HQLA stock when the supply of HQLA is insufficient. The Committed Liquidity Facility is the Reserve Bank and APRA’s alternative treatment and, under this agreement, certain ADIs may use a contractual Reserve Bank Liquidity Commitment to meet their LCR. The letter is available on the APRA website here.
  2. Claims management (ASIC): ASIC has issued a helpful reminder about consumer complaint handling requirements. It notes that from 1 January 2022, persons providing claims handling and settlement services must hold an Australian Financial Services License (AFS); insurance applicants have the right to ask whether those assisting them in handling claims are licensed; and, ASIC will work with the industry to address any challenges it may face during the implementation of these important reforms. The update is part of ASIC’s role in educating the public about unscrupulous operators operating without an AFS license, and I think it’s a good job in that regard!
  3. 2021 in review (OAIC): OAIC has released a useful infographic covering its activities in 2021. Other than expected activities, e.g. CDR integration, the most useful detail for me was the data breach statistics. OAIC said it ensured that more than 700 data breaches were notified to individuals, rectified and corrected, that it finalized Commissioner-initiated investigations into high privacy impact technologies , security and access to information, and that it has finalized more than 2,000 privacy complaints from individuals. That’s quite a boost – expect more, especially as the OAIC gets more capacity.
  4. Financial Advisor Exam (ASIC): from January 2022, ASIC will take over the administration of the Financial Adviser Standards and Ethics Authority Financial Adviser Exam after the start of the exam Financial Sector Reform Act 2021 (Hayne Royal Commission response — best advice) (Cth). Financial advisors who are “existing providers” or new financial advisors must pass the financial advisor exam to meet the professional standards for financial advisors. Passing this examination is one of the education and training standards specified in Section 921B of the Companies Act 2001 (Cth). The exam tests the practical application of a financial adviser’s knowledge in the following areas of competence: regulatory and legal requirements for financial advice, including obligations under Chapter 7 of the Corporations Act, the Anti-Money Laundering and Terrorist Financing Act 2006 (Cth), the Privacy Act 1988 (Cth) and the Tax Agent Services Act 2009 (Cth); the construction of financial advice – i.e. the relevance of advice adapted to different groups of consumers, integrating consumer behavior and decision-making; and, applied ethical and professional reasoning and communication, incorporating Code of Ethics for Financial Planners and Advisors 2019 The first session of the Financial Advisor Exam for 2022 begins on February 17, 2022, with registration closing on January 28, 2022 – good luck to those taking the exam!
  5. Debt management services (ASIC): remember that in addition to claims management services, debt management services now require a license! ASIC has been quick to point this out recently, for example with regard to SR & Associates. On April 29, 2021, the Domestic consumer Credit Protection (Debt Management Services) Amendment Regulations 2021 (now defined in the National Consumer Credit Protection Regulations 2010) have been made which prescribe certain debt management services as a “credit activity” for the purposes of the National Credit Act. Under these amendments, as of July 1, 2021, debt management service providers (including companies offering “debt negotiation” or “credit repair” services) are governed by national law. on credit and are required to obtain an Australian Credit License Authorization to provide debt management service.

Thought for the future: the US SEC is very public about how it financially rewards whistleblowers – see here, for example. We don’t have the same system in Australia – although it has been considered recently – but I think we can expect ASIC to continue to be active in encouraging whistleblowers to come forward this year under the new company law regime.

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Under Buhari’s watch, FG agencies paid staff N132.5 billion in unapproved allowances in 2019 https://wagdyghoneim.com/under-buharis-watch-fg-agencies-paid-staff-n132-5-billion-in-unapproved-allowances-in-2019/ Sun, 16 Jan 2022 16:55:18 +0000 https://wagdyghoneim.com/under-buharis-watch-fg-agencies-paid-staff-n132-5-billion-in-unapproved-allowances-in-2019/

WORKERS from 20 Ministries, Departments and Agencies (MDAs) of the Nigerian Federal Government received irregular payments and unapproved allowances amounting to N132.5 billion in 2019.

The development was disclosed in the 2019 audit report issued by the Auditor General of the Federation.

Irregular payments/unapproved allocation payments were among the cross-cutting non-compliance issues that were identified in at least four MDAs covered by the audit.

The payment of unapproved and improper allowances to staff violated paragraph 415 of the federal government’s financial regulations requiring all officials responsible for expenditures to exercise caution.

“Money shall not be spent simply because it has been voted,” states paragraph 415 of the Financial Regulations.

– Advertising –

However, the audit revealed that irregular payments/unapproved allowances totaling approximately N132.5 billion were made to 20 MDA staff in flagrant disregard of financial regulations.

Nigeria’s Security Printing and Minting Plc was the biggest offender, paying around N97.9 billion in severance and irregular payments to its workers.

The National Commission for Colleges of Education in Abuja paid 2.8 million naira in compensation and irregular payments to its workers – the lowest amount among the 20 MDAs involved in the breach.

Other agencies implicated in the breach include: the National Hajj Commission and the Nigerian Ports Authority.

– Advertising –

The audit report also highlights the misuse and embezzlement of public funds by several MDAs.

Specifically, the audit indicates that 10 MDAs misappropriated or misused a total sum of N18.1 billion.

The Federal Ministry of Agriculture and Rural Development embezzled/misused the sum of N11.5 billion – the highest amount recorded among the 10 MDAs found to have mismanaged public funds.

The Public Complaints Commission misappropriated/misapplied the lower amount – N1.8 million.

The audit also observed cases of extrabudgetary expenditures/transfers without approval in MDAs.

– Advertising –

Section 80(4) of the Constitution of the Federal Republic of Nigeria, 1999 (as amended) states that “No money shall be taken out of the Consolidated Revenue Fund or any other public fund of the Federation except from the manner prescribed by the National Assembly. .”

In addition, paragraph 417 of the Financial Regulations stipulates that expenditures must be classified strictly in accordance with the estimates and that appropriations must be applied only for the purposes for which the funds are provided.

The Regulations state that “expenditures wrongly charged to an appropriation will be disallowed”.

But in violation of constitutional and regulatory provisions, nine MDAs spent N49.5 billion without approval in 2019.

The 49.5 billion naira was not budgeted and the transfer for disbursement of funds was not approved.

The Federal Ministry of Agriculture and Rural Development recorded the highest amount of off-budget expenditures/transfers without approval at N48.4 billion.

The Pharmacists Council of Nigeria, Abuja has the least extra-budgetary expenditure – N1.6 million.

The 2019 audit report further observes that five MDAs paid the sum of N6.2 billion for unperformed contracts/services.

The Nigerian Ports Authority paid the highest amount for unperformed contracts/services – N4.5 billion.

Federal Treasury Circular Ref. N°: TRY/A12 & B12/2013, dated November 19, 2013, made it mandatory to pay back unspent balances to the Treasury on December 31.

However, the audit revealed that four MDAs flouted the circular by failing to return to the Treasury unspent balances on capital votes amounting to N6.1 billion.

The Anambra-Imo River Basin Development Authority, Owerri, failed to return unspent balances of N2.5 billion to the Treasury while the Veterinary Council of Nigeria, Maitama, Abuja, failed to return returned the sum of 36.1 million naira.

The audit also revealed that 18 MDAs awarded irregular contracts worth N4.4 billion.

Irregular contracts were awarded without following due process.

Of the 18 MDAs involved in the practice, Nigeria Police Headquarters recorded the highest amount spent on irregular contracts at N1.1 billion.

The audit also revealed that five MDAs paid the sum of N227 million as professional fees to external lawyers who were engaged without the approval of the Attorney General of the federation.

Establishment circular Ref. no: SGF/PS/CIR/625/I/1 of July 16, 2003 requires that the prior consent and approval of the Attorney General of the Federation be obtained before the engagement of external notaries and lawyers by MDAs and payment of professional fees. charges for these services.

Nigeria’s Security Printing and Minting Plc paid the sum of N112.3 million to outside lawyers who were hired without due process – the highest amount spent on the illegal activity.

* Audit report contradicts Buhari’s claims on anti-corruption war

Findings from the 2019 audit indicate that corruption is still thriving in Nigerian government institutions, despite claims to the contrary by President Muhammadu Buhari.

Buhari had, in a message to Nigerians to mark the New Year on January 1, said his administration was winning the war on corruption.

He said, “We have given the highest priority to the fight against corruption and other related offenses which have been a scourge on the growth and prosperity of our dear nation.

“We have made major strides and breakthroughs through the innovative use of technology and forensics in investigative and prosecutorial proceedings with commendable results to show that our administration’s anti-corruption campaign is succeeding.”

Buhari also claimed that the “achievements” recorded in the war on corruption could be attributed to the support his administration had given to anti-corruption agencies.

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AG Keith Ellison backs $1.85 billion settlement with Navient https://wagdyghoneim.com/ag-keith-ellison-backs-1-85-billion-settlement-with-navient/ Fri, 14 Jan 2022 23:57:24 +0000 https://wagdyghoneim.com/ag-keith-ellison-backs-1-85-billion-settlement-with-navient/ One of the largest student loan servicers will disburse a total of $1.85 billion to student borrowers nationwide.

ST PAUL, Minn. – In 2008, Misha Brave did what many of us have done. She borrowed money from the student loan service, Navient.

“I was really going super blind,” Brave said. “I got a community college loan because I felt like it was my best option at the time… All the interest on that one ended up being closer to $10,000, which ‘they ended up getting to me via my tax returns. They just took my tax returns for a few years.’

Thirty-nine attorneys general announced a settlement with Navient totaling $1.7 billion in debt forgiveness and $95 million in restitution nationwide.

Attorney General Keith Ellison, who was one of 39 AGs involved, said the settlement, which includes about $14 million for Minnesota borrowers, is necessary because Navient deliberately misinformed the public.

“They were doing a lot of things to basically extend the length of the loan period and make you pay more by keeping you in the loan products and not offering or even telling you that there were ways for you to d ‘get loan forgiveness,’ he said.

Navient “expressly denies breaking any law”, but the company has agreed to cancel the balances of around 66,000 borrowers born between around 2002 and 2010 and said it would notify those affected.

To check for yourself, Ellison says to contact the attorney general’s office by phone at 651-296-3353.

“And it’s not just young people, either,” he said. “It’s the parents who co-signed. Sometimes it’s the grandparents…it’s an intergenerational problem.”

Student loan debt is greater than any other type of debt, including credit card debt, he says.

“Because of the high amount of student debt, young people are delaying forming a family, delaying marriage, you have young people who have doctorates and higher degrees who are still living in their parents’ basement”, Ellison said. “Of course, this crisis isn’t hitting everyone equally. Students of color and low-income white students are hit harder because they have to borrow more because their family income just isn’t there to support them. pay tuition.”

More than 4,000 Minnesota federal borrowers will be eligible for a small restitution payment. Another 432 Minnesota borrowers will receive debt forgiveness from their private loans.

Although Brave is unlikely to be eligible for this settlement money, she is considering the possibility of being reimbursed.

“Getting that money doesn’t mean as much as it would have meant at the time; how many opportunities it took away from me in general,” she said.

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People want to start spending again and inflation is ruining it https://wagdyghoneim.com/people-want-to-start-spending-again-and-inflation-is-ruining-it/ Thu, 13 Jan 2022 05:00:00 +0000 https://wagdyghoneim.com/people-want-to-start-spending-again-and-inflation-is-ruining-it/ The never-ending pandemic makes millions of people feel like their lives are on hold. Many of them also feel that their financial growth has stalled.

Americans started hoarding money at the onset of Covid-19. They worried about their health, their jobs and the prospect of a deep recession that never really happened. As the pandemic dragged on, some kept their accounts in a protective squat and racked up record levels of savings, while others began to spend.

Those who spent led a rally in the prices of homes and cars. Today’s supply chain and other issues are driving up the prices of everyday items and services. Data from Wednesday showed inflation as measured by the U.S. Consumer Price Index rose 7% in December as prices for rents, groceries, gasoline and more rose. .

Financial advisers and economists say some consumers feel defeated.

Some of these Americans are still not sure how to spend their savings given the newer variants of the virus. Others are unhappy that their wages do not keep pace with inflation. Those who have suspended spending for a while say they are outbidding everything from cars and homes to rental properties and construction equipment.

“The prices have gone up so much. It’s frustrating trying to plan, ”said Dr. Ann Kier-Schroeder.

Dr Kier-Schroeder, 72, and her husband, Dr Friedhelm Schroeder, 74, have been living in their RV for more than two months after selling their College Station, Texas home for about $ 1.5 million. dollars.

“The prices have gone up so much. It’s frustrating to try to plan.


– Dr. Ann Kier-Schroeder

The retired professors planned to build a new home on the 1.5 acres of land they had purchased near their adult daughter and her family in Montgomery, Texas. They hoped to build it for around $ 800,000, but realized that the costs of building materials such as lumber would raise the price to over $ 1 million.

The couple are now wondering if they should wait or if the wait will delay them even more.

“It’s all in limbo,” said Dr. Kier-Schroeder.

Americans are better off than they’ve been for some time, with rising 401 (k) balances, record savings, and plenty of job openings. Not that it makes them all feel more secure.

Frustration appears to be higher among Americans who say Covid-19 has changed their attitude towards money, according to a 2021 survey by research firm Hearts & Wallets. Of that group, 66% said they wanted to save jobs better, compared to 34% of respondents who said Covid-19 had not changed their perspective on money, survey found .

An April survey of approximately 2,442 adults by Bankrate found that 39% of Americans have postponed a financial milestone such as buying a house or car due to the pandemic. That number may be higher given tightening markets and prices – even used cars and trucks are up about 37% year-over-year, according to the Labor Department.

Overall, Americans are racking up nearly $ 1.6 trillion in surplus savings from the pandemic. There is evidence, including Federal Reserve credit card data, that they’ve started spending a bit more recently.

People tend to think of money as the biggest barrier to getting the perfect home or car, said George Loewenstein, professor of economics and psychology at Carnegie Mellon University.

“They might have more money now, but supply issues and inflation are taking away what they thought was finally within their reach,” he said. “It just drives some people crazy.”

Lauren Lindsay, financial planner in Houston, encourages customers to consider alternatives when long-distance vacations are canceled or the new car they want is unavailable due to shipping delays. She asks them if they would consider another car or if they would consider driving their current vehicle longer. Or she might suggest a shorter vacation until the mega-trip can take place.

Letting people talk and think about alternatives is helpful, she said: “People just need to let off steam and be heard.”

While inflation dampens the power of paychecks, the 3% increases do little to encourage employees.

“It was good when inflation was 2%, but not so much now,” said Minneapolis-based financial adviser Mark Struthers. He advises clients to seek increases or refunds to offset the costs of working from home, including higher heating bills.

SHARE YOUR THOUGHTS

How did you change your financial goals during the pandemic? Join the conversation below.

Workers should also maximize benefits such as health and dependents savings accounts, paid training and any reimbursement of costs associated with working from home, he said.

Even the stock market’s astonishing performance – the S&P 500 rose more than 25% in 2021 – leaves people gloomy, advisers say. Some don’t know how high the market can go, and cash and bonds almost drop to zero, meaning savers feel left behind.

Customers feel “crippled” as to where to invest, said Jay Lee, financial planner in Jersey City, NJ. He finds cash balances north of 20% of the investable portfolios of some newer clients.

Many financial advisers recommend having around 10% or less cash in an investment portfolio.

Mr Lee needs to tell clients that it’s risky to stay in cash when dollars are actually worth less as inflation rises, he said.

He advises people to take an inventory of what is in all of their accounts and create an emergency account of about six months of spending. Then people should tackle short-term goals like paying for their child’s braces or eliminating high-interest credit card debt. The rest should be invested in a low-cost, long-term, diversified portfolio, he said.

“You will continue to be frustrated if you try to time the market,” Mr. Lee said.

Write to Veronica Dagher at veronica.dagher@wsj.com

Copyright © 2022 Dow Jones & Company, Inc. All rights reserved. 87990cbe856818d5eddac44c7b1cdeb8

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Live Digital Currency Conclave: Discussion on Cryptocurrency / Bitcoin / CBDC Future, Price, and Law in India https://wagdyghoneim.com/live-digital-currency-conclave-discussion-on-cryptocurrency-bitcoin-cbdc-future-price-and-law-in-india/ Tue, 11 Jan 2022 09:43:12 +0000 https://wagdyghoneim.com/live-digital-currency-conclave-discussion-on-cryptocurrency-bitcoin-cbdc-future-price-and-law-in-india/

Digital Currency Conclave 2022 Day 1 Live Updates: As crypto / digital currencies and blockchain, the technology behind digital currencies, grows at a rapid pace in India, there are several contested issues on which clarity is required.

Conclave on digital currency 2022 Day 1 Live news: Amid the uncertainties of Covid-19, Bitcoin, Ethereum, and other cryptocurrencies have garnered special attention in India and around the world. Many see digital currencies (including private cryptocurrencies) as the future of finance. However, in the absence of regulation, cryptocurrencies are currently reduced to being a speculative asset class with extreme volatilities.

Watch: Digital Currency Conclave

According to the latest research from Markets-and-Markets, even banks have started buying cryptos for the first time. In the United States, banks are creating their own blockchain-based systems, including digital currencies, to enable B2B cryptocurrency payments between their customers. In October 2020, PayPal announced that its customers will be able to buy, sell and hold Bitcoin and cryptocurrencies using their PayPal accounts. The size of the cryptocurrency market is expected to grow from $ 1.6 billion in 2021 to $ 2.2 billion by 2026, at a CAGR of 7.1%. The transparency or distributed ledger technology and the growth of venture capital investments are the key factors for the growth of the market.

As crypto / digital currencies and blockchain, the technology behind digital currencies, develop at a rapid pace in India, there are several controversial issues on which clarity is required. During the two-day Digital Currency Conclave hosted by financialexpress.com, experts will speak out on all of these contested issues and discuss the way forward. Topics for discussion include the need for digital currency; the role of money and digital assets in a modern world; the socio-economic impact of digital currency; the need to legitimize digital currency; fight against financial fraud; the construction of digital assets and cybersecurity and the need to build strong walls.

Read Live Conclave Day 1 Updates on Digital Currency

Live updates

Digital Currency Conclave 2022 Live: The Importance of Digital Currency and Its Role in Modern India

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This 1st move could make it easier to obtain a mortgage loan in 2022 https://wagdyghoneim.com/this-1st-move-could-make-it-easier-to-obtain-a-mortgage-loan-in-2022/ Sun, 09 Jan 2022 13:32:11 +0000 https://wagdyghoneim.com/this-1st-move-could-make-it-easier-to-obtain-a-mortgage-loan-in-2022/

Image source: Getty Images

It is worth checking it off your list if you are applying for a home loan.


Key points

  • Mortgage lenders take a number of factors into account when evaluating mortgage candidates.
  • Paying off credit card debt could make it easier to qualify for a mortgage in more than one way.

If you’re looking to buy a home, you probably know that mortgage approval isn’t guaranteed. Rather, mortgage lenders look at different factors when assessing loan applicants. These include your:

  • Credit score
  • Level of debt you have in relation to your income, called the debt-to-income ratio
  • Income
  • Funds available for down payment

There are a number of steps you can take to become a more attractive mortgage candidate. But if there’s one thing worth doing to get a mortgage, it’s paying off credit card debt.

How Eliminating Credit Card Debt Can Help You Buy a Home

Reducing or eliminating your credit card debt could help you qualify for a mortgage in several ways. First, it could help improve your credit score. The higher this number, the more likely you will be to qualify for a home loan.

Among the various factors that go into calculating your credit score, your credit utilization rate carries a lot of weight. This ratio measures the amount of your available revolving credit that you are using at one time. The less your total credit card balance is, the lower this ratio will be and the higher your score will be.

Plus, paying off credit card debt could help improve your debt-to-income ratio. This ratio measures your current debt level to your income, and the higher it is, the harder it becomes to get a mortgage.

If lenders find that a large chunk of your income is already monopolized by debt payments, they will be less likely to want to add to that debt by giving you a mortgage. But if you reduce your credit card debt, your debt-to-income ratio should go down.

How to pay off credit card debt

If you have a bunch of nagging credit card balances, consolidating your debt could make paying off easier and cheaper. To do this, consider doing a balance transfer, where you transfer your various balances to a single credit card (ideally, one with an introductory 0% interest rate).

Another option is to consolidate your debt with a personal loan, which allows you to borrow money for any reason. You will generally get a much lower interest rate on a personal loan than with a credit card that does not have a 0% introductory period.

Of course, you will also need to free up some money to reduce your balance. This will help you put yourself on a tight budget where you will carefully track your spending. You may also want to consider getting a second job to find the money to get rid of this debt.

Having credit card debt won’t necessarily stop you from getting a mortgage, but it could make it more difficult. And if other factors work against you, your request may be refused. Rather than take that risk, do your best to pay off your credit card debt before you apply for a mortgage this year. Not only could this improve your chances of getting approved, it will also do wonders for your overall financial situation.

A historic opportunity to potentially save thousands on your mortgage

There is a good chance that interest rates will not stay at multi-decade lows any longer. That’s why it’s crucial to act today, whether you want to refinance and lower your mortgage payments or are ready to pull the trigger to buy a new home.

Ascent’s in-house mortgage expert recommends this company for a low rate – and in fact, he’s used them for refi himself (twice!). Click here to find out more and see your price. While this does not influence our opinions on the products, we do receive compensation from partners whose offers appear here. We are by your side, always. See The Ascent’s full advertiser disclosure here.

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Credit Cards Review: Capital One SavorOne https://wagdyghoneim.com/credit-cards-review-capital-one-savorone/ Fri, 07 Jan 2022 21:49:55 +0000 https://wagdyghoneim.com/credit-cards-review-capital-one-savorone/

There are a lot of Americans who travel much less than before, or not all of them. If this sounds like you, you’re probably interested in making money with your credit card and don’t want much to do with airline miles or hotel points. The Capital One SavorOne Rewards card gives you the opportunity to earn bonus rewards on your most common purchases and has no annual fee. And if your credit score isn’t as high as it could be, there’s even a version designed especially for your needs.

  • Welcome bonus: The standard version of this card offers a cash bonus of $ 200 after spending $ 500 on purchases within three months of opening the account. SavorOne Rewards for Good Credit does not offer a new account bonus.
  • Rewards: Earn 3% unlimited cash back on meals, entertainment, popular streaming services and groceries, plus 1% on all other purchases.
  • Annual subscription : Nothing
  • APR: 14.99% to 24.99%, for the standard card, 26.99% APR for SavorOne rewards for good credit.
  • Promotional financing offer: For the standard card, 0% APR for 15 months for new purchases and balance transfers, with a 3% balance transfer fee. There is no promotional financing offer for SavorOne Rewards for good credit.

How does this card work

This card is available in two different versions. There is the standard SavorOne Rewards card and a version called SavorOne Rewards for Good Credit. This is a rare arrangement that allows people with a wider range of credit scores to become members of the card.

With both cards, you’ll get unlimited 3% cash back on all your meal and entertainment purchases. You also get 3% cash back in grocery stores and for purchases made from popular streaming services, and 1% cash back on all other purchases.

There are only a few differences between the Standard Offer and the SavorOne Good Credit Rewards, other than the credit requirements. The standard card offer includes a $ 200 cash bonus when new applicants use the card to make $ 500 purchases within three months of opening the account. The standard version also includes 15 months of 0% APR financing on new purchases and balance transfers, with a 3% balance transfer fee. Also, the APR is 14.99% to 24.99% (depending on your creditworthiness) for the standard card, but it is 26.99% for SavorOne rewards for good credit.

Otherwise, both cards have no annual fee or overseas transaction fees. And they both offer perks like an extended warranty policy, travel accident insurance, and 24-hour travel assistance services.

Advantages

It is good that this card is available in a version for those whose credit scores are not quite considered excellent. Normally, those with only good credit are limited to using cards that offer minimal or no cash back.

And the cash back offered by these cards is very competitive for cards with no annual fee: 3% cash back is a great rate of return and is offered on some of the most popular expense categories, including food and beverage, l groceries and entertainment. In fact, Capital One has all kinds of entertainment businesses, including movie theaters, amusement parks, sports and concert halls, and bowling alleys.

There’s also a lot to like about cards that don’t have an annual fee or overseas transaction fee.

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Disadvantages

These cards only offer 1% cash back on non-bonus purchases. This is pretty standard among cash back cards, but you have to keep in mind that these cards will be best for those who spend a lot in the categories eligible for a bonus.

And like all reward credit cards, these cards have higher interest rates than similar cards that don’t offer rewards. If you aren’t avoiding interest by paying your statement balance in full, then you should consider another card that has a lower interest rate and doesn’t offer rewards.

Alternatives

Capital One Enjoy. This is another card from the same family, but the Capital One Savor card offers more benefits and it has an annual fee. It offers a $ 300 cash bonus after new cardholders spend $ 3,000 within three months of opening the account. It also offers 4% cash back on popular food, entertainment and streaming services, 3% at grocery stores, and 1% on all other purchases. There is an annual fee of $ 95 for this card.

Hunt unlimited freedom. This card offers 5% cash back on trips booked through Chase and 3% cash back on restaurant and drugstore purchases. You also receive 1.5% cash back on all other purchases. New accounts receive 15 months of 0% APR funding on new purchases and balance transfers, with a 3% balance transfer fee. New applicants also earn a $ 200 bonus after spending $ 500 on purchases within three months of opening the account, and earn 5% cash back on gas station purchases up to $ 6,000. spent the first year. There is no annual fee for this card.

American Express Blue Cash Everyday® Card. The Blue Cash Everyday card offers 3% cash back up to $ 6,000 spent annually at US supermarkets and 2% cash back at select US department stores. You earn 1% cash back on all other purchases. New applicants receive $ 200 cash back after spending $ 2,000 within six months of opening the account. There is no annual fee for this card.

Final result

The Capital One Savor Rewards and the Savor For Good Credit Rewards both offer significant rewards for your most frequent purchases. If these rewards are what you’re looking for, all you have to do is choose the right version for your credit profile.