Month: January 2021

credit card, charge card, money

Secured Or Unsecured Credit Cards Are Options For Bankruptcy Reports

Suppose you are considering applying for a credit card after having gone through bankruptcy. In that case, the best advice is to apply for secured credit cards that initiate collateral usage for the credit card application other than using for unsecured credit cards.

Have you ever wondered how secured and unsecured credit cards differ from one another? You know the word itself reserves secure credit cards while the unsecured credit cards are unsecured. The secured credit cards use your savings accounts as collateral, usually starting from five hundred dollars or more that the credit card issuer used to determine credit limits for you. As mentioned, it is used for collateral purposes if there is a default in payments. For instance, in your savings accounts, you have the amount of $500 dollars that can be used as collateral for possible problems that are most likely to occur, resulting in default payments. When you default, the card issuer automatically deducts your savings account fees to pay for the credit card.

Unsecured credit cards are also an option for those in need of a credit card, but applying them may be difficult due to related bankruptcy problems. In using unsecured credit cards, you must fill in an application form based on your income, credit report, and other necessary information stated on the application form that credit card issuers need to approve your credit card application. These credit cards are approved with credit limits based on your income and credibility. Although applying for an unsecured credit limit does not entirely mean that you are qualified for the unsecured credit card. Instead, applications are based depending on the credit card issuer’s guidelines too.

In cases like bankruptcy, applying for secured credit cards are best. Besides, unsecured credit cards depend on your credit history, lessening your chances for unsecured credit cards. The moment the credit card issuers learn you have a bankruptcy record in the file, the issuer will be questionable and may not grant you a credit card. On the other hand, applying for secured credit cards have higher chances of getting a secured credit card. In contrast, unsecured credit cards are difficult to use due to credit reports such as bankruptcy.

Many companies offer secured credit cards that you may consider significant, but the truth is all secured credit cards can be strenuous and could cause trouble for you. Secured credit cards are not all the same; therefore, consider researching the different types of secured credit cards in limiting your choice by applying for the best credit cards. There are some criteria mostly crucial before applying for secured credit cards.

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The Silent Financial Crisis

The Silent Financial Crisis

WASHINGTON, DC – The term “financial crisis” has long been associated with dramatic events, such as the rush to withdraw bank deposits and the collapse in asset prices. Charles Kindleberger’s classic books such as The World in Depression, 1929-1939 and Obsession, Panic, and Financial Collapses, and my joint work with Kenneth Rogoff, “It’s Different This Time,” document countless numbers of these facts. In recent years, the term “Lehman moment” has emerged as a reference to the global financial crisis between 2007 and 2009 and even served as the inspiration for a Broadway show.

But some financial crises do not necessarily involve the events of Lehman’s dramatic moments. Asset quality can deteriorate dramatically as economic downturns persist, especially as firms and households become highly indebted. Moreover, years of bank lending to unproductive private companies or state-owned enterprises (the latter type is common in some developing countries) would have a cumulative effect on balance sheets.

Although these crises may not always involve panic attacks and a rush to withdraw deposits, they still impose considerable costs. Banks’ restructuring and capitalization to restore solvency could be too expensive for governments and taxpayers, and new lending could remain low, leading to a slowdown in economic activity. Credit pressures also have distributional effects, affecting small and medium-sized companies and low-income households more severely than others.

The COVID-19 pandemic is sure to continue to deliver many moments of unwanted drama, including high infection rates, widespread lockdowns, unprecedented declines in production, and mounting poverty rates. But in addition to these trends, a calmer crisis is gaining momentum in the financial sector. Even without going through a “Lehman moment,” this crisis will jeopardize the prospects for economic recovery for years to come.

Specifically, financial institutions worldwide will continue to face a significant spike in non-performing loans for some time. Also, the Covid-19 crisis is a downside crisis. It disproportionately affects low-income households and small businesses that do not have much of the assets that could protect them from bankruptcy.

Since the pandemic outbreak, governments have relied on expansionary monetary and fiscal policies to offset the sharp decline in economic activity associated with widespread closures and social distancing measures. Of course, wealthier countries enjoy a crucial advantage in their ability to respond. However, increased lending by multilateral institutions has also helped fund emerging and developing economies’ response to health emergencies.

As documented by the World Bank’s Policy Tracker, unlike the 2007-2009 crisis (or most previous crises, in this case), banks supported macroeconomic incentives with a range of loan deferrals. These measures have provided some relief to families facing the threat of job losses and low incomes, as well as to companies struggling to survive amid closures and general disruptions to regular activity (and tourism-related sectors stand out starkly in this regard).

Financial institutions in all regions granted grace periods to repay existing loans, and many of them renewed loan contracts in favor of lower interest rates and better terms overall. The rationale for these measures was based on the fact that the health crisis is temporary, as is a financial hardship for companies and families. But as the pandemic continues to spread, many countries have found it necessary to extend these measures until 2021.

Besides loan deferrals, many countries have relaxed their banking regulations regarding loan loss provisions and bad loan ratings. These changes’ net result is to lower estimates of the extent of bad loans now and significantly in many countries. In many cases, financial institutions may not be sufficiently prepared to deal with a damaged balance sheet. Simultaneously, the less-regulated non-banking financial sector is more exposed to risk (this problem is exacerbated by inadequate data disclosure).

In addition to developments in the private sector, downgrades of sovereign credit ratings recorded a record high in 2020. Although advanced economies have not been spared from this, the consequences are more severe for banks in emerging and developing economies where governments’ credit ratings fall at the degree of “undesirable.” Therein “or close to it. In extreme cases of sovereign default or restructuring – and such crises are on the rise – banks will also incur losses in their holdings of government securities.

And as I mentioned in March 2020, even if one or more vaccines eliminate the pandemic virtually and immediately, the Covid-19 crisis has severely damaged the global economy and financial institutions’ budgets. Stress policies have indeed provided a vital stimulus tool beyond the traditional scope of fiscal and monetary policy, but grace periods will expire in 2021.

As the US Federal Reserve’s Financial Stability Report for November 2020 shows, political stress or political constraints indicates that the upcoming fiscal and monetary stimulus for the United States will not match the level it reached in early 2020. Indeed, many emerging markets and countries Developing countries have already reached or are nearing their monetary policy limits. By the year 2021, it will become apparent whether many companies and households face financial insolvency rather than a lack of liquidity.

High corporate leverage rates would be what

money, coin, cash

Unsecured Personal Loans

Unsecured personal loans

Unsecured personal loans are personal loans designed to be undertaken without the need to secure the loans against collateral, such as a property or a car. This makes unsecured personal loans ideal for people who do not own their own home and for people who have no other type of collateral to secure personal loans against.

The extent of borrowing

The extent of borrowing on unsecured personal loans is generally less than on secured personal loans, and the APR on unsecured loans is often higher than on secured personal loans. But, having said this, unsecured loans of up to £25,000 are possible from some personal loan companies. You can also obtain personal loans with repayment terms on unsecured borrowing of up to 10 years and an APR of between 5.5% and 8% on unsecured loans.

Who qualifies for unsecured personal loans?

Unsecured personal loans have a wider reach than secured personal loans. Both tenants and homeowners can take out unsecured loans, as well as young people who have no verifiable personal credit history. Additionally, unlike secured personal loans, unsecured loans are also open to people who have a poor credit record. If you have a record of defaulted mortgage payments, arrears on other loan payments, or have CCJs filed on your personal credit record, making you ineligible for secured personal loans, then personal unsecured loans may be for you.

How to successfully apply for personal unsecured loans?

To successfully apply for personal unsecured loans, the applicant for the unsecured loan must have a regular source of income. Proof of income from the unsecured loan application is likely to be requested by the personal loan companies, and many loan companies will also carry out background checks on other loans, secured or unsecured, that the personal loans applicant holds now or has held in the past. Personal unsecured loans applicants who have been resident at the same personal address for more than three years and personal unsecured loans applicants who are married and have stable employment are those most likely to be successful in obtaining personal unsecured loans.

For homeowners, personal unsecured loans are ideal

For homeowners, personal unsecured loans are ideal should the homeowner not have personal loans officially secured against their property. The most successful applicants for unsecured loans in these cases are people who have equity in their property and no other unsecured loans. Above all else, these factors will help the homeowner applicant acquire unsecured loans, even if the homeowner has a bad personal credit history.
Loans companies offering unsecured borrowing, in general, do not limit what the funds from unsecured loans can be used for, so long as the person taking out the personal unsecured loans does not use the unsecured loans funds for illegal purposes. With unsecured loans, the sky really is the limit!

debt, loan, credit

the most common types of loans

the most common types of loans

here are the most common types of loans that you need to know about

Choose the best type for your economy. Borrowed funds are used for many purposes, from financing a new project to buying a letter stamp. But with the variety of available loans, which type of best? Why should we take the loan?

The following are the most common types of loans and how they work.

Personal loans:

Most banks and direct online services or the Main Street lending program allow personal loans and use these amounts for almost everything from buying a smart screen to paying bills. This method is expensive to obtain money because the loan is not guaranteed, which means that the borrower does not offer any reportable collateral if it fails to pay, as is the case with a car loan or a housing loan. A personal loan can often be obtained from a few hundred to a few thousand dollars, provided that it is paid within 2-5 years.

Borrowers need some documentation to prove income and property proof, which must be at least equal to the amount borrowed. The request is generally one or two pages long and takes only a few days to approve or reject.

Best and worst prices:

According to the Fed, the 24-month average Commercialbank loan rate was 10.21% in the fourth quarter of 2019, and the interest rate could be three times larger. The annual interest rate for personal loans ranges from 9.95% to 35.99%.

Only people with an excellent credit rating and highly significant assets can get the best ratio. The worst proportion falls on those without additional options.

A personal loan is a right solution for those who want to borrow relatively small amounts and pay within two years.

Bank Loan for Bank guarantee:

A bank loan is not the same as a bank guarantee. A bank can issue a warrant to a third party – a contract – on behalf of one of its customers. If the customer fails to complete the contractual obligation with the third party, the latter asks the bank to pay. The guarantee is a settlement for the bank’s small business customers.

An enterprise or company may accept an offer from a contractor, but provided that the contractor’s bank issues the payment guarantees in the event of the contractor’s breach of the contract.

Credit cards:

The consumer gets a personal loan each time they are paid by credit card. There are no benefits to pay if the consumer pays the full credit used immediately. But if part of the debt remains unpaid, monthly interest will be charged until the full amount is paid.

The credit card interest rate was 16.88% per year at the end of the fourth quarter of 2019. This ratio is slightly lower than the second quarter of 2019, at 17.14%, and at the end of the fourth quarter of the same year, the ratio was 16.86%.

The fine may be inflated to a much higher value for consumers who have not paid a single amount. It could be at least 31.49% of HSBC’s credit cards.

Understand the different types of loans – the best type of loans that suit your economic situation – bank loan versus bank guarantee – credit cards

Renewed debt:

The big difference between a credit card and a personal loan is that the card represents a renewed debt, as the cardholder can borrow money to the extent that it is allowed to repeat and pay later.

Credit cards are very comfortable. It requires self-commitment to avoid overspending.

Studies have shown that consumers are more likely to spend when they use the card instead of liquid money. A one-page request that makes things comfortable and gets $5,000 to $10,000 credit.

Real-estate loans:

Those with full ownership of their homes can borrow against the current market value of the real property. So they can borrow at the equivalent of the value of what they own. If you pay half the value of the mortgage, then these people can borrow the equivalent of half the value of the house, or if the home value increases by 50%, then they can borrow the percentage of that increase. In short, the difference between the value of the home in the current open market and the amount still owed to the mortgage is the amount that can be borrowed.

Less interest, greater risk:

The only positive thing about a housing loan is that the interest rate is much lower than on a personal loan. A survey conducted by showed the average interest rate for a residential loan at a fixed rate of 15 years as of February 5, 2020, was 5.82%.

As a result of the changes in 2017 from the reduction in income tax rates, interest on a residential loan is only a tax cut. The borrowed money is used to buy, build, or significantly improve the taxpayer’s house. Which in turn protects the loan, according to the U.S. income Tax Office. The downside is that the house is a loan, and the borrower may lose his home if the loan defaults.

The loan proceeds may be used for any purpose but are often used to update or expand the house. A consumer interested in housing loans should always remember two lessons from the 2008-2009 economic crisis:

The value of homes may fall or rise.
Jobs are at risk in an economic downturn.
Credit facilities for property rights
A credit facility for property rights works and a credit card, but in this case, the home uses a guarantee. The maximum amount of credit extended to the borrower, as such facilities can be utilized, repaid, or reused as long as the account is open, usually 10 to 20 years.

In the case of credit facilities, interest is tax-free, such as regular equity loans. Still, on the contrary, the interest rate is not fixed when the loan is approved, as the borrower has access to money at any time over the years. Hence, the interest rate is variable, usually linked to a benchmark, as a distinct interest rate.

Good or bad news:

The variable interest rate may be good or bad news; during high prices, interest charges will increase on the outstanding balance. A homeowner who borrows money to install a new kitchen and pays that cash over several years may stumble by paying more than expected benefits only because the distinguished interest rate has increased. The other downside is that the available credit facilities may be plentiful, and the initial prices are very attractive, so the consumer may easily be satisfied with these offers.

Credit Card Cash advances:

Credit cards usually include cash advances, anyone with a credit card with a renewed cash balance available at any ATM. This method is costly to get money.

For example, the interest on cash advances when using a Forteva credit card is 25-36%, depending on the type of credit you have chosen.

Cash advances are also charged, typically 3-5% of the passage or $10

how checks work

how checks work

how cheks work?

How do checks work?

A check is an exchange bond that guarantees a certain amount of money. The zipper uses checks printed by the Bank to present them to the beneficiary, which takes them to his bank or any other financial institution to deposit the check in his account or receive it in cash.

Two or more parties using checks make cash transactions without the need for an actual exchange of money. The amount written on the check is an alternative to the currency and in the same value.

Checks are generally a safer way to exchange money, especially for large amounts of money. If a check is lost or stolen, only the beneficiary can negotiate it, and the check is used to pay bills or transfer money between two or two people. Modern alternatives to checks include debit cards and credit cards, bank transfers, and online banking.

Important: The use of checks reduces the need for the actual exchange of money in large amounts of money.

Check history

Checks have been found since ancient times. Many people believe that the ancient Romans used a kind of check, while other cultures adopted their checks system; the main idea common to them is to exchange the check-in actual currency.

The oldest check in the United States dates back to 1790, while the Bank of England issued its first printed check-in in 1717.

Today’s well-known modern checks became common in the 20th century. The checks rose in late 1950 when checks were automated, and machines could sort and trim checks.

Check cards were first established in late 1960 as an introduction to existing debit cards. Since then, debit cards, credit cards, and other electronic payment forms have been covered on checks as the dominant method of paying for goods and services, such as public service bills. Checks are currently used by the public but are no longer reasonably common.

Check benefits

All checks have the same but not the same items. The name and contact information of the owner is written at the top right, and the name of the Bank that is drawn on it also appears in the check.

There are many lines to fill by the check holder:
  • The date is written on the line at the top right corner of the check.
  • The beneficiary name is written in the first line at the center of the check after “pay with this check for this”.
  • Fill in the box next to the beneficiary’s name in the amount in numbers.
  • The amount is written in words on the line under the beneficiary name.
  • The check holder signs on the line at the bottom right corner of the check, and it needs to be signed to make the check usable.
A note line is also located in the lower-left corner under the Bank’s drawn information. The drawer may fill with any relevant information, such as a reference number, account number, or any other reason for writing the check.

A string of coded numbers along the check’s bottom line is located just below the note line and the zipper signature line. Some countries, such as Canada, replace this number with a number representing the bank identification code or the branch with the bank account.

The back of the check contains a line to sign the beneficiary upon completion of the check’s negotiation. At this point, the receiving bank of the check seals the back with a deposit seal and devalue, and after the bank’s check-out upon receipt, returns him to the drawer if requested.

Check types

Checks are used for many different purposes.

Certified check:

This type requires sufficient funds in the check holder’s account to cover the amount to be withdrawn; in other words, the authorized check is not returned. If you wish to approve a check, it will be submitted to the Bank checked out to verify it with the check holder.

Bank Check:

The bank check is guaranteed by the banking institution and signed by the cashier, which means that it is responsible for the funds. This type of check is required in large financial transactions such as purchasing a car or home.

Salary Check:

The employer issues this type of check to compensate the employee for his or her work. In recent years, salary checks have given way to a direct filing system in the employee’s account and other electronic transfer forms.

Feedback Check:

A check with a larger amount than the holder’s current account cannot be negotiated, so the Bank replies the check for insufficient funds in the account and usually imposes penalty charges on the drawer. In some cases, the beneficiary also pays a fee.

gas pump, petrol stations, petrol

how to change gas suppliers in the UK

How to change Gas suppliers in the UK

flame, gas, gas flame
How to change Gas suppliers in the UK

The cost of domestic energy has been ramped up several times within the last 12 months, giving a rise in energy bills of about 60% for many homes. The majority of households in the UK could make considerable savings on gas than their area supplier rates by initiating a switch of supply.

Why not also consider changing other services, as well?


Combine Gas & electricity bills with the same company & you can make even more savings. Some companies even offer to package deals with telephone and mobile phone services to offer huge combined savings.
It is easy to change energy suppliers and only take a few minutes of your time online. 


Moving to a new energy supplier is not at all risky, as most suppliers are large organizations and National Plc’s who you can trust, and all of them are regulated to ensure a high standard of service.

When changing your gas suppliers, there will be no interruption to your supply. The same wires, pipes, and meters currently used will be used by a new supplier. The new supplier will also contact your existing supplier to arrange the transfer of your supply. The only change you will notice is that your bill will come from a different supplier, and your energy bills will be smaller.
The process of switching energy suppliers is easy, and there are many price comparison services online that can help you find the cheapest supplier for your area. Once you have decided on your new supplier, the transition is quick and straightforward by following the steps below.

Fill in your details online and sign up for the services required

(these pages are secure), and this takes around five minutes. These details are then processed and forwarded to the supplier.
The supplier will contact you to confirm the date on which your new service will commence. You will also be asked to sign an acceptance to switch suppliers. This is a legal requirement in the UK, and you have a “cooling-off period” of 14 days to complete this; if you do not sign it, the switch will not go ahead. You will also be asked to take a meter reading, which will be used to tie up your old account.
This whole process takes approximately 28 days from start to finish.