We Indians live in Future. We are more concerned to secure our future and future of our children. The savings rate in India is 35% which is much higher than world average. Gold & Property are 2 most popular investment modes. Whatever we earn during our life time, we assume and take it for granted that it will be passed on to our loved ones after our death. Unfortunately We are Wrong and Life is not that simple. It is very important to understand and ensure that after our death, our assets/funds are smoothly transferred to our loved ones without much hassle becoz Legal processes in India ... Read More
7 Tips To Select The Right Credit Card
Lot of my readers requested me to write a post on tips to select the right credit card. In my previous posts on Credit Card, i highlighted the benefits of using credit card and how can we use credit cards smartly to our advantage. In this post i will suggest 7 most important tips to select the right credit card. It is very important to select the right credit based on your requirement else rather giving benefit, it will eat into your savings from credit card. 1. Say No to Co-Branded Credit Cards: Over last few years, Credit Card Market is flooded with C0-Branded Credit Cards. Banks launch ... Read More
CIBIL Credit Score – A Tool to Blackmail / Harass Borrowers
Credit Score is nothing but the creditworthiness of a person i.e. his/her ability to repay the loan/debt or we can say that higher the credit score, lower the risk of default by borrower & vice versa As i have mentioned many times in my previous posts that we Indians are very good in copying the alien concepts without understanding the core concept (No offence to anyone). India's CIBIL Transunion score is one such example, its a copy of American Credit Score concept i.e. FICO (Most widely used credit score model in USA). FICO provide two credit scores because America has two ... Read More
How to use Credit Cards Smartly?
In my previous post on Credit Cards Credit Card - SAVE while you SPEND , i highlighted, how a judicious credit card spending help in substantial saving over a period of time. In this post i will discuss, how we can increase our savings by juggling between 2 credit cards. Yeh Dil Maange More !!! I am using the HDFC bank credit card from last 8 years & not using any other credit card as of now. Based on my research, i found that i can afford 1 more credit card without impacting my CIBIL score. Please note that if you have more than 2-3 credit cards then it shows credit Hungary ... Read More
Mis-Selling of Personal Loans by Banks
Mis-selling is very common in Financial Sector. I was under impression that it's is restricted only to Insurance but to my surprise its deep rooted. Mis-Selling of Personal loans is very common. Before we proceed let me add that Mis-selling is the deliberate, reckless or negligent sale of products or services in circumstances where the contract is either misrepresented, or the product/service is unsuitable for the customer's needs (Source: Wikipedia) Last Saturday, i visited one of the well known bank to deposit a cheque. Since it was Saturday therefore there was a big queue and suddenly one ... Read More
Being a Loan Guarantor – Are You Risking Your Future?
Last weekend i was watching the movie "Aarakshan" & was moved by the scene wherein Amitabh Bachchan could not get the possession of his own house during Bad Times becoz during Good Times in order to help the Children of his close friend, he became Loan Guarantor of their Business Loan. Not only he risked his future but also of his family..I think, this topic cannot be explained more simpler then this. Just to add, things in real life cannot be sorted out as easily as shown in the movie. Let us understand this topic in detail, For simplicity purpose i will list down complete details in ... Read More