Tag Archives: Manage Money

Loans: Long term v/s Short term Part II

Please read Part I

For this purpose banks want to get the money back as soon as possible. If you observe the chain of events, if say one or two defaults still bank will not be losing a great deal of money, its profit might come down a bit. Then why does bank gives long term loans for home loans? It is very logical for the banks to do this. The banks keep the interest rates low for home loans in order to lure the customers and ensure that they get a huge customer base. If many customers are lured to this home loan then they are in great profits. Continue reading

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Loans: Long term v/s Short term Part I

Loans are very common these days. There are various kinds of loans; most common ones are Housing loan, Personal loan, Educational loan, Credit Card loan and Vehicle loan.  Except the housing loan most of the loans have a short term period for repayment. It is very critical for the banks to get the money back from the borrowers and ensure the smooth working of the banks. When bank can make more money by giving it for long term why does it prefer to keep the term short for other loans other than the housing loan? Continue reading

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Can I become A Millionaire?

I have asked this question to myself many a times. When I was a kid, I was asked by my teacher what would I want to become in the future and I remember telling her that I want to become a billionaire. She asked me, “Why do you want to become a billionaire?” I answered her that, I want to help the poor people. I have realized that you don’t have to have money to help poor people but I surely want to become a billionaire. Continue reading

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Loans and Rejection

Have you applied for Personal loan, Home loan, Car loan, Equity loan? Wondered what are the criteria for the institution to grant you the loan? Was your loan application rejected? Then I suggest you to read further and learn what went wrong.

The Financial Institutions such as banks, co-operative societies, mortgage houses provide loan to you or your business depending on your assets and liabilities and also they estimate your earning capability and spending habits and then they consider your loan application and go ahead with the processing of the same. Continue reading

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Which Credit Card to be Chosen

A friend of mine asked me this question, I wanted to reply back to him over mail but later I thought many might have similar question so I posted over here. I won’t be giving you the exact financial institution or bank to apply for and I don’t want to advertise on anyone’s behalf. I think all the credit cards have their own way to pulling the money from you, however smart you are. If you think you could beat them then I am sorry to say that you are wrong. It is not impossible to beat them in their own game but it is not worth the effort. Continue reading

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