Five Reasons for Refusal of a Personal Loan

Don’t you wish personal finance were a mandatory course in college? Unfortunately, too many of us learn by mistake. When you need a personal loan and are rejected, you might be baffled as to what went wrong- and how to fix it. Here are some clues.

NO CREDIT

No credit is a situation where you have never used credit and therefore have no credit history for the bank to review. They have no way of making an educated decision on whether or not you will pay back a personal loan based on your credit history. No credit is worse than bad credit. Qualifying for and making regular payments on these types of introductory forms of credit can overcome a “no credit” score:

· Student Loans

· Secured credit card (includes a down payment amount)

· Being added to a parent’s or spouses good credit: card, car loan, etc.

LOW CREDIT

Low credit takes on several forms. If you’re using more tha

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Book Review – Thou Shall Prosper: Ten Commandments for Making Money by Rabbi Lapin

Most financial books are written by businessman and other people who either have educational or street credentials. Personally, I would rather read and learn from someone who has street credentials. These are the people who have applied their philosophies to succeed in their personal finances. The book, “Thou Shall Prosper: The Ten Commandments For Making Money”, was written by a Rabbi. Not just any Rabbi, but a Rabbi who has a successful business. He practices what he preaches.

This is one of the best books on personal finances I have read. Its practical lessons incorporates Jewish teachings and current topics to reinforce his lessons (or commandments) on making money. His perspective on using the Jewish faith to discuss about money is intriguing and effective. Unfortunately, in our present culture, money is looked upon negatively. Even though people pursue it everyday (by going to work or business), it is generally accepted to just have enough (e.g. scarcity) ra

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Financial Lessons From Professional Athletes

Allan Iverson was once regarded as one of the best and highest paid athletes in the world – making more than $150 million dollars in salary alone in his 15 years in the NBA. In 2012, both CBS and Forbes reported that he was in deep financial trouble and unable to pay his debts.

Unfortunately, stories of the hapless professional athlete who is soon separated from his money are quite common. Sports Illustrated reports:

  • Within five years of retirement, 60% of all former NBA players are broke
  • 78% of NFL players have gone bankrupt or are under financial stress because of joblessness or divorce

Professional athletes are often pitied and cast as financially ignorant and unable to handle their money. But in reality, we – the non-athletically talented – struggle with our finances as well. The average savings for a 50-year-old in 2013 is $43,797*. Not exactly a homerun. So how can we be successful with our finances? By followin

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Avoiding Dumb Debt at All Costs

Everyone has seen the television commercials with slogans such as “Buy now pay later,” and the like.

you do not need to save your money to buy that new car, a wide-screen TV, that latest smartphone, or a holiday on a tropical island when you can have all these things now.

Instant gratification is a very expensive habit; one that will lead you to a life of financial challenges.

There have been misleading statements in some of the advertising; one I saw read, “Helping you to get ahead.”

That kind of slogan suggests that the finance company is doing borrowers a favour which is far from the truth.

Loan sharks and finance companies thrive on financial ignorance; a person with even a basic grounding in personal finance will avoid loan sharks as if they had tested positive for covid.

One should ascertain whether the item is a want or a need before signing on the dotted line.

Many peo

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Personal Finances Is All About Breaking Bad Habits And Creating New Ones

People are often tempted to give unsolicited advice to others about the best way to manage finances. You’ll come across ideas that work and get you places, but often people are offering up such generalized advice. Trying to put together bits of information and use it in a meaningful way is not usually the best plan, as some of the information may be flawed and other parts confusing.

How can you take good care of your money and your finances so that you do not end up frittering away your savings on things you don’t need?

Generally, the problem is that most people lack a good understanding of just how important saving for the future is. Most people are going to do everything else with their money first before they even think about saving. Although saving in this way is better than not saving at all, it is in fact a highly ineffective way to build any kind of financial independence or security.

Managing Your Personal Finances

If you want to save

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3 Mistakes Most Investors Make

Gather, don’t scatter.

Over the years investors have been convinced that proper investing meant taking their money and spreading it out amongst several investment professionals. Over time, many investors accumulate, on average, four advisors and several accounts. From his 401(k), Roth IRA, Traditional IRA, brokerage and mutual fund accounts, to her 401(k), Traditional IRA, trust and saving accounts, a family can accumulate several accounts with several financial institutions.

This scattering of assets leads to a false sense of “diversification” by “not putting all of your eggs in one basket.” Trouble is, this strategy really hurts most investors.

Many investors have unknowingly scattered their assets, resulting in no one person managing or fully understanding their entire situation, goals or dreams. Without comprehensive planning, there actually is no plan at all.

1. Improper Asset Allocation

Most investors have

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Quick Personal Financial Self Assessment Checklist

Sometimes people ask me to suggest a quick approach to assess their money-handling fundamentals. Normally, they continue: “We just don’t seem to be at peace with our personal finances. Indeed, after repaying a large credit card debt, and becoming debt free, we feel burdened.” Puzzled, I ask, “Do you mean you seem to follow a pattern of acquiring, repaying, re-acquiring debt… probably over an extended period? And though your income is more, your finances now are worse than they were, say, five years ago?” Instantly, they reply, “That’s it!”

Over the years, to help understand ABCs of money handling, I developed a 100-questions questionnaire that I use as I counsel couples; however, at the first meeting, I work with this 10-question self assessment checklist to benchmark where folks are with their ideas about money management. This list is not scientific; I developed it after years dealing with couples of different races, cul

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Suze Orman – 9 Steps To Financial Freedom Review

In this article we are going to learn about Suze Orman’s 9 Steps to Financial Freedom. I will be explaining each step in full detail and then giving you my opinion on how the step is/isn’t applicable to personal finances and benefiting you. 9 Steps to Financial Freedom is a book that Suze Orman wrote in 1997. It is now over 10 years old but has stood the test of time and is still liked by many today.

Suze Orman’s 9 Steps to Financial Freedom:

Step 1 – Seeing how your past holds the key to your financial future

In Orman’s 1st step of her book she talks about how most people have some past memory that effects the way they perceive money and finances. In this chapter she helps you to realize that past memory and move on from it so that you can start new with your personal finances.

This steps to be a bit off and useless for most people. There are some people who have bad memories regarding money but in general most people are ju

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Personal Financial Budget

According to Investopedia, a budget is “An estimation of the revenue and expenses over a specified future period of time.” They can be used by individuals or an entity that is involved in financial transactions. Right from a student to the Government finance departments, anyone can effectively create a plan for their incomings and outgoings.

Understanding personal budgets

A personal budget charts out what you earn and how you spend it in statutory payments, daily living, long-term expenses, investments, debt repayments and so on. The shortfall shown in a financial budget often indicates the requirement for external borrowings. Your time horizon for planning may vary between a week and a block of years. It all drills down to the goals that you have in your mind for in the short, medium and long terms.

The significance of a personal financial budget

  • Overview. A well-designed personal
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Top 6 Personal Financial Obstacles – Part I

One of the key to riches is to be financially literate. This was what the Rich Dad taught in Robert Kiyosaki’s book, “Rich Dad, Poor Dad”.

Does wealth then come automatically once you became financially literate?

Not necessarily and not certainly. Robert Kiyosaki believes that despite attaining a certain level of financial literacy, personal obstacles can prevent even the most financially literate from attaining their financial goal. These people will still continue to work a full time job, living from paycheck to paycheck instead of living a life which they dream of.

Robert Kiyosaki listed the top 6 personal obstacles to your financial success as

1. Fear

2. Cynicism

3. Laziness

4. Bad Habits

5. Arrogance

6. Disappointment

1. Fear

The main reason why 85% of the world struggle financially is fear – The fear of losing money. But fear is not the real issue here. The real issue

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