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Spending Plan

Spending Plan Debt, Debt Blog, General No Responses »

Apr 242013

What is the first feeling you get when hearing “Spending Plan”? A little bit of excitement, preparedness, and confidence. Those are the feelings you should have gotten. When you hear the word “Budget” most people feel constrained, negative, and frustrated; not the feelings you want to have.

Fundamentally a Spending Plan and a Budget are the same things however the title affects your perspective and initial thoughts going into the mission. We have looked previously at how to make a budget and of course why someone should have a budget. Now it’s time to spin it around for those of you who dislike the word budget and set you up on the right foot. Let’s take a look at where you’re spending your money, and work toward spending more of it on the things you want more.

Why Have A Financial Advisor

Why Have A Financial Advisor Debt, General No Responses »

Mar 152013

We all know something about money; that is a true statement. But we vary in the type and amount of knowledge we have on the subject. As children we think it grows on trees. As teens we think we’re rich because Mom and Dad still pay the bills while we get to blow all of our part time income on clothes, movies, and food. As young adults we hit some harsh realities about how much it truly does take to live on your own on a limited income either from work, student loans, or a combination of both. It’s during our young adult years that we take a forced interest in money and all the financial world has to offer. Some people take no interest at all, some take just enough information to get by traditionally and then not worry about it anymore. While on the other end of the spectrum some people set a course for the deep end to find out every inch of information that is out there. It is these people that are the financial advisors.

Financial advisors have more than just the obvious function. They can act as a third party extraction tool. By this I mean they can innocently help you be honest with yourself, point out weaknesses in your portfolio you overlooked, and help you either solidify or create actual goals. Let’s go through the hidden advantages a little more in depth: Continue reading »

Collection Agency

Collection Agency Controversy, Debt, General No Responses »

Mar 012013

Collection Agencies Exposed

What is a collection agency? A collection agency is a third party company whose job it is to recover money that is owed to a creditor by the debtor, when the debtor is 90 days or more delinquent. The Canadian government outlines some very “useful tips” such as:

Don’t panic when you get the mandatory notification in writing of your debt file being passed to a collection agency.
Pay the amount you owe if possible.
Contact the agency and explain your situation if you cannot pay all at once.
If you reach an agreement with the agency, get it in writing.
Make sure you get a receipt for your payment and never pay in cash.

Alright, now that we have covered the basics that you should already, let’s get down to the bones of the situation – collection agencies are ruthless. Agents that work there usually have no issue harassing you and making personal attacks in order to get what they want; you making a payment and them making a commission. The bigger your debt the more they will try and collect because the more the collect from you the bigger their profit margin is. This also means the bigger your debt the more on your case they will be. Anyone who has been involved with a cruel and relentless credit collector knows that there is a major stress that comes with the situation. You don’t want to open your mail, you don’t answer your phone, and you literally fear or dread the thought that they could be calling to verbally beat you down again at any minute. So how do you take control? The first step is to know what they can and can’t do. Collection agencies and their agents:

CAN take legal action to seize a secured asset or request the debtor to sign a quit claims; voluntarily returning the asset. Continue reading »

Credit Limit

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Feb 192013

Canadians are maxed out!

Canadians are maxed out, however, they are (thankfully) becoming more aware of their financial limitations because they are stretched to their max credit limit. Canadians either can’t get anymore, or can’t afford to have anymore credit and are retroactively evaluating their situation. It’s no secret that the low interest costs that have been offered over the last several years have encouraged people to stretch beyond their means, and bring their finances all the way to their credit limit.

The spending analysis from December 2012 showed that Canadians’ awareness of their financial situations is increasing given that their spending is decreasing. It is unknown if the decrease in monetary spending on retail items is a choice, but the fact of the matter still stands that lower sales were reported in 11 of the 28 subsectors; which represents 58% of all retail trade. Car sales were also down 7.7% along with used vehicle and part dealers who showed a 6.4% decrease. More so, general merchandise stores showed a decrease of 3.7% in sales for the month of December 2012. Continue reading »

Employment Insurance

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Jan 172013

EI or employment insurance is a federal initiative meant for people who are out of work and currently looking for work but need temporary financial assistance. EI benefits are committed to providing people with 55% of their average income for a period of 14-45 weeks up to a maximum of $47,700; an updated as of January 1, 2013. However, if you’re a low income family your benefit rate might be higher. There are a few different circumstances that people can have which qualify them for EI. It typically takes an hour to complete an EI application online and you will need your standard personal information, your work history, and your banking information which is needed for direct deposit purposes.

Here are the 5 types of employment insurance benefits: Continue reading »

Credit

Credit Debt, Debt Blog, General No Responses »

Nov 212012

credit Credit

How do you get credit?

Credit /kred-it/

Noun:

“The ability to obtain goods of services before payment, based on the trust that payments will be made in the future.” Source: Dictionary

Today almost everything is bought with credit but do people really know what that means? Do they know what credit is, do they associate any values like trustworthiness with the use of their credit? Some common questions are: how do I get credit? Or rephrased: how can I get credit? Continue reading »

Are You “Richer Than You Think?”

Are You “Richer Than You Think?” Controversy, Debt, Debt Blog, General No Responses »

Oct 112012

We all know the phrase; it’s catchy and makes everyone who hears it wonder if they are richer than they think. The slogan was put out to support a few accounts that Scotia offers which gives you extra benefits, let’s take a look at the debit accounts Scotia offers.

The main account which theoretically supports this slogan “You’re Richer Than You Think” is the “MoneyBack” debit account that entails you get the 1% money back plan, unlimited self-service transactions, two free interact withdrawals from non-Scotia AMBs in Canada, Scotia Info Alerts, and no charge for paper billing. Sounds nice except that the bonus only being 1% is 4% less than the mandatory GST you pay on every purchase in order to get the 1% back. Except the monthly account fees of $14.95. Except the fact that the 1% money back guarantee is only up to $300 a year, which when you add up the annual banking fees and subtract that from the amount of money you could get leaves you with a realistic gain of $120.60.If you add the $6/month you could potentially save if you utilized the two free AMB transactions per month and if you added what some banks charge to continue paper billing, about $2/month to the whole amount of money you are “saving” and getting back your total would only be $216.60. trans Are You “Richer Than You Think?” Continue reading »

How to Achieve SMARTER Goals

How to Achieve SMARTER Goals Debt, Debt Blog, General, Tips No Responses »

Sep 172012

Once you have set a goal which adheres to the SMARTER mnemonic scheme it’s time to look at ways to ensure its success. With the right SMARTER goal, the right elements to achieving success in that goal, and a proper action plan you cannot fail.

Here are the 5 top tips to guarantee you’ll achieve SMARTER goals.

1. Commitment.

Commitment to your goal is imperative; you can never accomplish something without devotion to it. If you find that you are having a hard time committing to your goal then you need to revisit your goal and revise it so that you can dedicate your time and energy accordingly. Remember, it is okay to make necessary changes along the way in order to have success and remain steadfast. Continue reading »

Can Debt Cause Obesity?

Can Debt Cause Obesity? Controversy, Debt, Debt Blog, General 1 Response »

Sep 072012

The current recession that has been happening in the past few years has shown some patterns which are in direct contrast to the last major recession, otherwise known as the Great Depression. People were starving, unhealthy, and thinning out; exposing bone because of a food shortage during the Great Depression The current recession is proving just as unhealthy, but not because there is a shortage of food, but because high calorie, fatty, fast foods packed with preservatives, salts and sugars cost less than proper nutritious foods. Consequently people suffering in the recession opt for the lower costing food; regardless of the health costs. Continue reading »

Wedding Cost

Wedding Cost Debt, General No Responses »

Aug 142012

Ahh the day all women wait for and men hate to pay for: the wedding day. With the last month of summer underway it seems appropriate to reflect on one of summer’s biggest event types: weddings. Traditionally speaking a person’s wedding day is infinitely special and should be perfect because it will only happen once (right?). The second most special day for (most) people is when a child gets added to their family, but you can’t plan that one to a T and ladies know, deep down, that they will be sweaty, swollen, and swearing for that one so having the expectation of perfection is idiotic. Therefore, the wedding day is it! The day where every hair, fiber, tie, and petal has to be perfect, but at what cost? Weddings can range from $50 at the court house to $50,000, or even $500,000! (No, I am not kidding.) Continue reading »

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