Be Prepared for the Problems in Used Car Financing With Solutions Before You Start

Financing properly is more important in financing a used car than when buying a new car. Most problems that occur in buying a used car are due to there being a problem connected with the financing. Getting the used car financing worked out properly is the key to a successful used car purchase.

Most buyers aren’t aware of how important the paper work is to making the deal a successful one or a failure. They view it as paperwork that should be completed as quickly as possible so they can drive away in their new car.

To start with, it’s very important to get the deal agreed upon by the salesman to be put in writing in the contract. This often involves determining monthly auto loan payments based on an interest rate. Sometimes, the interest rate a customer qualifies for is inflated so the dealership can make extra profit.

This headache can easily be avoided by obtaining independent vehicle financing before going to the dealership. This means the consumer can proceed as a “cash buyer” and negotiate only the price of the car. Car salesmen prefer customers to be “monthly payment” buyers because, in this way, it is easier to obscure the total cost of the vehicle.

Independent car financing can be obtained from a bank, credit union or on-line lender. With the popularity of the internet, applying for used car refinance is proving to be simple and very easy to do. Many on line lenders respond very quickly – sometimes as short as 15 minutes by email or telephone. If the application is approved, the borrower is given a credit limit at an established interest rate. Sometimes a blank bank check is issued with no obligation to use it.

“For the majority of consumers, even if you know you have good credit, there is a little apprehension and tension around applying,” one lender said. “So instead of going into a dealership and giving them your information and being sent to the coffee machine to wait for an answer, you can apply on-line, 24/7.”

Most people familiar with how used car dealerships operate confirm that obtaining independent car financing is beneficial to most consumers. .

The most common problems that have a negative impact on a person trying to finance a used car –and their solutions – to ensure that things go smoothly are the following:

Problem #1: Many consumers don’t know what their credit rating is when they apply for an auto loan. The strength of their credit score largely determines what kind of interest rate they will receive. Therefore, it’s critical to make sure your credit report is in the best shape possible before shopping for a car.

SOLUTION: Order a copy of your credit report and look for items that may stand in the way of you getting a good rate. Correct any issues or errors promptly. Are all of your lines of credit in good standing? Are there any signs of identity theft? The credit bureaus will tell you how to correct errors when they send you the report. The following numbers and Web site addresses will assist you in checking your credit.

100 Financing Investment Property

100 financing of investment properties refers to 100% financing from outside for your investment in real estate. Funds that are brought from one’s own savings, on loan from friends or relatives are in a way not much different from capital whereas real debt or Investment property financing comes from financial institutions. These entities – banks, mortgage firms and lending organizations like credit unions — lend funds to the applicant on the trust of a collateral security or based on the income, credit-worthiness and repayment capacity of the individual. Even if these criteria are satisfactory, an investment property financing institution may ask to be shown the business plan of how the applicant means to generate income using the pieces of property he or she means to buy and consequently pay off the loan or conclude the mortgage. The lender has the right to know how the business is going to be conducted because the revenues of this business determine how fast the loan is going to be repaid. With the turn in the economy, 100% financing investment property has almost been done away with.

100 financing investment property

In the United States, there are three credit bureaus, Equifax, Experian and Transunion, that maintain records of the lines of credit extended to each individual and how they are being handled. The credit reports formulated by these bureaus reflect how many credit card accounts a person has, how many times he or she has defaulted in payment or gone over the credit limit; other forms of financing availed by the individual such as home mortgage, auto finance or student loans, are also listed. Lenders and creditors have access to these credit reports and use them to check if an applicant is worth the risk of being given a loan. The exact features that point to an applicant as being risky can be found out after a professional analysis of one’s credit report. A high Debt to Income ratio and loan to value ratio are some of the red-flags. These areas have to be improved so as not be saddled with an exorbitant rate of interest and terms that are not favorable to the borrower. Some unfavorable terms are floating interest rates that send the finance charges through the roof upon a single defaulted payment. To prevent this eventuality, it is better to choose a deal with a fixed (flat) interest rate or a low ceiling rate on the interest rate slab.

Lending fees, high interest rates, discount points (another form of lending fees paid upfront to prevent the interest from racing up) can actually break the bank. In fact, there are many cases in which discount points have been deceptive and one ends up paying more for them, than the actual interest (finance charges) that would have been paid if the interest rates did go up. To prevent such goof ups, it is a good idea to take estimates from two or three lending organizations, compare their offerings and then choose the one that appeals most to one.

The worst pitfall to guard against is when some lender tells you that you are eligible for 100% financing of investment property. Those idyllic days are over. In fact, they are past their sell by date because there were not so idyllic. There may be such plans available on subsidy from the government for the exclusive use of first time homeowners who belong to the low income group. But this does not include investment property dealers. Traditional methods of 100% financing are now called owner financing and are still available but they are not an attractive option. It is not surprising that requests for owner financing are viewed with suspicion of default by lenders and therefore, that avenue is best avoided.

What Stands Behind Capital One Credit Cards and Savings Products?

In the times since the global financial crisis, it has increasingly become a concern as to what the backing of the financial institution that issues your credit card or holds your saving account is. There are a number of laws which regulate the financial system and try to ensure that customers can rely on banks to honour their obligations which can be a particular concern in relation to savings products. Title 12 of the United States Code in part 325 specifies a number of ‘capital adequacy requirements’ in relation to all banks. The aim of these requirements is to force banks to adequately provision of a crisis and ensure that they will remain solvent even if there is a large crisis. Banks must report periodically on their arrangements to show regulators that they are meeting the capital adequacy requirements.

Capital One at the moment is, when measured by asset pool, the 8th largest bank in the United States with balance sheet assets of approximately USD$286bn in 2012. Amongst other distinctions, the company is also one of the largest customers of the United States postal service. Its head office is in Fairfax County Virginia and the current chairman, CEO and President of the company is Richard Fairbank. It is one of the fastest growing banks in American history having been founded in 1988 by the current CEO. Like many banks in the American financial system, Capital One was the recipient of a bail out during the sub prime mortgage crisis of 2007 when it received $3.56bn from the United States Government in exchange for 3,555,199 shares in the company. By the end of 2009, the company had managed to buy the government out of the business.

As well as being involved in credit cards, Capital One has an Auto Finance Division which is a substantial part of the company. An entity known as Capital One 360 is also now in existence having formerly been known as ING Direct on the idea that a bank could perform retail services entirely on the basis of an online model. This division of the company has no branches and only maintains a physical presence in the form of call centres and online processing maintenance facilities. The online bank model seems to achieved some success given that the lower overheads from rent and staff result in lower costs to consumers and therefore a better outcome.

One of the notable characteristic of Capital One is that it appears to have retained an ability to ride out the periodic financial storms which emerge in the world of consumer credit. It has grown consistently throughout good and bad times in consumer finance and continues to grow based on the analysis of its most recent financial data. This history of growth and the ability to ride out financial storms appears to bode well for the credit and savings products of Capital One.

Top 10 iPhone Apps for Personal Finance

There are many applications for the iPhone that give users the ability to make personal financing easier than ever. While solving one pain-in-the-neck issue, it creates another – which app to buy? Because of the popularity of these headache-reducing apps, there is an overwhelming amount of options available in the App Store. Deciphering which app is the best available is almost impossible. Add in the fact that so many aren’t free, and choosing the right one the first time around could save time and money. Before downloading anything, it’s important to know if the functionality of the app (money transferring, budget tracking, etc.) fits your needs. Provided is a list of ten apps including the price and primary function that can make tracking personal finances much easier.

Mint – There are tons of finance apps available that focus on budget tracking. Few are as popular as Mint, which allows users to manage multiple financial accounts from one simple user interface. With user-friendly features and no price tag, there is little wonder why this app has so many users.

Loan Shark – Dealing with loans is never a pleasant experience. The Loan Shark app helps ease some of the pain endured while handling loans without having to pay anything. It simplifies the process of calculating loans by a great deal and also has many features including a full amortization table, a one-tap extra payment option, and a “favorites” feature.

MoneyStrands – This app is another free option for tracking your budget. With features like alerts, analysis, security, and support, it is one to compare to Mint.

PageOnce – Planning long-term investments can be easy to put off. This app also assists in budgeting your current finances like MoneyStrands and Mint, but really excels in planning for the future. It gives you the ability to look at your 401k, IRA, and stocks all at the same time, while not costing you a cent.

Toshl – Toshl incorporates cloud computing into every day financing with this free app. The cloud feature allows users to automatically sync their mobile movements online. Additionally, there is a premium upgrade ($19.95/year) that allows users to export to Excel, PDF, or Google Docs among other features.

MoneyBook – MoneyBook is another addition to the long line of apps for budgeting. This one, however, comes at a price. Promoted as “Finance with Flair,” the app costs $2.99 and is loaded with features to make financing easier.

SplashMoney – At $4.99, what differentiates this from the free apps is its ability to connect wirelessly to most online bank accounts.

Square – The price is right for this free app that makes credit card purchases simpler than ever. By signing up, Square, Inc. will provide a credit card reader that can be attached directly to the iPhone. Once connected, users have the ability to swipe all major credit cards with only a 2.75% charge per swipe.

PayPal – Ebay-owned PayPal provides users a secure, simple way to send or receive money wirelessly.

General Banking – The bulk of major banks have available apps for free. These provide easy-access to any and all bank accounts in a secure fashion.

This is only a small example of the many, many apps that can help make financing easier. With the continuous release of new applications and updates to old ones, banking from your iPhone will continue to simplify; finding the app for doing so may not. This list is a great place to start looking.

For more information about iPhone application development, visit Magenic Technologies who have been providing innovative custom software development to meet unique business challenges for some of the most recognized companies and organizations in the nation.

Campaign Finance Reform – Insiders Versus Outsiders

Should voters in New York be allowed to contribute to local elections in New Hampshire?
Should voters in Concord, NH be allowed to contribute to elections in Manchester, NH?
If you can not vote in an election, why should you be allowed to contribute to that election?
Whom do you want politicians to raise money from, their constituents or people that can NOT vote for them?

Campaign Finance Reform should be about Insiders versus Outsiders not hard money versus soft money.

US Citizens – An Example for US Citizens Who Live, Vote and Pay Taxes in the Government District:

Three people contribute to a campaign. One contributes $10,000 worth of time, one contributes $10,000 worth of resources and one contributes $10,000 in cash.
Which has violated campaign finance laws?

The person that contributes $10,000 cash. The persons that contributed $10,000 worth of time and resources are making legal contributions. But all three people live under regulations, pay taxes, and earn income in the government district that the candidate represents.

Question:
If you are not going to limit the time and resources a voter may contribute to a candidate, why is it fair to limit the cash a voter can contribute?

Answer:
Time, resources and money are all acceptable and equivalent contributions. There should be no limits on contributions by people who can vote in an election. They pay taxes and live under that government’s regulations so they should be allowed to help select their representative any way they can, with time, money or resources.

Conversely, if a person can NOT vote in an election then they should not be allowed to contribute anything to a candidate, not time, money or resources.

Voting in an election is the key determiner of Insider versus Outsider. If it were not so, we could vote in all 50 states, for 50 governors, 100 senators, etc. Because we are limited to whom we can vote for, we should also be limited to whom we can contribute to. This limit applies to time, money and resources.

An Example for Unlimited Campaign Contributions by Voters in an Election District:
Let’s use New York City as an example. Two billionaires live in New York city and one billionaire we’ll call Michael, wants to be mayor of New York city. Michael contributes $10 million to his own campaign, which is perfectly legal under the current campaign finance laws. The other billionaire, we’ll call Donald, does not want to be mayor, but he also does not want Michael to be mayor. He would like to contribute $10 million to another candidate. This is not legal. Why? They both live, work, pay taxes and vote in New York city.

If you are having problems with allowing voters to give unlimited campaign contributions please ask yourself these questions:
If you had a million dollars investment in the stock market, would you pay a stock broker to manage that investment.
If you paid one million dollars in taxes, would you not contribute to a politician to manage your “investment” in government?
If you received one million dollars in government contracts or tax deductions or subsidies, would you not contribute to a politician to manage your “revenue” from government?
If you paid one million dollars to comply with government regulations would you not contribute to a politician to manage your “investment” with the government?

Remember that billionaires can only make unlimited contributions in one election district, the one they can vote in.

Non-voting US Residents:
The Supreme Court has ruled that people that can not vote in the US, but pay taxes to the US can participate in a limited way in elections. This ruling applied to permanent residents who are not yet citizens. The Supreme Court did allow restrictions on the amount of money non-citizens could contribute to an election. They limited their contributions to only the amount of money the person earned in the US.

Question:
Two people make the same amount of money in a government district and pay the same taxes to that government, but only one of them can vote in that district. Should the contributions by the nonresident be limited to the same amount of contributions as the voters in that district? Should nonresidents be banned from making contributions of time and resources because placing a value on it and accounting for it is difficult to impossible?

An Example for People that Can Not Vote in a Government District:
Two people work in an election district, but only one can vote in that district. Think of people who live in one district/state but work in another such as traveling sales people.
Person A represent the average constituent in the election district. He makes $100K, pays $10K in taxes in that election district. He contributes $100 to the election he can vote in.
If Person B who is not a constituent, represents Outsiders who are affected by the government in the election district. He makes $100K and pays $10K in taxes in that election district. He should be allowed to contribute $100 to that district. If person B makes the 10 times the money or pays 10 times the taxes, he should be allowed to contribute 10 times the campaign contribution as person A.

Notice that if voters (Insiders) do NOT makes cash campaign contributions and only contribute time and resources, then person B can NOT make any cash contributions. This means that people who vote in an election determine how much money will be spent on a campaign. It is not the Outsiders, because their contributions are limited. The limitation is calculated by dividing the total Insider donations by the number of constituents in the district.

Conclusion:
People that can vote in an election have unlimited contributions to the candidates running in that district.
Voters determine how much money is spent in an election.
People that can NOT vote in an election but who are affected by that government’s by taxes, laws and regulations have some limited contribution to the candidates running in that district based on what Insiders contribute.
People that can NOT vote in an election are NOT allowed to contribute time or resources to that election.
People that are NOT affected by that government may NOT contribute to the candidates running in that district. Not time, not money and not resources.