Category Archives: Finance

3 Common Reasons People Take Out Cash Loans

a man handing over dollar billsMany people apply for loans to cover some unexpected but highly urgent bills. And while the reasons vary, it’s still good to know that you can count on these loans to get you through your financial responsibilities. If you haven’t taken out a loan yet, these situations are examples of when cash loans in Provo will be helpful.

You need to pay off your credit card debt

Based on recent figures, the average credit card debt per card is $1,154. When you’ve already reached your credit limit and you need to pay off past debts, you can apply for personal loans. For many people, it is important to keep their credit score stable because a poor one can have several consequences, which may affect not only their borrowing capacity but also their chances of getting future loans.

You need a buffer for your childbirth or child-rearing budget

Babies are precious. And expensive. While you can save up for the baby’s future needs such as diapers and milk, the biggest bulk of all baby-related expenses are the hospital bills during childbirth. Of course, you have nine months to prepare for the day, but if you became a candidate for a Cesarean section at the last minute or needed to have an emergency operation, a loan will be your rescue option.

Holidays are expensive, too

You’re making a list and checking it twice, because you need to find which items will cost you much this time. Holidays such as Thanksgiving and Christmas are expensive and sometimes, with all the festivities happening, you need some extra cash for spending.

Borrow Wisely

There are many types of cash loans you can apply for. Just make sure that you borrow within the range you’re comfortable with and that you have a debt-free plan in action. Lastly, personal loans are great for unexpected expenses so make sure you spend it wisely, so you don’t end up developing a borrower’s habit.

Misconceptions about Filing for Bankruptcy You Should Not Believe Anymore

a business woman tired and worry about workNobody likes to fail in life, yet failure is often unavoidable, despite making every effort to avoid it. While some letdowns stem from ignorance, some failures are unpredictable. Financial failures straddle both ends of this spectrum.

On one hand, you might incur too unsecured loans debt. On the other hand, you might be saddled with an impossible medical bill. If the debts spiral out of control, it is time to seek out a bankruptcy attorney in Salt Lake City such as Utah Bankruptcy Professionals.

But, but, but lawyers cost money

Sure, you’re backed against the corner and every dollar counts. However, you stand a better chance of success if you have a seasoned legal mind guiding your every move. Otherwise, you are likely to overlook a crucial fact that could lead to the dismissal of your application. Then you must start the process over.

Again, a lawyer can help you decide between chapter 7 or 13 bankruptcy. A great attorney gives you a fighting chance by ensuring the exemptions are sufficient to give you a fresh start. Although they differ between states, exemptions let you keep a certain amount of your properties instead of stripping you bare.

But, but, but that will ruin my life

Sure, your friends and families are likely to whisper behind your back, but that pales in comparison to the alternative. Failing to address such issue can lead you to develop health problems, which could further complicate your life.

Filing for bankruptcy offers relief from some debt and it affords you the chance to offset the others. While it does not exempt you from back taxes, child support, student loans, and alimony, it frees up some cash. You can channel this freed income to clear some of the mandatory bills.

That way, you can lessen the financial burden, collect the pieces slowly, and rebuild your life.

Many misconceptions surround the topic of filing for bankruptcy, which causes people to shy away from exploring it when in need. In most cases, it provides you with a way out when drowning in debt.

Finance sheet, calculator, and eyeglasses

4 Benefits of PO Financing That All Businesses Should Know

Finance sheet, calculator, and eyeglassesPurchase order (PO) financing is a short-term funding option for any company that needs capital. With it, business owners could pay their suppliers and fill the single or multiple orders of their customers. This is ideal for companies that lack funds, as PO financing can cover a huge part (up to 100%) of their operational costs.

There will be times when businesses need to accept a large order, but may be afraid to do so because they don’t know where to get funds. Well, not anymore because this is where PO financing companies come into play. They could cover a portion or most of the additional operating expenses and help businesses grow.

Here are some of the major benefits of this amazing financial arrangement:

PO Financing is not a credit

A purchase order financing company will agree to cover the cost of the materials that the company needs to complete a certain order. They will collect based on the invoice and require you a fee — with rates of 1.8% to 6% per month, for example.

Loans can get expensive and difficult to obtain if the company doesn’t have a great credit. Fortunately, PO financing could be a good alternative.

PO Funding allows you to take on bigger opportunities

Accepting big job opportunities means bigger revenue for your business. As you won’t be paid until the job is complete, PO financing will be your initial helping hand in getting the money you need for your supplies. It’s a great opportunity for businesses to expand and get bigger opportunities from clients.

PO Financing doesn’t need A-1 credit standing from loan applicants

Acquiring a PO financing is a great option for companies that have average credit scores. PO financing companies won’t require you to have an excellent credit. Instead, they’re more concerned about your client’s creditworthiness because that’s where they’ll be getting back their money.

Don’t be afraid to take that opportunity for your business. Apply for PO financing to make the most of your operations.

Effective Management of Restaurant Finances

a cashier at a restaurantMaintaining a successful restaurant business requires ongoing investment, and getting the appropriate lender to partner with you is essential to keep your restaurant in top shape. What most restaurateurs don’t understand is that after opening your doors, you still need to be financially prepared to keep them open.

Over 60% of restaurants close within their first two years of opening because of financial missteps. It is essential to manage your finances efficiently making sure that you have a sufficient ROI. ARF Financial recommends a few tips you can use to manage your restaurant financing efficiently.

Understand Your Cash Flow

The money you earn and the amount you spend make up your cash flow. Proper cash flow is one of the essentials of any successful business venture. You should adequately budget your expenses including loan repayment, mortgage or rent, food orders and payroll. You should monitor your cash flow closely so you are not spending too much on certain things. Don’t take goods from your suppliers for more than ten days on credit. This helps in preventing you from using more cash than you should.

Control Your Payroll

Your restaurant’s payroll is another crucial area that requires vigilance. Ensure you have just enough staff for an outstanding customer service experience. Overstaffing will eat into your profits while understaffing will tire your workers and affect the service they offer your clients.

Reduce Your Running Costs Daily

There are many simple ways you can minimize the daily operating costs in your restaurant business. Consider changing to energy-efficient appliances and low flow taps. Regularly update your menu and keep your inventory low. You can remove items which do not sell to lower your inventory. These small measures will save significant operating costs for your business.

You can also track your food and beverage sales daily using a business review. It will help evaluate your customer counts and sales trends and assist you in planning for future sales. With the right financial management skills, you will reap handsome returns from your business.

The Different Types of Mortgage Rates

applying for mortgageDifferent people have diverse needs. Since mortgages are designed to meet people’s needs, they are packaged differently, each trying to meet various needs. This suggests that mortgage rates are not standard.

If you consult with a mortgage lender in Portland, you will know that borrowers with high credit scores often get lower rates. Depending on the type of loan you want, mortgage rates will vary.

Conventional mortgage rates

Mortgages by either Freddie Mac or Fannie Mae are referred to as traditional mortgages. Their securities control the prices so that the Fannie Mae rates will depend on their bonds, for instance. The most common program here is the 30-year fixed-rate in which home buyers make a 20% down payment. Bundled with the Freddie Mac and the Fannie Mae are loans like HARP refinance, Delayed Financing, and HomeReady loan.

FHA interest rates

These are rates for Federal Housing Administration-based insurance. Available all over the U.S., these loans are most preferred by home buyers who want a low down payment. The FHA requires just 3.5% as down payment. The rates are determined by the GNMA (Government National Mortgage Association) bonds. When these rates go up, the FHA loan rates drop.

VA interest rates

Also controlled by the GNMA mortgage-backed bonds, these rates tend to work alongside the FHA rates although they are often lower. When the Department of Veterans Affairs guarantees a loan, the recipients use these standards. U.S. veterans get 100% financing without the need for mortgage insurance.

The government also controls USDA interest rates, which are for borrowers in the suburban and rural areas all over the country. They are guaranteed by the government, which allows you to enjoy a rates discount. Whatever the case though, mortgage rates will be unpredictable. However, if you know them, you at least stand a better chance to get the lowest rates possible.

Cash Flow Problems? It Could Be Your Employees

Cash FlowCash flow – it is always a business’s sticky situation. Many things can cause it to disappear very quickly. One of these is your employees.

How can employees drain your business financially? Here are two ways.

Employee Theft

Many employees steal. In fact, more than 70 percent of them do it. They are also doing it habitually. In a 2017 survey by the National Retail Federation, the inventory shrink rate went up. About 36 percent of it was due to shoplifting while 30 percent was because of employee theft.

The average cost per employee theft was almost $2,000.

Solution: Implement penalties or punishments against those who steal. Since employees are more likely to steal a lot of money through manipulating the accounting books, businesses should invest in online bookkeeping app or software to establish control, accountability, and automation.

Employee Turnover

Businesses lose employees for a wide variety of reasons. Some of them leave due to better work opportunities. Others you have to terminate because of poor conduct or work ethics. Either way, you are bound to lose money.

In 2012, the Center for American Progress published a paper concerning the high cost of employee turnover, especially for high-skilled work. It can be as much as 213 percent the annual salary for the position. Overall, it can be between 10 and 30 percent.

Meanwhile, a bad hire could cost the business around 30 percent of the employee’s earnings for the first year. The spending usually goes two things: the re-hiring process and retraining. However, a high employee turnover rate can also affect productivity, which also translates to more losses.

Solution: Set up an employee retention program. Constantly measure the turnover rate and, most of all, know the reasons. This way, you have better knowledge on how to manage the problem.

There is no foolproof plan to avoid these two employee-related issues, but you can minimize them from happening. Most of all, you can learn some ways to protect your cash flow as much as possible.

Mortgage Loans Dos and Don’ts: The Home Buyer’s Guide to Getting Approval

man wearing a suit sitting in a table showing a mortgage loan contract and where the signer must signBuying your first home can be horrifying. With all the paperwork, the potential rejections that you will encounter, and the fact that this will probably be the biggest purchase of your life, you would quickly assume that this process isn’t for the faint-hearted.

Suppose you have great credit and no history of bankruptcy on your record, there are a few tricks you can use to boost your odds of getting approval. Here are some dos and don’ts to secure a loan as recommended by American Loans, a top mortgage company in Salt Lake City:

DO save for a down payment early.

Usually, lenders would ask a down payment of 20 percent, but there are also lenders with programs that would go for as low as three percent. However, these programs would equate to higher costs and insurance. Saving up early would help you get the approval and save on extra fees.

DON’T forget to check your credit score.

Your credit will determine the interest rate and your loan terms. Before you begin this process, don’t forget to check your credit. If there are errors that you need to discuss, do it early. In addition, look for opportunities to improve your credit.

DO compare mortgage options.

You will find yourself bombarded with a lot of loan programs, that’s why it is good to do research which ones will be perfect for you. Check if you can afford large monthly payments right now, or if you can afford to do so in the future, this information would determine which program you should be going for.

DO get a preapproval letter.

Getting prequalified would just mean knowing the amount the lender can give you based on the information that you have. It’s smart to get preapproved. It can help you look more credible to sellers and even give you an advantage.

If anything goes downhill, let it be the push for you to work on your credit and finances the next time. Look for the things that you didn’t see the last time. You can find other people you have been rejected multiple times but got a house in the end. All you have to do is to start a plan and work hard for it.

4 Common Types of Personal Loans

CashThere are different types of loans, and personal loans are one of them. It is a kind of loan where you can pull out some cash for you to use during an emergency, planning a wedding, going on a vacation or for your home renovation, among others.

Such cash loans are highly accessible in Salt Lake City and come in different types. These can all be applied for and given by appropriate banks and lending institutions. Knowing the different types of personal loan can help you choose which type is the best for you.

Types of personal loans

  1. Secured loan

This kind of loan is called as such because a “security” is offered to the lender. This can be in the form of a car or property that serves as your collateral. Failure to pay the amount you borrowed and its interest means your lender can claim your assets.

  1. Unsecured loan

The opposite of secured loans as there is nothing that serves as collateral to the lender. Due to your high credit ratings, your signature is enough security. However, this means higher interest rates and stricter approval processes.

  1. Line of credit

One of the best loan types to use during emergencies. A line of credit loans allows you to overdraw your credit to an amount fixed by the bank and you only pay the interest on the amount that you used.

  1. Payday loan

Known as cash advances, payday loans are one of the most expensive, but common loan types. This uses your next paycheck as a security topped with high-interest rates plus fees. This short term loan is best used for extreme emergencies.

Not satisfied with the types of loans presented? There are tons of other loan types you can choose from. Talk with your lender and see which loan type fits you and your financial capability.

The Cash Loan Practices Smart and Savvy Borrowers Have

Approved LoanThe remaining controversial and stereotypical attitude towards personal loans, such as cash loans and payday loans, doesn’t eliminate the fact that the demand for these financial services continues to grow. With the ease of application and speed of approval, it should no longer come as a surprise that many consumers still opt for this type of quick cash assistance.

The key to being a successful borrower in Sandy, Utah is having a better understanding of cash loans. Note that many borrowers found and continue to find these financial products a big help in times of need. That's because they implement the following smart and savvy borrowing tactics, which you should use as well:

Exploring all options first

The first thing you should do is know your financial situation and find out what viable options are available. Base this on the amount of money you need and how soon you need it. In case you need it as soon as possible and you don’t need something as big as the minimum loan amount most traditional lenders offer, then a cash loan may be the right solution.

For instance, you can’t afford to wait for weeks because you have to pay for something the next day and the guaranteed income you have won’t come in until after several days. In this case, a quick cash loan can save you from bigger financial troubles.

Understanding that lenders vary

Like with any other lending institution, lenders that offer cash loans charge varying rates for their services. As such, you should treat it the same way you do banks and credit unions. Perhaps you need the money as soon as possible, but you should still take some time to find a lender who offers the best rates. Even a tiny difference matters.

It’s easy to remain a responsible borrower and pay off your cash loan, as long as you maintain the proper borrowing attitude. Use this guide to achieve your financial goals.