Browsing Category



How To Make Working Capital Work For Your Benefit

Out of all the important things you should be familiar with while managing your business is where to get the funding from and how to manage the working capital. When you sort out this basic requirement, you can easily handle the growth of the business. Working capital is the lifeblood of your business and if there is inadequate capital, it will lead to stagnation or even worse, liquidation. 

Working capital is the amount of cash in the pocket of the business and it measures the ability of the business to meet the near-term financial obligations. Hence, if you run short of funds for working capital, it will add to stress and lead to inefficiencies in the business. In such situations, it is best to apply for a business loanBusinesses that excel in their fields have found ways to manage and improve their working capital position. Here is how you can make working capital work for your benefit.

  • Buy inventory before the peak season

If you own a seasonal business, you will understand the increase in the requirement of working capital during the peak season. This is when you should make the right buying decisions. Use the working capital to purchase inventory before the start of the busy season in the industry. This will leave you with adequate funds during the peak. It will also allow you to allocate the funds to other activities like marketing or sales. 

  1. Hire and train staff before business peaks up

All businesses have their ups and downs. It is during the downtime that you should think of hiring professionals and train them. This will ensure that they are ready to handle the peak season. Even if you do not own a seasonal business, hiring and training staff in the low periods will save significant costs in the future. When business activities are low, you have funds on hand and this is when you can organize training programs for the staff.

  1. Allocate funds towards taxes 

You may not have an accurate tax figure in mind but you must consider the business activities as well as previous years’ tax figure and leave out an amount for the same. Taxes can become due at an inconvenient time and they should be paid on priority. Before you invest the working capital towards any other expense, you need to set aside an amount for taxation to remain stress-free throughout the year. 

If you do not have the funds to plan and allocate well, you must consider a short-term business loan to strengthen the cash position. As a well-managed organization, it is important to calculate the working capital position and measure the viability of the business. This will ensure that you continue to operate the business without any interruption. Some expenses like paying for raw materials and salaries are non-negotiable expenses, so having adequate funds will help maintain the strong reputation of the company through the business highs and lows. You must estimate the funds you will require in advance and then approach a lender for a loan that works best for you. 


Unconventional Ways to Pay Off Student Loans

One in five American adults has some form of student debt.

While the vast majority owe less than $50,000 each, the total amount of student loan debt currently stands at a mind-blowing $1.47 trillion.

Senator Elizabeth Warren’s plans to wipe out student debt could be the answer to how to pay off student loans fast. But in the meantime, we’re stuck with conventional ways to pay off student loans, such as increasing repayment amounts or starting a side hustle.

That is, unless, you’re open to more creative ways to reduce your student debt…

Check out this list of unconventional ways to pay off your student loans.

Work for the National Health Service Corps

If you’re a healthcare grad, chances are you have even more student loan debt than other grads. You may have even had to take out a personal loan to fund your studies, as this information will help you learn.

Which is why the National Health Service Corps Repayment Program helps give healthcare grads a break. The program offers medical, mental health, and dental clinicians up to $50,000 towards student loan repayments. In exchange, you have to commit to working at an NHSC site helping underprivileged communities for two years.

And, if you should choose to stay on after the initial service commitment, you’ll receive extra help with paying off student loans.

Move to Rural Kansas

In an attempt to discourage population decline in Kansas, the Rural Opportunity Zone program is offering Americans the chance to move to rural parts of the state in exchange for lower living costs and a great quality of life.

The zones also have authority to offer student loan payments of up to $15,000 as well as tax waivers and free land.

To be eligible, you must have a college degree and an outstanding student loan balance. You also need to start living in one of the rural opportunity zones on or after the date on which the county joins the student loan program.

Work for the US Office of Personnel Management

Many people make the mistake of equating a government career with a high salary.

While that’s not the case, working for a government agency could be the best way to pay off student loans. That’s because the US Office of Personnel Management makes every employee eligible to have their loans paid by their employer.

This loan payment scheme involves the government agency paying the loan holder up to $10,000 for an employee in a calendar year. This is up to a total maximum of $60,000.

Move to Niagara Falls

If living in rural Kansas for a student loan break doesn’t appeal to you, how about moving to Niagara Falls, NY?

Following a significant population decline in recent years, the city of Niagara Falls has established a program to encourage young professionals to move to the area. It’s hoping that this will boost the local economy beyond tourism and help the once-thriving industrial city maintain its ‘city’ status.

The program offers a total of $7,000 to pay off student loans to those who move to the area and work for two years. To qualify for the reimbursement, you need to have a two or four-year degree from an accredited school. You also have to rent a home within a designated area of the city.

It’s not a huge amount. But if you don’t have any major life commitments right now, it could be worth considering a temporary relocation as a way to shave off some of your student debt.

Volunteer Through Zero Bound

As a way to reinvest education and skills into the community and relieve the financial burden of student debt, Zero Bound founder Sabrina Norrie set up this program to connect graduates with sponsored volunteering opportunities.

The premise is that students and graduates sign up for volunteering projects listed by Zero Bound’s non-profit partners. After completing each volunteering task, Zero Bound transfers money to the volunteer’s student loan account.

For those of you who’d rather contribute to a cause you believe in rather than work a side hustle for extra cash, this is a great way to do good in the community and cut your students debts at the same time!

Work as a Vet in Underserved Areas

If you’ve studied to be a veterinarian and are wondering how to pay off student loans faster, the USDA Veterinary Medicine Loan Repayment Program could be the answer to all your debt problems.

The program pays up to $25,000 per year for qualified vets who agree to work in designated areas with shortages of veterinarians. You also have to commit to three years working in one of these underserved areas. But that does mean getting as much as $75,000 in tuition reimbursements, which isn’t a bad deal at all.

Become a Young Farmer in New York

The agricultural sector is one of the cornerstones of the US economy. But the state of New York has come to see that the sector can only thrive if they give their farmers the support they need.

Which is where the New York Young Farmers Loan Forgiveness Program comes in. The program gives young farmers a chance to start off their agricultural career with a clean slate. Although, to be eligible you must have a college degree from a New York college and agree to operate a farm within the state on a full-time basis for five years.

A farmer’s life might not be for everyone. But if you’re open to new challenges and like the idea of working outdoors for a few years, it’s certainly worth considering as a way to wave goodbye to student debt.

Unconventional Ways to Pay Off Student Loans

Worrying about how to pay off student loans student debts can make it hard to see the light at the end of the tunnel for many American graduates.

Of course, these unconventional ways to pay off student loans might not be for everyone. But it’s encouraging to know that there are ways to reduce your debt faster if you’re open to new ideas.

For more money management tips and advice, check out our other posts on loans.


Personal loans – affordable funds when you really need them

If you are unable to concentrate on your daily activities due to unavailability of sufficient funds to you, then there is a great solution. You do not need to worry more! You can apply for personal loans. Whether you own or rent, you can apply for these loans and get funds for your needs.

Amount obtained from personal loans can be used to make monthly payments, debt consolidation, car repair or home repair, paying emergency medical bills, purchase a car, paying admission fees at the college and so on.

Personal loans are available in the form of secured and unsecured. As its name suggests when you apply for secured personal loans, you will need to provide collateral for the lender against the amount borrowed. Collateral can be anything like real estate or automobiles. Whereas, with unsecured form, you do not need to pledge any collateral, but interest rates are relatively high. This is another form of security for lenders.

Generally, you can request a maximum of $ 75,000 with secured loans. Based on the amount borrowed, you are required to reimburse money in the next 25 years. So, the amount and reimbursement terms may vary according to your needs, the worth of the collateral, and other factors.

When you apply for unsecured loans you can borrow a smaller amount ($1000-10 000) and the repayment period is shorter, because you have to return the money in the period of 1 to 10 years. But this option is more useful if you do not want to risk your property. For example, if you pledge your house as collateral you can stay homeless in case of default payments.

Personal loans are open to all borrowers. Thus, you can apply, even with bad credit or credit below average. You must be aware that interest rates for people with bad credit can be a little higher, but at the same time, creditors have a great opportunity to repair their credit by making prompt repayment! So they will get better terms and conditions applying for loans in future.

You can apply online for personal loans. The online application is really simple, involving several easy steps! You just need to fill some of your personal information, and make the submission. The approval takes an hour, and the amount is sanctioned to you as soon as possible!

No personal visits at the traditional brick and mortar lending institutions, you can apply for these loans and get money in very short time. Simply, you need to have an Internet access, then research the market and find out the perfect match! There are many free comparison services developed to help you choose the best deal for you. So you should not take the first available quote on loans, because there is a high competition on the market.

Personal loans are suitable for people in different circumstances. The main purpose of this lending option is to help people overcome all temporary fiscal difficulties that arise because of the worldwide economic crisis.


Personal Loans for Bad Credit Remain Elusive in Tough Economy

The country’s still-sluggish economy has changed the way lenders operate. Banks and mortgage lenders, even auto lenders, are more cautious about to whom they lend money. This makes life difficult for those consumers seeking personal loans for bad credit customers. The simple truth? A growing number of banks and lenders are no longer passing out personal bank loans to consumers with weak credit scores.

Three-digit credit scores have always been important for consumers looking to borrow money. Lenders passing out everything from home equity loans to second mortgages to car loans have long relied on these numbers to determine who is and is not a risky borrower. Those consumers with low credit scores have always had to pay higher interest rates to borrow money, and they’ve always struggled to qualify for the best loan products.

Today, though, lenders who were burned by the bad economy – too many of the loans they passed out to credit-challenged consumers have gone bad – have sworn off no credit check personal loans. This means that consumers with low credit scores who need personal loans to pay off their higher-interest-rate debt, finance a home-improvement project, or pay for a medical emergency might find themselves with no way to get at the money they so desperately need.

Consumers have long known how to get a personal loan: They know they have to submit to credit checks, and they know they have to prove to their bank or lender that they have the financial wherewithal to pay back their loans on time.

However, today, qualifying for personal bank loans have become even more of a challenge. Banks today don’t just want to work with customers with solid credit scores. They want to work with borrowers with top-notch scores. This means that consumers who are seeking personal loans should have a three-digit credit score of at least 720 on the popular FICO credit-scoring system.

For many consumers, this is no easy task. Nabbing such a high score remains a real challenge. Consumers who’ve missed credit-card payments in the past, run up large amounts of revolving debt, or had to file for bankruptcy protection will certainly have credit scores far lower than 720.

These consumers will find that the days of easy personal loans for bad credit are long gone.

Instead of seeking out lenders that will loan them bad-credit personal loans – which will come with exorbitant interest rates – consumers should, instead, strive to improve their weak credit scores. If they take the simple steps necessary to boost their credit, these consumers won’t have to worry about finding lenders that pass out no credit check personal loans.

Fortunately, credit repair is a simple task: Consumers need only pay their bills on time every month and do whatever they can to reduce their credit card debt. Once they do this, they can watch their credit scores steadily rise. Once this happens, consumers can confidently apply for personal loans with the banker or lender of their choice.


Let a Personal Loan Calculator Show You the Facts

It’s no secret that people love good deals, and having a tool like a personal loan calculator on your side can be of real help when trying to find the best personal loans. The good news is, free loan calculators are widely available online, and since this is where you should most likely start searching for the best low-interest personal loans, you’re able to kill two birds with one stone.

However, there are many steps you should complete (with this being one of them) before you ever apply for a personal loan. You want to make sure that you have your financial house in order, as it were, and that you are truly prepared to make a sound financial decision when the moment presents itself. To that end, you may want to consider the following tips to help you get off to a firm footing in the world of various loan products.

Knowing the Score when It Comes to Your Credit

Most of us are at least familiar with the concept of the importance of good credit, but are you actually familiar with your own credit profile, and what it is really saying about you to lenders? The importance of this profile cannot be overstated, as it provides a snapshot of you as a potential risk when it comes to lending you money. Suffice it to say, this is the first thing lenders will look at before they get around to offering you any loan product.

Since the report will play such a huge role in determining what kind of rates you will be offered, it is in your best interest to procure a copy of your report before you start loan shopping. The best and easiest place to get a copy of your report is both free, and reliable, as it is a website that the FTC suggests for these purposes: Take some time to acquire your copy and look it over to be sure that it is accurately representing you to creditors, and not hurting your chances by containing errors or out of date information.

Finding a Great Loan with Your Computer

As mentioned earlier, probably the best and easiest way to find and compare various loan products is going to be online. While you should still double check with your bank and perhaps local credit unions, don’t be surprised if you are able to find better deals online, as you are able to shop the entire country. Once you’ve gathered a number of quotes, use your loan calculator to help crunch the numbers, and find the one that’s best for you!


Using Personal Loans Instead of Revolving Credit

Some people will tell you to never loan money to family. This belief is understandable; loaning money to a family member will almost always cause some sort of strain on the relationship. However, there are certain times where it may be acceptable to loan money to a family member. If you choose to make the loan, there are a few rules you should follow. Here is a brief how-to guide.

Before you lend money to a family member, sit down and talk with him about his options. If it is possible for him to borrow the money from another source, have him take that route instead. Home equity loans, car title loans, personal loans, or educational loans are all good options to consider before borrowing from family. Your family member should only look to you for money if he has considered all of these options first.

You will also need to sit down with your spouse (if you have one) and go over your own finances before deciding to lend money to a family member. Can you afford to lend the amount asked? What will happen if you don’t get the money back? What will happen if the family member pays you back over several years? Is your spouse comfortable lending money to this family member? Is this family member trustworthy? If it doesn’t make sense financially for you to loan the money, don’t do it.

If you decide to loan money to a family member, always write up a small contract with the terms of the loan and have it signed by both you and your family member. This contract should include the original amount of the loan, the date the money is expected to be paid back in full, payment options (if applicable), interest rates or loan fees (if applicable), and penalties for failure to comply with the loan terms. You should also include a brief description of the course of action that will be taken if the family member fails to repay the money. You can be as harsh or as lenient as you would like in the contract, but be sure that the terms seem fair to you. After all, it’s your money.


Truth About Debt Consolidation Loans

Debt consolidation loans are tools that can be used to make paying off debt easier. Americans are in more debt today than they have ever been, and many are struggling to come out on top. As with any demographic or economic shift, there are innumerable factors that caused this change. Some of the causes, however, can be traced back to the growing number of students attending college, (who need student loans) and the number of people purchasing homes. The ever-changing economy at times makes it difficult for the large percentage of the population in debt to make payments. For this reason, many are turning to debt loans.

Read the following information carefully. This article outlines the purpose of these loans as well as how they work. These unique loans should be thoroughly understood before taken out by a borrower. As the name implies, debt consolidation loans do not erase debt, but rather, consolidate it. These loans merge high-interest debts together and give their payments lower interest rates. Debt consolidation loans are meant to provide a fresh start and a new method of tackling mounting debt. If you are considering this type of loan, be sure to understand that it is not a cure-all and will not get rid of your debt for you. This type of loan simply reorganizes debt and lowers interest.

As with any loan, there are pros and cons to consider. A con, for example, would be that low-interest rates are only made possible by collateral, which you must provide. Moreover, not everyone with debt can receive a debt consolidation loan. People are often turned away by lenders for having too much debt and too poor of credit scores. Consider your financial standing before applying so that you are not disappointed.

The most important aspect to consider before applying for a debt consolidation loan is your own financial habits. Experts claim that of the portion of the population to apply for these loans, approximately 70% fall back into the same hole shortly after borrowing. If you don’t want to be part of this statistic, you must change your financial habits.

Educate yourself and remain determined to be financially successful. These loans are only a successful tool if you use them wisely. Speaking to a consultant is advised before applying for debt consolidation loans.


Personal Loans – An Easy Solution to Resolve Your Financial Limitations

A variety of loans satisfying various needs are available today. Though a number of them have come into existence, personal loans have retained their status. They are highly valuable and the preferred type for many. Here is a discussion on the various types of personnel loans, their advantages and disadvantages.

Types of personal loans

There are fundamentally two types of personal loans, the secured type and the unsecured type.

Secured type of personnel loan: As implied by the name, this type of personal loan can be obtained only if the borrower keeps an asset such as real estate property, car or jewelry as security with the lender. The loan amount to which the borrower is entitled depends on the collateral amount shown by him.

However, other requisites such as good credit report and employment status are also necessary for the applicant to qualify for secured type of personnel loans.

Unsecured type of personal loan: All the requisites for this type are the same as that of the secured loan except for the security deposit. Unsecured type of personal loans does not require any security.

Both these personal loans can be obtained very easily through a great number of online lenders. However, it is essential to check the authenticity of the lender before keeping any valuables in the form of security.

Advantages of personal loans

1. Low interest rates: To avail this benefit to the full extent, take a maximum eligible amount as the loan amount.

2. Fixed interest rates: Unlike other loan types where the interest rates vary as per the market trends, personnel loans are very safe in this respect. If you select the stable interest rate plan instead of the floating interest rate plan, you can well plan for the loan payments very easily.

Factors to be checked at the time of selecting personnel loans

1. Plans offering a gift amount: Certain lenders introduce plans that promise a gift upon applying for a loan. Never fall for such tricks! This will increase your loan amount in the form of interest rates.

2. Analyze all the available plans carefully. It is recommended to go for a basic plan with simple terms and conditions. Make sure that the personnel loans plan is easy to repay.

3. Payment protection insurance: Certain lenders try to sell you payment protection insurance at the time of taking the personal loans. They say that the insurance repays the loan in case of your death or repays the loan payments in case of major accidents, business loss etc.

Though these insurance advantages sound very good, do not get into them. Taking the insurance increases the monthly personnel loans payments.

4. Go through the documents carefully before signing: Go through each and every clause twice. If you are not clear on any information do not hesitate to get it clarified from the lender. Also, assess your financial status to make it clear if you can repay the personnel loans within the loan period.

From the above discussion it can be seen that personnel loans are the best loan plans to satisfy your financial limitations. However, beware of lenders who are out there to just make profits.