एज्युकेशन लोन.? कुणी ? का? कधी घ्यावं.?

एज्युकेशन लोन. म्हणजेच शैक्षणिक कर्ज. याविषयी आपल्याकडे बरेच समज-गैरसमज आहेत. ते कुणी घ्यावं, कुणाकडून घ्यावं याबाबत मुलं-मुलीच नाही तर पालकही खूप अनभिज्ञ दिसतात. शिकताना आपल्या मुलाच्या डोक्यावर कर्जाचा बोजा नको, असं वाटल्यानं अनेक पालक स्वत:चं सोनं विकतात, गहाण टाकतात पण शैक्षणिक कर्ज घेत नाहीत.

कितपत करणं योग्य असतं हे सारं.?

विशेषत: मेडिकल, इंजिनिअरिंग, एमबीए, लॉ आणि अन्य उच्चशिक्षण घेणार्‍या विद्यार्थ्यांंना जर त्या शिक्षणाच्या फी साठी कर्ज उपलब्ध आहेत तर ती का घेऊ नये.?

ती फेडताना पालकांच्या नाकीनव येतात का.?

तर अजिबात नाही.

उलट बदलत्या काळात शिक्षणासाठी कर्ज घेण्याचा विचार मुलांनीच करायला हवा आणि त्याबाबतची सर्व माहिती करून घेऊन आपल्या शिक्षणाचा भार आपणच उचलायला हवा.

जर आपण एरवी सर्व बाबतीस स्वतंत्र आणि आधुनिक विचारांचे असतो तर मग आपण आपल्या शिक्षणाचा भार स्वत:च का उचलू नये. वडिलांकडे पैसे नाहीत या एका सबबीखाली शिक्षण थांबवायचं आणि आपण पुढं शिकू शकलो नाही याचा दोष आईवडिलांना किंवा परिस्थितीला द्यायचा हे काही योग्य नव्हे.

मुख्य म्हणजे पैसे नाहीत म्हणून शिक्षण थांबवावं किंवा सावकाराकडून अव्वाचे सव्वा व्याज देऊन पैसे घ्यावेत, असं करण्यापेक्षा शैक्षणिक कर्जाचा मार्ग निवडलेला बरा. शैक्षणिक कर्ज स्वस्त असतं हे लक्षात ठेवा.

त्यासाठी संपूर्ण माहिती करून घ्यावी. आणि निर्धास्त मनानं अभ्यासाला लागावं.

शैक्षणिक कर्ज कुणाला मिळतं.?

उच्चशिक्षण घेणार्‍या कुणाही विद्यार्थ्याला शैक्षणिक कर्ज मिळतं. ज्या अभ्यासक्रमाला प्रवेश घेतला असेल त्या अभ्यासक्रमाच्या पूर्ण कालावधीची फी म्हणून हे कर्ज मिळतं. दोन किंवा तीन वर्षांंंचा अभ्यासक्रम असेल तर प्रत्येक वर्षीच्या फी चा धनादेश वेगळा मिळतो.

धनादेश कुणाच्या नावे मिळतो?

धनादेश तुम्ही ज्या संस्थेत अभ्यासक्रमास प्रवेश घेतला आहे त्या संस्थेच्या नावे मिळतो.

कर्जाच्या रकमेत कुठल्या फी चा समावेश असतो.?

या रकमेत केवळ अभ्याक्रमाच्या शैक्षणिक फी चा समावेश असतो. डोनेशनचा नाही. ज्या आणि जेवढय़ा रकमेची पावती ती संस्था देते तेवढेच कर्ज मिळू शकते. त्यामुळे संस्थेकडे पावतीचा आणि योग्य फी घेण्याचा आग्रह तुम्हालाच धरावा लागतो. डोनेशन किंवा अँडमिशन करण्यासाठी जे अधिकचे पैसे संस्था घेतात त्यासाठी कर्ज दिले जात नाही.

फी वाढल्यास कर्जाच्या रकमेत वाढ होते का.?
होते. मात्र फी वाढ झाल्याचे पत्र तुम्हाला बँकेत जमा करावे लागते.

शैक्षणिक कर्ज मिळण्यासाठी बँक कशी निवडावी.?
 क्यतो सरकारी बँकांची निवड करा. प्रत्येक बँकेत व्याजदर बहुतांश समान असतो. मात्र तरीही एकदा खात्री करून घ्या. इतर कर्जांच्या तुलनेत शैक्षणिक कर्ज स्वस्त मिळते. त्यामुळे बँक निवडताना भरवशाचीच बँक निवडा.


कर्जफेडीला सुरुवात कधी होते.?

नाही फेडले तर शिक्षण मध्ये थांबू शकते का.?

नाही. शिक्षण मध्ये थांबू शकत नाही. मात्र ठरलेले व्याज तुम्ही दरमहा भरणं उत्तम. कर्जफेडीला सुरुवात अभ्यासक्रम पूर्ण झाल्यावर वर्षभरानं प्रत्यक्षात कर्जफेडीला सुरुवात होते. अपेक्षा अशी की तोपर्यंत कर्ज घेणारा आपल्या पायावर उभा राहून कर्ज फेडू शकेल. शिक्षण सुरू असताना कर्जफेडीसाठी कुणीही तगादा लावत नाही.

नापास झालो तर..?

शेवटच्या वर्षाला नापास झाला तरी एका वर्षाचा अवधी मिळतो. पण मध्येच नापास झाला तर पुढील शिक्षणाची फी पुढच्या वर्गात गेल्यावरच मिळते. पण कर्ज काढून शिकताना नापास न होणंच उत्तम. आणि श्रेयस्कर.

कर्ज घेण्यासाठी कुठली कागदपत्रं लागतात.?

१) प्रवेश घेत असल्याचे आणि त्यासाठी अमुक फी हवी, असं सांगणारे संस्थेचे पत्र.
२) आधीच्या वर्षाची गुणपत्रिका.
३) निवासाचा पुरावा.
४) आई आणि वडील यांची गॅरेण्टर म्हणून सही. अन्य नातेवाईक भाऊ-बहीण-काका-मामा-मावशीही चालेल.
५) त्यांच्या उत्पन्नाचा पुरावा.
उत्पन्न करात सूट.?

पालकांना या कर्जापोटी उत्पन्न करात सूट मिळू शकते.

How to Plan Financial Life

What is Financial Planning?
Financial planning is the roadmap to realise and achieve financial goals in life. Everyone has financial goals in life. These goals may include:

• Planning for children’s education
• Planning for children’s marriage
• Buying a house or buying a second larger house
• Buying a car
• Enjoying a vacation with family every year
• Living a comfortable retirement life without any compromises
• Leaving behind an estate for children

Through proper financial planning a person can accomplish all the above goals. Given this it is so scary to know how less people know about money. As they say “Being wealthy is not about how much you earn or what you do. It is just a matter of proper Financial Planning”. Financial planning can help a person identify his / her goals, invest towards achieving those goals and regularly review the investments every year to make sure they are on track to meet the desired goals. In short financial planning is a journey and not a destination.

Financial Planning Stepping Stones
The process of financial planning is divided into seven steps. Let us try to understand the process of financial planning with the help of an example.

Ajay is an MBA working for a MNC and is reasonably well placed. Ajay is married, has a 7 year old son Karan. Ajay stays with his parents. Ajay’s parents are retired and are dependent on Ajay. Ajay now wants to buy a new home and start saving money for his child’s education and marriage and his own retirement. He would also like to go on a short vacation once every year.

Let us see how financial planning can help Ajay realize his goals with a high degree of certainty. The first step to financial planning is to assess the strengths and the risks involved.

Strengths:
Ajay is (30 years of age). That means a 30 year investment horizon till retirement.
Ajay has regular income @ 8 Lakhs per annum
Ajay is debt free and has no financial liabilities.

Risks Involved:
Ajay is sole bread earner of the family.
Ajay’s parents are old and hence more susceptible to health issues.
Now keeping Ajay’s example in mind let us see how the process of financial planning works.

1. Emergency / Reserve Fund
This is the first step of financial planning. Ajay should have a reserve fund equivalent to meet his 3 to 6 months expenses. A reverse fund is needed for the purpose of covering unforeseeable expenses like medical emergencies or temporary job loss etc. With an adequate reserve fund Ajay will not be required to dip into his investments in times of crisis.

2. Insurance
Life is full of uncertainties and so it is imperative that one has adequate insurance cover to help mitigate the risks that might arise due these uncertainties. A term insurance plan for Ajay would ensure that the family’s survival is not at stake in Ajay’s absence. Ajay’s insurance cover should be equivalent to the present value of his future earnings till his retirement. Also Ajay should buy a good health insurance policy for the entire family to take care of any expenses that might arise due to medical emergencies. Ajay’s parents are dependent on Ajay. If his parents get hospitalised due to some critical illness the huge hospital bill can burn a big hole in Ajay’s pocket.

3. Child Education Fund
Ajay wants his son Karan to become a doctor. Ajay wants to start saving for his son’s education from now onwards. If the cost of the course as on today is Rs. 10 lakhs then the same course will cost Rs. 41,77,248 (Rs. 42 lakhs approximately) 15 years down the line if the cost of education increases by 10% (inflation) every year. If Ajay wants to reach this target of Rs. 42 lakhs 15 years down the line then he will have to start investing Rs. 9300 per month (Rs. 1,12,000 per annum) if his investments earn him a return of 12% per annum.

4. Child Marriage Fund
Ajay wants to start saving for his son’s marriage from now onwards. The marriage is planned 18 years from now. If the cost of an normal wedding as on today is Rs. 6,00,000 then the same marriage will cost Rs. 33,36,000 (33.36 lakhs) 18 years down the line if marriage expenses increase by 10% (inflation) every year. If Ajay wants to reach this target of Rs. 33.36 lakhs 18 years from now then he will have to start investing Rs. 5000 per month (Rs. 60,000 per annum) if his investments earn him a return of 12% per annum.

5. Buying a House
Ajay wants to buy a house worth 25 lakhs 3 years from now. For this he will have to make a down payment of Rs. 5 lakhs (20% margin money). He will have to start setting aside Rs. 13,000 every month in a recurring deposit account.

6. Annual Vacation
Ajay wants to go for an annual vacation every year. This will cost him anywhere in the range of Rs. 25,000 to Rs. 40,000. Ajay can make provision for this from his monthly cash flows. He can set aside Rs. 3,500 from his monthly salary in a recurring deposit account and withdraw the money at the end of the year and go for a vacation at the end of the year.

7. Retirement Planning
With advancement in medicine and technology the life expectancy of individuals is on the rise, this means more number of years of retirement. Therefore in order to reduce dependency on others; individuals must start working early on building their retirement corpus. Ajay wants to live a comfortable retirement life. So he wants to start investing for it from today itself. Based on his current monthly expenses Ajay can calculate his retirement expenses assuming an average inflation rate of 5%. And accordingly Ajay can start investing from today onwards to build his retirement nest.

8. Asset Allocation
Ajay needs to invest for various goals like Karan’s education and marriage, his own retirement. Ajay can invest in a mix of asset classes like equity mutual funds, fixed income securities, commodities etc. to meet these goals. Initially Ajay can have a higher exposure to equity mutual funds. As his age goes on increasing he can change his asset allocation and go on gradually reducing the equity exposure and go on gradually increasing the fixed income securities exposure.

9. Tax Planning
Ajay should make sure that while choosing his investment instruments he gets maximum income tax benefits. Under various Sections of the Income Tax Act (like Section 80C, 80D, 80E, Section 24) an individual can avail deduction from taxable income.

Safeguard yourself from credit card frauds

In recent times, there have been a spate of news items revealing a credit card fraud. In one such item, two youngsters were caught duping credit card holders by offering them new credit cards with higher credit limits by trading in their old credit cards. The youngsters then used the old cards to make their purchases, mostly electronics. This is how they laid the plot.

They would call up credit card holders representing themselves as employees of the credit card company. They would inform these clueless customers about a new scheme about new credit cards with greater purchase limits in exchange of old ones. Then they would also inform customers that the company's representative would soon visit them with the new card, which would be activated as soon as they filled in a form!

This news only reinstates the importance of being a vigilant customer and using credit cards with utmost prudence. Here are a few things one can do:

1. If you lose your credit card, it is necessary to inform your credit card company immediately. This will enable the card issuer to freeze the card with immediate effect and prevent any purchases on the card. The important thing for you is that your liability is limited once you inform the credit card issuer.
2. Destroy your old card completely before you begin using your new card. This is important even if your old card has expired or you are upgrading your card.
3. Keep your card in a safe place and do not allow other people to handle it.
4. Be prudent about signing up for new offers. Double-check the genuineness of the scheme. A simple way to verify genuineness of any scheme is to call up the credit card company and inquiring with them.
5. Change your PIN at regular intervals. Do not use obvious PIN like birth dates.
6. Inform your credit card company immediately if you do not receive your monthly credit statement. It could be a case of identity theft where the fraudster has changed your billing address.
7. Use chip based credit cards. These cards offer better security than credit cards with black magnetic stripes. This is because in a chip based card, all information is stored in the small chip in encrypted format and it also uses a PIN. This makes changing or copying this data extremely difficult.
8. So, the chance of data being misused while swiping the card is very remote. It is the highest level of security that credit card companies can offer at present. Citibank and Kotak Mahindra issue chip based cards to select high range customers. Axis bank's VISA Platinum card is also chip-based. HDFC Bank also has begun issuing these cards.
9. Be careful while shopping online. This is because you are required to give the CVV number for making purchases over the Internet. For this, be sure you shop only from secure websites. Ensure that the website is certified by VeriSign. Look for a yellow lock on the bottom right hand corner of the screen.
10. If you have a large credit limit on your card and use it frequently for several purchases including online and telephone purchases, it is a good idea to get your card insured. You cannot prevent credit card fraud but at least minimize its impact on your financial stability! You can protect yourself from fraudulent charges on your card up to 12 hours before reporting the loss to the credit card issuer.

By BankBazaar.com - an online marketplace for your personal loan and home loan needs.

Make money online

Esential tools for an effective strategy

• Your Own Website – The greatest important and indispensable tool in Affiliate Marketing is your own site. The chief step in any thriving affiliate marketing business is creating a good, believable and professional looking website. Your website is the jump off point of all your marketing efforts.
  
  Thus, you must first create an -easy-to-use website, which will appeal to your prospects and encourage them to click on the links to the goods and services you are promoting and hopefully create a purchase. Consequently, you must first focus your efforts in building a site that can cater to what your prospects need.
  
  The most important thing you should consider is that almost all web users go online to search for information, not automatically to go and buy something. Above all else, make your website full of original, pertinent and practical content. People love articles that are appealing and helpful.
  
  Keep in mind that, in the internet, content is always key and top quality content will not just raise your credibility, it can also help you fulfil a higher-level search engine ranking. By posting relevant and useful articles, you establish yourself as a credible authority in the field, displaying you a trustworthy endorser of the product or service you support. Establishing a good reputation is a good move in building up a loyal consumer base.
   
• Incentives – Competition is extremely fierce in the internet world. You should always be one-movement in advance of your rivals to ensure that you capture a critical share of your target market. Therefore, you must use every conceivable means to inspire people not solely to visit your website but also to click and proceed to the websites of the opportunities and services you are promoting. Creating an opt-in email list is one of the better ways to gather prospects.
  
  Offer a newsletter or an e-zine. Better yet, offer incentives to your prospects to inspire them to subscribe to your newsletters. You can present free softwares, access to unique services and other freebies that will be helpful to your prospects.
   
• Link Popularity – The value of driving highly targeted traffic to your website cannot be emphasized enough. The all-important web traffic is at the top of the list of the most crucial entities in the internet arena. Attracting people to your site has to be the first action you should carry out. Do everything to achieve a top search engine rage ranking.
  
  Link Popularity is one of the factors that search engines use to establish search engine rankings. So, to elevate your link popularity, you must launch an aggressive reciprocal link action.

One of the better ways to do this, at no cost at all, is by submitting articles, with your site’s web address in the resource box, to e-zines and free article sites. You may not only earn exposure, you may also have the opportunity to advertise for no cost, just include a link pointing to your site. The more sites you send your articles to, the better your link popularity is. Ensure your articles are unique, pertinent and practical so that other websites may pick it up and post it.

Will an apple a day keep the doctor away?

Are apples the secret to a long life?
An apple a day can reduce the risk of diabetes, high blood pressure and many types of cancer. But would you be able to avoid the doctor entirely just by eating a bunch of the forbidden fruit? Not likely. Various studies show health benefits when participants eat an apple between three and five times a week, but all ailments cannot be cured by diet alone.

Are other fruits just as good for you as apples? Sure. All fruits are loaded with nutrients that are building blocks to good health. Bananas are loaded with potassium, which is important for a healthy heart and proper muscle function. Blackberries are loaded with fiber, and strawberries contain vitamin C and fiber.

Like cranberries, blueberries help prevent and fight urinary tract infections. They're also a bit tastier than cranberries, which most people only enjoy when combined with plenty of added sugar. Apricots, fresh or dried, are high in beta-carotene.

When choosing drinks, apple juice barely makes the top 10. Pomegranate juice, wine and purple grape juice are high in antioxidants, with apple juice in the tenth spot, right behind tea. One of the things that makes apples so incredibly healthy is the amount of fiber they contain, but that's lost during juicing.

If all fruits are nutritional powerhouses, why are apples the only one to be included in the folklore? At the time the adage emerged, apples were easy to grow (and still are). Once harvested, they could remain in storage for nearly a year. Recent studies have shown that, unlike many fruits and vegetables, the nutritional benefits of apples remain relatively stable as long as 200 days after harvest .

While an apple a day will go a long way toward keeping the doctor away, most nutritionists recommend a varied diet. In addition to apples, fill your shopping cart with citrus fruits, tropical treats like mangos, and a variety of berries, which pack a nutritional punch. Eating several servings of a varied selection of fruits each day is truly the best way to keep the doctor away.

How to Trade in Stock Market

BASIC TECHNICAL ANALYSIS ON STOCK TRADING
The best time to think of purchasing the stocks is the time when you have the basic technical knowledge of stocks dealing and is able to analyse the market accordingly. Technical Analysis (TA) , helps you to determine when to buy the particular stocks and what can be the suitable period of time for the dealing. There are several good reputed schools/ institutions offering the study of TA but the basics apply to all of them . We do not expect you to become a professional overnight  as TA requires considerable study and pactice with committment and concentration- but knowing just the basics can be profitable to you and can improve your returns and can even save you from financial disasters of which one of the basic reason is knowing nothing about the stocks and yet dealing in it(pople can fool you around if you will not be knowing even the basics )

MOVING AVERAGES
Following are few facts and practises of stocks dealings, that would be acting like one of the guiding forces in stock dealing.

50 DMA (Day Moving Average) is the average price of a stock for the past 50 days plotted on a chart. A 200 DMA is the average price of a stock for the past 200 days plotted on a chart. A rising stock will have rising 50 and 200 DMAs, with the 50 DMA above the 200 DMA. Conversely, a declining stock will have declining 50 and 200 DMAs, with the 50 DMA below the 200 DMA.

Rising stocks generally stay above the rising 50 DMA, or close to it. Conversely, declining stocks stay below the declining 50 DMA.

Bottom fishing (buying stocks that are down a lot) on the premise that the market is wrong and you know better is the amateur’s strategy that on balance produces disastrous results. It makes more sense to go with the trend by buying rising stocks while avoiding (or shorting) the declining ones.
Golden Cross

When a declining stock reverses and starts back up, the rising 50 DMA crosses above the 200 DMA – generally, a bullish sign.

Trend Lines
Stocks don’t move in a straight line, nor are their moves sporadic. They are either in an uptrend (going up) or in a downtrend (going down). A trendline is established by drawing a line through three separate highs or lows on a chart. The upper band is called resistance; the lower band is called support.
A stock trading between support and resistance is in the trading range.
Some stocks have long neat trendlines. Those that have multiple short trendlines going in all directions are said to have a broken chart.

As we all know the future of the stocks in uncertaion , every once in a while stock breaks out of trading range by moving either higher (breakout)or lower(breakdown). A breakout indicates the beginning of a new trend of importance, some may either fail and a resumption of advance after the initial brekout is called follow through.After breakout, a stock can run for a few days before pulling back. A pullback is healthy as long as the stock does not undercut the previous low. Although each successive move higher increases the downside risk and reduces the upside potential, some traders chase the stock – i.e. buy it in a rapid runup.
Recognizable chart patterns that indicate that a stock is about to make a move of significance are called setups.

A stock making new highs is a bullish sign. Sometimes a stock may pull back before the close, printing an NCH (New Closing High).

Thinly traded stocks (stocks trading less than several hundred thousand shares a day) often experience a shakeout – a sudden intraday drop in price that fully recovers by the end of the day. The move shakes out weak hands – traders who don’t have the stomach for wild fluctuations and sell in a panic. Some of these moves are orchestrated specifically for the purpose of shaking out the weak hands in order to buy their shares cheaply; others are the result of traders’ herd mentality – following each other’s closely watched moves. A person who sells in a shakeout and then buys back higher is said to be whipsawed.

A stock staging an unsustainable rise at the end of a run that looks almost vertical is said to go into a parabolic rise. A stock that has a big one-day fall that violates a major trendline is said to be broken.

3 Open Enrollment Tips

WITH ALL THAT'S going on in the market, it would be nice to think you could leave your health care on autopilot — but you'd be wrong. This October, as usual, 158 million American workers will have to make seemingly small but ultimately crucial decisions, as corporate America shifts more of its $537 billion health care burden onto workers. "People need to be more thoughtful about their choice than in the past several years," says Jay Savan, a principal with the professional-services firm Towers Perrin — especially if they don't want to get stuck with hefty bills. Some tips on being choosy:

Watch for hidden costs

Read the fine print: One trend Savan expects to see grow is surcharges — sometimes as high as $150 each month — for employees who opt to cover a spouse or child who could get benefits elsewhere. And the consultancy Mercer Health & Benefits estimates that 25 percent of large employers will offer prescription-drug plans that make employees pay a portion of drug costs instead of a simple copay. That'll sting if you're on, say, a $14,000 cancer drug.

Snag incentives

Being healthy can be good for a lot more than your waistline. In 2007 almost one in four large companies offered workers incentives for healthy behavior, a trend experts say will mushroom in 2009. Alexander Domaszewicz, a principal at Mercer, says he's seen perks such as lower deductibles and even a month of benefits for healthy decisions like losing weight. Don't lie, though: "That's like stealing from the company," Domaszewicz says, and can be a fireable offense.

Don't fear health-savings accounts

With caps on out-of-pocket costs and coverage for most preventive screenings, these plans can be a good deal, especially for the very sick or for very healthy consumers looking to sock away pretax funds. Balance the huge amount you'll save in premium costs against your exposure, Savan says. Many insurers' Web sites can help evaluate various plans.

Home Loan Tips

The home buying process can seem complicated, but if you take things step-by-step and you know how to choose the right home loan, you will soon be holding the keys to your own home!
 

Ten steps to buying a home

1. Figure out how much you can afford. What you can afford depends on your income, credit rating, current monthly expenses, down payment and the interest rate. The calculators can help, but it is best to visit a lender to find out for sure. A housing counselor can help you figure out how to manage and pay off your debt, and start saving for that down payment!
   
2. Know your rights
   
3. Shop for a loan. Save money by doing your homework. Talk to several lenders, compare costs and interest rates, and negotiate to get a better deal. Consider getting pre-approved for a loan.
   
4. Learn about home buying programs.
   
5. Shop for a home. Choose a real estate agent, Wish list - what features do you want, Home-shopping checklist - take this list with you when comparing homes.
   
6. Make an offer. Discuss the process with your real estate agent. If the seller counters your offer, you may need to negotiate until you both agree to the terms of the sale.
   
7. Get a home inspection. Make your offer contingent on a home inspection. An inspection will tell you about the condition of the home, and can help you avoid buying a home that needs major repairs.
   
8. Shop for homeowners insurance Lenders require that you have homeowners insurance. Be sure to shop around.
   
9. Sign papers. You're finally ready to go to "settlement" or "closing." Be sure to read everything before you sign!
   
10. The House is yours now. Have Puja or hawan.

Terms used in Housing Finance

• EMI: Equated Monthly Installment till the loan is paid back. It consists of a portion of interest and the principal
• Floating Rate of interest: Rate of interest which varies with the market lending rate. This means that there is an element of risk of paying more than budgeted amount in case the lending rates goes up.
• Monthly Reducing balance: In this system interest reduces monthly with repayment of Principal amount
• Annual Reducing Balance: In this system principal is reduced annually at the end of the year so you end up paying interest even for the portion of principal you have actually paid back.
• Fixed rate of interest: Rate of interest remains unchanged throughout the period of the loan.
• Processing charge: It's a fee payable to the lender on applying for the loan.
• Prepayment Penalties: When loan is paid back before the agreed term of the loan, then banks/ institutions charge penalty for the prepayment.
• Commitment Fee: Some institution charge commitment fee in case the loan is not availed within a stipulated period, after it is processed and sanctioned.
• Miscellaneous Cost: It is quite possible that some lenders may charge documentation or consultant charges.

Making Money Through Blogging

Blogging for profit has been around since the early part of this decade but for some bloggers, blog monetization is often taken for granted. Especially when the global financial markets started crashing one by one last year, the diversification of how blogs can earn money became a must.

• Banner Advertising – The granddaddy of online business model still works today, despite the ad spend slowdown. Of course, advertisers are attracted to popular, high-traffic blogs.
• Pay Per Click Advertising – A democratized method since this requires more focused niches, this is perhaps the most common way bloggers earn. Ad networks like Google AdSense, BlogAds, and AdBrite provide relatively easy way to monetize blogs.
• Paid posts/reviews – An ethical grey area for most bloggers, this will surely be affected by the recent FTC announcement about blog reviews and testimonials. This type of regulation is not new, but may blaze the trail for other governments to implement their own version.
• Getting hired as a Blogger – Bloggers can also take the “Professional Blogger” route by getting hired to blog or join a blog publishing network. This is most stable ways of making money but the most restrictive if you ask me.

For some people, this is obvious but new bloggers who have just entered into the fold must be reminded that there’s more to earning online than just Google AdSense.

Making Money Online with Google Adsense

Website owners are continually on the lookout for ideas to assist pay the expense of their website. One widespread technique is to make use of Google AdSense. Website owners apply for an account that authorizes them to add text, or image advertisements to their sites. When a visitor comes to the website and clicks on one of the Google Adsense ads, the account earns money. Hence, pay-per-click is one method to produce money with Google AdSense.

Great content is important for the site owner who hopes to make money on the Internet with Google AdSense. The better the content, the more users a site generates, as a result the AdSense advertiser pays more.

SEO or search engine optimization is an important factor if a website owner hopes to make money with AdSense. Search engines like excellent quality content; appropriate content produces a higher place on the search engine return page. Organic or algorithmic SEOs compose content that engages both user and search engine spiders. In turn, this makes the site more appealing to AdSense customers.

Growing the visitors to your site enhances the probability that you will generate money online with Google AdSense. Use social media tools such as Facebook to drive users to your site. Do not be scared to post about your own business! Sign up for forums that are related to your business. Link to your site in your signature line; this will demonstrate every time you write a forum post.

Consider blogging. An additional way to make money with Google AdSense is to associate the content of your website with the content on your blog and publish advertisements on both. It is influential to connect with other bloggers — the leapfrog effect (clicking on a link on one blog to read something on a different blog) can drive additional users to your site.

It can be simple to earn money with Google AdSense but a site owner has to be inclined to carry through a determined, consistent effort.

You can create your own website and start earning money online fast!

5 things you must know before investing in FDs

A fixed deposit (FD) probably ranks as the most conventional investment avenue for domestic investors. More importantly, given its offering, it makes an apt choice for risk-averse investors. In this article, we present 5 things investors must look at in an FD.

1. Credit profile :
   The FD’s credit profile is an indicator of the degree of risk associated with it in terms of timely repayment of the principal and interest payment. For example, an ‘AAA/FAAA’ rating is indicative of the highest level of safety. Typically, an FD with a higher rating would offer lower returns vis-à-vis an FD with a lower rating. The additional return in a lower rated FD is in effect a compensation for the higher risk borne. Investors would do well to decide on the quantum of risk they are willing to bear and then select an FD.
   
2. Rate of return :
   Rate of return or interest rate indicates the return that the FD investor will clock. At any point in time, it is not uncommon to find various entities like banks, small savings schemes and corporates offering differential returns on similar rated FDs. Investors on their part would do well to scout various options and select the FD that offers them the best return at a rating that suits them.
   
3. Interest payout options :
   Investors can generally choose between various interest payout options like monthly, quarterly, annually or on maturity. Ideally, the investor’s need for liquidity should be used to determine which interest payout option is chosen. Selecting the interest payout ‘on maturity’ option can help investors benefit from the compounding effect and clock a higher return.
   
4. Tenure :
   The FD’s tenure is the period over which the investor stays invested. By and large, a longer tenure translates into a higher rate of return. Investors must match their investment tenure with their needs/objectives. For example, if the investor has an expense to meet 3 years hence, he can invest an appropriate amount in a 3-year FD to ensure that the maturity proceeds match his future obligation. On the same lines, if there is a 5-Yr investment tenure, then investments can be considered in tax-saving FDs; this will help the investor simultaneously benefit from tax sops under Section 80C.
   
5. Premature withdrawal :
   An often-ignored aspect of FD investing is the premature withdrawal clause. Investors opting for a premature withdrawal can be penalised by either being given a lower rate of return or zero interest depending on the terms and conditions of the FD. Investors would do well to acquaint themselves with the implications of a premature withdrawal before making an investment.

Stock Market Opportunities

How to Identify Investment Opportunities

When it comes to the Stock Market, are you an opportunist? This term need not have a negative connotation. The definition of an opportunist is someone who is dedicated to making money, no matter the consequence or the circumstances of another’s misfortune.
Investing is not about feeling guilty. You may feel compassion for others whose misfortune results in your gains, but there is nothing wrong with taking advantage of opportunities when they present themselves. Here are some tips here for identifying good investment opportunities as they occur.

Study the Economy

Look at global trends. Right now, many countries are experiencing an economic decline the likes of which have not been seen for decades or more. As the economy changes, so do factors such as the real estate market and the stock market. But the reverse is also true; the stock market itself can affect the economy.
You may want to keep an eye on developing countries. Their economies may be growing while more established countries are still in the midst of a rapid decline. Of course, a strong economy means a strong stock market and vice versa.

Opportunities in a Bear Market

Even though a bear market can mean tragedy for a great deal of investments, for the opportunist it can mean money making ability in the near future.

Of course, the most obvious opportunity is to identify a stock that is expected to recover nicely and buy shares cheap (also referred to as bottom fishing). This is not always an easy thing to do, but can you imagine if you had figured out decades ago that Google was going to be as big as it today and invested in it?

Look for an increase in the market’s volume to signal a recovery. As investors start to return to trading, so will prices increase. This could be a good time to sell, but it is rarely a good time to buy.

Often in a bear market, patience is key. The market has to hit an all-time low, and if you’ve invested wisely, then the only thing you can do is to wait it out.

As the Stock Market goes through its various cycles, you will be in the position for making money if you can identify them before other investors and act on opportunities.

Six Reasons We Have Bad Dreams

1. Anxiety and Stress
   Anxiety and stress, often as the result of a traumatic life event, are sometimes the cause of nightmares and bad dreams. According to the International Association for the Study of Dreams (IASD), a major surgery or illness, grieving over the loss of a loved one, and suffering or witnessing an assault or major accident can trigger bad dreams and nightmares. Post-traumatic stress disorder (PTSD) is also a common cause of recurrent nightmares.
   
   Not all nightmare triggers have to be traumatic, however. Everyday stressors, such as job or financial anxiety, or major life transitions such as moving or divorce, can also cause nightmares.
   
   
2. Spicy Foods
   When and what we eat may affect our nighttime rest, if not our tendency toward bad dreams. A small study published in the International Journal of Psychophysiology had a group of healthy men eat spicy meals before bed on some evenings and compared their quality of sleep on nights where they had non-spiced meals. On the spicy nights, the subjects spent more time awake and had poorer quality sleep. The explanation is that spicy food can elevate body temperatures and thus disrupt sleep. This may also be the reason why some people report bad dreams when they eat too close to bedtime. Though few studies have looked at it, eating close to bedtime increases metabolism and brain activity and may prompt bad dreams or nightmares.
   
   
3. Fat Content of Food
   Though far from conclusive, some research has indicated that the more high-fat food you consume during the day, the greater the chance that the amount and quality of your sleep may suffer. A small study published in 2007 in Psychological Reports found that the dreams of people who ate a high amount of organic food differed from those who ate “junk foods.” The authors hypothesize that certain foods may negatively influence dreaming.
   
   
4. Alcohol
   Though alcohol is a depressant that will help you fall asleep in the short term, once its effects wear off, it can cause you to wake up prematurely. Excess consumption can also lead to nightmares and bad sleep; nightmares are also a common occurrence for those going through alcohol withdrawal.
   
   
5. Drugs
   Some drugs, including antidepressants, barbiturates, and narcotics, can cause nightmares as a side effect. For instance, a 2008 study published in the journal Pyschopharmacology looked at ketamine, a drug used in anesthesia and recreationally, and found that compared with a placebo, ketamine use resulted in more dream unpleasantness and increased the incidence of bad dreams. Similarly, anyone who has traveled to a country where malaria is endemic may have taken Lariam and had some interesting nightmares associated with it. Nightmares usually cease once the drug is cleared from the system.
   
   
6. Illness
   Illnesses that include fever, such as the flu, can often trigger nightmares. And other sleeping disorders, including apnea and narcolepsy, may also increase the incidence of bad dreams and nightmares.While bad dreams and nightmares are considered normal responses in dealing with everyday experiences, the IASD recommends consultation with a therapist if they last in intensity and severity. But trying to eliminate these six factors first may be the best place to start in your quest to sweeten your dreams and chase the nighttime demons away.
   

Eight-step guide to financial planning

When you start earning, there is this rush of power you get by seeing money accumulate in your account month-on-month. And this can be quite addictive. More often than not, most people, especially those in their early twenties on their first jobs don't do much with the salary credited to their account, besides spending it.

If any money is left after the splurging, it usually lies in the account idle. This happens for two reasons: One, you don't know how to go about investing and two, you haven't really thought about investing any money as you have no need for it at the moment.

Now the latter reason is more dangerous because there is no such thing as too early when it comes to investments. The sooner you start the better. As for the former reason, here's a step-by-step guide to assist you in sorting your investment priorities.

Life, Health and Medical:
That investments are a must is a given, All you have to do now is to work out how you intend to invest your money, i.e. what are your priorities, where you will invest money and how much. Now, this needn't be compulsory, but for those unsure of where to start from, insuring life and health (mediclaims) is usually a good idea. This is the most basic investment. It's one way of ensuring you don’t make your family liable in case something happens to you. A mediclaim even offers cover for family, so it's security during troubled times.

Save judiciously:
This is a matter of discipline. Each month, there has to be a set amount of money from your salary that is saved. It could be any amount, Rs 1,000, Rs 5,000 or Rs 10,000. The point is, each month, this amount has to be saved no matter how many birthdays or anniversaries happen. As the saying goes, A penny saved is a penny earned – so start saving!

What's your goal?
You need to indentify this early. Each person has a financial goal. For some it is a three bedroom apartment in the suburbs, some others it's a car, or child's education or marriage, etc. The goals vary but these need to be identified quickly. First time earners may not really have an immediate goal, but this is where some thought is required. It's important as soon as you start earning to have some sort of an idea of what you intend to achieve with the money you make. This helps plan your finances immensely.

Prepare to invest:
Once you know your financial goals, it helps to draw a basic sketch of the amount of money you will need to invest/save in order to achieve it. The investment options one chooses has a lot to do with a person's risk appetite. You need to gauge your risk-taking abilities. Some people prefer playing it safe, yet others like a bit of a gamble, if it means they can earn some quick bucks. The ideal approach is of course a balance of the two. But either way, investments are crucial. So be it, sedate and secure debt funds or aggressive and unpredictable equity funds, it's never too early to put in some money on these.

Repaying loans:
It's unavoidable! At some point or the other, everyone finds themselves in some sort of debt. It could be your house, car, education or even your credit card. Whatever it is, your financial plan must include provision for paying off these debts. If you have more than one, then naturally, the priority will be the high-cost followed by the rest in that order. However, an early understanding of never spending more than you earn should ensure that you don't have to pay off bills and EMIs after the due date.

SOS provision:
Emergencies don't call in before knocking on your doorstep. And while there's no guarantee of the degree of damage it brings, it is nevertheless important to have some provision for the same. Say an FD kept safe in the bank or shares of a popular stock or gold in the locker or any other investment that you can dig into if the situation calls for it. The important thing is to identify the funds you will use during emergencies.

Allocating assets:
When you are making an investment plan, it's necessary to understand your money needs. Say, you will need money on hand in two years time to pay for your daughter's MBA, or money for down-payment of a car loan the next year. Identifying these needs will help you allocate your assets accordingly, such that you have liquid funds at the appropriate time. So, planning is not just about the end financial destination, it is also about accounting for the little stop-overs on the way. Your dream may be a duplex apartment, but on the way to getting there, you'll find yourself wanting a car, a vacation every year and perhaps some retirement provision as well. And your financial planning has to accordingly have assets distributed such that you can achieve those goals

Ask for help:
This is the most important part of planning your own finances. You may have a good head for numbers, but it still doesn’t mean you have to do it alone. Planning your finances, allocating assets and monitoring their performance constantly is a huge task and you will definitely need assistance. So, never shy away from looking for that help. And it’s a lot easier now. All you need is a relationship manager from your bank who will supervise and monitor your investments. This person will also guide you on various investment options. You should listen closely to all the advice, but never take action on any until you've done your own research.
So, do save, make a plan and start investing now!

Ramalinga Raju goes offline on World Wide Web too!

A day after Ramalinga Raju announced his departure from Satyam Computer after admitting to the country's biggest ever corporate fraud, a website by his name, launched supposedly by his fans last week, vanished into oblivion on Thursday.

The website, www.ramalingaraju.com, was launched with much fanfare last week by some people claiming to be Raju's well-wishers, who blamed media for giving him bad publicity.

Attempts to reach the site, which was available till Wednesday, was today displayed "page not available" or "webpage cannot be found" error messages.

With a tag line of "Satyameva Jayate" (truth shall win), the website was soliciting public support for Raju. Various postings on the website had said Raju was a hero for them.

After the launch of the website, a Satyam spokesperson had said that it was not an official website and that "some well-wishers might have hosted it".

However, the disclosure of financial fraud at Satyam has led to flooding of internet message boards with postings ridiculing Raju.

How does the stock market work?

How does the stock market work? How do investors use the stock trading to increase their wealth? Let's have a quick look at the fundamentals behind the stock market and then you will never again have to ask how does the stock market work.

Warren Buffet once said that "The stock market is simply the transfer of wealth from the impatient to the patient". What does Warren Buffet (the greatest investor of all time) mean by this quote? Apart from the obvious I think what he really means is that it is the truly educated investor that will be able to take advantage of the stock market. So I highly applaud anyone that is trying to find out how does the stock market work before you start putting your hard earned money into stocks that you know little about. I think the stock market is very similar to the ocean. It shouldn't be feared, rather it should be greatly respected and if you treat it with respect it will bring you great happiness.

So how does the stock market work? Well when you buy a share you are effectively buying a tiny little piece of a company. I know it may sound weird but that is exactly what happens. For instance did you know that if you bought enough shares in the one company eg. Coke or IBM then you would actually own the company. Now this is never ever going to happen for a number of reasons but I tell you this to explain the concept that buying a share is literally buying a little piece of a company. People often ask me how to buy stocks and is it hard. In this day and age it is an incredibly easy process that takes a matter of seconds. Once you know the stock market basics and have set up an online account there really is nothing to it.

Ok so now you want to know how does the stock market work to make people rich. This is where things get a little bit more complicated because there are so many different ways that investors use shares to make profits. In fact for many investors it doesn't even matter which way the stock prices move - up or down. They will use stock market news & stock trading software to still make a profit. In many cases they can make a bigger profit when the market is falling.

So to truly answer the question know how does the stock market work to make people rich I think you need to start learning about some of the exact strategies that investors are using. For instance 'Buy and Hold' is the most common strategy used by most mum and dad investors. To be honest it isn't really a strategy, in fact I've heard people describe it as 'Buy and Hope' which is probably a better description. Many people sell 'Covered Calls' (sometimes know as share renting). This is a very good strategy that normal people have used with great success. You can use CFD's or options to create leverage but these are definitely no stock market for dummies strategies.With all of these strategies the same principle applies. You buy something when it is cheap and you sell it for a profit. I know that sounds very simple but it is the truth. As with all investing the idea is to make money and the only way you are going to do that is buy buying something that is going to appreciate in value. The next step in you learning about how does the stock market work would be to try and find a stock market for beginners book or to do a stock market course.

There are hundreds of stock market courses out there that will teach you all about the different strategies to use. The most important thing to remember is to get a good education about shares and the stock market before you start investing your own hard earned money. Remember what Warren Buffet said "The stock market is simply the transfer of wealth from the impatient to the patient". So make sure you are patient and truly understand how the stock exchange works before you start transferring your money to the patient

Why you need Retirement Insurance Plans?

As per India Insurance Research- Only 11% of the working population in India has any form of social security for old age. Although India's population is young, in the last three decades life expectancy upon reaching age 60 has risen by 15% and fertility rates have halved. The ratio of elderly to working-age people is expected to double in the next 30 years.

This is an interesting piece of statistics which has huge implications for the Insurance industry - with special relevance to Retirement plans.

In a country like India, where there is no social-security, the individuals have to plan their retirement sensibly. 

This means:- That people who do not have sufficient retirement funds arranged by their employer's pension plans, need to actively invest in some kind of a retirement fund. Which in turn means that all Professionals, self-employed people, and those in the unorganised sector should look at retirement plans as the viable source of managing expenses beyond their working years.

- Also people in the organised sector need to be sure that they are adequately covered with the existing plans- which should take into account the inflation rates & other sources of expenses being added in future.

What products to choose:

Retirement plans should typically be a systematic investment of current savings which should build a significant corpus to sustain the desired lifestyle post-retirement.

Most of the leading Insurers provide Retirement plans and we sincerely advice you to compare them in detail and choose a plan wisely.

Important terms to know in your Health Insurance

Floater Policy: Its a policy where one single limit stands for the entire family. For eg you have floater policy with limit of 3 lakhs, the maximum your entire family is covered is Rs 3 lakhs not for each individual.

The floater policy is generally not given to individuals but is taken by corporates for their employees and their families.

Non floater policy or the standard policy: Also known as Standard policy, its limit is policy taken per Individual.You can take 1 lakh limit for yourself, 2 lakhs for your wife and 25000 for your Child.

Waiting period

It’s the period of time specified in a health insurance policy, which must pass before your health insurance coverage pertaining to certain ailments can begin. For example: If one has a waiting period of one year for covering cataract, and one has been operated for cataract around 9 months after the policy commenced, the claim will not be payable.

Prexisting diseases: A pre-existing medical condition is one in which the ailment has been diagnosed (or medically treated by a doctor) before the policy starting date

The claim is repudiated when the prior existing medical condition has a direct bearing upon the ailment for which the hospitalisation has now taken place.

This exclusion applies normally to all individual policies, whereas groups can negotiate for waiver.

TPA (Third Party Administrator): A TPA is an authorised agency, appointed by the insurance company, to take care of claim settlements in health insurance.

Cashless Claim Settlement: When you opt for a cashless facility, you can avail medical treatment as an inpatient (only at an empanelled hospital — known as ‘network’) without paying the treatment costs upfront to the hospital. The insurer will directly settle the bill with the hospital.

Reimbursement Claim Settlement: When you opt for a reimbursement facility, all the bills related to the hospitalisation will have to be paid by you directly to the hospital.After discharge, all the reports, bills and receipts must be submitted by you, along with the claim form to the insurer or TPA. After scrutiny of the same, the insurer/TPA will settle the claim and reimburse you the claimed amount.

One of the most important things you can do as a policy-holder to avoid hassles during a claim is to review and understand the terms and conditions of the insurance policy before you take a policy.

Why we need Insurance?

What are top most reasons to take Insurance ?

1. Fear of death and Financial implications for dependents-
   If this is the reason that you are looking to buy your policy , please stick to it.Get a policy which only takes a premium to cover this risk.Death can be from natural reasons or can be by accident etc. Try to cover both reasons when you wanna insure yourself for this basic reason.
   
   
2. Fear of hospital/medical expenses from illness etc-
   To get treatment done for any medical emergency they some times take your yearly income in few days.So most of the salaried middle class is making sure they have medical insurance.One should go for health insurance these days.Most health insurance companies offer cashless hospitalization these days which is a very useful component for salaried individuals in case of medical emergencies.Health insurance is basically a general life insurance product but now Life insurance companies also offers some products which covers basic health covers.
   
   
3. Auto Insurance-
   Most of us love our vehicles more than ourselves so getting Insurance for your prized possession comes naturally.Anyways its a law in this country which mandates a must to have auto insurance in this country.One can have a complete comprehensive auto insurance vs to just theft and third part insurance.In this category also the private players are giving Cashless claim settlement features to capture market shares.
   
   
4. Income tax led decisions-
   These days to save tax everyone suggests you to buy insurance. Let tax saving be incidental to choosing a cover, not the sole force behind it.
   
   
5. Combining Insurance and Investments-
   Over in last few years insurance products has been sold more as an investment tool rather than a 'protection' vehicle. They are called Unit linked plans-Ulips.
   

Insurance Agents often succeed in their efforts owing to the following factors:

Providing rosy illustrations of future investment returns, conveniently side-stepping the basic question of whether the coverage amount contained therein is adequate or not.Stressing that an insurance-cum-investment policy compels the policy holder to be disciplined in their savings program and this aids in long-term wealth creation.

Now when stock markets are under bear phase one should understand that investment is different than just bundling both together.