3 Risks of Investing in Annuities

USA, New Jersey, Jersey City, Close up of woman's hand putting money into jarInvesting can be scary, especially in the short term. When you retire, it’s hard to watch the value of your lifetime of savings fluctuate as financial markets bounce up and down. Fear is a powerful sales tool.

Immediate annuities are an insurance product that prevents you from losing money and offers the benefit of guaranteed payments. However, there is a catch with those guarantees. Many annuities aren’t guaranteed to keep up with inflation, so the purchasing power of those guaranteed payments could decline over time. Tying up a significant portion of your money in an annuity also takes away some of your financial options and flexibility, because you can’t always get the money back out easily. And some annuities are outright expensive.

Here are some of the issues you could face if you invest your retirement savings in an immediate annuity.

Read more

How Good is Your Employer’s 401(k)?

401k savings planBrightScope recently identified the industries with the best 401(k) plans. Which industries came out on top?

Our rating system is based on how quickly the average participant in a given 401(k) plan is going to accumulate the money we believe someone needs to retire comfortably within his or her industry. Law firms, utilities, mining companies and airlines were top scorers because they typically offer plans with low fees and some form of profit-sharing. Employees in these industries are highly educated and well paid. They tend to contribute at a higher rate than do employees in lower-ranked plans, and they let those dollars grow over time.

How can I tell if my company’s 401(k) plan isn’t up to snuff?

Read more

The Best Credit Cards for Customer Satisfaction

Row of Credit CardsLindsay bought a memory foam mattress from a store that guaranteed no interest financing for two years. Fourteen months after the purchase, interest charges surfaced on her bill.

A credit card David did not open showed up on his credit report as delinquent. The debt, which he discovered because he kept getting denied new credit, will remain on his credit history for seven years.

Joyce’s son purchased a wedding band on her credit card without her approval. When she contacted the jeweler, the store refused to do anything about it.

Read more

What Does A Financial Planner Do?

awevbarbvwerThat’s a good question, isn’t it? Let’s say you live in Richmond, Virginia, where would you look for one of these specialists? On the internet would be a good bet or in the phone book or a recommendation from a trusted friend would be a good place to start. The next thing you need to know is that there is one that is the Fee only Financial planner In Richmond. These planners also usually include personal tax planning In Richmond as a part of their practice. The second kind is the non fee based planners, these planners work strictly on commissions they earn from products they sell you.

We’re going to answer all of these questions, but first, let’s start off with a seemingly simple question, why is money important to you? Of course, it’s important so you can pay the bills and go on vacation and things like that but why is it important to you? This is a great question because once you know the answer, that answer will drive every financial planning decision you make from here on. In answering this question many people find it easy to write down a list of their financial goals: Fund their retirement program, save for their children’s education, save enough money to buy a home.

The next step is actually two parts. Number one is to know exactly where you are starting from and number two knows exactly where you are going. The first one seems to be easy, but you need a list of your assets, liabilities, and the debts you owe and a list of money owed to you. With this information, you can get a reasonable net worth statement, which will be your starting point. Where you are going is a bit trickier. Anything can happen that can completely change your game plan. You could lose your job, you could become ill, you could have an accident. This is why we set up your savings plan as an emergency fund for just these sorts of situations. This also brings up the point that you should always have a backup plan or a plan B. A plan B scenario is just a backup if everything else goes to hell. Sometimes it does and having a backup and other options in mind is a great idea.

Read more

How to navigate financial compliance online

AAVrvbWorking in the financial industry means a lot of red tape. The government loves to protect people, meaning there are a lot of laws and regulations around the financial industry. Now, there is even a whole department dedicated to ensuring the laws and regulations are in place and being followed. This is called the Consumer Financial Protection Bureau, or CFPB. Not that it is a bad thing to ensure customers are being protected, especially when it comes to their money, but it does make it really hard to work in the financial industry and to make sure you are following all those rules when it comes to your online tools.
 
Ensure online security

As a company that works with people’s money, you are probably storing a lot of private information related to your customer. Besides the basic login information for your customer portal, you are probably also storing bank or credit card account information, social security numbers, names, birthdays, and anything else a cyber hacker might need to steal a person’s identity and finances. Without the right security, you’ll be letting go of private information, and the CFPB isn’t going to forgive that lightly.

An IT managed service provider is going to have expert knowledge on the laws that you need to be following when using online tools. The biggest problem is that you need to ensure all of your customer data is safe, but when you started to use online portals for your customers to log in to, security becomes a bigger problem. IT managed service providers have the tools that you need to not only build your online portals for customers but also to make sure the encryptions are strong enough to keep cyber hackers away. Though protecting your customer data is a number one priority, it is also important to make sure that you are protecting your company from the pain that comes when you’ve been found breaking a law, even if you didn’t realize you were doing it.

Read more

Know About Trade finance Systems

steinhausen-gold-clip-02Before we comprehend about trade finance systems, let us recognize what merchandise implies. A product is anything in the business sector, on which you can put a worth. It can be a business sector thing, for example, nourishment grains, metals, oil, which help in fulfilling the needs of the supply and request. The cost of the merchandise is liable to differ in view of interest and supply. Presently, back to what are trade finance systems? At the point when items, for example, vitality (raw petroleum, common gas, gas), metals (gold, silver, platinum) and rural produce (corn, wheat, rice, cocoa, espresso, cotton and sugar) are exchanged for a monetary benefit, then it is called as trade finance. These can be exchanged as spot, or as subordinates.

You can likewise exchange live stocks, for example, cows as merchandise. In a market, you purchase and offer the products for moment conveyance. Then again, in the subsidiaries market, things are exchanged on different money related standards, for example, fates. These prospects are exchanged trades. So what is a trade? Trade is a representing body, which controls all the thing exchanging exercises. They guarantee smooth exchanging movement between a purchaser and merchant. They help in making an assertion in the middle of purchaser and vender regarding fates contracts. A prospects contract is an understanding between a purchaser and vender of the merchandise for a future date at today’s cost. Fates contract is not quite the same as forward contract, not at all like forward contracts; fates are institutionalized and exchanged by terms laid by the Exchange. That is to say, the gatherings included in the agreements don’t choose the terms of prospects contracts; however they simply acknowledge the terms regularized by the Exchange.

Things being what they are, the reason put resources into product exchanging. Trade finance services can bring tremendous benefit, in limited capacity to focus time. One of the primary purposes behind this is low store edge. You wind up paying anyplace between 5, 10 and 20% of the aggregate estimation of the agreement, which is much lower when contrasted with different types of exchanging. Despite execution of the merchandise on which you have contributed, it is less demanding to purchase and offer them in view of the great administrative framework shaped by the trade. Supporting makes a stage for the makers to fence their positions taking into account their introduction to the item. There is no organization hazard included, with regards to item exchanging instead of securities exchange exchanging. Since, item exchanging is about interest and supply. At the point when there is a bring up sought after for a specific merchandise, it gets a higher cost, in like manner, the other far as well.

Read more

CFP Program, What It Takes To Reach Success

UntitledIf you want to take a different path or a more exciting one but far more different from other jobs; you can try to become a certified financial planner. It’s one of the most in demand certification courses and career these days. The reason is more on the fact that people are now more aware of their importance and value of their finances more than anything. They are now weary of the kind if future they will be having if they don’t prepare well. With the help of financial planners, these matters will be taken care of and will lead to a better future. However, becoming a CFP isn’t that easy as you will have to undergo some challenges first.

CFP Program is the start of your journey. Upon passing and meeting all the requirements that are needed for this course, you can take this training for about six to eight months. Here you will be taught and be dealing with the different concepts and principles of financial planning. It would be the general view as well the specifics of financial planning. There are different principles that need to be mastered to reach success. Examples of this would be retirement planning, real estate, risk management, stock market investment and more. You’ll be dealing with different methods that you will be using to create wonderful and strategic financial plans.
To get the best certified financial planner training, the right choice for college for financial education also matters the most.  You can’t just pick out any mediocre schools out there. They might be offering CFP courses but they might not be recommended by the board of standards and the financial planning association. This means that their materials might be far from the standards which mean that your chances of passing the CFP exams will become low as well.

You have to be careful in knowing these schools as your decisions matter a lot. The kind of training that you will receive will be the ones that you will choose once you get your exams. Although certifications aren’t required in the field of financial planning, it’s highly recommended if you want to a higher position against your competitions later on. The field of finance offers a lot of opportunities and if you’re not ready, you won’t be able to receive your benefits and rewards. You have to work hard for everything to realize your dreams.
Everything matters if you want to be successful. With the right choices you make, you’ll become successful and it all starts with a simple decision.

The Many Advantages of Accounts Receivable Financing

indexThere are many accounts receivable financing advantages. Businesses the need capital will be hard pressed to find a much better or faster option. Such financing is not dependent upon a businesses’ credit or the length of time that they have been in business. As long as a company has clients with good credit and outstanding invoices, then accounts receivable financing is a viable commercial financing option. Below, we will go into a little more detail about only a few of the many advantages of generating capital in this manner.

Fast money

Accounts receivables financing is a really great way to get money fast. Most factors are able to provide payment for invoices in about 24 hours. This process may initially take more time. However, after a business has established a relationship with a factor, the process goes really quickly. Unless a company has an open line of credit, it is difficult to think of a faster way to raise commercial capital. Even in cases where a line of credit is utilized a company is forced to pay interest which can be extremely expensive. There are no such costs associated with receivables financing.

Read more