Ethical finance: who benefits from our spending?

Rachel Lane

On one hand consumers are being universally criticised for running up significant amounts of debt on credit cards, yet conversely many companies are capitalising on the growing credit card debt, from charities and political organisations to football clubs, the Association of Surgeons and somewhat ironically ActionAid, an international development agency whose aim is to fight poverty worldwide.

Financial comparison site moneynet.co.uk provided 226 credit cards in a general credit card search, from which the consumer could choose a product to suit their lifestyle, as well as their wallet. Credit cards with charity branding involve many major organisations including Amnesty International, Christian Aid, WaterAid, RSPB, Save The Children, the Ramblers Association, Oxfam, Greenpeace, the Vegetarian Society, RSPCA, ActionAid, Children In Crisis, Help The Aged, Tearfund and the Terence Higgins Trust.

Perhaps it is fair to say that if people are going to spend on plastic, they should be helping charitable organisations on the way and should they feel inclined to contribute to a political institution, donating a small % of each transaction is a convenient method. If most consumers were ethical spenders, then associations between transactions and third party beneficiaries would inherit this quality, but as debt spirals out of control, is it responsible or ethical that someone should benefit at the cost of someone else?

Although it is standard for most card providers to offer an introductory free period, the consumer may be hit by a more substantial annual percentage rate (APR) later on the year, with some providers, such as ASDA charging a massive APR of 28.8%. Even ActionAid charges an APR of 17.9%, rescuing the developing world at the expense of the developed.

For further information about credit cards and details on specific providers:
http://www.moneynet.co.uk/
http://www.eiris.org/
http://www.creditaction.org.uk/ 
http://www.moneybasics.co.uk/mb/site/Home.html 

About the Author

Rachel writes for the personal finance blog cashzilla:
http://www.cashzilla.co.uk/

 

Dobler Consulting Inc
2339 Warwick Dr
Oldsmar
FL 34677
United States

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DON'T LET FINANCES RULE OVER YOUR SELF-ESTEEM

Terry L. Sumerlin

I know a barber who had the opportunity of buying one of the oldest and best barbershops in his city. He had worked there for a few years, and knew it was a good investment. So, he made arrangements with the owner, and took the plunge.

However, it wasn't long before he realized he was in serious financial difficulty. Actually, he was in trouble before the purchase of the shop, and the added debt put him in way over his head.

Prior to obtaining the barbershop, this fellow had several bad business ventures. They were all legitimate. Just bad choices! Generally, they all involved selling, in which he was not exactly a shining star. Oh, he did manage to sell a few things such as his house and his car. It was not quite that bad, but almost.

About the same time as the business failures and the purchase of the barbershop, his wife and two daughters were in college. So the debts really began to pile up, as the pressure became intolerable. Also, fatigue set in because of the three jobs he was working so that he could continue to tread water.

The barber/entrepreneur did a couple of things he thought might relieve some immediate pressure. He borrowed on credit cards and from the Internal Revenue Service (by not paying estimated taxes). Eventually everything started to come apart, as the IRS threatened a tax lien.

For lunch one Saturday the barber's family came to his shop after hours, as they often did. He was so overcome with worry and stress that he verbally threw them out. Then he went home, closed his bedroom door and considered how he might end his life without destroying his family or disappointing his God. As it turned out, only thoughts of God and family keep him from doing the unthinkable.

As you might guess, I know the fellow's story so well because I'm the fellow. Today, I'm pleased to say that, because I obtained the help I needed emotionally and financially, I'm well on the way to being completely debt free in few years (except for a home mortgage). And, I lead a happier, fuller life than ever. However, I've been left with some lessons I'll never forget.

The first lesson is: "Debt robs a man of his self-respect, and makes him almost despise himself." (P.T. Barnum). Thus, there's a need to use credit wisely. Self-esteem is at stake. And, while you might buy things on credit that you can't afford, because it temporarily lifts your spirits or gives you something to show to others, it's not worth the shame and loathing when debt becomes overwhelming. Learn to live within your means even if it involves doing without!

The second lesson is how a loss of respect due to financial woes affects one's attitude toward others. Sherry can always tell when I'm not happy with myself. That's when I'm unkind to her. I'm the same way with customers. In fact, there's no telling how much business I ran off while I was drowning financially and emotionally. I could easily have lost both my family and my business.

The third lesson I will pass along is that "…there is more satisfaction in rational saving, than in irrational spending." (P.T. Barnum). As per the financial advice I received for turning our circumstances around, Sherry and I began a consistent, well-planned investment, retirement program. That, combined with the fact that the barbershop is now paid for, is very satisfying. It's much more satisfying than new, showy things that we don't need or can't afford. I'm no longer interested in a big hat. I want the cattle!

Lesson number four is to learn from others. Experience (the school of hard knocks) is a great teacher, but not the best. That's because much of its value is lost in the time it takes to learn the lessons. Time-tested principles are the best teachers, and they can be discovered in writings, seminars, counseling and advice from those who have been there.

Yet, it still takes time to learn these things. And, as John Wayne said, "We're burnin' daylight."

BARBER-OSOPHY: Control your money or it will control you.

Copyright 2004, Sumerlin Enterprises.

Permission is granted for you to copy this article for distribution as long as the above copyright and contact information is included. Please reference or include a link to http://www.barber-osophy.com.

About the Author

Terry L. Sumerlin, known as the Barber-osopher, is the author of "Barber-osophy," is a columnist for the San Antonio Business Journal and speaks nationally as a humorist/motivational speaker.

Dobler Consulting Inc
2339 Warwick Dr
Oldsmar
FL 34677
United States

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Doing A California Refinance Online

Tom Levine

Californians are passionate people. I know. I have lived in California my whole life: From the smoggy basins of Los Angeles, to, well, the smoggy basins of Sacramento. I've traveled highway 101, I've smelled the glory of the Redwoods, and I've experienced the confusion of the Terminator becoming governor. Without turning into a pop-song, I've done it all California-style, and that even includes, moving through the exciting process of doing a California Refinance Online!

Okay, so it's not exactly as poetic or as exciting as I'm making it out to be, but a California Refinance conducted online does not make you a bad Californian. It makes you a smart consumer, and if it's important for you to keep your business local, then there's no need to shy away from your monitor. You can still do it all in your pajamas.

In the next few moments, I'm going to cover some basics to ease your worries and calm your nerves about using the internet to gain access to local money.

1.You are in Total Control.
2.Some Important Online Information
3.Keeping it Local!
4.Start Broad, And then Narrow Your Search.

1.You are in Total Control.

a)Chances are, you will be filling out a short 30 second form online in the very near future, and in return, you will be receiving 3 to 4 immediate offers from brokers and lenders vying for your business.

b)But that doesn't mean that you must receive offers from banks located at the top of the Space Needle or beneath the catacombs of the Grand Canyon.

c)The majority of the loan search services available online provide you with the option to request loan offers from several brokers specific to your area. You don't need to reach far and wide to get a good deal.

d)This means that you can rest easy. When it's time to complete the online short-form application, just make sure the query asks you if you'd like to narrow your search.

2.Some Important Online Information

a)Ask if your prospective mortgage broker and/or lender are licensed under the CMLA, the California Mortgage Lending Act of 1994. http://www.corp.ca.gov/pub/mb.htm

b)Check out their complaint history with the Better Business Bureau online. http://www.bbb.org/

c) Ask if they are a member of the CMBA, the California Mortgage Bankers Association http://www.cmba.com/

d) Do you qualify for Affordable Housing? If so, make sure your lender can broker a loan that will meet your needs. Here is the current Interest Rate Schedule: http://www.calhfa.ca.gov/homeownership/rates/index.htm

e) Research the current California Mortgage Refinance Rates online. We offer a free, daily rate-watch at our site, but interest rate information is everywhere.

3.Keeping It Local

a)Doing a California Refinance from your neighborhood bank or local broker, is probably a very good idea.

b)One important reason is that they know the terrain, and they know what things are like in your home town or State.

c)Every region has a different set of variables and demographics that determine its respective health or struggles, as it pertains to mortgage rates.

d)If your preference is to do your refinance with local information and personable service, then I say go with your instincts.

4.Start Broad, Then Narrow Your Search

a)Start with a broad query using the Internet, and then narrow your search.

b)There are too many banks and brokers in your area, for you to call on the phone, or take a day to drive by each office for a personal visit.

c)Use the internet as a resource. Start wisely. Conduct a broad California Refinance loan search, via the methods discussed above, and then zero in on the folks down the street.

d)If you are not making decisions based on wise, savvy shopping tactics, then in the end, you could wind up spending more money through higher rates, or higher fees, all in the good name of convenience.

e)You can still go local in the end. Those are the parameters that you get to choose when conducting a search. But don't start there.

The internet is a powerful tool, for your California Refinance needs. Don't ignore it. Use it, and use it to your full financial advantage.

We've enjoyed providing this information to you, and we wish you the best of luck in your pursuits. Remember to always seek out good advice from those you trust, and never turn your back on your own common sense.

Publisher's Directions: This article may be freely distributed so long as the copyright, author's information, disclaimer, and an active link (where possible) are included.

Disclaimer: Statements and opinions expressed in the articles, reviews and other materials herein are those of the authors. While every care has been taken in the compilation of this information and every attempt made to present up-to-date and accurate information, we cannot guarantee that inaccuracies will not occur. The author will not be held responsible for any claim, loss, damage or inconvenience caused as a result of any information within these pages or any information accessed through this site.

About the Author

Copyright 2005, by Loans-Resource.Com , This article is available in full format at: California Refinance , Tom Levine provides a solid, common sense approach to solving problems and answering questions relating to consumer loan products.

Dobler Consulting Inc
2339 Warwick Dr
Oldsmar
FL 34677
United States

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Deducting Points On Home Refinances

Richard A. Chapo

Any points that you pay in the refinancing of your residence are tax deductible over the length of the loan in question. The deduction is allowable only if the residence is your primary home and the new mortgage replaces a previous one and/or is used to improve the residence. To the extent that money is taken out to pay off credit cards and non-residence costs, the points may not be used as a tax deduction.

Big Deductions By Refinancing Twice

If you refinanced your primary residence twice during 2004, you may be in for a very nice surprise. A significant tax deduction can be created when you refinance twice in one year. If you refinance a mortgage, you accelerate the deductible amount of points from the first mortgage and may claim the points from the first mortgage all at once.

As an example, assume that I refinanced my home in January 2004 and paid $3,000 in points. Interest rates continued to drop through 2004 and I then decided to refinance again in August. Because I paid off the original loan with the refinance, I am able to accelerate the value of the points of the January loan.

So, what tax deductions have I created for my 2004 filing period? Initially, I am going to deduct a percentage of the points off of my latest refinance. The deduction will amount to the total amount of points paid divided by the total months of the loan. This will not be a big deduction, but every little bit helps.

In addition to this amount, however, I will also deduct the full $3,000 in points that I paid on my January 2004 refinance! I am able to claim this deduction because I "accelerated" the deductibility of the points by paying of January mortgage with the August refinance.

By refinancing twice, I get a lower interest rate and a healthy tax deduction. Ah, the value of owning a home.

About the Author

Richard Chapo is CEO of Business Tax Recovery - Obtaining tax refunds for small businesses by finding
overlooked tax deductions and credits through a free tax return review.

Dobler Consulting Inc
2339 Warwick Dr
Oldsmar
FL 34677
United States

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Debt Consolidation Refinance Loans - A Great Way To Lower Your Bills

Carrie Reeder

For millions of homeowners, refinancing is the perfect way to consolidate debts. You can consolidate your debts, eliminate outrageous interest rates and fees, and make one low monthly payment. Credit cards, medical bills, and unsecured loans can all be combined into one monthly payment when you apply for a debt consolidation refinance loan. The time has never been better to apply due to the current low interest rates being offered by mortgage lenders. Information and quotes are free and you can apply to several lenders with one simple online application.

Refinancing your home in order to consolidate debts has tax advantages as well as lowering your monthly payments. You can roll all your debts into one low monthly payment and receive tax deductions on your refinanced mortgage. A debt consolidation refinance can give you extra money each and every month, eliminate high interest rates on credit card debts and unsecured loans, and give you a fresh start on attaining your financial goals. If you have overdue bills that never seem to get paid off and you feel as if there is no end in sight to the constant financial pressure and stress, a debt consolidation refinance loan is the perfect answer to your problems.

Information on a debt consolidation refinance loan is available to you immediately when you complete a short, simple online application. You'll be contacted by multiple lenders in as little as 24 hours who can give you expert advice on consolidating your high interest debts into one convenient, low monthly payment. The quotes are free and there will be no initial credit check. Simply review the offers and choose the lender that best suits your needs. You can avoid multiple inquiries on your credit report by applying to several lenders at once with one quick online application.

A debt consolidation refinance loan can enable you to eliminate debts and save money. Even if your credit history is less than perfect, you can refinance your home and consolidate your debts with one easy application. Multiple lenders who can assist you during each step of the refinancing process will contact you within hours after receiving your application. You'll get no-obligation quotes from lenders who are eager to advise you about the numerous options that are available to you. If you complete the short online application today, you will soon be on your way to a debt free existence, free from the stress and pressure created by those high interest debts.

To view our list of recommended debt consolidation companies online, visit this
page: http://www.abcloanguide.com/debtconsolidation.shtml Recommended
Online Debt Consolidation Companies.

About the Author

Carrie Reeder is the owner of ABC Loan Guide, an informational website about various types of loans, with informative articles and the latest finance news.

Dobler Consulting Inc
2339 Warwick Dr
Oldsmar
FL 34677
United States

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