Monday, November 17, 2008

Manage Your Credit

Today's credit crisis is resulting in a more difficult road for consumers to getting a loan and obtaining good rates. Lenders are becoming increasingly cautious and are making more declines than ever before. If your credit rating is less than stellar, you can pretty much guarantee you're not going to get the best rate on the loan you're hoping for, that is if you can get the loan at all. If you improve your credit score, you can insure your lending status. There are five basic steps for improving credit.

1: Obtain a copy of your credit report. You can't repair something you don't know is broken. Once you have a copy, you will be able to determine your position and whether or not improvements can be made. You can get a free report from each of the three bureaus once a year from annualcreditreport.com. This website is owned by the credit bureaus themselves and designed to provide you with your entitled report once every 12 months. Many sites online have very similar names, so be extremely cautious when you're typing the address.

2: Review your report and remove anything that's outdated. Carefully review your report and keep and eye open for inaccuracies. You have the right to get incorrect data removed from your file. You may also request that any negative data be deleted, but you will be required to provide proof for your request.

3: Make sure credit card balances are low. Substantial outstanding debt will adversely impact your FICO score. Do NOT max out your credit ... it will only serve to cause you problems in the long run. Lenders tend to favor people who carry manageable debt on their cards. Here's a tip: Don't pay off your entire balance each month. Believe it or not, that may hurt your chances with a lender and may also hurt your credit score. Lenders make money by charging you interest your balance; if you're not paying anything in interest each month, you're not an asset to the lender.

4: Build on your credit limit. Lenders will generally assign you a credit limit, meaning you can't charge more than that amount. Earning credibility with lenders will help grow that number. You should also be aware of your 'debt to credit ratio'. Your 'ratio' is determined by the debt you carry on a high limit card. If you have a limit of 15 thousand dollars, you should strive to keep your debt on that card under or around 50%. In other words, you shouldn't carry more than about $7,500 worth of debt on that card. In America today it's a common problem for an individual's debt to credit ratio to be too high.

5: Pay your bills on time and enjoy the benefits of having zero interest on outstanding balance. It may sound simple, but it is imperative to maintaining a good credit rating. A mere few late payments will negatively impact your credit score.

If you're determined and you start right away, it won't take too long before your credit is back and track and you can get back to living worry free.

By Michael Benifez

There is much more to explore on the subject of balance transfer zero interest. Today you too can take advantage of our years of experience, visit everlife.com.

Article Source: http://EzineArticles.com/?expert=Michael_Benifez

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Wednesday, November 12, 2008

Get Out of the Spending Habit to Help Your Finance

One of the biggest mistakes people make that gets them into credit trouble is spending too much money. It is not hard to do and many people simply refuse to curb their spending habits, but letting your spending get out of control can cause a lot of trouble and ruin your credit.

We are surrounded with advertisements that tell us to buy, buy, buy. When we want to read a book, we buy it. When we want to go somewhere, we take a cab or drive rather than walking.

Stopping spending consciously can be hard, but heading to your local library, walking instead of taking a car, buying a used computer instead of a new one - all can help you spend less and save more. There are several ways you can save money and pay off your debts faster by spending less:

1) When you head out, carry a small amount of cash with you and leave your credit cards at home. That way, you will not be able to overspend.

2) Stop catalogs from arriving at your house or discard them unread - advertisements and catalogues encourage you to spend and buy when you don't need to.

3) Do it yourself. Eat in rather than dining out. Dining at restaurants or getting food delivered is always more expensive than doing your own cooking. Also, do your own taxes rather than farming the job out to someone else. Wash your own car, run your own errands, mow your own lawn. When you do something yourself, you spend less.

4) Watch less television. It sounds strange, but television can make you overspend - television contains many professionally-created advertisements pushing us to spend and spend. These ads are so well done that not spending after watching them is sometimes very difficult (just what advertisers want!). Switching off your television can help you avoid temptation.

5) Make do or do without. While you are repairing your credit, channel all your extra money into paying off debts and reestablishing good credit. Make so with what you have and avoid shopping as much as possible.

6) Buy discount or used. Whether it is furniture or shoes, you can save money by refusing to pay retail price.

Saving your money by spending less can let you pay off your debts faster, something that can improve your credit score dramatically.

By Joseph Then

Learning how to curb your spending is a very effective way to manage your finances. Learn more about personal finance tips and manage your finance in a better way. Visit us at http://www.easypersonalfinance.com for FREE information!

Article Source: http://EzineArticles.com/?expert=Joseph_Then

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Wednesday, September 17, 2008

The Solution to Your Debt Problem - The Complete Guide to Debt

First off, there is a solution to your debt problem. There always is!

It may not necessarily by a lot of fun or easy, but I guarantee it will be a lot better that ignoring the problem.

The first step is to face the problem. If you have anyone close to you that you could tell and who won't judge you, then talking about it can be a huge help.

The next step is to educate yourself and get help. This guide will help you to find out everything that you need to know so that you can help yourself and later on there are plenty of contact numbers of organisations that can help by providing everything from advice through to mediation services, so that they will talk to your creditors on your behalf. Most of this is available absolutely free.

You should read through this guide first though, so that you know as much as you can.

As I say, the first step is to face the problem. Next, you should take stock and attempt to workout the exact scope of the problem. This means looking at your finances. If this seems too much for you, you can get help with this too but it will go much easier if you already know where you stand.

The most important thing is to take action as soon as possible and to continue taking action until the problem is resolved or you are at least progressing along a sold plan to get out of debt.

The earlier you start doing something, the more control over the situation you will have and the more options you will have available to you.

Once you know as much as you can, you should start writing down the current situation and problem. List possible problems that you may encounter, solutions and your best outcome for each. Make action plans and know what you will do in each scenario. Once you have thought about this and know what you will do no matter what happens, the problem will suddenly seem much smaller and you will feel much more confident about your ability to solve te problem and emerge out the other side stronger!

By Philip McClarence

This article is an excerpt from The Complete Guide to Debt Visit My Debt Free Life.co.uk for more information on getting out of debt as well as Debt Consolidation Loans and ways to get your creditors to legaly write off your debt!

Article Source: http://EzineArticles.com/?expert=Philip_McClarence

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Wednesday, July 30, 2008

How To Make A Budget

What is the best way to start a budget? The first thing to do when starting to make a budget is to compare their income versus their expenses. The good thing is that it is quite easy to do.

It's too bad most of us never learned this in school and had to figure it out on our own - so here is the lesson that we should have been taught in 3rd grade:

If Expenses > Income = Bad, but if Expenses < income =" Good

And honestly, as simple as it sounds, that is the key to wealth. Anyone, and I mean anyone, who IS wealthy (I emphasize IS because I am not talking about people who appear to be wealthy, but who are actually in debt up to their eyeballs) spends LESS money than they earn.

The great news about this is that anyone can do this - no matter what their income level. If you can do it on a small income, then you can do it on a large income. If you can not do it on a small income, then you will not be able to do it on a large one either. Trust me!

If you really don't believe me, just ask all of the lottery winners who went bankrupt within years of winning millions of dollars.

Regardless of how your expenses and income compare right now - get excited, because you can easily change it!! If it is bad you can make it so much better!! If it is good, you can still make it even better!! I will show you how later, but for now...

How to make a budget

If you calculate your monthly expenses and income and your expenses are less than your income, then you are a rare breed who is in great shape, so just sit tight for a minute.

For everyone else, whose expenses exceeded your income - you are not alone. You actually have a lot of company. The problem is that it is not good company to be in! Most of the U.S has way too much household debt!!

So, if your income is $900 and your expenses are $1000, that means you spend an extra $100 each month that YOU DO NOT HAVE!! What your job is now is to find out what you can get rid of or quit buying each month to save that $100. I know, I know - this is the part that hurts. Just like pruning a bush - cutting back hurts, but ultimately you are going to yield so MUCH more fruit because of it!!

The goal here is to get your expenses and income to AT LEAST be equal. Once that is accomplished we can work on eliminating wasteful spending or cut other costs to bring the expenses below the income.

Now that you have calculated what your monthly income and expenses are we can start designing our budget. We will first discuss the less effective, but easier method for budgeting

The world's easiest budget

There are 2 simple rules to do a simple budget:

  1. You can not spend more money than you earn - carrying a balance on a credit card is not allowed.

  2. Money must go to the budgeted categories as soon you get your paycheck.

The way it works:

Rather than having 10-20 different categories of items to be budgeted for you only focus on the 1-3 most important ones and let the rest of the chips fall where they will.

So, to do this you take your paycheck of say $900 and right off the top you put the money to your main priorities. For many people this is tithing to their church, retirement savings, and college savings for children, etc...

A sample of this would be:

$900 (paycheck)

-$100 (tithe)

-$100 (retirement savings)

= $700 (for the rest of the bills and everything else)

It is extremely important that the money gets taken out FIRST for these few budgeted items. If not, I can guarantee that the full amount will not make it as intended.

I highly recommend making this process automatic by using direct deposit from your paycheck or some other form of automatic withdrawal. There is just something about human nature that has a hard time staying consistent with things like this.

Why do you think the U.S. government takes our taxes directly out of our paycheck, rather than coming to collect the full sum at the end of the year? It is the same principle - use it to your advantage.

Easy budget, but not very efficient

I think this budget is perfect for people who don't want to budget. It is simple, does not require too much time, and will help you reach some savings goals. That said, it is still inefficient and leaves the door wide open for inefficient and foolish spending. And we all know where foolish spending takes us - deeper into debt!

I think it should be considered the "lazy man's" budget - and you are not LAZY, you are willing to work to get your finances in order!! I know this because you are still reading this article. So, since you are NOT lazy and are hungry for more of a challenge, let's look at how the pros budget.

The money saving budgeting method

Yes, this method takes a little bit more time and energy, but it also will provide you will long-term financial benefits if followed.

To do this we are just going to expand on the "lazy man's" budget mentioned above. Rather than having just 1-3 categories of items budgeted for, we are going to create as many as we need to put a limit on our spending in all areas.

You can use the mentioned budget spreadsheet as a guide for tracking your progress. Try to account for every possible expense that you could run into. You will never be able to budget for every possible scenario, but the goal is to minimize surprise expenses. Inevitably, there will still be surprises from time to time - so I suggest creating a category for these surprises (or you can just use your emergency fund).

How to stick with your budget and make it fun!

The almost sure-fire way to make a budget that fails is to NOT budget for any fun stuff. Budgeting should be fun and actually fun is a necessary ingredient for success. You need to budget for clothing, entertainment, going out to dinner, or whatever else it is you love to do! The key is to do it in moderation and to set limits and abide by them.

The amazing thing is that by budgeting for fun stuff, it actually liberates you to spend money on these items. When you have money budgeted each month to buy clothes, the money is now sitting there waiting to be used for that assigned purpose. Suddenly you can go clothes shopping without feeling guilty!!

This is how budgeting truly becomes fun. It is a great feeling when you have money sitting in the bank waiting to be spent. Or, even better: if you start budgeting for vacation and after a little while you have hundreds of dollars just begging to be spent on a vacation!! You go on your trip and come back home and don't owe any money to any credit card companies. Now that is how a budget becomes fun!

By Bob Lotich

Interested in finding out how to budget using ING Direct or other online banks? Bob writes regularly budgeting and saving money and other personal finance topics at http://ChristianPF.com

Article Source: http://EzineArticles.com/?expert=Bob_Lotich

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Saturday, June 14, 2008

Big Investing Mistakes To Avoid

As a newcomer to investing, it is quite possible that you will make investing mistakes. However, big mistakes can cost you a bundle. Therefore, it is a must that you avoid investing mistakes in order to be a successful investor.

Many investors make the mistake of not investing when the time is right, or else they will put off investing until it is too late. In order to make money through investing, you have to grab the opportunities that come your way. After all, you have to make your money do the work for you!

However, the biggest investing mistake that many investors do is investing before they are financially ready. To be a successful investor, you should have the funds available. Do not opt for investing if you have debts. First clear up all your debts like credit cards, high interest loans. Then make sure you have sufficient money leftover to take of expenses for the next 3 to 4 months. After that the balance you have can be used for investing.

If you think that you will need money in a short period of time, it is best to opt for short term investment. If you not an aggressive investors, then you should opt for safe investments like CDs or bonds. However, to derive maximum advantage from investing, you have to learn to spread or stagger your investments. This way you will get the best returns on your money.

You have to learn to select your investments carefully so that your money can grow. It is imperative not to panic if any of your investments drop by a few dollars. If the investment you have selected is stable, the rate will definitely go up. This is how capital market moves; sometimes it is up and sometime it is down.

If you avoid investing mistakes that are commonly made, you will definitely set up a retirement fund that will be able to provide you with a comfortable life.



By Pauline Go



About Author: Pauline Go is an online leading expert in finance industry. She also offers top quality finance tips like :

Bond Broker Phone Number And Address Directory, What is Bond Convexity, How To Invest In Stocks

Article Source: http://EzineArticles.com/?expert=Pauline_Go

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Understanding the Basics of Stock Day Trading

Opinions about day trading vary widely. Some people swear it is the best way ever to make a profit in the stock market...others, including the SEC (Securities and Exchange Commission) advise strongly against day trading, insisting it is too risky. As with many things having to do with investing and the stock market you will hear all kinds of things about day trading. The trick is to sort the information out.

But what exactly is day trading and why do so many advise against it? Day traders literally trade everyday, all day, buying and selling sometimes very rapidly. They hope to see a stock going up, for instance, quickly buy a block of that stock and then sell it again as soon as it has risen enough to make a reasonable profit. If everything works right the trader makes a profit every day from the normal movement of stock prices up and down.

Day traders try to concentrate on certain stocks that are particularly suitable for day trading. The most important thing is that the stock must be one that is highly liquid, which means it is bought and sold often. This allows the day trader to buy and sell easily. Liquidity varies with market volume and the size and nature of the business. In general almost all stocks on the major exchanges are more than liquid enough for day trading purposes.

To be suitable for day trading a stock also needs to be sold in sufficient volume that the buying and selling activity of one trader won't affect the market price of the stock. Day traders usually buy and sell big blocks of stock so a good day trading stock needs to have at least 500,000 shares traded a day. Day traders also look for stocks that have high volatility, which means that the price goes up and down rapidly. A stock with a rapidly changing price is perfect for day trading. The ideal is at movement of at least $2 a day.

A day trader also needs to be able to find sufficient real time information of the orders for a stock. This is sometimes called price transparency or market depth and lets the trader know how much stock they can probably move in a certain period of time. Traders need to have access to the NASDAQ level II quote screens in order to gather this information.

There is nothing illegal about day trading but it can be extremely risky. Almost all day traders are working with borrowed funds which they hope to increase through their buying and selling. If the NYSE and the NASDAQ classify someone as a "pattern day trader" then that trader must trade through a margin account with at least $25,000 as a deposit in it. The broker who handles the account will require that further deposits be made if the trader's holdings drop too far in value.

Because day trading is so risky the Securities and Exchange Commission has devoted quite a bit of energy to spreading warnings about the practice. Their fear is that people will become involved without understanding how much money they can lose in a very short time.

Anyone who decides to try day trading can expect to suffer huge losses as they try to learn how to do it successfully. Very few will succeed and make money in day trading. No one should ever try day trading with money that they cannot afford to lose without any problems.

Day traders are not really investors. They buy and sell over the span of time as short as seconds or minutes. They never hold stock after the close of the trading day because the risk of overnight price changes is too great for them. Day trading is really speculating; some call it gambling.

Be sure to avoid websites which promote day trading by talking about the great profit potential and then offer you 'expert information' or 'hot tips' for money. The recommendations are usually actually paid for themselves and the advice is worthless.

By Reginald T. Hobbss

Stop wasting time and money looking for the latest Stock Market Quotes tips, tools, and techniques by visiting http://www.YourInvestmentOptions.com - a popular website that specializes in providing the most up to date info on stock trading and investing for traders of all experience levels.

Article Source: http://EzineArticles.com/?expert=Reginald_T._Hobbss

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Investing Money - Rules to Consider

There are golden rules to investing money sensibly intended to help any investor reduce their financial risks. In this article are three of those rules to investing which need to be applied as a whole. Remember, these rules are not in a particular order but all need to be followed to cut the risks.

Find The Balance Between Risk and Reward

Investment involves risk. Sometimes the risk is as great as losing all your money or it may be as small as getting little growth. Risk with foreign investment increases for a number of reasons, including lack of knowledge and poor advice. Risk can be broken down into two main categories. These are:

The risk of not achieving your targets: For example, the risk of not accumulating enough money for retirement is a high risk factor. Against this, the risk of not owning a Ferrari is not a major factor.

Investment risk: This means placing your money in an investment with the potential of making a fortune or losing a fortune.

There are many ways to reduce risk. If you make high-risk investments you should expect sound returns (while fearing the worst). In the end your investment risk tolerance should be based on whether you can sleep at night.

Don't Be Greedy

This is a major problem with a lot of investors. Every year millions are lost by investors because they put their accumulated savings into what are essentially scams, promising guarantees on capital and extraordinary returns; or in extremely high-risk investments. Any guarantee of growth that seems to be out of the ordinary should be treated as such. You should stick to established brand names and financial services products that you understand. Investment is not a sprint to the finish post. It is a steady marathon.

Don't Panic

Markets fluctuate. In 1998 when local and emerging stock markets around the world collapsed, many investors jumped out of their investments at or near the bottom of the markets into money market funds... and there stayed until after the record-breaking run on various Stock Exchanges around the world in 1999. If you have made sound, long-term investment decisions you should not be spooked by short-term fluctuations. Remember investment is for the medium and long term.

By Justin Sawyer

Justin Sawyer is a writer from South Africa, offering advice on investing for beginners and writing regularly for http://www.thebestinvestments.co.za investing information portal.

Article Source: http://EzineArticles.com/?expert=Justin_Sawyer

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How Can I Prove What Has Been Stolen in a Burglary?

One of the worst things about your home being burgled is the inconvenience; this comes after the feeling of violation and the trauma. It is a horrible feeling to walk through your home and see treasured belongings missing; sometimes it takes days to discover your loss fully. This in itself is traumatic; you relieve the episode daily as you discover missing items.

There are a number of steps that have to be taken after a loss incurred by burglary, these include, but are not limited to:

  • Who is going to deal with repairs such as broken locks and windows or whatever other damage has been caused. Sometimes burglars enjoy indulging a little vandalism too!

  • You have to be able to prove what has been stolen, so for instance if your grandmother's Cameo was taken, you won't have a receipt of proof of purchase, but still need to prove that you had it and it was taken in the burglary.

  • How you are going to calculate the loss and who is going to arrange valuations and estimates on your behalf.

  • Are you going to be the one who is going to deal with all the tribulations of presenting your claim as well as dealing with meetings and daily calls to the suppliers, insurance company and loss adjuster? Or will someone co-ordinate this for you?

  • How long is all this going to take and how drawn out will the process be?

It is possible to by-pass all of these tedious details by appointing a claims consultant or loss assessor. The loss adjustor works together with the insurance company and is looking after their best interests, not yours. Although you are a client, the insurance company will try everything to not have to pay out more than they have to.

A loss assessor will prepare your claim and take care of everything pertinent to that claim. They will also represent you to the insurance company and loss adjuster to ensure that you are not going to be handed the short end of the stick by them.

Even though the insurance company's loss adjuster might appear friendly and helpful, he is compelled by his employer, the insurance company, to settle the claim as economically as possible. Whatever he tells you, you will be unable to assess whether this is the truth or not, or if you will be on the receiving end of what you are actually entitled to.

It is also increasingly common for insurance companies to reject the recommendations of loss adjusters and they try to adjust some claims even lower. By using the services of a loss assessor, you can ensure that his communications with the loss adjuster and insurance company will work to your best possible benefit.

Insurance companies also try to insist that you make use of their supplier network; this is definitely not to your best benefit and doesn't suit everyone.

By engaging the services of a specialist loss assessor, your best interests will be served, allowing you the breathing space to get over the actual trauma of a burglary without additional worries.



By Derek Rogers



Derek Rogers is a freelance writer who represents a number of UK businesses. For Loss Assessors and Domestic Insurance claim services, he recommends Morgan Clark.

Article Source: http://EzineArticles.com/?expert=Derek_Rogers

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The Top 7 Things To Know Before You Take That Loan

It is crucial you learn a lot of things before you go and take a loan. Even you may be urgently pressured for a loan; a wrong mistake due to ignorance could put you in permanent debt. I have summarized 7 things below that are more important.

  1. What type of loan do you intend to take and why? You might feel you know what you need the money for but you need to research well. For example, you may need a car. But car loans differ. You could decide to go for a long term car loan or a payday loan to pay back the loan when you are paid your salary. There are indeed different types of loan such as auto loans, commercial and business loans, construction loans, real estate loans, refinancing, mortgage loans, secure loans, personal loans, student loans and lots more. Choose the type more appropriate to your situation and do research on it.

  2. How much time would you like before repay? This depends on you. I believe faster is better. The sooner you repay your loan the better. Take the time to decide on what time is comfortable for you before you sign any contract.

  3. Avoid any complex loan repayment system. Avoid any complex loan repayment system. Go for a scheme that pays a fixed interest rate over a particular period of time. Run away fast from compound interest.

  4. Time to source for the lending company. Get searching for lending companies. If you find one or even two don't stop searching. Continue searching. Get as many as possible so you have many options. You might surprise yourself with the results. The more companies the better. This will give you more confidence in the negotiation. Meet them with them if possible or call them then tell them you will get back to them. Don't feel pressured in anyway to sign anything. Take your time to compare rates.

  5. Time to get a lawyer. When you find the company you want to work with. Go through the contract with a professional, read between the lines, and be on the look out for any hidden or double meaning in the loan contract. Some companies actually charge you if you repay the loan earlier than scheduled. Get a professional to go over the contract with you before you sign.

  6. Time to set a personal repayment goal/ action plan. What are your sources of income? Your salary may have been what you used to get a loan, agreed but what other options could you have to make extra money. You may be saying to yourself if I had other options why would I have gone for a loan in the first place? What I would say to that is simply we need bulk money for different reasons. However, the little opportunities around us can turn to a big one if managed properly. Take the time to look around you for small opportunities for extra income and set have a plan ready or a bank account to just drop it in. That way you will be able to repay the loan as quick as possible. Create the plan and stick with it. Be strict with yourself. It's only temporary, after a while the payment would be completed and you would be free of debt.

  7. Avoid taking another loan. Do not take another loan. I personally do not support this. Concentrate on repaying one loan as soon as possible. That is why you should apply for as much funds as you need when you are going for the loan in the first place. Double loan double problems. But if you must, follow the rules above too with the second loan.

Mildred Blankson is the owner of the site http://www.repayloanfast.com - She has experience in helping people acquire loans and her site contains lots of valuable information on easy loan acquisition.

Article Source: http://EzineArticles.com/?expert=Mildred_Blankson

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Bad Credit Loans - Do You Have Bad Credit?

Are you one of the many people that have a damaged credit profile? These days an increasing number of people have found that their credit is less than perfect, and often this is due to severe financial strains that have resulted in regular missed or late repayments on bills or debts. In the past having damaged credit could put you out of the running altogether when it came to getting finance in the future, and this could make life very difficult.

Things have changed for the better these days for those that have poor credit. That is not to say that getting affordable finance with a bad credit rating is easy, particularly in the current financial climate where many lenders are being more cautious about who they will lend to. However, it is easier than it used to be years ago, and this is good news for the many people that do not have perfect credit profiles.

A number of lenders these days specialise in offering bad credit loans, and you can enjoy a pretty impressive choice of lenders and loan products designed to meet the needs of those with bad credit. You will be able to find loans that offer competitive rates of interest, although you should bear in mind that the interest rates charged on loans for those with bad credit will usually be higher than those charged on loans for people with good credit, simply because of the increased risk to the lender.

The extent of damage to your credit will often determine how much interest you will be charged and what sort of loans you will be able to get access to. If your credit rating is slightly damaged then you may still be able to access both secured and unsecured loans. However, if your credit is significantly damaged then you may find that lenders will refuse to offer you unsecured finance, as this could prove too high a risk. However, you may still be able to get access to secured bad credit loans if you are a homeowner.

The risk of getting turned down for a loan is much higher if you have bad credit, and therefore you may find it beneficial to use a broker, who will have a good working knowledge of which lenders are most likely to accept your application. This will save you the wasted time of completing applications for lenders that are unlikely to consider offering you finance, and will save your credit from being further damaged by a string of rejections.

In short, whilst getting finance when you have bad credit is undoubtedly difficult in some cases, there are lenders out there that do cater for those with damaged credit, and therefore you should be able to find a suitable loan option with a little research and perseverance.

By David Lynes

Loans4 provide homeowner loan solutions for homeowners. Please visit http://www.loans4.co.uk for the latest finance related news.

Article Source: http://EzineArticles.com/?expert=David_Lynes

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Loans For Bad Credit Rating - Gratify You Needs

The dashing issues caused by bad credit are not only due to the loan defrayal, they could also be due to the increased stress that creditors make. And once one is tagged adversely, he can not see the light at the end of the proverbial financial tunnel. However, everyone has his/her own dreams and desires, to live up with loans for bad credit rating have done a great work. With the fundraiser, you can gratify your needs and expectations, and outline your life with different colours.

However, these loans can be invested for almost any purpose. But in particular, they could help you meet most of your financial emergencies. Loans for bad credit rating come with much feasible on account of their financial flexibility. These loans appear in secured and unsecured forms. Secured loans are security-backed money provisions while unsecured provisions are kept aloof from any kind of pledging-placing. So for the reason, a great mass of tenant tends to unsecured forms of money provisioning.

What amount granted to borrowers with bad credit rating differs from one borrower to the other and one lender to the other lender also. Moreover, there are some other factors too which determine the loan decision. It can be the mode of your loan selection, your financial status, employment-ability, and your current circumstances.

For all of this, you will have to pay some charges. Charges are taken out in the form of interest rate. The rate of interest incurred upon bad credit loans is generally a bit higher to other normal loans. However, you can shop around for the best possible deal too. There is fierce competition amongst lenders in the financial market of the UK. Finding these loans on competitive rates is not a rarity anymore now.

So, even if your situation makes you feel as though hapless, loans for bad credit rating let you assure what you the financial choices you can have. You can apply for these loans as per your convenience. Online as well as offline application can be made, though online processing has precedence these days.



By Johns Tiel



Johns Tiel holds a master degree in Commerce from JNU. He is working as financial consultant in Chance For Loans. To find Loans For Bad Credit Rating, debt consolidation loans, debtconsolidation loan, cheap rates, personal loans that best suits your needs visit http://www.chanceforloans.co.uk

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5 Easy Steps to Lower Your Credit Card Interest Rates

Lowering your credit card interest rates could save you hundreds, if not thousands of dollars. The lower your interest rates, the more money you save. Call your credit card company and request a lower rate. Many consumers are intimidated by the thought of requesting a lower rate. Don't be one of those consumers. You'd be surprised at the results. Your chances are good if you have been a customer for some time, you are not at your credit limit and you have been making timely payments. Any extra money you can save by lowering your credit card interest rates may certainly be put towards the rising costs of gasoline.

(1) Review Your Credit Card Statements

Review all of your credit card statements. Note the annual percentage rate you are paying on all of your credit cards. You should also note any late, over-limit or any other extra fees. Many credit card issuers practice universal default which means they can raise your rates if you fail to pay another bill on time, even a utility bill. You may not even be aware if you have been a victim of universal default because the credit card company does not have to warn you. In this case, you really do need to negotiate a lower interest rate.

(2) Research the Competition

Do a little research to find out what other credit cards have lower interest rates. You should also look for cards which offer 0% balance transfers and no annual fee. Be sure to note what the interest rate will be after the initial period. It is not uncommon for various credit cards to have vastly different interest rates. Some banks issue several different credit cards and there can be great interest rate and fee disparities within those cards. You could be paying twice the interest as someone else for the same credit card. Rates constantly fluctuate so it's imperative you check all of your monthly statements.

(3) Contact Your Credit Card Issuer

Speak with a representative and request your credit card interest rate be lowered. Always stay calm, professional and polite. You should always mention that you have been a good customer and that you would like nothing else but to continue your relationship with them. Point out the fact you pay on time. You may also want to mention you have a zero percent or other low interest card offer that you can transfer your balance to. If they agree to lower your interest rate you don't have to stop requesting. Call again in a few months and request an even lower rate. Getting your credit card interest rate lowered is not a one time deal. As long as you are a good customer you can periodically request lower interest rates.

(4) Be Persistent

Sometimes the first person you speak with will tell you they are not authorized to lower credit card interest rates. Don't give up. Request to speak with a manager if this occurs. Someone in that company can lower your interest rate. Remember to be polite when asking to speak with upper management. At this point if you cannot negotiate a lower rate ask the reasons for the denial and inquire as to when you may call again to request a lower rate. Even if you threaten to close your account, do not close your account. Remember that length of credit history is 15% of your credit score so you do not want to close any old accounts.

Call back every few weeks if you are denied. Being persistent increases your chances of getting your rate lowered. Your persistence lets your credit card company know you are serious.

(5) Pay-Off Credit Card Debt

Another alternative to a denial of your request would be to pay off that debt. Take any extra cash and apply it to that debt. Every extra dollar you put towards your credit card balance means you pay less in interest rates over time. For example, making a minimum payment of $50.00 a month on a credit card balance of $2,500 at 19.9% interest rate will take approximately 9 years to pay the entire balance. If you double that payment to $100.00 a month on that same balance and interest rate it will take only 2.5 years to pay off that balance.

According to the Massachusetts Public Interest Research Group (MASSPIRG), more than half of consumers who called their credit card company to complain about their high annual interest rates were successful in reducing those rates by an average of one-third. Your chances of getting a lower rate are good. It never hurts to try. For additional information on reducing debt please visit: Eliminate Debt

By Lisa Phillips

Lisa Phillips is a marketing consultant specializing in business expansion and development. Because many small business owners lack the personal and business credit necessary to grow and expand, she has developed a free website to aid consumers as well as entrepreneurs in rebuilding and taking control of their credit.
http://www.rebuildcreditscores.com

Article Source: http://EzineArticles.com/?expert=Lisa_Phillips

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Credit Card Tricks

Generally, these tricky tactics are hidden in the small print of your statement, which can easily go unnoticed. Honestly, how many people take the time to read their entire statement each and every month?

One of the most common tactics these lenders are practicing is the raising fees associated with the card. Today, the average late fee is $34. The average over-limit fee is an outrageous $31.

So in the event that an individual is late making a payment and the late fee puts them over their credit limit... they could be charged as much as a $65 more than their normal minimum payment, for that month alone.

If they don't have the additional cash to pay the exorbitant fees, the account will remain over limit the next month and extra fees will be added at that time, as well. It is a situation that can really snowball out of control, in a very short period of time.

Many credit card issuers are now raising interest rates, based on an individual's credit score. If that person's credit score decreases for any reason, whatsoever, credit card companies can raise their interest rate to 30% or more.

There are even cases where individuals with a good credit score are being charged the highest interest rate, without any warning. Some credit card companies feel that those who pay only the minimum payment each month are probably doing so because they are overextended. This automatically moves them to the high-risk category.

As unscrupulous and uncaring as this seems, under the current law credit card companies are legally permitted to do this.

If you are struggling with a great deal of debt that only seems to be getting worse, you may want to consider a debt relief option. There are several choices available, including debt settlement. Remember, there is help available. You are definitely not alone.



By Tom Bates



Tom Bates, CEO and President is an IAPDA Certified Debt Arbitrator, he offers years of experience in both the credit and collections industry and has founded Absolute to assist consumers in need of quality debt settlement at a reduced rate. We understand your already faced with mounting debt and want what is best for you.

http://www.absolutedebtsolutions.com

239 W Pecan
Suite 100
Celina, Texas 75009
1-877-332-8303

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How Do I Pay Off Credit Card Debt Quick? A 9 Step Formula to Pay Off Credit Card Debt

Many people would like to pay off their credit card debt. Use this simple formula to pay off your debt and get your life back in order:

1. Stop creating debt! If you want to eliminate your debt, the first step is to not create more of it.

2. Pay cash. Leave your credit card at home. Make a monthly budget that will allow you to live on cash. Use cash, checks, or a debit card for your purchases.

3. Get committed to a debt free plan. With a little focus, it's amazing what you can accomplish. Listed below is the best way to get started.

4. First, make a list of all of your debts.

5. Next, list the balances of each debt with the minimum monthly payment. For example, you may have a Mastercard with $2,000 and a minimum payment of $20.

6. After that, divide each debt by your minimum monthly payment. This will give you an estimate of how many months it will take you to pay it off each one.

7. Find a way to lower expenses and apply the savings to your first debt. For example, maybe you could start using coupons and save 10% on your grocery bill each month. Or maybe you could take your lunch to work instead of eating out and save over $100 a month. Now take this new savings and start eliminating your debt. Generally speaking, it's best to pay off the credit card with the smallest balance.

8. After your first debt has been completely paid off, roll the entire amount into the second debt. For example, if you were paying $20 a month to Mastercard and now it's paid off, go apply that same $20 a month to your second credit card. By the time you get to your last credit card, you'll have a sizeable amount of money to attack the last bill.

9. Keep this rolling process up until you experience the debt relief you desire. Once you have your credit card debts paid, then you may want to start paying off other debts such as your car and house using this same idea. In fact, that's what some people do. You can have your credit cards, cars, and house totally paid for faster than you've ever thought possible buy using this system.



By Michael G. Harris



Interested in paying off your credit card debt fast? Visit http://www.debt-destroy.org/pay-off-credit-card-debt-quick.html for more FREE ideas on how to pay off credit card debt. Also, sign up for our FREE email course that will show you how to live life on your terms by destroying your debt! Take our free course at http://www.debt-destroy.org/pay-off-credit-card-debt-quick.html

Article Source: http://EzineArticles.com/?expert=Michael_G._Harris

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Bad Credit Help - Things You Really Need to Know

Many Americans find themselves struggling with poor credit ratings. Although it is required to function in modern society, not everyone knows how to use credit responsibly. Soon you can develop a bad record that will get you rejected for a variety of activities.

The irony is that even after you learn how to get good credit you are limited because you need it to establish a good rating. The only way to get bad credit help is to learn all you can about alternatives to boost your rating. You aren't alone in your poor score. That is why there are so many services available for helping people get bad credit help to improve their prospects for the future.

It may seem daunting to get from debt to a good rating, but it can be done. It starts with getting good help. Watch out for the debt help services which are actually scams to get more money out of people who tend to be bad at making financial decisions. Generally, if the help services makes everything sound too good to possibly be true, you should consider it too good to possibly be true. Bad score can't be repaired in an instant. It takes years of responsible credit usage to get good score. At best it takes months of proper usage to get back to even a respectable level that will qualify you for the most basic credit cards.

You may not want to hear about how bad credit help is a slow process requiring years of responsible action, but that is the way it works. Beware of those who say it doesn't have to be difficult or it doesn't have to take very long. The only things that can be repaired quickly on a bad report are inaccuracies. But one or two inaccuracies will only hurt your rating, not ruin it. If you merely have less than a great score, you may be able to get great rating quickly by simply getting your history repaired. You can get a free credit report once a year by law from the reporting agencies. They also must try to help you resolve disputes with your report. The three main reporting agencies are TransUnion, Experian, and Equifax.

Debt help and counseling services are not all scams. Many of these agencies actually do good work for a small fee, or even free. But, many of them are not so good too. Check out government references to find good debt counseling services if you need help. If it is expensive, you should be vary wary of what kind of services you are being offered. Do some research on the agency before you use them for your bad credit help.

By Peter Lisdorf

To learn more about how to eliminate negatives from credit report you might also want to check out how to get free credit repair help for some good advice.

Article Source: http://EzineArticles.com/?expert=Peter_Lisdorf

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Thursday, June 5, 2008

Stock Split Essentials - What Every Stock Trader Needs to Know

Stock splits present one of the most misunderstood aspects of the stock market. Psychologically stock splits feel like you have gained value, but in reality you just own twice as much paper. Much the same as if you changed a ten-dollar bill for two five-dollar bills. Once a stock splits 2-for-1 you have twice as many pieces of paper (shares) as you did before. But your shares still represents the same percentage of the total outstanding shares of the company as it did before.

Why do companies split their stock? Investor psychology motivates the issuing company to do this. Stocks are generally sold in lots of 100. When a stock splits it's more likely to the needs of a small investor. For instance suppose a stock is selling for $60 a share. A lot of 100 shares would cost $600. If this stock splits 3-for 1, the price of a share goes from $60 to $20; and the cost to 100 shares goes from $600 to $200. Suppose a small investor has $400 he would like to invest. A hundred shares for $600.00 is out of his reach, but 200 shares for $400.00 meets his needs exactly.

Although there are many ratios a stock could split, the most common splits are 2-for-1, 3-for-2, and 3-for-1. Also possible is a reverse split where a company reduces the outstanding shares. A reverse split results in each holder being issued less shares than before. A reverse split gives you less paper but you still own the same percentage of the company. One reason a company might decide to do a reverse split is that price per share is so small it looks like a poor investment. If the price of a share becomes too low it might get de-listed by the stock exchange. Other reasons for a reverse split could be to push out minority stockholders, or as a way to go private.

What are the advantages of a Stock split? The biggest advantages of a stock split is greater liquidity. As mentioned before stocks are sold in lots of a hundred. So the lower the price of the stock, the more likely they will meet the criteria of a small investor's budget. The bid/ask spread is the difference between buying and selling prices. Typically the smaller the price of a stock the smaller the bid/ask spread. A high bid/ask spread can put off larger investors.

Psychologically, a split is perceived as bullishness. The spit is seen as a sign that the company is doing well. A stock split generally sets off a short-term rally, although the market usually normalizes shortly.

One of the disadvantages is that a split raises investor expectation about the company's performance. If these expectations are not met, there is a rebound effect and the investor's lose confidence which may result in falling share prices.

When all is said and done a stock split doesn't change the value or performance of a company. The investor may own twice as many shares, but the total value is unchanged. Probably the most important thing is that you now own more shares. This will, of course, benefit you if the price of the stock continues to rise.



By Reginald T. Hobbss



Master profitable stock trading with our exclusive info, tools, and tips. Trade stocks with super confidence with our complimentary Online Stock Trading and more newsletter available to you now. Get your free copy here at Effective Stock Trading today.

Article Source: http://EzineArticles.com/?expert=Reginald_T._Hobbss

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Hot Penny Stocks - How to Find Them Early

p align="justify">Penny Stock investing can be an exciting and very profitable way to make some extra money from home or on a part-time basis. For beginner investors, penny stocks are a low-risk entry into the stock market. What is most appealing, though, is that the promise of a huge upside is incredible. It is a daily occurrence on the over-the-counter market to see multiple stocks jump over 100% in a day, or in an hour. Or 200% and more. Incredible.

What would be more incredible is if you knew how to identify these stocks before they take off like a rocket.

If you have spent any time picking penny stocks, then you know how difficult it is to use traditional technical analysis to predict these huge gainers. Many times, there doesn't appear to be any technical trend underlying the movement. And looking back on the fundamentals, there may be no clues there as well. It can be very frustrating to watch a big gainer take off, only to find yourself sitting on the sidelines, or worse, chasing the stock on a fast rise.

Well guess what? There is a reason that many of these stocks make such a sudden, dramatic gain.

These huge moves are almost always due to promotions.

That's right, out of every 10 stocks that run up 100% or more, it's likely that at least 7 of these huge gainers are driven by stock promotion campaigns. And just like any other product, when the promotional campaign begins, you'll see a big spike in demand. And with penny stocks, that's when you see a big spike in the stock price.

In the past, these promotions have been known by only a select few and I am guessing that you are not one of them. But there is a well-known stock promoter who has made lots of people a lot of money. A lot. His name is Jason Fuller. He understands how promotions drive the huge gainers in the penny stock market because he is one of the guys doing the promotions. The Wall Street Journal wrote, "Unlike other penny stock 'experts', Jason has managed to turn these investment vehicles into a tool for riches."

You may be wondering how you can get in on these promoted stocks before they take off? Well, the truth is that you simply couldn't do that - until just recently. Jason has opened up this information on a select basis and it is well worth any investor's time to look into it.


By Daniel B. Johnson

Daniel B. Johnson is vice-president of a wireless company based in Dallas. He successfully trades penny stocks and other small cap stocks on a part-time basis. To learn more about Jason Fuller's newsletter and how it can help you generate substantial profits with penny stocks, visit http://www.PennyStocksRising.com

Article Source: http://EzineArticles.com/?expert=Daniel_B._Johnson

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Everything You Need To Know About Online Stock Trading

Do you know that there are 800,000 millionaires in North America and 98%of them increase or create their wealth by investing in the Stock Market? And the most intriguing part of the information is that 80% of these millionaires started investing with almost nothing.

Whatever profession you are in, whether you are in service, are a housewife bringing up kids, doing any business, you must know that billions of dollars are being made daily through online stock trading in the markets of the USA and the world. This gives you a chance to put some of this money in your pocket.

You too can join this exclusive league of millionaires only if you have (some) money to invest, earning mindset and the ability to learn and adopt the money making methods of online stock trading and investment decisions to increase your personal wealth.

Choosing the right options in online trading can find you the treasures beyond your wildest dreams and help you live the freest life ever.

The first and the most important step in making money through online stock trading is to educate yourself and acquire an in-depth knowledge of the subject that will not take you weeks to get through. Self education means investing in your personal resources. You are creating an independent and life-long resource for successful online stock trading.

Education will familiarize you with the basics of stock trading and empower you with some smart trading tricks and tips which will enable you to outsmart your competitors.

Education in stock trading enables you to understand the rules and laws of investing, the psychological dilemmas that often afflict the traders. You get a general knowledge of economics and how it influences the stock market. Education in stock trading will help you to remain out of the 80% of investors who lose their investment right from the beginning of the stock trading. If you want to be one of the chosen few comprising of 20% successful stock traders, you must educate yourself so that you understand the value of discipline, judgment and the art of online trading.

Learn the Basics of Stock Trading

You may have come across two terms, investing in stocks and trading in stocks. The two terms may appear same, but are not. You put your money both in stock investing and stock trading. Both ways are investments. You must, however, understand that investing money in stocks denotes long term investment, but investing your money in trading denotes short term investment. You invest the money in buying stock when the market opens and get it back with profit or loss by selling off your shares before the market closes. This is called stock trading.

A trader will make fast movements in and out of stocks during the course of a day, whereas an investor is in for a long haul. He is more interested in consistent growth and will wait patiently over a long term. As an intelligent investor in stocks, you must distinguish between the two goals. You should keep separate the stocks that you trade and those you invest in. While you are trading, you are interested only in making fast bucks. You are not interested in the stock itself. That means when the value of the stock is rising or falling, you sell it off, of course, at the right moment and reinvest your profits in next trade. In case of long term investment, you almost love your stock and understand its long term potential. You understand that the value of the stock may rise and fall several times over the term you hold it in your portfolio and you remain patient.

Internet has revolutionized every aspect of our life and business. It has facilitated trading in stocks online. A click of the mouse can fill up your coffers and even empty them. So you must learn the tools for online trading provided by your brokerage firm on its website. If you learn to use the online trading tools intelligently, making money online becomes a child's play.

The next logical step is to choose your stock broker. Low brokerage commission is an important factor while settling for your broker especially when you are a day trader, a heavy trader or even a casual investor. But low commissions should not be the only guiding principle in selecting your broker. There may be several other issues like the speed of order execution, ability to contact the real broker when the need arises or customer service that play an important role in selecting a stock broker.

By Micheal James

Pricing and Features for Sogotrade Investment Packages: online investment

Sogotrade Interest Rates and Fees: trading stock options

Article Source: http://EzineArticles.com/?expert=Micheal_James

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How to Minimise Risk on the Stock Market

Risk is a part of life, and investing is inherently risky. But just because something is risky doesn't mean we shouldn't do it. Often a risky activity carries with it some significant payoff, and investing on the stock market is such a case. The trick with the stock market is to reduce risk wherever possible, and here's how...

  • Firstly - decide what it is that you want our of your investments - what is your goal? Include a timeframe for achieving your goal and make a firm decision to get there... we'll get to how in a minute.

  • Next - educate yourself... Do you know anything about the world of finance and investment? If not, don't worry about it, don't be intimidated - it's honestly not a problem. Take some steps to learn about it - take a course, read read read, talk to others who do know about finance and investing.

  • Come up with a trading plan - when you've done all your preparation and you think you're ready to throw some money at the stock market, you're not. There's no point trading on the stock market without a plan. Research strategies you'll use and stocks you're interested in and look at their past performance. All that information is widely and freely available.

  • Do some paper trading - 'paper trading' is a term used to describe the practice of conducting hypothetical trades merely on paper. This is an excellent way to put your own trading plan to action without risking any of your money. All you're risking is hypothetical money, and that's the best type to lose.

If you follow the above steps to prepare yourself for trading on the stock market, you will significantly reduce your exposure to risk. Trading on the stock market can be an extremely profitable experience, but it can also lead to financial loss - the best way to try to avoid that is with with careful planning.

Finally, it is crucial that when you implement your trading plan you have minimum and maximum sell points set for any stocks or contracts that you own. This will allow you to have predetermined exit and entry points - further limiting the risk factor, and creating some safety in the market. Remember, don't make trading decisions based on emotions - the stock market is often a passionate place, but not when traders make trading decisions. These must be made in accordance with the trading plan together with careful analysis - not on a whim.

By Erik Rosenzweig

To learn more about share trading, stocks, options, cfd's, education, finance, shares, futures, stock options strategies, options trading, investing and a whole range of other things you need to know to gain your financial wealth and freedom you need to visit http://www.lockstockenbarrel.com

Article Source: http://EzineArticles.com/?expert=Erik_Rosenzweig

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The 10 Golden Rules of How to Trust/Use Company Analyst Reports

For the last two decades, I have been interested in and specifically writing about the restaurant and investing communities. I also like to manage my own portfolio; so when a colleague told me about the research and writing of Ian Campbell and his new stock research portal, I was fascinated by the depth and breadth of the information and how it could save me time and money.

I had been spending untold hours reading company analysts' reports; and finding them everywhere and nowhere in terms of their coverage, depth and reliability. After reading Campbell, I have to say he made things crystal clear vis-à-vis these reports. Now I take them with a huge grain of salt. I use these 10 golden rules to keep me on track.

1. I read each analyst report with a cynical eye, being very careful to notice whether the company has paid the analyst firm directly to generate the report. If it has, I judge myself accordingly.

2. As a long-time market researcher, I'm always looking for bias; so I want to know whether the firm that employs the analyst generates financing or other fees from the company - or otherwise has relationships with the company that might be construed as a conflict of interest or might promote bias. For me, bias blocks transparency.

3. No two analysts are alike; I therefore take into consideration that such reports are written by persons of differing knowledge and experience, which experience may or may not reflect industry or company specific operations knowledge - and that as a result the opinions expressed may not always be sound. I believe in caveat emptor.

4. Realize that one analyst's definition may not even be close to another's. How do you 'know' what defining words mean? For instance, What do the definitions of 'Strong Buy', 'Speculative Buy', 'Buy', 'Hold', 'Wait', 'Sell' or other 'recommendation terms' adopted by the firm that employs the analyst actually mean? Definitions of such terms typically are found in the fine print and disclaimers on the last page of such reports. Each company is often different.

5. Don't make the assumption that the analyst has access to all the pertinent, complete, information that would be available to corporate acquirers and their advisors who have signed confidentiality and non-disclosure agreements. S/he likely can't access any more data than you can.

6. How do you know what methods analysts have used in their valuations? Moreover, they also don't typically set out the theoretical and practical strengths and weaknesses inherent in the valuation methodologies they adopt.

7. Ask yourself about the reasons why an analyst has chosen any specific company to be a 'peer group' company. Have they given those reasons? Be aware that analysts may not adjust 'peer group' multiples for comparability issues, which they typically should do.

8. In my judgment, opinions expressed in analyst reports should be recognized for what they are: opinions; they should be weighed accordingly. Additionally, they should be read with a critical eye as to the merits of the analysis they contain.

9. Investors need to be aware that their decisions - and the data/opinions they use to make those decisions - are their primary responsibility. They should not simply adopt stated 'target prices' as being reliable without understanding the fundamental assumptions underlying them; where investors themselves conclude those assumptions make sense; and,

10.Investment decisions should never be made in isolation from other inputs. Analyst reports should always be studied as a supplement to each investor's own research and due diligence.


With these 10 'golden rules' I can use analyst reports as the supplemental tools they are...and no more. I know the risk involved and adjust my thinking and decision-making accordingly.

© Roy MacNaughton, 2008, All Rights Reserved

By Roy MacNaughton

Roy MacNaughton is the author of the free, just-published "Restaurant Marketing for Free" ebook. Please read more at his new blog: http://www.restaurantmarketingjournal.com

To learn more about Ian Campbell and his innovative stock research portal, go to: http://www.stockresearchportal.com

Article Source: http://EzineArticles.com/?expert=Roy_MacNaughton

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Stock Trading - The Fatal Error That Brings Inevitable Ruin

Most people don't realize the huge mistake they make when starting out in their trading career. There are several components to the mental trap that traders get caught in when they begin trading that sets them on the wrong course, but one particular mistake is the one that makes for imminent account blow out, or at least a rather lengthy and loss-filled road in becoming a successful trader.

Fortunately, even though this situation is one that is difficult to foresee and very understandable that it is made, there is a direct and rather simple solution to the issue.

The essence of trading is certainly within the ability of most to grasp, however trading as an occupation does have a substantial body of knowledge to absorb and specific skills that are required to trade profitably and with consistency. Coupled with the fact that most traders are of smarter than average,this makes for a situation where the success rate should be much higher than it is.

Like with most professions with a significant body of knowledge, there is a gradient to trading.

Here is an analogy to illustrate the problem. Let's take mathematics.

You start with the concept of numbers in general, quantifying items. Next come addition, subtraction, multiplication and division. After that, one moves on to algebra, geometry, and trigonometry. Once that base is developed, then one can comfortably move on to calculus, La Place Transforms, differential equations and other higher math.

If however, a person does not fully establish the prerequisites for calculus, such as algebra or trigonometry, the concepts in calculus may be understandable, but solving the problems will be a tremendous challenge, if not near impossible to solve. If a person were to try to go directly from basic mathematics to calculus, it would be a very long struggle indeed to become fully competent at the higher level.

It has been documented in studies on the obstacles to learning that have found that there are specific physiological reactions when a person encounters this particular phenomenon - that of starting too high up in a learning gradient or missing foundational knowledge while trying to grasp concepts at a given level.

This is the fundamental error that many traders make, and they are generally consciously unaware of this specific situation and its impact. Many people begin active trading without the foundational knowledge to trade at the level where they become active. When this occurs, it presents a sizable obstacle to adequate learning within an efficient time frame. As a result, the trader often winds up suffering severe losses, sometimes blowing out their entire account before they have established a proper skill and knowledge base to trade proficiently.

This is not the fault of the individuals. This is a systemic problem which unfortunately most have to endure. There is no mandatory training or certification before a person is allowed to put themselves and their money at real risk, so the high number that fail is largely the result of a lack of warning and preparation for what the business of trading involves.

The traders that are fortunate enough to seek out the proper guidance and help are the ones that can minimize the effects of this phenomenon which is so commonplace in the trading world. If a person can find a mentor that is aware of this particular obstacle and the others that are present in the development of a trader, then chances are likely for a good trading experience. Most however choose to do it themselves or simply make it on sheer determination alone, while receiving the lessons of trading the hard way - through personal experience and numerous losses.

Instead of falling prey to this mistake as many do, you have the option to save yourself significant time, losses and personal anguish. This begins with backing up so to speak and making sure that you've got the basics fully established, and then proceeding forward with a focus on mastery and development.



By Brian McAboy



Are your stock trading profits less than you'd like for them to be? Don't want to wait years to develop into that professional level trader that you know you can be?

Take your stock market trading to the professional level faster than you can imagine by getting the RIGHT training.

Go to http://insideouttrading.com/pit/

Article Source: http://EzineArticles.com/?expert=Brian_McAboy

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Getting to Know the Fundamentals of Day Trading

What is day trading all about? Why is it one of the most common topics in the business world?

Day Trading Defined

Simply put, day trading is similar with that of the basic trading done on the stock market itself. The process involves the typical procedure of buying and then selling of options, stocks, futures, and currencies in the financial market. Its main goal is to generate profit as realized from the difference that lies between its selling and then buying prices. What makes day trading a standout from the rest of the common trading systems on the market is that the trade takes place in a span of twenty four hours amidst the opening and the closing of the bazaar. Anyhow, transactions are peculiarly carried on overnight.

A Bit of Historical Background

Originally, day trading was mainly accessible by the then limited financial firms like the banks. These financial companies were the sole institutions which had the access to the market data particularly to the exchanges wherein the stocks were mostly traded by interested firms. Yet, with the onset of several technological breakthroughs, the entire picture has dramatically changed. For now, even the individual traders can partake in the same trading field.

The Variety of Methods in Day Trading

There are two main varieties of trading and they are principally related to the trading style that a person opts to pursue. They are the short-term trading and the long-term trading methods.

Short-term trading involves the maintenance of the stock or options for a couple of seconds or minutes. Whereas with long-term trading, these assets are kept under the trader's custody for a more lengthy period that is usually for some hours up to a whole day.

The trading styles can likewise be categorized according to the proof of the direction which involves the actual price movement of the futures, the currencies, and the stocks. These styles are the counter-trend trades, the trend trades, and the ranging trades.

With the trend trades, the day traders purchase when the actual price of the stock swells and then sell it to some interested parties when the prices fall. Needless to say, trading is based on the movement or the direction of the prices.

On the other hand, with counter trades, the day traders go along with the sideways movement of the prices and they go back to and fro in line with the two available prices.

Moreover, a day trader may employ any of these styles or combine them all.

Day trading is complicated by nature. Getting a brush through of its fundamentals will significantly rescue you from the potential downfalls.



By Miodrag Trajkovic



Miodrag Trajkovic is an expert on information related to Day Trading, Day Trading Systems, Day Trading Strategies, Online Day Trading and Day Trading Websites.

For more information visit his website http://daytrading.explore-me.com

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Stock Options Trading - How to Profit From Falling Stock Prices

When it comes to making money on the Stock Market you will find everyone has their own view on the best strategy to use.

One of the most common strategies to make money in the short term is to buy shares and sell them at a profit once the share price has risen.

This is called Stock Trading, and can be a very effective way to profit from shares.

However just lately we have been looking at a downward and quite volatile move in our markets.

Right now many traders are sitting back 'waiting for the market to get back to normal' before they begin to profit again, but who knows how long bear markets last?

And what are these traders going to do for CASH in the meantime?

I believe in trading a strategy that suits the direction of the market, not waiting for the market to eventually comply with the criteria of just one particular strategy.

While everyone else has been running the other way in the present market conditions, there are quite a few traders who have been making consistent profits.


How are they making money on falling stock prices?


Well there are several ways to achieve this, some more complicated and costly than others. The most affordable, easy to understand and easy to implement trading vehicle I have found that will help you make money on a falling stock is Put Options.

Put Options began many years ago as a hedging instrument. That is they were designed as an insurance instrument for shares.

Basically a Put Option is a contact that relates to a particular stock and gives you the right to sell that stock at a fixed price within a certain period of time. For this right we pay a premium.

So an example of hedging would be if you owned some shares that you paid $ 20 for and bought a put option for insurance. This would give you the right to sell your shares at any time (during the life of the option) for $ 20, even if the share price fell to just a few dollars.

So how do we Make Money as Income using Put Options?

The most common way is to trade the actual Put Option and NEVER buy or sell the stock. This is called Options Trading.

As the share price drops in value, the value of the Put Option actually INCREASES. So when Options Trading we want to buy puts on falling shares and sell them to another trader at a PROFIT.

Let's imagine that ABC shares are trading at $ 40 and our analysis tells us that the price may fall even lower.

We could buy an ABC $ 40 Put Option and for this we might pay $ 2.

We now have the right to sell those shares at any time before expiry of the option for $ 40. But we don't own the shares, nor are we interested in owning the shares.

Soon after we buy the option, the share price falls to $ 30. So if we wanted to, we could buy the shares now at the market price of $ 30 and sell them with our put option for $ 40 resulting in a $ 10 profit.

That sounds appealing?

To do this however, we would have to come up with the $ 30 each share to be able to buy them before we could get that $ 10 profit in our hot little hands. What if we don't have that kind of money to spare?

Here's the power!

Because the share price has fallen, our Put Option could now be worth $ 12. And because we only paid $ 2 for it initially, we are now looking at a $ 10 profit.

We would then sell the put option on the market for $ 12 and realize our $ 10 profit, and all we had to come up with to do this was the initial $ 2 we paid for the option contract.

This is called leverage and it is a very powerful way to make money from a smaller amount of money.

And the maximum amount we stand to lose if we get it wrong? Just the $ 2 we paid for our option in the first place.



By Jules Dawson

Options Trading Strategies

Article Source: http://EzineArticles.com/?expert=Jules_Dawson

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How Much Money Do You Actually Need To Get Started In Day Trading?

I hear this question a lot from aspiring day traders, and the answer really depends on the market you want to trade. For traders who have no idea what markets they SHOULD trade at this point, here's an idea of how much you need for the main markets:

1.) If you want to day trade stocks, then you need at least $25,000 in your trading account.

2.) If you want to day trade futures, then you should have between $5,000 and $10,000 in your trading account.

3.) When trading options, you should have between $1,000 and $5,000 in your trading account.

4.) If you're thinking about trading forex, then you can start with as little as $500 in your trading account.

You should choose a market that matches your trading style, your lifestyle, and your overall goals for trading. Financial considerations are always important, but don't make the common mistake of letting your current financial situation dictate which market you're going to trade.

Remember, as with all things in life, you should first define your goal, and then plan how to achieve it.

If you don't currently have sufficient funds to trade the markets you've outlined in your goals, then start doing something about it now - save more money or put in overtime hours. There are a lot of ways to make a few more bucks, and it's better to wait for the funds you need than to begin trading in a market that isn't right for you and your goals.

For those of you who already have the right amount of money in your savings account, let's talk about the question, "How much money SHOULD you trade?"

Many first-time traders think they should trade all of their savings. This isn't true! To determine how much money you should trade, you must first determine how much you can actually afford to lose, and what your financial goals are.

Begin by determining how much of your savings should remain in your savings account. It's important to keep three to six months of living expenses in a readily accessible savings account, so set that money aside, and don't trade it! You should never trade money that you may need immediately. Unless you have funds from another source, such as a recent inheritance, the remaining amount of money will probably be what you currently have to trade with.

Take a good look at how much money you can currently afford to trade. You don't want other parts of your life to suffer when you tie your money up in a trade, so make sure to consider what these savings were originally for.

Next, determine how much you can add to your trading activities in the future. If you are currently employed, you will continue to receive an income, and you can plan to use a portion of that income to build your investment portfolio over time.

Here are two more important things to remember:

1.) As outlined above, certain types of investments require an initial deposit amount to get started. However, don't get too nervous - this does not mean that you will be risking the whole amount. Many traders are only willing to risk 10% of the initial deposit, and that's okay.

2.) Never borrow money to trade, and never use money that you can't afford to lose! It may be cliché, but nothing could be truer!

By Markus Heitkoetter

Markus Heitkoetter is a professional day trading coach and author of the "The Complete Guide to Day Trading." In this book, he lays out a simple, proven system for trading success. He covers it all, from the basic essentials to the actual process of making money in the markets. Visit http://www.thecompleteguidetodaytrading.com to learn more.

Article Source: http://EzineArticles.com/?expert=Markus_Heitkoetter

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5 Ways to Lose Money Day Trading

Defense wins championships. A good defense gives your team a chance to win; it keeps you in the game. To put this in trading terms, your game plan should keep your losses manageable while waiting for an opportunity to build a position. When you trade with this mindset you will always be in the game and ONE trade could turn around your entire day or your week.

Too often we see trader after trader trying to earn their entire month by gambling big on every single trade instead of seeing the big picture and earning your pay by the month.

There are literally stores and bookshelves filled with trading books and videos about how to earn money in the stock market. If I was forced to put a number on it I would say that 98%of them focus on telling you what to do to be successful as a trader.

We are going to discuss some of the things you can AVOID to give yourself the best chance of netting money on a regular monthly basis.

1. Using maximum leverage all the time: Most retail traders who make the venture into full time trading have a very common belief; "if I had more buying power I would make more money." So when they actually make the jump to a professional firm they can't wait to "load up" a position. All they can see is the dollar signs of what they will earn as the trade moves in their favor. It is just not possible for every trade you take to be one where you should increase your leverage. Placing maximum share size on your initial entry requires you to be amazingly accurate with every entry. Think about that, maximum share size all the time forces you to be perfect. Is that possible?

2. Not using enough leverage: There are however certain times of the day, week and month when you will have the market condition to increase your position size. Keep in mind this will occur on average around 30% of the day, week, and month. Think about that; 70% of the month will NOT be optimal conditions for max share size!! How often does the market, sector, your stock, market internals and volume all line up for this perfect storm?

3. Trading the entry signal instead of the trend: One of the most exciting things to do when trading is obviously getting into a trade, that's what gets your blood pumping. Unfortunately because the entry is so exciting that is where most new traders put most of their focus during the trading day; on the entry signals. This is equivalent to going to the beach and watching the small splashes of water around your ankles and thinking those splashes move the ocean. It is the other way around and that should be your focus. The big picture first and THEN the smaller time frames to enter or exit. Don't even look at the smaller entry time frames until it looks good on the higher time frames.

4. Guessing when a trend will end: When you remove the ego based desire to pick tops and bottoms you will immediately become a better trader. This will add to your net profitability than any other advice you will receive. One of the first mentors I had said it the best; "it is what it is until it's not." In other words assume the order flow the buying or selling pressure is intact until you see a heavy volume pause or exhaustive volume.

5. Trying to scalp AND position trade: Pete Rose was not a home run hitter and Barry Bonds was not paid to hit singles. They both knew very clearly before they went to the batters box what they were trying to accomplish. This is a very important concept to understand before you begin trading for the day it will affect how you manage a position and how you get shares for a trade. If you are a "singles hitter" as a trader you will be trading full size on both entry and exit. If you are a trader who holds positions you will be building a position as the stock moves in your favor and scaling out as well. It is very difficult to scalp and to be a position trader; you will constantly be mixing business plans. This is a quick road to the poor house. Pick a style that fits your personality and trade it like you own it. This will make it much easier to replicate your success.

Spend some time during lunch or after the close and see how many of these five you can remove from your daily trading.

Good luck this week,


Pete



By Pete Renzulli



The founders and instructors of Keystone Trading Concepts have managed a profitable short term trading desk for the last seven years. Our specialty is short term intra day to five day stock trades.
http://www.keystonetradingconcepts.com/

Article Source: http://EzineArticles.com/?expert=Pete_Renzulli

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Stock Market Crash - How to Massively Profit While Everyone Else Panics!

Have you ever heard of a Stock Market Crash?

Do you know that is a whole bunch of baloney?

When you hear that phrase it makes you think that all the money in the Stock Market has just fallen into a big black hole doesn't it?

But it can't just disappear, so where do you think it went?

It went out of the hands of those who didn't know what they were doing and into the hands of those who knew EXACTLY what they were doing!

Stock Options are a very powerful vehicle for making money in the stock market with a smaller amount of money than if you were to buy the actual stocks themselves.

And it's very hard to profit from a falling share price when you own the stock.

But if you owned a PUT OPTION over a falling stock it would GO UP IN VALUE as the stock price dropped!

Put Options give you the right to sell shares and as a stock price falls the put option will increase in value. This means you can use put options as insurance over shares you own to protect you from the brutality of a market crash.

However, Options Trading using Puts can rake in the profits for you in a very short period of time when the market is falling, allowing you to make money as income!

Let me explain...

What if the media had been spouting doom and gloom about a possible financial crisis and the banking sector was most certainly going to get hit hard as a result?

The Smart Options Trader would look at a big banking stock on their company stock chart and he might see unrest in the buyers and sellers. His analysis may tell him that the share price was likely to fall.

Let's say the price is trading at $ 55 and he buys an In The Money Put Option with one month till expiry. The option strike price is $ 56 and for this he pays $ 3 in premium.

The maximum he stands to lose is his $ 3 should the stock price rise above $ 56.

The following day the share price drops to $ 52 and the Put Option is now worth $ 6. The Smart Trader could sell his Put Option on the market today and realise a profit of $ 3 or he could hold the option a little longer for more profit if his analysis told him the price was likely to fall farther.

When you look back in history at the stock market, you will see that prices tend to go up slowly, but when they fall, they fall fast. In a stock market crash the prices fall suddenly, and with this comes an increase in volatility, resulting in high Put Option values.

As I said, the money falls into the hands of those who know exactly what they are doing, and Put options are the perfect vehicle for doing just that.

By Jules Dawson



Options Trading Education

Article Source: http://EzineArticles.com/?expert=Jules_Dawson

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Monday, May 12, 2008

Become a Millionaire Before 30

I have a dream. I want to be a millionaire before I turn 30. I am 20 right now and have a net worth of under $100,000. I am not a millionaire yet, but I believe that I have the vision within me and the tools in order to become a millionaire before I am 30.

I want to have a total net worth of over $1 million by the time I am 30. You may be asking me...how are you going to achieve that?

And my response to you would be this..."I'm not 100% sure as of yet, but I know it will involve a fair bit of sacrifice, a lot of investment, a lot of creativity, a lot of training and a some hart work. I know that I am going to make my first $1,000,000 on the internet and that I am going to write books and give speeches."You can't expect to become a millionaire overnight. Winning the lottery and getting millions overnight is overrated. It happens to very few people and the majority of people who win the lottery end up being worse off because they don't spend their money wisely.

So what are may tips for right now? What can you do right now to set yourself on the way to becoming a millionaire before you are 30 (or 50 or 40 or 25 or whatever your goal is)

Start Learning

Increasing your knowledge and being continually open to learning is the one thing that will get you over the line to become a millionaire before you are 30. Right now you are not smart enough, wise enough and you don't know enough to be able to make that sort of capital to become a millionaire so you need to learn. You need to learn from those who have done it and those that are doing it.

You need to learn about finance, about investment and different sorts of investment. You need to learn about making money and how you can make more and more money by using your talent and your skill. You need to be constantly learning about what millionaire do, how they became millionaires and what they had to pay to get there.

Be Disciplined

Know it will not be easy, you need to be dedicated and disciplined to learning and achieving. Start the discipline to day of expanding your thinking through learning. Read though the many posts on this blog, and visit back regularly to see the updated information that will be supplied here. Read books, find time to outwork what you are learning. Be disciplined in learning and outworking.

Do What you Love

I honestly believe that although money is a great motivator you ultimately need to be doing what you love. They did a study of 1500 over 20 and some chose the career path based on the income so they could do what they want later, others chose to do what they loved now and worry about the money later. Those who chose to do what they loved became millionaires, those who chose money first did not become millionaires. So choose to do what you love to do.

Set Goals and Have Dreams

You need to know where you want to be going in the short term and in the long term so that you can be constantly pushed to achieve. Set short term and long term goals that will set you on your way to becoming a millionaire by the time you are 30.

Don't be afraid to fail. Although my ultimate goal is to earn $1,000,000 in the next 12 months, I would be extremely disappointed if I did not earn at least $10,000 this year. So I have a goal of $10,000 first and then if I reach that I can go for the $1,000,000.

Hope all this helps. Please leave feedback. Set in your heart right now that you want to aim to be a millionaire before you are 30. Trust that you have the ability to achieve it and go for it. But make a decision right now that you are going to go for it and become a millionaire before you are 30. That is what I did and I am now (slowly and steadily) moving towards that goal and I KNOW that I will achieve it.

More to come on HOW to be a millionaire before you are 30. This will include practical tips in all areas of making money. The stock market, real estate, the internet, business, information marketing etc. So keep checking back to see updates.

By Ryan Mclean

Become a millionaire before 30. More info at http://www.foolswealth.com Fastrack your way to success by getting a millionaire mentor for FREE at http://www.foolswealth.com

Article Source: http://EzineArticles.com/?expert=Ryan_Mclean

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