Repay Credit – Glw Drk http://glwdrk.com/ Tue, 04 Jan 2022 17:24:23 +0000 en-US hourly 1 https://wordpress.org/?v=5.8 https://glwdrk.com/wp-content/uploads/2021/07/icon-1-150x150.png Repay Credit – Glw Drk http://glwdrk.com/ 32 32 President Samia hints at cabinet reshuffle, denounces critics https://glwdrk.com/president-samia-hints-at-cabinet-reshuffle-denounces-critics/ Tue, 04 Jan 2022 17:24:23 +0000 https://glwdrk.com/president-samia-hints-at-cabinet-reshuffle-denounces-critics/ By LUKE ANAMI Tanzanian President Samia Suluhu Hassan on Tuesday hinted that she would soon be reshuffling the government. Speaking during the release of the “Report on Development Spending for National Welfare and the Fight Against Covid-19,” President Samia, who appeared unhappy with criticism of the country’s debt, asked those who oppose the country’s borrowing […]]]>

By LUKE ANAMI

Tanzanian President Samia Suluhu Hassan on Tuesday hinted that she would soon be reshuffling the government.

Speaking during the release of the “Report on Development Spending for National Welfare and the Fight Against Covid-19,” President Samia, who appeared unhappy with criticism of the country’s debt, asked those who oppose the country’s borrowing and development plans to step down. before she cracked the whip.

She linked the criticism to the “2025 election fever policy” and said she would focus on development rather than early presidential campaigns.

“I’ve been in the job for eight months now. I said that I was teaching you and that you too were teaching me how I behaved, ”President Samia told State House Dar es Salaam.

“The day I last did a cabinet reshuffle, I just made a few changes. But I want to inform you that I will publish a new list soon.

The head of state said she had given government officials, including district commissioners, permanent secretaries and ministers, sufficient time to perform their duties without interference.

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But she now feared that while some focused on his government plans, others were determined to destroy him from within.

“Those with whom I think I can continue to work, especially in the interests of the development of Tanzanians, I will continue to work with them.

“But the ones who I think their dreams are focused elsewhere and working with their primary goal of 2025, I want to free them so that they can prepare well while they’re there. Because, if I hold them within from my government, it will only disturb them. Let me give them a chance to go out where we will meet on this trip, “she said amid applause from those present.

President Samia added that the government will not stop borrowing for development as it will benefit Tanzanians.

Read: Ndugai apologizes to Samia for comments on Tanzania’s external borrowing

In a thinly veiled attack on Parliament Speaker Job Ndugai following his remarks that the current state borrowing was unsustainable, she defended her borrowing plans by saying he was cautious and durable.

“The loan did not start today. It started after independence. We have gone through the IMF’s structural adjustment programs until today, where we are able to borrow and at the same time service our debts, ”she added.

“Borrowing is a must. When you borrow, you are putting money into the economy. When money circulates in the country, it is the people who benefit.

She added that the borrowing is sustainable as Tanzania will only accept low interest loans and repay them in a structured manner.

Read: Tanzania is not threatened with debt distress, according to central bank boss

Finance and Planning Minister Mwigulu Nchemba said earlier that the national debt is sustainable in the short, medium and long term.

“The national debt limit is 55% but so far we have reached 31%, so our country is still in debt and has all the credit criteria,” he said.

Speaking at the same reception, Vice President Philip Mpango said that Tanzania is one of the countries whose economy offers access to credit from international institutions, so it will borrow for development and not vice versa. .

The Vice President explained that the loan of 1.3 trillion shillings granted by the International Monetary Fund (IMF) to Tanzania has been very productive and will help improve access to social services for citizens.

***

Debt

  • For the past four years, Tanzania has taken out syndicated loans to advance its infrastructure plans.
  • In August 2017, she turned to Credit Suisse Bank for a five-year $ 500 million loan and returned to the market two years later to apply for a $ 1 billion syndicated loan from Trade and Development. Bank.
  • Since March 2021, when President Samia took power, the country has received more than $ 3 billion in debt, including concessional loans and aid funds from the World Bank, IMF and the Bank. African development.
  • According to the World Bank report from October 2021, Tanzania is among the countries with stable economies and is not part of the group of non-lending countries.


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Universal Credit applicants can receive a bonus of £ 812 in 2022 – are you eligible? | Personal Finances | Finance https://glwdrk.com/universal-credit-applicants-can-receive-a-bonus-of-812-in-2022-are-you-eligible-personal-finances-finance/ Sun, 02 Jan 2022 17:24:22 +0000 https://glwdrk.com/universal-credit-applicants-can-receive-a-bonus-of-812-in-2022-are-you-eligible-personal-finances-finance/ Universal Credit offers support to those who have low incomes or are totally unemployed. Those facing unforeseen emergency costs may also receive budgetary advances. Budgetary advances can help applicants cover the costs of emergency household expenses such as replacing a broken stove, getting a job or maintaining work, or funeral expenses. These advances will have […]]]>

Universal Credit offers support to those who have low incomes or are totally unemployed. Those facing unforeseen emergency costs may also receive budgetary advances.

Budgetary advances can help applicants cover the costs of emergency household expenses such as replacing a broken stove, getting a job or maintaining work, or funeral expenses.

These advances will have to be repaid by regular installments from Crédit Universel, which will be less until the debt is repaid.

If an applicant stops obtaining universal credit, they will have to repay the money through other means.

What a person can get from a budget advance will depend on how much they need and they will agree on that amount with their work coach.

READ MORE: 22 Things People On Universal Credit Can Get For Free In 2022

To request a budget advance, applicants can update their journal in their Universal Credit account, contact their nearest employment office, or call the Universal Credit helpline on 0800 328 5644.

To be eligible for Universal Credit initially, an applicant must live in the UK and be 18 years of age at retirement age.

They should also have less than £ 16,000 in savings.

Applicants can work and be eligible for Universal Credit and it is also available for self-employed and part-time workers.

Single applicants aged 25 or over will receive £ 324.84.

Couples, both of whom are under 25, will receive £ 403.93 (for both).

When at least one of the couples is 25 years of age or older, £ 509.91 will be issued.

It should be noted that universal credit income and other benefit payments will increase 3.1% from April.


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Home improvement loan: expectations vs. Reality https://glwdrk.com/home-improvement-loan-expectations-vs-reality/ Fri, 31 Dec 2021 22:31:12 +0000 https://glwdrk.com/home-improvement-loan-expectations-vs-reality/ In light of the current global turmoil, we can all agree that a good home improvement loan is a good idea. People can now consider buying a home and financing it with a home loan. However, when it comes to applying for a mortgage, there are many misconceptions. For lack of information, many beliefs persist. […]]]>

In light of the current global turmoil, we can all agree that a good home improvement loan is a good idea. People can now consider buying a home and financing it with a home loan.

However, when it comes to applying for a mortgage, there are many misconceptions. For lack of information, many beliefs persist. Read on so we can cover everything from what mortgage lenders expect to the reality of mortgage lending.

Some typical myths regarding home improvement construction loans are described below and the reality behind these myths:

  1. Low Income Cannot Acquire A Home Improvement Loan

For the most part, banks and other financial organizations do not lend money to people with low to moderate incomes.

Many people think that people who earn their money in cash cannot get a home improvement loan. In the past, financial institutions have tended to overlook earning families. They may be making a lot of money, but financial institutions are reluctant to lend to this group due to the informal nature of their business.

It is always best to check what financial institutions in your area are offering for home loans. For example, if you’re in Florida and applying for a Florida home improvement loan, research the options that might meet your needs.

  1. Many documents are always needed

A lot of people thought that they had to submit a lot of documents to home loan experts for a home improvement loan to be approved. But this is not true. Another common misconception is that obtaining a loan requires submitting many documents. Ultimately, the most important factor in getting credit is a good FICO score.

Recognition of all advanced applications is considered a prerequisite. Either way, it’s a well-known story. Having a good FICO score does not guarantee that you will be approved for a home loan. Various things determine whether or not a borrower is approved for a home loan, including the borrower’s monthly income, monthly consumption percentage, and other obligations. Then home promotions are approved.

  1. Loans are guaranteed to be approved if you have a good credit rating

High credit scores are among the most important considerations in obtaining many loans. Some lenders believe this is the most important factor in all home loan applications.

This is a misconception, however. Having a good credit rating does not guarantee that you will be approved for a home loan. The approval of home loans depends on other aspects including the borrower’s monthly income, monthly expense ratio, outstanding commitments, etc.

You don’t need a good or a high credit score to get most loans. Bad credit doesn’t always mean you can’t get a loan, as lenders often consider the borrower’s ability to repay the amount.

  1. The best option is a low interest loan

A reduced interest rate does not guarantee the best rate for the borrower. Several elements contribute to the total cost, including additional costs. There are other important factors that a mortgage borrower needs to consider, such as the initial loan processing fee, the time it takes to complete the loan, transaction costs, legal fees, and more.

However, some lenders do not impose additional fees on their consumers, and this is how they can offer their clients the best deal.

  1. Taking a new loan to pay off an old one is part of the process of changing lenders

Many mortgage borrowers believe that if they change banks, they will have to start over and pay off their debt. You can find a breakdown of your loan principal and interest payments in the “Home Loan Amortization Plan”.

It’s important to know how much money you still owe your old bank or financial institution and how many months you have left to pay it off before you switch banks.

  1. They saved enough for a down payment

This seems to be the most “surprising” element for many newbies. In addition, it is one of the most difficult to convey, especially for real estate lenders. As a result of years of savings, individuals can assume that they have a substantial down payment, but it is less than necessary.

They often have their hearts set on a home that is financially beyond their reach. Additionally, they may have overlooked stress testing procedures. If you are looking to buy and upgrade your home for less than $ 500,000, you will need to pay at least 5%. To prevent your mortgage from being classified as a high ratio loan and requiring mortgage insurance, a 20% down payment is best.

  1. Owning a home won’t cost more than renting one

Most of the time that is not true. Homeownership comes with a lot of responsibilities, which many people overlook. This includes property taxes, insurance and home maintenance.

For this reason, we constantly recommend first-time buyers to sit down and “practice” the extra pressures and expenses. Assessing your financial preparation for homeownership now can save you time and headaches in the long run.

  1. We will take anything in any price range, as long as we can pay for it on time

This is not a wise or recommended course of action. Pick a price that will allow you to afford home improvement and upgrade projects, such as new flooring, new windows, and new doors. You can significantly reduce the amount of money you borrow by looking for properties that still meet your needs but may require a bit more work. You can save money in the long run if you are prepared to look at various properties.

  1. An increase in interest rates leads to an increase in monthly payments

When you hear that interest rates are going up, the first thing that comes to your mind is that you will have to pay a higher monthly IME. However, this is not the case at all and

In most cases, home loans have variable interest rates due to their longer term of 15 to 20 years. Based on the repo rate set by some banks, the interest rates charged by financial institutions for lending money are determined.

Final words

Homeowners’ expectations rarely match what they get when they take out home improvement loans. While some areas of their knowledge may be lacking, there are others that we have discovered that they may not be aware of. This business is constantly changing, which makes it difficult to stay consistent in everything. Consider consulting a mortgage broker if you have any questions, concerns, or just want to anticipate during the loan process.


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Explained: How India overtakes the world in digital payments https://glwdrk.com/explained-how-india-overtakes-the-world-in-digital-payments/ Thu, 30 Dec 2021 06:29:00 +0000 https://glwdrk.com/explained-how-india-overtakes-the-world-in-digital-payments/ NEW DELHI: The value of digital payments in India will triple to $ 1 trillion by fiscal 2026, from $ 300 billion in fiscal 2021 thanks to the government’s initiative to increase l financial access by combining no-frills bank accounts, the Aadhaar card and mobile connection, according to a report from CLSA. “UPI accounts for […]]]>
NEW DELHI: The value of digital payments in India will triple to $ 1 trillion by fiscal 2026, from $ 300 billion in fiscal 2021 thanks to the government’s initiative to increase l financial access by combining no-frills bank accounts, the Aadhaar card and mobile connection, according to a report from CLSA.
“UPI accounts for 60% of total payments in volume and digital payments have grown from $ 61 billion in fiscal 2016 to $ 300 billion as of fiscal 21. Considering the increase in purchases online and digital adoption, we expect this figure to grow to $ 0.9 billion to $ 1 billion by FY26, or 30% of Indian consumption, “the report said.
Since its inception in 2016, the value of monthly UPI transactions has taken four years to cross the Rs 3 lakh-crore mark in September 2020. And in one year, it has more than doubled to reach Rs 7 lakh crore.

What fueled this boom?
Cheap internet data, the high penetration of smartphones and the Indian biometric ID card have fueled the rapid rise of online payment systems on mobile platforms, according to the report.
Currently, 250 banks are direct members of UPI, which means that they allow interbank fund transfers through UPI. There are over 50 UPI apps with Phone Pe in the lead. UPI is the country’s largest retail payment system in terms of transaction volume (14 crore transactions per day, October 2021), and one of UPI’s initial goals was to replace cash for low transactions. value.
Analysis of transaction data shows that 50% of transactions through UPI were less than Rs 200. RBI proposed to offer a simpler process flow by allowing low value transactions through an ‘on-device’ wallet. in the UPI application, which will preserve the resource bank system, without any change in the transaction experience for the user.
India has passed the world of digital payments
The country recorded more than 25.5 billion real-time payment transactions in 2020 – the highest in the world and 60% higher than China.

UPI transactions almost matched all debit and credit card transactions
In the aggregate value of payments made to merchants, UPI transactions almost equaled debit and credit card transactions. According to CLSA estimates based on transactions in the first half of FY22, UPI transactions at $ 187 billion are close to overtaking debit card transactions by $ 83 billion and debit card transactions. credit of $ 102 billion.
UPI transactions recently increased to $ 16 billion per month, which is almost equivalent to merchant payments made by debit and credit cards together.

Google pay and PhonePe Dominate UPI Application Market Share

Fintech players such as Paytm, Phonepe, and Google Pay have gained dominant market shares in UPI payments, which are clearly on the rise and have already overtaken other forms of payment like credit cards and debit cards. . In fact, Paytm, Phonepe, and Google Pay have been active on both the issuance and acquisition side. As a result, they have built strong customer and merchant bases. In some cases, the number of users significantly exceeds the customers of the large banks.
However, UPI payments are not profitable because UPI payments are free while there is a merchant discount rate on debit / credit cards and the point of sale / gateway companies also charge a fee for the service, this is why UPI-based issuers and super apps are diversifying into full financial service platforms including lending, distribution and non-financial services as they intend to capitalize on the large customer / merchant base they have built up. Examples include Paytm, Phone Pe, Mobiwilk, Google Pay, Bharat Pe, Pine Labs, RazorPay, and CRED.
With the substantial increase in UPI volume, CLSA estimates that digital payments (debit cards + credit cards + UPI) from consumers to merchants have increased from 5% in FY16 to over 15% in FY21 and are expected to exceed 20%. % in FY22.
It is estimated that around 47% of all payments made by customers in FY 22 are made through UPI, and only 6% through mobile wallets.

CLSA expects in FY 26 approximately 44% of payments to be accepted through payment gateways and aggregators, followed by 34% through QR codes and 22% through point-of-sale machines. (PoS).
Online consumption could grow from $ 72 billion in fiscal 21 to $ 237 billion in fiscal 26

BNPL market growing by 10%
Currently at $ 15-20 billion, Buy Now Pay Later (BNPL), Equivalent Monthly Payments (EMI) and Purchase Loans only account for 5-6% of digital payments. CLSA expects this market to grow five-fold to $ 100 billion by FY26, or 10% of all digital payments.
Remind me, what is BNPL again?
Buy-Now-Pay-Later (BNPL) is a short-term microcredit model, in which consumers have to pay little or no interest for both online and offline purchases. BNPL’s start-ups are partnering with meal delivery companies, travel booking players as well as grocery stores and other essential delivery platforms. Two types of BNPL products are offered:
A deferred payment model in which the customer must repay the amount after 14-30 days. These are generally low cost loans offered to facilitate payments to low risk customers.
A regular EMI model with a duration of a few months. It may or may not be at zero cost.
CLSA said the accessibility enhancement features and immediate availability of credit will help fintechs stay at the forefront of personal lending growth in India. BNPL digital space fintechs include Simpl, ZestMoney, PayU’s LazyPay, Capital Float, and Mobikwik Zip.
Interestingly, India is ahead of the global average when it comes to using BNPL in online shopping (3% share vs. 2.1% global average)

According to industry estimates by Redseer, only 10-15 million people in India have benefited from BNPL credit from digital-only players. In FY21, disbursements from these players amounted to $ 3.5 billion, or 5% of total online sales in India. This market can reach 10% of total online sales over the next five years. According to Lizzie Chapman, co-founder and CEO of ZestMoney, India will be the largest BNPL market in the world.

During fiscal year 18-1HFY22, BNPL companies raised nearly $ 2.6 billion in equity. Additionally, ZestMoney and Capital Float each raised $ 50 million, while ePayLater raised $ 10 million in September 2021.
Amount of the loan
According to a CIBIL report, 97% of fintech disbursements in 2020 were for an amount less than Rs 25,000, against 60% / 16% for NBFC / private banks. Indeed, a typical BNPL client is younger and has a lower earning capacity. Second, the shorter loan term implies that the ticket size has to be smaller for the MIL to remain relatively comfortable.
“With the rapid expansion, low cost personal loans account for 60% of the overall personal loan volume, while fintechs contribute 45% in number. Over 70% of personal loans are taken outside of Tier 1 cities, ”CLSA said.
The various Indian fintechs will gain importance
India is emerging as one of the largest fintech markets in the world and is ranked # 4 in the number of fintech unicorns valued at $ 50 billion. “While there are many factors contributing to the country’s digital successes, we believe that the role of government, regulators and industry bodies in the development of the Indian battery has laid the groundwork for digitalization and innovation. fast, ”said CLSA.
India currently has 14 fintech unicorns; 6 of the first 8 are payment companies

CLSA sees fintechs leading the expansion of India’s credit market and driving penetration with a 50-60% share of new credit and sub-prime clients.


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Will the amount of child tax credit refund protection decrease based on my adjusted gross income? https://glwdrk.com/will-the-amount-of-child-tax-credit-refund-protection-decrease-based-on-my-adjusted-gross-income/ Tue, 28 Dec 2021 12:02:07 +0000 https://glwdrk.com/will-the-amount-of-child-tax-credit-refund-protection-decrease-based-on-my-adjusted-gross-income/ Ivanko_Brnjakovic / Getty Images / iStockphoto Taxpayers who received child tax credit advance payments this year will need to report these payments on their 2022 income tax returns. In some cases, they may need to reimburse the IRS if their payments exceed the CTC amount. that they can claim in their statements. See: Reconcile the […]]]>

Ivanko_Brnjakovic / Getty Images / iStockphoto

Taxpayers who received child tax credit advance payments this year will need to report these payments on their 2022 income tax returns. In some cases, they may need to reimburse the IRS if their payments exceed the CTC amount. that they can claim in their statements.

See: Reconcile the Child Tax Credit on Your 2021 Tax Return – Here’s How
Find: Stimulus Update – You Could Still Qualify For A $ 1,400 Payment – Here’s What To Check On Your Taxes

Whether or not you owe money depends on your modified adjusted gross income. According to the IRS website, you will not get any refund protection if your MAGI is equal to or greater than the amounts listed below, depending on the filing status of your 2021 tax return:

  • $ 120,000 if you are married and file a joint return or as an eligible widow or widower
  • $ 100,000 if you are making a declaration as the head of the household
  • $ 80,000 if you are a single or married filer and file a separate return

On the other end of the spectrum, you may be entitled to a refund if your eligible CTC amount exceeds the total amount of your child tax credit prepayments.

See: Child Tax Credit – How to Claim Your Full 2021 Taxes
Find out: As child tax credit expires, more than 21 million Americans face food insecurity

You might also get full refund protection based on 2021 income, which means you won’t need to pay off an excess amount if your primary residence was in the US for more than half of your life. 2021 and your MAGI for 2021 is equal to or less than the following amount based on filing status on your tax return:

  • $ 60,000 if you are married and file a joint return or as an eligible widow or widower
  • $ 50,000 if you make a declaration as the head of the household
  • $ 40,000 if you are a single tax filer or if you are married and filing a separate return.

Keep in mind that your reimbursement protection may be limited if your MAGI exceeds these amounts, or if your primary residence for more than half of 2021 was outside the United States.

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About the Author

Vance Cariaga is a London-based writer, editor and journalist who previously held positions with Investor’s Business Daily, The Charlotte Business Journal and The Charlotte Observer. Her work has also appeared in Charlotte Magazine, Street & Smith’s Sports Business Journal, and Business North Carolina magazine. He holds a BA in English from Appalachian State University and studied journalism at the University of South Carolina. His reporting has been recognized by the North Carolina Press Association, the Green Eyeshade Awards and AlterNet. In addition to journalism, he has worked in banking, accounting and restaurant management. A native of North Carolina who also writes fiction, Vance’s short story “Saint Christopher” placed second in the Writer’s Digest 2019 short story competition. Two of his short stories appear in With One Eye on the Cows, one anthology published by Ad Hoc Fiction in 2019. His first novel, Voodoo Hideaway, was published in 2021 by Atmosphere Press.


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Can you afford a mortgage? 6 factors to consider https://glwdrk.com/can-you-afford-a-mortgage-6-factors-to-consider/ Sun, 26 Dec 2021 18:20:42 +0000 https://glwdrk.com/can-you-afford-a-mortgage-6-factors-to-consider/ As a concerned homeowner, you should be aware of the difference between buying property and affording one. When considering purchasing a home mortgage, it is imperative to weigh your repayment capabilities. Of course, your bank will review your profile based on your financial strengths. However, there are several factors you need to consider that would […]]]>

As a concerned homeowner, you should be aware of the difference between buying property and affording one.

When considering purchasing a home mortgage, it is imperative to weigh your repayment capabilities. Of course, your bank will review your profile based on your financial strengths. However, there are several factors you need to consider that would help you determine your repayment capabilities.

After all, it won’t be a logical decision to do something that compromises your lifestyle. Click here use the affordability calculator and find out the ideal mortgage amount for you.

Calculate your mortgage

Generally speaking, financial experts recommend using these two rules when it comes to weighting your repayment strengths.

The annual salary rule

According to this theory, your ideal mortgage size should not exceed three times your annual salary. Therefore, if you make about $ 70,000 a year, don’t go for a mortgage greater than $ 210,000. However, if you are applying for the property with a partner and the combined income is $ 120,000, you can opt for a mortgage up to $ 360,000 comfortably.

This does not necessarily mean that you should ask for the more expensive option when choosing the mortgage. However, settling for a loan that is below the eligibility limit will help you save money or make renovations.

The monthly income rule

As you refine your calculations further, you need to focus on your monthly expenses. As a rule of thumb, most banks qualify home mortgage loans with monthly payments less than 43% of the borrower’s income. Hence, you will not have undue pressure to pay off your debts.

A person who earns $ 5,000 a month can afford an IME of $ 2,150. However, banks consider that you would spend 50% of your net monthly income on utilities and lifestyle expenses. Therefore, you should keep the mortgage payment below 50% to set aside sufficient funds to meet emergency expenses.

Things to consider when calculating your mortgage

1. Income

You obviously have to take your income into account when deciding to buy a home. The higher your income, the more mortgage you can afford. Therefore, take these aspects into account when you start to calculate your overall income.

  • Basic income
  • Return on investment and retirement
  • Financial support for ex-spouses
  • Income generated by maintenance of children
  • Commissions, income from self-employment or a second job

Go through your business accounts, bank statements, and the income tax you paid to determine overall income.

2 Expenses and debts

In addition to running household expenses, you could pay EMIs for personal loans, credit card loans, student loans, or car loans. Creditors would aggregate monthly debts that you’ve been paying for about a year. That way, you can figure out how much mortgage payment you can afford per month.

In general, you should take these factors into account when calculating your debt.

  • Maintenance payments
  • Refund of credit cards
  • Any type of insurance premium
  • Water, telephone, electricity and broadband bills.

As a general rule, your expenses should not exceed more than 50% of your monthly income.

3. Deposit

You can afford a larger mortgage with a larger down payment. Plus, you can save your mortgage insurance amount once you’ve made a down payment of at least 20% for the property. This implies that you would have more cash for your interest and principal.

4. Credit score

A better credit rating implies that you have maintained healthy financial habits. This greatly improves your eligibility for mortgage loans. Plus, you can benefit from lower interest rates and higher mortgage amounts.

5. Closing costs

As a general rule, you should consider around 5% of the value of the property as the closing cost when buying. This too goes a long way in determining the amount you can get for a mortgage. Additionally, closing costs also affect your ability to make a larger down payment. Once you have consulted your financial experts, they will guide you on these expenses.

Sometimes homeowners add closing costs to the mortgage principal. In these cases, you need to settle with a cheaper property.

6. Home insurance

When buying a new property, you are probably not neglecting insurance. After all, buying a property turns out to be a big investment in people’s lives. You need to have an idea of ​​how much you can pay immediately after you make the down payment when you buy the property. In some cases, you have to go for a low end home to manage the premium.

Apart from this, you can also consider mortgage insurance and flood insurance premiums. Once you have noted all of your probable expenses, you will be in a position to make an informed decision.

Mortgage affordability by type of loan

  • FHA loan: If you go for an FHA loan, there would be an additional expense as you will shell out the mortgage insurance up front. In addition, you have to bear the cost of the monthly premiums.
  • VA loan: While homeowners don’t have to pay mortgage insurance or the down payment in this case, they would have to pay a finance charge.
  • Conventional loan: If you pay less than 20% of the value of the property as a down payment, you must pay a mortgage insurance premium.
  • USDA loan: Here, the annual and upfront fees would reduce the amount of mortgage you can afford.

End note

While we’ve factored in the ongoing expenses that might affect your ability to pay the mortgage, don’t overlook specific changes that might put you under financial stress. Some future changes that could affect your ability to repay include increased interest rates, illnesses, job losses, and lifestyle changes. In addition, career changes, babies, or an interruption in your career can also affect your ability to repay the loan.

Once you have consulted the experts, you can get a transparent idea of ​​the estimated home mortgage you should go for.


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How to get a low cost student loan https://glwdrk.com/how-to-get-a-low-cost-student-loan/ Fri, 24 Dec 2021 16:20:51 +0000 https://glwdrk.com/how-to-get-a-low-cost-student-loan/ The most important criterion in choosing a student loan is the cost. Most borrowers prefer a lower cost loan. The main factors that affect the cost of a student loan are the interest rate and the repayment term. Student loan debt is inevitable, as more than two-thirds of students … [+] student loan debt. So […]]]>

The most important criterion in choosing a student loan is the cost. Most borrowers prefer a lower cost loan. The main factors that affect the cost of a student loan are the interest rate and the repayment term.

The cost of a student loan

The cost of a loan depends on the interest rate, loan fees, discounts and rewards, frequency of interest capitalization, loan cancellation options, and repayment term.

A higher interest rate means a higher cost. A lower interest rate means a lower cost. However, borrowers should prefer fixed rates when interest rates are low, even if fixed rates are higher than variable interest rates, as a variable rate has no choice but to increase. A lower variable rate can save money, but only if you pay off the debt in full before the interest rates rise too much.

There is a trade-off between interest rates and loan fees. A 1% increase in the interest rate is equivalent to a 4% increase in loan fees over a 10-year repayment term. Thus, a loan with 4% fees and 9% interest costs more than a loan with 5% fees and 8% interest.

Canceling the loan can lower the cost of a student loan, but most borrowers will not qualify. Even when a borrower is eligible for a loan forgiveness, some loan forgiveness programs require the borrower to repay for 20 or 25 years, which increases the total cost of the loan.

Overall, the frequency of interest capitalization has little impact on the cost of a student loan. If the interest on a 5% loan is capitalized monthly, it increases the effective interest rate for a 12-month tolerance period of about 0.1% compared to a loan that capitalizes the interest once, at the end of the tolerance period.

Impact of the repayment term on the cost

The repayment term can have a big impact on the cost of a student loan.

When comparing the cost of two loans, consider both the monthly loan payments and the total payments over the life of the loan. Differences in repayment terms can affect the total interest paid over the life of the loan, not just the monthly loan payment.

A shorter repayment term will reduce the total loan repayments, but will increase the monthly loan payment. Likewise, a longer repayment term will reduce the monthly loan payments, but increase the total loan payments.

For example, a 5-year repayment term has total payments 11% lower than a 10-year repayment term, assuming an interest rate of 5%, but the monthly payments are more than three-quarters higher. A 20-year repayment term has monthly payments that are about a third lower than a 10-year repayment term, but total payments that are about a quarter higher. A 30-year repayment term halves the monthly payments compared to a 10-year repayment term, but increases total payments by more than 50%.

It is not always possible to use the same repayment term to compare loans with different interest rates. In a rising rate environment, fixed rate loans will require a shorter repayment term for lower interest rates.

Use a student loan calculator to compare both the monthly loan payment and the total payments over the life of the loan.

The annual percentage rate, or APR, combines the impact of the interest rate and fees for a specific repayment term. Although the APR is intended to make it easier to compare loans, the APR only works well when the two loans have the same repayment terms. When the repayment terms differ, the longer repayment term will result in a lower APR, even though the loan with the longer repayment term will cost more.

Shop for the best loans

The lowest advertised interest rate is not necessarily the interest rate you will get. In fact, more borrowers get the higher advertised interest rate than the lower. Only borrowers with excellent credit scores will qualify for the lowest interest rates.

Lenders don’t publish their interest rate formulas, so you’ll have to apply for multiple loans to find the one that gives you the best interest rate and fees.

Generally, federal student loans offer the lowest cost and the best combination of repayment terms for most borrowers. They are not dependent on the borrower’s credit scores or income, unlike private student loans. The Federal Stafford Unsubsidized Loan and Federal PLUS Loan are not dependent on demonstrated financial need. Even wealthy students can avail of these loans. The Federal Stafford loan is less expensive than the Federal PLUS loan.

Apply for private student loans with a creditworthy co-signer

Apply for a private student loan with a creditworthy co-signer.

Private student loans base eligibility and interest rates on your credit score and the credit score of your co-signer, whichever is greater. (Eligibility also depends on the borrower’s income, debt-to-income ratios, and length of employment with the borrower’s current employer.)

So, applying for a private student loan with a co-signer will not only increase your chances of getting the loan approved, but can also lower the interest rate.

Over 90% of private student loans for undergraduates required a creditworthy co-signer. These loans are approved on the basis of the credit of the co-signer, not that of the borrower, as most students have poor or no credit history.

There is, however, one caveat, which is the risk to the co-signer. Many parents mistakenly assume that co-signing a loan is giving the borrower a reference. But, it is much more than that. A co-signer is a co-borrower, also required to repay the debt. Lenders first ask the borrower for repayment, as a courtesy. But, as soon as the borrower is in arrears, the lender will start requiring the co-signer to make the loan payments.

Check Your Credit Reports Before Applying For A Private Student Loan

Errors in your credit reports can affect your credit score, which in turn affects the interest rates you pay.

Check your credit reports for errors before applying for a private student loan.

You can get your credit reports for free at annualcreditreport.com.

If you find any errors, you can correct them by disputing them. The lender has 30 days to correct an error or confirm its accuracy.

You should therefore check your credit reports at least 30 days before applying for a private student loan.


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Reasons to repay the child tax credit and how to pay it https://glwdrk.com/reasons-to-repay-the-child-tax-credit-and-how-to-pay-it/ Tue, 21 Dec 2021 01:04:00 +0000 https://glwdrk.com/reasons-to-repay-the-child-tax-credit-and-how-to-pay-it/ Since the withholding tax credit is based on 2019 and 2020 tax returns, some people may be overpaid or receive money that is not intended for them. ATLANTA – More than 36 million families received their last advance payment for the U.S. Child Tax Credit in December. And while Congress debates whether members will re-authorize […]]]>

Since the withholding tax credit is based on 2019 and 2020 tax returns, some people may be overpaid or receive money that is not intended for them.

ATLANTA – More than 36 million families received their last advance payment for the U.S. Child Tax Credit in December. And while Congress debates whether members will re-authorize the payments, questions remain about funds already received.

Mainly, will the parents have to reimburse part of the money? It depends.

The payment is simply the tax credit that qualifying parents would normally receive as part of their repayment each year. This has been the case since the inception of the Child Tax Credit in 1997. But in 2021, instead of waiting to receive the money once as part of the repayment, Congress allowed the money to be prepaid. .

But, the amount that parents are supposed to receive is determined by the income taxes and the circumstances of the child. Since the tax credit is based on 2019 and 2020 income tax returns, some people may be overpaid or receive money that is not intended for them. In these cases, the money will have to be refunded.

Here are the four circumstances:

If a parent made more money in 2021 to the point that they are no longer eligible, that parent will have to reimburse the overpayment.

For quick reference, families with less than $ 75,000 for singles, $ 112,500 for the head of household or $ 150,000 for joint returns are entitled to $ 3,600 for children under 6 and 3,000 $ for children under 18.

If a single filing parent made $ 75,000 in 2020 but $ 90,000 in 2021, that parent would have to repay some or all of the overpayment they received when filing 2021 tax returns.

There is leeway or repayment protection for low and moderate income taxpayers.

Families with adjusted adjusted gross income in 2021 of $ 40,000 or less on a single return, $ 50,000 on a head of household return, and $ 60,000 on a joint return can keep the overpayment.

Custody / dependent changes

If custody or marital changes took place in 2021, then a parent may receive money that they should not (or did not receive money to which they are entitled.)

If a child lives with a parent for less than half the year, the parent is not eligible for the credit. If dependents changed in 2021 compared to 2020, that could also lead to an overpayment.

For example, if parent A claimed their child in 2020, but parent B will claim the child in 2021 (common arrangement in divorce proceedings), then parent A will receive money for the child, even if it was supposed to be paid to parent B In this case, parent A will have to repay the overpayment and parent B will get the credit after filing their 2021 tax return.

Another example: if parent A has declared that they have two dependent children in 2020, but parent B will apply for one of the two children in 2021. Parent A may have received money for both children and should reimburse one. some or all of the money for one of the children.

And finally, there is the question of whether a child has aged. If a child is now 18 (but was 17 in 2020), that could lead to an overpayment.

If a parent’s tax return status has changed, an overpayment may occur. For example, if the parent changed their status from spouse to single, it could result in an overpayment.

The latest case in which someone might have to repay is if the eligible parent has lived outside the United States for more than half of the year in 2021.

If the payment was in paper (check) form, write VOID on the endorsement section and mail it to the IRS with a written explanation for the return of the check. Do not staple, fold, or paperclip the check.

If the check was cashed without realizing it was an overpayment or direct deposit, send a check or money order payable to “US Treasury”, write “Advance CTC” and social security number on the memo line and include a brief reason for payment.

If someone wants to wait to file their taxes, they will have to report the overpayment on the 2021 tax return as additional income. This will reduce the amount of the tax refund or increase the total taxes owed for 2021.


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Everything you need to know about crypto credit cards https://glwdrk.com/everything-you-need-to-know-about-crypto-credit-cards/ Sun, 19 Dec 2021 06:13:02 +0000 https://glwdrk.com/everything-you-need-to-know-about-crypto-credit-cards/ A crypto credit card allows the user to spend rewards in cryptocurrency and also cryptocurrency Credit cards are considered a convenient way to make payments and purchases if used wisely. What about cryptocurrency credit cards? Like their conventional counterparts, the new kid on the block also rewards users, but in cryptocurrency. They are, however, a […]]]>

A crypto credit card allows the user to spend rewards in cryptocurrency and also cryptocurrency

Credit cards are considered a convenient way to make payments and purchases if used wisely. What about cryptocurrency credit cards? Like their conventional counterparts, the new kid on the block also rewards users, but in cryptocurrency. They are, however, a bit more complex.

What is a crypto credit card?

A crypto credit card allows the user to spend cryptocurrency, and it rewards in cryptocurrency. There are also debit cards in the crypto world. Unlike encrypted debit cards, an encrypted credit card allows you to borrow from the card issuer and repay later. Not much different from how traditional credit cards work. The big difference is that you are paying back in crypto as well. The rewards, if any, will also come in cryptocurrencies such as Bitcoin.

Price

Different crypto credit cards reward users differently. A Gemini credit card rewards up to 3% cashback in Bitcoin. It is instantly deposited into the consumer’s Gemini account.

BlockFi credit card users can earn 1.5% cashback in rewards in over 10 types of cryptocurrency, including Bitcoin and Ethereum.

In the case of SoFi credit cards, the reward points can be redeemed for Bitcoin or Ethereum. The Venmo credit card, on the other hand, allows users to purchase Bitcoin, Ethereum, Litecoin, or Bitcoin Cash with the cashback earned on purchases.

With Brex Business Card, users can spend reward points on Bitcoin or Ethereum.

Monitor your spending

A key point to keep in mind is that crypto cards look a lot like conventional credit cards, and failure or late repayment will result in high interest and late fees. These cards will also have some weight on your credit score. Annual fees are also applicable as in traditional credit cards.

Whatever the rewards, crypto credit if not paid back on time can get costly. Understanding the terms and conditions of crypto credit cards is crucial for your finances.

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Talen Energy Supply Raises and Closes $ 848 Million Senior Financing; The transaction provides additional liquidity and advances the energy transition strategy https://glwdrk.com/talen-energy-supply-raises-and-closes-848-million-senior-financing-the-transaction-provides-additional-liquidity-and-advances-the-energy-transition-strategy/ Wed, 15 Dec 2021 22:30:00 +0000 https://glwdrk.com/talen-energy-supply-raises-and-closes-848-million-senior-financing-the-transaction-provides-additional-liquidity-and-advances-the-energy-transition-strategy/ THE WOODS, Texas, December 15, 2021 / PRNewswire / – Talen Energy Corporation (“TEC” or “Talen”) today announced that its wholly owned subsidiary Talen Energy Supply LLC (“TES”) has increased and closed the revolving credit facility commitment of first rank previously announced. by GoldenTree Asset Management LP and Silver Point Finance, LLC for a total […]]]>

THE WOODS, Texas, December 15, 2021 / PRNewswire / – Talen Energy Corporation (“TEC” or “Talen”) today announced that its wholly owned subsidiary Talen Energy Supply LLC (“TES”) has increased and closed the revolving credit facility commitment of first rank previously announced. by GoldenTree Asset Management LP and Silver Point Finance, LLC for a total amount of $ 848 million.

Along with the closing, TES extended the facility to other financial partners, including Apollo Capital Management LP, Diameter Capital Partners LP and Owl Creek Asset Management, LP, through their respective managed funds. In addition, TES has obtained the required approvals and waivers from its Citi-led banking group as administrative agent under its existing revolving credit facility to complete this financing.

This installation, which matures in September 2024, will be mainly used to finance the high working capital requirements of raw materials during the winter period, to reimburse $ 238 million outstanding borrowings under the TES revolving credit facility, fund up to $ 200 million for working capital and other general corporate purposes and to pay transaction fees and expenses associated with the new financing facility.

“This funding will help unlock the value of our TES assets in this commodity-friendly winter environment while allowing Talen to continue to execute our energy transition strategy,” said TEC CEO. Alex hernandez. “We are grateful for the capital, support and confidence of GoldenTree, Silver Point, Apollo, Diameter, Owl Creek and our banking group to execute and approve this facility. We also look forward to collaborating with our other stakeholders as we work to execute our transformation, maximize business value and ensure the long-term success of the Talen platform and our people. “

“We are delighted to partner with Alex and his team in leading this important financing and advancing the company’s strategic goals,” said Paul Ardire, director of GoldenTree Asset Management. “Our company’s philosophy is to partner with experienced and differentiated management teams, which we have done with Talen over the past few years. We believe that TES’s asset base has significant value in this strong commodity environment, and longer term as Talen executes its energy transition strategy towards renewable energy and digital infrastructure.

“Silver Point is delighted to be working with Talen to provide a bespoke financing solution that meets the short-term liquidity needs of the business in the context of what we believe to be a very strong fundamental operating environment,” said Edward. Mulé, CEO and portfolio manager of Silver Point. . “Silver Point has significant experience and a long history of partnering with companies and leadership teams we believe in to advance their business goals. We are particularly excited about the underlying value of Talen’s generation portfolio and look forward to continuing to support the company as it plays a key role in the ongoing carbon-free energy transition in the United States. “

TES retained White & Case LLP and Weil, Gotshal & Manges LLP as legal advisers and Evercore as investment banker for this financing.

Qualified investors and equity analysts can access additional information on the terms and conditions of this funding in the Investor Update Q3 2021 Supplement, which is now available in the Investor Information section of Talen’s website at: https: //talenenergy.investorroom.com/investor -information. The financial statements for the third quarter of 2021 will be published on this site on Thursday, December 16e.

About GoldenTree Asset Management
GoldenTree Asset Management is a global employee-owned asset management company specializing in opportunities in the credit world in industries such as high yield bonds, leveraged loans, distressed debt , structured products, credit-themed equities and emerging markets. GoldenTree was founded in 2000 and is one of the largest independent asset managers focused on credit. GoldenTree manages more than $ 46 billion for institutional investors, including leading public and corporate pension funds, foundations, insurance companies and sovereign wealth funds. For more information, please visit www.goldentree.com

Investor contact
Kathy sutherland
GoldenTree Asset Management
212-847-3455
ksutherland@goldentree.com

Media contact
Steve Bruce and Mary Beth Grover
CSA Advisors
203-992-1230
sbruce@ascadvisors.com
mbgrover@ascadvisors.com

About Silver Point Finance
Silver Point Finance, LLC, a subsidiary of global credit investor Silver Point Capital, LP, is the Company’s personalized finance solutions business. Founded in 2002, Silver Point was designed and built to have the resources, expertise and capital to invest in global credit markets throughout credit cycles. Since its inception in 2002, Silver Point has provided more than $ 14 billion in capital solutions to more than 300 companies. Today, the company manages approximately $ 19 billion in investable assets as part of its lending strategies for institutional investors around the world, including pensions, sovereign wealth funds, endowments, foundations, companies insurance and family offices. Additional information is available at www.silverpointfinance.com.

Media contact
Todd fogarty
Kekst CNC
212-521-4854
todd.fogarty@kekstcnc.com

About Talen Energy Corporation
Talen, through its subsidiary TES, is one of the largest competitive power generation and infrastructure companies in North America. TES owns and / or controls approximately 13,000 megawatts of generating capacity in wholesale electricity markets in the United States, primarily in the Mid-Atlantic, Texas and Montana.

Through its subsidiary Cumulus Growth, Talen is developing a large-scale portfolio of renewable energy, battery storage and digital infrastructure assets across its vast footprint. For more information visit https://www.talenenergy.com/esg-focused-future/

Investor contact
Olivia sigo
Senior Director, Corporate Finance, Investor Relations and ESG
281-203-5387
InvestorRelations@talenenergy.com

Media contact
Taryne williams
Director of Corporate Communications
610-601-0327
Taryne.Williams@talenenergy.com

Caution regarding forward-looking information
This press release includes “forward-looking statements”. All statements, other than statements of historical fact, included in this press release that deal with activities, events or developments that TES expects, thinks or anticipates will occur or may occur in the future, as well as ambitious goals, are forward-looking statements. These statements are based on certain assumptions made by TES based on its experience and its perception of historical trends, current conditions, expected future developments and other factors it deems appropriate. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. All forward-looking statements are qualified in their entirety by this cautionary statement. TES assumes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after the publication of this press release, except as required by law.

Cision

View original content: https://www.prnewswire.com/news-releases/talen-energy-supply-upsizes-and-closes-848-million-first-lien-financing-transaction-provides-incremental-liquidity-and – advance-energy-transition-strategy-301445929.html

SOURCE Talen Energy Corp.


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