Tag Archives: finance

Wanted: Access to Personal Credit Reports

Debt, , , ,

“Why is it that an individual cannot obtain information on his credit record in Jamaica? If you try to get the details from a company that carries out credit checks, you are informed that access to the information is only available to financial institutions such as banks, credit unions and mortgage houses.

“Therefore you could be making plans for your financial future, but there may be some little thing in your past that you might be unaware of, or which might be wrong, and you don’t have the ability to correct this information.”

Jamaicans are becoming increasingly credit happy. With buying sprees funded by payday loans, credit cards, and hire purchase plans, we really can get it if we really want it. However, as our credit appetite grows, lenders are becoming more cautious about the extra business.

Many consumers may not be aware that when they apply for a loan or credit card, their borrowing history is placed under a microscope. Past details about what they borrowed, and how well they paid it back may have been captured on a database by a credit investigating company. This information can be used to determine if they are successful in getting new loans or not. Continue reading Wanted: Access to Personal Credit Reports →

The Secret of Money Revealed

Money & Your Mind, , ,

Research has shown that only about one per cent of the population achieves exceptional wealth. Is this because the other 99 per cent are missing some crucial information, such as an ancient guidebook on wealth creation? Is there a hidden secret to making money?

After years of hearing the hype about The Secret, I finally read Rhonda Byrne’s book based on this best selling DVD about having, being and doing anything you want in life. Most of the material was based on concepts that had been expressed before by many great thinkers and achievers throughout the centuries. In fact, I had already read and heard ‘the secret’ in several different forms.

What exactly is this ‘secret’? What is this great mystery of achievement in life?

The secret is the reality that everything that is happening to you right now, and everything that has taken place in your life before, is a direct result of what you are thinking now and have thought in the past.

Continue reading The Secret of Money Revealed →

Fun ways to teach kids about money

Kids & Money, , ,

May is observed as child’s month, so I decided to search the Internet for interesting and fun ways to teach our children about money and personal finance. Equipping our kids to handle money wisely is one of the most important skills we can give them.

It is my dream that one day, there will be a financial literacy curriculum in all schools, so that our children will be fully prepared to deal with managing, multiplying and maintaining their money as adults.

Let’s look at some websites that offer stimulating money lessons and products: Continue reading Fun ways to teach kids about money →

How to manage tough money problems

Money & Your Mind, , ,

“I’m desperate and I don’t know where to turn. I’m over my head in debt and my salary isn’t enough to pay for my basic needs much less pay down my loans. Every day prices increase, but my money only stands still. No matter what I try, I can’t seem to dig out of my financial mess; sometimes I feel like just giving up. Help!”

Everywhere you turn, people are complaining about their money problems. Food prices are skyrocketing, consumer debt is spiraling, utility costs are rising; everything is going up except our incomes! Many people are definitely getting anxious about money or their lack of it.

As a financial advisor, one of my biggest challenges is how to help someone with a tough financial problem that has no obvious solutions. Some money problems can’t be fixed with the regular smart advice of how to earn more and spend less. In reality, some people have money troubles that only get more depressing as you try to find a workable way forward.

So what can you do if you’re in the middle of a really tough financial mess? Give up? Not an option! Continue reading How to manage tough money problems →

Mutual funds have benefits, but be careful of the fees!

Investing, , ,

Jamaicans are becoming more conscious of the need to make their money work for them. Gone are the days when most people were satisfied with the security of a bank account because it was all they knew. Whether they’re rich, of modest means, or barely making ends meet, people are looking for investment opportunities that can bring more profitable returns, and help them fulfill their financial dreams.

While the lure of high-yielding ‘alternative’ options still abounds, investors are warming to the concept of mutual funds as a viable method of investing. Many financial institutions have had to scramble to find products that could compete with the earning potential of the alternatives, and are now offering overseas-based mutual funds. These also offer the opportunity to save in foreign currencies such as Canadian and United States dollars.

A mutual fund is an investment vehicle that pools together the investors’ funds and uses the money to purchase assets such as stocks, bonds and money market instruments. The mutual fund company has specific objectives and restrictions that determine how the funds can be invested. Continue reading Mutual funds have benefits, but be careful of the fees! →

Take Advantage of the Tax Amnesty

Business Success, , , ,

“If you are enjoying Jamaica’s benefits, you must pay your taxes,” – Don Wehby, minister without portfolio in the Ministry of Finance

This impassioned declaration came from Minister Wehby as he spoke recently at a First Global Bank corporate breakfast, where he shared highlights of the 2008/09 Budget Debate.

His comments came against the background that some 40 per cent of Jamaica’s productive activity was taking place in the grey or underground economy. The income of these persons is not reported, so although they are benefiting from the amenities of the country, they contribute little or nothing to the tax coffer.

Wehby’s message was clear: the time had come for Jamaicans to change their attitudes about paying taxes, and the government was prepared to use both persuasive and punitive methods to ensure that delinquent taxpayers toe the line. Continue reading Take Advantage of the Tax Amnesty →

Four things that can destroy your business dream

Business Success, , , ,

“I’m struggling to find the right business venture that can guarantee me success. I tried running my own operation in two different industries, but I had to close down the businesses both times because they weren’t viable and I was losing money. I know it’s possible to make money in business, so what am I doing wrong?”

Many businesses suffer from varied problems that can undermine their viability. Lack of enough low-cost working capital, high production costs, competitive pressures, – the list goes on. When you think of all the challenges, it’s a miracle that so many people desire to be their own bosses!

Sometimes the underlying cause of issues that business owners face has less to do with a difficult economic environment, and more to do with the entrepreneurs’ own attitudes and practices. It’s easy to recognize the external issues contributing to business failure, but it’s harder to identify the negative habits that can destroy a business dream. Continue reading Four things that can destroy your business dream →

Passing on Your Money

Retirement & Estate Planning, , , ,

“Don’t cling to fame. You’re just borrowing it. It’s like money. You’re going to die, and somebody else is going to get it.” – Sonny Bono

Last week we looked at the harsh reality that regardless of our current financial position, one day we will all pass on and leave our earthly possessions behind. Whether the transition of our assets is smooth or chaotic will depend on what plans we have put in place for them while we’re alive.

Although we may not like to think about it, estate planning is an important part of managing our finances. It involves making provisions to administer and transfer our money and property when we have died, so that our wealth is preserved and passed on according to our wishes. Continue reading Passing on Your Money →

Till Death Do Us Part

Retirement & Estate Planning, , , ,

“…to have and to hold from this day forward…to love and to cherish, till death do us part…” – excerpt from the Book of Common Prayer

This quotation is taken from the rites for the celebration and blessing of a marriage ceremony. Although the words herald the official union between a man and woman, in some ways they also speak to the relationship that we may have with our money.

For some people the acquisition of money is a passionate pursuit. Once it has been attained, their wealth is paraded like a beautiful trophy wife. Their possessions are held very close to their hearts, and this love affair lasts throughout their lives. Unfortunately this wedded bliss is only for a time, as in death they must part ways with their money.

The reality is whether we have lots of money or very little, whether we hoard money or pass it on charitably, death will come to take it away from us all. While we may physically leave this earth, our wealth usually remains behind, and it makes sense to make proper arrangements to distribute it when we are gone. Continue reading Till Death Do Us Part →

Buying a home? Don’t buy more than you can afford!

Home Buying, , , ,

Owning a home is one of the biggest dreams for most persons. They envision the time when they can get rid of their landlords, make their own home décor choices, and stop worrying about home security.

However, owning a home can become more like a nightmare if you bite off more home than you can chew. It’s important to match your home ownership plans with what you can truly afford.

The mortgage meltdown in the United States has had far-reaching implications on the global financial marketplace. While Americans face thousands of devastating foreclosures and some stunning bank crashes, the rest of the world is reeling from the effects of the reduction in credit availability and the fall in the American consumers’ spending power. Continue reading Buying a home? Don’t buy more than you can afford! →