5 Conditions Under Which a Bankruptcy is Needed

For millions of Americans bankruptcy is unthinkable.  Maybe it is the idea of admitting defeat or some people think that it is for deadbeats who are trying to run out on their debts.  However, there are times when bankruptcy is the best option.  With that in mind, we will look at five conditions under which a bankruptcy is needed.

1. Retired with a Mountain of Debt and no Income

Bankruptcy isn’t just for businesses.  In some cases, people work their entire lives and help to provide a better future for their families only end up with a mountain of bills and no income.  According to a report from a professor at Michigan Law School, bankruptcies amongst senior citizens are amongst the fastest growing group in the country.

Granted this report was published in 2010, but the trend is clear.  Millions of Americans have worked their entire lives only to see their retirements wiped out by the dot-com and housing busts, and the Great Recession.

One plus of filing for bankruptcy as a senior citizen is that the first $1.2 million in your IRA account is protected from bankruptcy.  However, the process can be a bit tricky and you need to make sure you pick a good Chapter 11 bankruptcy attorney to help you with the process.

2. Drowning in Medical Bills

Obamacare (also known as the Affordable Care Act) was supposed to help, but as Bill Clinton recently said ‘it’s a crazy system.’  As Americans, we benefit from some of the best medical care in the world. However, it is also the most expensive.  In fact, the problem is so big that debt from medical bills is growing faster than credit card debt.  It has become so bad that more people are going into bankruptcy due to medical debt than ever before.

Even with insurance, co-pays and time lost from work can push up the cost of medical care in the U.S. For some people, filing for bankruptcy is the only option.  The key thing to remember when considering bankruptcy is to make sure most, if not all, of your procedures, have been completed.  If not, then you could end up coming out of bankruptcy with several medical bills remaining.

3. Credit Card Debt

This is probably one of the most common reasons why people get into financial trouble.  Credit card debt has become so common in the U.S. that most people don’t even have $500 in their bank account to overcome an emergency.  One of the signs you are in credit card debt is when you can no longer keep up with minimum payments.  Even worse, some people use cash advances to pay their credit cards.  This is very dangerous and never ends well.

If this sounds like you, then you need to consider bankruptcy.  Just remember that you will need to sit down, list all your credit cards and other liabilities.  In addition, make sure you have a complete understanding of your assets.  A good lawyer will help, but you need to keep good records as well.

4. Divorce

Using bankruptcy to get out of your obligations from a divorce is spurious at best, but sometimes it is necessary.  This is especially true if your former spouse is using bankruptcy and it looks like you are going to left holding the bag.  It is a nightmare situation and if this sounds like what you are going for, then you need to get professional advice.

Just remember, this is not a cut and dry situation.  Bankruptcy during or after divorce requires a lot of attention to detail as you need to make sure there is no hangover which could come back to get you after proceedings are finished.  One of the easiest ways to navigate this quandary is to file a joint bankruptcy, but this is not always an option.  Especially if the divorce is extremely bitter.  It would simplify everything and then allow you and your ex to move on with your lives.

5. Laid Off and In Debt

Over the past 30 years’ unemployment has become more common.  There is no shame in being unemployed.  Yet the challenge is that it always seems to happen at the worst possible times.  This especially true if you are deep in debt and are facing an extended period of unemployment.  First, you probably don’t have the saving to withstand six- to twelve-months of unemployment.  Second, you want to make sure what little you have is there to help you through the lean times.

You might want to consider bankruptcy if you have recently been let go and have few options for a new job anytime soon.  Here’s a tip, if you don’t meet the requirements for Chapter 7, then consider filing for Chapter 13.  If you are unemployed, the odds are that the court will simply dismiss your debts.

Three Ways a Jumbo Reverse Mortgage Can Help Boost Retirement

If you have a high-valued home in a competitive real estate market, you may assume that you are not the typical reverse mortgage borrower. In fact, the Federal Housing Administration sets a lending limit for the reverse mortgages it insures at $625,500. But there’s a specific type of reverse mortgage available that can help borrowers access their home equity beyond that limit: a “jumbo” reverse mortgage.

Even if you don’t feel you need a windfall right now, a jumbo reverse mortgage can be used as a strategic tool to boost your retirement and, in some cases, act as a safety net for the future.

Jumbo reverse mortgages are for people 62 or older who have a sufficient amount of equity in their home, but for which their home value exceeds the federal lending limit of $625,500. People who apply for jumbo reverse mortgages often use the loan as part of a comprehensive financial strategy to help them plan for retirement.

Because jumbo reverse mortgages aren’t usually used when homeowners are in dire straits, the homeowner may have more flexibility when it comes to strategizing on how the loan proceeds are used.

Here are three ways a jumbo reverse mortgage can help retirees.

To protect investments

One approach for those who are eligible for a jumbo reverse mortgage is to look at it as something you can tap into to avoid losing money if the market isn’t doing well.

According to *All Reverse Mortgage’s calculator with a property value of $2,000,000 a federally insured reverse mortgage reaches maximum available proceeds of $421,000 where a jumbo proprietary option produces an available loan of $880,000 over double the amount available under the federally insured home equity conversion mortgage program.

The downside is that the jumbo reverse mortgage only offers a single lump sum disbursement where the federally insured reverse mortgage provides more flexible payments such as an open line of credit.

*Commercial site. This was the only calculator available online which allowed for a comparison of both federally insured and jumbo programs without being required to input your personal and private information.

To manage healthcare costs

Health care costs continue to rise year over year, and even if you have a sufficient amount of cash in your various retirement accounts, one illness or accident could have the potential to derail your retirement altogether.

Most people don’t think about tapping into their home equity until it’s too late, but if you can tap into it earlier when you are healthy, you won’t be as stressed out if a financial burden relating to your health does come up. The proceeds from a reverse mortgage can be used for any purpose, and if you can make a backup plan and secure a jumbo reverse mortgage even if you don’t necessarily need it, you may be able to avoid some potential hardships.

To supplement Social Security

 Another way to boost your funds in retirement is to defer drawing on your Social Security for as long as possible. This is because for each year after you are eligible to collect Social Security and don’t collect it, the amount you can receive increases by approximately 8%. Even if you hold out on collecting Social Security for a few years after you retire, you can drastically increase your payments.

This is where a jumbo reverse mortgage could come in. If you take out a jumbo reverse mortgage and use the funds when you need them, those funds from the loan may offset the payments you could be collecting from social security benefits and leave you with a higher amount in social security benefits down the road. Many retirees have successfully used a reverse mortgage to “bridge the gap” between their working years and claiming Social Security so that they can maximize their benefits.

If you would like more info on how to strategize for retirement using a jumbo reverse mortgage, contact a reverse mortgage professional or your trusted financial adviser who can help advise on your particular .situation

Learn The Best Way To Buy A House In Adelaide

So you want to move across the globe? To figure out the best way to buy a house in Adelaide or any other part of Australia, just read through this whole post. We will outline the process of searching, making an offer, legal concerns and closing on an international property in Australia.

First of all, the prices that you see when you search online will be in the Australian dollar. You need to understand the relative value of the Australian dollar versus any currency you are working with. That will help you make your real estate decision.

Each Country’s Real Estate System Is Different

Make no assumption that whatever real estate system you are used to will be the norm in Australia. Foreigners need to have either residency or a work visa in order to buy property in Australia. That means that if you want to buy a house in Adelaide, all your paperwork needs to be on the up and up.

Buyers need to apply to the country’s Foreign Investment Review Board and are at the bureaucracy’s mercy. The review can take up to 30 days. Foreigners must use the property as their main residence while in Australia, they cannot rent any part of the property and they need to sell the property lighting fast if they leave the country or the visa runs out.

In Australia, the majority of real estate properties are sold at auction. Buyers view them during an open house, then attend an auction to bid on the property. Many buyers to not employ a real estate agency, although advocates for buyers are on the rise in Adelaide and other Australian cities.

Sellers do have a real estate agent, so they are responsible for paying the full commission, which is capped at 3% of the purchase price. Both parties pay a standard legal fee.

What Makes Adelaide So Attractive

Adelaide is the capital of South Australia, with about 1.3 million residents. It is on the southern coast of the country, with many governmental and financial institutions in the city limits. Originally, many of the suburban residential homes were built as single-story structures on quarter-acre blocks. But most of those homes have been demolished and replaced with multi-family houses and semi-detached townhouses.

What it comes down to is this: If you want to buy a house there, you will want to work legally in the country, search without an agent, win an auction and most likely buy a townhouse. From a larger perspective, make sure it is the right investment, given your currency, personal financial health and the state of the Australian economy. Individuals investing in Australian real estate is very tough, given the amount of government oversight.

The Benefits of Using the Services of Personal Loans Providers like Rescue One Financial

According to data published by Bankrate, 24 million Americans will have taken at least one personal loan by the end of 2016. Industry experts and analysts expect this number to continue growing in the near future due to a better economic environment as well as low unemployment rates. Compared to traditional loans, personal loans are beneficial in several ways. Here are the benefits of using the services of a personal loans provider such as Rescue One Financial.

Minimal or No Collateral Requirements

An article published by CNBC says personal loan lenders mostly do not require borrowers to provide collateral when applying for personal loans. This aspect makes such loans attractive to consumers who are disillusioned with the bureaucratic red tape employed by mainstream lenders such as banks. The same article also states that personal loans also appeal to millennials who are shaping up to be the most influential generation in US history.

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Affordable

Contrary to popular belief, personal loans are quite affordable because they generally offer competitive interest rates. For instance, the latest data published by the Board of Governors of the Federal Reserve System shows that the seasonally adjusted annual consumer credit rate stood at 5.75% in July 2016. This compares favorably with the fixed rate of 5.99% offered by Rescue One Financial.

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Fast Processing

Unlike traditional financial institutions, companies that offer personal loans services generally process loan applications quickly. In fact, Rescue One Financial says it can deposit funds into the accounts of borrowers immediately after reviewing their applications. This makes a personal loan the ideal financial solution if you need money for an emergency such as paying a hospital or car repair bill.

Convenience

The beauty of a personal loan is you can apply for one online from the comfort of your office or home. In comparison, most banks require loan applicants to visit their offices in person where they have to fill multiple forms and answer numerous questions. However, this does not guarantee that a loan application will be successful because each borrower is subjected to a risk assessment that may take weeks to complete. Besides this, Rescue One Financial personal loans do not require payment of cash-advance fees.

Access Substantial Amounts of Money

Traditionally, only banks could lend huge sums of money to consumers. This is no longer the case with companies such as Rescue One Financial offering personal loans ranging from $1,000 to $100,000. In fact, you can use a personal loan to make a mortgage down payment, purchase a car, or even fund business operations such as expansion. As such, Rescue One Financial personal loan solutions are useful to the average consumer as well as businesses.

Fixed Rate

Rescue One Financial offers a fixed personal loan rate, which means the underlying debt is not affected by interest rate volatility or economic downturns. This also makes it easier for borrowers to plan and budget their finances more accurately because the monthly payments do not change throughout the lifetime of loan.

No Early Payoff Penalties

If you borrow a personal loan from Rescue One Financial, you do not have to worry about payoff penalties. At this point, it is worth noting that such penalties or variants have tarnished the reputation of the payday loan industry. In fact, most US states have enacted laws governing the operation of payday loan lenders. With this in mind, take note Rescue One Financial does not engage in such financial malpractices because its aim is to enhance the financial freedom of its clients, not impoverish them.

Why You Should Choose Rescue One Financial

Rescue One Financial is a personal loans services provider based in Orange County, California. The company has also been voted the top place to work in Orange County because it treats its staff well and offers its clients quality financial services.

Conclusion

Rescue One Financial is one of the leading personal loan lenders in Orange County, California. The company offers its clients competitively priced personal loan products ranging from $1,000 to $100,000. What’s more, clients do not require collateral to get a loan and do not have to worry about early payoff penalties.

XTrade Europe’s Market Predictions after the 2016 US Elections

A Look at History: The Election Cycle

Many economic and political analysts, including financial experts from XTrade Europe all agree that the outcome of the 2016 United States Presidential elections will have a lot of impact on a global and domestic scale.

Looking at historical data, it actually does not matter in the past whether a Republic or Democrat occupies the White House.  It does not significantly impact the US dollar’s stand on the Foreign Currency markets and it does not have a significant impact on the US equity markets.  If you are a trader who relies heavily on historical data, this is good news for you. In fact, various XTrade Europe researchers point out that election years actually coincided with favorable markets.  Many experts say that based on the events that happened in past presidential years; the effects on the market had nothing to do with who wins but the economic backdrop at that particular point in time.

However, there is also strong data that suggests that markets are significantly stronger when there is continuity.  This means that in years when the incumbent is sitting for his second term, the market averages increase.  Investors and traders lean more towards continuity if the actual economic and trading policy of the incumbent is favorable to the market.

XTrade Europe’s Market Predictions

Since this is not a continuity year, XTrade Europe financial analysts believe that there is still no guarantee on what will happen after the 2016 presidential elections.

When it comes to the stock market, certain stocks will not be affected with either with a Trump or Clinton victory.  As much as there are stocks that will not be affected, there are definitely investments that could be negatively affected.  For instance, if Trump wins, he will be opening trade agreements for American workers, and impose tariffs on goods from China and Mexico. If this is the case, many investors will veer away from multinational corporations, especially from countries where huge tariffs will be imposed upon under the Trump administration.

When it comes to the value of the U.S. dollar, technically it is not the new president that will affect its value.  However, when the Republican Trump wins, it means a change in party and many changes in trading policy, which may affect exports.  Trump is on the record as saying that he wants to change many trading policies. This might mean fluctuations in the US dollar, but the long-term effects could be favorable.

No matter what happens to world financial markets, there are still strong sectors that traders should consider.  These sectors will certainly grow stronger no matter what the political state is.  According to XTrade Europe, digital products, cloud technologies, and cyber-security will continue to gain.  It is wise to invest in companies within these sectors.  Another bright spot in the future is the big percentage of the retired and ailing baby boom generation spending trillions of dollars on health care, leisure, and hospitality.  These are some things that traders can consider when they decide where to put their money when they are trading online.

 

What You Need to Know About Home Improvement Loans

Remodeling your home is an American tradition. Blowing out that back wall to build the kitchen of your dreams, no problem. Thinking of building that man cave?Go for it.In fact, the challenge isn’t coming up with ideas on how to improve your house.It is figuring out how to pay for it.With that in mind, let’s review what you need to know about home improvement loans.

Bank or Broker?

For years, banks have been the go-to option for mortgages. Isn’t this what they are supposed to do? Yes and no.Actually, if you haven’t reached out to a mortgage broker, you might want to give it a shot.While the mortgage officer at your local bank can only choose from the loans and programs offered by their bank, a mortgage broker can choose from multiple lenders.In this way, they can help you find the best possible loan to meet your needs at the best possible rate. Maybe it is a home equity line, even a Federal Housing Administration (FHA) loan.

Regardless of whether you choose a bank or a broker for your loan, there are a couple things you need to know about your home improvement loan before you get started.Such as, determining how much money do you need and identifying the best lenders based on your current situation.

How Much Money Do I Need?

This starts with putting together a detailed estimate on the home improvement work you want to do.If you are hiring a contractor, then they will provide you with this information.If you are doing the work yourself, then you will need to think about the materials you will need to complete your dream project.Once you have your home improvement budget, you will want to add 15% to 20% for unexpected surprises.

Once you know how much you will need then you need to figure out how you will pay for it.You see a home improvement loan is based on the current equity you have in your house today, not the home’s future value.Figuring out current equity is rather simple.Look at your monthly mortgage statement and it will tell you the current balance on your mortgage.Then take a look at similar homes in your neighborhood which sold in the last six months.This will give you a rough idea of how much your home would be worth today.

Granted, the final estimate of your home’s value will be calculated by a Certified General Appraiser.But their report will cost money, so for the first step you can check by yourself or ask your local real estate agent for a quick estimate.

The difference between how much you owe on your mortgage and the market value of your home is the equity you have in have in your home.Now keep in mind that most lenders will not lend up to 100% of a home’s value.But if the amount of your current mortgage and the cost of your home improvement work out to be less than 85% of your home’s value, then you are in a good position.

One you have this information you will want to check your credit score. All three credit bureaus will let you check your credit score for a minor fee and this is a good way to know where you stand before you approach a lender. Did you know, every time a lender checks your credit it ends up on your credit report?As such, check your score first and provide a lender with the information during the prequalification phase.This way they will only pull your credit one time.

What’s the Best Deal for Me?

Now it is time to approach a lender to find our which programs offer the best home improvement loan rates. Don’t forget to ask about FHA home improvement loans and Veterans Administration (VA) loans.These home improvement loans are guaranteed by the government and depending of the specifics of your loan, they might offer better rates than traditional bank loans.

There are a few ways to get the best rate for your home improvement project.The first is to refinance your existing mortgage and take out some extra equity to pay for the project.While this is a good idea for some, it depends on the specifics of your first mortgage.

Another option is a home equity loan.These work just like a mortgage, except you don’t need to pay the closing costs associated with a refinance. The length of a home equity loan usually runs 15 to 30 years.But the rates tend to be higher than mortgages.

Then there is the home equity line of credit.Imagine this as a checking account based on the value of your house.While there are no closing costs, the interest rates are usually variable and in most cases, you need to repay the line within 8 to 10 years.The advantage of a line is that it allows you reuse the funds available on the line one it is paid off.This can be a big plus if you are planning to do several home improvement projects.

5 New Baby Cloth Shopping Tips for Parents

Are you expecting a new member in your family? You surely will be very excited. As blessing is knocking at your door, you want to decorate every corner of baby room in a special manner. Parent’s start shopping for baby nursery 3 months before the birth date and it is quite common. As many parents are excited, so sometime they shop in a random manner. This random shopping costs them a little more. This is indeed not a right approach. You should follow some money saving tips which help you do baby clothes shopping in a right way. Let’s find out what these tips are.

1.Buy a Large Size Outfit

Many times parents like to buy exact fit cloth item for their babies. However, this is a mistake they do. You don’t need to do this. Babies grow faster. So, you should buy a bit large size clothes instead of exact fit one. When you have a large size cloth then your baby can wear them for an extended time period. You don’t need to buy another outfit in second month.

2.Consider Weather

Sometimes parent buy some outfit, which are indeed great, but they are not suitable for a specific weather. So, it is good to predict weather before time and then to select an outfit which your baby can wear comfortable in weather situation. For example, if you buy warm clothes when summer is approaching fast then this outfit might not be suitable for your baby in summer time. So, you need to think in a wise manner.

3.Think About Saving on Baby Shopping

Parents like to buy good quality items from top stores time to time. Every parent desire to offer the best outfit to their babies. It is a natural desire and now you can easily meet this up simply by using discount and coupons. You are able to find discount coupons for top online baby stores such as Diapers, Giggle, etc. Use coupon codes on stores and save as much as you want.

4.Grab Easy and Simple Outfit

One mistake many parents make with baby cloth shopping is that they buy very sophisticated clothes, which are hard to put on. You are able to find a lot of easy to put on baby clothes at amazon.You don’t have to repeat the same mistake. When baby is small, you should buy clothes with buttons, so you can open button and put on clothes easily. Neck size of each cloth must be large. When neck is thin or tight then it is hard for parents to put on clothes easily and your baby also feels discomfort. You surely don’t want this.

5.Buy Enough Outfit

You must have more than three outfits handy all the time. Sometimes, baby throw food or other items on his cloth and you have to change quickly. You need to keep ready a clean set of clothes all the time for emergency. If money is an issue then you can cheap clothes packs.

Follow these tips and buy the best baby cloth at a low price.