Buying A Car

Q: What is the process of obtaining a bank loan? A: The first thing you need to do in order to get a bank loan is apply for one. The second step is to know how much money your going to need. Third step is your going to have know for sure if you can pay off your loan and if your able to, you have set up a payment plan to pay off that loan. Fourth step your going to have to tell the bank what your going to use the money for and how you plan on paying them back.

Q: Why are down payments so important? A: To begin with having a large down payment makes you less dependent on financing, and makes you a stronger buyer. Second the more you give on a down payment the better the loan terms are going to be. Third having a large cash position commands respect, it lets the dealer know that you are in control of your finances.


Q: How does the time frame of the loan affect you? A:When you buy a car and you buy it with a loan, you may pay it over a five or three year period. Usually if you get a three year plan to pay it off it will be a less interest rate and make less payments. If you chose to pay it over a five year period you interest rate while be a lot higher and you will be paying it for a longer period of time.



Q: How does value change over time for this purchase? A: The value changes over time on a car because newer releases on cars come out, and also come with more special features. But they may also go up in value it you have your car under low miles and keep it maintained, this will help you get more value for you car.


Q: What are three things every person should know to buy this item. A: The first thing you should know before you buy a car is to know what type of car you want, do you want a cheap car fill up at the pump or do u want a truck and fill it up with a lot more? Second you have to set a limit to how much you are going to spend to buy a car. Third you have to consider insurance for your car and also take into consideration how much licenses plates are going to cost.

"Car Buying Tips" article

" Buying A New Car" Video
 

Retirement

What's the difference between IRA and 401(K)?

An IRA is a savings plan that offers tax advantages to an individual to set aside money for retirement where as a 401(K) is when the employer allows an employee to have a certain amount taking from their paycheck and put into an account and not pay income tax on it until the money is withdrawn during retirement.

What is Social Security?
Social security is when the U.S. government helps individuals by providing money, mainly to those who are retired and the money will help them live a "normal" retired life. Sometimes it is refereed to old-age assistance.

Why is it a big issue now?

 It is a big issue now because the economy is rising and everything is costing more. People are scarred that they won't have enough money to survive on.

How does retirement relate to personal savings?

 Retirement relates to person savings because you have to save up your money in order to have a retirement fund. If you don't save any money then you won't have any money to use in the future.

Why is it important to start looking at retirement funds now, as to ten years from now?

It is important to save some money for your retirement now and so it will start to be building up where as if you start in ten years you won't have as much to live on. Once you have a stable or steady paycheck it is a good idea to start a way to save up for your retirement.

"Steps to retirement" ABC News Artictle Click Here

CNN Video of Retirement Click Here

Credit Cards

Q: What are some of the charges on credit cards? A: Some of the most common fees credit cards might charge you for are reward redemption fees, foreign transaction fees, reward recovery fees, activity fees, payment protection fees, and paper statement fees.

Q: What are the different interest rates, APR, late fees, and over charge on credit cards? A: Depending on the credit card you apply for all of the interest rates, APR, late fees, and over charges vary from credit card to credit card. All you have to do is read them carefully before you apply to one and compare and contrast all your different options and chose the best one that best fits your needs and won't hurt you. 

Q: How do you apply for a credit card? A: When you apply for a credit card you want to pick the best one that fits your budget. once you have chosen the one you want you have to apply to it. Follow all the steps into filling out the application. Make sure you understand the agreements, also make sure to make a copy for yourself for future references. Once done mail back to the credit card company and wait for approval.

Q: What are the pros and cons of owning a credit card? Some of the cons of owning a credit card are, it cost more if unpaid balance is not paid monthly, ties up future income, tempts one to overspend, reduces comparison shopping if you only shop in one store extending credit, decreases future buying powers. There are also some pros to a credit card like earlier consumption, use of goods while paying for them, convenience, in case of emergencies, establishes good credit history, good source of identification.

Q: What are three tips every person should know about credit cards? Some good tips for your first credit card would be to not go over the limit, set a budget, pay on time, and always pay in full. 
" How To Chose The Best Credit Card For You" article

"Campus Credit Cards" Video

   

Personal Budget

What is the difference between fixed and flexible expenses?

A fixed expenses is something in your budget that you have to pay no matter what like a car payment; a flexible expenses is not as defined and it can or will change over a period of time. 

What is the difference between compound and simple interest on savings account?

Simple Interest is a standard interest that you will get on your account with the money that is already in there. As a compound interest on an account you will gain interest on the interest.

What is the importance of savings?

Some of the importance of savings will help you be prepared for the future and in case of an emergency. It is important to have a goal set up so you will have some money to fall back on if you need it.

Is it okay to spend money now?

It is okay to spend some money now because everyone needs some fun. It is also important to save some money to be able to have something to fall back on kind of like a safety net.

Video Link about Personal Budgeting Click Here

New's Story Link Click Here