LoanAway Blog

If you are not paying yourself first, are you financially stable? Financial experts repeat themselves quite often on the first rule of personal finance. Pay yourself first. Depending on your budget you should be paying yourself 5-20% of your net income . What to do with all of that money? Anything you want. Most create an emergency fund , then vacation fund, investment fund, and finally a retirement fund. This may seem overwhelming, but it is quite simple after the first several months. Wealth is not acquired quickly, instead, it is done slowly, yet surely. These are just some of the laws of money. The article sourced was written by Tina Santiago-Rodriguez is included in this blog post for your convenience. Family and finance: Financial experts give their tips for the New Year Did you make any resolutions for this New Year? Or set any goals? It’s not too late to do so even if the first month of the year is about to end. This applies especially to your f...

Are you wealthy? No? Well, why not? If you have a cliche answer like “Personal finance is confusing” or “I have too much debt”. Those excuses that everyone faces. No one is expecting to be a millionaire before 30, however, the average 30-year-old has an average net worth of $2,093 according to The College Investor. This may be caused by the cost of post-secondary , the price of Transportation, and the higher cost of housing.  The question you have been asking is probably “I’m tired of making excuses, what can I do?” The best options you have is to analyze the excuses and find solutions that best suits your situation.  Business Insiders have found the top 5 excuses that are holding you back from increasing your wealth. We, the employees at Loan Away , has cited the source article in our blog post for your convenience.   5 all-too-common excuses that will keep you from building wealth One of the most important numbers you should calculate and track consistent...

The short answer is credit score. Most commercial banks do not want to take high-risk chances, however, just because your credit score isn’t perfect, does this make you high-risk? Yes and no. Yes because regardless of what happened in the past, it reflects on your current credit score. If your credit score is 600, but you haven’t missed a payment in over 2 years, by the bank’s standards, you are still high-risk. Even though your most recent years are flawless, your credit score determines everything for a bank. This is why Loan Away is a successful company . We understand that you have made mistakes in the past and are seeking a loan, however, the bank will say no based on credit score. Loan Away has tens of factors we consider when reviewing an applicant. This has led the company to have the highest acceptance rate in Canada ! The reason why most people get rejected for a personal loan Whether you’re looking to do home improvements, tackle medical costs, or consolidate d...

The answer depends on which Canadian you ask. Most Canadians will probably say yes, it is good that the Canadian dollars is worth a similar amount to America. Canadians have been taking out loans to accommodate the currency difference . If the value is similar, prices for consumer goods may be equal to the same as Americans. The other Canadians that think it is bad is because they are likely selling goods to Americans. Think about it, if you sell a product to an American for $40 USD instead of selling it for $40 CAD in Canada, you will make more money. That $40 USD will be around $50 CAD which is great if the USD stays strong. Buyers or consumers want the currencies to be similar while the sellers want the currencies to stay different. Loan Away believes that the Canadian economy would benefit more if the currencies had similar value. Which one do you prefer?   Why the US dollar has been tumbling In the shadow of the stock market’s meteoric rise this year, the...

Is there a secret to being a millionaire? Nope. There is a formula , however, it is unknown to most. It’s quite simple to follow once you focus on your goal. Ready? Save 10-15% of your net income for retirement. That’s it. Nothing groundbreaking, just a simple formula. Now, most will not become a millionaire because of two factors. One, the example is based on over 40 years of saving 10-15% of your income for retirement. Meaning if you are 40 years old and have little to no saving for retirement, it is very unlikely you’ll retire as a millionaire . The second factor is your income. Someone with a higher income will have more money for retirement than someone with a lower income if they both saved the exact same percentage over the same amount of years. The average American nets about $40,000. 15% of that is $6,000. If you invested $6,000 from 20 years old to 60, at an average interest rate of 7%, you will have 1.3 million dollars for your retirement.   Wealth mana...

When attempting a credit repair to make your credit right once more, it is imperative that you present a solution to all those that you owe money to, and don’t deviate from anything you commit to once it is in place. You need to make a commitment to changing your spending habits. Only buy what you absolutely need. If you had to buy something, ask yourself whether every purchase is both affordable and necessary, and only buy. You must continue to pay your credit card until the balance in a month is lower than 50% of the credit limit. When your debt is over 50%, credit ratings usually go down. With that said, try to spread out the debt that you have or try paying it off. Try and maintain good credit.  You can receive a better interest rate if you have excellent credit. This means you won’t have to pay too much on your credit cards.   The interest rate on a credit card can add up to your original loan which can become quite substantial in the end. Another thing that will ...

The article by CNBC explains how much your net worth needs to be to be financially comfortable and how much you will need to be wealthy. The source of this information is from Charles Schwab report “more than 50 times greater than the actual median net worth of U.S. households”. The report is interesting because it goes into details for the major cities that Americans live. The report also has a poll of 1,000 Americans were asked what does wealth mean to them. 27% say wealth means the amount of money in your saving account, 24% say experiences, 22% affording consumer goods, 19% say peace of mind and 12% say good relationships. Wealth means different things to everyone . At Loan Away, the majority of us concluded that peace of mind also known as financial independence is what wealth means. Knowing that you have enough money to live comfortably for years to come is true wealth. Here’s how much money Americans think you need to be wealthy in 10 major US cities When it come...

Looking to build a strong credit history? Great. We are explaining just how to do that. It is not simple by no means, but if it was simple, everyone would have done it. Loan Away has attached a great guide by Forbes as a reference. Fobes was used because they asked 10 members of their Financial council on the subject. They all provided unique and useful advice that may just help young adults build a strong credit record .  This is important because when you need to make a significant purchase like a home or a car, the better your credit score, the lower the interest will be. The lower the interest, the more money you will save over the years. With over 10 suggestions, we can ensure you that you save money in the near future with these tips. Ten Ways Young Can People Build A Strong Credit Record Building a strong credit history is the cornerstone of financial freedom and spending power. For young people, it can be difficult to establish a strong credit score out of the...

Should or should you not? Well, this depends on several factors like if you have children, do you pay rent or a mortgage, debt interest rate , and more. We are using the example below from two cents Lifehackers. The question is “I have $2000 credit card debt at 6.9% and $4000 in savings. Should I just pay off my credit card debt in full, or continue to make payments every month and build up my savings account more? I own a home and am worried about having extra cash on hand in case something breaks.” What would you do? The experts have made their suggestion and Canadians have left their opinion too. Loan Away will also share our opinion on what we suggest. We have attached the entire article. Should You Pay Off Your Credit Card Debt With Your Emergency Savings? You’ve got questions, we’ve got answers. Each Monday we’ll tackle one of your pressing personal finance questions by asking a handful of money experts for their advice. This is what individual experts have to say ge...

For the past several years, credit cards needed a PIN to be entered to complete a transaction. Recently, credit cards have introduced “tap”, which allows consumers to complete small transactions which a need of using your PIN. At first, this seems revolutionary to some and frightening to others. If your credit is stolen, anyone can use the tap function to make a transaction. The credit cards are aware of this issue and have been working diligently to solve this issue. Today, finance yahoo have discovered that Visa is working on a solution to this exact problem. Visa is beta testing Biometric credit cards . Basically, instead of using a pin, the credit card will use fingerprint recognition to verify the credit user. This is a similar technology found in smartphones. Is this a more secure and faster method of making transactions with a credit card? Perhaps. The entire Yahoo Finance article is attached below. No more PINs: Visa testing biometric credit cards People ar...