Invest in the Forex marketing with full transparency 

by on March 24, 2009

Q: Is there a way that I can invest in the forex market by having someone else trade my account but still maintain full access to my money? With the whole Bernie Madoff thing and other situations that have happened in the past I really want to ensure that I am not being lied to about the performance of my account and would like to be able to see all the trades that are being placed and their results in real-time.

A: You will want to look for what is called a managed account traded via LPOA (Limited power of attorney). This configuration is where you setup an account with a third party broker. Once you setup and fund your account you then grant the LPOA to the trader or trading firm you want to trade your account. The good part here is the account ownership is in your name and you control the flow of deposits and withdrawals. All the trader does is trade the account. Read the rest of this entry »

 
 

Is It More Echonomical To Fix An Old Car Or Get A New Car 

by on August 7, 2006

Q: I own a 2000 Grand Caravan with a 3.3 engine, with 172,000 miles. Right now I need a new flex plate, $700. Last month I spent nearly $1000 on repairs. The transmission has not gone bad (yet). The A/C is making some noise. There is a possible axle/bearing issue developing. I can pay for a new van or I can pay to have this fixed. The question is; economically should I spend for these repairs or bite the bullet and get a new van for $18,000. I drive a lot and in 6 years would probably be over 100,000 on a new one. What to do?

A: The answer to your question is going to be in the math. I went to Kelley Blue Book and it seems your minivan is worth about $2,000.00 on trade. You could possibly get a little more if you sold it out right but it depends on what time frame you are looking at. The new minivan you are looking at would cost $18,000.00. If you do not put any other money down you are looking to finance $16,000.00.

I then went to BankRate.com auto loan calculator and put in this the loan amount of $16,000.00 plus the term of 48 months (4 years) and the interest rate of 7%, which I found by searching their site for an average car loan rate. If you search around and if you have good credit you can probably get better but with the way interest rates are going there is a better chance that interest rates on care loans will go up and not down. If you could find a low interest rate from the dealer because they want to move the van that would be your best bet. For example I went with my nephew shopping for a car and we were able to get a 2.0% interest rate on his car because they had a deal with a bank so they could move more cars. So just keep your eyes open for that.

It turns out with a $16,000.00 loan on a car at 7% for 4 years you are looking at $383.00 a month. If you could get that down to $14,000.00 that you finance then you are looking at $335.00. Now lets take into account what you have spent on your car over the last few months, which is $1,700.00. At the $383.00 a month rate you just made 4.4 payments on the new car with little to no money out of your pocket besides this month. At the $335 monthly payment you just made 5 payments on a new car.

With the math we provided you should be able to figure out how much you have spent on the minivan over the last 6 months. If you have spent more to fix the old minivan than you would have on payments for a new minivan then, mathematically, it will costs you less money to get a new minivan.

Good luck with your decision. We hope this math has helped you out.

 
 

Where do I get my credit report? 

by on January 29, 2006

Q: How do I find out about my credit report and what the report means?

A: You are allowed to get a free copy of your credit report from each of the 3 credit reporting agencies once a year. You can also visit the FTC website to find out more about credit reports and your rights. It is important to review your credit report to make sure the information on it is correct. Having incorrect information on your report can hurt you when you to go get a loan.

The downside to the free credit report is that it is missing a key feature that creditors look at when it comes to credit reports. They are missing the credit score. A credit score is one of the main factors in what interest rate you will get on your loans and credit cards.

When I started looking into credit report and my credit score I decide to use a company called myFICO and I used their Suze Orman’s FICO credit kit product which has a virtual Suze Orman walk you though your credit report telling you what you are doing wrong and what you are doing right. She also gives you pointers for increasing your score.