Month: March 2016

Should You Get a Credit Card or Not?

credit card

You probably heard about the traps of the credit card. Many people who got credit cards and abused its power sank deep in financial quagmire. On the other hand, there are some who are just barely hanging on. You may consider credit card as a reward for your years of hard work—not something that can satisfy your cravings. Now, it all boils down to one question: should you get a credit card today or not?


How Financially Resilient Are You?

Financial resilience is a concept that you should keep in mind. It’s not about having a large savings account or a thick wallet. Rather, financial resilience is about proper financial money management. Are you the type of person that splurges often, instead of putting small amount in monthly savings? If this is the case, then you need serious assessment. Having a credit card is a responsibility. You don’t just get that plastic card and swipe it everywhere. While it’s considered a ‘reward,’ you can also think of credit card as a controlled privilege.


Do You Keep Track of Your Expenses?

 Some people are always keen on tracking all the cash that comes in and gets out of their pockets. Then some people just don’t care at all. Which type of person are you? Before applying for a credit card, you should consider this. Financial monitoring is a skill that anyone should have. If you can monitor your finances, then you’re almost halfway done in the battle. You can start this habit by getting a small notebook or organizer. Every day, jot down all of your expenses. Once you see that you’re spending on unnecessary things, and then you can make adjustments.


Discipline is a Must

 Without discipline, the credit card will gobble you whole. Before you know it, your mindless swipes over favorite items have accrued debts in your account. This is the main reason why many credit card holders owe thousands of dollars to their banks. Before buying anything with your credit card, ask yourself if you truly need the item.


On a general note, it’s safer to use pocket money than credit card. Think of your card as an emergency fund that can be used for delicate situations.

Reality Check – Are Cooperative Loans Worth Your Time?

consumer reviews

Cooperatives have always been helping towns and communities for the past ten or twenty years—perhaps even more. These small organizations usually comprise of the members of towns, districts, and nearby locales. Typically, cooperatives aim to improve the lives of their members and they are also trying their best to lower down the prices of common goods. Now, cooperatives are even issuing different kinds of loans.


If you’re eager to apply for a cooperative-issued loan, you need to determine first if they are really worth your time.


Easier Process
Compared to banks and other financial institutions, cooperatives probably have easier application processes. Some cooperatives only require your identification and income statement. Others will require that you live within their operational district. This quick handling time can be an advantage for you, especially if you need the money as soon as possible.


Release of Loan 

While the application process is easier, some cooperatives have issues regarding the time of their loan release. Usually, it will take one or two weeks before your money is released through a check. One of the reasons for this longer time period is that cooperatives don’t have large pools of money. Its members and administrators need to do several activities to find the ample money and release your loan. Also, if the cooperative has more than one hundred members, then expect that your loan will be released within a span of weeks.


Security Issues 

Cooperatives are strictly regulated nowadays since there were some fraud groups that stole the financial information of loan borrowers. Despite such regulation, you need to be responsible enough in approaching the cooperative. To keep things, you can do your own research. Gather the top five reputable cooperatives near your area and makes sure that you consider the opinions and reviews of other people as well. This will give you an objective stance in the research.

Cooperatives can be worth your time, but you need a deeper search. You can put a cooperative as an alternative loan provider. Banks should top your list because they have concrete processes and your loan application might be approved quickly.