Archive for October 2018

The Multifaceted Aspects of Your Financial History: 7 Ways Bad Credit Can Affect the Quality of Your Life

Bad credit

Bad credit

In the beginning, one may believe that their credit score isn?t that important. As time goes on, however, it becomes apparent that their irresponsibility with their credit has some consequences. But before your credit gets to a point where it may take months to repair, it?s important to know the risks at hand if you aren?t mindful of your financial choices.

Here are seven consequences of having bad credit, and thus, why you should avoid letting your credit get out of hand:

  1. Decreases your chances of renting a home or apartment

While there are different reasons for having low credit, having a bad credit score can greatly affect your chances of getting approved for a rental home or apartment – and the reason for your bad credit in the eyes of lenders doesn?t matter. After all, your financial responsibility is primarily indicated by your credit score.

There are, however, homes and apartments you can rent from lenders that approve bad credit scores or don?t even check your credit at all. As expected, these are typically homes and apartments that have lower rental costs, and in turn, often have little property and/or are in dangerous, less luxurious areas of town.

  1. Makes it harder to get a job

While not all employers for every job will require that you have your credit score checked prior to getting hired, some employers, particularly for positions in finance or in upper management, will conduct a credit check before even considering hiring you. With bad credit, your flawless resume may not be looking too impressive anymore.

To an employer, a prospective employee having good credit tells them that they may be less likely to be involved in fraud or theft associated with the company. Unfortunately, until you raise your credit score, there?s likely nothing you can do or say to prove to a future employer that you are financially trustworthy.

  1. Causes more loan applications to be denied

It can be significantly more difficult to get approved for a loan when you have bad credit. However, it is still possible to get a loan if you have bad credit, but you probably won?t like the options you have at hand as it may mean having to borrow from risky lenders or only getting to borrow small amounts of cash at a time.

From, you can learn more about getting a loan before applying. That way, you can see if you meet the qualifications to obtain such a loan and if the loan would be a good match for you in general. Knowing if you qualify before submitting an application is important as the more you submit, the lower your credit will get as credit checks affect your score.

  1. Results in utility companies charging you security deposits for services

Utility companies will also check your credit. This includes phone, electricity, gas, water, cable, Internet, and other basic utilities your home may have. If you have a bad credit score, these companies may charge you security deposits upfront before you can even receive service, regardless of whether or not you?ve paid past utility bills on time.

The worst part of having to pay security deposits for having utility services run in your name is the fact that utilities are essentially necessary. That said, security deposits won?t be something you can avoid unless you raise your credit score to avoid these deposits to begin with.

  1. Makes your insurance premiums higher

Unfortunately for those with bad credit, insurance companies will also check your credit score. To weed away individuals with bad credit and to protect themselves from those who may not be able to pay their insurance premiums on time, insurance companies will often charge higher premiums.

Insurance companies claim that those with bad credit file more claims than those with good credit, even though this isn?t true in all cases. Even if you haven?t filed many claims yourself, in insurance companies? eyes, your bad credit score says it all. That said, it?s up to you to either improve your credit score or to be content with paying more expensive premium rates.

  1. Increases your loan interest rates

If you?re lucky enough to get approved for a loan, you?re still going to have to face the consequences. Lenders, because you will be deemed a risky borrower, are more than likely going to charge you higher interest rates. So, in the long-run, you?re going to be paying your lender back more money than you would if you had better credit.

If you?re hoping to apply for a loan soon but don?t wish to pay higher interest rates, improving your credit now is important. For more information on how to improve your bad credit score, check out

  1. Lowers your chances of getting a phone contract

Yes, even phone companies will check your credit, and guess what? If you have bad credit, you might just get your phone contract denied altogether if your bad credit score proves to them that you won?t be responsible for paying your phone bill on time.

Meanwhile, you can get a prepaid phone, a monthly contract, or phone service from a company that doesn?t do credit checks. On the downside, these contracts tend to be more expensive and may provide unreliable service when compared to a traditional contract. Regardless, there are definitely ways to get a phone contract with poor credit but not without consequences.


Not everyone is a finance expert, but the consequences of having bad credit is important to know. In turn of this knowledge, one will be more likely to be careful with their spending habits and their ability to keep up with the bills. Remember that your credit score is seen as a first impression of your financial responsibility to lenders, landlords, employers, and others.

Even if your credit isn?t that bad right now, working to improve your score can boost your chances of getting further in life quicker and dealing with less trouble along the way.

Getting Things Done Online vs Offline

Online vs offline

Online vs offline

Change is about the only constant we can expect in our dynamic world. Decades ago, seemingly sci-fi concepts like videoconferencing communication in real-time, flying cars, hover boards, private space travel, digital currency, online payments, and search engines were the musings of wacky scientists, fiction writers, and filmmakers. Today, these oddities are driving global enterprise and have effectively become the new normal.

Tremendous Strides in Human Evolution

In the days of old, one might be forgiven for preferring face-to-face communication over online communication channels. Indeed, it is argued, it is the human touch that makes us what we are as a species. We now know better: it is possible to draw from the very best of our ingenuity, technology, and interpersonal communications online and offline. Our evolution is thousands of years in the making, and in the last 100 years alone, we have taken dramatic strides in our own development. From light bulbs to locomotives, automobiles to self-driving vehicles, from telephones to videoconferencing, email and cloud-based technology ? we are truly a species in flux.

With such dramatic change comes many hard questions. We are continually debating the effectiveness of getting things done online verses offline. Truth be told, there is far greater efficacy in online financial transactions processing than there could possibly be with offline processing. Cost, convenience, and comfort are but a few of the many reasons why we choose to take our business to the World Wide Web. Tremendous strides in securing online data coupled with rapid 3G, 4G, and Wi-Fi connectivity have revolutionized the way humans interact with one another and the world. Rather than perceiving online as better than offline or vice versa, these opposing paradigms are often juxtaposed, interconnected, and interdependent.

It Comes down to Personal Preference

personal prefrence

Multiple examples abound, such as online dating where online profiles facilitate meeting a person face-to-face so that normal human interactions can take place. Meetup groups are another classic example of online interactions allowing for greater efficiency so that the perfect groups can meet up in person. Of course, there are a myriad of examples supporting one or the other channel. Online banking was expressly designed to facilitate rapid transactions processing without waiting in line for inordinate periods of time.

At the click of a few buttons, a username/password combination allows users to process complex financial transactions like purchasing foreign currency, paying mortgages, applying for business credit cards or personal credit cards, shifting money from one bank to another, etcetera. In this regard, there is a clear preference for the efficient services provided through online banking channels.

Even in the medical realm, we are seeing a shift towards online consultations with veterinary services and MDs offering their expertise via online portals. Health and wellness services through licensed mental health counsellors are also available through regulated online videoconferencing systems, putting paid to the notion that patients and pets need to be in the care of their physicians and veterinarians respectively.

Entertainment Options Are Greatly Expanded Online

Entertainment Option

Entertainment is quite possibly the most advanced arena when it comes to comparisons between online and offline mediums. The rapid rise of social media has facilitated an online gaming juggernaut of epic proportions. Today, players in Hong Kong can power up and compete against players in New York, New Zealand, and South Africa simultaneously.

Such is the power of online interaction that we are witnessing some of the greatest strides in the entertainment realm. Game players rank highly in this new cultural zeitgeist. Whether it’s social games like Candy Crush, or skill-based games like Texas Hold?em Poker, we are seeing the power of online multimedia drawing players in by their millions.

A rudimentary search on Facebook, YouTube, and Twitter confirms what we already know: online gaming and social media are joined at the hip. These two channels complement one another by reeling players in and providing them with bragging rights at the same time. Fans and followers can easily share details of their gaming sessions. Prior to the advent of the Internet of things, such bragging rights were limited to in-person encounters at tournaments, conventions, and arcades.

Indeed, it is thanks to the Internet of value that we can experience competitive online poker tournaments, from the world’s leading gaming giants. And yet even with all the fanfare, online poker companies have not sacrificed the in-person contest for the online competition. These two options are not mutually exclusive; they often work in tandem with one another to facilitate the most traction with players.

Of course, there are limits as to what online can offer as opposed to an in-person consultation with all the medical paraphernalia, equipment, and monitoring systems. The human touch can never entirely be substituted for an artificial intelligence (AI) construct, or online system. Society is moving towards greater efficiency of operations and that means that online systems will support offline operations, rather than replacing them.

Where Offline Doesn’t Work as Well

Food delivery option

Typically, online food delivery services from local supermarkets and e-commerce platforms may be highly desirable to folks who simply don’t want to fight the traffic and the queues while shopping for their groceries. Multiple examples abound such as Uber Eats, Domino’s delivery, and thousands of other food service options.

However, to this day there is no effective online substitute for a food delivery service tailored towards soft serve ice cream or self-service frozen yoghurt. This type of business requires patrons to come in and frequent the store, sample the offerings, and serve up their own flavorful combinations and sprinkle on their own toppings.

Much the same is true of theatres where the entertainment experience is comprised of sitting among fellow patrons in a theatre and watching the latest Hollywood blockbuster, or theatrical production. There is no doubt that Blockbuster video stores and DVD rental businesses have virtually disappeared thanks to online streaming services like Netflix, Hulu, Amazon Prime Video, and dozens of others.

Very few people can bear the thought of an exclusively online existence, and crave human interaction at some level. Like our ancestors, the great apes (for the Darwinians among us) we are social creatures and we don’t live in a matrix ? we live corporeal in a world. As long as we have all 5 senses available to us, we will always crave the sights, sounds, smells, taste, and touch of the world we live in. To want any less is simply unacceptable to every one of us

Financial Terms Everyone Should Know: Learn the Differences Between These 4 Types of Short-Term Loans

cash loan

cash loan

Many people live closer to the edge financially. They work and support their families as well as they can. They pay the rent, put food on the table, and try to put some money aside.

But, when you are living paycheck to paycheck, a single emergency can turn things upside down. It might be the $250 to replace the water pump on the car you need to get to work. It could be the $300 bill from the emergency clinic for treating your child?s soccer injury. It can be any unexpected expense that throws you against the wall.

There are options for people who find themselves in such binds, needing money in a convenient, easy, and helpful format. NerdWallet, for example, points out, ?Most lenders will let you check rates without affecting your credit, so you can shop around at multiple lenders.?

But, you should learn the differences between these 4 types of short-term loans.

Financial terms everyone should know:

  1. Personal loans

Children will always turn to their parents for money. Sometimes, they need help with their prom expenses; sometimes, they need help coming up with a down payment on their first home. When parents have the money, they will generously gift them with the money.

Some parents want to put that loan in writing because the loan is not backed by collateral. Personal loans may or may not have an interest rate attached. But, the real problem is one of trust. Personal loans can strain family and friend relationships.

  1. Secured personal loans

These loans are secured with collateral the lender can seize if you fail to pay off the loan. Home mortgages and car loans are secured personal loans. Mortgages are common but complex documents. But, short-term car loans are becoming more accessible.

In these loans, you put up your car title as collateral for emergency money to be repaid on a scheduled short-term basis.

  1. Credit card cash advance

Most credit cards issue short-term cash advances. You can use your bank?s ATM for a limited advance. Few loans are more convenient, but it can be an expensive way to go.

Interest rates on credit card cash advances are typically higher than other loans and higher than the rate on credit card purchases. And, there may be additional cash advance fees.

  1. Same day loans

At Pretty Penny Loans, ?Same Day Loans are a fast and simple way of getting credit using a prompt and painless online process or over the phone.? These type of loans should be taken out only for emergencies. They can be high-interest loans, so make sure you can pay back the loan on time.?

Lenders deposit up to $1,000 directly to your bank account and debit your account when payment is due. The application is easy, and the process is more convenient than traditional banks. As The Wall Street Journal says, ?Banks say that small-dollar consumer loans are difficult to make on a large scale, because the underwriting process is too costly given the small profit they make on each loan.?

Picking up on the financial terms everyone should know

You may need money in case of an emergency. You may even need it more than once. And, as helpless as you may feel, there are options to get you through the hard times.

This short list of financial terms does not exhaust all the possibilities. Your checking account, for example, may have a line of credit built-in. But, this review should clarify some options for those who feel pressed to make emergency decisions.