Bad Credit Auto Financing – And Setting Your Expectations

What should you anticipate if you apply for a bad credit auto financing loan online? It in fact depends on what sort of web site you apply with. There are four types of websites contending for you business, they are: Bad Credit Auto Financing Services Bad credit auto financing services, (or an auto loan locater), … Continue reading “Bad Credit Auto Financing – And Setting Your Expectations”

What should you anticipate if you apply for a bad credit auto financing loan online? It in fact depends on what sort of web site you apply with. There are four types of websites contending for you business, they are:

Bad Credit Auto Financing Services

Bad credit auto financing services, (or an auto loan locater), have a reputable network of auto dealers that finance people with bad credit, a hands-on customer service department, and affiliate partners. In addition, these services have associations with direct marketers and direct lenders. People that utilize the bad credit auto financing service can anticipate working with a single auto dealer in their area that is exclusively trained in helping them buy a car. They cannot help everybody but they can help most people with realistic expectations that are willing to put forth the effort to restore their credit rating. Direct Marketers Direct marketers often conceal their true character and make phony claims when promoting their service, for example, if you Google™ “Buy a Car with Bad Credit”, you will see ads for websites that declare:

100% Approved
99% Approved
No Credit Check

Unless the advertisement is ran by a buy here pay here dealer with in house financing, the “No Credit Check” claim is not only artificial, it is an obvious lie. If you have to give up your social security number on the application, chances are a credit report will be ran to verify your suitability for an auto loan. Direct marketers focus is to gather your individual information and resell it to the highest bidder, which includes auto financing services, car dealers, and direct lenders. People that ask for a quote from a direct marketing website are often left with the feeling that they were over promised and under delivered. So I guess what we’re saying is, these websites do a poor job at setting expectations and lead clients to believe that any thing that customer wants they can get, in spite of their income, monthly budget, money they have to put down, and credit score.

Direct Lenders

Direct lenders do a meager job of approving people with bad credit online. Most of their “Bad Credit” programs are customized for people with marginal credit. People with marginal credit have credit scores in the 600 range. Alternatively, if you are approved with a direct lender you can shop at most any licensed auto dealer just as a cash buyer would. If you submit an application with a direct lender and they turn you down for a request for financing, they will repeatedly recommend to you the services of a highly regarded bad credit auto financing service.

Auto Dealers

If you apply directly with a car dealer you will know who has your information, but the downside is that the dealer that you applied with may perhaps not have the people, procedure, cars on hand, and lenders in place to approve your particular credit circumstances. If the auto dealership is not capable of helping you finance a car with bad credit, then my friend you will have to start the procedure all over again.

Auto Credit After Bankruptcy is a free resource for Americans and Canadians with bad credit looking to finance a car loan while bankrupt or get an after bankruptcy car loan. The website has informational tips on getting approved for bad credit auto financing. As well as numerous bad credit tips and advice.

Gold As a Reserve Asset and the Online Finance Service To Manage It

In many areas of everyday living, gold performs vital functions. Gold is actually a quality, high tech metal and very well demanded by the industry. Therefore, investors are content with the decision to pursue the best investment opportunity.

Even as gold is no longer the backbone for the brick and mortar international financial system, most banks still find it to be an important asset. More importantly, gold is the only reserved asset that is not held liable due to its face value. Meaning it is not held responsible or accountable for the trend of economic policies or disturbed inflation. It continues to retain value over many centuries.

As it appears, the current level of demand for gold outweighs the gold supply for the gold miner to produce. Throughout history, due to its beauty, warmth and spiritual connotation, it is now the most admired metal. The gold miner continues to produce gold at massive levels. The exported revenue is vital as it brings royalty and investment opportunity for low economic countries.

Gold can be repudiated and held as a safeguard against potential crisis because it is not any individual’s liability. More so, the gold bullion does not vulnerable to the political issue compare to major asset classes such as United States government bonds, or Treasury bills. Gold as a valuable investment is also excluded from the disadvantages of the economical and/or monetary polices of any government. Significantly, gold has developed into a revolutionary digital or electronic currency, or what we normally heard of as e-currency all over the world.

If you are keen to invest in gold, then the problem of purchasing, holding or keeping the physical gold can be your major drawback as it will cause you too much hassle, not only for you but also everybody else. Alternatively, you can purchase digital gold via online and keep it in the reliable and trustworthy internet payment processor system. This way, no storage space is needed and no worry.

Online Finance Services – Power To The People

In this day and age, every second, new ways of empowering the common-folk are being discovered. The most sought-after mechanisms are being seen in the financial sector, especially in internet finance. With banking getting more and more complicatedly cumbersome, easier methods are being designed to provide the public with “money” as and when they need it and wherever they need it.

Trending today is the very well-known concept of digital currency. Though there are still apprehensions about its use, it has taken the world with a sweep and gained popularity because of the convenience it has to offer. An example of digital currency would be the popular Bitcoin. Many online merchant websites have accepted bitcoin as the form of payment for making purchases from their website.

This type of currency does not require any identification on the part of a purchaser; therefore animosity is one chief benefit that it has to offer. In the form of investment, Bitcoins have proven to be profitable. This is because of the reason that its price in Dollar equivalents has been on the rise ever since its conception. If you own two Bitcoins that have a net present worth of $800, by the end of the year this price has all the possibility of rising up to $1000 for two Bitcoins. Thus, you can either use your Bitcoins for online transactions or keep them safe as an investment for your rainy days.

Another convenience in this box has the name of mobile payment systems. You must have heard of Google Wallet, or something similar from other global corporations. With the advent of payment systems such as these, it has become highly probable to enter a cashless future very soon. Currency has undergone drastic changes in this era – morphing from cash to cheques, from cheques to debit and credits, from that to finally online wallets. This wallet is the online phone-app version of your bank account. In every sense, it is a wallet, only it exists digitally. Whatever purchases you make through your phone or over the Internet, this wallet enables you to pay for those purchases, removing from the loop all the banking-paperwork otherwise required. These payments are not just limited to Internet. The NFC technology enables you to check-out of physical counters by a touch of your smartphones, although this method has attracted scepticism. Either way, convenience is convenience. It is safer for you if you don’t carry much cash around. Just use your smartphone.

Finance over the internet has plunged into another very fascinating service – the crowdfunder. This concept is by far the most useful of all, because it enables entrepreneurs to gather online and share funds for their business. Elaborating it further, it means that if five people are interested in setting up a, say, online shopping business, but are short on funds individually – they can come together on a crowdfunding website and combine their money in a partnership. This way, they all get what they want, including the money to start their business. These people can also decide to share their funds with some other entrepreneur to help him get started. The internet has thus changed the scene of financing sector.

The Importance of AR Financing Services

Companies that provide accounts receivable financing, or AR financing, will offer services at different levels. Often you are expecting to receive services that compensate for the amount of money you are paying for the service. For this reason, you should ponder what is important for you and your business before choosing an A R factoring company. You should do a thorough investigation of which Commercial Financing Companies you would like to work with.

There are AR Financing firms of all kinds. There are the ones that charge low fees but provide bad service. If you choose low fees over service you may end up waiting on the phone for hours on end, or talk to someone that does not really care to solve your problem. The truth is, the reason why they offer low fees is because they have bad service. Good service is not a priority for them. This is why you should not compromise the quality of the service just for the low fees. The costs eventually add up and end up being much higher.

Fortunately, there are AR Financing firms that provide good service. These firms are usually smaller and more difficult to find because they may not advertise much. However, they may be your best option. Because they are small, they provide more personal assistance and are easy to reach. It is best to speak with a Commercial Finance Broker as they will know who is the best lenders for you type of business, plus most often they are paid by the lender so there is no additional costs to your company.

When your budget for AR Financing is limited, low fees can be enticing. Moreover, you are resorting to Financing because you want to increase cash flow not spend a lot. However, it is important to know that there is a price to small service that you may be overlooking. The companies that opt for the lower fees, are frequently disappointed of their decision specially when they are at the early stages of a long term or short term commitment. Here paying more, pays off.

Finally, it is important to point out that the process of selection an AR Financing company is not easy. We advise you to consider first the level of service you wish to have, the one you need, and the one you can afford and if the difference is only of a few dollars a month choose the one that provides the best service. You need to analyze carefully and look at all sides of the equation when making a decision if Factoring is ideal for you business.

Being Eligible For Invoice Finance Services

It’s a growing trend in the business world to use invoice finance. This service helps to improve a company’s cash flow by releasing cash from their outstanding invoices, and it also reduces the daily admin of chasing payments and dealing with bad debts, because the factoring company usually handles a business’s sales ledger. It all sounds great, but not all businesses are eligible to use factoring services.

Just like with banks, factoring companies have their own requirements for their clients. They might be an independent company or owned by a high street bank, or maybe even a broker who will pass on your business to a chosen partner. Either way, they’ll offer their own particular services at their own rates.

Companies are generally eligible to use factoring if they meet a few specific criteria. The most important is that they trade business-to-business. Many factors won’t take on companies who sell to the public. A minimum turnover is also required, generally £50,000. This is because lending needs to be worth the factor’s while. Some factors will lend money to smaller companies but they must have a certain number of customers. Both the company and its customers must have a good credit rating so that the risk of lending to them is low.

If you have small invoices or a small number of customers, or if you have a lot of disputed payments and bad debt, you may not be eligible for factoring. The best thing to do is to talk to a factoring broker to find the best company to suit your needs.

Overview of Finance Services – Offshoring

Offshoring processes in the Banking and Financial Service sector, like most industries, is an accepted and widely adopted way of doing business. In the 1990’s the Financial Services sector quickly embraced offshoring in particular in the back and middle office. This early enthusiasm focused on standard, repetitive transactional processes such as credit card processing, and as yet the take up of offshoring more complex processes such as Finance and Accounts has been minimal. Given the current market turmoil what lies ahead for this industry? This article reviews offshoring trends in both the Banking and Financial Services (FS) and Finance and Accounting (F&A) market. I review the overlap of these two markets and establish if there is an unexplored opportunity. Finally, I intend to review how the current turmoil in the financial markets may impact the future of offshoring in the FS market.

Trends in Financial Service offshoring

Offshoring within the FS sector can be traced back to some of the early pioneering contracts of the 1990’s. Organisations such as UBS and Citigroup were quick to identify and realise the benefits of offshoring. Many FS organisations set-up captive shared service centres in locations such as Mumbai and Chennai for the provision of predominantly their IT and transactional back office functions. Other organisations such as Credit Suisse opted to join forces with a third party supplier, rather than going it alone.

Interestingly the FS outsourcing market profile has not changed significantly. In 2008 the FS offshore market still strongly reflects its heritage with IT and back office areas still equating for over 80% of the market.

The back office transactional work includes processes such as mortgage, credit card and loans processing and retail banking.

Offshoring is still popular confirmed by a recent report by FS Outsourcing who state that in 2007 the FS outsourcing market was valued at close to £25.2 billion. They also estimate the FS market to grow at approximately 25-30% per year, which is phenomenal. Indeed there is an argument that, given the current economic climate and turmoil, the estimated growth of this market may be underestimated and that many FS organisations will look to further utilise offshoring to achieve necessary efficiencies and cost savings to survive in these challenging times.

Trends in F&A offshoring

The F&A market is a multi-billion pound industry and can also be tracked back to the 1990’s with early deals such as BP with Accenture and IBM. Offshoring F&A typically starts with basic transactional processes such as accounts payable or travel and expenses. These are usually the first processes to be handed to a service provider, often under trial. Like the FS market, the F&A market place is experiencing significant growth. FAO states that in the last 5 years this sector has seen 40% growth with 107 contracts signed in 2007. As highlighted above this growth is despite its poor take-up from FS companies.

The F&A market, shows no signs of slowing down with many wide-scope F&A deals being signed including well known names such as BBC with Xansa (now Steria), Thomas Cook with Accenture and Centrica with WNS. The F&A market has providers servicing a broad range of industries, from travel to utilities and manufacturing to drinks companies, many of whom have special, individual and unique, requirements and regulations.

This sector’s growth can be split in two parts. Firstly, more organisations are realising the benefits of offshoring basic, repetitive, rules based and transactional processes. Secondly, this market is evolving. Many companies have gained more confidence in their offshoring providers, some of whom have worked together for over a decade. They are now exploring offshoring more complex processes.

The cross-over

It is clear from the sections above that both the FS and F&A markets are buoyant and experiencing significant growth in their own right, but there is limited overlap. As stated above FS outsourcing reported that of the £25 billion FS market just 2% is represented by F&A.

Our research shows that, of the banks and FS companies that have outsourced any F&A processes, most remain in the bottom third of the complexity pyramid above. National Australia Bank has outsourced their accounts payable to Accenture and Lloyds TSB have a contract with Steria for the provision of their accounts payable, employee expenses and fixed asset accounting.

This focus on just the transactional work is years behind other industries. There are only a handful of FS organisations who have taken it a step further and offshored processes higher up the complexity pyramid.

Morgan Stanley and HSBC are two examples of organisations actively utilising offshoring and who have pushed the boundaries into the middle tier of the complexity pyramid. They both operate their own captive shared service centres which provide F&A services, including statutory accounts and risk reporting, and HSBC’s also includes tax and financial analysis. Examples of FS organisations who have offshored middle tier operations working with third parties are less widely reported. In 2005, Finodis was established. This is a joint venture between Fortis Commercial Finance (FCF) and Electronic Data Systems (EDS). The joint venture provides invoicing, payments and management reporting.

Our research could find only a few, predominantly US, examples of FS organisations who have offshored higher end (top tier of the complexity pyramid) processes including financial analysis, planning and treasury. Interestingly in most cases they used a third party provider rather than setting up operations independently.

Given the success, at many levels, of outsourcing F&A in so many other industries why is there such a limited appetite to offshore these processes, in particularly in the UK FS market?

Offshore providers can offer many references of clients who have successfully off shored similar F&A processes, for example the well publicised success of BP. The original contract signed 15 years ago was worth $20 million a year this was so successful that their outsourced contracts are now worth £1.5 billion. Yet few FS clients have been convinced. So why are FS organisations not offshoring? Do they have valid reservations?

Why not F&A?

A possible reason the FS sector lags behind in F&A offshoring is that management have had other important competing priorities. Management of FS organisations have been dealing with constant change over the last few years and have had to address other major issues such as IFRS, USGAAP changes, Sarbanes Oxley, Basel II, MiFiD and other regulatory changes.

Additionally whilst recently working on a recent UK bank engagement the following issues were also cited as barriers:

o Operational Risk

o Compliance Risk

o Reputational Risk

Operational Risk

The safety and ‘lock-down’ functionality of technology, systems and data were cited as reasons for blocking offshoring. There was concern that remote offices are less secure. This location issue has however not stopped the banks detailed above so clearly this is not insurmountable. Fraud was also a concern and it was felt the increased remote nature and use of third parties extenuated the risk.

Compliance Risk

The FS industry is fiercely regulated. There is increasing pressure for the sector to be more transparent and able to provide regulators and investors with meaningful investment information. A very important point is that Chief Finance Officers and relevant account executives are personally responsible for compliance. They cannot delegate their responsibility so there is often concern about offshoring. Executives want to guard this work closely so they can ensure compliance and control. It should be noted however that compliance and regulation is an issue being faced and overcome by many industries. Compliance with rules, regulations and standards can and are being written into contracts. This reduces the loss of control and, some would argue, introduces contractual boundaries often stricter than internal governance. Other organizations have taken more innovative steps. Credit Suisse made the decision to co-manage their offshored location. They put their management ‘on the ground’ working alongside their third party provider. This relationship and contract is a success. Compliance risk can be minimized but if the appetite for offshoring is not there then this risk could prevent it from happening.

Reputational Risk

The reputational risk if something fails could be detrimental’ was cited as a major issue for FS organisations. This risk is interesting as if something fails then it could be detrimental to an organisation, but this is not necessarily increased because a third party supplier is involved. As per the point above if the appetite doesn’t exist within an organisation then this issue will become a show-stopper.

The issues and hurdles faced by FS clients are complex but every industry has specific nuances and processes and regulations that are unique to them. The FS sector’s F&A processes are not so complex or unique that they cannot be offshored, as demonstrated by those who have already done it.

The road ahead

For the last decade the FS sector has been very successful but at the current time you cannot open a newspaper or turn on the TV and fail to hear about the worsening financial state of the economy. The credit crunch and daily press coverage of the government bailing out the banks is causing major economic, financial and reputational damage. The years of strong growth are behind us. Life in the city is tough and going to get more so. In recent years success has meant banks have not had to focus on their cost base. However this is going to change and become a key priority. Over the next 12-24 months FS organisations will have conflicting pressures. There will no doubt be more regulatory changes (as a result of recent events) which will need to be implemented but these will need to be dealt with whilst also addressing cost pressures. CFO’s are going to be facing increasing cost and resource pressures and are going to have to make tough decisions. For those organisations who have not already done so offshoring is a possible option to overcome both the cost and resourcing challenges. Offshoring will be utilised not just to get the competitive edge as the likes of HSBC and Morgan Stanley did, but to ensure these organisations just stay in the game. The current economic turmoil will increasingly focus attention to parts of the FS organisation where cost savings and efficiencies can be achieved. F&A offshoring is an established market with proven track record so is a sensible starting place. The current economic situation will result in boundaries being pushed and changes that were ‘nice to have’ becoming a necessity.

Stay Afloat With the Right Accounts Receivable Financing Service

The success of a company is certain to relate to the ability to manage and coordinate the day-to-day finances. If a company starts to experience delays in receiving due payments, this is likely to result in a lot of stress and financial difficulties. A short-term solution to help with solving the credit issues is to use the services provided by the accounts receivable factoring companies. They are able to offer a range of advantages when it comes to managing the incoming earnings. Below are several areas where the factoring companies are able to help:

Unlock working capital – A quality aspect of the accounts receivables financing services is the ability to provide a cash advance in exchange for the open invoices that haven’t yet been paid by your clients. For example if you have several invoices that are due for payment in the near future, you are able to effectively pass these invoices on to the factoring company in exchange for a certain percentage of the total value. By taking this step you are able to get instant cash injection for helping to run the business in times of short-term cash issues.

Many of the factoring services are able to offer an instant 60% to 90% advance of total amount due on the open invoices. Even though you would receive more if you waited for the client to pay the invoice in full, this service is certain to benefit those companies that aren’t able to wait the 30 to 60 days that is permitted for certain invoices to be paid. And once the factoring company receives the payment due on the invoices, you will get the remaining balance that is due, less a certain fee that was agreed at the time of arranging the factoring agreement.

Helps with growing a business – In order that a business is able to continue to expand and taking on new orders, it will be highly beneficial to have early access to funds that are due. It can be difficult for a business to see significant growth, especially in those situations where the orders are available but you aren’t getting paid for the work that has been completed. To avoid turning fresh business away, an accounts receivable factoring service is able to offer a perfect solution to help with making the income from open invoices more consistent. A start-up business is certain to benefit from using this type of service, especially when you are still waiting for payment on existing orders to be made before being able to take on fresh work.

What Are the Most Common Financing Services

The most common financing service of banks in America is a home loan or mortgage. Mortgage lenders and brokers may not always be clear on what they’ll do for you, so the best decision financially is to go to your bank and talk to an adjuster there. Most banks provide plenty of helpful information for people looking to buy a new home or refinance their existing mortgage.

A great idea would be to look at mortgage choices from a bank you trust in order to decide on one that fits your plans, one that’s right for you. When you’re deciding to purchase your first home, it is beneficial to be qualified online ahead of time. You can get custom rates and pricing, advice from experts to help complete your online application through a quick and simple online process.

Regardless of the kind of mortgage you’re looking for, the expert home buying advice provided by banks online will help you find the right mortgage in just a few quick and easy steps. A fixed rate mortgage allows for a set interest rate that lasts throughout the term of the loan. The advantage of having a fixed rate mortgage is that it provides a predictable housing cost for the life of the loan, which can last fifteen, thirty, or forty years. The shorter the loan term, the less interest will be charged allowing equity to be built faster. Monthly payments will be higher, however, for a shorter-term loan.

Interest only loans allow a preliminary time period during which only the interest payment is required. After the interest-only period of an adjustable rate interest only mortgage, the loan requires principal and interest payments. A borrower would still owe the original amount that was borrowed, but the amount necessary to be paid will increase after the interest only period because the principal must be paid as well as the interest. Making interest-only payments does not build home equity, which could make it quite difficult to refinance a mortgage or make money by selling or refinancing a home.

Adjustable rate mortgages offer lower initial rates, which can create a valuable financing choice depending on specific factors like the increase of income expectations and short-term ownership. Because the interest rates and payments can increase, however, buyers of new homes should be financially ready for a possible hike in payments or rates. An adjustable rate interest only mortgage starts out with an interest only period, just like you’ll find in a fixed rate interest only mortgage. Once again, the loan will be converted to principal as well as interest payments after the termination of the interest only period. The amount you need to pay will go up, and the payment will increase by even more. A ‘reduced documentation’ or ‘stated income’ loan normally tends to have higher interest rates and additional costs when compared to other loans that might require you to authenticate your income and other assets.

Smart financing makes it easier to plan your long-term growth. Any bank offers you financing solutions designed to match your company’s needs, with flexible repayment plans tied to your profits and cash flow.

When to Use Personal Finance Services and How to Find Them

Becoming efficient and wealthy will require the use of personal finance services and professional help to manage your finances effectively at some stage in your life. Managing your savings and Investment plans, debt management, taxes and money are all part of financial administration that can be overwhelming. There are times when using services rather than managing your finances on your own is a wise idea.

There are situations when people get occupied with mountain debt and finance problems that could not be remedied in the course of cost cutting and extra jobs, but require you to use a service or agency to help you manage what you have. Such scenarios like divorce, a long-lasting period of unemployment, unexpectedly huge medical bills, mortgage companies threatening to foreclose on your home etc will require expert help to not only navigate you out of trouble but also take some stress out of your life.

These are horrible problems no one liked to get involved with and regardless of how hard you have tried, you have made little development in looking to find better solution to it. Before you get stressed out, a personal finance service can lend a helping hand to you.

There are financial help services capable of working with your creditors and get them to reduce interest, cycle accounts to get them current, and amazingly get your payments reduced. The approachable staff at these relevant agencies is knowledgeable in all areas of finance, and they can possibly find better solutions to your debt problems that are 99% does not engage in bankruptcy.

Below are lists on how to find personal finance services at your best.

First, get in touch with a company through a professional relief network. All the firms which have delivered state of the art results are listed with these networks. Thus, stop wasting time in searching on the internet. Personal finance companies capitalize on the recession conditions. To compare debt settlement companies it would be sensible to visit a free debt relief network which will locate the best performing companies in your area for free.

Second, look at the advantages and disadvantages of each one of them and see which one will help you the most. So how can you ensure yourself from legal and illegal firm? The focus here is on the word legal. If the firm which you have chosen is not listed with a particular network, it is illegal. This is a very important way to identify scams and it will save a lot of money as well.

Third, If none of these agencies suites your taste in managing your personal finance, it may be time to consult with a professional personal finance expert. He or she offers a free initial consultation. However, as a client you need to bring relevant resources and information and remember not to hide any debts record. The personal finance expert will review your information and advise you on how to best proceed.

You might wonder what to do and where to begin. If you decide to seek financial, it is essential to so your research on the various options. And of course the internet is always a place to start. As a general rule of thumb seek out 10 companies or websites to view, interview or research each one to narrow down to three services then seek references or testimonials from the three personal finance services you have chosen.

A Look at One of the Top Tax and Finance Service Franchises

In the midst of a recession when you lose your job or think you might be on the verge of getting a pink slip, you might have a thought about being self-employed. Some folks are so inclined to act on such thoughts, but what type of business would you start and how do you know it will succeed?

Perhaps this is why many turn to franchising as a vehicle to own their own business. In a recession franchises are not completely immune, although they do fair much better than independent small businesses in the middle of the storm. One franchise category that our Think Tank identified seems to be rather recession proof.

They say there is nothing guaranteed in life except for death and taxes and so, why not look there for your next franchise opportunity. If you do not see yourself running a funeral home, maybe a tax and finance service might be the ticket. Recently, we interviewed a successful Jackson Hewitt franchisee, Bob Bradach in California.

While other businesses were laying-off their workers in the area, Bob was adding more employees to meet demand. How does Bob do it? Well, he tells us he stays involved in the community and that he picked a solid industry to participate in. Finally, he said he picked one of the top tax preparation and finance service franchises; Jackson Hewitt.

Turns out Mr. Bradach also joined his franchisor’s National Advisory Council and is the epitome of a team player. This just goes to show you that even in a recession there is opportunity in chaos, and franchising just may be where your next opportunity is waiting. Think on this.