Fixed Rate Possibly Better than Adjustable in Reverse Biz

By Matt Vanrock

Suppose a borrower came to me 1 yr. ago with the question: "Should I go with the adjustable or fixed rate?" My reply in most situations would be that the adjustable rate is the way to go.

But since lenders in reverse mortgage backed securities are wanting more payoff than ever, people in the mortgage industry are beginning to think twice about this.

The margin that banks and their investors needed was at approximately 1% at this time last year. Go ahead and liken the "margin" to "profit margin". It is the profit in the loan.

So, if the borrower went with the LIBOR index which may be 1%, and the former margin was 1%, the interest rate would equal the index plus the margin (1% + 1% = 2%).

What's changed over the last year is this margin. By April of last year margins went to 1.5%. In the fall they upped again to 1.75%.

Well, it's on the move again. It appears Fannie Mae is telling us preemptively that the expected margin next week will raise up about one half point next week.

There are many reasons why the ARM is such an attractive reverse mortgage option. In fact I wrote an article dedicated to it, but these changes are cutting into the weight of my arguments.

For example, when a senior borrower closes on the reverse mortgage, he has the option of taking as much or little of his allotment as he chooses. What if he takes a lot?

Let's say the lender will allow the borrower to cash out a large number like $200,000. If the seniors takes it all the fixed may be better than the ARM. The reason is the fixed rate is roughly the same as the fifteen year average for the ARM.

Yes, it is true that the ARM is at an unbelievably low point right now, but we're realists and we know this sucker is going up sooner or later.

Another thing is the amount of money a reverse mortgage lender would lend to a borrower using an adjustable rather than a fixed was more pronounced than it is today.

The ARM used to be a no brainer in terms of how much money it gave a borrower rather than the fixed. It's far closer now and one never knows. Perhaps after the change the fixed will give more.

We don't know quite yet, but the fixed rate is gaining on the ARM.

About the Author:

Bone up right here at the Texas reverse mortgage guide website. Also, Flood your mind with education by going to this Texas reverse mortgage website.

Refinancing In Arizona

By Brent Mackelprang

There's no need to wait! You can refinance today for less than you might think! Mesa Mortgage a leading Arizona mortgage company asks; what's preventing you from refinancing now? Even with all the talk of a damaged economy and concerns about finances, now is actually the best time to refinance. You may ask; why is this the best time to refinance? The answer is simple; because as a well established Arizona mortgage company, Mesa Mortgage has the opportunity to both help you with your refinancing and give you rates that are always lower than the national average! Other companies simply are not able to offer this kind of security in unpredictable times.

Over the years Mesa Mortgage has proudly established itself as one of the most respected and trusted Arizona mortgage companies. They have been able to achieve this very prestigious reputation by setting industry standards with absolute commitment to customer service. They are dedicated to making sure your mortgage and refinancing needs are attended to in every way.

Many times home owners believe that refinancing is their only option and unfortunately there are some Arizona mortgage companies who see this as an opportunity to talk these individuals into an unneeded refinancing. At Mesa Mortgage we will gladly answer any questions you may have about the need for refinancing and make sure that refinancing is truly the very best option. Additionally, if refinancing is the best choice, Mesa Mortgage can do it for less.

Often individuals allow themselves to talk themselves out of refinancing when in all actuality refinancing is the best thing for them. Whether its concerns about interest rates, monthly payments, a lack of steady cash or another concern, it may be tempting to avoid refinancing even if it truly is the best thing to do. Mesa Mortgage will help you determine if it is the best thing to do.

As a leading Arizona mortgage company, Mesa Mortgage is able to help potential home buyers get into their new homes faster and more affordably. Among the reasons to choose Mesa Mortgage you'll find that they offer low rates and low payments. Additionally, their loan program identifies the loan that is perfect for you and your needs.

Mesa Mortgage has made applying for refinancing or for a loan simple by making the application available online. By taking advantage of the online application you'll get quicker processing and the most up to date information.

Mesa Mortgage proudly offers a variety of loan programs, including many loan programs that set them apart from other Arizona mortgage companies. At Mesa Mortgage you'll find great rates on Jumbo loans, Challenged Credit loans, High Debt Ratio loans, Second Mortgage loans, investor loans and more.

At Mesa Mortgage, determining the proper loan for you is essential. Mesa Mortgage proudly offers many kinds of loans other Arizona mortgage companies can not. You find FHA Mortgage loans, Construction loans, VA Mortgages, Investor loans and more. Mesa Mortgage consistently offers the most enticing and competitive rates, always below the national average!

About the Author:

Looking to Refinance? Choose an Mortgage Company in Arizona with rates that are always below the national average!

Home Purchases with Reverse Mortgage - HUD Revises Deal

By Veagure Vanrock

At the end of last year, I received notice of a couple surprising facts from the Department of Housing and Urban Development. The first was that a reverse mortgage could now be used to buy a home.

Prior to this notice, using the reverse mortgage as a means to refinance was the only option seniors had.

Now they can actually use the reverse like a forward mortgage. The difference being they don't make payments. Certainly a delight to many seniors.

The second great thing I read nearly took me off my seat; it was how they would figure the loan. The appraised value of the home would be the factor detemining the actual loan amount, not the actual sale price.

Under the current policy for the refinance using a reverse mortgage a lender loans money to the senior based upon multiple factors, but primarily on the appraised value of the home.

The mortgagee letter stated basically the same thing for home purchases. What you should understand is home purchase mortgage loan to values are normally based upon the sale price or the appraised value, whichever is lower.

Of course there would be more to it than the loan amount being based on worth, just like that.

Here's how it could play out. Say a borrower scrounges around and finds an amazing house really cheap. Its on the market for almost half of what it should be. In this circumstance, at closing the senior might not have to front anything out of pocket.

The thing about it is HUD is a pretty conservative group. Although their forward mortgage programs are fairly loose as far as credit and down payment is concerned they still require downpayment. They always seem to ask the borrower to anti up in some manner.

Well guess what? HUD agrees with me. It is too good to be true. They eliminated that clause and have reverted to traditional lending practices.

As a lender, I find it unusual how long it takes to get these Housing and Urban Development letters. I would expect them to have a myriad of attorneys checking these things up and down.

Not so, this particular letter was out no more than two months before revision.

Reverse mortgage loans used for purchases are now based upon the sale price or appraised value, whichever is lower.

About the Author:

What the heck is a California reverse mortgage and how does it affect you, go here. Or surf to this website for a fact filled experience about the California reverse mortgage

How To Make The Most Of Your Time with a Credit Counselor

By Steve Collins

Seeking the services of a credit counselor is an intelligent way to find a solution to your financial problems. An experienced credit counselor has a full arsenal of suggestions and strategies to help you in making the most of your income and modify your spending habits as you work towards reducing and eventually eliminating your debts.

A key to exploiting your time with a credit counselor is to have certain pieces of information in hand prior to your first meeting. Being ready will help you both avoid wasting time on activities that could have easily been done on your own such as making a list of your expenses and income.

The first thing a credit counselor will ask you is how much you make and how much you spend. The answers need to be exact so that your counselor can help you work out a budget that is actually achievable. As any good credit counselor will tell you, its easy to underestimate how much money youre actually spending every month, so dont simply estimate it. Take a moment to look over a few months worth of bank savings and checking account statements and all of your credit card and store card statements. Try to use the average of at least the last three months to get as accurate a picture of your true spending habits as possible. This is precisely the kind of information your credit counselor will rely on to give you the best help he or she can.

If your income fluctuates because you're self-employed, work on commissions, or get bonuses from time to time, find an average for the last 6-12 months. Again, this is a more accurate picture of your actual income numbers, which will greatly improve your chances of maximizing your time with a credit counselor. Having this information in hand before your first meeting with the credit counselor will mean you can move on to the advice portion of the meeting much faster.

Finally, it is a good idea to write out any and all questions that you may want to ask the credit counselor the night before your meeting so that its still fresh in your mind during your session. Remember " there is no such thing as a stupid question when it comes to finding ways to improve your financial situation!

About the Author:

Steve Collins is a writer and journalist. In these trying times, he knows the importance of obtaining effective debt solutions if necessary. Read his article about debt solutions here.

Making Money Understanding Options Spreads.

By Walter Fox

It is possible to lay a stock options trader to make money every day in those chaotic days of wild market fluctuations in the use of stock options and understanding of the spread option. I know because I could do the most, and every day I work in the office to do the normal day-to-day work.

On the other hand, I "open" in the stock market portfolio to continue the recent sharp fall out, and most of my day-to-day transactions in my account stock options, some very nice large percentage of the profits , Respectively, and were able to soften the blow.

While my stock option trading strategy may seem naive to the professional traders my success cannot be denied. I have made an average of 40% a day on the days of the wild market swings. While this wild market continues I think this is an excellent options strategy that the average part time trader can do from his office.

This is how I have been able to make some very significant money trading in the options world. First I only trade 2 stocks in my options trading account. The reason being that since I am doing this while I doing my normal job I dont have time to really follow more stocks. As one really needs to understand the stock, almost be at one with it so you know how it will react when the market plunges or skyrockets. To understand the stock I study how it reacts to the extreme market activity with in its trading range. As an example lets say I am trading a stock A. I need to understand that when the market plunges 200 points "A" usualy goes down lets say 2% or 3 % and whne the stock market goes down 500 points it usually goes down lets say 5 to 7% and then does about the same to the countering up moves in the market. I dont really care about earnings etc but I make sure my 2 stocks are not carrying any special baggage that would influence their movement outside of the market swings ie. the bank stocks etc.

Once I understand how these 2 stocks reflect the market activity I then study their trading range.Lets say that during these will swings the stock trades between 57 and 63 roughly. I then study the corresponding options lets say 57.50 or 60's. I have really learned in the past month that the volume on these options is very small. As an example I might buy a small number of options, lets say 5, on a fortune 100 company and I am the only one trading any options for the entire day. I am very amused to see that my buy or sell price is duly noted as the high or low with a my volume of 5 options. However one must be very careful to understand the the real significance of the bid and ask spread when you are developing your options trading strategy. This spread has little or nothing to do with the last trade price as the market may well have soared or plunged way past the last activity price.

As for the choice I like my stock options, I basically use of communication options, there is a deadline for at least a week, feel more comfotable in a month. I would also like to make a call or put option is a little money. If the significance of the low-end stock tading activities can be said to be 58 years old, I usually buy the 57.50 call.

Maybe I totally inexperienced or just lucky but I am my system on the basis of the stock option or a 2 strategy.The the key if you really are playing the stock of how to react to understand to play every trading day Today, the market would find opportunites trade with the common market movement.

I summary below or above 2 stock on the market that I follow very closely drive stock prices do. When the market either up or down dramatically, I think I border stock trading and market reactions to stock his heavy steps developed by looking at the option of trade is based on the share price drive. It worked well for me but a market moves to a real-time to alert the stock market with a computer should be able to use.

About the Author:

TheScienceOfTrading.com provides 90 free minutes of videos on option trading systems and provides a complete and detailed option trading course for beginners to experts.

How Bargaining Can Get You a Better Remortgage Deal

By Neal Dawes

Getting a good remortgage deal is going to be difficult, and no one is ever going to dispute this fact with you. However, if you want to get the best remortgage deal possible, you are going to have to learn the art of negotiation. Here are some tips on how to negotiate a better remortgage deal and save a lot of money on your housing costs.

Find out what your current situation is. It is important to find out what your current mortgage's interest rate is and how much of each dollar that you send in is currently going towards the principal of the loan. If you don't have your loan stubs handy, you can check the Internet for a calculator that will figure out the numbers for you. When you see how much of your payment is going towards the interest and not towards your loan you are going to want to learn how to bargain.

Next, you're going to want to meet with a couple of banks. When you're looking at remortgaging your house, you're going to want to think of the first bank that you meet with as a practice bank. Use this bank to test the waters and see exactly how much you're going to be able to negotiate. You don't want to use the best bank as your first bank. Remember, you are practicing and using this opportunity to do a bit of research, and hopefully you're going to be able to negotiate better with the future banks that you talk to.

Look at your offers. Now that you have seen several different banks, found out what their best deals are and tried to talk them down a bit more, you are going to want to show them what you got from the other banks. Use the other banks quotes to see if you can drive the fees or interest rate down even more. You may find that they will match the best bank's offer and throw in something extra to beat it. Banks are going to want your business, especially if you have good credit.

Put on your game face. After going to a remortgage appointment, the loan officer will often call you to try to convince you to choose their bank. Tell them that you are still looking into other banks and watch the interest rate drop even more. The first time they call they might offer you a slightly better deal. By the time they have called three or four times you know that they have given you the best deal that they are going to offer. Put on your game face and get a better deal than you originally bargained for.

Getting a good remortgage deal is really difficult to do if you aren't prepared to do research and talk to several banks. If you are not up to it, why not have your spouse do it to save you money? By choosing someone who is going to be able to talk to banks and use the power of negotiation, you are going to get a better remortgage deal.

About the Author:

Have To Remorgage? Phone Brendan at 01 4790579 Now

Negotiating Your Way to the Best Remortgage Deal

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Getting a good remortgage deal is going to be difficult, and no one is ever going to dispute this fact with you. However, if you want to get the best remortgage deal possible, you are going to have to learn the art of negotiation. Here are some tips on how to negotiate a better remortgage deal and save a lot of money on your housing costs.

Investigate your current situation. You need to know exactly what your current rate of interest is and how much you are paying on your principal and how much you're paying in interest every month. This should be pretty easy to figure out, but if you're unsure, there are a lot of calculators on the web that can help to figure out how much you're spending and how much your mortgage is actually costing you. Once you figure out how much you are actually paying in interest, you're going to realize how important it is to get good at negotiating.

The next step is to make a few appointments with some local banks. The first bank that you meet with should be a practice bank where you can figure out exactly what your bargaining strategy should be. The first bank will give you an idea of what type of negotiation can be done and how much can be done. Don't go to the bank that everyone says has the best deals first, because you are just using this bank to test the waters. The goal of the mission is to see exactly what you need to improve on so that in the future you can talk to banks and get the best remortgage deal possible.

Compare offers. Now that you have talked to a couple of banks and have found out how much they are willing to negotiate and how much you can get from them, you are going to want to go back to the banks and tell them what you found out. You want to use their quotes against each other and see if they can come down even farther. You may find that you can get them to match a bank's offer or throw in something extra if you go with them. Banks and mortgage companies really want your business, and when times are economically tough and you have good credit you are able to bargain a lot more.

Play hard to get. After meeting with a bank, they'll often have someone call you and pressure you into choosing them. If you play hard to get and tell them that you are still meeting with other banks, they will be more likely to keep giving you better and better deals. The first time they call, they will often give you a better deal than what they offered you in person, the second time they call they might throw in a free gift and the third time they call you might even get a spectacular deal. By holding out and seeing what exactly they will offer you, you are going to find yourself getting the best remortgage deal possible.

Getting a good remortgage deal is really difficult to do if you aren't prepared to do research and talk to several banks. If you are not up to it, why not have your spouse do it to save you money? By choosing someone who is going to be able to talk to banks and use the power of negotiation, you are going to get a better remortgage deal.

About the Author:

Want To Remorgage? Phone Mortgage Loans at 01 4790579 Now

Do you qualify for today's best mortgage rates?

By Mortgage Wizard

Equity Now more than ever the existing equity in your home pays a key factor in determining whether or not you are qualified. Your home value is determined by the recent activity in the surrounding market. What have similar homes in your area selling for with in the last 3 months? The increasing number of foreclosures in most areas are driving home prices down. Lenders look to see what they could sell homes they are lending money on if the home owner ended up defaulting and they were forced to sell. (Banks do not want your home. But they take measures to value it properly in case they end up with it.)

Existing home equity in a refinance or the amount down payment in a purchase is one of the factors that help determine if you qualify for today's best mortgage rates.

Income A very important factor in any loan transaction and one of the first questions the bank asks themselves. "Can this person afford this payment?" The general lending guidelines are if your loan amount is under $417,000 your total monthly debt payments (credit cards, mortgages, auto loans, taxes and insurance) need to be about half of your gross income if you are a salaried employee and about half your adjusted gross income if you are self employed. If your loan is above $417,000 you will need your debts to be at or below 45% of your income.

Assets A borrower's liquid assets are also an important factor. The lender wants to make sure that if there was a gap in employment or a salesman had a bad month they will still have the ability to repay there mortgage. The banks look for between 2 and 6 months worth of the equivalent amount of their monthly mortgage payment saved up somewhere that they can access if needed.

Credit Score Your credit score is analyzed from the three major credit reporting agencies. (Transunion, Equifax, and Experian) You are given individual scores from each agency and lenders will use your middle score as a barometer for rating your credit reliability. Most of the best loan options are available for consumers with 720 middle scores and higher. Your credit score is like a life report card that allows companies that extend credit to make sure that the people they are lending money have the willingness and ability to repay them. This reporting/measuring tool becomes very important when a company is determining whether or not to lend you hundreds of thousands of dollars.

Your home financing is the largest financial decision you may make in your entire life. If you are qualified for the best rates on the market find a company that is upfront and will the value in your ability to show credit worthiness and start a working relationship with them so they can help you achieve your goals.

About the Author:

The Mortgage Wizard's goal is to help inform consumers about mortgage financing. Here is a resource to see daily mortgage rates online that are below the national averages and geared towards qualified borrowers.

The Basic Steps for Building a Budget

By William Blake

If you want to start living a more frugal life, you will need to start the process by doing some important planning. The most important part of planning for your finances is making a solid budget. Regardless of how much you make, how you make it, and how much you have now, you can make a budget that will work for you. Consider the following steps that will help you take the first step to a thriftier lifestyle: making a budget.

1. Keep track of your spending. You need to know what your current spending habits are before you can adjust them by means of a budget. Bring a small notepad with you wherever you go and note how much you spend every time you make a purchase. That way you can track your spending.

2. List out your expenses. This will include monthly bills as well as the money spent that has been written down in your notepad. Organize the purchases you have made into categories and then total them up to see how much you have spent.

3. Write out all of your income and how it arrives (monthly, weekly, bi-weekly). Total up your income.

4. Based off of the information you have gathered during the last month, make a budget. Once you have it written out, compare it to your total income and make any necessary adjustments so that your income is more than your budget is, either spending less or making more money.

5. Take some time to think about the budget you have planned. You might find some that some changes need to be made. For instance, if you tend to watch a very small amount of TV each week, you might decide that you don't need to pay for cable each month. If your closet seems overly full, plan to shop less.

6. Once you have cut out all possible expenses, look at your budgeted totals for earnings and spending. If you still wind up spending more than you earn, you might consider getting a better or second job. Your budget will not be able to help you save money if you plan to spend more than you earn.

7. Review your budget. Since our lives are in a constant state of flux, your budget will no doubt need to be adjusted from time to time. As your lifestyle gets progressively more frugal, you may notice more expenses that can be cut.

Having a keen understanding of your own spending habits will enable you to live frugally, successfully. Making a budget and sticking to it is an essential first step.

About the Author:

Are you looking for more information about how to cancel credit card account? Visit http://www.debtopedia.com for helpful information about consolidating credit debt and other credit card payoff tips.

Mortgage Refinance Loans Guide

By John Bear

Choosing the right type of mortgage for your situation could indeed save you thousands of dollars. So, first things first. There are two main types of mortgage loans to choose from when refinancing your home mortgage loan that would depend on your financial needs and tolerance for risk. Here are a few simple tips that will help you with the proper selection of a mortgage.

As stated, mortgage refinance loans come in two types: loans with fixed interest rates and loans with adjustable interest rates. Fixed rate mortgages have ten to fifty years of term lengths and will have payments based on an interest rate that will not change for the duration of the loan.

Adjustable rate mortgages, on the other hand, are specifically based on a financial index and that will include the mortgage lenders margin. Hybrid loans is another type of mortgage that are a combination of fixed rate and adjustable rate mortgages.

The adjustable rate mortgage's interest rate will change every time the lender resets your loan. So when the lender resets not only your interest rate but also your payment amount, they will use the financial index your loan is tied to plus their own margin. The one-year treasury note is the most common index that is being used by mortgage lenders. Adjustable rate mortgages basically have the advantage of lower initial payments, though the loans have more risk for borrowers when the lender begins adjusting the loan.

Homeowners who know the risks with adjustable rate mortgage refinance loans will surely be able to save thousands of dollars when refinancing. So better not write off adjustable rate mortgages just because someone just told you that you'll have payment shock when the lender starts adjusting your loan.

There are actually several advantages to accepting an adjustable mortgage and for starters, a mortgage with a low rate will allow buyers to purchase more expensive homes while maintaining an affordable monthly payment. But because of the low rates record, home buyers who have an adjustable rate mortgage can enjoy falling rates without refinancing their mortgage. So, they avoid closing costs and other fees.

Adjustable rate mortgages would definitely suit individuals who plan on moving in a few years. Some individuals do enjoy the stability of living in a place for many years. So in this case, fixed rate refinancing would be the best choice, but if somehow you prefer the flexibility of moving every three to five years, then you can save some money with an adjustable rate.

Luckily, home mortgage loans can be refinanced whenever you feel like it and some lenders even suggest allowing the loan to mature at least 12 months. But if you detect a market trend change, a smart move would be refinancing shortly after purchasing your home. Those contemplating refinancing have got to be prepared to pay additional closing fees. You can contact your current lender and inquire more of prepayment penalties regarding your mortgage refinance loans.

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Checking The Times - Cool Personal Checks

By Fred Kuen

Consumers are often confused about the economic conditions they find themselves. Everything has a cool check about label, and the extremes are that either we are living in inflationary times or a period of deflation.

Deflationary times means it costs less to buy goods and services. The purchasing power of the dollar increases and is able to buy more.

Opposite of inflation is deflation and with deflation, most assets decline in value. You see the state of value of your home decline in value as well as gasoline. Corporate equities, mutual fund shares, insurances and pension reserves and equity in non corporate business decline.

There is only one exception; the U.S. dollar goes up by definition. The opposite is true. When the cost of goods and services goes up the state of value of the dollar shrinks.

Along with deflation, the U.S. dollar value goes up. Its value goes up against foreign currencies. The buck buys more.

Review the worth of your personal purchases. Are you getting more for you money? Is gas costing less, can you buy more home than you used to, are you getting better deals in the stores? Dollar credit is drying up and the value of the dollar is going up across the world.

When goods and services cost less, you're living in a deflationary environment. The U.S. dollar buys more and the worth of the U.S. dollar abroad increases also.

Regardless of what times you live in, getting good value for your money helps you live better. You can buy really cool checks at ElegantChecks.com. Checks that will stretch your budget dollar and offer an abundance of choices.

About the Author:

Great looking, cool checks are found at ElegantChecks.com There you'll find the strongest selection of categories and a huge choice of personal checks designs. Not only that, you'll find coupons that further discount your purchase that give you cool personal checks an added bonus!

Auto Insurance Laws - What You Should Know

By Mark Alison

When deciding about insurance, some questions come to mind. How much coverage do I need? What's the minimum requirement amount? Do I need liability? What about other states? These are all common questions that can be answered in a simple fashion.

To answer these questions, call your insurance agent. They will have all the best information about state and regional laws that involve you and your vehicle. It's their job to know all this and help you with it. Before you call, make sure you have all your questions ready so you don't forget.

Basic rule is that each state has a minimum requirement for the auto insurance coverage you need to have for certain situations. The three types of coverage is injury to another, injury to all people, and damage to property.

One of the most unsought of thing is traveling to another state. You must have auto insurance coverage to conform to that state's laws. Call your insurance before you cross state lines to change coverage to meet the local requirements.

There are options if you don't have money to pay for insurance. Some states have vehicles you don't need insurance for. In Washington and Oregon, motorcycles, scooters, and mopeds do not need insurance to drive them.

All states require you to carry auto insurance proof on you at all times. When pulled over if you don't provide proof, you will get a ticket and have to contest it in court. Simply bring the proof to the judge and you should get acquitted. If not, it's a hefty fine.

We all want cheap auto insurance. Maintaining a clean driving record is the biggest factor; knowing the laws is the first step.

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Click here to learn more about Cheap Auto Insurance.

Personal Finance Planning: Just Put It All In The Bank

By Jenni Snook

One can significantly reduce their expenses by simply changing some habits and using personal finance planning. However, it's vital that your bank balance also starts accumulating money. There are many people that find saving money very difficult. This happens because they cannot control themselves or because they have no idea where their money is ending up. If you are looking for some tips to really improve your bank balance and in the process give you a sense of financial security, then this article will provide it for you.

These days, many people spend their salaries before even receiving them. We either overspent the week before or we have seen something we just have to have.

A great tip to follow if you seriously want to save money is to take a reasonable amount of money out of your bank account and store it away in a secure location away from you. You should definitely know where to find it should it be needed but by placing it off site, it will be out of your mind.

You should store away small amounts of money if this tip is to work fine. It will be useless to store more than you should so that you spend it later. Don't forget that even a saving of 10 dollars every week amounts to 520 dollars over the course of a year.

Another great idea would be to find out where you can find savings accounts that offer relatively high interest rates. Many banks have these and pay up to 12% interest. Nevertheless, it's important that you completely comprehend the terms and conditions that associated with such an account.

To get the high interest, you usually have to leave the money in the account for a minimum period of time, sometimes 1-2 years. It is essential that you use money that you know you can afford to part with for this duration.

Furthermore, you may be required to make monthly deposits if you wish to qualify for the high interest rate. If you want this tip to work well for you, it's important that you understand the terms and conditions attached, otherwise, there's a risk that you end up being the loser.

It's possible that you're thinking that saving small amounts here and there will not result in anything. Remember, even tiny amounts will start to add up. Rest assured that if you will commit to following the personal finance planning tips explained in this article, then you will end up with a sizeable improvement in your bank balance.

About the Author:

Jenni Snook is the main columnist of http://www.HealthyWealthySoul.com, a website focused on giving people advice and resources on personal finance planning to achieve both financial and spiritual bliss in their lives.