Copyright 2006 Equitrend, Inc.
When someone tells you that the dam is breaking, do you just stay there and get washed away by flooding? Why professional management industry gives this advice to manage your retirement? Why trillions of dollars being lost in Millennium bear market due to poor money management advice?
The latest research from a study carried out by three academics of the London Business School was recently reported in a great article from the Wall Street Journal titled "the long-term danger is undervalued," goes a long way toward debunking the myths of long-term investment. Professors Elroy Dimson and Paul Marsh and Mike Staunton dispel the notion of buy-and-hold, noting, "not only can the markets take a long time to recover, but also investors usually underestimate what is the safe period for long-term keep stocks."
How dangerous this myth Buy & Hold can be seen in another study completion, the who is who "of 16 major national stock markets, investors only five would have been guaranteed positive annual returns over each period of 20 years during the last century."
This is pretty impressive. Most people feel is a slam-dunk that they will win more than 20 years. Of course, this assumes that there's going to be a victim of another problem, which is the survival bias. It is quite possible that even if the market worked more than 20 years, the small number of stocks chosen might not, as most people who bought Internet stocks now can clearly see. The article also blew up one of the current myths. "You know, the market has been down for three years in a row, and therefore cannot refuse for a quarter", as positioned by many experts. Response of teachers that is: "the history of stock market performance shows that in 16 markets, the likelihood of a fourth in the year is 40%. That also happens to be the probability of any other year is a year down. "
The bear ate my retirement the Millennium the bear market will go down in the history books as one of the worst bear markets to date. For those of you who are young and have time on your side, you should be able to suffer over the years it takes to return to break-even point. If you're closer to retirement, their retirement plans probably have changed. There are many sad stories documented about people like you who have lost much of their retirement savings to the Millennium the bear market.
I can only plead with you to evaluate timing techniques tend to grow and protect your precious goods. Invest with, not against, the market and leave the math of a breakthrough and decline of the labour market in their favor.
Thursday, May 17, 2012
Why are dangerous for his retirement buying and holding
Why you should Leave your Bank and Join a Credit Union
So maybe you've had a savings account for a while or maybe you've taken out a mortgage for a house. Is your bank actually helping you, or it is doing more harm than good? If you've never looked into the benefits of a credit union, maybe now is a good time to switch. There are actually many benefits, many of which you've probably never even heard about.
Simply put, a bank is an establishment that is there to make money for itself. This isn't necessarily a bad thing; it's what every single business is in business for: to make its own money. So what's so great about a credit union? What makes it different? A credit union is a non-profit organization that is there specifically for its members. Basically, it's a group of people dedicated to their money. So instead of stockholders making decisions for the bank they have partial ownership of, you can literally own a portion of your credit union yourself and be able to vote and participate on different aspects of the company. It is completely Democratic and members even elect a volunteer Board of Directors. Sounds good, right?
Credit unions also offer higher rates of interest payout in savings accounts as well as having typically lower interest rates on loans and personal lines of credit. They also offer many free services such as checking accounts, debit and credit cards, and personalized service.
There are some people skeptical about credit unions because they believe that their money isn't safe. This rumor is no longer true and all credit unions now legally have to be federally insured, just like a bank. So there really shouldn't be any question in which establishment you should choose.
Now that you're convinced, go a step further. What other corporations do you spend your money at? The grocery store, clothing venues at the local mall. Once you start saving your money wisely, try spending your money wisely, too. Everything you do can become more frugal and help you in life. Learn to shop around. Do your research on which credit unions offer the lowest interest rates and the highest interest payouts.
Wednesday, May 16, 2012
Yes! You Really Can Save Money
Sometimes, saving money may seem impossible. You buy groceries on Monday, pay bills on Tuesday, and by Wednesday your paycheck has disappeared. However, if you establish a savings plan, you’ll “find” money in places you’ve never thought to look!
If you’re like most American families, you wait for “extra” cash to save. However, by creating a plan, most people find they can save regularly—and reach their long-term financial goals.
In the beginning, the amount you save is less important than the fact that you’re starting to save regularly. It’s O.K. to start out small, but make the amount you decide to save each week or month a commitment—it’s very important to “pay yourself first.” Begin with an amount that you are sure you can set aside so that you build a sense of accomplishment rather than frustration. Giovanna Masci, money management expert at ACCION suggests the following to establish a savings plan.
• Distinguish between wants and needs: Real needs are items that are necessary to sustain you and your family such as shelter, food, clothing, and transportation. All the items that enhance or possibly improve your family life, like new electronics and meals out, are wants that could be eliminated from your budget.
• Set realistic and achievable savings goals. Experts suggest you place 10 percent of your income into savings. That's a good goal, but don't give up if you can't save that much. Establish a savings habit and save consistently—it’s better than putting aside a big sum just once.
• Set up a separate savings account using automatic deposit. If you mingle your savings account with your checking account, you'll dip into your savings and may never pay it back. If possible, have your employer deduct a set amount from your paycheck each pay period and deposit it directly into your savings account—after a few weeks, you won’t even miss the money!
• Put your savings goals in writing. Writing down your savings goals can have a motivating impact on your savings habits. It makes your goals real and concrete. Write down your short, medium, and long-term goals along with your projected timeframe to achieve them. Make sure the goals are attainable and realistic and review them regularly.
For more helpful tips about managing your money and to improve your financial literacy, visit Your Money and You (http://yourmoney.accion.org).
Why not Forex trading system?
Foreign exchange markets are all about Forex trading systems. If you are interesting in expanding their investment and learn more about how you can make money on foreign markets, Forex is what you should be looking to understand and learn more about. Just as there are all kinds of investment strategies in your own country, product and company are sold near where you live and work, you can also get involved in companies and products which are sold abroad. Foreign exchange markets are some of the hottest markets you can find to make money on your investment portfolio.
The rate of Exchange from one country to another can only be a step that will make you money. For the dollar, changed to another currency may be equal to more opportunities to purchase additional shares. The companies that will invest will be based on that another currency then you will need to exchange your money in other currencies that before investing.
You can invest in Forex trades for its own account or through a broker company. If you want to invest your money in your own country, it is suggested that you learn more about the company, about the other trading methods, and you learn more about the coins where you want to invest your money. There are more than a trillion dollars in transactions per day in the Forex markets. If you're careful and study where you will put your cash, you can earn more, making the right choices. It takes at least two months worth of trading on the US market to match the trades that are ongoing in the Forex markets. Foreign companies are open to investors and will give big payoffs for those who ' do ' your homework.
You need to learn and study the graphics of the companies with which you want to consider investing. Charting and tracking the growth and falls from companies can be seen if you take your time before you jump in and invest. That's one thing that's going to open it up for a Forex trading system. Forex trading systems are methods that are already proven to assist and detailing companies as they change and grow. Without some kind of Forex trading system to follow it could be shot in the dark to find the company that is the ideal for their needs while investing.
Forex trading systems are becoming so popular because there are so many additional methods that can be used to enter into markets that are not available through the New York Stock Exchange. If you want to get to a Forex trader you could get into that work on your home, or in an Office that is around the world. After a particular Forex trading system is something that you will become more comfortable with as you learn more about the individual markets, companies and about the value of foreign currencies. Open your mind to make money using the methods that you can learn and complete in your own time.
You can find more information on http://www.broker-trading-system.com/Forex trading systems.
Will The Iraqi Dinar Rise Now That The Constitution Is Approved?
The current constitution of Iraq was approved by an October 15, 2005 ratification vote. The proposed constitution was drafted in 2005 by members of the Interim Iraqi Government to replace the Law of Administration for the State of Iraq for the Transitional Period, which had been put in force by the Coalition Provisional Authority after the Iraq War and occupation of Iraq by the United States and Coalition forces.
The drafting and adoption of the new constitution was not without controversy, however, as sectarian tensions in Iraq figured heavily in the process. The deadline for the conclusion of drafting was extended on four occasions because of the lack of consensus on religious language. In the end, only three of the 15 Sunni members of the drafting committee attended the signing ceremony, and none of them signed it. Sunni leaders were generally urging the electorate to reject the constitution in the 15 October referendum, but were overwhelmingly rejected by the voters.
The text of the proposed constitution was read to the National Assembly on Sunday, 28 August 2005. It describes the state as a "democratic, federal, representative republic" and a "multiethnic, multi-religious and multi-sect country".
Excerpts From The Preamble
We the sons of Mesopotamia, the creators of the alphabet, and the cradle of arithmetic: went by the millions for the first time in our history to the ballot box, men and women, young and old, on January 30, 2005, remembering the pains of the despotic band's sectarian oppression of the majority; inspired by the suffering of Iraq's martyrs - Sunni and Shiite, Arab, Kurd and Turkomen so we can create a new Iraq of the future, without sectarianism, racial strife, regionalism, discrimination or isolation.
Some References To Monetary Concerns From The Body Of The Constitution
The Arabic language and Kurdish languages are the two official languages of Iraq. The use of both languages is officially endorsed in any setting enjoined by the principle of equality such as bank notes, passports and stamps.
The Central Bank of Iraq is a financially and administratively independent institution and is responsible before the Council of Representatives.
The federal government shall have exclusive authorities in the issuing of currency, formulating monetary policy, and establishing and administering a central bank.
Now, will the Iraqi Dinar rise?
This currency has already gained 25% the past half year. The more stable Iraq gets the more the dinar will rise in my opinion. This is only one of the many steps Iraq has to make but for exceptance by the world bank a big one.
Still keep in mind that investing in Iraqi Dinars should be on the most risky side of your investment portfolio.
Why You Should Choose Debt Consolidation
If debt is currently an issue in your life, debt consolidation really can save you from the stress of bills, debt collectors, and the nagging thoughts of foreclosure or even bankruptcy. Debt consolidation can drastically change your life within weeks, months, or years depending on your current debt situation. Consolidating your debts will allow you to live with peace of mind that you are taking care of your financial obligations while continuing to live a happy life.
Debt consolidation is taking all of your bills and fitting them into one monthly payment. Fitting all your bills into one payment also means one interest rate, which will limit the amount you pay out every month, saving you a lot of money in the long run. Debt consolidation also makes paying off multiple debts easier because the monthly payments can be lowered when you take away insane interest rates. The average debtor pays more interest every month than they do on the actual principal balance of their debt! Eliminating the sky-high interest rates is a good start to getting your debts paid, without going completely broke.
Many people assume when they can’t pay the bills it’s time to just throw up their hands and consider drastic actions such as foreclosure, repossession and bankruptcy. While there are some extreme cases where bankruptcy would be the best option, foreclosure is almost always avoidable as is repossession. Banks, car dealerships, mortgage companies, and creditors don’t like to have to take back property or write off your debts, they would rather work with you on debt consolidation so that they can get back what they are owed and you can go on your way with your credit still in tact. Bankruptcy, repossession, and foreclosure are not easy outs when it comes to debts; in fact, they are choices that will continue to affect you for a long, long time. Consider debt consolidation before making any hasty decisions.
Debt consolidation on your own can be tricky, or downright impossible depending on your credit situation. Luckily, there are debt consolidation companies waiting to help people who are in over their head, just like you! Debt consolidation companies will take your credit report and any unreported debts that you can give them and work out a payment plan for you. These debt consolidation companies often contact each company and strike a deal to lower or get rid of the interest and even split the balance of the amount due. Obviously, lowering or getting rid of interest and part of each debt will limit what you spend each month, enabling you to actually pay the bill.
What’s the catch with this type of debt consolidation? Well, there really isn’t one. Yes, this is a business and the consolidator does make money because while he takes away the interest that each company is charging, he will charge you interest or a percentage of what you owe. Doesn’t seem fair? It is! It works out better for you, because even though you are still paying interest it’s just one interest payment for all the debts you currently hold. So, instead of paying twenty seven percent to ten companies you’ll pay twenty percent to one company. So, you go from having multiple payments and interest rates to just one payment for all the bills and one interest rate. It works! If you follow the plan, and make your monthly payments debt consolidation will soon have your credit report looking much better than it does right now.
You may think that you have so much debt you cannot possibly afford to repay even on a debt consolidation plan. You’d be surprised what these companies can get done on your behalf. And, if your debt is that outstanding you can work through the process slowly, a few debts at a time. There is nothing wrong with the process taking a while, as long as you keep up with the process and intend to actually pay off your debts. Getting your credit where it should be does take time, but it’s worth it. Your credit is your buying power, and each payment you make gets you closer to having more of it.
Worried that the companies you are dealing with won’t work with a debt consolidation company? You’d be surprised. Yes, the companies will loose a little bit of money compared to if you showed up with cash to repay the debt tomorrow, but in the long run it’s better for them to take a debt consolidation deal than not. Most companies figure they’d rather get a portion of your debt back and settle the deal than not get anything back at all. Getting seventy five percent of your debt back is more reasonable to them than to keep paying debt collectors to contact you and try to get the money back. All in all, any money is worth striking a deal over, and that is why a debt consolidation company can really get you where you need to be. They are professionals and they know how to get companies to agree to their terms.
Debt consolidation companies will usually work with you to get your debts paid off within a reasonable monthly payment. Each month you’ll make just one payment, reducing the time and stress of paying the bill, and each month you’ll be a step closer to financial freedom. Paying off your debts, through debt consolidation or otherwise will take a weight off your back that you may not even realize is there. No one wants to have unpaid debts, but sometimes life gets in the way and it happens. It happens to the best of us. But, don’t be too proud to consolidate those debts and get back on the right track. Open up your local phone book, or get online and find a debt consolidation service in your area. Contact a debt consolidator not with shame, but with pride, because you are stepping up to do the right thing.
Why You Need a Virtual Safety Deposit Box
Advances in information technology, paired with recent weather-related disasters and a growing awareness of the need for access to vital documents has lead to the creation of a new solution designed to protect your most important documents: a virtual safety deposit box. Whether you are looking for a safe place to store vital records such as birth certificates or marriage licenses, or other important documents such as health records, insurance policies, living wills or financial data, a virtual safety deposit box can help keep your critical documents just a few keystrokes away from any computer in the world.
Considered a safe alternative to traditional archives in bank deposit boxes or in-home lockboxes, a virtual safety deposit box provides peace of mind paired with instant access in times of need. Gaining popularity during the aftermath of Hurricanes Katrina and Rita in 2005, this safe method of document storage has become a preferred method of protecting assets around the world. The news media is filled with stories of families who lost everything during the hurricanes, banks whose records were in shambles and law offices whose records perished in high water and storm-damaged conditions.
Elsewhere in the country and the world, stories are common about houses burning to the ground with vital records still inside, families denied access to important documents after a loved one’s death and important paperwork swept away by vicious tornados. Any asset that you have that is paper-based can easily be converted for storage in a virtual safety deposit box. For a small monthly or yearly fee – comparable to the price you would pay for a bank deposit box and less than the purchase price of an in-home safe – you can choose to upload copies of your documents on your own, fax or mail documents to secured processing sites, or have a technician visit your home or office to complete your archival work for you.
After your virtual safety deposit box is set up, you can access your information safely and securely 24 hours a day, 7 days a week, and 365 days a year from any internet-connected computer on the planet. All archived data is guaranteed against breaches in security and fraud and virtual safety deposit box providers utilize many reliable, prove and trustworthy safeguards against any wrong-doing. Securing your family’s future and well-being is job one, and using a virtual safety deposit box only makes that job easier.
Tuesday, May 15, 2012
Why you should retire in Thailand?
Retiring in Thailand was my dream for many, many years. My dream will come true in about 2 years and I'm doing some serious plans now. Can be anal when planning and many considerations when planning for the final chapter of his life. I intend to plan everything down to the smallest details.
Let me start by saying that I have going to Thailand for the past 35 years. I served as a soldier and visited numerous times on vacation. I love people, food, customs and culture and background live my life there.
I have been doing my homework check my financial situation and how much I'll be getting when I hit the age of retirement. My situation is unusual in that I will get a small pension from my current job, Government military withdrawal an additional fund in years and a half approximately 4 and even more social security in about 6 years. I also have a 401K and an equivalent Government (Thrift Savings Plan) and will also profit from the sale of my house when I retire.
Therefore, money is no problem. I plan to buy a house in Thailand. Well, actually, rent a House from which foreigners legally cannot own land. I don't want to put the property on behalf of my girl because she potentially could sell it and I wouldn't have any resources. There is also a small loophole allowing foreigners to enter and rent the property back. I don't trust a present and worry about changing laws and having my property removed under me. I will go with the leasing or something called a usufruct.
The enjoyment not fully understand, but will meet with a lawyer speaking English during my trip in March 2008 and get all the details. All I know is that it is similar to rent but has some advantages. We had some email replies, but I prefer the explanations of face to face.
I had my little girl looking for properties to that during my next week 3 holiday I only have to spend in a short space of time looking. So far, I have seen some pictures of Nice properties for about $ 50,000 USD. This is for a 3 bedroom, 2 bath, 2 storey's place. It'll be nice to see them in person and then make my "buy".
Pension/retirement checks monthly will easily take care of my daily needs. Food and drinks are cheap as utilities for the home. Will I be able to have air conditioning and a satellite dish to receive English language programs along with Thai TV programmes.
Shopping is dirt cheap for clothes and other daily items will not be a burden. Going out it will be very nice as a night on the town with dinner, drinks and go out to a Club will be less than fifty dollars – and who is living large.
Medical care plans are available and are comparable to the standards of the United States or European – perhaps even bigger. Medications can be taken over the counter and medical treatment is unsurpassed.
Staying in Thailand legally became easier with the relaxation of visa requirements. Foreigners can now obtain visas a year that are easily renewable. All you have to do is check each 3 months. Thailand likes money from expats, although we cannot own land.
Retiring in Thailand will make my life much easier than retiring in Hawaii – even if my condominium is paid. The cost of living, the attitude of the Thai people and the food and culture has me counting the days until April 4, 2010.
You're Roth IRA Withdrawal
The Roth IRA was born on January 1, 1998 as a result of the Taxpayer Relief Act of 1997. It's named after former Senator William V. Roth, Jr. The Roth IRA provides no deduction for contributions, but instead provides a benefit that isn't available for any other form of retirement savings: if you meet certain requirements, all earnings are tax free when you or your beneficiary withdraws them. Other benefits include avoiding the early distribution penalty on certain Roth IRA withdrawals, and avoiding the need to take minimum distributions after age 70½. Contributions to a Roth IRA are not tax-deductible, but earnings grow tax deferred and can be withdrawn tax-free in retirement after age 59 1/2 if the account has been in place for at least five years. In addition, the Roth IRA withdrawals may be permitted without penalty sets no maximum age limit for contributions and imposes no schedule for withdrawals. Roth IRA also incorporates a few other options. Both traditional and Roth IRAs allow withdrawals after age 59 1/2, but unlike the traditional IRA, a Roth will permit contributions after age 70 1/2 and does not require Roth IRA withdrawals on any particular schedule. After five years, a Roth IRA allows tax-free withdrawals for a first-time purchase (up to $10,000), disability or certain emergencies without penalty, up to the amount deposited.
Larger Roth IRA withdrawals, including some or all of the interest earned in the account will be subject to tax. There is also a loophole for early Roth IRA withdrawals know as the "72(t) exception". Under current tax law, you can avoid the 10% penalty tax if you take "substantially equal periodic payments." The Internal Revenue Service 1989 Cumulative Bulletin tells you how to calculate what it considers to be "substantially equal periodic payments". IRS Revenue Ruling 2002-62 adds additional details and clarifies some issues pertaining to Roth IRA withdrawal early. All of these engrossing volumes are very likely available at your local law library. To take a series of "substantially equal periodic payments" from your IRA without penalty, you must withdraw money at least once a year, and you must keep taking withdrawals for five years or until you reach age 59½, whichever is longer. So, a 35-year-old must take withdrawals for twenty-five years, while a 51-year-old must take them for eight-and-a-half years. A 57-year-old would have to take withdrawals for five years, until age 62. Also, you must let a minimum of 5 years plus 1 day elapse from the date of your first SEPP withdrawal before making "unlimited" withdrawals from your IRA, even if you've reached age 59 1/2. Otherwise, the IRS will hit you with the 10% penalty and retroactive interest charges. The amount of your withdrawal is calculated based on the balance of your retirement account on December 31 of the preceding year or any date in the current year prior to the first distribution using your age on December 31st of the year in which you make the withdrawal.
Your Holiday Money Could Cost You Dear
Lisa Taylor from moneyfacts.co.uk comments on the options available to travellers when spending overseas and the costs that consumers should be but are sometimes not aware of.
“Whether planning a summer holiday or jetting off for Easter, consumers are keen to check the costs when it comes to choosing the hotel, flights, insurance, and airport parking, but tend not to use the same level of consideration when choosing the cheapest option when it comes to their spending money.
“With each provider charging varying fees which are not immediately visible and often not fully appreciated by the consumer, it is a potential minefield to find the ‘best’ deal, and this becomes much worse as we consider the outside influence of exchange rates.
“Consumers have three main options, the traditional travellers cheques and currency, debit cards or credit cards. Amex has also launched into the prepay card arena, with a card designed for overseas travel, but the rest of the industry is yet to catch on.
“Traditional cheques and currency are still popular with many travellers and offer a competitive market place for providers. Commission free deals are becoming easier to find particularly for currency and currency travellers cheques, where there is still scope for profit by means of discounted exchange rates.
“Unfortunately without plenty of leg work by the consumer, it proves a difficult market in which to compare deals. Providers offer varying commission deals, but without taking into consideration the exchange rate it is impossible to decipher the ‘best’ overall deal.
Moneyfacts complies a full list of providers detailing charges, offers and delivery details, which can be found at www.moneyfacts.co.uk
“The competitive nature of the market reinforces the message that there is profit to be made, even when offering 0% commission. Large institutions such as NatWest and HSBC are offering free prize draws as an means to entice customers to buy their holiday from them.
“After finding their chosen provider, in many cases the consumer has a much more flexible choice, than was previously available, with the ability to order online, on the telephone and the option of home or branch delivery. But do beware; these do sometimes come at a cost.
“Credit cards are becoming an increasingly popular method of payments and withdrawing cash abroad. Many of us do not realise that, when using a credit card abroad, the card issuer adds on a foreign usage loading; this can be as high as 2.75%. That means a consumer spending £1,000 abroad would be charged £27.50.
“There are however a few exceptions to this rule within the market, including Nationwide and Saga who do not charge for usage anywhere in the world.
“ In addition, if withdrawing cash overseas, consumers will also be charged a cash withdrawal fee, which can be as high as 2.5%. So withdrawing £1,000 cash could cost you as much as £52.50.
“Debit cards also come attached with foreign loadings up to 2.75%, cash withdrawal fees and in some cases an additional per item charge for purchases, tucked away in the small print, giving customers a nasty surprise when the statement hits their door mat. Any consumer looking to rely solely on a debit card would be well advised to consider Nationwide, the only provider not to impose cash or purchase fees.”
Why should I sell my house and rent it back?
You want to stay in the same House who lives now, but you're having trouble paying the mortgage? This happens to many people and they unfortunately choose to move away from his beloved home to ward off the high mortgage payment. However, there is an option for you to sell to rent back. This is basically you sell your home so that you can then rent it again. This is a great option for many people who want to sell the House fast for financial reasons are still living in the same House. There are several reasons why you may want to sell your House and then rent it back.
Reason # 1 financial
The biggest reason that you would want to sell your House and then rent it back would be financial. In many cases, people find they are unable to make their house payments. In this situation, there are not many options. One is to simply stop paying the mortgage and let a foreclosure take place. Or, you could continue to sacrifice everything to pay the mortgage, but have no money to pay for other things. Selling the House to rent back allows you to stay at home without being financially worried about that.
Reason # 2 comfort
Another reason to sell your House quickly so you can continue to live there without financial responsibility. This results in you and your family continue their comfortable lifestyle. This is definitely one of the reasons for United Kingdom residents continue to sell back their homes and ret. Actually it is a convenience to sell the House still continue to live there on a monthly basis.
Reason # 3 embarrassment
No one likes to talk about his financial situation in front of others. This is especially so for those who are not financially well off. However, if you sell your home many will ask why and others simply will assume financial responsibility. You can sell your House quickly and easily and avoid the embarrassment, continuing to live in the same House silently.
These are just a few reasons why you should sell your House and rent it back. It is really a great opportunity for you if you find that it is not feasible for you to make monthly mortgage payments. Consider the options offered by sell my house fast to find the best option for you.
Your Budget And Rising Petrol Prices
If you have a mortgage and are not struggling with the increasing cost of petrol … you are in the minority. And if you aren’t struggling now, how will you fare when the flow on effect of high petrol costs starts to increase the cost of living across the board. For many Australians the question of how to cover all their bills and maintain a decent standard of living for their families will soon become a pressing one.
As you struggle with this challenge, you may discover that your mortgage is actually the solution.
In recent months, oil prices have skyrocketed to $65 a barrel. This has resulted in the price of petrol rising above $1.30 a litre. This increase has been blamed on the recent hurricanes in the Gulf of Mexico and the resulting production delays.
Already this is beginning to bite the budgets of Australian families. In a BRW report, McDonalds chief executive Peter Bush revealed that McDonalds sales growth had dropped 5 % in just weeks. He attributes this sudden decline to Australians tightening their belts to afford the extra $30 to $40 a week to fill the family car. The same article cited a recent NRMA survey, which stated that 25% of NSW and ACT motorists have cut their spending on food and groceries as a result of the petrol hike.
Petrol prices have risen 30% this year; the cost of petrol being a major expense for most Australian families. In a media release from the University of Newcastle, Dr. Abbas Valadkhani said, “You don’t necessarily have to use a lot of petrol to be affected by the price rise.”
Apart from the direct effect we have already experienced, we will soon begin to suffer the flow on effects of the petrol hike. The cost of milk has already increased and a range of other industries such as transport, storage, forestry, fishing, agriculture and meat and all dairy products will have their costs increase due to the rising price of petrol. It is only a matter of time before these costs are passed on to us. If you think about it, there are few goods and services in the economy that don’t have fuel costs somewhere in their production and distribution chain.
Well, that’s the bad news. The good news is that many experts believe that this spike in petrol prices is temporary. It is a result of diminished production, due to natural disasters. Eventually, the damage will be repaired, supply will return to normal levels and the price will drop. However, that could be six months or a year from now and until then you need to keep paying for the petrol, pay your bills, budget for Christmas and pay your mortgage.
But are you paying the right mortgage? Are you using your mortgage to its fullest potential? With interest rates so low and the cost of living experiencing an unexpected and temporary spike, a logical means of maintaining your lifestyle, during this time, is to use your mortgage to offset this temporary fluctuation.
This may be the time to either take advantage of your home loans features, or change to a more flexible mortgage. For example, you can switch to a loan that has a redraw facility. This allows you to draw back extra payments you have made and use them to help you through this particularly stressful time.
If rising costs are getting on top of you, perhaps refinancing is the solution. You can roll all your debts into your home loan; car payments, credit cards etc., consolidating your debt and reducing your regular repayments, leaving more cash each week to combat this sudden increase in expenses. Instead of running up the credit cards, refinancing your home loan may be the most cost-effective and cheapest way to raise that extra money to help you through the next turbulent 6-12 months.
Using a mortgage-offset feature is another way to have that extra cash handy, but still minimise your interest. Let’s say you refinance and leave yourself $10,000 to help pay the bills for the next few months. If your loan is $100,000 and you have $10,000 in the offset account, the interest on your loan is only calculated on $90,000.
The current petrol crisis will eventually pass, but in the interim, why struggle to care for yourself and your family when the solution to your short term budget problems is sitting right there … in your home?
Monday, May 14, 2012
Your Checking Account; Watch Those Expensive Overdraft Charges
Copyright 2006 Debt Management Credit Counseling Corp.
Boca Raton, FL – Have you ever looked at your bank statement and felt like screaming at the top of your lungs? Do you feel like you are throwing money out the window? Many people including yours truly, have experienced this annoyance known as bank overdraft charges. Maybe you purchased an item for $197.99 and you have $197.85 in your checking account. Congratulations, you have mastered the art of bouncing a check! Most banks will charge you anywhere from $30 - $36, for being short 14 cents. This has probably affected almost all consumers at one time or another.
According to a recent National Public Radio (NPR) radio story by Chris Arnold, banks have always explored new ways to extract money from their customers. Almost all banks have adopted the policy of cashing your biggest checks/purchases such as mortgage or car payments first before your smaller checks/purchases. Here is a direct quote from a local bank’s policy statement; policy “ When processing withdrawals from your account, such as those made through checks, in-person withdrawals, Automated Teller Machines (ATM), point of sale (POS), or by any other electronic means, it is our policy to pay the largest item first.
Let us assume in one day you write three checks and use your ATM card once. Assuming you have $500 in your account, check #1 is for $25, check number #2 is for $40, you use your ATM for $22, and check #3 is for $495. You have spent $586. If the banks cashed these checks and ATM amount in the order they were written you would be charged one overdraft fee ($30) for check #3 ($495). Instead, the banks take it upon themselves to clear the largest check first. By doing this you will be charged for three overdrafts ($90). This also does not include the charges from the merchants (about $25) charged to you for giving them a bad check. This is a very expensive day for you.
Beat the bank at their own game
Yes, it is very frustrating when banks charge you overdraft fees. Be smart and learn how to manage your funds for the month to avoid these charges. Most banks have a toll free number where you can access your account 24 hours a day. You will have the ability to check your balance and hear which checks have cleared. Take advantage of online banking. Most FDIC institutions have online banking centers on their websites. These services alert you when your bills are due and may help you in organizing your payments. Most of these online banking services will archive your purchases and bill payments. This can help you keep track of the bills you have paid and on which date. Also, if you have the possibility to use a direct deposit feature through your employer, take advantage of it. Getting your check wire transferred directly into your checking accounts can help tremendously. You know you will have money in your account at the same time every week. If you do not trust Internet banking, buy a calculator and use the old-fashioned checkbook. The most important part is to keep track of your expenditures so you will not overdraft again.
No Matter What I Do, I Still End Up With These Overdraft Fees
The good news is that most institutions have some kind of an overdraft protection plan. Overdraft protection is a service to help you prevent from exceeding your checking account balance with purchases. By being enrolled in overdraft protection, funds from a savings account, money market account or a line of credit can cover the amount of the transaction not covered by your checking. Most institutions offer this service free of charge for signing up, but charge you an average of $10 every time the service is used. $10 dollars in much better than $30, don’t you think? So if you are tired of acquiring overdraft charges and you have tried tracking your purchases, it may be a good idea to contact your institution to see what they have to offer in terms of overdraft protection.
www.TheCreditAgency.co.uk: Online Credit Report
If anything in your report is out of date or gives a misleading picture of your willingness or ability to repay a loan, mortgage or credit card, it can affect your chances of getting the best deals. It can even lead to outright rejection by lenders.
For example, you may have separated from a partner who has since run up debts but, because you have still got a joint account, his or her payment behaviour could be affecting you. You won't see their credit data on your report but you will find a note of any financial association.
Or you may have shopped around for the best offer, without realising your enquiries have been registered as multiple applications. These should show as quotation searches. If they are down as applications, lenders could think you are desperate for money, have over-extended yourself or even that a fraud is being planned.
You could even discover applications and credit accounts in your name that you did not ask for. In that case, your identity may have been used fraudulently.
A range of behaviours can have an effect on your credit file. Issues such as late payments or missed payments, applying for a number of credit facilities (loans, credit cards etc.) in a short space of time, moving address regularly, or not appearing on the electoral roll will have a NEGATIVE effect on your credit file.
On the other hand, if you stick to managing your existing credit facilities well, you register on the electoral roll and stay at the same address for a period of time, then you will POSITIVELY effect your credit report.
With a better credit record, you will be able to access cheaper sources of finance (lower APR's on loans) and will be able to obtain credit from a greater number of resources (prime lenders favour good credit scores). With access to credit becoming increasingly more difficult to many people, managing a clean credit file is increasingly beneficial.
Two categories of people are going to be really affected by their credit reports following the impact of the credit crunch.
1) Home Owners: Anyone with a variable rate mortgage will have already seen interest rates rise, thus pushing up the sum of their monthly repayment.
Those on a fixed rate mortgage will have thus far been untouched. However, it is the fixed rate mortgage holders that need to be most careful about managing their credit score.
When their mortgage comes to an end, they are going to need to find another mortgage deal. Whatever mortgage they go for, fixed rate mortgage holders are going to find that their monthly repayments will have vastly increased. Therefore, the only way to minimise the effect of the credit crunch is to increase your appeal to lenders by enhancing your credit score. This will help widen the number of lenders happy to offer mortgage facilities, whilst also lowering the APR's on offer to you.
2) Sub Prime & Near Prime Borrowers: Anyone that has had to borrow money with high APR's (typically in excess of 35%) is now going to find funding sources more difficult to access, as many lenders have moved out of the sub prime lending market.
Interest rates in the sub prime and near prime lending market have also increased. This can have a particularly harsh impact on borrowers - especially those with low incomes, as individuals may struggle to keep up with repayments.
If you fall into the sub-prime category, you'll need to keep an even closer eye on your credit report so as to ensure that you can still get access to credit (some lenders are already pulling credit facilities away from non-prime borrowers).
By accessing your credit file online, you'll be able to see that every aspect of your credit report is in order, thus ensuring that you can still gain access to credit.
The easiest way to check your credit report is to get your credit report online. By visiting www.TheCreditAgency.co.uk you will be able to discover which credit report is best for you and then gain Free access to it, along with identity insurance and credit monitoring facilities.
Use any of the web address details provided and enter them into your web browser to access your credit report.
Your Options in Car Financing
There are so many car financing options available how do you know which one is right for you? Read on to obtain information about all of the different options available and how to determine which one will provide you with the best benefits.
Many people take advantage of an option known as dealer financing. This is when you handle the financing of your new vehicle directly through the lender. Now, that doesn’t necessarily mean you’ll be making your payments directly to the dealer. Usually, they work with a finance company to provide the financing to you. There are definitely some benefits to this option. First, depending on your situation you may be able to obtain extremely low interest rates; in some case you may be able to obtain a zero percent interest rate. In order to obtain this special rate; however, you will need to have excellent credit with no problems. If you have any problems at all on your credit history you will not qualify for the special interest rate although you will probably be able to still obtain a loan; just at a higher rate. When your credit report is not perfect ask yourself whether you could get a better deal at a bank.
Bank financing is an option that is typically available as long as your credit history is good. This means it doesn’t have to be perfect but you shouldn’t have any major flaws either. If you have already worked with the bank in the past this will increase your chances of obtaining a loan. While a bank interest rate may not be as low as what a car dealer can offer for individuals with excellent credit, it may be better than what you could obtain at the dealership if your credit is only ‘good.’
Another option you may wish to consider is credit union financing. Of course, this option is only available if you belong to a credit union. If you do happen to have a credit union membership; however, the rate available to you may be much better than what you can obtain through a bank or dealership.
These days it is also quite easy to simply go online and surf around for a quote from an online lender. This option has become so popular many lenders are now willing to compete with one another and offer very attractive rates. In the event you do not have perfect credit, this can be a good option for you; just make sure you fully understand all of the terms of the loan before accepting it.
Another option would be to simply borrow the funds from a family member of friend. Of course, this is extremely risky because it could cause problems in your relationship in the event that you run into a problem with the payments. But, if you can’t obtain a loan elsewhere because of credit problems this may be a good option.
Finally, you may wish to consider refinancing your home or taking out a home equity loan in order to finance the cost of your new home. This basically allows you to pay cash for your vehicle with the proceeds of the loan and then paying back the money through the refi loan. In some cases you may be able to get a better interest rate with this route than you would with a traditional bank auto loan. In addition, the interest you pay on the loan is tax deductible. Like other options; however, there are some disadvantages. With this option, be aware that you could be putting your house at risk, not just your car, if you run into a problem and can’t make the payments in the future.
Your Guide To Retirement Planning
In life, nothing is permanent in this world. Everything that comes will definitely go. That is why it is best to put our best foot forward and save more for the future. The best thing that you have to start with is to have a retirement plan.
Some wait to long before they decide to plan for their future. This is not a good idea because we can never tell what lies ahead. So, here's how and when to start retirement planning:
1. The retirement year.
First, decide on what year you would like to retire. It is always best to start something with a goal in hand. This will keep you focused and determined to push it through.
2. Do your homework.
The best way to help you start making your retirement planning is to consult your “employer-sponsored 401(k) or IRA,” or to any of your retirement schemes and investigate on the objective date of your mutual funds and see if it matches your target date of retirement. If it does, then start funding your nest egg immediately.
3. Backups.
There are many instances where your plan can backfire. So, it is best to have backups.
So, when making a retirement plan, better include a backup that will serve as a fallback in case your nest eggs fails or if something else goes wrong. It is best that you do not depend entirely on your funds because sometimes there are circumstances that are beyond our control.
3. Opt for annuities.
When doing a retirement planning, you should take note also of the different retirement planning strategies that will surely make your plan work. One good example of a retirement planning strategy is the annuities.
Basically, annuities are adaptable indemnity bonds that are exclusively patterned to bestow additional wages at the same time assist you accomplish “long-term” saving goals.
These annuities are the “long-term’ items recommended by most insurance companies, though, there are brokers and other financial establishments that provide this kind of service. They will help you set-up a specific goal and aim for it.
There are two types of annuity: the immediate and the tax-deferred annuity.
In the immediate annuity, you start your retirement planning by giving a hefty amount of money to the insurance company or any financial institution for that matter. After which, your payment scheme will start at once. This type of annuity is usually applicable to those who are already 60 years old and above.
On the other hand, the tax-deferred annuities you may choose whether you will pay the retirement amount instantly or make a monthly disbursement until the time you reach your target date.
This is usually appropriate to those who start their retirement planning early, generally those who are 20 years old at the least.
4. Consider the Modified Endowment Contracts.
Annuities had been heading the limelight for so many years now. Most people would go for annuities, as this is the most popular retirement planning strategy. However, like most plans, it is still vulnerable to problems and crisis. That is why, it is best to make an alternative option when making a retirement planning.
The next best retirement planning strategy is the Modified Endowment Contract or the MEC. This is, basically, one kind of “insurance policy.”
In reality, MEC is similar to annuity, especially the tax-deferred annuity, in terms of the preliminary premium rates. Though, they differ in terms of tax codes.
In annuity, the tax code appears to be very unfavourable especially when the benefactor dies while the “annuity accumulation” stage is in full force. This, in turn, makes the deferred wage taxes on development suddenly becomes payable.
In contrast, the MEC resolves this problem by providing the benefactor or the beneficiaries with an “insurance rider” included in the agreement. The “insurance rider” is made to hand over the full amount to your recipients absolutely free from any taxes.
Moreover, MECs can give you the suppleness of choosing between the variable and fixed account preferences. This, in turn, will make your retirement planning relatively easier.
Nevertheless, whatever retirement planning strategy you choose, the bottom line is that it is really important to save for your retirement as soon as possible.
Most often than not, people linger on a little longer before they start making their retirement planning. This should not be the case because you can never tell what will happen next.
As they say, life is suspense; you will never know what it can offer you until the end. So, the best time to do retirement planning is now.
Will You Have to Pay Back the Debt Anyway?
The most widely held misconception about bankruptcy is that it’s the debtor’s version of the “get out of jail free” card in Monopoly. While most people know that bankruptcy affects your credit for 7 to 10 years, very few people know that it’s possible that you’ll have to pay back the debt anyway, even if you file a Chapter 7 “straight” bankruptcy. The formal definition of bankruptcy is “a proceeding in federal court in which an insolvent debtor’s assets are liquidated and the debtor is relieved of further liability.” On the other hand, the commonplace definition of bankruptcy is probably “the process of completely wiping out your debts for free.” In the majority of cases, the latter definition may be appropriate, but in some scenarios, it’s likely that even with bankruptcy, you’ll still have to pay back at least a portion of the debt.
So when is it likely that you’ll have to pay back your debts? Here are the most common scenarios when you’ll get all the negatives of filing bankruptcy (severe credit impact for 7 to 10 years), but none of the benefits (you’ll still have to pay back at least part of the debt):
1) You make more than the average person in your state. If this is the case, then it’s likely that you’ll be forced into a Chapter 13 bankruptcy plan. In a Chapter 13 bankruptcy, the court orders that you pay all your disposable income to a court appointed trustee, who in turn disburses payments to your creditors. Keep in mind that the court determines your disposable income by national and county statistics on average necessary expenses, not what you’re paying. So just because you’re paying a lot for a car doesn’t mean the court will approve it. There are numerous cases when a judge ordered families to stop sending their children to private schools so they can have more money to pay back their creditors. In Illinois, here are the latest statistics on the Illinois median income by size of household:
Illinois Estimate
1-person families 41,650
2-person families 52,891
3-person families 62,176
4-person families 72,368
2) You have assets. If you own a home or car, then it’s possible that the bankruptcy court will force you to sell them to generate sufficient cash to pay back your creditors. Chances are if have a good chunk of change invested (unless it’s in a tax-exempt account like an IRA) then you’ll also be forced to liquidate it. If you have a second home or another vehicle (assuming you own both completely), then you’re really out of luck. Fortunately, there are some safeguards to protect consumers from bankruptcy hell. In Illinois, every resident is entitled to at least $7,500 of the value of their home, $1200 of the value of their vehicle, and $2,000 for anything that they want (known as the wildcard exemption). Also, these values double if you’re married (assuming the property is in both of your names).
What does this actually mean? Consider the following example.
Let’s say you have a house that’s worth $250,000, and it’s in both yours and your wife’s name. You still owe about $200,000 on your mortgage, and you decided to file Chapter 7 bankruptcy. In this example, you would be forced to sell your home, and with the proceeds you would pay back the mortgage company what you owe on the outstanding balance of the loan ($200,000), you’d pay yourself the Illinois real estate exemption ($15,000), and then you’d pay back your other creditors whatever was left ($250K-200K-15K=$35,000).
Let say your house was only worth $215,000, but everything else in the above example remained the same. In this case, you wouldn’t be forced to sell your home because the proceeds from the sale wouldn’t amount to anything after you paid back the mortgage company and then paid back yourself the Illinois real estate exemption.
3) The creditors can prove that you were fraudulent and never had any intention of paying them back.
For the majority of us it means that unless a) you don’t have a lot of equity in any of your property, b) you don’t have any investments like stocks, real estate, ect., c) you don’t care about having to sell anything mentioned in points a and b, or d) you don’t care about having to give up your disposable for 5 years in a Chapter 13, then bankruptcy may not be your best option.
Why plan your retirement "Re-Fired" is of vital importance
Just about everyone we plan to retire one day .you can show with plenty of free time on your hands, do not commute, and finally the opportunity to travel with the person you love.
But statistics show that golden dream come true for only a handful of Americans. Some studies show that less than 10 percent of us will never retire. Even more alarming, other studies show a large percentage of dying within a year or two after retirement.
Clearly, a nice, healthy reform is not something that just "happens." To overcome all the challenges that lie in their path, you need to plan your retirement with wisdom.
I advise people in my seminars not to retire but to RE-FIRE. Instead of looking for retirement as merely leaving the world of work, look at retirement as a time when you can finally achieve the things you always wanted to do.
Most retirement advice revolves around tell him to put a lot of money in a savings account. While saving for retirement is important, most of what you must do to retire can also be carried out within five years of retirement.
Much of what you need to do to retire successfully is mental and spiritual. When many of us retiring, we walked away from a full working life of our day, exercised our minds and included most of our good friends. Once you are retired, you find that your days become empty and are unfulfilling, even depressing.
That is why it is essential to plan for new tasks, goals and attitudes to retirement. While sitting in an armchair and tasting the not having to go to work can be fun for a while, you'll need soon activities and relationships to make his days delivering. You will also need ways to create a satisfactory social life that often includes important new friends.
This is why RE-FIREING on their retirement years is the right approach to take. Instead of quitting, you are reloading and next to a life even more exciting.
Concentrate on achieving optimum health good, create stronger relationships you've always wanted, and finally perform some of their true purpose in life. Re-Firing can help you uncover what has been missing from your life, what you really want to do in their senior years and help you develop sound strategies to achieve its important goals quickly.
Sunday, May 13, 2012
Working Capital & Cash Flow Solutions: Should I Borrow From A Bank?
Recently, my newspaper reported that a local bank “...earned a four star excellence rating for the sixty-fourth consecutive quarter.” That’s sixteen years of four star excellence! The article went on to say that the “rating is based on a complex formula that includes …capital safety levels, quality of loan portfolio, and the ability to meet obligations…” The press release was designed to showcase the value of this bank and demonstrate its prominent position in the economy. As a former banker with over seventeen years of commercial experience, I chuckle at this information being tossed around by the bank and its regulatory agencies for self promotion and marketing purposes. I suppose that if you are a blue-hair whose purpose is to find somewhere other than under the mattress to keep your retirement funds, this article was good news. But what does it mean to the business owner or entrepreneur looking for a Funding partner to participate in an opportunity to grow, increase jobs and profit? In a nutshell this type of information should be a wake up call to find another bank-here’s why. Let’s explore the underlying meaning to business customers behind a portion of this “complex formula.” Capital Safety Level In layman’s terms this means that the bank has more than adequate reserves of Cash. Cash that is available, but not loaned out – its Capital Safe. Banks that have high reserves of Capital can be presumed to be low on the scale of aggressive lending. They hoard Cash - even though they cannot make the same return on reserved Cash as they can on employed Cash. But for the bank, it’s less risky to hoard Cash than to loan Cash, and therefore contributes to their four-star excellence rating. Quality of Loan Portfolio A high quality loan portfolio means that the bank’s loan loss experience is at or above levels set by regulatory agencies. One can infer that the bank therefore takes fewer risks. Bankers are not supposed to be entrepreneurial or take risk. A banker has never been rewarded for taking risk! The banking system rewards those who can decline any borrowing request outside of the underwriting parameters. Loan portfolio quality that’s high = low loan accessibility to business owners. It stands to reason that banks are not risk takers based upon the low returns they are willing to accept. Banks with four star excellence ratings seek out commercial customers who are stable and have limited need to borrow. The other 72% of business customers are left outside the circle of these banks. Where do these businesses turn to Cash Flow the Working Capital needs of their business? Where do they go to fund opportunities for growth and development of new market niches? More often than not they turn to the widely accepted world of non-traditional funding sources - preferred SBA lending companies for real estate and fixed asset needs, leasing companies for equipment needs, and Factoring companies for Working Capital needs. These non-traditional funding sources evaluate opportunities to participate by lending funds to small & medium sized businesses. Non-traditional lenders rates on borrowed funds may be higher than traditional bank rates, but their mission is to employ funds to obtain a return, not to let cash sit idle on the sideline in order to obtain a four star excellence rating. Their pricing reflects the perceived risk. And, they are not restricted by regulatory bureaucracy or fear of losing their four star rating as banks are. In this ever changing world, business owners are advised to explore opportunities outside of the traditional financing channels. Before a need arises a business should be familiar with alternative funding sources. And perhaps, when your bank informs you that they continue to achieve a four-star excellence rating…it would be wise to investigate your options pertaining to Working Capital and Cash Flow solutions.
Will Your Asset Protection Strategy Survive The Final Judgment?
Did you know that... we live in a lawsuit-crazy society? I'll bet you do know that. And I bet you also know that court judgments are getting more and more outrageous all the time. Unless you have some sort of asset protection strategy already set up, whatever assets you have built up can be wiped out from a lawsuit that does not go your way.
Asset protection is a means for protecting your valuables from future lawsuits and creditor collection attempts. While many people are looking for a solid way to do this, there are many ways where the asset protection options that they try are not going to work.
But, there are asset protection strategies that really do work. What you want to do is to search out the right ones and use them effectively. Asset protection, or more precisely having an asset protection strategy, is something that many more people should take advantage of. What I plan to do in this article is to help you not take the wrong path n your asset protection strategy.
The first thing to do is to have your asset protection strategy in place before you get involved in a lawsuit. I know, how do you know if and/or when you are going to be involved in a lawsuit? You don't. But,you don't want to wait until you are being sued.
If you are involved in a lawsuit and a judgment is placed against you, don't try to "sell" everything to your spouse or cousin or business partner for something like $1. If you start to arrange your assets to avoid them being taken after the fact of a court judgment, then that is like "closing the barn door after the horses have escaped". It is too late. That would be deemed illegal and is known as a "fraudulent transfer".
The court will recognize the transfer for what it is, an asset protection trick to try to keep your assets out of the hands of your creditors. The "sale" would be reversed by the court and the assets would have to be given to the creditor anyway.
By the way, there are also other things to be wary of when involving a spouse, another family member or relative or even a business associate in an asset protection scheme.
If it is found that your scheme was in violation of the Fraudulent Transfer Act then you could not only lose the assets that you were trying to protect, but there is the additional money the you would lose in court costs, attorney fees and the costs involved in collecting the debt. Also, your "accomplice" could have a judgment entered against him or her.
Another thing to keep in mind is that if you involve another person in your asset protection strategy by "selling" them your assets for a few dollars, the assets would legally belong to the other person and they would be able to do what they want with those assets.
It has occurred only too often that the new recipient of the assets has turned around and handled the assets in a manner that benefits them, leaving the original owner with nothing. Even though you trust somebody today, you never know what will happen in the future. So, in this case we can say, "Let the seller beware!"
One more point about "getting rid" of your assets through sale to your spouse: In the United States, if you live in a "community property" state then everything that is owned by you during the time of the marriage is also owned by your spouse and vice-versa.
So, transferring ownership to a spouse in a "community property" state does not help your asset protection strategy and does not protect you from creditors. The current community property states are: Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin.
One asset protection strategy that does work and has been known to work very well is offshore asset protection trust or APT.
Here the assets are protected from lawsuits because they are in oversea territories and therefore untouchable in most cases. Of course, it is important to take note of applicable fraudulent transfer rules as well. As in most asset protection strategies, timing is very important.
Another asset protection strategy that has been shown to be very successful is offshore incorporation and offshore bank accounts. There are many benefits for incorporating offshore. Legally limiting the amount of taxes you pay on your income, and protecting your business against lawsuits are just a few of the ways an offshore corporation or IBC can benefit your asset protection efforts.
Forming an offshore corporation need not be any more expensive or time consuming than forming a corporation within your own country. Be sure to use a legitimate and established firm when setting up your IBC. Make sure your asset protection needs are being handled in the way you want and that you get answers to all your questions.
Keeping with the asset protection theme of protecting your wealth from lawsuits, the offshore bank account will also help address this issue. Most companies that offer offshore incorporation will also help you set up an offshore bank account.
It would be a good idea to keep the account in non-US funds. The accounts are usually offered with an international debit card, so you can access your funds from an ATM wherever you have access to one.
In conclusion... Laws are different from country to country, and from state to state. You need to get professional advice from a competent financial advisor as the first move.
Do not wait until you are already in financial trouble because then it would be too late. If you transfer assets in order to put them out of reach of your creditors at that time, it may be seen as fraudulent and illegal. You need to have an asset protection strategy in place before you are sued, and before anyone tries to take your assets away.
It is never too early to get a plan in place. Just remember the old expression, "If you fail to plan, you plan to fail." Do it NOW!
Work At Home Moms - Save Money This Holiday Season
As the holidays approach, many work at home moms begin feeling a sense of dread --
* How will we afford gifts?
* Will I start the new year even further in debt?
Saving money is the same as making money, in my opinion. Either way, you'll have more money in your bank account. Here are a few ideas to help you save money this holiday season as well as earn a little extra cash. I hope these help give you some hope heading into the holidays.
Save on Advertising Expenses
Reduce your Advertising Budget. I hear so often from moms who are using paid advertising as their sole method of promoting their online businesses. Advertising is great, but it is just one of the many ways to promote your business. Enhance your exposure with some of the free ways to promote your business, from press releases and articles to more effective networking. Make an effort to stretch beyond your comfort zone to try new ways to draw more traffic to your website.
eBay - List it Now
People are spending money like crazy this time of year. List all your extras on eBay to earn a little extra cash for the holidays. Outgrown clothing, toys that your kids don't play with, movies, books -- all the items currently taking up space in your home could put cash in the bank. Plus, by cleaning out the house, you'll have more room for the new
goodies that Santa brings.
Bartering
Have you tried bartering? You can trade products or services with other work at home moms that you meet. If you have a talent with writing or website design, trade with a mom in Direct Sales for products. It benefits both of you. The mom receives much needed help with aspects of her business that she may not enjoy or care to learn - and gets rid of extra inventory. She may also receive an ongoing customer from the barter, once you fall in love with her products. And, you receive products that you can give to loved ones for the holidays.
You do not need to start the new year further in debt. Plan your business promotions, barter for gifts, and sell your excess stuff. The holidays will be much more enjoyable, knowing that you took efforts to make them affordable.
You Might Still Want to Refinance
Even though rates are on the rise, that doesn't mean you shouldn't refinance.
Practically everyone has refinanced or thought about it at one point in time. We've seen the dozens of commercials that urge us to do it. With rates at record lows over the past few years, refinancing has helped many borrowers lower their monthly payments.
But rates are now on the rise. Refinancing applications have fallen slightly. Most people don't think you should refinance when rates are going up. However, many refinancings are "cash-out" refinancing. That means that equity is handed over to the homeowner in return for a larger mortgage. Many people need that cash.
Some people are refinancing their homes for a "cash-out" because they have a significant home-equity line of credit balance. This line of credit has an adjustable-interest rate, which is going up on them. They refinance it in with their first mortgage at a fixed rate. They aren't eliminating the debt, just fixing the interest rate and monthly payment. If you don't need the revolving line of credit, you should probably take advantage of the fixed rate.
There are many homeowners that piggyback their mortgages when they are buying. They end up with one mortgage for 80% of the value of the home and a second mortgage for 10%. They put the remaining 10% down on the home. Since the first mortgage is only for 80% of the purchase price, they avoid having to pay PMI.
Many piggybackers have a line of credit as the second loan. Others simply want to consolidate into one loan that would be easier to keep track of. Either way, refinancing into a fixed-rate isn't a bad idea. And one payment is easier to make on time each month than two.
Those out there with adjustable-rate mortgages are starting to get a little nervous. Interest rates have been rising pretty fast. The gap between the rate of a adjustable mortgage and a fixed mortgage has narrowed so much that you really don't save much by taking the adjustable mortgage. Many are looking to avoid rising interest rates by financing to fixed-rate mortgages.
Refinancing can be a good thing. You can get a fixed rate to counter the rising interest rates. You can use cash from a refinancing to consolidate your debt. You can improve your home. But you should be careful about taking too much equity out of your home.
Many advisors warn consumers not to use their homes as personal piggy banks. If home prices decline, you could owe more than your house would sell for. In a cooling, or slowing, real estate market, you do not want to be maxed out on the equity in your home. If something happened and you had to sell, you want to walk away from the closing table with money, not have to go to it with a check. Paying to sell your home isn't how you want to do it.
Fixed-rate mortgages are always a good and solid financial choice. Anytime you are looking to refinance, your best option is to go with the shortest-term, fixed-rate mortgage you can afford.
Saturday, May 12, 2012
Why bankruptcy is not always the best option when in trouble
It is a sickening feeling when your debts begin to stack up, your marketing strategy is failing and it doesn't look like you'll never be profitable. His family is getting stressed, your company cannot pay their bills and customers are starting to make angry phone calls asking why things that they paid for are not happening.
At the moment, many people feel ready to throw in the towel. I'm here to tell you why you shouldn't be one of those people.
A proverb.
There is an old Chinese saying I'd like to share with you: the temptation to stop will be increased shortly before you are about to succeed. Nowhere is this more true than at home business. You may feel that you're failing repeatedly, until you feel like giving up. The paradox, however, is this: do you really haven't failed until you have given up.
Never fear.
If you really want to, there will always be ways to raise money for your organization. You probably have all kinds of accounts for things that you don't use, not to mention goods that could be sold or relegated. Did you know that the average person has thousands of dollars in random things lying around in your home? In other words, you can always find the money if you're really determined and not afraid of losing everything.
The only thing that you really should try to protect is your House and some money for basic foods--everything else is expendable. Never forget that the worst thing that can happen to you is that you'll have to go out and get a job. This really would be so tragic?
Fear is the enemy in the business. You can't give in to your fear and give up before you he gave his all-the real reason why so many home and small office enterprises fail is that their owners of chicken and flee at the first sign of problems.
The captain goes down with his ship.
When the chips are down, the only thing to do is to bet your personal success in the success of your business. After all, what's the point in bailing out before you have that? You're guaranteed to lose money that way.
Someone once told me that the difference between an average Joe and an entrepreneur is as follows: the entrepreneur won't give up on a deal until your creditors come and take everything he owns. And even then, he can try to hide them and keep things going on your friend's basement.
Don't tell customers.
It may seem dishonest, but please don't tell any one of its clients that things are going wrong because your business is in trouble. They will run immediately, putting your company a mile in a situation far worse than it was before. You should always try to make it appear that everything is going very well-problems of admission will put the final nail in the coffin of your business.
Try a voluntary agreement.
If your creditors are at the point of knocking on your door, you should try to get a voluntary agreement with them before you even consider to declare bankruptcy. That's when you negotiate your debts down to a lower level by using the threat of bankruptcy, and its creditors, sign an agreement with you to say that will leave you alone once you have paid this money.
The absolute last resort.
Just can't get across you as you should not consider bankruptcy as a viable option, ever, until you absolutely is forced to it. Think of it as being like suicide: the absolute last resort. You would commit suicide because his business was going badly? I hope you responded No-which means that you should not consider bankruptcy either.
Having had a bankrupt company stays with you for a long time in everything you do: your credit rating, your employment history and even how you think of yourself everyday life better have all fought is hand than give up voluntarily – otherwise you will always be tortured by wondering what would have happened if you had kept going a little longer.
Why You Should Consider Trading Futures
One of the least understood financial markets is the one for futures. That is in part a function of the fact that for many years it has been referred to as “commodity futures”, which has no doubt turned many would-be traders away, folks who don’t have any interest in things like Pork Bellies and Frozen Concentrated Orange Juice (to include a few from the popular Trading Places film). The other factor is the perceived complexity of the futures market. The fact of the matter, though, is that futures trading is incredibly diverse and not as difficult to do as many think.
Sure, for decades futures trading focused on the commodity markets. That’s a simple function of how they developed. Now, however, the focal point has shifted considerably. Yes, one can certainly trade agricultural good, energy products, and metals. These days, though, there is more action in things like interest rates, currencies, stock indices, and even stocks themselves.
What’s more, technological developments have made the futures market much more accessible to the individual trader. It is now possible for even lightly capitalized traders to operate effectively in the futures market, something difficult to do in years gone by. That has opened up a whole array of new opportunities for the individual to pursue their trading goals.
Consider this. Nowadays just about anyone can trade things like Gold and Crude Oil. These markets have made enormous runs in recent years. One could also take positions in the US Dollar at a time when it has shown persistent weakness, or in US Interest Rates as they were steadily increased.
As for futures being complicated - not really. Are they different than trading stocks? Sure. They are leveraged instruments. That means they present some very exciting opportunities for traders who use them in the context of well developed risk management strategies (which all traders should have anyway, regardless of market).
Futures prices move just like those in any other market. The same analytic techniques used to trade stocks or forex or any other market can be applied to futures. Their prices are, after all, based on those of the markets underlying them. That is why they are referred to as derivative instruments – they derive their value from other markets. Stock index futures track stock indices. Currency futures prices move with foreign exchange rates. Single stock futures follow the prices of the stocks they represent.
Naturally, this derivative nature does mean some differences in the actual trading of futures as opposed to the markets underlying them. The concepts involved, however, are easily understood. It is possible for one with a basic understanding of trading and the markets to grasp them quickly and be operating effectively in the futures markets within only a short period of time.
If you haven’t already done so - and if you’ve read this far it’s a fair bet that you haven’t - take the time to look at the futures market. They could very well provide you with the opportunity to make excellent strides in your profitability and risk management.
Why bounced Cheques mean bad business
Small businesses rely heavily on maintaining a good cash flow, with your customers pay on time. So when half of the United Kingdom are suffering poor small business cash flow that is bad news for small businesses.
Recent research shows that small, medium and large companies had many returned cheques. Micro-enterprises with fewer than 10 employees, have been less affected.
One way this can happen is when someone pays a business by cheque for goods or services. The deal pays him on your bench. The prudent business owner verifies that the check has cleared and writes new checks based on the money that's in the business bank account. Later it turns out that the check had not cleared at all and the owner of the company is now overdrawn and in debt. This means steep bank charges and makes it less likely that the company facilities will be extended in the future.
Understanding the Cheque clearing system most people know that a cheque takes anywhere from three to seven business days to clear. The date on which a cheque clears depends on: 1. the currency which your check is on. Pound sterling cheques in the United Kingdom clean faster than cheques in French francs, for example.
2. If the Bank that issued the check is from the same group of companies as the Bank the cheque being paid. Checks typically take longer to clean up when paid outside the banking group.
3. If the check is paid in one business day.
What most people don't know is that most banks ' Clean ' checks when the expiry of the normal compensation. This sometimes happens before the Bank has verified that the funds are available. The Bank provides for the withdrawal of the amount of the cheque, but he really didn't have cleared.
Some unscrupulous people can use this to your advantage. For example, they could pay with cheque for products or services, write the wrong amount on the check, ask for a refund and disappear with the money pit before the cheque clearing process is complete. When the original cheque bounces, is a small business that is left face an angry Bank Manager and a large Bill.
Payment assistance for enterprises, fortunately, there are other ways for businesses to receive money from their customers. The first is the banks Automated Clearing System (BACS). This is a secure system in which payments take only three days to clear. This system is commonly used to pay salary cheques directly to the employee's bank accounts.
A more expensive system (with rates around £ 25 per transaction) is the Clearing House Automated payment system (CHAPS). This system allows the same electronic money transfer day.
Business owners who are worried about being left with a big debt should consider getting their customers to pay for one of these systems, whenever possible. This will reduce high business cost of returned cheques.
Why owners choose to small credit cards
The credit card market of small business is a rapidly expanding market in the financial services industry. If you plan to apply for credit cards, small business, see how your reasons if compare with those of other holders of business credit card:
· Credit cards offer credibility and legitimacy to your business. It is an intangible benefit, but when the business credit card company approves a credit card for your small business, it gives a signal to other merchants that your business has good sound credit. A business credit card is a very credible imprimatur.
· For the start-up or small company, which has a spotty record, a business credit card enables your company to build or rebuild a credit history. Ensuring that this story positive credit remains consistently, you will lay the Foundation for securing a business loan or line of credit if you decide to expand the business in the future. The business credit card is your credit line guaranteed by now.
· Business monthly expenses are easier to manage with a business credit card. The monthly statement of business credit card account help with reconciliation of purchases made on behalf of your company.
· The usefulness of the business credit card statement is not limited to control business expenses. It can also be used as a reliable alternative documentary evidence – and acceptable – when you prepare their books and financial reports for income tax purposes.
· Credit cards and personal credit cards and rewards has similar benefits. When you have a business credit card, you will have a separate opportunity to enjoy discounts, cash back and rewards points on purchases of goods and services needed for your business.
· When you have credit cards issued to their employees, can make purchases on behalf of their company without advancing its own funds or use credit cards when travelling for business. Your use of business credit cards facilitates the accounting for expenditure.
· When you charge credit card purchases, you will have the chance to enjoy cash discounts. Companies that offer business-to-business products usually give significant discounts when the purchase is paid in full at the time of purchase. If the purchase for a credit, the discounts are smaller and calibrated according to the funded period. Charges to your credit cards always count as purchases of money, because the issuer of the credit card business will take care of paying them shortly afterwards.
· Purchases made on your credit cards can benefit from special insurance protections since the company business credit card. In case something goes wrong with the item that you purchased through your business credit card and the merchant is not willing to return the money, the insurance protection will cover the amount.
· There is legitimate concern about the high interest rates on credit cards. Suffice it to say that these are still lower than merchant credit rates. If you use effectively the float period and then pay off your total balance each month, you really avoid paying any interest at all. If you plan to carry a balance, make sure that you find the business credit card with lower interest rates.
· Business credit cards rewards give great benefit when you do a lot of travel.
In short, it makes sense for a good deal to have a credit card or two at your disposal.
Friday, May 11, 2012
Wyoming Could Play A Key Role In U.S. Nuclear Future
Will the Wyoming Uranium Province Rival Canada’s Athabasca or Australia’s Northern Territories?
“Geology is 90 percent terminology and 10 percent science,” laughed Ray E. Harris, one of Wyoming’s leading geological theoreticians, having been with the Wyoming Geological Survey since 1982. He died on March 7th. Two weeks earlier, we met with and interviewed Mr. Harris. Everyone we met in Wyoming, and who was interested in uranium mining, had, at one time or another, passed through his office, which was adjacent to the University of Wyoming in Laramie.
Ray Harris traveled the world, investigating and studying uranium deposits. He was well versed on the geology of every significant uranium deposit on earth and was also involved in the exploration, development and mining of uranium. In a Geological Survey of Wyoming Public Information Circular, published in 1986, Ray Harris presented a unique, and possibly controversial, thesis, “The genesis of uranium deposits in Athabasca, Canada and Northern Australia – Wyoming exploration significance.” In his introduction, Harris wrote:
“Wyoming has some uranium occurrences in geological environments similar to those of Australia and the Athabasca Basin, and appears to have the potential for a uranium deposit similar in magnitude to those deposits.”
Harris acknowledged in his paper, “Reported reserves for these two regions are 436,360,000 tons of U3O8, or one quarter to one third of the noncommunist world’s proven reserves.” At the same time, the total 1982 U.S. uranium reserves at $30/pound stood at 203,000 tons. Wyoming’s piece of that mineable pie stood at 32,700 tons. His was a bold statement, open to debate it not outright dispute and dismissal.
Perhaps there may be truth in Harris’ claim. In 1981, E.S. Cheney published an article in American Scientist, entitled “The Hunt for Giant Uranium Deposits,” where he explained a giant deposit would contain more than 100 million pounds of recoverable U3O8. But can the parts amount to more than a single giant uranium deposit? William Boberg in his 1981 article, “Some Speculations on the Development of Central Wyoming as a Uranium Province,” published in the Wyoming Geological Association Guidebook, wrote, “The Wyoming Uranium Province consists of several uranium districts (Gas Hills, Shirley Basin, Crooks Gap, Red Desert, Powder River Basin and Black Hills) each of which is made up of a few to numerous individual uranium deposits. In Part 2 of this Wyoming Series, uranium savvy Senator Robert Peck speculated there were “50 to 60 million pounds of recoverable uranium in the Gas Hills proven by previous drilling.”
Warren Finch in U.S. Geological Survey Bulletin #2141 (1996, US Government Printing Office, Washington), wrote in his paper, entitled “Uranium Provinces of North America – Their Definition, Distribution and Models,” that “… provinces are identified by the distribution of major uranium clusters, generally of a size of 500 tons and more U3O8…” Since January 1970, when S.H.U. Bowie described how to go about defining uranium provinces and searching for major uranium deposits in a paper he presented tot the International Atomic Energy Agency in Vienna, geologists have been eager to compare similar geological settings between geographically diverse uranium deposits, and more accurately define uranium provinces.
Ray Harris wrote in his previously quoted article, “There are no producing ore bodies in the United States similar to those of the Athabasca Basin and Northern Australia, but two deposits, not currently being mined, may be of similar genesis. These are the deposits near Chatham, Pittsylvania County, Virginia, and at Copper Mountain, Fremont County, Wyoming.” (Editor’s Note: According to the Strathmore Minerals website, the company’s Copper Mountain property, previously drilled by Anaconda Uranium Corp through 1997, lists an historical contained resource of more than 38 million pounds of U3O8. Strathmore has not done sufficient work to verify this resource estimate.)
Harris explained that a high-grade uranium deposit in the United States, of geological similarity to an Athabasca Basin grade deposit, could not be quickly ruled out. He cited the Chatham, Virginia uranium deposit, grading four pounds per ton of ore, and which he believed might contain 30 million pounds of uranium oxide. He wrote, “… the setting is similar to non-conformity uranium deposits… on first glance, it seems to have formed similarly to the Athabasca and Northern Australian deposits.” Unfortunately, the Virginia legislature voted to ban uranium mining, which offers a temporary setback on this deposit. That is not the case in mining-friendly Wyoming, where in Part One of this series, the state governor is urged companies to bring uranium projects and money to his state.
Wyoming’s Geology Potential for U.S. Utilities
It is known that Wyoming has multiple roll-front uranium deposits in its sandstones. A pro-mining state, prolific numbers of roll-front uranium deposits, and a rising spot uranium price in a uranium bull market all combine to make Wyoming the U.S. center for in situ leach mining (ISL), also known as solution mining. However, as Ray Harris had suggested during our interview there may be larger uranium source, possibly one that may be competitive with Athabasca Basin or Northern Australia. It is a premise he had argued in the 1980s, in the previously quote work, and again in 1993, Harris’ paper, entitled “Geological classification and origin of radioactive mineralization in Wyoming.”
In his 1986 work, Harris concluded, “Given the impressive length of exposure, the relatively shallow subcrop depths of favorable nonconformities in Wyoming, and the great amounts of uranium available for mobilization, a nonconformity-related uranium deposit should exist somewhere in Wyoming.” One possibility, as Harris suggested, may be in Fremont County’s Copper Mountain area. Harris wrote that at the Copper Mountain area, “Uranium occurs in fractured and faulted Precambrian rocks and in the nonconformably overlying Eocene Tepee Trail Formation. The uranium occurrence is subeconomic but of promising grade and size.” He added, “The uranium is spatially related to fractures and subsidiary faults associated with the Laramide North Canning fault. Rocky Mountain Energy Company has conducted detailed drilling on the North Canning deposit.”
Harris explained that mineralization occurs in the Precambrian granite and enclosed metasediments. The mineralization is said to be primarily low-temperature pitchblende and coffinite. Harris compared the North Canning deposit to nonconformity- related uranium deposits. He wrote, “It is likely that the deposit formed by processes similar to those that operated in the Athabasca and Northern Australian regions.” We checked with David Miller of Strathmore Minerals (TSX: STM; Other OTC: STHJF) about their Copper Mountain holdings. He responded by email, “We own all the federal minerals in the area that covered uranium mineralization: about 75 percent of the gross uranium resources. The Canning Deposit is owned about 60 percent by us and 40 percent by Neutron. Strathmore Minerals has around 100 mining claims in the area.”
The source of Wyoming’s roll-front uranium deposits are open to debate and have yet to be clarified. In 1981, William Boberg wrote, “The major deposits of Wyoming occur in the Lower Cretaceous Inyan Kara Group of the Black Hills, in the Paleocene Fort Union Formation in the Powder River Basin, in correlative Eocene sandstones in all of the major uranium districts.” Warren Finch later described Wyoming’s roll-fronts, in his previously quoted work, “The predominant type of uranium deposit is the roll-front sandstone deposit in Tertiary continental fluvial basis developed between uplifts. These ore deposits were formed by oxidizing uranium-bearing ground waters that entered the host sandstone from the edges of the basins. Two possible sources of the uranium were (1) uraniferous Precambrian granite that provided sediment for the host sandstone and (2) overlying Oligocene volcanic ash sediments.” Ray Harris appeared to lean more toward the former. William Boberg has argued more toward the latter explanation for a uranium source.
Boberg wrote, “It appears that currently available evidence is in support of a hypothesis calling for combined sources of Precambrian granites and volcanic ash falls which produce a unique, uranium-rich, ore-forming liquid that invades very porous and permeable young sediments to form large altered tongues and discrete deposits in a geologically short period of mineralization.” It has been calculated that a typical altered “tongue” would take 700,000 years to form; a typical roll-front uranium deposit could be formed over 50,000 years.
Boberg speculated it was the numerous and extensive uranium-enriched ash falls from Middle Eocene volcanism, which was responsible for these deposits. He wrote, “Of greatest importance is the fact that a series of volcanic events from a variety of extrusive centers began about 50 million years ago generating tremendous volumes of ash, which was distributed across Wyoming and adjacent states for greater than a 40-million year span of time.”
His explanation of the volcanic ash provides a valuable insight into how Wyoming’s uranium deposits were formed:
“The volcanic ash, when flushed by the first rainfall, produced a unique fluid, which was acidic and charged with ions. The chemical reaction of the buffering on this fluid on contact with the Precambrian granites, the ash and other rocks brought the pH back to approximately neutral but leached additional uranium from the granites and probably the ash. The high rainfall and climate assured a steady supply of dissolved oxygen to the fluid resulting in the formation of a unique, oxidizing, uranium-enriched fluid, which entered the unconsolidated, reduced sediments oxidizing them and carrying the uranium to the eventual maximum extent of oxidation.”
Boberg explained the development of the roll-fronts, writing, “Fluid flow through the very porous and permeable sediments would be relatively fast allowing for the development of large oxidized tongues with the young sediment as well as scattered uranium deposits at the redox (oxidized reduction) interface within approximately a million years. Deposits formed near the granitic highlands would be larger and of higher average grade because of the proximity to the dual source of granite and ash.”
J.D. Love’s uranium discovery in Tertiary sandstones, in 1951, was a near-surface roll-front type of redox deposit. A roll-front deposit follows a sinuous linear trend, often C-shaped. Colorado and Utah miners began calling the cross-sectional configuration a “roll” in the early 1940’s. Roll-fronts occur in sandstones, bordered above and below by less permeable shales. In Wyoming, the “rolls” are bordered by altered and unaltered sandstone. It is generally concave from altered ground and convex into unaltered ground. Harris’ idealized roll-front uranium deposit would have “uranium concentrations decrease abruptly away from the concave boundary, and concentrations gradually decrease away from the convex boundary in reduced rock.”
Uranium is not always present everywhere along a roll front. It may be unevenly distributed and there are often other elements, such as vanadium, selenium, molybdenum, copper, silver, lead and zinc. Geologists look for where coarse-grained sandstones grade into finer grained or clay-bearing equivalents as indicators for uranium ore. As uranium geologists know with roll-front deposits, it may be mined as long as it is below the water table. Once deposits are brought above the water table, the uranium concentration can be eroded and severely modified.
It is not the roll-front uranium deposits, which interested Harris, but the tabular redox uranium occurrences found in many parts of Wyoming. He found those most prominently in the Cretaceous Inyan Kara Group in the Black Hills. Harris explained, “The uranium mines in New Mexico and many other parts of the Colorado Plateau are also tabular deposits.” The tabular bodies, Harris noted, describe their irregular tabular form, and are found parallel to bedding, dissimilar to roll-front mineralization, which crosses bedding. Harris believed some of the tabular bodies in Tertiary rocks were “the limbs and detached limbs of roll fronts left in less permeable rocks at fluvial channel margins.” He also said that tabular bodies could be preserved in oxidized rock due to high concentrations of other rock, such as coal or pyrite.
In any event, Harris agreed with other geologists that Wyoming is a uranium province with uranium occurring in nearly all major time divisions in the state. He concluded, “Uranium was available for mobilization during every major weathering period related to the nonconformities.” In our final minutes together, he was convinced that many of the uranium development companies should sink more funds into exploration and find the elephant uranium deposits, which he pointed out in three different parts of uranium. To his way of thinking, that was more exciting that the simple ISL extraction of uranium from previously drilled areas. As with others interviewed, few of those areas will hold surprises, but instead offer the steady, cash-producing uranium extraction that help develop budding companies. That’s what U.S. utilities, and utilities from other countries, are eagerly seeking right now. Wyoming uranium could fuel many of the U.S. nuclear reactors as more companies commence ISL uranium operations.