Financial Safety Advice

An extremely important aspect in the management of credit risks, is related to risk analysis and review, and the classification of customers.

The quality of the portfolio of loans is the credit risk, which depends primarily on two groups of factors:

- Internal factors that depend directly on its own administration or ability of executives from each company.

- External factors that are independent of management, such as inflation, unanticipated depreciation of local currency, climate disasters, etc.. here appears as a major state basic macroeconomic balances that jeopardize the payment capacity of borrowers.

This risk is measured by net credit losses.

Among the internal factors we can list the following:

Loan volume: the higher loan volume, the greater the losses for them.

Credit policies: the more aggressive credit policy, the higher the credit risk.

Mix of credit: there is much more concentrated lending by companies or sectors, the greater the risk you are assuming. Therefore it has been determined that only 20% of the assets of a financial institution can lend itself to an economic group or person or entity, in order to safeguard the health of banks and financial institutions.

Geographic concentration: economic, number of debtors, economic groups and each group shares: therefore there is no doubt that any kind of portfolio concentration increases the risk of a financial institution. Read the rest of this entry →

First of all make sure of it is you who has the last word. When you go to a dealer or showroom you are the customer and must be treated as such. If you are being pressured, or coerced disrespected, get up and go. That is not the only place to buy a car. Whether you recommended it, or you were offered villas and castles, whatever it is what led you to that place, if you do not find what you need, run!

How have your experiences at a dealership? Good? “Bad”?

Before going to see the first car you need to know “can you buy a car with financial aid”:

a) How much maximum you will pay in total for the car, whether new or used. Things easier not only for the amount paid each month, imagine that you pay in cash, how much money you’re willing (a) to invest in this vehicle?

b) How subtractions from your current car loan and whether you will use in negotiations. Not recommended as initial order of the still owe money, you could owe more than their resale value of that debt is added to the new loan. In addition, we recommend keeping separate negotiations: first the price of the car to buy, then if you decide, negotiate the price and if you should sell the car. Read the rest of this entry →

Today there are no clear rules to establish equal rights for all citizens related to open bank accounts in financial institutions under the orbit of the European Union. The power of any inhabitant of a European country to have a bank account does not appear regulated. It is well known bank accounts are an almost indispensable service for these times, so you should complain to the economic and financial organizations equal treatment for all people. At present each country manages its own rules, which implies a lack of knowledge of the rules governing the various countries by workers and students when any transfers outside borders. The shortcomings in the appropriate information and lack of knowledge of the laws that regulate the simple act of registering a bank account in a different country of the European Union may cause some inconvenience to customers and users of member nations.

In some of the countries of the European Union, the decision of whether or not a bank account is an entirely commercial decision due to the economic organization where the operator carries out processing. The role of contractual independence means that lenders are not obliged to accept the opening of bank accounts to any resident who claimed and under any situation. The decision to reject or not the request to open bank account is purely commercial and spring only from the house bank. At the other extreme, there are other European nations which require their financial systems to receive all the paperwork submitted for opening bank account, including also those corresponding to a bank account online. The reason for this action goes back to times gone by when the system was reasonable for low-income citizens, but at present this mechanism has been extended to all citizens. Read the rest of this entry →

The issue is not to stop making money and that is what they are complying strictly financial institutions, in light of declining revenues by lower demand for mortgage loans before the crisis in the sector.

To avoid this situation, many financial institutions have decided to raise the fees charged for their cards, in what refers to the credit, which we have raised its annual fees by 16% to 28.89 euros on average, while debit cards have risen to 13.71 euros and withdrawing cash on credit from the bank itself these commissions are located in the 2.82% and if on the same network but a different bank reaches 3.98 %.

But not content with this, banks have also decided to raise fees for the opening of new loans, not mortgages, up 2.77% maintaining the same level as in 2007 the other committees, such as study or the maintenance and account management.

So, we have no other choice but when we become annual fee card, go to the bank to try to pay us the amount charged or not to pull cards or apply for loans, more difficult and in times of crisis.