Top Five Money Saving Tips on Life Insurance Premiums

Opting for a Life Insurance plan is always a sensitive issue. Few people feel it is mandatory whereas others think it is not necessary; however it does leave you safe in the knowledge that your family are financially secure after you’re gone. Friends and relatives might come forward to give moral support but generally do not turn up regarding money matters. This is a common scenario in today’s era.

tips following which you can save money on life insurance premiums:

Hence Life Insurance is the only solution to the above problem. It provides financial assistance to your family and off-springs so that they can succeed and fulfil their dreams in your absence.

Payment Protection Insurance (PPI) is another type of insurance which can be utilised during a financial crisis or unexpected mishap. PPI claims is used to pay loans during emergencies or at a time when you are unable to make your payments. In cases such as a person loses his job, is bedridden due to an accident or prolonged illness or in the worst case, if a person has passed away. During such crises the PPI claims take over the responsibilities to pay your loan payments on time and help you to avoid paying penalties due to delay.

Here are the top five tips following which you can save money on life insurance premiums:

Low investment is not always the best one:

The customer must always be sure of the policy before choosing one. It must be noted that the plan that has the least investment is not always the right choice. Accurate calculations must be done and analysis must be made as to whether your investment is in the right hands and whether you can achieve the monthly payments.

Tax deductions:

This is another important factor of consideration while you choose your insurance company as well as the policy. Deductions of tax are dependent on the proposal chosen. Always take the plan that best suits and satisfies your necessities. Also the tax regarding the premiums of the PPI is deductible. Here you can claim the tax paid.

No-load policies:

No load policies are insurance plans with low cost. As mentioned above a detailed study regarding the proposal is mandatory. These are generally purchased from advisors. These advisors take the complete fee at once and do not depend on commissions.

Guaranteed Policy:

Deciding on the strategy that best benefits you is the key goal. Do not choose a guaranteed issue policy if you do not need it because you will be paying high premiums.

Extend you policy:

If you feel your requirement has changed then add proposals to your existing plan. Expanding your plan is more beneficial than buying a new one.

The 'Not To Do's' of Borrowing

If you don’t remember that really great party you went to, the chances are you do remember the hangover. But what could be worse than a ‘loan hangover’?  Receiving the cash might have been fun, but if you wake up wondering how you seem to have taken out a loan that costs more than a designer handbag, then you won’t be feeling great.

So to avoid that ‘morning after the night before’ feeling, I’ve put together a simple guide about how to borrow wisely.

berrowing rules

Don’t Borrow Money you Don’t Need

Do you really need the money? Firstly, borrowing money is sometimes necessary, but if you are borrowing to fund a lavish and unessential purchase, then it would be a lot cheaper to save for it instead. It’s a lot better to go without something, than face the stresses of repaying a debt that you don’t actually need.

Don’t Borrow Money you Can’t Afford to Repay

Can you afford a loan? If you find it hard to stretch your money, then you need to work out if you can afford the repayments. Defaulting on a loan will damage your credit score, and make it even harder to borrow at a sensible price later. So be sure to take a hard look at your finances to work out what you can afford to repay each month. The golden rule of borrowing is to only borrow what you need, for the shortest amount of time possible.

Don’t Believe the Hype

It’s an unavoidable fact that having a poor credit history means lenders just don’t trust you to    repay. This results in being charged high interest rates. If you need a loan and you have a bad credit score, be wary of lenders who seem eager to lend to you whatever your circumstances. A responsible lender should only lend you what you can afford to repay.

Don’t Borrow without Comparing

Shopping around for the best deal you can find is essential. Remember that there are now hundreds of lenders offering different terms and different APR rates. If you have a poor credit score, your choice will be more limited, but even within the bad credit loans market there is still competition between companies who want your business. So always shop around.

Don’t Ignore the Small Print

Reading terms and conditions might not be a lot of fun, but again, this is a really important consideration in finding the right loan. The small print should explain the fees and charges, APR rates, and early re-payment penalty fees, if there are any. Be sure you know all the details before signing on the dotted line.

Don’t Despair!

Being rejected for loans is a miserable business if you need to borrow money, but there are still options available. If your friends of family don’t have funds themselves but are willing to guarantee a loan for you, then guarantor loans are a good way forward if you have a poor credit score. Again, always shop around for the best deal, and don’t borrow if you are already in debt – always seek specialist help.


Five Steps To Dealing With Stress And Anxiety Associated With Debt

When submerged in debt problems, it becomes very easy to be affected by increased levels of stress and anxiety.

After all, it’s only natural that we’re worried about a problem such as debt. It can affect our mental wellbeing and consequently put a strain on our relationship with friends, family and partners.

The key to all of this is to not let any mounting debt problems affect other areas of your life and creep into the concerns of your day-to-day activities. All types of debt can be handled with if approached in the appropriate manner and dealt with efficiently. Remember, thousands of people across the country are in the exact same position as you.

Dealing With Stress And Anxiety Associated With Debt

Below are some tips and advice on how to avoid becoming increasingly stressed and anxious at your financial perils.

Talk: 

The first thing to mention to take into consideration is talking about your debt. Don’t keep your financial troubles to yourself if it’s troubling you. Talk about it to close family members who are likely to be able to give you some wise words of wisdom and help you with your anxiety.

Another great way example of using communication to help you with your stress is to contact free advice help lines such as the National Debtline and the Citizens Advice Bureau. These organisations hire trained professionals who are capable of dealing with all sorts of debt-related issues.

Take action: 

Start taking action on your debt by drawing up a strategy. Ask yourself; ‘What am I going to do to repay the debt?’ Developing a budget and taking on a second job are useful ways to gain some extra cash. Once you have created an idea of making more money, it’s likely your state of mind will become clearer and more at ease with the process of debt recovery. Again, take advantage of the aforementioned help lines which can aid you with such planning.

Confidence:

By taking action and starting to make small savings, you’ll find that your confidence will start to build again. It’s imperative that you keep a positive attitude at all times and reassure yourself that you will overcome the debt and look forward to a bright future. Just think how could life will be without any debt! That’s your goal!

Relax:

To help maintain your healthy well-being, there are a number of practices that you can take on board. Firstly, make sure to always get a good night’s sleep. A lack of shuteye can leave you feeling agitated, tired and uncoordinated. Secondly, eat well and keep to a balanced diet – fatty foods are not only bad for the waistline but also your well-being. And finally, stay active. There’s nothing like the positive stimulant you receive when you’ve just completed some form of exercise.

Solution:

Above all else, the stress and anxiety that you can suffer from during your debt recovery can be reduced significantly if you come up with a solution to your problems. Take into the account the advice this article has given, contact an advice help line and strategise your way out of debt and envision the amazing future that’s just around the corner for you.