Do you know in every 43 seconds, one hit and run accident occurs in the U.S.? According to the AAA Foundation for Traffic Safety data, the highest number of such accidents was reported in April 2018.
That’s not it!
On average more than 1800 cases of hit and run cases are reported in the state. And approximately 65% of the people involved in these accidents are either pedestrians or cyclists. These statistics are shocking. Right?
Generally, an accident leaves a massive impact on the mind of the victim. But to think that the driver at fault left the accident spot, makes it unbelievable and disappointing. As a matter of fact, human beings can’t have control over everything that happens. Perhaps that’s the reason why a car crash occurs. However, one has control over the steps to take after the collision.
Having said that, it is inhumane to leave the things as it is and drive away. That’s why you should take the matter into your hands and fight for what is right. If you are worried about what you should do? Then, no need to worry! Just scroll down, and you’ll learn about the steps to take!
Call the police
First of all, you need to report the accident to the police. Don’t make the mistake of going after the driver at fault. Instead, stay at the location and wait for the police. However, if possible, you should try to note down the number of license plates. It’ll help the police while investigating. In the meantime, you should also call for medical help. If the victims are severely injured, it is better to take them to the hospital.
Get in contact with the insurance company.
It might not look like a priority at the time of the collision. However, the truth is that IT IS. You should call the insurance company as soon as possible and inform them about the hit and run case. This way, they’ll start the insurance claim right at the instant. Eventually, removing the financial burden off your shoulder.
Hire a lawyer
Usually, the driver at fault runs away because they are afraid of the consequences. But, that’s not a moral thing to do, especially when it is a life and death situation. That’s why it is better to hire a lawyer to get justice. If you are not convinced, you can click here to learn more about a lawyer’s need in an accident. Nonetheless, keep in mind that it is always better to deal with civil claims than a criminal case.
Collect the evidence and the mobile number of witnesses
The next thing to do is to collect the pieces of evidence. Take photographs of the location, vehicle, and all the damage that has been done. Along with that, get the number of witnesses. They have seen what has happened. Thus their statement will play a crucial role in providing you justice. Also, try to remember the car model and the direction it came from.
What’s done is done! You can’t change that. However, you can be practical and take the next step to get the justice you deserve. Keep in mind that the law is for your safety, so you should take its help without fear!
A plush vehicle is one of the most significant investments that one can make in their life. Therefore, it needs to be managed and maintained with all the love and concern possible. For this, car owners often go for auto insurance safeguarding themselves from paying for external damages in the future.
The concept of auto insurance for commoners
Unarguably, most car owners tend to look for the cheapest car insurance plan to save a few bucks. Where they may consider it as a wise decision, the reality narrates a different story. Cheap auto insurance can be a massive trouble for you to safeguard your vehicle. While you may be bragging about saving a few bucks on your insurance plan, you can’t see what difference it will make in your life and vehicle’s value when leading to an unfortunate accident.
Here, full coverage auto insurance can be of great help. You may find it a bit more expensive than the other auto insurance covers, but it’s worth buying for sure. Don’t know why? Let’s figure it out.
What is a full coverage auto insurance plan?
There are a lot of people who are entirely clueless about the full coverage auto insurance plan as most people tend to settle for a cheaper plan. It is a type of car insurance that covers the vehicle completely. It covers the comprehensive, liability, and collision coverage for the damaged vehicle. One who wants to avail the maximum range out of this car insurance must have ample proof of the accident or collision.
The full coverage auto insurance plan is a financial term that illustrates the coverage of a vehicle’s different parts. Some of the most common aspects covered under full coverage auto insurance include – property damage, bodily injuries, collision, uninsured motorist, comprehensive, and PIP. One of the major perks of having this coverage is you get the maximum financial protection without putting your vehicle at risk.
Here are details to the full coverage auto insurance
Liability insurance – Liability insurance tends to cover the damages made when you are the fault. It ensures financial help to the other vehicle damaged in the accident or collision. It is the only part of the overall car insurance that you are supposed to carry lawfully.
The remaining segment of the full coverage auto insurance
It encompasses the first-party benefits which are missing from any other type of car insurance available in the marketplace for you. It ensures to cover personal injury protection, collision insurance, and comprehensive insurance too. The basic or additional amount for the full coverage auto insurance depends on factors, including – vehicle type, vehicle age, age, and the collision or accident you met with.
The last word
Most car owners believe relying on full coverage auto insurances is saving money for the long run. When involved in an accident or external damage, vehicles can cost a hefty amount disturbing your entire financial cycle. And if you desire to reap the maximum benefits out of it, make sure to consult a reputed and trustworthy car insurance agency.
When someone’s negligent or voluntary actions cause you a loss or suffering, the incident is legally termed as personal injury. The losses and suffering could include physical injuries, medical expenses, personal property damages, and more.
In simple words, a personal injury claim is filed when someone’s negligent actions cause you injury and damage.
Now, it is noteworthy that you hold the right to file the claim with your own insurer or with the liable party’s insurance company.
In the state of Illinois, the courts follow a fault system. It means, the court can only grant a claim if someone is at fault.
Can You File Personal Injury Claim Anytime?
Of course, you’re here either because you have sustained injuries or someone you know has. Regardless of that, you must understand that you cannot file a personal injury claim, just anytime. Or better said, you cannot delay filing for a personal injury claim for too long.
In Illinois civil courts’ Statutes of Limitations nominates plaintiffs for two years to file a personal injury claim. During this period, the plaintiff may receive medical care, or get other repairs done.
However, for personal injury lawsuits, the Statutes of Limitations is only 1 year. Meaning, if you are to file a lawsuit you must do so within a year of your accident. In some cases, you may be allowed to file even after the time has run out. The courts would then consider the time from the day you discovered the injury or the losses.
How Do Courts Decide Fault/Negligence?
The state of Illinois is a fault state, as already mentioned. Expert Chicago Truck Accident Lawyers explain that personal injury claims can only be processed if somebody is at fault for the injuries caused. Besides, if the plaintiff is found more than 50% at fault, the claim may then be automatically dismissed.
The civil courts in Illinois also use modified comparative negligence doctrine to decide the fault, when there are multiple defendants.
Depending upon the fault that a party shares, the compensations to be paid are reduced or increased. For example, if you are found 10% at fault for the injuries you sustain, your claim would also be reduced by 10%.
Are There Any Other Limitations?
In several states, the compensations that plaintiffs can receive are usually capped. Most of these limitations are only capped on non-economic damages, such as pain and suffering.
Though Illinois is a ‘fault’ state, there are no caps on any type of personal injury claims.
Like every other state, Illinois also protects its citizens against any civil or criminal act. Several laws, both civil and criminal, define personal injury acts. And likewise are firm in serving rightful claims to the victims. That being said, personal injury cases are still a complex decree of the legal system. And likewise, require professional assistance for justified implementation.
All of us have at least one dream that happens to be a life goal as well. Do you know any magic tricks to achieve that? Honestly, there is none. But there’s definitely something that can help you pave a path to accomplish that.
And one such criterion is to create a financial plan. Your financial plan can act as a guide through your life, helping you be in control of your expenses, investments, and income. For example, strategic financial planning will help you send your child to college. Contrary to this, if you don’t keep in mind your current and future goals, things might get quite dreadful.
If you are still not convinced, here are a multitude of reasons that will help you understand why financial planning is vital.
Increases The Overall Savings
It might be possible for some people to be able to save money without any financial planning, but for most of us, it is the most efficient way of increasing our savings. Once you create a detailed financial plan, it tells you exactly how much you spend and how much you earn every month. If you control your expenses consciously in order to save and know exactly where your money is going, it will be easier to save every single month, thereby enabling you to increase your savings in the long run.
Improves Your Investment Strategies
If you have a proper overall financial plan, it will consider your objectives, risk tolerance, and personal circumstances for investment. According to the experts at Invest4life.com.au, financial planners can help give you the knowledge of making the best decisions possible in terms of investment.
Investment strategies can be quite risky, and it is helpful to take the advice of a financial planner who can expertly guide you. Investment in the right places can help you achieve your long-term financial goals.
Helps You Save For Emergencies
How often have you run out of money when an emergency comes up? Maybe you need money for medical bills or even for fixing your laptop or car. When such unexpected situations hit, you always wish that you had saved for such days. A good financial planner always keeps an emergency fund on hand, which should ideally be equal to six months of your salary. It can help you pay for various expenses and even help you out if you have recently lost your job.
Builds Better assets
Financial planning doesn’t only require cold hard cash. You can even have a nice “cushion” that is in the form of assets. It is important to determine the real value of an asset before buying it. There can be many liabilities that you need to take care of before it becomes an actual asset. Once you have understood your finances completely, this is a relatively easier thing to do. Remember to build assets that do not become a burden in the future, rather something valuable.
Financial planning is quite important if you want to maintain a good living standard and look out for your future and long-term goals. Go ahead and get the help of a financial advisor now.
According to a Federal Reserve study, most Americans earn money through multiple sources. These usually include W-2 earnings, unemployment benefits, investment dividends, retirement benefits, and more.
With multiple sources of income, it is no wonder that many taxpayers make mistakes when filing taxes. The most common one is filing taxes for the wrong income.
Essentially, you’d wish to know what income sources to include when filing taxes. Relax! We’ve got your back.
In this article, we’ll be giving you a ballpark idea about what does taxable income mean, along with the filing procedure, and some other information. So, keep reading, if these are the questions that come to your mind when thinking of income tax.
What is Taxable Income?
Did you know that not all of your income is taxable? Yes, a portion of your income is not included when calculating taxes, usually known as tax deductions.
This brings us to the question at hand- taxable income is the portion of your income that comes under tax laws, and is included when filing income tax.
To better understand this, you need to understand how income is defined and how taxes are calculated.
IRS Calculates Income Tax
IRS defines any debits into an account as income. In other words, regardless of where you receive money from in your account, it will be considered as income as per IRS. It also includes income in the form of assets, property, or services.
A lot many people often mistake their earned wages, compensations, and other sources of regular earning to be included in income tax. Well, truly speaking, this is not at all the right approach.
This is not only true for earned wages and compensations but a lot of other income sources too.
Typically, IRS would collect taxes if your income falls under any of the following types:
Canceled or Forgiven Debt
Dividends on Investment
Real Estate Gains
Copyright and Patent Royalties
Other Support Benefits
Virtual Currency Gains
Apart from these, if you win any assets or money from gambling or lottery, it must also be included in your income tax report.
How to File Your Income Tax?
By now, I would have a ballpark idea about what income you should include when filing for taxes. However, you’d still need to understand the filing procedure. Perhaps, we can offer you a rough outline for the same too.
Calculating your taxes is a never-ending process. Year-round, you need to keep an eye on what money is coming into your account, where it is coming from, and what should be included in income tax returns.
Taxes on different income categories are calculated differently. It is better to work with an accounting attorney to get a better idea about it.
Besides, calculating your taxable income, you also need to calculate the deductions to be made. As already mentioned, not all income is taxable.
Usually, retirement income, student loans, charities, and freelance expenses are not included in tax calculations.
When filing income tax, including the right income and deducting only what’s necessary can save you from IRS troubles, in the long run. That being said, since tax laws are quite complex, it is better to work with a tax attorney you can rely on.
“Because I could not stop for Death – He kindly stopped for me –The Carriage held but just Ourselves –And Immortality.
– (Because I could not stop for death by Emily Dickinson)
According to these lines, death is not something that can be delayed or ignored; it will come to you, embrace you, and will accompany you until you find immortality. Basically, death is inevitable, and that’s the ultimate truth of life. Everyone has to bear it one day or the other.
And there’s nothing “morbid” talking about it. Most people might fear death because of the burden of responsibilities they carry on their shoulders. Now that you are retired, and about to enter the late senior years, there’s one last chore that you need to do.
Yes, you guessed it right. We are talking about streamlining the legal affairs so that your family members and friends don’t have to worry about it after you are gone. That’s the least you can do to ensure that everything related to the estate you owned will work just the way YOU wanted it. Also, after you are gone, the last thing the family and friends would want is to look after the legal formalities.
But, if you have no idea about what to start with, then stop worrying about it. This article contains everything you need to keep the legal affairs in check after the demise.
Prepare a Will
Imagine this, you just passed away, and your children and everyone you know are fighting about who will get what from the estate. Wouldn’t that be heartbreaking? So, in order to avoid all the conflict, fights, and manipulation, we’ve got a go-to solution that everyone should know about. And that is to draft or prepare the Will.
It is the best way to ensure that everything is done according to your choice. It is a legal document that contains some crucial pointers about how you wish to manage the wealth after the demise. You can put in things like who’ll inherit the property, or who will get what from the estate, or who will have a power of attorney, and who needs to be kept out of the decisions.
Preparing a Will is considered of utmost importance. In fact, according to renowned lawyers, a Will can help in reducing the payable amount of Inheritance Tax on the property, money, and assets you leave behind. It also becomes significant if you have children or someone who depends on you financially. Or it can also be beneficial if you want to donate or leave something to people who do not belong to the immediate family.
Basically, it gives you the power to decide what will happen to the wealth after passing away. Plus, it will also ensure that all the legal proceedings are taking place smoothly and no one has to suffer the legal tensions.
Consider establishing a living trust
For those who don’t know about what a living trust is, let us clear that up for you.
Suppose you want someone to manage your assets and estate. So, what can you do to legalize that responsibility?
Well, the answer is pretty simple. A document needs to be created in which all the details are mentioned such as, who will be the one to manage the assets. That designated person is known as the trustee. A living trust is prepared to allow for the easy transfer of the estate or assets. It is also an agreement in which it is clearly mentioned that a trustee holds possession of your estate and is legally designated to distribute it the way you or the trustee sees fit.
According to the state law, “When a settlor passes away, his/her assets flow to the beneficiaries as outlined in the trust. Unlike a will, a living trust becomes incapacitated after the death of the settlor. This means that during the lifetime of the settlor, trust doesn’t have to clear the courts to reach the intended beneficiaries.”
Thus, it is just like putting your trust in someone else who will be in charge of the estate and all the assets.
Make a “When I die file.”
Life is full of uncertainties, and after reaching a certain age, the stakes are a bit higher. So, it would be best if you kept everything organized to ease the confusion that will follow after the demise. For this, the lawyers suggest their clients keep a file that contains all the necessary documents, passwords, and codes. You can also put in some letters for the family members and friends.
Here’s a checklist of things that should be incorporated into the file.
Marriage/divorce and birth certificates
Your Will and living trust
Passwords of your phone, social media accounts, and safe
Bank account details
Letters to loved ones (if you want)
Now, you might be thinking that you know about the basic things to put in the “When I die file,” but what is Ethical Will? Well, it is a type of letter to the younger generation where you instruct them to follow your legacy or family values. Actually, this practice dates back to the time when according to the Old Testament, Jacob orally delivered the first one to his sons around 3500 years ago. So, in a nutshell, it is good if you delivered yours to the generation that comes after so that the family legacies or values carry on after you are gone.
The final words
Keeping the legal affairs streamlined is beneficial for your family and friends and keeps you at ease that everything is managed the way you wanted. The idea is to make things easier on everybody because when you are gone, they’ve already lost enough, and it’s the least you can do to ease their pain.
And after you step into the afterword, the only thing that will matter is the love your family members bear for, and by streamlining your legal affairs, you showed them yours.
There are plenty of things you can do to build your financial health on a long-term basis, and indeed, this isn’t something that you should ignore — if you have a long-term strategy, then in the future, you’ll be able to reap the rewards of your efforts.
However, it’s not as if all things related to boosting your finances have to take years. There are things you can do right now that’ll put you on the right path, and the good news is that these things won’t necessarily require much effort!
In this blog, we’ll run through a number of things you can do that will boost your finances without having to exert all that much effort.
It’s always nice to see the savings account moving in the right direction. The problem is that sometimes it takes a conscious effort to transfer money from your primary account to your savings.
Why not simplify the process by setting up a direct transfer? Each month, a set sum, decided by you, will move into your savings. You won’t even notice it since it won’t have been in your account in the first place (if you set the transfer up for the day that you’re paid).
Switch to a Lower/Higher Rate
Interest rates can have a significant impact on your financial health. While it’s good to have a credit card (to build your credit score), if you’re not paying off the balance each month and have overly high interest on your cards, then you’re just giving money away.
Why not look at transferring the balance to a card that offers a more favorable rate. You can usually get an attractive introductory rate that’ll slash the costs.
For your credit cards, you’ll want to have the lowest rate possible. For your savings and other investments, you’ll want to have a higher rate, so look at switching that too. Both of these processes can take all of thirty minutes.
We tend to just assume that whatever price we’re paying for the services we need is just the price we have to pay. But it’s unlikely that you’re locked into any deal for a long period of time. For things like your insurance and cell phone plans, it’s worthwhile shopping around to see if there’s a cheaper option out there.
The good thing about these kinds of things is that prices are always coming down. If it’s been years since you last switched supplier, then there will almost certainly be a cheaper option out there.
Even if you don’t want to switch companies (for whatever reason), you can think about talking with your existing supplier to see if you’re on the best rate — they’ll likely be happy to cut your bill if it means that you’ll stay with them.
Review the Mortgage
There are some things that have a bigger impact on our finances than others. Your mortgage, if you have one, will be your most significant expense. But are you on the best deal? These days, it’s easy enough to remortgage your property. You might not save money, exactly, but you’ll change your financial landscape, which might put more money in your back pocket.
That’s if you’re a homeowner, but you’ll have options if you rent, too. The coronavirus pandemic has led to a significant fall in rental prices, especially in those places that may have been in a bubble. Your landlord might be happy to lower your rent by 15%, just by asking.
Put Your Assets to Work
Many people are asset-rich, cash-poor. For example, if you own a home, or a car, or have investments. While you won’t want to give up any of these things, it’s worthwhile looking to see if there’s a way to put your assets to work.
And here’s a big hint: there nearly always is! For your house, you can look at renting out a room; if you like to be around people and don’t mind sharing your space, then having a tenant can be an excellent way to bring in some much-needed cash. For your car, you can either rent it out, or offer carpool rides to places you were traveling to anyway. And if you’ve invested in cryptocurrencies, then you can use a site like HodlRate.com to find an account that’ll pay you interest on your holdings.
All of these options don’t detract from your assets; they simply make sure that you’re getting as much worth from them as possible.
Ask for a Raise
We tend to think that our salaries are set in stone, but that’s not the case, and they’re not forces of nature, either — they’re set by the employer. If you’ve been in your role for a while and know that you’re performing well, then why not look at asking for a raise?
The secret among employers is that most are happy to give their employees raises; it’s just that they don’t tend to go around the office offering them out. They know that it’s much cheaper to give a member of staff a bump in their salary than it is to find a replacement. Just by asking, you might find that you’re getting much more in your pay packet each month.
We can often fall into acquiring many expenses just through the course of living. Once we reach adulthood, we get our first monthly expense, and then in the course of several years, we find that we have, well, many, many expenses.
Some of them are necessary, of course, but not all of them are. If they’re no longer serving you, then why keep them around? Simply reviewing your costs and either eliminating them or finding ways to reduce them can make a small but noticeable difference to your financial landscape.
The Money Pit
We all have some spending habits that we know we don’t really need. For example, if you’re continually eating at restaurants/ordering takeout food, then you might be spending a significant portion of your weekly earnings on something that you just don’t need.
Or perhaps you’re buying too many clothes, records, whatever — the result is the same. If you can identify the luxuries that are really eating into your finances and find ways to reduce them, then in a few weeks or more, you’ll find that your bank balance looks much better.
If you want to really give your bank balance a boost on a short-term basis, then you could consider taking a spending break. This requires greater effort than the other tips on this list, but it also has a bigger impact. It works like this: you simply stop spending on everything but essential purchases.
We can spend a lot of money on coffee, alcohol, lunch, and things like that. While there’s nothing wrong with that, it can be worthwhile stopping for a week or two. You could feasibly raise a couple of hundred dollars this way. The key to succeeding is to remember that it’s only a short-term thing — those small pleasures that you enjoy will be back in your life sooner rather than later.
Sell Unused Goods
Finally, why not dig through the drawers and see if there’s anything you could sell? If you’re a homeowner, then you’ll probably have hundreds of dollars’ worth of goods just sitting there at your property. If you’re not using them, then sell them to someone who does want them. Depending on how much stuff you have, this could equal effectively the same as a months’ worth of pay.
The covid-19 pandemic has hit unemployed individuals the hardest as with no savings, they have not been able to prepare for the crisis. Yet, many professionals have found themselves unemployed or on furlough during the pandemic, making it hard to face increasing expenses.
Approximately 50% of the western population now carries credit card debts, which have increased as a result of the pandemic. What is more worrying is that in every country, the response to financial management has been the same. In North America, up to 40% of adults can’t afford to pay more than the minimum balance on their credit cards. In Europe, the figures are similar. There’s been a sudden spike in debts during the pandemic. But even if you’ve been careful with your credit card bills, facing payments you can’t make is an all-too-common situation. What happens when you can’t pay for the things you need?
Can someone else pay for me?
Facing unexpected bills is no walk in the park. Yet, there is help available if you ask. It’s not uncommon for young adults to reach out to their parents to manage their financial situation. Someone who is just starting their professional career may face a lot of expenses as they establish their independence. More often than not, the bank of mom and dad needs to kick in to save the day!
There are other situations where you can ask someone else to pay on your behalf, such as with bail bonds where you rely on a licensed bail bondsman to handle your bail fees. The debt isn’t canceled though; you’ll get to pay in due time.
Do eligibility criteria have the same weight?
When you face necessary expenses, such as linked to the purchase of a house or a car, the easiest approach to keep your finances under control is to apply for a loan. Yet, it’s easier to say than to do. Loan applications have unique criteria defined by money-lenders, which can make it hard to obtain the money you need. For instance, a lot of banks have high age limits, which could exclude younger borrowers. How can you secure a loan when you don’t meet all the criteria? This shouldn’t stop you from applying. Some criteria can be overlooked if others are met. Banks tend to reject young borrowers, not based on age but based on annual income and repayment potential. If you can prove that you have a solid income, you can document your payment history as part of the application. Some banks and money-lenders can also have less restrictive criteria! Take the time to find the best options.
Do I need to pay so much?
Not everyone is comfortable negotiating a good deal. Yet, if you understand how to negotiate a discount, you could be able to buy what you need without breaking the bank. It is reasonable to expect up to 30% price reduction on services or items. But, you can’t expect to cut the cost by half without good reasons!
How do you pay when you can’t afford it? There is more than one answer to the questions. More often than not, there are ways to get around financial obstacles and secure what you need. Yet just like with credit card debts, it’s unwise to get the things you need/want if you know you fail to plan future payments!
Although consumer loans are easy to get, they still require a set of criteria before they can be given out. Some of these include the creditworthiness of the borrower which includes their income and expenses as well as factors such as age and if they pay tax.
When a consumer loan is to be given, age and income are usually a limiting factor for younger people. The borrower is usually required to have a fixed income. They may also be required to have housing as a form of security. In addition to these, the typical lower limit for a borrower’s annual income is expected to be between 120,000Kr and 200,000Kr. It’s simply the higher your income, the greater your chances of granting you a loan.
An average 20-year-old is not likely to be able to meet these requirements. They are likely still in school or just finishing school and the likelihood of having this amount of income is very low. Fortunately, some banks have an exception to these requirements.
A variety of factors will determine whether you as a 20-year-old will get a loan or not. A borrower must at least be of the legal age limit of 18 years before they can apply. Most Norwegian banks have higher age limits up to 25 years.
What To Do As a 20 Year Old to Get a Loan
Except you can prove that you have a solid income coupled with a good history of payment, you are not likely to get a loan. So what do you do in this situation as someone who is between 18 and 20 years old? Below are a few tips on what to do.
Do Not Be Hasty
When anyone is seeking a loan and especially if you are young, you must not make hasty decisions. Take your time to understand what is required and which banks may be favorable to you. You should know that the fact that a particular bank says the age limit is 23 years does not mean that your application will automatically be rejected.
It will most likely still be given consideration. You may be young and still earn enough to qualify for the loan. In fact, the banks will desire to have you as a customer if this is the case.
Part of not being hasty is to take your time and look for a loan with the lowest rates possible. Even if the first offer you come across seems low, you should not rush. This is because banks offer different interest rates. By doing this, you will be able to compare the various loans and get one that has the lowest interest rates than others.
Submit Lots of Application
In continuation of the point above, when seeking a loan as a 20-year-old, you should apply for as many as possible. Granted that you will be rejected in some quarters but it is not a smart idea to stay with one or a few lenders. There are many others. Whatever kind of loan you desire, it is always good to have different options to choose from. You can do this by applying to as many banks as possible. Doing this increases your chances of getting the cheapest rates.
Use Loan Agents
Applying to as many banks as possible can be time-consuming and tedious but you need to do so. Rather than do so by yourself, you can use a loan agent or broker so that it becomes quite easy. Agents are people or companies that work with different banks and collect offers on your behalf. The only thing you have to do is provide your details and fill out a single application.
There are many benefits to using an agent. For one, they work in tandem with many banks which in some cases may be up to 15 to 20 lenders.
Secondly, their services are free. The Norwegian Financial Contracts Act says that agents cannot request payments from a loan applicant. So how do the agents get paid you may ask? They often receive commissions from the lenders.
Thirdly, when you apply through an agent, you will begin to receive offers in your email within 24 hours. You can compare to see which one will be most favorable for you. Even when you get an offer, it is non-binding. Offers typically last for 30 days.
Fourthly, using an agent helps you save time as well as effort you would have used to apply to each bank. You can also get advice and tips from them if you need help.
Finally, some agents accept applications from people who are 20 years of age so you can find such to help you out with your application.
When applying through agents, avoid using multiple leading ones. The banks they represent will receive more than one application from you. Also bear in mind that after the loan agreement has been signed, agents have nothing to do with it again. You have to relate with the bank directly.
How Banks Determine Your Eligibility for A Loan
Virtually all lenders have minimum requirements before they can grant a loan. As mentioned previously, these include age, income, payment history and nationality.
While most have upper age limits of 23 and above, the age is meant to serve as a guideline and not a rule that is cast in stone. If you are 17 years and below, your application will be rejected immediately. As long as you are 18 years and above, you will still get a look in even if their stated age limit is higher.
The major reason for setting the age limit is because generally young people have low incomes. There is a risk that they may not be able to pay back the installment and the interest. There is also the possibility of receiving payment remarks which will be a negative dent on the individual. If a young person has a good income despite their age and has good payment history, then the age limit requirement can be waived.
The only conditions in which an application will immediately be rejected is if the applicant is
Less than 18 years old.
Not Norwegian or not living in Norway. You may not be Norwegian but you must have lived at least 3 years in the country to qualify.
Does not have a fixed income. This is flexible and can be based on how much you intend to borrow
Has payment remarks. For some banks, you also cannot have debt collection cases that are active.
If you pass this first stage of sorting, then the next critical stage is your credit assessment. At this stage, your age does not matter as much but it still does in a way. It is one of the factors that is used in calculating your credit score. The younger a person is, the lower the score. Thankfully, there are other factors used asides from age. You should ensure that your financial behavior is “good” as this helps you to improve your score as you grow older. You will also have more opportunities to get cheaper interest rates in the future.
The assessment is typically based on information that is publicly available including from banks, debt registers, tax authorities and many more. It is a measure of how much risk is involved in granting you a loan. It impacts your chances as well as the interest rates you get. In other words, it shows the bank how much you can borrow and the conditions that should be attached to that. You can learn more about it here.
Whilst most banks will usually require a high age limit to give out loans, it is not cast in stone. As a 20-year-old, you can still qualify to get one if you have a good income and a great history of payments. It is important to apply to as many banks as possible and do not be in haste while doing. In addition to this, do all you can to ensure that your credit score is high by ensuring to pay back promptly.
You don’t need money to be happy, but having it can certainly help you to improve various aspects of your life, whether that’s your living conditions or how much time you can spend on certain hobbies. However, there are a few ways you can positively change your life on a shoestring budget.
Below, we’ll give you some ideas so you can work on making a positive change without spending a fortune. Take a look:
1. Be Choosy About Who You Spend Time With
It costs nothing to be choosy about who you spend the most time with. You may not be able to cut ties with toxic family members completely, but if you try to spend more time with positive people who support your endeavors, you should notice a huge difference in your life. We become like the people we spend the most time with, so if you spend time with toxic people you’ll struggle to stay positive and achieve what you want to achieve. Make sure you pick who let into your inner circle carefully.
2. Work On Your Mindset
Your mindset is the most important thing for making the changes you want to make. As Henry Ford once said, ‘whether you think you can or you can’t, you’re right.’ A belief that you can achieve anything you set your mind to and the willingness to take inspired action is key. Things like meditation and consistent mindfulness will help with this, so try to become self aware and get into a good routine.
3. Read More
Books can be expensive, but if you have an e-reader you can often find great deals. Ebooks can usually be found for a fraction of the price of physical books, especially if they’ve been out for a while. Then, you have the library where you can take books out for free. You may also be able to arrange book swaps with friends if you have friends who enjoy reading, too. Reading can help you to expand your mind, learning new things, and can even just be an enjoyable pastime.
4. Move House
Is your neighborhood safe? Do you have peace of mind at home? If not, it could be time to move house. Moving house isn’t cheap, but you could consider downsizing to save money in the future if you could do with putting more money away. You’ll need to look into various services, such as hiring movers and companies like Carsrelo.com to get your belongings safely to your new location. Moving to a new home may be beneficial if you’d like your kids to have access to better schools, so consider whether this could benefit them, too.
5. Get Active At Home
You don’t need a gym membership to get fit, nor do you need to spend any money whatsoever, unless you want to buy a few simple pieces of equipment to use at home. You can use YouTube to learn different exercises and routines, and as long as you’re consistent you can improve your fitness. Even walking more than you do now can help to improve your fitness levels, so don’t feel like you need to spend a ton of money to get into shape. Personal trainers, equipment, and gym memberships are entirely optional.
6. Simplify Your Life
Could you potentially simplify your life to make a positive impact on how you live now? Maybe you could have a clear out and sell your items to make money on things that you no longer want. A simple life will give you space in your home and if you get into the right mindset, you won’t feel under pressure to buy things to keep up with friends or people on Instagram. When you let go of the need to have the latest home accessories, gadgets, and clothes, you’ll save so much money and probably feel like a weight has been lifted from your shoulders.
7. Get Creative
How about getting creative? Hobbies are a great way to enjoy life, learn new things, and even meet new people. You never know what a hobby could bring you! See if you can find some cheap arts and crafts supplies or get creative with things you already have at home. Spending more time on your hobbies, whatever they may be, will always make you feel better than focusing on all work and no play.
8. Keep A Journal
Journaling has so many benefits, and there are all kinds of ways you can do this. You could try stream of consciousness journaling, where you just write whatever comes out without censoring yourself. Then, there’s bullet journaling. You don’t need to write beautiful paragraphs of prose for every entry. Stop judging yourself and thinking about the outcome, and instead enjoy the process of journaling and the benefits that can offer you.
9. Utilize YouTube
YouTube is a wonderful resource for people who want to learn new things and expand their minds. You can buy cheap online courses, but Youtube can be a great place to get the basics and figure out if a hobby is something you’d like to stick with long term before investing more money.
10. Know Your Priorities
When you know what your priorities are, you can figure out what’s worth spending money on and what you should probably avoid. If one of your priorities is spending quality time with your family, then you know you can afford to spend a little more money on that. You can’t prioritise everything at once, and your priorities may change depending on the stage you’re at in your life, or even the season.
11. Be Mindful Of How You Speak
When you speak, you can end up speaking things into existence. If you knew how powerful your words were, you’d probably use them far more carefully! Your life can change drastically when you stop complaining, judging others, and being mean to yourself. It can take a while to break a long habit of speaking negatively, especially when most other people still do this unconsciously. Become more conscious of the language you use and why and you’ll have a better chance of changing it.