When PPI Sellers Break the Rule of Selling, You Can Claim Your Premium Payments and Interest Back

Over the past several years, banks, moneylenders, and insurance providers have been caught to be mis-selling Payment Protection Insurance to their customer, which eventually caused them a lot of trouble. Complaints and reclaim cases have started flooding their offices because consumers were extremely unhappy with how they were treated.



If you happen to have had any form of credit agreement recently with any known financial institution, you were most likely sold this product, too. PPI was meant to cover your monthly repayments in cases where you are unable to pay due to sickness, accident, or redundancy. However, you may not be aware that you have it alongside your debt, or you were tricked into paying for it without knowing what it entails. Visit www.ppiclaimsadvice.co for more information.

Before claiming your money back, you may need to check first whether you really have PPI on your account. Have a look for any Payment Protection Insurance reference on your loan or credit related paperwork, including your statements and payment receipts. A policy certificate should also have been sent out to you, containing the terms and conditions, as soon as it was sold.
If you have lost your documents, request for a copy from your lender. The credit bureau can also check your credit rating record to see the financial institutions you have dealt with if you forgot who your lender was. However, you are more likely to get a hold of this information if your account is not any older than six years since it began. These offices are mandated by the law to keep these records for as long as that, or within six years following the credit’s payment in full. So whatever paperwork you have gathered should be sufficient to back up your PPI claim.

As soon as you have gathered your documents, you can get the ball rolling. Write a letter of intent to your lender and tell them that you wish to claim your PPI payments back and possibly be compensated for the trouble it brought you, interests incurred included. When stating your reasons, you can refer to any of the situations below to establish why you were mis-sold the policy:

• You did not realise until later you have PPI because it was automatically added to your account and opt-out was not made clear.
• You were led to believe that it gives you better chances of a higher loan amount or credit limit if you took out PPI alongside the finance agreement.
• The lender strongly urged you to take out PPI even without clearly stating demands and needs provision.
• You were not informed of limitations and exclusions on the terms such as age limit, residency requirement, pre-existing medical conditions, employment status, and the likes.
• The lender did not talk to you about the cooling-off period which entitles you to cancel at no cost.
• They did not properly inform you of the total cost of PPI or what you will be charged off in the future.
   
As soon as your lender acknowledges receipt of your letter, they will run a thorough review of the case. Within the next six to eight weeks, they’ll come up with a decision and let you know of it. You may follow up with them if you feel the need to. If by any chance you have not heard from them after such time, or you become unhappy with their decision, you can file a complaint against your lender to the Ombudsman.

The Financial Ombudsman Services will independently make further enquiries and review your case. They may also ask you to send in copies of correspondence between you and your lender, and other related paperwork. The FOS will then decide whether to uphold your PPI claim or not. If they decide to rule in your favour, your premium payments will be reimbursed and the bank may also be required to pay all the interest that came with it over time.

Four Reasons to Invest in Gold for Retirement

[This is a guest post from Sharon Freeman. The article has not been modified except for some formatting changes to suit this blog.]

For people nearing retirement, investments may begin to take an even greater significance compared to other time of life. If you’re planning to rely on your investments as your income in your retirement, it’s a good idea to closely evaluate your investment strategy. Your retirement could be a good time to move a greater portion of your portfolio into more risk-averse areas. Many financial advisors would suggest that investing in precious metals is a sensible option for people nearing retirement age.

Physical gold has historically outperformed almost all other investment opportunities over the medium to long-term. Let’s look at some reasons why it is a good idea to include gold investments in your portfolio.

Reason No. 1 - Gold is a stabiliser

Gold helps to stabilise your investment portfolio. In the event that the value of the dollar or currency falls, the price of gold usually increases. Gold itself actually never changes in value but reflects the value of the currency in which it is quoted. This generally means that a drop in the value of the dollar inversely affects the price of gold. 

Reason No. 2 -  Control

Physical gold can be controlled by the investor themselves. Therefore, it  never disappears like money, which has been mistakenly invested in schemes like pyramid schemes.

Reason No. 3 -  A Hedge

Gold has historically been a good hedge against inflation. Again, this happens because its price tends to rise when the cost of living increases. So,  when the value of other investments falls like stocks and bonds, gold can be relied upon. Its value has remained constant over time in terms of the real goods and services it can buy. As well, gold doesn’t rely on a borrower’s promise to pay — as in the case of a bond. This offers some protection from the risk of default.

Reason No. 4 -  Reduction in Production

There has been a reduction in the production of gold since 2000. A decrease in production generally means an increase in price. The price of gold is determined by demand and supply. Since the demand for gold has grown for jewellery, investments, and some industrial uses, there has not been much of an increase in supply and leads to an increase in its value. Another factor in increasing its value is time. It takes many years for gold to be transformed from the state it’s found in mines into bullion bars or coins. Bars and coins contain more concentrated gold and it also induces higher value, which will be likely to be maintained for some time yet. 

Quite simply, gold (and many other precious metals) is an investment unlike many others.  It is hidden underground. It has to undergo extremely difficult and time consuming process. Mining gold and other precious metals from their sources plus the processes involved would mean that there won’t be an oversupply anytime soon.  As an investment, gold would be a good addition. All portfolios should have some diversity in them and gold can provide a great ‘balancing’ investment for almost any investor.  Gold should be an important part of a diversified investment portfolio. Although its price can be volatile in the short term, its long-term benefits like a hedge against inflation and as an asset that does well is clear.

Investing in commercial property - the basics

Commercial property can be a fantastic investment for a number of reasons.

For those who make sensible investments, the gains on commercial property can be huge. The profits on rental payments can be momentous as well.

Many property investors are benefitting thanks to market's slow recovery from the crash of 2007. Most types of commercial property are slowly rising in price. However, they are still 30 per cent lower than their 2007 peak, meaning there is plenty of room left for substantial growth.



Commercial property is a complicated beast though - one that requires plenty of knowledge and research.

What do I need to consider?

Commercial property is incredibly diverse. How are you meant to know whether to invest in office space, retail centres, and industrial buildings...the list goes on.

Many investors like to diversify, hedging their bets to provide themselves with a safer portfolio. Others like to watch trends in the industry, studying property prices, supply and demand in order to make the most intelligent decision on one type of building.

The location of the building is arguably the most important aspect of commercial property investment. This plays a huge bearing on the property price and how much landlords can expect to rent out buildings for. Areas which are easily accessible and have high foot traffic are the best.

London's West End is currently the home of the world's most expensive commercial properties because it is considered to be the retail space with the highest density of high-spending shoppers.

Historically, it has proven to be tough to fill expensive buildings in run-down areas, so make sure to do some due diligence on a building's surroundings.

Managing a commercial property

One unique aspect of commercial property investment is that it requires regular management. Commercial property owners need to find tenants, collect rent from these tenants. They need to arrange property maintenance, make sure that their property is insured, that it's legally safe to set foot in there and pay property-related taxes. Many would agree that's just the tip of the iceberg.

For investors who have even just a medium-sized property portfolio, this could prove to be overwhelming. Many investors pay for commercial software for property management to help them keep up with what needs doing. With the development of this software and the increased connectivity of the world, it is possible to manage a portfolio of properties spread across the whole world.

Others let property management companies take control of all the above tasks for a small cut of their profits.

Long-term profits

Commercial property tends to be a great long-term investment. Prime retail space is a relatively safe investment but the growth in value tends to be slow. Less valuable buildings can be sold at big profits quickly - but are generally riskier investments overall.

A great commercial property investor will have his eye on the market at all times, keeping a lookout for the next hotspot where properties are undervalued. They should also keep a keen eye on their own investments in order to know the best time to sell.

It is a great asset to have if you're willing to work hard.

Preparing For Retirement And The Hereafter

Conrad Hotel - Maldives Rangali Island

 When the word "retirement" is heard or read, what images pop-up in your mind? I have a cliche set of images such as the beach, a resort surrounded by beautiful landscape and water. It might have been a result of subliminal programming on my mind that we should all travel the world, hop on a cruise, and check-in to a resort during retirement. This might be because of the pain vs pleasure principle that marketers use to sell retirement products by selling the idea that by purchasing a certain retirement product, you can gain a certain pleasure and financial security or avoid poverty. Thus, we are then pushed products that may not be in accordance with the guidance of our religion.

Satan threatens you with poverty and orders you to immorality, while Allah promises you forgiveness from Him and bounty. And Allah is all-Encompassing and Knowing.

2. Surat Al-Baqarah (The Cow; 268)

Is everything before retirement then considered living in terrible pain? Remember the question that Allah poses in the Quran 31 times;

So which of the favors of your Lord would you deny?

55. Surat Ar-Raĥmān (The Beneficent; 13, 16, 18, 21, 23, 25, 28, 30, 32, 34, 36, 38, 40, 42, 45, 47, 49, 51, 53, 55, 57, 59, 61, 63, 65, 67, 69, 71, 73, 75, 77)

The image associations I have and many people have today would greatly differ to people in the past. But, every individual of past or present reach a certain age when their bodies start to weaken and sooner or later cause inability to work. So, I am curious when did the word "retirement" actually came about, and whether people in past civilizations prepared for retirement or more so toward death and the Hereafter?

But those who have feared their Lord - for them are chambers, above them chambers built high, beneath which rivers flow. [This is] the promise of Allah . Allah does not fail in [His] promise.

39. Surat Az-Zumar (The Troops;20)

Planning and action are required before retirement and akhirat. Retirement is temporary. Akhirat is eternal. The only action we need to take on both is to spend. Spend 15-20% monthly from our paycheck to put into a savings/retirement account, spend in the way of Allah, and spend wisely. Spending wisely is essential to success.

Indeed, the wasteful are brothers of the devils, and ever has Satan been to his Lord ungrateful.

17. Surat Al-'Isrā' (The Night Journey; 27)

Step 15 on retirement is such a big topic and requires extensive planning, to which you can seek from Islamic financial planners (IFP) or a certified financial planners (CFP). The only one I can find on Google is Azzad Asset Management and most IFP's are based in Malaysia. InshaAllah, there will be more posts on retirement in the future. 

Are you an Ass-Kicker or Ass-Licker?

May it in business or career, there's one question to ask for: "Am I an ass-kicker or ass-licker?" It doesn't matter, as long as I'm happy either way around is fine with me, a hypocrite might say.

Rarely true. Nobody's been successful with cuffs on someone's hand. Autonomy is what motivates people to work and to do well on their career. Being a pup to someone else is crippling. Uninspiring.


Say you want to do this thing and your boss tells you otherwise. And when you ask the logic behind that decision you are responded with a common line, "It's the decision from the top. We have to follow what they say."

So in other words, there are no options. Follow what they say or leave. You're an ass-licker. 

You want to start a doughnut stand on a local mall. But lo and behold somebody else's doing the same thing. A competitor! You noticed that their hot stuff is selling well but yours.

That's when you realize that your competitor is giving away freebies for a minimum purchase. Good idea, you thought.
You posted a big signage in front of your stand stating, "FREE Coffee for Every Box". It's working! It's selling well! Hooray! So there you are, copycat. Trend-follower. Ass-licker.

In contradiction, there are some individuals who are given the freedom to do their own thing. The person above him only does the assessment of the undertaking. Say this person initiates a project that saves your company a million dollar in a year.

Nobody has instructed him to do it. Nobody either triggered him to think of that project until him. Now his superior is excited about this project and optimistic that they could even save more than expected.

A year after, the prophecy has been fulfilled. This guy brought in an enormous savings due to his power-saving equipment. A lot of people applauded him during the recognition rites. This guy felt happy. He was inspired to do more. Now isn't that nice to be like him? Creating value. Doing something extraordinary.

Market-leaders are ass-kickers. In most cases, these businesses deliver a premium product. Pricey but fulfilling. It's like the feeling of people falling in line just to buy the latest iPhone.

Due to popularity and massive demand of the market, Samsung fills in with gadgets closely similar to Apple but with a lower price.

Yes they're successful. They're huge. But what can we say? They might be conquering the biggest chunk of the market but they're still a follower. An ass-licker.

When An Accident Happens, Who Should You Call?

Car accidents happen every day, and when they happen to you, you should know who to call. Of course you should first call for an ambulance or medical attention if someone is hurt. The next two calls should be to report the accident to the police and your auto insurance company.

After all of those calls are made, you can call a family member or friend to let them know what happened. In all accident cases, whether they are just a minor fender bender or they are much more serious, you absolutely should get the police and your car insurance company involved.



Even if the accident was not your fault, it is the best practice to be proactive and report the accident to both the police and your auto insurance carrier.

Call the police and get an accident report

When an officer comes out to the scene of an accident, he or she will prepare an official report that details the circumstances of the accident. It will include basic information such as the time, location and cause of the accident. Both parties will be given a chance to tell their side of the story and the officer will decide if one party or the other violated a traffic law.

Having documentation that comes from an official and impartial third party, can support a claim that you file with your car insurance company. It can also stop the other party from claiming that you were at fault when the officer does an assessment of the accident scene.

Call your auto insurance agent and report the accident

Once you make the call and report an accident to your car insurance company, a claim can be filed. You may need to get your car towed to a body shop and you may need to rent a car.

Once made aware of the accident, your car insurance carrier can get involved in the case. They can send someone out to look at your car and write an estimate so you will have money to repair your vehicle.

Informing your auto insurance company gives you a chance to give your version of how the accident occurred. If you check your auto policy, you will see that when you signed for coverage, you were also agreeing to report all accidents. It will not look good if you do not report an accident and your insurance company finds out about the accident from the police or the other party's insurance carrier.

You can be nice, but don't be stupid

It happens all of the time. Someone runs into you and either has no insurance or does not want to go through insurance because it will raise their rates. Despite your good nature, you should tell them you are sorry and must report the accident to your car insurance company.

If they say "please don't report this and that they will pay for your repairs," politely decline the offer. You do not know that person and you do not know if their word is good.

Insurance is there to protect you. A small scratch or a little dent can cost hundreds, or even thousands of dollars to fix. Don't bear the risk of having to go into your own pocket to have your car fixed.

Do the right thing, be responsible and report any accident to both the police and your insurance company. Whether or not it is your fault does not matter. When you get the proper people involved, your case almost always goes better.

This article was written by Steve Whiley, a writer for American Auto Insurance.

The Dream About The Skinny Cow

Skinny Cow brand

[He said], "Joseph, O man of truth, explain to us about seven fat cows eaten by seven [that were] lean, and seven green spikes [of grain] and others [that were] dry - that I may return to the people; perhaps they will know [about you]." | [Joseph] said, "You will plant for seven years consecutively; and what you harvest leave in its spikes, except a little from which you will eat. | Then will come after that seven difficult [years] which will consume what you saved for them, except a little from which you will store. | Then will come after that a year in which the people will be given rain and in which they will press [olives and grapes]."

12. Surat Yusuf (46-49)

We all need an emergency savings. Just how much is often the difficult question to answer. It might be a number that helps you sleep at night. For example: If things are a mess, but you have $10,000 in the bank, you wouldn't lose any sleep about how you will pay your bills, buy food, and so on. However, different circumstances affect the monies required. So, I think Surat Yusuf provides a good guide on answering the question of how much is needed under extreme situation when a seven year drought happens.

Notice in the ayats that during the seven years of normalcy, you will have to save money, squeeze the spending and save. During the seven difficult years, you will consume from what you save and even have the ability to save from the income you receive. We can apply this to a hypothetical case on how much needed to face seven difficult years in which you will consume your savings. For example, you are unemployed but you have a temp job (which have nothing to do with your educational background, or specialty) that barely covers your lifestyle. So, every month you dip your hands in your savings for seven years, whilst also saving from income you receive at the temp job. How much do you need? In this scenario, you would have to be honest with yourself on what kind of lifestyle you would be undertaking under very difficult circumstances, the job you would be willing to take while unemployed (for seven years!), and how much that job would pay. Do it for seven years and you have your number.

A much easier way is to visit the calculator and you have your required drought savings and when you will be able to achieve the goal. That's it for step 14!

OFF TOPIC: I apologize that scheduling of articles posted are slipping a bit. I am in transition for a new job at a government institution. My job will focus on consumer education and protection in the financial industry.   So, maybe in future articles I will be tying Islamic personal finance with my findings at work.

Practical Tips to Improve Your Credit Rating

As the economy continues to be in doldrums, lenders are becoming very cautious to the people they give credit facilities. Some lenders charge high interest rates to individuals with poor credit rating as a way of mitigating the default risk involved. A good credit rating will definitely boost the chances of getting financial products such as mortgages, personal loans and credit cards from banks and other lending institutions. On the hindsight, a poor credit rating will limit your borrowing options. It is therefore very important to put strategies in place to improve your credit rating. Discussed below are ways you can improve your credit rating:

Always Pay Your Bills on Time

Never miss to make a loan or a mortgage repayment on time because it will affect your credit scores adversely. Paying your bills on time will avoid incurring penalties that could have reflected in your credit file. If you are in a fix and cannot make to pay your bills on time, talk to your lenders as early as possible.

Cancel All Expired Credit Cards

Most individuals switch cards often but fail to cancel old credit cards even if they no longer use them. When you do not cancel these cards, they still appear on your credit file. This will affect your credit rating negatively. It is therefore recommended that you cancel all the expired credit cards and have this information logged on in your credit file.

Check Your Credit Report Regularly

Ensure that you check your credit report on a regular basis semi-annually or annually from the main credit reference agencies which are Equifax and Experian. Checking your credit file will only cost you £2 but it is worth it because you will ascertain that the information on your credit report is accurate and up to date. Not all lenders that inform credit reference agencies of all changes that happen in your account right away and therefore you will have the opportunity to ensure that they have the updated details. It is also good to keep a close look for charges in your credit file which may be caused by identity theft or duplicate entries of unpaid balances. If you notice something amiss in your credit report, you should have it rectified immediately to ensure that you have the right rating.

Always Give Correct Information

Ensure that the information you supply on your loans, mortgages and credit cards applications are truthful and accurate. Inconsistencies of information provided will negatively affect your credit rating and may even be considered as a fraud.

Avoid Too Many Enquiries on Your Credit Report

When you are scouring for loans, ensure that lenders do not make equerries about your credit report without your knowledge. Lenders should only access your credit report when you have requested them to do so. Multiple credit checks within a short time spun can affect your credit score since it can imply that you are so desperate to get as much credit as possible even if you are not in a capacity to service all the credits.

Controlling your credit card expenses will also help to improve your credit rating. Aim to maintain your credit card balance at less than 25 % of your overall limit. Whatever the method of improving your credit score you employ, ensure that you are consistent.


For finance related articles by Focused Umbrella visit their blog or follow them on Twitter here.

Weaknesses to be Known Before Investing in Exchange Traded Funds

A small as well as big investor always treats Exchange Traded Funds (ETFs) as a grand investment. Considered similar to standard mutual funds, these funds trade like stocks. However, this does not mean that one can blindly invest in them without knowing about the shortcomings or weaknesses. In fact, a wise investor will always look at both the sides of the coin to gain possible information. After all, complete and precise information acts as a vital decision-making tool for the investors. So, discussed below are some weak aspects of ETFs that every investor needs to know and understand.

Liquidity

Liquidity refers the presence of adequate trading interest to obtain from it quickly without shifting the price, at the time of buy something. This is biggest aspect any stock or fund that is traded publicly. If you trade ETF in a thinly manner, you might run into problems due to investment, as per your position size with regard to the average volume of trading. The existence of big spread difference between the ask and bid prices is the greatest indicator of an illiquid speculation. Therefore, you need to ensure that the ETF in which you are dealing is liquid by observing the spreads as well as market movements over a period of a week or month.

Fluctuations

One reason why ETFs are the preferred choice of investment is that they add to the desired level of diversification to the portfolio of investors. However, it is vital to know that having more than one basic position does not indicate that ETF is free from the effect of volatility. There is huge scope for big fluctuations to take place, whose potential mainly depends on the fund scope. An ETF tracking a specific industry is likely to be more volatile than an ETF tracking s a broad market. This makes it important to be aware of the fund market index and the kind of investment it entails. If it is an international ETF, the country’s fundamentals followed by the ETF are important along with the credit value of the currency. Apart from that, the social and economic volatility also contributes to the success of such funds. So, remember these factors while taking the decisions related to an ETF. In short, you need to know what is being tracked by the ETF along with the associated risks.

Distribution of Capital Gains

There are cases when an exchange traded fund tends to distribute the gains from capital to its shareholders. This is something that is not always in favor of the ETF holders due to the responsibility of paying the tax on capital gains. In such situations, it is preferable to retain the gains and invests them, instead of distributing them to trigger a tax liability. It is obvious that the investors will prefer re-investing the capital gains for which they will need to consult their brokers for purchasing more shares.

Trading Fees

Because an ETF trades like stocks, investors can sell or buy during market hours or can place an advanced order on the trade such as stops and limits. On the other hand, a usual mutual fund is brought after the market shuts down and once the fund’s net asset value is calculated. However, in both the cases, you need to pay a commission. As per the frequency with which you trade an ETF, the trading fees in the form of commission can quickly increase to decrease your investment performance. Therefore, you need to know about the trading fees while investing in ETFs. While choosing between mutual funds and ETFs, know about the different fee structures for each of them.

Author Bio: Sherry Rosen is an investment banker who has worked with a variety of financial firms. Recently, she has become quite interested in the trading of annuities, similar to those that are handled by the financial firm JG Wentworth. Follow her on Twitter @SherryRRosen

In Every Debt That Must Be Repaid...

Image source http://www.starpulse.com/
Mary Poppins © Disney. All Rights Reserved

There once was a beautiful lady that floats down from the clouds with an umbrella to answer the call of people who are in a financial mess. She help their households by being firm and lay the ground rules for them to succeed financially. But, she doesn't forget that in all of us, their lies a child who yearns of play. She reminds us that  "in every debt that must be repaid, there is an element of fun. You find the fun, and -SNAP- repayment's a game!"

I wish such lady or at least a reality show called financial literacy nanny exists. Would it be possible to find the fun in repaying debt? Sure! In order for it to be a game, you must divert your attention from it being a burden to being an activity that is a challenge waiting to be conquered.

Let's call the game "ZERO!" The race to zero debt.

The Rules of ZERO! :

1. To win, players must have zero debt.
2. Players start with a certain amount of debt. Players must know the outstanding balance, interest rate and minimum monthly payments required.
3. Players must assign a person as witness/supporter making sure that you play the game until it's finished.

Strategy I recommend on winning the game :

• Make niyyah to win the game!
• Don't accumulate new debt.

• Repay from debt with highest interest, but put an effort into negotiating a reduction on your interest rate. You can spice up the game by assigning a number to each of your card, and your spouse or friend acting as a witness and supporter rolls the dice to see which card you get to repay first.
• Know what is required of you in terms of monthly payments.
• Stick with the plan!

Regardless whether you prefer in repaying debt with smaller outstanding balance or based on the highest interest rate, the most important thing is to stick to whatever strategy chosen to win the game. The focus should be on the necessary steps needed to be taken. Taking the thirteenth step is about the step to be free of debt, especially consumer debt. Remember, it's all a game. A game you can win.

And the worldly life is not but amusement and diversion; but the home of the Hereafter is best for those who fear Allah , so will you not reason?

6. Surat Al-'An`ām (The Cattle; 32)

How to HIT Deadlines!

Hey fellas! So here's the catch. One of my subscribers was complaining about himself stating, he couldn't get the job done immediately. His boss was kinda mad at him because given the free time, he seemed to be not moving and taking advantage of long time-frame.


Now he's asking, "Is this dilemma a phenomenon? Is there a science/explanation behind this?"

Don't get me wrong. I know you have tried this already. Say, your boss or someone else asked you to do a certain job. You have two weeks to do this, that's what he said.

Wow, two weeks for a pretty easy job? That's preposterous, you thought. So you did not start the job immediately. After 2 days you thought there's still more time and that job doesn't seem to last long. That report is just "peanuts" for me, you said to yourself.

Five days passed and you haven't moved anything. Now you started to think differently - I should start it now, you thought.

So there you are. You started doing that project and it seemed fine. However, after 2 hours, you still haven't written a single word on your report! Weird! How come I couldn't think well? Am I getting high? I'm not taking drugs, you thought.

Why is my mind wandering around the bush? Why couldn't I concentrate? You were shocked. No ideas. Nothing to write. Nothing in your mind. Unconditioned.

So all the clutters and trash in your desk were wiped out. You locked yourself inside a room, you did not answer any calls and you had a couple of coffee - just to FOCUS on what you're doing.

But there is really something strange going around, you noticed. Why can't I concentrate? Why am I running out of ideas? You are taking Parkinson's Law against you!

What is Parkinson's Law exactly? For God's sake, this is way different from Parkinson's disease. It is a notion that states, work expands so as to fill the time available for its completion.

In its simplest sense, work adjusts to time availability. Or is it really the work that adjusts or the person itself? Parkinson’s disease is a disease of the brain characterized by muscular rigidity, slow and imprecise movement. It’s like an oldie, eh?

So what are the symptoms of being a “victim” of Parkinson's Law? The person could not think well. He would be out of his mind. I mean, he loses focus and appetite to get things going. Maybe he’s facing the computer but his mind is on extreme sports.

He might be thinking like how to backflip dirtbikes. Yes. I have already tried that. Instead of thinking improvements on my project, I was thinking about drum lessons. Beat that!

So what could be the possible solution to this? Use Parkinson's Law to your advantage. How? Example: You have a project due in 3 weeks. That's way too long, right? Here are the steps for a better execution.

Assess the complexity of the project

Have a glimpse of the project. What are the items needed? How long would it take to finish each item? One day? Two days? You will have a general idea for the duration and you can set aside productive days already.

Plan your working schedule

Since you already know the duration of each item, you have to plan efficiently for proper scheduling. Is it okay if I'll just go on a drinking spree tonight and work on it the day after tomorrow? Think about instant and delayed gratification.

How about I go mall-hopping the whole day and work on the project overnight? Whatever! As long as you are comfortable with your sked, there's nothing wrong to it. What matters is still RESULTS. Right?

Self-discipline

Perhaps the most difficult of all. The first two steps are pointless if in the end you don't execute it well. If you keep on procrastinating, chances are you'll never make it. A plan is only good if it is followed step-by-step. So if based on your sked you have to make your project today, do it. If not, toss it away!

So that's it. Pretty simple but not easy. When it seems like you're stuck in the middle of nowhere and you are supposed to be Einstein, you're already a victim! Get out! Use it to your advantage :)

Mark Cuban VS Bo Sanchez

Last week I stumbled upon a post and seen a quote from Mark Cuban that says "Follow your passion is the worst advice you can ever get or give." I was completely blown away. No, I said to myself. I need to think about this. I need time. This is a hoax, I thought. But Bo Sanchez said "Follow your passion and money will come!"

To whom should I believe? Two different advises. Two opposing ideas. Which is right? Which is wrong?

Before I reach to the conclusion part, it is best to define these ideas first.

Marketing Concept

In the context of business, the first quote (Cuban) means that to become successful we don't need to follow our passion. Let us assume that his idea is based on the marketing concept "Follow the voice of customers".

Meaning, to become financially successful, it is not necessary to pursue or passion. Rather, we make money by creating something of value and give it to customers for a profit.

Say, you observed that your neighbors are complaining about the tall grass on their backyards. No one seems capable of gardening since they are old already and they don't have the equipment to cut the grass.

How about buying a lawn mower so that I can offer service for a profit, you thought.

So you went on buying that equipment and you serve not only your neighbors but to other places as well. Your customers are growing fast so you're not doing the mowing service anymore. You hire people and let them do the job for you. Your profit is growing exponentially. Now that's business. Sounds logical right?

Passion Concept

On the other hand, Bo Sanchez's notion is different. On his book "How to Turn your Passion into Profit", he says to become successful one should identify his strengths and interests to ascertain his passion. This is like your life's mission.

Think of something that you want to do for the rest of your life. Something that doesn't give you headaches, doesn't bothers you doing and you like doing it for the sake that you really love what you're doing even if no one pays you to do it. That is passion! But that's just the icing on the cake. To become successful, make money on your passion. How?

Example, you really like playing basketball. You're not getting tired about it. You love to shoot and you love to be idolized by pretty girls.

Not only that. Any time of the day and any day of the week, you are craving to play basketball. I just love playing basketball and it's something I want to do for the rest of my life, you thought. But I should make money out of this to sustain my passion, you realized.

Now you're doing your best to become a professional basketball player. You are now playing at PBA! Wow! Months later you won the MVP award. 

Marvelous! Now you want to step up on the ladder. Since you are basketball star ala Michael Jordan, you think of having a business by opening a Basketball School. You train aspiring players around the country. You get paid big! Now your earning enough profit apart from your basketball career in PBA. Now that's business. Possible? Of course!

My Personal Views

Now this is my realization. These two ideas are both RIGHT and WRONG. Why right? I think about it very carefully. Right in such a way that these ideas are CORRECT. I mean, these ideas happen. This is realistic, applicable and solid proofs. We can see people in all facets of life who are successful in different areas.

I would say that the first idea (marketing concept) is right for true capitalists. That is, making money by identifying what the customer really needs or wants.

I would sound to be so stupid if I sell something that people do not want, right? Hey, pay me 50 bucks for a plastic of fresh air from Greece, you are yelling to a lady in the city. Do you think she would buy? Why not? I would go inside the mall than your "instant Greece air" instead. Sensible?

Some of the iconic capitalists are Henry Sy, John Gokongwei, Lucio Tan and Ramon Aboitiz. Going global, here's Warren Buffett, Sam Walton, Donald Trump and the famous Bill Gates.

The passion concept is also RIGHT. This is true for talented entrepreneurs. Skilled individuals. Best example is J.K. Rowling.

She loves writing. She likes writing books and she's an excellent storyteller. How did she earn money from it? Harry Potter. Almost everyone knows this movie. But this is actually based on her novel.

Imagine how many people buy her book. 200 million? Understatement. I would say almost half billion. And how much is she earning per book sales (royalty)? BIG money. Other example is Tiger Woods.

He is the iconic golf star who earns millions by just playing golf. That's it! Playing golf! He's getting paid to play. Here's Beyonce. She's screaming and singing and everyone in the world likes listening to her songs. Her songs are sold on CD's and digital formats (i.e. iTunes, Amazon). Her royalty is soaring high that made her one of the highest-paid singer in the world!

Why wrong? These ideas are both wrong if fallen to the wrong person. If you are such a true-blooded capitalist, the passion concept might not work. If your mind is wired according to a capitalist's, you are customer-focused and not really about yourself. You tend to find out what's working and what's selling to people fast. You are not concerned about your passion.

Passion is simply just a leisure. A side-activity not a major priority. If a capitalist likes golf, he plays everyday but not to the point of learning the ultimate techniques. No, that is a waste of time. I would rather spend my energy on asset-producing business. Golf is just a way to relieve my stress from work. It is what fuels me to do what I should ought to do, not the other way around.

Afterword

If you are a talented person, stick to the passion concept. I strongly suggest. Why? Because you already know what you love to do and what you're good at doing. In this generation, a number of personalities succeed because of their talents. Best example is Charisse. She really has the voice. And it entertains people a lot. She makes them happy. People is willing to pay for entertainment than food. That's the irony. 

Might as well take advantage of it while it's still HOT. Skilled entrepreneurs are most likely successful if they make a business out of their specialty. In this manner their minds and imaginations are centered on their business which is their passion. Nothing could go wrong.

Interesting Facts about Sunglasses Industry

In a period of global recession the sunglasses industry is one of the few retail sectors currently experiencing growth. This has been backed up by a number of statistical overviews suggesting that in September 2011 the industry grew by 3.2 per cent in the US when compared to the findings in September 2010. This being said, being successful in the sunglasses industry can be particularly challenging when we consider the tough competition as well as the changing styles and fashion. With this in mind, here are a few interesting facts about this booming industry.

A Quick Industry Overview

Sunglasses sales and manufacturing makes up to 10 per cent of the whole vision care industry, and although in 2008 and 2009 there was a slight drop in sales as a result of less credit availability, the industry is continuing to show steady growth annually.

Industry Giants

One of the most important industry players is an Italian company Luxottica with company's shares being worth more than 50 USD per share. Luxottica manufactures in and around 70 per cent of popular branded sunglasses including Burberry, Chanel, Versace, Prada and Ralph Lauren under an exclusive license. This company also owns a number of leading brands including the ever-popular Ray Ban and Oakley. Furthermore, Luxottica also owns a number of vision care retailers including Sunglass Hut and Pearle Vision. Another important player in the sunglasses business is an Italian company Safilo whose shares are worth more than 12 USD per share. Safilo owns a license to manufacture brands like Dior, Alexsander McQueen, Gucci and many more.

Industry Profitability

It is fair to say that designer sunglasses have one of the greatest profit margins when all products are considered. In addition to this, the technology used to maximise the health benefits of wearing sunglasses is fairly inexpensive. This therefore means that the manufacturers of high-end branded sunglasses reap the rewards as customers pay for the designer label.

Industry Considerations

In order to break into the sunglasses business buying in bulk from a wholesaler is often the best way to get you started within this competitive industry. It is therefore crucial that sunglasses retailers do their research in order to keep up with the latest fashion trends to ensure that they do not buy outdated styles.

Nowadays sunglasses have become not only a tool to protect one's eyes, but also an important accessory to make a fashion statement, and this in turn means that the industry will continue to be successful in the years to come.

Building A Foundation Of Righteousness

Image credit: wikimedia

When we read stories of Prophet Nuh, Yousuf, Musa (alayhi-salaam) and many more, we are not given a timeline of how long the events occurred. How long did it take Prophet Nuh (alayhi-salaam) to build the Ark and collect animals in pairs? How long did Prophet Yousuf (alayhi-salaam) stay in the well or imprisoned? How long did Prophet Musa (alayhi-salaam) struggle against the pharaoh?

And Fir'aun (Pharaoh) said: "O Haman! Build me a tower that I may arrive at the ways, | the ways of the heavens, and I may look upon the Ilah (God) of Musa but verily, I think him to be a liar." Thus it was made fair-seeming, in Fir'aun's eyes, the evil of his deeds, and he was hindered from the (Right) Path, and the plot of Fir'aun led to nothing but loss and destruction (for him).

40. Surat Ghāfir (The Forgiver; 36-37)

If Haman had built Pharaoh a pyramid, it may have took 10-30 years to built. That would have been a long-term goal to disprove Prophet Musa (alayhi-salaam), stop his campaign, and maintain the status of god. But, clearly Pharaoh had short-term goals to meet his long-term goal. He ordered a kill on Prophet Moses (alayhi-salaam). Short-term goals are the foundation to meet the medium-term goals and reach long-term goals and success.

Then is one who laid the foundation of his building on righteousness [with fear] from Allah and [seeking] His approval better or one who laid the foundation of his building on the edge of a bank about to collapse, so it collapsed with him into the fire of Hell? And Allah does not guide the wrongdoing people.

9. Surat At-Tawbah (The Repentance; 109)

Those before them had already plotted, but Allah came at their building from the foundations, so the roof fell upon them from above them, and the punishment came to them from where they did not perceive.

16. Surat An-Naĥl (The Bee; 26)

We all know how well the Pharaoh fared. What we can learn from the story of Pharaoh and the ayats above are; if we build a weak foundation, everything will collapse.We must act on righteousness.

When we look back at our priorities (from step 10), we should put forward those that may erode our foundation toward prosperity. Based on the Priority Pyramid, we put our focus on creating a positive cash flow, paying off of consumer debts, and freeing ourselves from riba as short-term goals.

Image source MoneySense

Step 12 discusses setting up short-term, medium-term, and long-term goals. This refers to time required to achieve the goal and they must be SMART goals. But, all goals can be broken down in shorter time fragments of achievements. A short-term goal in repaying a debt of $1200 is broken down to saving just $100 a month after receiving a paycheck. We are creating a monthly guidance and small wins  for ourselves, to move toward the big picture. Prosperity.

They are on guidance from their Lord, and it is these who will prosper (be successful).

2. Surat Al-Baqarah (The Cow; 5)

Image credit Internet Entrepreneur Connection

Off-topic fun for discussion: since pyramids are tombs, and the Pharaoh thinks that he is god, it would contradict Pharaoh's goal to create public perception that he is god. Therefore, it would not have been a pyramid that Haman built. Thus, we are back at where we started with the mysteriousness of time and events.

Insurance for Commercial Vans

While insurance is essential for any kind of business, a business owner often needs to make decisions on what to insure and to what extent. Insurance for shop space, for storage space, during transit, etc. are all decisions that needs to be made. Considering this, the ultimate delivery of goods and services is often done via a commercial van. Many small businesses have commercial vans that are the linchpin of the business.



Be it any kind of business - plumbers, florists, undertakers or carpenters, a business van is how they reach the place of business. In such a case, what is to be done if something goes wrong with the van? There are plenty of things that could go wrong. The van could be stolen, it could be in an accident or it could even get damaged in a storm. If this happens, the business owner would be left bereft without a vehicle to take him to the customers and space to carry the equipment of his trade. Thus van insurance cover is pretty essential for taking care of problems, if they arise.

However, as stated above, no one wants to over insure or take excessively expensive insurance or unwanted cover for their business wants. A business owner might even feel tempted to go for the cheapest insurance if they have several vans or do not use a van frequently. However, because of the laws governing vehicles, all vehicles have to be insured, so why not insure them appropriately?

Van insurance quotes cover pretty much all the van models manufactured, and the insurance company will have their own standard premiums for each model. As a standard, a big van with a powerful engine will obviously cost more in premiums than a small van. The reason for this is that insurance companies have to take into account the costs of repair and replacement. Sometimes insurance companies would refuse to insure vans if the business owner makes a frequent habit of attaching large and heavy trailers to the van.

Insurances come in very diverse forms, but it is important to go for a comprehensive coverage after assessing the risks the business owner is exposed to. While it is always good to try and find the cheapest deals, it is not a wise decision to do so at the cost of coverage. Things that are essential to be covered are tools and equipment of the trade, audio and electronic systems, keys, locks, alarms, plus of course, any overall damage to the car. Covers against theft, fire, damage to van must also be covered as these are events whose likelihood of occurrence is pretty high.

There is often a discount provided for insuring many vans in one cover and the business owner can take advantage of this to reduce premium costs. Ultimately, what is important is knowing and understanding the various insurance coverages available for a particular make of commercial van, and making the appropriate decisions to take the coverage that suits the business best. Once this is done, the business owner may choose to find the cheapest deal offering what is required.

Know what is required and then shop for it!

How To Pay Off Credit Card Debt

Debt is a horrible master. Nothing saps wealth like being in debt. Just take your monthly payments, add them together, then times it by twelve.

How much do you spend on debt?

Once you get the number go to this compound interest calculator. Set as the interest rate a reasonable rate (try 6%). Then set the years to the average length of a car loan (5 years), then take your monthly amount you spend on debt and add it to the calculator. Select the compound interval to yearly. What is the number you get? Image what you could buy or save if you paid off debt!

How do you pay off debt? Follow these simple steps:

1. Get the current balances for your debt accounts.
2. Throw the amounts and list in excel or Google spreadsheets.
3. Sort the list from smallest to greatest.
4. Add due dates, minimum monthly payments
5. Pay off the smallest amount ASAP
6. Take the minimum payment you were paying for the smallest balance and add it to the next smallest balance. Ex: Visa minimum is $50 per month, Master Card is $100. After VISA is paid off, apply th $50 to the Master Card monthly payment making it $150
7. Keep doing this until you reach your mortgage.
8. At this point I would apply half of what you were spending on consumer debt to pay off your mortgage faster!
9. Celebrate!!

Timesheet portal for financial report analysis

Timesheet reports and analysis offer a comprehensive pallet of reporting options. Timesheet reports often quickly analyse the project and all its resources and financial data. All the reports are actually based on live data. This blog post will focus on how timesheet reports functions. Take a look at it.

Timesheet tracks actual versus targeted billable hours:

Timesheet reports measure the productivity of the staff time. Therefore, any business who wants to manage their staff time and increase sale, make use of timesheet portal.

Timesheet generates detailed project reports:

Every detail of a project including the costs, margin, and budget and billing hours can be maintained through timesheet portal software. Every hour worked based on per client on individual target and billable time can be easily traced through this software. With timesheet debtor invoicing, cash flow management can be reportable on a real time basis which is essential for all business.

Timesheet helps to show the work in progress:

All the resources hours which are booked by the clients along with the charges that wait invoicing can be recorded.

Following are the other reports that can be tracked through time sheet portal:

The invoicing options include-Staged billing, time and material and any fixed price.

The custom billing templates which involves heaps of invoice layouts together with products can be maintained through timesheet.

Timesheet system helps you to chase money in the right way. The system track correspondence sent and receivable money and allow you to enter notes for further future references for easy receipt of payment.

The validation of staff time is well calculated by timesheet portal. This eliminates any guesswork and allows room for smooth management. Moreover, timesheet also removes errors and streamlines billing.
Using billing module along with timesheet is a great alternative for flexible invoicing.

Therefore, when it is a matter of acquiring an accurate business report, timesheet plays a major role.