Personal Finance
Better Finances for a Better You
Topic: "Loans"
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information about your money.
Word of the week
Prime Rate
The best interest rate that lenders charge customers is known as the prime rate, or prime lending rate. It's possible that your credit card's real interest rate is higher than the prime rate. Variable APRs frequently fluctuate in tandem with changes in the prime rate. It follows that your variable APR will probably increase if the prime rate does, and vice versa.
Here’s a breakdown of the most common personal finance terms →Word of the week
Simple Interest
Simple interest is interest that borrowers pay lenders for a loan and does not take into account the interest that has been added to the account; rather, it calculates interest just on the original amount. Simple interest does not just relate to loans. Banks sometimes pay customers simple interest on their savings accounts.
Simple Interest: Who Benefits, With Formula and Example from Investopedia →Serious Stuff
Total Credit Card Debt Reaches $1 Trillion: 5 Ways to Get Out of Debt by Evelyn Waugh
Here are 5 steps to get out of debt:
- List everything you owe
- Decide how much you can pay each month
- Reduce your interest rates
- Use a debt repayment strategy
- Avoid new debt
Word of the week
Co-Borrower
When two people apply for a loan or credit line together, they are known as co-borrowers. The money associated with the loan are equally accessible to the co-borrower. Payment obligations fall on both the principal borrower and the co-borrower. A common example of this is a married couple that applies for a mortgage or auto loan together.
What Is a Co-Borrower? Role in Loan Documents and Vs. Co-Signer →Saving
The Bank of Parents - Exploring a touchy subject for every family: borrowing money from your parents.
Half Banked Podcast: Hosts Cadeem, Bethan and Lauren on the Bank of Parents →Saving
Rob Carrick speaks with Shir Magen, the CEO of HomeStars on his Stress Test Podcast about the popularity of renovations, the types of renos that add value to your home and money-saving tips for those considering heading down the reno route.
Podcast: Renovating can help you get the home you otherwise can't afford →Word of the week
Annual Percentage Rate (APR)
APR stands for Annual Percentage Rate. It's the yearly interest rate you pay on a loan or credit card. However, a credit card's advertised APR isn't the true interest rate because it compounds daily.
Learn how to calculate the effective APR to find a credit card's true interest rate →← Curating the web to find the most interesting and helpful information about your money.