More About the Term Life Insurance Plans

There are several insurance plans that can suit the needs of every client. Term life insurance is coverage where a client pays a fixed premium rate during a specified period. The beneficiaries of the life insurance can only get the benefits paid if the insured person dies during the contract period. However, if the insured person survives the period of the contract, he can opt to let the coverage go, or he may continue to pay the premium and extend the contract period. The company can choose to include new terms and conditions to the contract if the client chooses to extend the contract period.

Term life insurance plans allow clients to pay premiums for a specified period, which is mostly up to 30 years. With this in mind, clients should consider their lifestyles to see if they are at risk of dying sooner than they think. Many older clients can consider taking short term life insurance to increase the chance that the insurance will be effective, because they do not have a long time to live. On the other hand, young clients can take long term insurance coverage, to make sure that their families get payment when sudden death occurs.

There is also a whole life insurance coverage which offers clients the opportunity of using their premiums as an investment option. This insurance type is known as flexible premium adjustable insurance. The client who opts to buy this insurance can use the premium he or she accrues, through the years to buy items or to borrow loans using it as collateral. The main factors which affect the use of this policy as an investment option is the length of the contract as well as the face value of the policy. The premiums which a client pays also affect the effective use of this insurance as an investment opportunity. A client should try using quote comparison, so that he gets the best quotes.

When getting whole life insurance coverage with adjustable premiums, a client should consider the time it will take before the policy can accrue cash value. Many insurance companies deduct the amount a client borrows against the policy from the death benefit pay out, if he does not repay the amount before his death. With this in mind, many clients would go for the policy which accrues cash value faster than the rest. Before getting into any contracts, a client should use quote comparison, to decide which insurance policy suits him or her best.

How Not To Get Scammed On Your Car Lease

Bad Credit automobile leasing has been praised as a more attractive option to purchasing a car, offering in the process the flexibility to drive a new car for less. The reality, however, is that leasing is an option that is fraught with many pitfalls for the average customer. Leasing regulation does not require as much disclosure as buying a vehicle. This has given rise to many leasing scams that trick the customer into believing they are into a good deal when, in effect, all they are getting is a rough deal on the dealer’s terms.

Take a peek at a few of the common scams and how you can avoid being ripped off by them:

1. Unnaturally low interest rates:

Some bad credit auto dealers will offer up a lower interest rate when actually it is a good deal higher because they are quoting the money factor as the interest rate or possibly estimating the loan without amortizing some fees into the loan lease. For instance, the money factor is generally expressed as a 4 decimal figure, something like 0.004. Many of the less reputable bad credit vehicle lenders cite this as a 4% rate of interest when, it really should be multiplied by 24 to reach a closer approximation of the interest rate on your loan. Therefore, the interest rate is very much higher at 9.6% and not the rate of 4%.

Make a point of understanding all the numbers and what method the lender used to arrive at their interest rate. Look out for any additional fees, such as amortization costs, not added into the calculation. If you’re not satisfied, do not sign any lease aggreements without a better understanding.

2. You may end your lease early for a low fee

This is the biggest scam of all and the one that I fell for the first time I ever took out a lease. The lender told me I could definitely end my vehicle lease early and it would only cost me an ‘early termination fee’ of $400. Guess what… that was only the small administrative penalty for early termination, NOT the actual ‘early termination fee’. This can run into the thousands of dollars.

Do not confuse the early termination administrative penalty with the termination fee. Read the small print carefully and know exactly how much you will get charged should you terminate your lease before its scheduled end.

3. Why pay for an extended warranty

Another game that the car dealers like to play is offering you an extended warranty – to protect your investment. The only investment that will be protected here is the dealer’s profit. 99% of the time on auto leases, the extended warranty is included in your monthly lease payments. So obviously you don’t need to pay for it again. If they do convince you to go for the extended warranty, which by the way, you SHOULDN’T, you need to look carefully at the contract you’re signing as you may be buying a 3 year warranty for a 2 year lease. Not too smart – on your part.

There are some more things that the dealer can add onto your lease, or even sneak in on you. Just be careful that you examine all the documents thoroughly before you sign on the dotted line. I hope you have gotten some new knowledge from this article on auto lease scams.

Student Car Loans Now Made Easy

Every young American student who is eligible for a valid driving license feels the need to own his or her own car. And in a way there need is justified, between college tuitions, home and part time jobs they are the ones who need an automobile the most. Most of the banks and credit unions are very wary of providing college student car loans, mainly because students have low income capacity. Even if they agree they may insist on a guarantor or a co signor for your loan, which may not be an option for everyone.

Online car loans for college going students

However in this modern era the advent of numerous online car finance companies have come as a boon for students. They have specially designed car loans for students with no credit. And these online car financing companies are not in a limited number. A few clicks on the internet search engines and you will be able to see a plethora websites that deals in online car financing for college students. Hence do not settle for auto finance deal until you have compared loan terms for your category in these sites. Some of the websites also functions as brokers allowing you to compare deals offered to you by various lending companies.

Car loans are usually fully secured loans, where in the car it is held as security by the lending organization. This is until you have paid your last due installment. So that if you default on your payments and are not able to pay back these loans then they will take possession of the car. Student car loans are no credit type financing as normally most students would not have taken part in credit transactions that are tracked by credit rating agencies. Hence it is advisable that they take the repayment of these loans seriously. This loan can be a stepping stone in building a secure financial future by starting to create a new positive credit history. But this can only be possible if they pay their installments on time without defaulting. If they do not, they face the ignominy of starting their credit history on a very negative note, where in future lenders would be very weary to give you any sort of financing services.

So students need to make an honest introspection and evaluation of kind of vehicle they need and can afford. Because there are other costs too involved with owning a car. Apart from the principal and the interest amount the student also has to pay for insurance; gas (it is advisable to choose the most fuel efficient one among the available options) and other maintenance cost (like servicing charges, oil change cost etc.). So be prudent and make a smart decision.

There are in point of fact some good advantages of college student car loans. Firstly if you pay off the car loan payments on time it will replicate positively on your credit score ratings. Credit agencies all the time look to see if you have taken out loans over the itinerary of your credit history. It is not easy for university students to get a student car loans with tight finances, but now many online lenders like www.carmoneyfast.com are offering student car financing at very affordable interest rate. Now students can get pre approved financing for car despite bad credit.