Investing in commercial real estate, like any investment, is an assessment of risks and potential rewards. Like any commercial venture, there are always risks, and there are tools in place to help you reach those rewards, often for incremental increases in risk.

One of the easiest tools to use (and misuse) in commercial real estate development is debt and credit. We’re going to characterize the money you get from lending as “soft money”, money you pay to have access to, as opposed to hard money, where you’re taking an outside investor on to your property.

Fundamentally, paying interest in money is paying someone else for the privilege of using their funds to make your projects work out. Interest rates are driven by the Prime Lending Rate, which you’ve no doubt heard news stories about. The prime lending rate is the rate that banks charge other banks for loans, and is generally set by the Federal Reserve. All other interest rates made in a given quarter have their rate set as the prime late plus a small addition to the rate (or, in some cases, a large addition.)

To determine what sort of money you’re going to want, understand that the banks are in the business of lending money – and getting paid back with interest for it. They want to minimize risks, and they’ll run a credit check on you, and on your business. Most people who have the financial means to make the down payment on a property have cleared up their credit problems ahead of time, but be aware that a personal or business bankruptcy in the last few years can get you denied for a loan or make you pay for an exorbitant amount.

Soft money has interest charged on it; the interest rate is the percentage of the initial money borrowed that has to be paid (in profit) to the lendor each year. Thus, if you borrow 100,000 dollars at 8% interest and pay it off in one year, you’ll have paid $108,000 for the property. Those interest rates are cumulative over time; there’s a rule of thumb used in the financial market for compound (cumulative) interest rates called the Rule of 72: Divide 72 by the number of points of interest your money is making, and that’s the number of years it will take for the cumulative interest to equal the amount of the initial loan. Using our earlier $100,000 investment, at 8% APY, 72 divided by 8 is nine, which means that paying that loan back over 9 years means you’ll have paid out $200,000 for the property. Always factor your interest rates into your cost calculations on return on investment, and monthly cash flow calculations.

Now, the good news is that some interest, especially when applied to residential properties, is tax deductible for your business, but still, you’ll need to assess several things with your property before getting the initial loan.

The first one – what’s the largest down payment you can afford, without hurting your own cash position? Larger down payments result in saving money in the long run, but can be an important cash flow hit early in the history of the investment. Larger down payments will usually (but not always) translate into lower monthly costs on the property (the primary exceptions are when you’re buying a residential property with high tenancy rates – these command high initial down payments because of their favorable capitalization rates and revenue potential, but still have the attendant costs of running a residential property.)

Second, how quickly do you intend to sell this property? The longer you intend to hold on to the property, the better a long term loan will look. This is because banks charge lower interest rates for longer period loans, due to the rule of 72 mentioned above. If you want to buy, renovate and turn, you’re going to want to get a shorter term loan, because it’s harder to sell a property with attached debts and second mortgages. In particular, any property that needs substantial improvement may need to have its interest rate needs assesses carefully – it’s not difficult at all to take a commercial property and turn it into a money pit that consumes all your profits.

For sources for your loan, the obvious place to look is a bank, preferably one with a strong business lending history. Understand that due to the regulations put on the Savings and Loan industry in the 1980s, it’s very hard for small businesses to get a substantial sum of money; there are regulations that keep them from lending to new businesses to prevent a future bailout. Another source for your loan can be a credit union or building society; these are tools that allow multiple investors to pool resources to build businesses – this is one reason why credit unions require all customers be called members, and why they require a $5 deposit.

Not so obvious places for your loan: If you’re coming out of the military, you’re entitled to a Veterans Administration loan, generally at very favorable rates, and bypassing a large number of credit checks for loans of $150,000 or less. While the intent of this loan program is to let veterans buy their first homes after mustering out, these loans are excellent tools for new investors to buy, renovate and turn properties over for a quick profit.

Similarly, Small Business Investment Relations (or SBIR) loans can often be had from local chambers of commerce, if you can provide a solid business plan for how you’re going to make a profit and pay the loan back. Housing and Urban Development loans can also be had for investors who intend to hold on to a property for low income housing, though this tends to be best as for a “buy and hold” strategy.

Do you want to make fast money? Are you interested to make money working from home? This page would help you out to make money fast and easy through the strategies this article will provide to you. Trust me, many people have proven themselves because they began learning how to make money fast and had to step up doing it.

First and foremost, you should have the interest to write articles of different topics and categories. The web has lots of information related to articles, essays, eBooks and reports. You could use that as reference in writing web content articles.

There are thousands of websites for writers that can provide you to make cash online. By writing for several hours a day, you could easily make money on internet. In other words, writing online is one of the make money ideas available you could do at home. Learn how to earn money by writing as many articles as you can. Wait for several months and you could make lots of money fast.

Go to popular blog sites and sign up. Don’t worry because registering accounts and submitting articles are free. However, if you want to make money quick, it’s better to create your own websites. It is the fast way to make money because there are more easy things you could do to monetize your sites.

When one of your websites is ranked number 1 on major search engines like Google, you can make extra cash through that. Achieving that is very easy. You only need to have a large number of traffic.

Another idea you could add if you have websites is the use of Google AdSense. This is an ad program that helps you make fast money. Let the AdSense make money while you are away from the computer, sleeping, having a break or a long vacation. AdSense works when the Google ads on your web pages are clicked. To have the assurance, let someone click on the ads of you sites and make money.

Writing doesn’t end there. You need to distribute your articles to blog directory sites. It’s another strategy you could easily do on how to make lots of money fast. Build backlinks through keywords which would link to your main sites and redirect viewers to your main websites. Isn’t that very simple? Yes, it is very simple and it will help you make fast money online.

Next, you could also do some affiliation with online businessmen. With the use of promoting or selling products, you can make money on the internet. You could also sell your own products if you want. Try selling some items on eBay and you will earn money. This money making idea also applies when you have your own websites. You get money from the number of traffic plus the amount of items sold. It could be a good way to make fast money or quick money. If you don’t have any items, you could just simply become an affiliate to others who sell products and services. It is still a chance to make money easy because you get about 75% commission of sale.

Affiliate marketing is an avenue you could do to make fast money. As the internet continues to become the fastest and quickest source of great ideas to make cash online, then you should start making money fast by doing this strategy.

One of the easiest tasks to get rich is through PPC. PPC is Pay-per-click which lets you click ads on the web and make fast easy money. It is a very easy job everyone can do to make money at home.

There are some people who will hire people to do some PPC task because this will help their websites bloom. For the people who click ads, it’s another way of making money fast for them. Like I’ve said, it’s one of easiest way you could learn on how to make money online. Yes, you will be really making money out of this.

Free online surveys are another easy way to make fast money. By answering few questions, you could make fast money. You could enjoy doing this to earn money because you are only going to give your own opinion and ideas.

Easy money is definitely a goal by everybody. If you have that dream, make sure to do the money making strategies this page have provided for you. Those are great ideas to make big money fast. Be flexible and have the determination if you are really interested to make fast money. Who knows, you might just be doing extra money later on.

Those are the quickest and easiest ways to apply on how to make money and how to make cash fast. If you start right away, you could not surely stop doing. Instead, you make money online every day. If you want to make money now, start doing it. Remember to make extra money, too, because extra tasks are the secret on how to gain money fast. Don’t wait and make fast money now!

You need a cash advance immediately, but are too shy to ask relatives or friends, and are scared of the paperwork involved in a bank loan. Shed all your worries, for help is a mouse click away in the form of payday loans. Payday loans are one of the most convenient ways of getting a cash advance today with practically no paperwork or other hassles.

Defining Payday loans

Payday loans are a short-term cash advance, when it is needed the most…usually between paydays! Payday loans are a great way to get some cash to tide you over to your next paycheck. The goal of payday loans is to assist you with finances to meet that unforseen requirement. The money is given as a cash advance and is directly deposited into your personal checking account, after which the cash advance funds, plus a fee, are taken out of your account at the end of the loan which usually is your next payday.

However, a payday loan is no substitute for long-term financial planning. This cash advance should only be taken to meet urgent financial needs until your next payday. It is only in emergencies that payday loans come in handy. Payday loans also bail you out of situations of bounced checks and late payment penalties by making the appropriate cash advance available.

Understanding The Cost Of Payday Loans

Forewarned is forearmed! So it is with payday loans. If you know what this kind of cash advance will cost you, you will be in a better position to weigh the pros and cons of opting for it. This way you will also know exactly what amount you need to pay back to the payday loan companies.

Your first step should be to find out the best rate of payday loan on offer. Whichever payday loan company you may choose you must know what will be the fixed amount that you will owe upon completing your payday loan.

Usually most payday loan companies charge around $20 to $30 per $100 of cash advance. To ensure that there are no ambiguities, insist that your final payday loan amount is spelled out in dollars and cents. This will help you know what you need to pay, when your payday loan is due.

To judge the best deal, go for the payday loans company that is offering a lower APR. Usually, most payday loan companies provide a cost-breakdown per 100-dollar increments that coincide with the rate.

Furthermore, most payday loan fees are based on the duration of the cash advance. The standard APR for most companies falls into the 400 percent range. As an example, suppose you were to borrow $100 at a fee of $20 for a 2 week period and if you did not pay if for a year, your service charge would be $520 for a 520% APR. To which you need to remember to add the original $100 that you borrowed.

There may be a situation where you are unable to repay the full amount of the cash advance to the payday loans company. In such a situation, the payday loans company generally charges the payday loans finance fee and defers the principal payment over a longer period of time, usually another 14 days.

The Other Hidden Costs

There are several hidden costs in a payday loan! Remember, if you are unable to pay this cash advance and you happen to lose your job, the clock does not stop. If you default on the cash advance, which includes the principal plus interest, the payday loan company will reclaim the entire amount plus all the interest accrued on this loan. A payday loan company may exercise a number of options to collect this cash advance:

·Sue you for the funds.

·Use a collection agency.

·Enter your details into a bad credit database which may limit your capacity to cash/write a check for commercial purposes.

·File a legal complaint for bounced-check charges that may leave derogatory information on your credit file.

By now, it should be clear that it is not prudent to go for payday loans without being aware of the repayment structure. To play it safe, make sure that the cash advance is repaid on time to the payday loans company. Read the fine print before you sign the agreement and understand the worst-case scenarios before deciding to take a payday loan. Once you understand the costs involved in obtaining a cash advance, you are a step nearer to fully enjoying the benefits of payday loans!

In today’s economy, the importance of remaining innovative and proactive, rather than simply reacting to market conditions, is greater than ever. Part of this is focusing on driving banking innovation by the use of social media, in order to extend the reach and productivity of all banking operations. However, in order to determine if the banking strategies are optimal, it is necessary to evaluate them, using soft Key Performance Indicators (KPIs).

Unlike “hard” KPIs, or those KPIs directly tied to immediate, quantifiable financial benchmarks, soft KPIs involve a longer-term process of evaluation, one based on social and personal evaluations. This is especially true in the case of social media, involving large groups such as the bank marketing association.

These KPIs can include direct measurements to determine how many individuals are being reached by the social media campaign. An example would be how many individuals are signing up to the social media networks such as Facebook. However, while easy to evaluate, these may not be the best indicators of the reach of the advertising campaign.

More effective soft KPIs might involve focusing on customer comments, via the social media and what their comments, whether positive or negative, focus on. This would allow the bank to determine what their customer base is most interested in, and what areas they feel could use improvement. This is especially beneficial, as tracking comments would allow the bank to focus on those issues that are most important to their customer base.

Secondly, in evaluating comments and user participation, the bank should try to establish methods to make the sharing of consumer opinion easier and more effective. By allowing a streamlined comment or discussion process, banking innovation can be fostered at all levels of the institution.

Finally, whether as an individual bank or part of a bank marketing association, the evaluates need to remember that soft KPIs are just that-soft, and will not always provide unambiguous data. Determining whether a spike in customer comments represents a genuine change in opinion or simply the activities of a few energetic users often requires a subjective judgment on the part of the evaluates.

Banking innovation via the use of social media is a powerful tool for modern financial institutions. By making use of soft KPI metrics, a bank can effectively prepare itself to face a fast-moving business future. Think about defining the right metrics for your business and then apply them conservatively for best results.

A payday loan indeed has many names. Some call it a cash advance loan. A few think of it as a check advance loan. One another name is often a post-dated check loan. A few others call it a deferred-deposit check loan. The Federal Trade Commission in the U.S. calls it “costly cash”. Regardless of what you call it, it is really the same thing: a smallish (generally $50 to $500) short-term loan having considerable interest rate.

Why would you obtain a payday loan?

Payday loans are preferred for many reasons. To those who are actually in the position of requiring one, its benefits outnumber the disadvantages. And there really are shortcomings; nevertheless we will analyze those aspects subsequently.

To start with, place yourself in the shoes of the individual who requires some quick money. Perhaps you have just been placed in the unenviable situation of suddenly requiring some cash and being taken by surprise. You might have had a totally unexpected health care bill or perhaps automobile repair bill, or you may really need to take a trip unexpectedly, like in the case of demise in the family. Some people who want swift funds utilize it to fork out their every day expenditures, such as rent, groceries, utilities, and so on… Whatever the reason will be, you desperately require that money and you simply do not now have it.

Is really a payday loan your last option? Do you have other different solutions you could check out first? Well, what are often the merits of payday loans? Let us find out:

1. You would not really have to undergo the hassle of a credit check.

2. You will be able to fill out an application in person, on the phone or on the internet.

3. The procedure normally takes under 20 minutes.

4. The loan proceeds are conveniently deposited into your bank account in less than a day.

5. It is very affordable, at least to start with – you really do not have any up-front expenses.

6. It is very discreet – nobody else is involved in the process.

7. It is secure – your financial details are not discussed with others.

Alright, that makes sense. These are adequate reasons to get rid of the stress of remaining short of money. It is really a “quick fix”. You will be able to cover the shortage, and move on with your life. And you will be able to repay the next payday, correct? So you have settled your situation.

Just where would you be able to get a payday loan?

Payday loan firms are pretty much all over the place. There are over 10,000 payday loan outlets in operation in the U.S. And they are spread out in identical fashion all over the globe. If there is not a payday loan outlet near you, you can search the internet and uncover plenty of online payday loans out there.

These providers are in business to “help” people in dire financial need. They give these kinds of loans to individuals that cannot obtain the money they need at any other place. Let us now profile one firm who furnishes payday loans as part of their basically financial services business – Money Mart.

Money Mart was basically promoted as an alternate to banks. Their hours would extend past banking hours, and they would situate themselves in lot more accessible locations than banks. They can cash checks even when banks were closed, and people would not really have to travel very far for their services. They should have been on the correct course since today, they have 1,700 locations in Canada, the U.S. and the U.K.

A common Money Mart customer actually is an average working individual, 32 years old (82% of clientele are less than 45 years) and currently employed, having an annual earnings of approximately the national average. These clients go to Money Mart because of their fast service, their easy venues, and their prolonged functioning hours. The entrepreneurs of Money Mart had been right – their primary ideas nonetheless hold true these days.

Ever since including payday cash advances to their monetary services, they have carved themselves a very nice niche in the market. But they are certainly not the sole choice. You can today find a minimum of one, and typically several, payday loan facilities in almost every community.

Why precisely would you choose not to obtain a payday loan?

Now that we have researched the convenience of payday loans, let us now have a fair take a look at the disadvantages. All over the United States of America, governments on virtually every level are looking at payday loan channels with mounting worry. Plenty of individuals feel that they make the most of low-income people in financial difficulties. Some go as far as to express they “prey” on them. Their argument to that is that they are filling up a requirement and they are not carrying out anything illegal. So the debate goes on – let us examine why.

Do you remember when you believed you had sorted out your difficulty and you could move on with your routines? Well, what if perhaps your following paycheck, after your planned expenses, was not good enough to pay off the obligation?

If perhaps you came up short once again, you need not be troubled – payday loans are extendable, or renewable. This procedure is termed “rollover” and, when you do the same far too many times, it can end up costing you a whole lot of money. Let us study an illustration: Say that you borrowed $100 for 2 weeks (till your following payday). You give a check to the loan provider for $115 (including your $15 fee). The annual percentage rate of that loan is actually 391%! If perhaps you cannot pay off the $115 at the due date, you can rollover the loan for another couple of weeks. If perhaps you rollover the loan 3 times, the lending fee will reach $60 for a $100 loan. That is quite substantial interest, do not you suppose?

These are details you need to give consideration to when you are deciding if a cash advance payday loan is the ideal solution in your particular circumstance. For sure, the loan cost is substantial, yet it gives you the funds you require, whenever you need it, thus avoiding a whole lot of tension and trouble. It is really pretty true in consumerism nowadays that convenience will cost you money. Nevertheless is it worth that much? That is a question you will really have to answer for on your own.

Payday loans tend to be controversial – however they do fill a necessity

At this point we have evidently presented both sides of the discussion – and it is really a big debate in recent times. Hence which party will you go with? That depends upon your current situation. In case you truly simply have to have it, and you do not really possess some other choice, then a payday loan is probably the prudent thing for you. At the very least you will be in a position to keep your peace of mind, even when it does cost you some money.

When you end up in this scenario, use it as a chance to learn. Keep in mind, there are hardly any mistakes – simply lessons. When it is essential to get hold of a payday loan, ensure that you do not really roll it over a lot of times – that is really when it will become a trouble. Also in the interim, try to create a crisis fund so you would be able to cover those unforeseen expenditures. Become a good financial manager. Then you would possess an alternative, and also you would not have to depend on a payday loan as being “your last resort”.

Many borrowers are looking for cheap loans, but how is a cheap loan defined? For starters a person has to remember that nothing is free and loans cost money. Loans are paid for through interest rates and fees.

Lenders are in the business of trying to make as much money off the loan process as possible. It is up to the borrower to make sure they get a cheap loan because the lender is not going to worry about making it that way for the borrower.

Lenders earn their money off loans through the interest rates they charge and the fees associated with the loan. Borrowers are responsible for watching out for these costs. Interest rates are often the most talked about charge. That is because interest can really tack on a large chunk of money to the cost of a loan.

Big ticket items can cost a borrower more than the actual loan amount. In the end the borrower will have paid double, sometimes triple, the actual loan amount in interest rates alone. This is why getting a low interest rate is so important in getting a cheap loan.

The trick to getting a low interest rate is shopping around. The interest rate is going to be based on a few things. It will be based on what the current interest rates are and on the borrowers credit history. The borrower really has no way to control the current average interest rate, but they can improve their credit to help lower rates.

Additionally, the borrower can shop around until they find the lowest interest rate lenders will extend to them. This is helpful even for a borrower with less than perfect credit. By shopping around a borrower is taking control of the situation and therefore has more of a chance of securing a cheap loan.

Fees are another way lenders make their money. Many lenders include all types of fees in a loan agreement. If a borrower does not read the terms and conditions of the loan carefully they will likely end up with hidden fees that will cost them in the end.

Some common fees include processing fees, like application fees, and early pay off penalties. Processing fees are often included and justified as paying for the time of the person who processes the loan. It is just another way to get more money from borrowers and is not really a necessity.

Early pay off penalties are common place in the loan world. These penalties are the lenders way of protecting themselves form losing too much money. What this penalty does is costs the borrower should they pay off the loan early then the specified date in the contract.

Getting a cheap loan is really in the hands of the borrower. It is the borrower who must be diligent in reading the terms and conditions and shopping around. The borrower is the only one who will benefit from cheap loans, so they have to be the one to make sure they are getting a cheap loan.

A traditional banking model in a CEEC (Central and Eastern European Country) consisted of a central bank and several purpose banks, one dealing with individuals’ savings and other banking needs, and another focusing on foreign financial activities, etc. The central bank provided most of the commercial banking needs of enterprises in addition to other functions. During the late 1980s, the CEECs modified this earlier structure by taking all the commercial banking activities of the central bank and transferring them to new commercial banks. In most countries the new banks were set up along industry lines, although in Poland a regional approach has been adopted.

On the whole, these new stale-owned commercial banks controlled the bulk of financial transactions, although a few ‘de novo banks’ were allowed in Hungary and Poland. Simply transferring existing loans from the central bank to the new state-owned commercial banks had its problems, since it involved transferring both ‘good’ and ‘bad’ assets. Moreover, each bank’s portfolio was restricted to the enterprise and industry assigned to them and they were not allowed to deal with other enterprises outside their remit.

As the central banks would always ‘bale out’ troubled state enterprises, these commercial banks cannot play the same role as commercial banks in the West. CEEC commercial banks cannot foreclose on a debt. If a firm did not wish to pay, the state-owned enterprise would, historically, receive further finance to cover its difficulties, it was a very rare occurrence for a bank to bring about the bankruptcy of a firm. In other words, state-owned enterprises were not allowed to go bankrupt, primarily because it would have affected the commercial banks, balance sheets, but more importantly, the rise in unemployment that would follow might have had high political costs.

What was needed was for commercial banks to have their balance sheets ‘cleaned up’, perhaps by the government purchasing their bad loans with long-term bonds. Adopting Western accounting procedures might also benefit the new commercial banks.

This picture of state-controlled commercial banks has begun to change during the mid to late 1990s as the CEECs began to appreciate that the move towards market-based economies required a vibrant commercial banking sector. There are still a number of issues lo be addressed in this sector, however. For example, in the Czech Republic the government has promised to privatize the banking sector beginning in 1998. Currently the banking sector suffers from a number of weaknesses. A number of the smaller hanks appear to be facing difficulties as money market competition picks up, highlighting their tinder-capitalization and the greater amount of higher-risk business in which they are involved. There have also been issues concerning banking sector regulation and the control mechanisms that are available. This has resulted in the government’s proposal for an independent securities commission to regulate capital markets.

The privatization package for the Czech Republic’s four largest banks, which currently control about 60 percent of the sector’s assets, will also allow foreign banks into a highly developed market where their influence has been marginal until now. It is anticipated that each of the four banks will be sold to a single bidder in an attempt to create a regional hub of a foreign bank’s network. One problem with all four banks is that inspection of their balance sheets may throw up problems which could reduce the size of any bid. All four banks have at least 20 percent of their loans as classified, where no interest has been paid for 30 days or more. Banks could make provisions to reduce these loans by collateral held against them, but in some cases the loans exceed the collateral. Moreover, getting an accurate picture of the value of the collateral is difficult since bankruptcy legislation is ineffective. The ability to write off these bad debts was not permitted until 1996, but even if this route is taken then this will eat into the banks’ assets, leaving them very close to the lower limit of 8 percent capital adequacy ratio. In addition, the ‘commercial’ banks have been influenced by the action of the national bank, which in early 1997 caused bond prices to fall, leading to a fall in the commercial banks’ bond portfolios. Thus the banking sector in the Czech Republic still has a long way to go.

In Hungary the privatization of the banking sector is almost complete. However, a state rescue package had to be agreed at the beginning of 1997 for the second-largest state bank, Postabank, owned indirectly by the main social security bodies and the post office, and this indicates the fragility of this sector. Outside of the difficulties experienced with Postabank, the Hungarian banking system has been transformed. The rapid move towards privatization resulted from the problems experienced by the state-owned banks, which the government bad to bail out, costing it around 7 percent of GDP. At that stage it was possible that the banking system could collapse and government funding, although saving the banks, did not solve the problems of corporate governance or moral hazard. Thus the privatization process was started in earnest. Magyar Kulkereskedelmi Bank (MKB) was sold to Bayerische Landesbank and the EBDR in 1994, Budapest Bank was bought by GE Capital and Magyar Hitel Bank was bought by ABN-AMRO. In November 1997 the state completed the last stage of the sale of the state savings bank (OTP), Hungary’s largest bank. The state, which dominated the banking system three years ago, now only retains a majority stake in two specialist banks, the Hungarian Development Bank and Eximbank.

The move towards, and success of privatization can be seen in the balance sheets of the banks, which showed an increase in post-tax profits of 45 percent in 1996. These banks are also seeing higher savings and deposits and a strong rise in demand for corporate and retail lending. In addition, the growth in competition in the banking sector has led to a narrowing of the spreads between lending and deposit rates, and the further knock-on effect of mergers and small-hank closures. Over 50 percent of Hungarian bank assets are controlled by foreign-owned banks, and this has led to Hungarian banks offering services similar to those expected in many Western European countries. Most of the foreign-owned but mainly Hungarian-managed banks were recapitalized after their acquisition and they have spent heavily on staff training and new information technology systems. From 1998, foreign banks will be free to open branches in Hungary, thus opening up the domestic banking market to full competition.

As a whole, the CEECs have come a long way since the early 1990s in dealing with their banking problems. For some countries the process of privatization still has a long way to go but others such as Hungary have moved quickly along the process of transforming their banking systems in readiness for their entry into the EU.

Now is the time for a fast money recap. Do you think that you can really make fast money through online jobs like marketing, selling, advertisements, surveys and other labors? You may be right but you really have to know the right skills and how to apply them to ensure that you get that money without leaving the comfort of your home.

The possibilities of earning money through online ventures are quite vast. The whole area is quite new and nascent. Everyone is still trying to figure out and explore the endless capabilities. The deeper you get into it more doors open up. So won’t it be nice if a small recap of the fast money is available as a user guide for a new starter? This article may be the answer.

Fundamentals of fast money recap

The first fundamental in fast money recap is to know your skill well. You need to know what you are good at, is it really fast typing, sales, analytic, what is your unique forte. Determining this will allow you to play to your strengths and discard the opportunities that may not truly add value to your business proposition. Understand that the possibilities are endless. Hence there is no rush, take your time and then get into what you are best suited for.

Another thing to remember is to pick and choose your medium to be available online. Do you want to have your own website, blog or you would simply like to leverage the social networking site. Having your own website works the best since you will also be able to leverage the benefits of affiliate marketing. The cost of hosting a website and developing one is not very high while the benefits are worth a lot. If you are serious about making money online then you must invest in a website, which is the second point in fast money recap.

Basic business sense is necessary

The smaller fundamentals may be quite a lot, but it is sufficient to say here that it pays to remember the basics of business sense. Ultimately whatever we are doing is to make money. Hence the traditional methods of using prudence and good financial management and business sense are not going to harm anybody. Keep this in mind and you would not need to refer to any other fast money recap anywhere. Build your business on solid ground and get ready for excellent returns.

Payday loans are the fastest and most convenient option for getting a cash advance for emergencies before your next payday. However getting payday loans and their repayments involve certain important aspects. Herein we are attempting to answer all your general queries related to Payday loans and we hope it will serve as a tool to open up any mystery surrounding payday loans or cash advance.

What Is A Payday Loan Or Cash Advance Loan?

We daily come across many loan types like housing loan, personal loan, and education loan. However, the payday loans are a new buzz in the market, and it is very popular. This loan is known by many names like “Cash Advance”, “Paycheck loan”, “Check loans”, and “Payday advance loans”. Let us understand what is a payday loan or cash advance loan and how and when it should be used for your maximum advantage. Payday loans are unsecured loans, which can be used for meeting your emergency financial needs and is paid back out of your next paycheck on your payday. Thus, payday loans are the shortest tenure loans among the other loans available in the market.

Are there any limitations on payday loan or cash advance loan usage?

Many a times we face a situation when we need money badly but feel like our hands are tied as our payday is still several days away. In such a scenario, we either have to shelve or defer our plan of purchasing something or go for a heavy interest credit card loan to meet the obligation. The requirement could be to pay up unexpected medical bills, your kid’s school fee, to avoid bouncing of your issued checks or any other financial obligation. In such trying times, payday loans or a cash advance comes in handy. Thus, you can use this cash advance for whatever purpose. There is no restriction on the usage of payday loans.

Am I eligible to receive a payday loan or cash advance loan?

The best thing about payday loans is that they can be had even if your credit rating is not very good. The second best thing about payday loans is that taking a cash advance does not affect your credit rating. All you need to be eligible to receive the payday loans is to have a running checking account and a regular job.

How should I apply for a payday loan?

To apply for the payday loans, we would say it is easier to do than to say. You can apply for payday loans online using Internet. You may be required to supply some basic information such as your Name, Address, and your employer details. Some companies offering payday loans may ask for your Bank Statement or pay stub over fax. The documents required by these companies for payday loans are minimum in comparison to other types of loans.

What is the fee charged for payday loans?

Before applying for payday loans, we suggest that you scan 5-6 companies for the fees they are charging. Some companies offer payday loans without any fee for the first week.

How much cash can I get with a payday loan?

The amount of payday loans ranges from $100 to $1000 depending upon the repaying capacity of the borrower.

What is the length of payday loans?

Normally a cash advance is supposed to be paid back on or before your coming payday. Therefore, the maximum length of payday loan could be up to 30 days. However, some companies are flexible with respect to the loan duration as well. Payday loans can be extended until the next payday. This extension of payday loans however comes at a price.

How long does it take to get a payday loan?

Payday loans are much easier to get and in less time than other loans. After applying for a payday loan online, you will get a telephone call from the payday lender. After completing the small formalities, the cash advance will be credited to your checking account the next business day.

Does this mean I can enjoy my pay without waiting for my payday?

Before you jump for a payday loan, please note that the rate of interest charged for these loans are higher than other loans. Extending the duration of payment will only increase the fees charged. The payday loans or cash advance loan should be used very prudently and only for meeting financial exigencies that cannot be avoided. Please remember that getting a payday loan or cash advance loan too frequently could upset your monthly budget and you may find it difficult to get out.

Introduction – What we are going to do is describe the legal and mechanical process relating to offshore bank failures. We will discuss what leads up to them, what happens if they fail, and how do the depositors get their money back. The terms and scenarios we depict are generally what happens in the world of offshore banking. In some jurisdictions the terminology and procedures may be slightly different but the general way things proceed will be in line with the scenarios depicted in this article.

Offshore Banks – A brief definition of this term is in order. These are banks that are located in various countries around the world many being in Caribbean Island Nations. These banks have a license that enables them to only do business with people and entities (trusts and corporations) that are not from that country. The offshore jurisdiction does not trust the offshore bank to accept deposits from its citizens or corporation filed in that country. This right away should tell a moderately astute investor that he or she is perhaps not exercising the correct amount of caution when it comes to selecting a bank and an offshore jurisdiction. So the first warning sign is be careful of offshore banking licenses. A bank can be in an offshore jurisdiction and not have an offshore banking license, instead be a regularly licensed bank. Offshore bank licenses can be had in some jurisdictions with as little as a $50,000 deposit with the country issuing the license. Usually this amount is never more than $500,000 and many countries require less. As a point of comparison a regular bank operating in Panama is required to post $10,000,000 cash deposit and the owners go through a rigorous background investigation.

Bank Failure – This is a term relating to the offshore bank being unable to fulfill the demand for funds from their depositors. This can occur for a number of reasons, some bad and some not so bad. The offshore bank may have been found to be below its protective ratios and the government bank auditors or financial ministry may decide to shut the bank down in terms of money going out for a limited period of time to see if the bank can return their ratios quickly to an acceptable level. In the event the ratios return to an acceptable level the bank operation resumes normally and the depositors may not even know anything occurred.

Complaints – The way offshore bank failures generally start is with complaints to the licensing authority of the country where the bank is located stating that requests to withdraw funds are not being met by the bank. To document this the account holder generally retains legal counsel in the country where the offshore bank is located and files a formal demand for the funds to bank with a very short deadline. When this demand is not met the law firm will file a formal complaint to the offshore bank licensing authority who will generally conduct an investigation. They may have their own auditors or hire an independent team of auditors to go through the offshore bank records. They will look to see if there are any loans on the books that do not meet the guidelines for lending such as writing not collateralized loans is usually considered an offense. Loans to the principals of the bank are another red flag. Real estate acquisitions like mansions on the island where the offshore bank is located for the bank executives to live in is another red flag as well. Usually without loans the bank would not fail to meet its ratios. When these loans go bad and there is no collateral to go after then the banks get into trouble. The complaint process is possibly the only way the government is going to know their offshore bank is in trouble and by then it may be too late, but it may not be too late. Remember we are talking about offshore banks here, not regularly licensed regular banks which are audited and watched way more closely by the government and usually by a different government agency than the agency supervising offshore banks. We as a Panama Law firm do not introduce clients to offshore banks which should tell you something.

Loss of Correspondent Bank – Sometimes the offshore bank has just lost one or more of its correspondent banks and can not execute wire transfers until it replaces the correspondent with another correspondent bank which may take several weeks. When the complaints hit the government they will investigate, see that the funds are in place and allow the offshore bank a reasonable period of time to secure another correspondent bank, checking with them for progress reports. This is a not so bad problem that will only serve to scare and inconvenience the depositors.

Offshore Bank Receivership – This is a process whereby the government agency that licenses the offshore bank takes over the offshore bank to control its operation with an eye towards saving the bank. Sometimes they are successful and well sometimes not. Often a team of professionals from a large auditing or accounting firm are brought in. Receivership practices can frequently mean that a percentage of your funds will be unavailable for withdrawal for sometime. This is to prevent a run on the offshore bank which would for sure topple it and thus cost the depositors substantial losses. You may be only able to take out say 25% of your funds. What can often happen is the depositors lose faith and take as much money out as they can and avoid putting in any more money. This usually results in the offshore bank failing totally and being shut down.

Suing the Offshore Bank – What often happens in these offshore bank receivership scenarios is some depositors get scared and act jumpy and sue the bank. The lawsuits generally involve having the court encumber or tie up an amount equal to their deposit. To accomplish this the depositors generally have to resort to deceit or twisting the truth minimally, to make the court think they were not ordinary depositors or the amount in question consisted of funds to be handled in a special exceptional manner. The way the depositors are playing their hand is get the court to hold my money before the bank goes down completely and then my funds get mixed in with all the depositors in the fracas. If one files such a lawsuit they are generally excluded from filing claims as regular creditors (depositors) of the bank in the event of a liquidation and if they lose their lawsuit (an expected occurrence if based on fraud or deceit) they can lose all. Usually several depositors will file such lawsuits if there is any official action taken against the offshore bank and this could push the offshore bank into greater difficulty and if there is a bank liquidation it will be a most complex one with a lot of depositors funds eaten up in legal fees.

Offshore Bank Liquidation – This is of course the sword of gloom in the world of offshore banking. For things to reach this level the government had to have felt that the offshore bank is not salvageable. Generally a bunch of depositors filing lawsuits and jamming up the court system of some island jurisdiction is going to encourage the government there to liquidate the offshore bank in hopes of freeing up their courts. Imagine an offshore tax haven island court system. A small building with one to three courtrooms and maybe three or four judges. These courts hear divorce, child custody, personal injury as in auto accidents, bankruptcy, collection cases, resident disputes with building contractors, traffic court cases, and criminal cases. The court is there to enable the island jurisdiction to function as an independent governing state. It is not going to jam up its courts increasing the wait times for its citizens that are trying to deal with vital matters like child custody where one of the parents is an abusive drunk hurting the children. When the offshore bank gets put into liquidation generally the court cases can be disposed of quickly or even by summary dismissal. The government knows that the people behind these lawsuits are trying to get more money than they would if they just waited for the liquidation to proceed and are not amused by their litigious behavior.

The Offshore Bank Liquidation Process – So now the bank is in liquidation. What does this mean? Basically a liquidator will be appointed to determine what assets the bank has, liquidate what can be profitably liquidated and then see how much money is left. The remaining money will be divided up among the depositors fairly depending on how much they had on deposit in the offshore bank. They will get a percentage of their deposit back. What would be a good return in a liquidation, 75%. What would be a bad return well there was a liquidation in Latvia a few years ago where the depositors got 2%. What is a typical return? There is no number but it should be 33% to 60% unless the bank has been really mismanaged.

The Offshore Bank Liquidator – This is generally a person with an accounting, legal or banking background. They can understand the books of the offshore bank and the laws pertaining to the offshore bank and the liquidation. If the offshore bank had secured loans that went bad (payments not be made according to written loan documents) they will analyze the worth of going after the collateral. If there was a farm in Argentina posted as collateral for a three million dollar loan he may order an appraisal of the farm to see if it really worth that much. If the value of the farm is more than the legal expense of securing and liquidating the asset the liquidator should go ahead and liquidate it. This process may take a year or longer. If a loan was made to a trucking company in Belgium for a fleet of trucks the same liquidation process may occur. This sort of liquidation may take even two or three years depending on what type of liquidation processes may need to be followed. The borrower may file bankruptcy making the liquidation of the secured assets difficult and time consuming in some countries. The bankruptcy court might let the borrower continue making payments and keep the asset which can make for a rather problematic liquidation because now the loan must be sold to reduce it to a net value. Generally such a loan is going to go for a deep discount at best. The liquidator may have to sell the banks real estate, computers, office equipment and furniture, cars, boats, planes etc. All this is time consuming and the assets should be sold at an auction to keep things fair avoiding accusations of selling under the market for kickbacks. There is an inherent conflict of interest in the liquidation process. The bank liquidator generally gets paid handsomely. Think perhaps $150 to $300 an hour or maybe $10,000 to $30,000 per month. It is in his best interest to keep things going for as long as possible. The lawyers the bank liquidator uses are also under this same conflict of interest. How honest and upright these people are going to be is something for which there is no rule but there is generally a control element in the form of a creditors committee. In an honest liquidation the liquidator may elect to distribute the readily available assets the offshore bank has right away. These assets would be the actual cash deposits. This is an encouraging sign to the creditors. Money would usually be held back to allow the liquidation to proceed further allowing for legal expenses etc. Then as real estate and other assets are sold further distributions would be made. Not all liquidations are done so directly.

The Ugly Side of Offshore Bank Liquidations – Sometimes the offshore bank assets are deposited by the liquidator in another bank. Whether or not this is in an interest bearing account is always a good question. If there is $12,000,000 in cash in a bank the interest at 4% a year is a serious amount of money that will tempt people. Legal fees can be padded and kickbacks made to the liquidator from the law firm located on the island jurisdiction the offshore bank is in. Some of these islands where these offshore banks are have less than 100,000 people living in the country. You are foreigners and don’t expect such honest treatment in these tourist island jurisdictions. They may view these offshore bank liquidations as a feast for the locals courtesy of all the rich foreigners. Excessive travel can be run up by the liquidator. He can travel abroad going first class all the way even bringing the lawyers along, all on the clock. The liquidator can reach crooked settlements with people who posted collateral for loans with the offshore bank. Depositors of the offshore bank can file lawsuits for special treatment and the liquidator can settle with them in a crooked manner for an illegal kickback and then they get all their back while you only get a fraction back. Real estate owned by the offshore bank can be sold under market value for a kickback to a friend or relative of the liquidator. Same can be done with cars, computers etc. The liquidator can elect to chase assets not worth chasing to continue his high paying job some years longer than it should require. Remember offshore bank liquidations do not come along every day and the liquidator has no idea where his next job is going to come from. There is a check and balance usually in the bank liquidation process which is described below.

Offshore Bank Liquidation Creditors Committee – A creditor of the offshore bank is generally a depositor but it could be the electric company or the phone company. Generally, the employees are considered priority creditors when it comes to their wages and they get paid off first and fast. The depositor is owed money by the offshore bank based on their deposits, thus he or she is a creditor as far as the offshore bank liquidation is concerned. An offshore bank liquidation is sort of like a bankruptcy proceeding. In an offshore bank liquidation a creditors committee is formed which is something done in many bankruptcy proceedings. The creditors committee could possibly have been formed before the liquidator came into office and they appoint the liquidator with or without the approval of the court, rules vary some depending on the offshore jurisdiction involved. The creditors committee generally is voted into existence by the creditors, the creditors with the most dollars on deposit having the most votes is one way to look at it. All creditors are generally not treated equal. The creditors committee members are all on the same side and that side is interested in getting as much money back as they can. Decisions as to how to spend money chasing assets or potential assets are usually made by the liquidator but the creditors committee can exert control over the liquidator even replacing the liquidator in extreme circumstances. Some bank liquidations have taken place without creditor committees in place. These are generally less than above board liquidations.

Creditor Claims in Offshore Bank Liquidations – When the liquidator is in office the depositors are generally required to file claims. The claims process involves filing identity documents with the liquidator and identifying your account and how much money was in it. Offshore bank liquidations are conducted in open court and these claims wind up as exhibits in the public domain. What I am saying is bank secrecy is not in place once the bank is in liquidation. What one can expect to see is a fair number of depositors failing to file claims because of various reasons often relating to bank secrecy. Of course this means a greater recovery for those who do file the claims while the other folks walk away with a total loss of their funds by choice.

What to do if you are in an Offshore Bank Liquidation – If you are already involved in a bank liquidation you made a mistake and you are going to get hurt. How badly hurt is the question so you should be trying to mitigate your damages. If a creditors committee is forming try to get involved actively, even try to sit on the committee. If the liquidator has not yet been appointed do get involved in that process. Try to find ways to meet other depositors. Call lawyers on the island and ask them to represent a group of creditors collectively. Rest assured other depositors will be calling lawyers on the island and the lawyer can be a contact point to form a creditors committee. The idea may not occur to a lot of these lawyers so help them out a bit. If you can get a creditors committee in place and have it appoint a liquidator you will probably have a honest liquidation, probably. That having been said one must still leave room for the offshore bank itself having been intrinsically dishonest and the bank owners have since ran away with the funds. When you read the offshore bank liquidation horror stories you see that the money trail goes from country to country, bank to bank and then it ends up with a large cash withdrawal which is usually the end of the trail. The offshore jurisdiction may fail to ever prosecute them or file charges which of course make one wonder what was going on. So the key here is to get involved actively. It is real important to open communications with other creditors and get organized.

How to Avoid Being in Offshore Bank Liquidations – The answer is of course simple, avoid offshore banks. Stick to banks with full banking licenses that can conduct banking business with the residents of the country as well as with entities not located in the country.

Offshore Bank Alternatives – The best alternative to these tax haven island offshore jurisdictions is Panama. Panama is a solid offshore tax haven jurisdiction that does not tax offshore derived income and has no capital gains tax or tax on stock market gains. Panama has fully anonymous bearer share corporations where the owners are not recorded in any registry or database. Panama has anonymous foundations which are able to have generally non-freezable bank accounts. Panama has no tax treaties with any country so fishing expeditions are not going to happen. Panama has the tightest bank secrecy laws in the world and when coupled with an anonymous bearer share corporation it becomes the most secure and private structure one could have in the world today. Panama has 400,000 corporations registered there as well as many of the merchant marine vessels and cruise ships in the world. Panama has about 150 banks many of which are large multi-billion dollar international conglomerates, yet the banking operation in Panama is a separate bank corporation operating under Panama bank secrecy laws. Panama has not had a bank failure in over five years. Panama has had only a few bank failures in its history whereas Switzerland had over 15 bank failures during the years 1999 to 2000. Panama tightly regulates its banks. Every Panama Bank must submit monthly auditing reports to Panama’s Banking Superintendent, which is under direct supervision by the Banco Nacional de Panama (BNP), the National Bank of Panama. A list of prominent international banks in Panama includes: Citibank, HSBC, Dresdner Bank, Bank of Tokyo, Bank of Boston, Banco Nacional de Paris, International Commercial Bank of China, Societe Generale, Banque Sudameris, BBVA, Banco Uno, Banco General, PriBanco, Banco del Istmo, Global Bank, MultiCredit Bank, PanaBank, ABN Amro, Banco Aliado, Banco Continental, BancoLat, BIPAN, Lloyds TLB Bank, and the Bank of Nova Scotia. Many of the Panama banks own office building skyscrapers 40+ stories tall with their name on the building. These are not grocery store sized banks found in the island jurisdictions. The Panama Stock Exchange has an average trading volume of $900,000,000.

Panama is free of hurricanes, volcanoes, tornadoes, and earthquakes which is why the Panama Canal was built there. Panama uses the US dollar as their national currency. Panama has modern telephones, cell phones and internet being a country having been built by the Americans which left Panama in 2000. Panama has a treaty with the USA calling for the USA to protect the Panama Canal if it was threatened. This means the peace and security of the Republic of Panama is protected by the USA which could have jet fighters there in minutes. Panama is the new Switzerland of the world.