Monthly Archives: April 2015

How to Defend Against Mortgage Fraud


When it comes to financial fraud in Canada, mortgage fraud is the most
prevalent. According to Equifax, this made up for two-thirds ($400M) of
the estimated dollar amount of monetary fraud in 2011.

Mortgage
fraud happens when an applicant lies about his/her financial situation
by altering personal documents. These documents can include notice of
assessments, job letters and pay stubs. There are many services out
there that will alter your government tax slips for a fee. This results
in scenarios like this: Someone with a spotty job record suddenly makes
$200,000 per year. Or someone who just purchased a 3,000 square foot
detached home as owner-occupied buys a small downtown condo as another
owner-occupied residence.

First-party mortgage fraud is surprisingly very common — with lenders losing an estimated $1.6-million per day in Canada.


Several years ago, a study was conducted in the U.K. The Financial
Services Authority found that many smaller mortgage brokers were aware
that some kind of application fraud was taking place. Yet only 41%
actually verified applicants’ income and only 11% obtained evidence of
the source of applicants’ wealth. Because the brokerage industry is so
heavily commission-based, many representatives do not want to turn away a
potential deal.


As devastating as mortgage fraud seems on the surface, financial
experts say police do not take it very seriously. Money laundering and
the exchange of counterfeit bills are often considered a more serious
threat than first-party mortgage fraud. It is this attitude by Canadian
officials that allow unethical applicants to obtain loans
illegitimately, making things harder for the rest of us who remain
honest and diligent about our financial situation.

But the
problem with mortgage fraud is that it can lead to other criminal
activity, particularly within organized crime rings.
Illegitimately-obtained loans are often used to facilitate marijuana
grow operations and other drug laboratories. Criminals will also use the
mortgage to purchase properties for the enslavement of people, fuelling
the prostitution trade.

Unless officials take more action to
curb mortgage fraud in Canada, we can only expect the practice to become
more popular. An unstable economy coupled with tighter mortgage rules
means more and more homeowners are finding it harder to obtain a loan.
It is under these types of circumstances that fraudulent behaviour
soars.

Equifax says mortgage fraud is on an upward trend with no
signs of slowing down. Banks and brokerages also need to be firm about
the consequences for employees who turn a blind eye to fraudulent
behaviour.

Debt Reduction Planner To Help You Pay Off Loans in Easier Way

Debts can be daunting especially when you find that the statements
are just rolling in with no end sight. Well, if you are in debt, you
should stop panicking and prepare yourself to get rid of them. Just calm
down and say to yourself that this is not going to happen overnight,
but you can speed up the process and stay calm by strategizing a plan
and sticking to it. If you find yourself overwhelmed, you can seek
professional assistance. There are many professionals and companies that
would help you stay organized and manage your finances with a debt
reduction planner.

There are websites that can help you plan out with
the help of the tool they provide on their website. You can fill out the
details of your debt and figure out how you would get rid of your debts
by putting in figures that can help you manage your finances properly.
The calculator will help you find out how long it will take for you to
get rid of your debts by making minimum monthly payments. You can also
lower down the number if you want to use a fixed payment option. This
will give you an outline of the time within which you will be completely
debt free.

However, the debt reduction planner can also help
you get rid of the debts faster. You can do this by filing out the form
provided by the tool by asking how much of the repayment amount you need
to make if you want to chuck out your loan within a certain period of
time. The tool will help you find the amount that you need to pay every
month to achieve your goal. You might be surprised that if you manage
your finances properly and in a planned way you will be able to pay off
your loans faster than you might have calculated.


Besides working out strategies of how to pay off your loans with the
help of debt reduction planner, you can also pay attention to other
aspects so that you are able to reduce multiple debts in a timely
manner. Simple changes in lifestyle can help you get rid of your loans
easily than expected. Limit your spending by avoiding dining out in
restaurants, clipping coupons or postponing holidays because these can
make huge differences and will have a great impact on your debt amounts
without even making any major change in your lifestyle.

Financial Services Social Media Difficulties Abound For Both Individuals And Companies

No
one can argue over the impact of the internet on our personal and
business lives. It’s also getting very hard to argue that social media
has begun to have a sizable impact on our day to day lives that likely
isn’t going away. In a bad economy, people have spent more time on the
internet looking for information regarding how to best manage their
money and deal with the current situation. Within that, social media has
played a significant role in personalizing and the internet for us.
Within financial services social media, the technology allowed people to
share fiscal information that they feel is profitable and understand
the advice and theories of their friends, family, and associates.
Financial services social media has allowed people to better understand
the stock market, real estate, and other segments of the industry.
Perhaps the most important feature is that it rapidly allows neophytes
to quickly improve their knowledge. Of course, the danger comes when
people feel too confident too quickly and try to capitalize on knowledge
they don’t have. Social media also allows better and more engaging
interaction with professionals within the financial services sector.

Problems
arise in other ways than just some people making trades before they’re
ready. Individuals and corporations have often manipulated social media
by sharing knowingly false information. When that information goes
viral, it can take on a life of its own. This can be seen by how quickly
information spreads. Both true and false information can quickly move
across the internet. It can be too late before its proven false. Some
people may have made trades and the company may know, but be unable to
comment on the information, let alone correct it. If the news on the
company is negative (but false) the trades against the company may lower
its value significantly. That is a huge risk and has made companies
wary about social media. So obviously, both clients and companies face
dangers if financial services social media is misused.

The
importance of using financial services information in the United States
is getting greater as our economy continues to be in a recession and
stagnate and people find themselves without a plan to move forward. With
the real estate market remaining poor, people’s use of the technology
has higher stakes than in the past. But with such a new technology,
Financial Services Social Media has much more risk just because the
vulnerabilities are still being worked out. Obviously though, both
reputable individuals and companies have an interest in self-policing
and making sure that the information is reliable. The problem is that so
much of the economy is a zero-sum game. If one person makes money, it’s
usually at the expense of someone else. As long as that is the case,
and in capitalism it almost always is, then some people will always have
an interest in manipulating financial services social media. And as
long as some companies are thinking short-term and willing to make short
cuts, then they may do the same. But as long as people and companies
properly vet the information they’re going to act on, then financial
services social media won’t be fraught with danger and will be a
beneficial technology.

Low Risk Borrowers Favored in the Mortgage Market

Low risk home loan borrowers who have a mortgage at a low loan to
value, so that they have significantly more equity in their homes than
the amount they have borrowed, are the main beneficiaries of the record
low interest rates currently available in the UK. This low rate
environment in the current mortgage market means that home loan lending
is rising.

In addition to the low rates available (due to the
Bank of England’s base rate holding at a mere 0.5 per cent for nearly 5
years), there has also been increased competition between lending
institutions and two government schemes to encourage lending. These
facts have led to some of the lowest mortgage rates the UK has ever
experienced. But the benefits of this low rate environment are really
only available to the low risk borrowers.

High net worth mortgage clients benefiting from some of the lowest mortgage rates ever


With the UK governments Funding for Lending and Help To Buy schemes
offering banks and building societies access to inexpensive funds they
are able to offer some genuinely low rates, especially for high value
mortgage borrowers who are perceived as low risk.

It is these
high value, large mortgage borrowers with low ‘loan to values’ that have
benefited most because the most competitive mortgage deals are reserved
for those with a deposit of 30 percent or 40 per cent; a level that is
plainly unlikely to be available for young first-time buyers. The real
winners in this situationare the relatively small numbers of potential
home buyers who fall into the low risk category of lending.


Given that first time buyers are the life blood of the property market,
this situation cannot continue forever without further damage to the
already stagnant market. There will come a time when the lending
criteria imposed by banks and building societies will have to be
adjusted if they are to have any volume of business in the home loans
sector. There is an enormous potential market for first-time
buyersmortgages that is not being serviced while the few who are
fortunate enough to be able to borrow will see increasing competition
between lenders for their business. Loans at higher LTVs may soon start
to appear in greater numbers.

It is obvious that certain types
of borrower with plenty of equity and a high, secure income have seen
the cost of their mortgages fall significantly in recent years. Islay
Robinson, director of million pound mortgage specialist Enness Private
Clients believes that deals for borrowers with a 30 per cent to 40 per
cent deposit available have rarely, if ever, been lower. And, the
private banks and other non-traditional lenders thatLondonmortgage
brokers speak to on a daily basis have a keen appetite to lend to high
net worth finance clients.

For the mortgage market in the UK to
return to pre-credit crunch levels, these sorts of deals are going to
have to become available for first time buyers and those borrowers with
only 10 to 20 per cent of the purchase price available as a deposit.
Nevertheless, low risk, large mortgageborrowerswill continue to benefit
from superb deals.

Benefits Of Professional Debt Collection

A business or company cannot avoid the presence of debt. It can
happen to anyone especially at this point that the global economy is
still struggling. For a business owner, it is normal to loan money or
their product and service to customers especially those who have been
with them for a period of time. Same goes with banks and credit card
companies that do business with individuals, as well as other companies
needing financial assistance for projects and entrepreneurial endeavors.

However, it can be a painstaking task to do all the
work on top of your usual obligations as a company or business. There
are also times when people who owe you do not cooperate. If this is your
current situation and it’s been going on for months, it is best to call
on the help of debt collectors.

Debt collectors can help you
recover from debt-induced financial losses by professionally dealing
with debtors. Like in the case of debt collectors Melbourne where they
follow various steps in order to succeed at negotiating and collecting
what is due for their clients. And like most debt collections agencies,
they may also resort to taking legal action if the debtor is not
inclined towards paying what he owes. The basic process may be the same
with other collections agencies, but each company may have their own
approach and techniques in order to attain a higher success rate. You
may check here for more in-depth info about debt collectors in
Melbourne.

If you’d like to take matters into your own hands,
it’s best to think twice before you even begin. It may take time and
money to hire a collection house or debt collections agent, but it can
save you more if you let the pros handle it. It is a fact that many
debtors avoid calls and any form of communication with their creditors,
so why waste time in doing ‘cold calls’ and get nothing in return. A lot
of companies do this prior to hiring collection agents and the sad part
is the expensive calls they have to put up with just to get a word or
two out of unwilling debtors.


People who owe you or your company money or unpaid products and
services should definitely pay at the agreed period of time. Even though
there may be a contract or a promissory note attached to any form of
agreement, sometime people forget the binding and legitimate nature of
such agreements or contracts. No matter how it is done, an agreement is
an agreement between you and the debtors, so they are obligated to pay.


If you are struggling financially due to your debtors, it is high time
to request payment from them. There’s really no excuse for people who do
not want to pay or are not planning on paying back what they owe. You
can check how certain companies do this, such as debt recovery
Melbourne, to help your company or business regain back the money that
is rightfully yours.

Exawealth Get All The Banking Products And Financial Services at Same Place

Customer-centricity is the buzzword in the banking and financial
services industry. The latest competitive trends in the industry have
been engaging financial institutions across the world in a neck-and-neck
race towards achieving maximum customer acquisition and customer
retention through innovative customer-centric steps:

Stiff competition among the existing players and new
entrants in the market drive the banks to increase their market share by
introducing integrated product offerings, enhancing customer loyalty
and selling more to the existing customer base. Exawealth is uniquely
positioned to offer consultancy services for the billing and pricing
requirements of any transactions-based industry. Coupling expertise and
deep domain knowledge synchronised with the changing industry dynamics,
our consultants help service providers mould pricing strategies for
their products and services, to suit the exact needs of their individual
customers. They provide insightful analyses and strategies to maximize
benefits of the service providers’ investments and to enhance their
competitive advantage.

Product commoditization and fluctuating
interest revenues force the banks to seek new revenue streams by
introducing more fee-based products and to achieve market leadership
through pricing.

Exawealth’s consultancy services enable service
providers to build the exact transformational strategy required for
remaining competitive, while combating the challenges in the
marketplace. Banking on us, you can concentrate on remaining attractive
to your customers, using technology that enables creation of innovative
products and services and effective loyalty programs for your
customers/segments.

Propelled
by these factors, banking in the modern era is oriented primarily
towards building and retaining strong bonds with customers. However, the
momentum of the banking service providers towards customer-centricity
is often hindered by product silos and primitive product-centric pricing
methods.

Insurance agents, with their life insurance or individual retirement account almost play the same role in money investment.

Exawealth’s
solutions enable banks and financial institutions to achieve true
customer-centricity by building strong relationships with their
customers. They are designed on the Relationship-based Pricing
framework, which enables:

Benefits and Needs of Second Mortgage


A second mortgage is the process of getting another loan in addition to
your original mortgage. Before entering into the second mortgage,
homeowners should carefully understand the merits and demerits of taking
a second mortgage and should also carefully analyze the different
available options.

Types of second mortgages:


There are two main types of secondary mortgage available: home equity
loans and home equity lines of credit. With home equity loans, the
lender will give you the lump sum of amount all at once and you repay it
at regular intervals over a particular time period. With home equity
loans, the interest rates are fixed.

Home equity lines of credit
are like a credit card, you can spend the money as you need it. In this
type of loan the interest rates are adjustable.

There are few
restrictions available on the second mortgage. Most people are using
this type of loan for the purpose of home repair and maintenance or for
other big expenditures. It is not a good idea to buy this loan for
something insignificant such as for new clothes or for a vacation,
because you are risking your home in the process.

Merits:


Second mortgage is having huge advantage, because it may give you a
large sum of amount that you can spend it when in need. Also, interest
rates are low and the interest paid on this mortgage is tax deductible.

Demerits:


The major drawback of a second mortgage is that the loan is secured by
your home. So, you may lose your home if you don’t do the proper
repayment. Also, you may have to pay the minimal fees (3 to 5% of your
total loan amount) to obtain it.

How much money a borrower can get?


The amount of money you can get will vary on a number of things such as
your credit score and the loan to value ratio (LVR). Most lenders won’t
provide you more than 70 to 80 % of the LVR of your first and second
mortgages combined.

Where to get a second mortgage?

You
are not having the chance to get your second mortgage with the lender
who gave you the original mortgage. You can find a second mortgage with
any other lender. Since the lender in the second position takes on more
risk, not every lender offers this type of mortgage; it will vary from
individual lender’s risk tolerance.

4 Tips in Dealing with Debt Collectors

It’s something every consumer dreads: a call from a debt collection
company asking about unpaid credit bills, student loans that are past
due, or a medical debt that has been forgotten about for months.

Credit counselors, state regulators and debt
collectors all agree on one thing: ignoring a debt collector’s phone
calls and letters is not going to help get rid of the debt. The only way
to really stop them from bothering you is to deal with the debt,
otherwise, it will only get worse.

Here are 4 tips for consumers to help deal with debt collectors.

Avoid them altogether

Contact
your original creditor to work out some kind of payment plan that you
can handle with your current financial situation. Most financial
institutions are open to customized payment plans especially if their
clients request for it. If you don’t contact them, they will sell the
debt to a 3rd party credit or debt collector.

Know your rights

This
might just save you from paying thousands of dollars. The FTC or
Federal Trade Commission has a collection of publications made to help
customers learn about the Fair Debt Collection Practices Act, a law that
protects their rights-under the act, nuisance and harassing phone
calls, abusive language and threats are illegal.

These
should be taken note of and reported to your state’s attorney general’s
office and the FTC. Debt collectors usually have a debt collection
lawyer in California working together with them. Try to ask for the
contact information of the lawyer so that your lawyer can personally
send a complaint to him or her.

Never ignore these phone calls and letters

You
have to reply or work on these notices right away. You have the right,
according to law, to write or call in for a copy of a verification of
the debt being asked from you. Make sure that the debt being collected
is actually yours. You also need to make sure that it’s not old debt.
You could have paid that amount already and the debt collection lawyer
in California is using old data from your original creditor.

Get a lawyer

You
can’t do this alone. It’s easier to get a credit lawyer to help you out
with the situation. They know everything about the system so any
loopholes and problems found in your case can be fixed. You also end up
saying money if you get a lawyer since they will check the debt if it
matches to how much you really owe.

The Positive Growth of Financial Services in Modern Economy

The
term financial services is understood as the services that is provided
by the financial industry. The financial industry has broad range of
organizations which deals with the management of money various types of
financial services. The banking and financial services are one of the
main front runners that gives the services to manage the money matters.
Among these front runners other organizations such as the credit card
companies, the insurance companies or the consumer financial companies
play a major role.

The
financial services is one of the main factor that decides the country’s
economical factors they help the nation to sustain and grow
economically. The government sponsored enterprises and stock brokerage
companies along with investment funds are often even seen as one of the
major back bone of the country’s financial sector. The financial sector
in India has seen a tremendous growth and is also rated as an over all
growt.

India has seen a very balanced growth in the recent times
to become one of the fastest growing nation economically in the world .
In India the financial services industry and the banking services has
been helping the nation grow at a tremendous pace to keep the country at
par with the capital inflow. The banking and financial services of the
is supported by the governmental agencies that look into the finances of
the country.

The
financial management companies work hard to not only manage the economy
but also to monitor the movement of the finance to be on the correct
side to gain and grow. The finance of the country is not handled by the
government alone it gets a private help also that keeps the country
running smooth in terms of finances. The finance of any place it can be
your home or your office or maybe your country but when the inflow and
outflow of money is not only registered and noted but when proper steps
are taken to increase the finance then is the actual growth and such
monitoring and decisions the finance is done by the finance management.

Today
finance of the country is managed in many ways but not all the ways
lead to a happy road so the financial management people come into light
they are the main people who evaluate the risks and profits in certain
investments of the country or organizations and many cases advising a
individual for the finance to be used.