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How can Personal Loans Boost Your Credit Score?

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Personal Loans Boost Your Credit Score

It is very common that you need money to fulfil your requirements and some needs are beyond our affordability. While those needs can be funded by applying for a Personal Loan from an NBFC or a money lender, in order to get a loan application approved, it involves a lot of documentation. Apart from documentation, you need to consider the requirements set by the lenders which you will need to fulfil while applying for a Personal Loan.

Personal Loans are easy to avail with the help of NBFCs and financial institutions. The NBFCs and money lenders provide loans to the applicants even with a lower credit score; as a result, some of the applicants end up defaulting on the monthly instalments of the loan. As Personal Loans are unsecured loans, people usually are not worried too much about defaulting on their loan repayments and take it rather casually. If you are not paying your dues on time it will reflect on your credit report.

A bad credit score can affect your loan eligibility as the credit score is one of the basic factors of loan eligibility set by the lenders. A bad credit score can be improved, but first you need to learn what credit score is.

What is credit score?

A credit score is points given by the Credit Information Bureau (India) Limited (CIBIL) to an applicant for the repayment of his previous loans. To get a loan approved, you need to have a CIBIL score of 750 points, which is considered to be excellent and trustworthy by the lenders. Anything below that can be a red flag for the lenders.

How to increase your credit score by using Personal Loan?

A bad credit score can be improved, if you avail a smaller loan and pay the dues on time. This might increase your credit score. Personal Loans are a form of unsecured loans. While banks require a credit score of 750 points to approve a loan, there are some NBFCs and lenders who provide loans to the applicants on a lower credit score too. As Personal Loans have small amounts involved they are easy to avail. While you need to be strong on the other aspects like employment stability and income if you have a bad credit score.

You can increase your credit score by getting your loan approved and repaying it. On the first month of the loan, your credit report might show a lower score, which is expected to increase once you keep the EMI payments constant. When you finish repaying your Personal Loan, your credit report will reflect a higher credit score than before.

Credit Cards

Credit cards are another form of Personal Loans and can be used to increase the credit score. You can apply for a credit card from any financial institution. While applying for a credit card you need to look for the financial institutions which provide a credit card on a lower interest rate. While credit card repayments are considered as loan repayments, CIBIL approves such repayment and increases your credit score for the repayment of the loan.

It is very important that you keep your credit score well-maintained, as a bad credit score can close many doors for you. You need to make sure that you pay the monthly instalments on time and keep your credit report updated after the closing of each loan you take.

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A Beginner’s Guide to ELSS Mutual Funds

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ELSS Mutual Funds

Equity linked saving schemes are diversified equity mutual funds where the fund has to invest a minimum of 80% of its total assets into equities. These funds have a lock-in period of 3 years from the investment date. So if it is an SIP, each installment would be locked in for a period of 3 years from its investment date. These funds come with a tax benefit, i.e. the investment amount is tax exempted under Section 80C within its overall limit of Rs.1.5 lakhs. Do remember that other tax saving options like National Savings Certificate (NSC), senior citizen savings scheme, tax saving fixed deposit etc. also come under section 80C.

In the budget of 2018, Long Term Capital Gains Tax (LTCG) has been introduced on equities. ELSS also now comes under this taxation purview and so the returns from equity above Rs.1 lakh in the redemption year would be taxed at 10%. So basically, not the investment amount but the returns earned would be taxed at 10%.

ELSS comes in two options, one is ‘growth’ and the other is ‘dividend’. With the introduction of LTCG tax on equities, the dividends too would now be taxed at 10%. The dividends would be tax-free in the hands of the investor but the tax would be deducted by the mutual fund house before the distribution of these dividends.

ADVANTAGES OF ELS

In comparison with all other tax saving options available under Section 80C, ELSS has the lowest lock-in period, i.e. of 3 years. This basically means that ELSS offer high liquidity. Tenure in case of PPF is 15 years, in the case of NSC, it is 5 or 10 years, and in case of tax saving fixed deposits, it is 5 years. The returns from NSC and tax saving fixed deposits are taxed according to your tax slab. Returns from PPF are completely tax-free but these offer very low returns. As of April 2018, the returns offered by PPF are 7.6% on a per annum basis. ELSS in that comparison, being a market linked product, ELSS can offer superior returns. ELSS has given returns of about 20% on a per annum basis on an average in the past 5 years. The best ELSS funds have given even better returns.

Another advantage of ELSS is that it serves as a gateway to equity investing. I.e., if you have never invested into the stock market directly or through mutual funds, ELSS could be your first try. When you invest into the stock market directly or through mutual funds other than ELSS, a slight volatility, i.e. the slightest upward or downward movement in the market could trigger you to pull out your investment which could sometimes be a wrong decision. But when you invest through ELSS, the lock-in period keeps you tied down for 3 years and you can look at the returns equity can generate for 3 years. But having said that, since ELSS are equity investments, you should stay invested into these for 5 – 7 years.

CONCLUSION

All in all, the investment amount is ELSS will not be taxed. Only, the returns that you earn will be taxed at 10% and that too if the returns go over Rs. 1 Lakh in a financial year. The Government of India has given provisions under Section 80C which the investors can use to save tax.

The introduction of LTCG tax has put the investors into a state of confusion regarding whether or not they should invest in ELSS. But in reality, even after the introduction of LTCG taxes, equity linked saving schemes (ELSS) still remain one of the most efficient and easy ways to save tax. The lock-in period is short and the returns are unmatched. ELSS is the best investment vehicle for the average investor.

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Make Your Presentation Pop

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Make Your Presentation Pop

Whether you are a science fair finalist or a business professional, the importance of a killer presentation can never be overstated. Making a great first impression has been practiced by job hopefuls for years, but this principle applies to many other common undertakings that we all know too well. The need for an attractive presentation bleeds over into nearly every expression of professionalism that you can possibly engage in.

However, the question of how to wow your audience is far more elusive than a simple catchphrase or organizational strategy. Ensuring your viewers take notice requires a multi-step effort to create a stunning design and a clean layout that conveys both clarity and professionalism. It takes more than you may think, but if you approach the task in ‘bite sized’ pieces, it can be accomplished with remarkable style and repeatable for all of your future endeavors. 

Set yourself apart in style 

The first thing your audience will see when you begin a presentation is the physical material you are handing out, your cover slide on a PowerPoint presentation, or signage that enunciates the purpose of your presence. These initial materials must be eye-catching— you need to grab your viewers’ attention and hold it; otherwise, you will be one presenter among a large group of similarly forgettable peers. Applying for a new job, presenting the findings of your science experiment, or explaining a policy to the boardroom all have this in common. Your information desperately needs packaging that lands with listeners in every conceivable scenario.

This means bold, direct titles, bullet points that convey authority and intimate knowledge, sharp attire that screams business, and custom printed folders that suggest your care about compiling the data. While we have all been told to never “judge a book by its cover” metaphorically, we invariably resort to this standard of judgement when perusing bound texts. Literary works with clean designs and a high quality feel will always rise to the top of our reading lists over books that appear hastily illustrated or poorly organized. Sadly, the same standard is often applied to your work, so present it in high quality binding, covering, or pocketing with an eye-catching cover.

Don’t skimp on design 

When pulling together your presentation materials, make sure you create vivid and informative design elements that both hold your readers’ attention and convey all the information you require. Whether a scientific presentation or literature review, you are bound to consider graphics as an integral data element. The first consideration— and one that is often incorrectly used—is the graph. Choosing the proper format is essential and can make or break your presentation. Illustrating percentages with a bar graph or time-bound data with a pie chart will unveil your unfamiliarity with the techniques and detract from the seriousness of the presentation more than you might think.

Likewise, font choice can be an opportunity to express your personal flourishes or expose what can appear to some as immaturity in selecting an ‘unprofessional’ style choice. Whether you are a serif-lover or hate the holdover element from Roman etching, there is a font out there that can function as an expressive take on your personality while also conveying the importance of your work.

No matter what the purpose or audience of your work, the desperate importance of a stunning design cannot be overstated. Make sure you package your work with phenomenal production value and design it in a way that expresses its findings meaningfully and intelligently for maximum impact.

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Skip Bin Benefits: 4 Reasons

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Skip Bin Benefits

Many of us might not be all that familiar with skip bins. They are these highly durable, open containers that can hold different types of wastages in the form of old furniture or debris that can be produced by home renovation projects. You might tend to ask yourself as to why you would hire a skip when you can dump everything into an empty lot. Apart from not being a threat to the environment, skips also provides you with a lot of benefits. Below, are four benefits of hiring a skip service.

  1. Keeps you safe – If you’re the person who tend to take your rubbish to the landfill yourself, puts you at risk of getting harmed. There might be wastes that can be dangerous such as rusty tin cans, broken glass or just heavy and awkward items.

Therefore, if you hire a skip bin, it makes the whole process of waste removal a lot safer since everything will be done by trained professionals. These professionals will make sure that their clients also know the correct waste removal technique. Hiring them makes the job proficient, clean and hygienic.

  1. Keeps the buildings safer – Some rubbish are created as a result of construction or renovation projects going on. Whether it is a building or a construction site, the priority is to ensure that the people are safe and the sites they are visiting are safe too. Hazardous pieces of glass, metal or even shouldn’t be left lying around as they can cause sometimes even serious accidents. Thus, hiring a skip bin will ensure the prevention of such items from causing any damage.
  1. Protects the environment – The main job of companies that offer skips is to perform waste removal in a safe and careful manner. The safety practices that they follow shouldn’t only be for the client but also for the environment. The rubbish that you throw in your skip bin is separated and then treated. Thus, the environment remains safe and clean.
  1. Easily accessible – The skips tend to be easily accessible. You can hire them online. This is where you need to give details of the size of the bins or the address where they need to be delivered. Once you get the details finalized, all you have to do is to sit back and relax. This is also where the trained professionals will do the rest of the work for you.

These were four most obvious benefits of hiring a skip bin service. Next time, when you’re ready for a project, consider hiring the best & cheap skip service in brisbane or your area and help keep your environment clean. You can also check on the internet regarding the company’s websites and the service they provide. Check on the reviews and testimonials given by their past customers. This will help you get a clear idea in terms of the reputation of the company.

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