Business Insurance –3 Tips to Choose the Best Insurance

Does your business really need business insurance? Do you have business insurance? – No, not yet, then have one now. Have a proper insurance for your company and its assets. However, if you have insurance and suddenly your insurance company goes under what will happen? How will that sudden downfall affect your company?

Better Business Bureau often answers to all these questions on what happens to policyholders’ coverage, if the insurance company goes out of business.

To make your business stay stable even in recession or downfall, business insurance is the most realistic approach. However, just acquiring business insurance is not enough you need to know, how to make better use of it.

Here are some important tips to make you aware of those minute details to make your business stay in profit with your business insurance policy. I have gathered the points from Better Business Bureau and created in my own words to make it easy for readers to grasp it.

What Happens When Your Insurance Company Is Financially Troubled?

Tip 1- According to the National Conference of Insurance Guaranty Funds the state property and casualty guaranty fund, comes into play when your insurance company faces a financial setback. Guaranty funds provide a safety to business policyholders. It meets the need of those that are least able to deal with losses when an insurance company fails.

Will You Retain The Insurance Coverage?

Tip 2- Insurance guarantee associations are there in every state and are working in a way so that they can protect the policyholders during insolvent periods. The insurance company must be the member of Guaranty Association present in every state in which they raise their company.

This Insurance Guarantee Association ensures your continuation of coverage, if the insurance company whom you use becomes insolvent. They take your policies either directly or by shifts the policies to a financially stable insurer.

How To Get Sure That Insurance Company Is Safe?

Tip 3- Well, you cannot determine whether the policy bought from your insurance company is safe or not. However, there is no doubt some process that helps the business owners to know or evaluate their insurer. There are loads of businesses that are able to rate insurance companies on their financial strength and creditworthiness. Now, if you own a business then you can also confirm it with your state insurance department from which your insurance partner is licensed to do business in your state.

If these tips are worthy for your business then apply them to make your approach holistic. Business insurance are essential and you need to realize the importance of it, as it safeguards your employee benefits, profits, and assets.

Author's Bio: Moumita Dasgupta, a financial blogger and the owner of bizandfiz, shares her knowledge and expertise of various financial topics. A clear view on market, business, Forex, funds, personal finances etc. are the subjects she perfectly underlines through her articles.  Find Moumita on Google+

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Why a Good Credit Score is Important for Loan Application?

Credit history plays a vital role in the approval or rejection of your loan application, whether you are planning to buy property, car or any other vehicle. The following article talks about the important role played by credit report in your loan approval process. Read more to know…

When a person plans to buy property, it becomes imperative to arrange for finances before finalizing on anything else. This is the time when the need to maintain a good credit score and credit history arises.

In today’s economy, it becomes challenging for a person to get loan approvals easily. Since most of the money lenders and financial institutions follow a strict process of verifying the loan application forms, a good credit report becomes the most important requirement to get your loan approved.

What is a Credit Score and Why You Need it?

Credit history indicates the credit and financial health of a person willing to take a loan. Similarly, credit score is something, which is derived from credit history of the person and ranges from 300 points to 900 points and determines your credit worthiness. These are the important tools that allow the lender to verify your delayed payments and default transactions. It also tells the lender about your repayment behaviors, credit card dues and pay back loans.

The credit score is usually calculated by software created by FICO (Fair Isaac Corporation). The important parameters that were considered at the time of calculating the respective score include types of credit used, total amount owed, payment history, new credits, delinquent accounts, negative credit record, and length of your credit history. The higher the credit score, the more are the chances of getting your loan approved at a desired rate of interest. As a matter of fact, 90 per cent of the new loan applications are now approved for a credit score of more than 700.

A credit report is maintained by credit agencies like CIBIL TransUnion. Before applying for a home loan, it is crucial to know your score to know the chances of your loan approval.

Loan Approval Process

To understand the importance and role of credit score in your loan approval, it is imperative to take a look at the complete loan approval process:

Role of Credit Score in Loan Approval

The above loan approval process clearly indicates the crucial role played by credit score. The several steps in a loan approval process include the submission of filled loan form to the bank that checks it for credit history of the applicant with CIBIL. The candidate meets the eligibility criteria of credit score, the loan is sent for document verification, else it is rejected. If the required documents such as income details, copy of tax file returns, employment details, address proof, and information on the source of down payment get successfully verified, the loan application is approved; otherwise the form is rejected.

The applicants whose report show high scores can even enjoy better interest rates and loan terms. An approved loan application with a comparatively lower score usually gets a slightly higher rate of interest and loan repayment terms.

So, a high credit score and a healthy credit report are a tool to fast-track the approval process for your loan.

Author's Bio

Swati Srivastava is an avid writer whose articles and blog posts covers a wide range of topics on personal finance, investment tips and marketing strategies. Currently sharing her insight on real estate topics, the above article discusses the importance of credit score in the loan approval process.

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RBI Tax Implication for the NRI Home Buyers

No matter what part of the world you reside, buying a home in India is a dream for many. The Indian laws over the years have made the acquisition process easier and thus number of NRI show interest in buying property in India.

With the falling price of Indian rupee property market is attracting the NRIs. Yes, NRIs can buy property in India accept agricultural land, plantation lands, farmhouses, etc even cannot acquire property as a gift. Well, there is no restriction in inheriting such property.

Do they need permission from RBI for the purchase? –

No, an NRI does not need permission from the RBI to buy a residential or commercial property in India.

How Do NRIs fund their purchases? –

As there are no upper limits for remittance of the fund, so with the use of regular banking channels, and NRE, NRO or FCNR accounts NRIs can fund their purchases.

They can also opt for interest free loans from the Indian relatives. However, there is an FEMA of $200,000 per financial year under the Liberalized Remittance Scheme, and even NRI are subjected to TDS for purchase over 50 lakh.

Tax Assumptions of NRI Property Buyers in India

Rent received from the property – Rent received is taxable, and for that, NRI has to file a tax return in India in case the rent exceeds the threshold limited with other income. Rent will be taxed in the NRIs country of tax residence. Under the Double Tax Avoidance Agreement (DTAA) NRIs might receive some tax relief if they stay in tax resident countries. This will helps to get credit from the paid taxes in India.

Deductions against the property – Municipal tax, housing loan payments are deductible just like other citizens of India. A standard reduction of 30% on the net rent obtained from repair and maintenance, irrespective of the total expenditure. Other deductions include housing loan principal repayment, stamp duty and on registration under section 80C for overall limit 1 Lakh per year.

Vacant Property – The tax value is NIL for vacant property only deduction available on such property is interest on housing loan up to Rs. 1.5 lakh per annum.

Wealth Tax on NRIs – NRI gets exemption from the wealth tax on a property that is under rent for more than 300 days. The value of second and subsequent vacant properties is subject to wealth tax, at the rate of 1% in excess of Rs. 30 lakh.

Property Sales Related Tax Charges – NRIs fall under capital gain tax in India just like other residents. For properties held for 36 months, they can get long-term capital gains and exception for investing in another’s house or property. Relief is available in the form of credit for taxes paid in India in case they stay in tax resident countries.

Limits and conditions on repatriation – Well the limits and conditions for repatriation differs based on the funds used for buying property in India. If property acquired as per the foreign exchange laws, then the amount of repatriation price will remain restricted to initial purchase cost. Gains made on foreign source funds falls under repatriation of general limit of 10 lakh per financial year.

These are some of the solutions to make property buying easier in India for the NRIs. For exploring more, keep a tab on the Tax Section Rules laid by RBI.

Author's Bio: Moumita Dasgupta, a financial blogger and the owner of bizandfiz, shares her knowledge and expertise of various financial topics. A clear view on market, business, Forex, funds, personal finances etc. are the subjects she perfectly underlines through her articles.  Find Moumita on Google+

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Bank Card Protection Features: Debit and Credit Cards

Both credit cards and debit cards offer several layers of security to protect customers from fraud and wrongful use. If you are someone who likes the convenience of making cashless transactions using a credit or a debit card, it is best to be aware of card security features so you are able to make the most out of your card.

Zero liability

Zero liability protection does not hold the cardholder responsible for unauthorised purchases – both offline and online – made using a credit or debit card. Now a basic feature for almost any credit or debit card, the issuer reimburses stolen funds to the cardholder. There are usually limits to coverage and customers must immediately report any questionable items on their statement within a limited amount of days.

3-Digit Security Code

Usually found at the back of the card, this is a security feature that confirms to the merchant that the card being used for a transaction is in the customer’s physical possesion.

Unique Personal Codes

Major providers have enabled an added layer of security feature for credit cards, wherein customers will be asked by any participating merchant for a unique code during the checkout process. The unique password or code will be known only by the card issuer and the customer.

Virtual account numbers

This identity theft protection feature, available for both debit and credit cards, allows users to generate a temporary card number that could only be used for one transaction. This is especially useful if you want to hide your real credit or debit card number when shopping online.

Identity theft insurance

An optional security feature for credit cards, insurance against identity theft would usually cost the customer a little extra. Coverage typically includes legal fees, lost wages, telephone bills, and other expenses/income loss associated with trying to resolve a credit dispute.

Retail purchase protection

Now also available to debit cards as well as credit cards, retail purchase protection offers customers protection in case goods they purchased using their bank card is stolen or damaged accidentally. Retail purchase protection is limited to up to 90 days after date of purchase.

Extended warranty

 Another popular credit card security feature that is now available for debit cards is extended warranty, wherein the card issuer extends warranty for purchased goods.

Photo security

This optional credit card feature includes the cardholder’s photo printed on the card to discourage the fraudulent use of your credit card at checkout counters. Some debit cards have made this feature available for an extra fee. The key thing to remember is to protect your credit card information as well as you can and only use your debit cards with merchants you can trust.

Generally, credit cards offer an advantage over debit cards as government laws have made it the responsibility of credit card issuers to compensate cardholders should they fall victim to fraud. Debit cards do not enjoy the same level of legal protection. However, as most banks and financial institutions that offer credit cards also offer debit card products, they have made available most credit card security features available to debit cardholders as well.

Author's Bio:

Gilbert Bermudez writes for Compare Hero, Malaysia’s leading bank card comparison website. Loves fishing, swimming and a hobbyist.

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4 Steps Involved In Online Share Trading

Here is an article from my Guest Author Rajeev sharing another good article on investment strategy.

Share trading is one of the popular ways to invest your money for a short term in order to generate larger benefits of the quick moving stocks. This performs through a share or stockbroker or a financial planner.

Working with a stockbroker or a planner allows people to get the facility to trade comfortably from their own residence. This has led to the amazing popularity of the industry than what predicted by the analysts.

Considerable number of shareholders is presently trading online as a full timer or a part-timer. As a result, numerous online stockbrokers have emerged for assisting investors in trading with the shares easily and cost effectively using the Internet. However, for the beginners, it appears to be complicated, but the process is very simple.

Steps Involved In Trading Shares through Internet

Online share trading is a simple process, which involves the following steps:

•        The first step to deal with the online shares is to search a reliable stockbroker and register in an online De-mat account, which is necessary as per SEBI rules for trading shares online.

•        The next step is to deposit a certain amount in that account for trading. You will also get the facilities to take a marginal loan for initiating your online trading.

•        Thoroughly analyze the market using a preferred method and find the profitable stocks in which you can invest.

•        With the website or the program provided to you by the broker, you can buy and sell the shares from your residence. You are free to place different types of orders for your preferred shares online.

How Do You Select an Appropriate Broker?

“Investments are subjects to market risk, so read the offer document carefully.”

You will find this asterisk in every investment venture, but that does not stop you from investing, right?

Any form of trading involves risk of losing your money. Hence, it is very important to spend some considerable amount of time in research before investing your money in share trading. You can benefit out of the trading tips offered by reliable brokers and try to acquire good knowledge in this field before stepping into the world of share market.

When you have decided to invest in share market, you have to choose the best broker from the big bunch available online. Before selecting the broker, you should assure yourself that they have a dependable history with appropriate measure for assuring optimum privacy for all information related to your transaction.

Staying updated with the latest economic developments is very important in trading. Every stockbroker is unique and offers different services. Most of the websites offer periodical updates with the sole aim of providing their customers with ultimate services possible. At crucial times, the frequency of updates will be more. These market updates play a significant role in deciding your investment.

You need to choose an online broker carefully who is capable of providing you everything that is essential for the successful execution of your online transaction. Before investing your money invest some of your valuable time to explore on the trustworthy brokerage firms, which will help you in learning about a great deal from genuine share brokers to have a wonderful start for online share trading.

Author Bio

The author Rajeev is presently working as a trading analyst with www.berkeleygains.com, which is an information center for share trading with live market conditions. He empowers every investor to make a wise decision on his investment.

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5 Ways To Surprise Your Customers With A Welcome Email

(Picture Courtesy: http://stylecampaign.com/blog/2008/05/the-welcome-email-dont-blow-the-first-date/)

Do you have a business? Then you must be knowing about welcome email.

A welcome mail is the most important mail that you have ever sent. It is the email, which have highest open, click and conversion.

There is nothing strange about it; a welcome mail generally arrives when a customer literally wants it. Therefore, it is obviously a great opportunity for email marketers to drive their business in action.

What are the things that a welcome mail can generate for you?

•              They can set a high open and click through rates of any email

•              They are easy to set up and automate

•              You can get extra conversion, relieve customer support and stay in their mind forever

If readers have an interest to give their email marketing campaign, a new look, then they can obviously try these creative examples to make their welcome mail look far better and amaze their customers.

Use the Golden Content

To create online karma over delivering is a great way. Your company may be having a blog or have created content and that after a while is buried, does not seek the attention it deserves.

Therefore lets change the package of the content and link it from the welcome message. For example, if you ask them tom subscribe to the newsletter, then link the newsletter to some articles on mobile email or offer a whitepaper on email marketing list service.

You can use your golden content particularly into two ways: Use it as an incentive to drive more sign ups, use the gift to amaze people and also surprise them.

Pinpoint the Location of Your New Subscriber

If you are getting a zip code of your new subscriber, then know that is quite helpful. This will allow you to locate their  local store, local offers, open hours, events, news or even your local account manager.

In the real estate business, zip code is essential as it will show the right local realtor in the welcome mail or offer them a link in which they might feel interested.

Give Away To Earn Something

What do you think about giving your new subscriber a gift? Chances may be there that new subscriber may know persons who may get interested in your services. Therefore, it is better to offer, say two discount coupons instead of one or something more. One for the subscriber and the other for the subscriber to give it to their friends.

Why Don’t You Introduce The Man Behind Your Brand?

If your business has a face then, then introduce them through your email marketing campaign. The people who are behind all the creativity, they can appear on the storyboard as a team. Clients, your team and even your inspirations who inspired you to become what you are. Actually, you will be narrating them a story for a better understanding of your service.

Invite Them to Join

How will you promote a newsletter?  There are several ways to promote them. On your site, you can advertise or use the social media fully. Your news subscriber can easily become a Facebook fan or connect you on LinkedIn or may Tweet your link to cater further services.

Welcome email is a chance to show, what are they doing with those channels, and if you are more into social media, then here is a chance to join the conversation.

Author's Bio: Moumita Dasgupta, a financial blogger and the owner of bizandfiz, shares her knowledge and expertise of various financial topics. A clear view on market, business, Forex, funds, personal finances etc. are the subjects she perfectly underlines through her articles.  Find Moumita on Google+

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Top 7 Small Business Obamacare Haters

With the release of the Obamacare in the month of October, it’s expected that number of small business owners will sign up for the health insurances. All the exchanges started to operate from the month of October 1, 2013, which is going to offer low cost insurance for individuals and small business owners.

However, Obamacare met with mixed reactions from the variety of small business owners in United States. Some satisfied with the rates and coverage while the dissatisfied ones plans to buy insurances privately.

So far, hundreds of companies who have opened their account in the state exchange. However, the processing of the policies will officially begin by January 1.

In places like New York, Minnesota and Vermont everywhere small business enrollments passed all expectations. In Maryland, it will not open until Jan 1, as for Washington exchange will exists in 39 counties. Even the states were exchange is not going to take place so soon are showing unexpected interest in Obamacare.

Now coming to the discussion for which I sat down to write the article. This fresh scheme has displeased a handful of small business owners, who still have their faith in buying private insurances.

Obamacare Haters

Robin Lunge, the state's director of health care reform says that in Vermont itself, they have received mixed reviews. A faction of people says that the rates are convincing, but other says premiums are too high. They will receive a better coverage, but in turn, the monthly cost will increase.

Indeed, a strong reason to reject the Obamacare by the small business owners, increase in cost is dear as the small entrepreneurs have less capital to invest. (Note: For earning good profits, paying a handsome share may not hurt businesses)

In California, the exchange surprised many a people like the doctors who have their own clinic. According to the new law, employers can get a tax credit if the average salary doctors pay is under $50,000. As for the doctors who pay, more than $50,000 will have no advantage without the additional tax credit. As going to an insurance company or to the exchange will be remaining the same.

As for some Obamacare Haters, plans are not proper and more dissatisfying. So many small businesses tend to stick to their previous plans rather than going for the state exchange.

Top 7 Obamacare Haters

Mc Donald’s

Nope, this time it’s hard for Peter Bensen to say, I’ m Just Lovin It! the chief financial officer of Mc Donald’s said on a conference call in 2012 that if his company switch for Obamacare then it will cost the company and their franchisees $140 million to $420 million. It is hard to embrace or love.

Whole Food

Gosh, a hard reaction from John Mackey, CEO of Whole Foods, he called Obamacare is like Fascism.  Well, he confessed that unlike his slogan "Whole Foods, Whole People, Whole Planet" Obamacare is not providing a wholesome support to small business in the US with the new policy. The libertarian does not regret saying that to Huffington Post.

Papa John

A man with a positive note, John Schnatter, CEO of Papa John says that the Obamacare will hurt his company by $0.11 to $0.44 per pizza, but for the customers it is always a toast. No price increase in Pizzas, yet the employees will get the health insurances. “Better Ingredients, Better Pizza” – Hope not “Better Healthcare, Costlier Pizza.”

Cheesecake Factory

In December, their CEO, David Overton stated Obamacare will be costly, and most of the people have to either raise the price or lower the product quality. As for their Senior Vice President, Dina Barmasse-Gray, Obamacare will not have any material impact on them, as they tend to provide health insurances to employees who work 25 hours per week for long years. Will it remain “Something for everyone”???

Boeing

Unsuccessful lobbying by Boeing, it mainly attacked the cost. Obamacare will improve the coverage, quality and in the end will manage the health insurance costs. As for their spokesperson Joseph Tedino, Obamacare will affect their business in a negative way in the future.

CKE (Hardees Owner)

Last year Bloomberg Businessweek noted that the owner of Hardees, Andrew Puzder would start to sell cheaper meats and hire more part-time workers. To curb the cost increase he will grow few restaurants. Hope the customers do not say "Hardee's. Do Not Come on Home “instead of “Hardee’s. Come on Home” after they will get cheap meat packages.

Jimmy John

CEO, Jimmy John Liautaud said to Fox News last year that he is going to slash the work hours of his workers in order to provide them with health insurances under Obamacare. They are soon going to make the work hours 28 hours per week, as it is becoming harder for their business to survive in the US market. Hope not the reduction in work hours and savings of insurance cost will turn the slogan to “freaky slow delivery” from “freaky fast delivery.”

Which small business will be the next on this list? Obamacare, one reason for many issues - What do you say readers?

Author's Bio: Moumita Dasgupta, a financial blogger and the owner of bizandfiz, shares her knowledge and expertise of various financial topics. A clear view on market, business, Forex, funds, personal finances etc. are the subjects she perfectly underlines through her articles.  Find Moumita on Google+

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