Monthly Archives: June 2014
If you need to use your home insurance policy for a major claim, such as one that you place after a fire, assessing the value of the home itself will be up to the insurance company. An adjustor will come out and determine how much it will cost to either fix or entirely replace your home, and you will then get that money – or however much of it your policy allows – from the insurance company. When it comes to everything that is inside of the home, though, it is much more up to you.
Everything could potentially be lost in a fire, even if the home does not burn to the ground. Smoke damage can ruin an entire closet full of clothes in minutes. The same goes for furniture, and heat can destroy electronics. If you are putting in a significant claim to replace everything that you lost, you need to first prove to the insurance company that you really owned the items on your form. You also have to prove their value. Even little things can make a big difference. They need to make sure that you are not claiming twice what it would cost to replace items or saying that you owned things that were never in the home. You shouldn’t feel slighted by this at all; it is just part of the process.
One of the best ways to go about this is simply to give the insurance company a video of the inside of your home. You never know when a disaster like this will strike, so you may even want to make this video today. Walk around the inside of the home with your camera, simply swinging it over everything that has a significant value. Open up closets and take a quick shot of the clothes that are inside. You don’t have to sit on things for long, as the video can just be paused and examined on a frame-by-frame basis, so this is the fastest, easiest, and most complete way to create the record that you are going to need.
Some people take pictures of the interior, and that can be a good idea as well, but pictures often miss things. They also take much longer to compile and they are harder to keep track of, so a video is your best option. Click here to learn more about your home insurance.
If you are someone who has not been able to establish a credit history, yet you may feel as though you will never be able to be approved for a credit card. This is not an uncommon feeling since lenders do want to know how you manage your credit in the past before they extend you a line of credit. However, if you have not had credit you can get a credit card with no credit check. Your solution is a secured credit card.
Secured Credit Cards Explained
Secured credit cards work similar like traditional credit cards except you have to make a cash deposit to secure the card. The credit limit that you have will be the same as the amount of the deposit that you made. However, this allows the bank to lower their risk in the event that you do not pay the bill yet at the same time, you are establishing your credit to be able to get an unsecured credit card in the future. Usually, you can make a deposit as small as $200 and as large as $2000.
Key Things to Keep in Mind When Getting a Secured Credit Card
If you are getting a secured credit card to establish a line of credit you want to keep in mind that usually these credit cards have higher interest rates and annual fees. Therefore, this is not a credit card that you want to have long term. Once your credit has been established, it is recommended that you get a traditional credit card so your terms and rates will be better. Furthermore, not all secured credit cards report to all of the credit agencies. Therefore, before getting a credit card you want to make sure they report to all three. Your credit will only improve if your credit activity is available on your credit report.
Tip: Some people have a hard time finding a bank account with no credit checks. Banks like Union Bank and FSNB do not check credit. You can get a new account fairly easy.
How to Use Your Secured Card Responsibly
Since credit cards can make or break your credit, it is important that you use your secured credit card responsibly. You will want to keep the following tips in mind.
- Always pay your bill on time every time
- Keep your balance as low as possible
If you were looking to get a credit card without a credit check to help your credit score getting a secured credit card would be the ideal solution for you. Once you obtain it and your credit score starts improving you will then be able to upgrade to a traditional credit card.
When I was a kid in school we were watching the movie Marco Polo and in it is a scene where his uncles come back to Europe and show the nobles the Chinese paper money. Trying to persuade them that it would be better to store the gold and use paper money to represent the value. One of the members of the court lights it on fire and says “poof, no value” as it burns away. The uncle then replies, “Congratulations you just burned xxx amount of gold.” But did he really just burn gold? We use paper money now. We exchange it for goods and services. No one every questions the real paper money to gold value anymore. Is it one for one? Am I free to take my paper money to the bank and trade it for real gold? Probably not. This infographic answers these questions and more.