Online Back-to-School Shopping Attracts More Men than Women
A new July 2010 poll put out by Visa Canada found that more men are shopping online than women. On average, men intend to spend about $151 on back-to-school items between now and Labor Day, where women figure they will spend around $78. This year’s items that are being purchased are clothing, health and beauty products as well as books, and computer products, while an additional 24 per cent of online shoppers will be making their travel arrangements.
Stephanie Wallat of Visa Canada said in a release, “As parents and students prepare to return to the classroom, many are powering up their PCs, laptops and smart phones in the search of back-to-school must-haves and deals rather than heading to their local shopping centre to take advantage of the convenience that online shopping offers.”
Online shopping has increased by seven per cent with the average Canadian shopper forking out about $621 each. The survey also found that 74 per cent of Canadian shoppers would be doing so via Canadian websites. Regionally, however, the survey did note that Ontarians and the Atlantic provinces would be the ones to spend the most online shopping for their back-to-school products, averaging $164 each while Quebec residents will spend about $83.
With many students needing more school supplies, especially in the higher grades, finding the money to get these items can be a challenge. Back-to-school sales are easy enough to find, but when it comes to higher cost items such as clothes, uniforms and computer and software products, the fees can really add up. Factoring in additional expenses such as school lunch programs, bus fees and education costs can set a family back financially if they are not prepared.
The recent recession has not affected everyone to the same degree, however, many of those families that have been affected a little more than everyone else and have been finding it difficult to get enough money together for those back-to-school products, have been considering small loans as a way to bridge the gap.
Purchasing higher priced items such as new desktop computers, laptops or software programs can be a challenge for anyone. Perhaps you’ve moved since the last school year and your teenage student is now in need of a car to get around. If you have bad credit and are considering a small loan to get you through the start of school, but traditional banks are not an option, a bad credit loan may be the answer.
Mother Nature’s Landslides Continue in British Columbia
This season’s rain has raised much havoc around the world, but closer to home, British Columbians have been the most recent victims to Mother Nature’s wet wrath. The area of Pemberton has seen more than a thousand people evacuated from their homes from threats of a massive landslide such as have happened in the past.
An evacuation order was issued for approximately 1,500 locals after concerns that a build-up of water from a previously blocked dam known as Meager Creek, could spill over and eventually rush down the slope towards the occupied homes. However, a natural channel emerged, allowing the excess water to run down into the valley and dissipate on its own.
Leslie Lloyd, information officer for the Squamish-Lillooet Regional District’s emergency operations centre said, “Based on the information we were given throughout the day yesterday and last night, based on the assessment that was done at that time, there was obviously the very high possibility that that entire dam that was formed could have just been a sudden break.”
The district also had an evacuation alert in place for approximately 4,000 additional residents as the potential landslide measured 40 million cubic meters and was made mostly of snow, mud and large rocks. The mayor of Pemberton, Jordan Sturdy noted this was the largest slide he’s ever seen, also adding, “The biggest slide ever in Canadian recorded history is the Hope slide, and that was 46 million cubic metres. So we’re really up there.”
There have been several landslides in Canada that have caused massive destruction. There was the Frank Slide in Alberta that occurred in 1903, burying an entire town during the night under 30 million cubic meters of rock, while in 1965 Hope, BC suffered a similar slide resulting in four deaths.
Realtors will admit that buying a home is all about location, so if you own a house that tends to get in the way of mother nature once in awhile, it may be a good idea to make sure you have the additional home coverage that will be appropriate for such times. If adding extra coverage to your current policy has been on your mind, but the funds are not available, perhaps relying on a loan might not be such a bad idea. When traditional banks are not an option, getting a bad credit loan could be an alternative that could have you feeling more prepared for Mother Nature.
Reasons to Get a Bad Credit Loan
If you have bad credit and think your borrowing-life is doomed, it simply is not so. With banks relying so heavily on credit scores and credit histories to determine your worthiness, it sometimes seems unfair, especially if your bad credit history is old or is the result of fraudulent use. Maybe you co-signed a loan that never got repaid or perhaps the bad credit history is from your younger years when money was not as important. Whatever the case, there is something you can do about cleaning up your bad credit history.
If you think you need a reason to get a loan, that is not necessarily true. Many private lending institutions will approve loans for clients without a destined use. Once the loan has been approved, the money is yours to do with whatever you chose. In the event you feel better about having a reason to apply for a loan, how about one of these:
- You do not have any credit and would like to establish yourself
- You have bad credit and traditional banks are not an option
- You are in need of extra cash
- You want to start rebuilding your credit score
Or perhaps you do have a reason to get a loan. Maybe you would like to do one of the following:
- Repair your vehicle
- Go back to school
- Get a loan to rebuild credit
- Repair your home
- Go on a vacation
- Take online classes
- Buy new furniture
- Consolidate your bills
- Buy a new computer
- Start a small at-home business
- Pay off medical bills or an outstanding student loan
- Landscape your yard
- Or ‘just because’
Most private lending institutions do not require a reason for you to take out a loan. Most offer the money based on some form of collateral. For example car title loans are granted based on the value of your owned vehicle. If you’re one of the millions of Canadians that have no credit, bad credit or even a bankruptcy, it is really not a problem. Private lenders cater specifically to these clients. Many private lenders provide easy, online applications so you do not have to deal with long line-ups or tedious appointments. To see if you qualify for one of their loans, simply fill out the no obligation, online application.
Be sure to research your lender thoroughly to ensure they are reliable. Also, read every part of your loan agreement to be sure you won’t be paying off your loan for years to come. A little diligence when choosing a private lender will go a long way.
Weird and Wacky Ways to Stretch Your Dollars
Sometimes it can be a whole lot more fun to be weird and wacky than normal and predictable. And, if it saves you a few bucks, that makes it even more great, right? Here are some out-of-the-box ways to save when you are trying to stretch your budget dollars.
Take a course at the community college, and get access to their library, their gym, their internet, and more. Why not? You can take all kinds of great courses from art to physics, meet a whole lot of new people, get in shape, and get other stuff for free. Many community colleges (or universities) have terrific workout rooms, pools, running/walking tracks, and so on. As well, the libraries have the latest industry magazines, journals, books and great seating, too. You also get free super fast internet access, because as a student, you get to use their computers, too. And, once a week, you can learn about something you may have always wanted to know.
Get chickens for your back yard. Chickens are totally cool birds that lay eggs you can eat. They’re super cheap to feed, don’t smell if you care for them properly, and it takes only a few hens to provide plenty of eggs for your family. And they taste a whole lot better too. Getting ready for your chickens can be a lot of fun in itself. The whole family can read up on different kinds of chickens (Auracanas lay green eggs, for example; Rhode Island Reds lay brown ones) and how to prepare for their arrival. Oh-and you don’t even need to have a single cockle-doodle-do male that annoys the neighbors-the hens will lay for you as long as you feed them well. Be sure to check your town or city by-laws regarding keeping small animals on your property. Pretty soon, you’ll be supplying eggs for the whole neighborhood-and hey, now you have a second income so birdies pay for themselves, and you make a few bucks, too.
Move outside town and buy a smaller house. If you can live on the edge of town, you can save a fortune, not only on the actual cost of a house, but also on the taxes you pay. If you buy a house that’s smaller than your current one, you can save money that way, too. It takes a bit of time to organize going to town for groceries and other purchases and appointments, but with a bit of care, this can be a huge cost saver. And the cost of moving is totally tax deductible, so save every bill, and lower your taxes for next year.
Volunteer for special events and go for free. When special events come to town, volunteers are always needed to help out. And volunteers almost always get rewarded with freebies or deep discounts. As well, when you volunteer, you find out about all kinds of other freebies or special events before other people do. So volunteer at the symphony, the local YMCA, your library, or for special events at the movie theatre.
With costs only going up, and what seems like incomes always coming down, it might be time to start thinking really creatively about how you can save more money and stretch your income dollars.
Get Your Savings Stocked
It can be frustrating when you try to save money but never seem to get started, let alone achieve the goal. Hiding it under the mattress, entrusting it to a friend, or ‘forgetting’ about the extra dollars in your account may be ways to save, but most likely are not the best ways to reach your financial goals. If you’re in the market for a few money-saving tips, here are some of the most common mistakes people make when trying to stock up their bank accounts.
As the wealthy barber used to say, always pay yourself first. Take your share and place it into a savings account as soon as you get paid. This way it’s done. Out of sight, out of mind. The rest of the money is yours for the month. To reach your goal, it’s important to make saving a priority.
Instead of just agreeing with yourself that you will start to save money, it pays to set a financial goal. If you would like to save $1,000 in the next 12 months, then figure this additional $84 into your monthly budget. Opening a separate account that you do not have card access to is also a great way to ensure it stays in the bank.
Not paying attention to interest you’re being charged on overdue accounts is another sure way to waste money and eliminate your chances at saving. Keeping up to date with high-interest accounts such as credit cards is very important. The interest on one missed payment can easily add up to more than what you were hoping to save, so that $84 you had earmarked for savings has now gone to a wealthy credit card company in interest. Thank you!
Trying to save money when you’re covering your costs pay cheque to pay cheque will only increase stress and dampen the efforts towards your monthly goal. Paying particular attention to small non-necessity purchases is key. Even larger bills can be cut back – do you really need 257 channels and high-definition TV? Over time, you will learn to live without them, especially when you see your savings grow. Getting ahead or starting a savings account will not be obtainable if you feel like you only have enough money to survive each month.
These tips should be able to guide you in the right direction to starting saving. Remember that the old saying is true, “every little bit counts”.
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If you currently find that you are overwhelmed with too many small monthly bills and that is what’s keeping you from saving, perhaps getting a consolidation loan can help. If traditional loans are not an option, there are many private lending institutions that are available and cater specifically to clients with bad credit. To find out if you are eligible for a private loan, you can fill out one of their many no obligation applications. These applications can be found online 24-hours a day.
How Much Debt Can You Bear?
So, how much debt can you bear? Some experts say to never carry over any amount on your credit card from month to month; others allow 35% of your total credit limit; still more experts argue that you can carry up to 70% over each month on your credit card, depending on the purchase. (One thing we know for sure is that credit card companies will lower your credit rating if you carry more than 75% of your credit limit on your credit cards and lines month after month.)
With mortgages, it can get even more confusing. How much “rent” can you afford? 30% of your gross income? 40%, maybe? These kinds of calculations are difficult to make in part because where you live can mean big differences in housing. Cities like Vancouver, Toronto and Halifax cost a lot more than small towns when it comes to buying a home.
Even renting in big cities can cost a whole lot more than small towns. People are getting pretty savvy about those kinds of costs, of course, and moving to nearby small towns, creating bedroom communities within an hour or so of major city centres. But small towns are getting smart, too, and rents are shooting up in places where you might have paid a lot less only a few years ago.
Because rents and mortgages can vary so widely across the country, if you want to own at all or live in a decent apartment, you may have to re-jig those “expert” calculations to do so.
As for credit cards, most people under the age of 50 grew up using credit cards as sort of income-extenders, and it might be tough to bring them to a zero balance every single month. Especially during big spending months like Christmas, or early spring-summer months when there are often special events like graduations and weddings to buy for and attend.
So how do you decide whether you have over-extended yourself on your credit, or whether you can afford a line of credit, or what size mortgage you can juggle? Beginning with the expert guidelines is a good place to start. If you need 40% of your gross income to pay for a mortgage, try setting that amount aside each month by adding the increase to whatever rent or mortgage you’re currently carrying. Feeling the pinch? Think smaller digs.
As for credit cards, what balance do you carry forward each month on your credit card? Is there always a balance, or do you frequently pay that card off-and keep it at zero-for lengths of time? If your cards are always at or near their limits, ask yourself if you are using that card to buy a ‘better lifestyle’.
The interest you pay on carry-over balances is astronomical. It’s well worth the time to read the small print on how your interest is calculated to find out what you really paid for the privilege of a slightly nicer pair of shoes, fancier wine, or trendier kitchen. As Steve Martin commented in “Father of the Bride” you may forego the lobster for the “cheaper chicken.”
Canada’s Economic Recovery Slowing
A recent economic retake of the predicted recession recovery for Canada shows the country is not improving as fast as hoped. As a matter of fact, it’s been stated that Canada is slowing much quicker than previously anticipated. However, the Bank of Canada is confident Canada will not slip into a second recession.
The Central Bank shares concerns that the economic weakness in the United States combined with the global uncertainty due to Europe’s ongoing debt issues could have a negative affect on both Canadian and global recoveries in general. However, some confidence has been resumed from government plans that have been put into place to prevent additional European deficits from getting out of control. Mark Carney from the Bank of Canada says, “Those responses took out … the possibility of something very bad happening because of the debt burden.” Carney also adds, “Given the profile of growth in the three per cent area both in Canada and the United States, the prospect of that (double-dip recession) is very low.”
The unfortunate domino effect of the slow global recovery will hit Canada especially as the demand for Canadian resources such as exports, soft lumber and other goods will decline. The Bank of Canada is expecting the country’s third-quarter growth to be even more conservative with a 2.8 per cent increase, 0.7 per cent lower than previously hoped. Overall, it is expected that Canada’s growth should average 3.5 per cent for 2010 and an anticipated 2.9 per cent for 2011.
However, the Bank of Canada is certain the country is stable enough to handle the most recent of its lending increases. Short-term interest rates saw a quarter point spike for the second time in two months and is expected to increase another quarter point in the Fall. With the national jobless rate still sitting at 7.9 per cent, it could take a few years for Canada to see that rate dip below the pre-recession six per cent average.
Average Canadians will take a little longer to recover from the recession as both job growth and household incomes remain moderate. Even with the sharp employment gains, 400,000 additional jobs since July 2009, available working hours and pay raises have remained low which instils concerns that consumer spending will also remain low. Despite these numbers, Michael Gregory from the Bank of Montreal feels that Canadians will have time to adjust to the bank’s rate increases.