8 Ways to Stay Safe When Selling Online (Protect Yourself Online)

Selling stuff online can be a great way to make some extra cash. Facebook Marketplace, and other sites attract a lot of buyers and scammers. 

Whether it’s a used couch you no longer need, a brand-new pair of shoes that just don’t fit, or an antique you no longer have room for, nearly everything has a place online where it can be sold. And while it might be appealing to sell unwanted items from the comfort of your home, it may also make you more vulnerable to scams. Learn how to stay safe from scammers while selling items online is crucial. 

Whether you’re selling online through eBay, Etsy, or Poshmark, or meeting a buyer face-to-face via Craigslist or Facebook Marketplace, it’s important to know how to protect yourself. Here are a few of the more common scams targeting sellers, plus tips for how to protect yourself.

Understanding the Most Common Scams

Imagine this: You’re selling an item via Craigslist, and an interested buyer contacts you saying they’re out of town, but will mail you a check and arrange to pick up the item at a later date. When the payment arrives, you realize it’s made out for an amount higher than necessary. The buyer asks you to deposit the check and wire the extra funds back to them. Unfortunately, about a week or two later, your bank notifies you that the check was invalid.

In these situations, the scammer uses the lag time between the check clearing in your account and the bank catching the fraudulent check to disappear. The scammer walks away with the money you wired them, while you, the seller, have little recourse for recovering those funds.

Another common scheme may occur if you are shipping an item internationally to a location where mail tracking is unavailable. In this scam, the buyer claims the item was never delivered and initiates a dispute. On most online marketplaces, the burden is on the seller to prove that the item was shipped as promised. In instances where tracking isn’t available, the platform will often side with the buyer, and you’ll be out the money and the item.

How to Protect Yourself When Selling Online

Although scammers are becoming more sophisticated in their schemes, there are many ways you can protect yourself and your wallet when selling online. 

1. Protect your personal information

When dealing with strangers online, it’s important that you keep your personal information private as much as you can. Never share your account information or exact location with a potential buyer. If a potential buyer is asking for unnecessary personal information, they’re likely up to no good deal.

2. Limit communication channels

Many websites or apps allow buyers and sellers to communicate on-platform, and it’s best to limit your communication to that channel. In fact, many sites recommend that sellers communicate exclusively through their platform. If you need to exchange phone numbers for picking up an item in person, consider using a Google Voice number so that you can cut ties after the transaction is complete.

3. When selling locally, stick to in-person transactions

According to Craigslist, you can avoid 99% of scams by selling to buyers in your area, face-to-face. Sticking to cash transactions and in-person hand offs can eliminate some payment scam risk, but you should still take certain precautions. If possible, choose a public meeting place even in front of a police station and ask a family member or friend to accompany you. If your item is too large to take to a public place, try to move it into your garage or in front of your home, and always schedule meetups for daylight hours.

4. Only accept payment through approved methods

Most sites recommend, or even require, certain payment methods to protect both buyers and sellers. If you’re using Craigslist, Amazon, or eBay, ask that the buyer pays through the website’s recommended channel. Do not accept personal checks, wire transfers or money orders. If a buyer insists on these payment methods, they may be planning a scam.

5. Take extra caution with shipping

If you have to ship an item to a buyer, you’ll need to take extra precautions. First, never ship to an address that’s not associated with the buyer’s profile. If you send to a non-approved address, the buyer may claim they never received the package and it may be harder to trace. When shipping, always use tracked postage methods, and keep the tracking number for your records. That way, if they claim the package wasn’t delivered, you can check the tracking status or contact the postal service or carrier directly.

6. Take advantage of seller protections and guidelines

If the site offers seller protections, make sure you’re using them. Don’t stray from the site’s usual processes or payment methods, many sites require you to adhere to these guidelines in order to receive protection.

If you’ve encountered a scam while selling online, you can always report it to the Federal Trade Commission at reportfraud.ftc.gov. For more tips on protecting yourself against financial scams on and offline, visit regions.com/fraudprevention.

7. Fake payments and bogus refund requests

A scammer posing as a buyer says they want to buy the thing you have for sale. When it comes time to pay, they insist on paying through a mobile payment app. They send you a fake payment notification and hope you send the item before you realize it’s a scam.

Or they say there was an issue with the payment they sent. For example, they might say they accidentally paid you twice and ask you to refund one of the payments.

8. Fake check overpayment

The scammer offers to give you a check for more than the selling price. They tell you to deposit the check and send the difference back to them.

The check is fake, but if you deposit it, it’ll appear in your account balance. That’s because banks must make your money available quickly, usually within two days.

When a bank says the check cleared, that doesn’t mean it was a good check. It can take weeks for the bank to figure out the check was fake. By that time, the scammer has the item you sold and the money you sent back. And the bank takes the money from the fake check out of your account.

9. Fake verification codes

A scammer posing as a buyer says they’ve heard about fake online listings and wants to verify that you’re a real person. They send you a text message with a Google Voice verification code and ask you for that code. If you give it to them, they’ll use it to create a Google Voice number linked to your phone number. Then the scammer could use the Google Voice number to rip off other people. If someone tracks the Google Voice number, it’ll be linked to your real phone number. That’s how the scammers conceal their identity.

Advice for selling things online

Many sites recommend selling your stuff to a local buyer you can meet in person and only accepting cash payments. If you’re not selling locally, see what seller protections the site offers.

To avoid a scam:

• Don’t accept a mobile payment from someone you don’t know.
• Never deposit a check for more than the selling price.
• Don’t share your Google Voice verification code — or any verification code — with someone you don’t know.

Report a Scam

If someone tries to cheat you, report it to the Federal Trade Commission at ReportFraud.ftc.gov.

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Five Importance of E-Commerce to Business (A complete Guide)

E-commerce has a great history since it was invented back in May 1989, when SequoiaData Crop introduced Compumarket, the first internet-based system for eCommerce.

There’s no doubting in it the opportunity of selling online has helped if not all several businesses earn more and grow successfully. Like any other business strategy, there are many plus points and the benefits of ecommerce can help one to excel.

In the emerging global economy, eCommerce has increasingly become a vital component of business strategy and a solid catalyst for economic development.

Today, everyone spends more time online than in any other place. From Startups to well-grown companies, everyone can benefit from an ecommerce website where their products or services can be sold online.

From startups to small and medium-sized businesses right through to huge brands, there are a large number of companies that can benefit from their own online store, where they can sell their own products/services.

This article was made to help you know more about the benefits of ecommerce, you’ll also find some of the benefits of having an online store.

What is ecommerce?

Ecommerce can be defined as the buying and selling of goods electronically online. Its popular because of the many benefits of ecommerce-internet marketing, electronic funds transfer, mobile commerce.

Faster buying process

Customers can spend less time shopping for what they want. They can easily browse through many items at a time and buy what they like. When online, customers can find items that are available in physical stores far away from them or not found in their locality.

This is where ecommerce comes to the rescue for many shoppers. They go online, search for an item, get a fast response and can buy it just as quickly.

Advantages of e-business include helping one to choose from a wide range of products and get the order delivered too. Searching for an item, seeing the description, adding to cart – all steps happen in no time at all. In the end, the buyer is happy because he has the item and didn’t have to travel far and spend money and other resources.

eCommerce Can Broaden Your Brand & Expand Your Business

Having an eCommerce store can be used to broaden your range of products/services for sale, expand your business, bring you more customers, and diversify your sales. Ecommerce helps you take your brick and mortar store online in a creative, more attractive, and easier way. When you offer quality products round the clock along with a dedicated customer support team, social media interactions, knowledge-base, blogs, etc, you are creating a strong online presence for your brand.

With eCommerce, there is no need to have more than one branch, just one singular online store allowing you to fully reach customers without having to worry about moving locations, you can just manage your online business from home.

It’s important to mention that, eCommerce will be helpful for Both B2C and B2B businesses to boost their brand awareness in the market.

Cost reduction

One of the biggest advantages of ecommerce to business that keep sellers interested in online selling is cost reduction. Many sellers have to pay lots to maintain their physical store. They may need to pay extra up front costs like rent, repairs, store design, inventory etc. In many cases, even after investing in services, stock, maintenance and workforce, sellers don’t receive desired profits and ROI.

To have an online store it is not necessary that you have all your products presented in a physical space. In fact, there are different companies that operate online where they only show all their inventory through their electronic commerce platform.

With an ecommerce store, a seller can reduce how much is spent in store upkeep. An ecommerce store is affordable and requires less investment when compared with a physical store. This is also a good opportunity for individual and small scale sellers who want to earn an income but don’t have the required start-up capital.

Lower business risks

Starting an online store can mean significantly lower start-up costs compared to a brick-and-mortar retailer. The retailer or the online business owner doesn’t have to take into consideration the high expenses of shop rental, hiring a salesperson to woo the customer, utility bills, security measures, etc.

This, in turn, will enable you to sell your products at competitive prices and increased profits, and also  lower your business risks.. Also, having an online store with price intelligence software enables you to enjoy increased profitability with less risk.

eCommerce Offers Better Marketing Opportunities

An ecommerce site is the best marketing tool any online seller can get. It helps in creating an authentic online presence for all other marketing options. With the increased use of the internet, there are many marketing tools available online such as Search Engine Optimization or SEO, email marketing, social media marketing, Pay Per Click or PPC ads, and Search Engine Marketing or SEM. 

For example, with good SEO, your online store will appear in the top results of SERPs. Also, social media networks will provide you with a platform to engage and build trust with your customers through reviews and ratings, as well as keep them informed with regular posts about your products and offers.

Several payment modes

Today, operating over the Internet is almost safer and more reliable than doing it in a physical store. From your home, without anyone spying on your secret number or your credit card. Of course, the eCommerce website must have an SSL certificate.

Ecommerce marketplaces permit multiple payment modes that include UPI, cash on delivery, card on delivery, net banking, EMIs on credit or debit card and pay-later credit facility. What this means for sellers is that they no longer have to lose a potential sale opportunity due to lack of available payment modes.

Faster response to buyer/market demands

One of the great importance of eCommerce that eCommerce retailers can enjoy is store timings are now 24/7/365 as the eCommerce stores are open 24 hours a day, 7 days a week, compared to the regular stores.

Ecommerce marketplaces offer you a streamlined logistics or delivery system. What this means is that the buyers order gets delivered efficiently. Product returns management is one more plus point that can be handled quickly – you either refund the payments or give a replacement. Speedily actions can even be applied when responding to market demands.  

Merchants can create deals, promotions quickly too. This attracts customers and increase chances of creating more sales. Ecommerce sellers may plan and apply coupons when they like – even customise such offers for their own store. In this way, retailers can increase their sales by boosting their number of orders.

The Top 5 Success Factors of eCommerce

The importance of eCommerce for your business can’t be denied, and therefore, check the top 6 factors in eCommerce success:

• High-quality products are important in order to keep your customers loyal to your business, make sure you procure your goods from trusted suppliers.

• The product pricing is important, you don’t want it to be too low for customers to doubt the quality of it or too high that they can’t afford to buy it.

• Make your store accessible on many devices such as mobile devices. You can do things to make your online store viewed better on mobile devices like optimizing your images and using responsive design.

• A first impression lasts forever, so make sure you have a good-looking website and make the best eye-catching designs if possible.

• Lastly, security is a top priority. It is one of the main concerns with eCommerce for consumers and business owners, as their personal and financial information is being handled online.

Therefore, make use of SSL in order to secure your customers’ online shopping experience. This will not only be necessary for the customer’s business account but to use of even more sensitive data such as credit card information with complete peace of mind.

SSL certificates can be either single-domain, low-cost or cheap wildcard SSL, multi-domain SSL, or code signing certificates. It totally depends upon the targeted domains and subdomains that require a particular type of SSL certificate.

Selling Online? Try This Now

• Try using some awesome product description content like image rich flyers, good resolution images, videos.

• Address all questions/ queries that a customer might have about your item details. Provide them more confidence about their purchase.

• Keep reviewing buyer feedback, reviews, on the order information or delivery process. This gives you a fair idea of how well your sales are and if your buyers are happy.

• Try to accept as many payment modes as possible as this offers your customers greater flexibility.

• Build your own sales strategy and customise it. This all depends on the item you’re selling, number of customers you have, price points etc.

Conclusion

In a nutshell, it is pretty simple, easy, economical, and risk-free way to sell online with an ecommerce website or store. So long as you pick your products/services wisely, have an appropriate business plan, picked up the right partner to help you build your own store, There is a great potential of increased revenue and high ROI over the long term. 

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Why is it Important to Save Money and How to Start Saving Money Today

Without savings, a financial shock even minor, could set you back, and if it turns into debt, it can potentially have a lasting impact.

The importance of saving money is simple is it allows you to enjoy greater security in your life. Saving gives you the freedom to live life on your own terms. Despite the importance of saving money, many of us aren’t following through on that tip. When it comes to doing the right thing financially, just knowing you should save isn’t enough.

It can be tough to allocate some of your cash to a savings account if you don’t have a set goal for that money. Why save for later when you can spend on what you want today, right? But among the many reasons to save money is that even if you don’t know exactly what you are saving for right now, you’ll likely find something you want to save for in the future. A new car, a new home, a child’s education… the possibilities are endless. Plus, it’s critical to have some cash set aside for emergencies and unexpected expenses as they come up.

1. Eliminate Your Debt

If you’re trying to save money through budgeting but still carrying a large debt burden, start with your debt. Not convinced? Add up how much you spend servicing your debt each month, and you’ll quickly see. Once you’re free from paying interest on your debt, that money can easily be put into savings. A personal line of credit is just one option for consolidating debt so you can better pay it off.

The best way to jumpstart establishing a budget is to realize your spending habits. On the first day of a new month, get a receipt for everything you purchase throughout the month. Stack the receipts into categories like restaurants, groceries, and personal care. At the end of the month you will be able to clearly see where your money is going. Additionally, your bank or credit union may have this as an online-banking feature. Seeing what you spend in total on food, shopping, etc. can be humbling!

If you have trouble with overspending, try the envelope budget system where you use a set amount of cash for most spending. And once the cash is gone, it's gone.

2. Automate your savings with an app

If you often forget to put money into your savings account or struggle to know how much to sock away, consider using an app that does the work for you.

There are plenty of apps that will automate your savings. Qapital and Digit are two options. These automated savings apps are designed to automatically transfer a predetermined amount from your paycheck into your savings.

You won’t earn the highest annual percentage yield (or sometimes any) on your deposits with these apps, so once you’ve saved up a bundle, consider transferring the money into a high-yield savings account.

3. Set Savings Goals

Start saving for your retirement as early as possible. Few people get rich through their wages alone. It's the miracle of compound interest, or earning interest on your interest over many years, that builds wealth. Because time is on their side, the youngest workers are in the best position to save for retirement. Save your windfalls and tax refunds. Every time you receive a windfall, such a work bonus, inheritance, contest winnings, or tax refund, put a portion into your savings account.

If you need motivation, set saving targets along with a timeline to make it easier to save. Want to buy a house in three years with a 20% down payment? Now you have a target and know what you will need to save each month to achieve your goal. Use savings calculators to meet your goal.

Those with a savings plan are twice as likely to save successfully.

4. Earn cash back on your purchases

Avoid purchasing expensive or unnecessary items on impulse with a self-imposed 24-hour rule. For any non-essential item, wait 24 hours before purchasing. It’s perfect for online shopping where your items can simply be added to your cart to purchase later.

Even when times are toughest, you’ll still need to spend money on essentials, so you might as well be rewarded with cash back. There are cash-back credit cards that can help you collect cash back on your purchases. Some don’t even have an annual fee.

Your existing credit card might also have cash-back offers at certain retailers, but you might need to opt in to redeem this reward. These offers may have an expiration date or other terms and conditions, so double check to ensure you’re not caught off guard.

Cash-back apps might also be an option to consider before you start shopping for new credit cards.

5. Refinance your mortgage

Refinancing has a lot of advantages: It can allow you to lower your monthly payment, save money on interest over the life of your loan, pay your mortgage off sooner and draw from your home’s equity if you need cash.

Explore if you have the option to refinance your mortgage to a lower interest rate. On a 15-year $100,000 fixed-rate mortgage, lowering the rate from 7 percent to 6.5 percent can save you more than $5,000 in interest charges over the life of the loan. And, you will accumulate home equity more rapidly, thus increasing your ability to cover those pesky unexpected home repairs.

6. Set up automatic payments for bills if you make a steady salary

We’re busy. It’s all too easy to forget to pay all of our bills on time. One easy way to save money is to pay your bills when they’re due, assuming you can afford to do so.

Companies charge you late fees for overdue balances. While this might amount to just $5 here or $10 there, those fees quickly add up. Credit card late fees can be a lot more expensive.

People with irregular income may want to hold off automating bill payments and instead consider trying a service like Steady, which connects you to side gigs and other earning opportunities near your payday and bill due dates.

7. Create an Interest-Bearing Account

For most of us, keeping your savings separate from your checking account helps reduce the tendency to borrow from savings from time to time. If your goals are more long-term, consider products with higher yield rates like a CD or money market account for even better savings.

Open a short-term certificate of deposit (CD): A one-year CD could help you earn more interest than a savings account. Plus, a CD’s yield is usually fixed; as long as you keep the money in the CD through the duration of the term, you’re guaranteed to earn the opening APY.

One important caveat: Avoid CDs if you think you might need the cash before the CD term ends, so you won’t have to pay early withdrawal penalties.

8. Make your saving automatic

Saving automatically is one of the easiest ways to make your savings consistent so you start to see it build over time. One common way to do this is to set up recurring transfers through your bank or credit union so money is moved automatically from your checking account to your savings account. You get to decide how much and how often, but once you have it set up, you’ll be making consistent contributions to your savings.

Saving automatically will help you build the good financial habit of saving regularly, but without putting in a lot of effort. And since the money never hits your checking account, you’ll never miss it which potentially reduce the temptation to spend what you should be saving.

9. Annualize Your Spending

Do you pay $20 a week for snacks at the vending machine at your office? That’s $1,000 you’re removing from your budget for soda and snacks each year. Suddenly, that habit adds up to a substantial sum.

As you implement these tips into your financial life, remember that where you save your money is important too. Regularly move the money you save out of your checking account into your savings account, where you’ll be less likely to touch it before you reach your goals.

How do I build it?

There are different strategies to get your savings started. These strategies cover a range of situations, including if you have a limited ability to save or if your pay tends to fluctuate. It may be that you could use all of these strategies, but if you have a limited ability to save, managing your cash flow or putting away a portion of your tax refund are the easiest ways to get started.

Building a savings of any size is easier when you’re able to consistently put money away. It’s one of the fastest ways to see it grow. If you’re not in a regular practice of saving, there are a few key principles to creating and sticking to a savings habit:

Set a goal. Having a specific goal for your savings can help you stay motivated. Establishing your emergency fund may be that achievable goal that helps you stay on track, especially when you’re initially getting started. Use our savings planning tool to calculate how long it’ll take you to reach your goal, based on how much and how often you’re able to put money away.

Create a system for making consistent contributions. There are a number of different ways to save, and as you’ll read below, setting up automatic recurring transfers is often one of the easiest. It may also be that you put a specific amount of cash aside each day, week, or payday period. Aim to make it a specific amount, and if you can occasionally afford to do more, you’ll watch your savings grow even faster.

Regularly monitor your progress. Find a way to regularly check your savings. Whether it’s an automatic notification of your account balance or writing down a running total of your contributions, finding a way to watch your progress can offer gratification and encouragement to keep going.

Celebrate your successes. If you’re sticking with your savings habit, don’t miss the opportunity to recognize what you’ve accomplished. Find a few ways that you can treat yourself, and if you’ve reached your goal, set your next one.

It’s important to remember to keep your retirement savings and emergency fund separate. There are better ideas than using your retirement savings for unexpected expenses. Instead, you can put your retirement savings into a long-term investment account like a 401(k). Just be sure to contribute enough to get your employer to match if they offer one. An emergency fund can be kept in a high-yield savings account, which earns interest and is readily available.

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Top 10 Profitable Small Business Ideas in Netherlands

First of all, it's good to know that Netherland's is an expensive country, so the initial startup capital or the amount you intend to invest can be quite high but you don't to worry. Some businesses are better for certain markets than others. The Dutch market is very specific. The success of most businesses are subjective to the region where they are launched.

Irrespective of where you live, service-based businesses are the best types to start that require minimal or no capital. The main form of capital you need for these businesses is a skill.

1. Healthy Vending Machines

The pandemic brought health into focus for most people. Sitting at home during the extended lockdown and due to work-from-home options people into a sedentary phase. Lots of lifestyle diseases and obesity has set in for the masses. Hence now people are searching for healthy solutions and want to know how to change things around.

In countries where the quality of life is good and basic requirements are met on a regular basis now focus is on the quality of their lives.

In Netherlands people are crazy about health. Most people care about their well-being, exercising regularly, eating healthily, doing yoga and meditating. Vending Machines for healthy food is a great business idea. You can put up super foods, water with electrolytes, and healthy snacks in it. But this certainly counts for healthy investment to the tune of $30000 to start with.

• If you are a foreigners and you would like to start your entrepreneur journey here in Netherland, you can follow these fully listed procedures to start a business in the Netherlands:
• Register the company’s name.
• The registration form can be completed in a few hours, but the Tax Identification Number (TIN) will take two to six weeks to be issued by the tax office.
• Choose a legal entity where the business will operate under.
• Reserve the trade name based on post-verification with the Trade Register.
• Draft and prepare incorporation documents for the company.
• File the incorporation documents with the Trade Register (this is also applied to the tax and VAT registration).
• Register as an employer and obtain all business license according to the sector of activity.

2. Bicycle Repair

There are over 800 000 bicycles in Amsterdam itself, so definitely there is a market for bike repair. I’ve seen people doing mobile bicycle repair and that’s also a good idea. I wouldn’t start with it in the city center. I’ve been living in the suburbs and I’ve seen this old man repairing bikes every day, all day. There was always a lot of people coming to his little bike shop. He had two garages. In one of them, he was repairing bikes and in the second one, he had some bikes for sale. He was quite pricey but still, he had a lot of clients.

But launching a cycle repair facility in the city center may not be a wise decision considering the costs. It is a good idea to start off in the suburbs as it would reduce you initial investment and business could be brisk in such regions.

There are many options when it comes to bike-related domains. You could look at bike rentals, import, export, customization, sale of bicycle gear, etc. You could also offer bikes to students free of cost, and then you could place ads on them. Now these spaces for ads can be rented out to businesses for advertisement purpose.

3. Food Truck/ Catering

That’s a great idea for a beginner entrepreneur. If you cook at home you don’t need much investment. It is a profitable business opportunity because you are a chef who prepares special foods.

I was helping someone with starting a home-based catering business. I was so surprised when I called Amsterdam city hall and they informed me that you don’t need any license for that kind of business. You just need to create a HACCP food safety management system and register your company. It’s very easy to start with catering. I believe that even if you only bake cakes and you do a great Instagram profile you will get a lot of clients. The key is marketing!

In fact in Amsterdam there is even a festival dedicated to food trucks called Rollende Keukens. As your business improves you can hire a cook. This business ideas in Netherlands is profitable, but it demands dedication and hard work.

4. Sell souvenirs

The Netherlands is a touristic country. If you live in places like Amsterdam you can consider a souvenir business. Even if you don’t live in a very touristic city you can create some souvenirs and then sell it to souvenir stores. Just create a fun product, Instagram account, and a little website. 

I am sure you will find someone to buy your goods. I’ve seen also people selling souvenirs from the Netherlands on Amazon. If you know how to make some woodwork that can be a way to go. You can also make some easy Tshirts with catchy writing. When it comes to Amsterdam you can sell some cannabis-related stuff. My friend sells cannabis jelly candy. They don’t have any THC but tourists buy them as souvenirs.

You can set up an online store to sell whatever you want such as clothes, electronic gadgets, souvenirs or even services. The best advantage about this business is that location is not a constraint.

Costs for starting a business is low and all you need is a laptop, or even a second-hand computer will do. If you are running out of ideas, no worry, there are plenty of courses online. In fact you don’t even have to pay for knowledge, most information is available online.

5. Become a Coach

If you are good at anything, tennis, golf, you know sales, finances, design or any other skill, you can become a coach. People always dwell and think they don’t know enough to teach others. But the truth is that you don’t need to be the best in the world to teach others. The most important is that you know more than your client. People just need someone who will guide their growth and track their results.

Today a lot of people struggle with self-esteem, productivity. Many people want to be the best version of themselves and there is a place for a life coach. If you want to scale as a coach you should think of an online course in your field.

6. Social Media Agency

Nowadays everyone wants to be a star online. Remember it is imperative to promote your business online. Anyone with a business should look at the social media in all seriousness. It is advisable to have an Instagram account, a Facebook profile and learn how to optimize a website. You can in fact learn all this online.

But having a good knack on how to make yourself and your business visible on the social media will pay great dividends. Over and above you can learn all this online via YouTube as well. There are many videos and professional blogs to help you master the social media.

After you have learnt the basics, you could approach businesses that need help with their social media. Search local businesses online, such as restaurants, travel agencies, grocery shops, bike-shops, bookshops, etc. and begin helping few of them freely. After you have created a portfolio and learnt the basics, you can begin charging for your services.

Keep on the lookout for clients and if you are doing well you can hire someone to work for you. Your business can sale quickly as there is still a lot of space for everyone. If you look at certain websites and their social handles we would be appalled. You don’t need overtly professional, just make it better than how it is now.

7. Laundry Service

Service of Laundry, the wash guy business, which requires washing loads of cloth for clients and earning in return, is in high demand in the Netherlands. Laundromats and Laundry services are one of the few businesses that are yet to be completely snuffed out by the big boys of the industry and still is a fighting hope for the new and small business owners to live for.

The success rate for laundromats stands at 90%+ and is a great way to make money and have a successful career. However, it is important to make sure that your laundromat stands out from the rest.

“It is key to come up with innovative ideas and strategies that will help you attract customers and keep them coming back and spread good word.. I use technology to provide exceptional customer service and experience and strategies like this will help you stay ahead of the competition and ensure long-term success for your laundromat.”

8. Open Clothing Store or a Boutique

The fashion and clothing business has been recorded to have been one of the rated exporting businesses in the Netherlands. Starting a unique boutique business is a business that sells a variety of clothing for men, women, teenagers, and infants, such as belts, suits, shirts, blouses, and skirts. 

It is recommended that you establish your company in any of the cities in the Netherlands if you really have an interest in the fashion and clothing industry. Fashion designers like Iris Van Herpen and fashion brands like G-star and Gus are some of the most lucrative and flourishing fashion and clothing businesses in the Netherlands.

9. Sell Coffee

According to this research, Dutch people are the world’s biggest coffee drinkers. That’s true, coffee is everywhere and I think there is still some niche in the coffee market where you can invest. For example, you can get a big thermos and put it on your back and sell a coffee in touristic areas or during the events!

And moreover, coffee cafe is a mandatory daily drink in the Netherlands; it is hot liquids that keep the body warm and sound; it is a little business that is popular in the Netherlands and brings in a lot of money every day.

10. Buy An Existing Business

Enterprisers who want to start businesses in the Netherlands have many options, as this country is one of the most open states in Europe and the European Union when it comes to entrepreneurship. From companies in tourism, IT, research and development and green energy, the Netherlands also offers incentives to those opening companies here.

One of the most prolific business sectors which has emerged in the last few years in the Netherlands is air conditioning and plumbing, as the number of householders requesting remodeling services has increased.

Those who want to set up plumbing and air conditioning installation services companies must comply with certain regulations.

The registration of a business which offers plumbing and air conditioning installation services in the Netherlands is straight forward and does not need any special licenses.

Wrap Up

If you don’t want to start from scratch and you have some money for the investment you may consider buying an existing business. You can search for some online. There are plenty of websites selling businesses, but to be honest I wouldn’t do that. In fact, the most exciting part of the business is at it’s beginning before it becomes so bureaucratic and organized.

I hope that these ideas give you some inspiration. Now if you think that you have an idea for your business you have to work. Remember that ideas are worth nothing until you put a lot of work in it.

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Best Profitable Businesses to Start in Canada (Most Successful)

Are you looking for business ideas in Canada with low investment? Do you want to know what the most profitable business in Canada is? Canada offers a wide range of opportunities for entrepreneurs looking to launch their small businesses from home.

With the rise of the internet and digital technologies, it has become easier than ever to turn a passion or skill into a profitable venture.

Every year, nearly 100,000 entrepreneurs launch their own small business in Canada.

According to the Government of Canada website, between 2014 and 2018, the average number of small businesses created in the country was 97,640.

There is endless opportunity in this great country to start your own business. However, just because you start a business, doesn’t mean it will succeed. The average number of small businesses that dissolve in Canada is 89,227.

So, if you’re looking to start your own company, what do you do to ensure its success?

One of the most effective strategies is to start with the right business idea.

In this article, we’ll cover everything you need to know about the best businesses to start in Canada even if you’re new to the country.

You’ll learn what the best industries are, what the most profitable businesses are, and how you can secure funding to start a business here.

With that said though, the best business that you can start is something you are good at like, a catering business, car wash business or lawn mowing. You’re going to need some capital to start your business, depending on what you choose to start. There are plenty of different ideas and options to still consider, so let’s dive in.

This big list of profitable business ideas provides a great entry point whether you are a beginner, a self-starter, or anyone with a tight timeline.

1. Catering

One of the most profitable businesses today, the catering market was predicted in late 2022 to reach $3.78 billion.

It is a low-investment business idea where your startup costs can range from $5,000 to $50,000, depending on the type of catering business.

Register your business and obtain the required permits and licences. Create a menu based on your target market and provide packages and custom requests.

Catering services in Canada earn an average of $57,174 a year.

If there’s one thing all people love—it’s food. It’s something that brings people together. And, when people are brought together for other reasons, such as a celebration, there’s always food involved.

That’s why catering is one of the best businesses you can start with a small investment. Catering isn’t only needed for birthdays and weddings. But, they’re also great for small get-togethers and parties.

If you have a passion for cooking and an attitude of serving, then this could be the perfect business for you. Plus, it can pay really well.

2. Provide HVAC Services

The Heating, Ventilation, and Air Conditioning (HVAC) industry continues to thrive as people constantly need heating, cooling, and ventilation in their homes and businesses all year through.

To start an HVAC business, check with your city or municipality for the needed permits or licences. As HVAC is regulated, technicians must be fully certified and have completed apprenticeship programs.

Experienced HVAC technicians in Canada can earn up to $85,800 a year, while the average salary is $466,360 per year or $34.03 per hour.

3. Mobile Car Wash Services

With an investment as low as $25,000, you could start your own mobile car washing business.

If you have a passion for cars, and you want the freedom and flexibility that comes from owning your own business, then a car wash business could be a great opportunity.

4. Set Up a Coffee Stand

Coffee continues to be a big business in Canada, with the hot coffee market valued at $23 billion in 2021. It is the best business in Canada for immigrants and locals who love coffee.

You can start your own coffee stand or purchase a coffee cart business for approximately $20,000.

To set up a cafe in Canada, register your business, obtain licences or permits from your city or municipality, pass inspection, and get approval.

The national average income of cafe owners in Canada is $49,785 a year.

5. Exam Coaching

Exam stress is a major issue for numerous students, resulting in anxiety and physical symptoms. Coaching services for exams can offer valuable assistance to those who are struggling.

By becoming an exam coach, you can teach effective techniques to help students manage their stress levels and improve their memory recall abilities.

Under your guidance, students can learn to use breathing exercises and other strategies to ease their nerves during exams.

Furthermore, you can assist them in developing and executing effective study plans in preparation for their exams.

6. Cleaning Business

Cleaning can be one of the most inconvenient tasks for people. In fact, so many people despise cleaning that they’re willing to pay other people to do it for them.

That’s where the opportunity is for a potential business owner.

You can start a cleaning business in a variety of niches. You could concentrate on home cleaning, office cleaning, window cleaning, or even air-duct cleaning. It’s a relatively simple service business that could easily be scaled by hiring cleaners and gaining new recurring contracts.

7. Provide Technology Repair Services

Experts predict the electronics and computer repair industry revenue to reach $1.7 billion in 2026, with technology repair companies achieving higher profits by specializing in niche services.

To enter the technology repair trade, you must obtain specific certifications, such as CompTIA A+ or Server+, which allow you to work with businesses.

The average base salary of an electronics technician in Canada is $24 per hour. In Burnaby, BC, the hourly rate is $37.53.

8. Offer Accounting Services

Accounting is a sought-after and financially rewarding career in Canada, with the Government’s Job Bank expecting strong prospects for accountants until 2028.

To start an accounting business in Canada, you can take advantage of the strong demand and promising financial rewards in this field. Register your practice, apply for an Employer Identification Number (EIN), obtain insurance, and acquire the necessary permits and licenses.

According to the Government's Job Bank, accountants are expected to have strong job prospects in Canada until 2028.

In Ontario, the average salary for a Certified Public Accountant (CPA) is $185,000, while the median salary is $130,000.

To launch an accounting business, register your practice, apply for an employer identification number (EIN), get insurance, and obtain the required permits and licenses.

What Business Can You Start With 50k in Canada?

The truth is, you need to have money to make money. This holds true for starting your own business.

And, while some businesses require hundreds of thousands of dollars—or even millions to start up, you can launch a wide variety of businesses with as little as $50,000.

Here are some of the best businesses you can start with $50k in Canada:

• Gourmet Coffee Kiosk (Mobile Coffee) 
• 3D Printing 
• Dance Studio 
• Bakery 
• Catering 
• Food Truck
• Pet Related Business 
• Editing Services 
• Tanning Salon 
• Fitness Boutique
• Vending Machines 
• CBD Business / CBD Vending
• Cell Phone Repair
• Co-Working Space

While these are some of the top businesses to start in Canada with only $50k, there are hundreds of others you can start with just a few thousand dollars.

If you need help funding your business venture, click here.

Work From Home Businesses and Side Hustles

If you’re looking for work from home business, or even a side hustle, with today’s technology, the sky’s the limit. With that in mind, here are some of the most popular and most popular options.

• Freelance writing
• Transcribing
• Becoming a virtual assistant
• Teaching languages
• Narrating Audiobooks

There are plenty of other options out there as well, but these are the most popular currently.

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How to Get Small Business Loan in Nigeria Without Collateral

Startup business loans aren’t a specific type of loan; rather, they are any type of loan used to open a new business. You might need this money to help develop a product or service, hire employees, lease space or equipment, and buy inventory. Startup loans can also include funding for businesses that have opened their doors but are still in the earliest stages.

Startup loans generally don’t require business credit or high revenue—lenders know they’re lending money to support a new idea. However, your personal credit and experience in the industry can affect your eligibility and loan terms. You can also use different types of financing to support your business. Here are nine common options.

What credit score is needed for a startup business loan?

The credit score you need for a startup business loan can depend on the type of loan and the lender, but having a personal credit score that’s at least in the high 600s (the maximum is 850) can be helpful. However, some types of financing, such as crowdfunding, don’t require good credit.

How to get a startup business loan

• Create a business plan.
• Evaluate your personal credit.
• Compare different types of financing.
• Apply for financing.

You may want or need multiple rounds of funding to get your idea off the ground, and the specifics will depend on the options you choose. However, the basic steps start with preparing your pitch, reviewing your qualifications, and seeing what you can qualify for at the time.

Create a business plan. Lenders want to see that you’ve thought through the challenges and opportunities that will come with your new business. Include any relevant information about your experience running a business or working in the industry.

Evaluate your personal credit. Your personal credit may be a factor in whether you qualify for financing and the rates and terms you receive. Many free apps and financial accounts let you check your credit scores for free. See where you stand and what you can do to improve your credit score.

Compare different types of financing. Consider how much money you need, when you need it, and how much you can afford to repay as you review the options and home in on your top choices.

Apply for financing. Review the eligibility and application requirements and apply with several lenders or organizations. Compare the offers you receive to determine which will be the best fit for your business idea.

Online business loans are often term loans, which means you receive the entire loan amount when you accept the loan offer and then make regular payments over a predefined term until the loan is repaid.

Online lenders may also have easier qualifications and a faster application process than traditional lenders, and they might use modern techniques (such as connecting to and analyzing your bank account) to determine who qualifies.

One of the strongest barrier startups face is in providing collateral for a loan. This is because startups, most times, do not have existing assets, which disqualifies them from the majority of commercial loans.

No Collateral Required
The Smart Business Loan is structured to provide access to loans of up to N20m without collateral.

Flexible Repayment
The repayment plan can be structured to suit your business and flexible for up to 2 years.

Convenience
Easy access to the loan through our digital application forms and automated repayment process.

Top-up is available
If you need additional financing during your loan tenor, we can offer you a top up after 12 months if regular repayments are made.

The Nigeria bureau of statistics has stated that these MSMEs and SMEs contribute to over 50% of the country’s GDP employing about 80% of the country’s workforce. Despite this, MSMEs and SMEs still struggle to access adequate credit, with only about 5% of these businesses having access to funding and credit.

These statistics are probably not so far-fetched as you may know a few yourself that haven’t been able to get credit. For this reason, many business owners have had to squeeze themselves dry to get started. They used their savings, borrowed money from family and friends, and even sold properties just to get some capital. Truth be told, finding credit can seem like looking for a needle in a haystack, but it doesn’t have to be.

In this post, we’ll teach you how to get a small business loan in Nigeria, so your small business can expand and truly reach its potential. If you are new to the business world, we will also talk about ways to obtain a loan for startup business in Nigeria.

Ways to procure loans for small businesses in NigeriaAccess to small business loans, especially business loans without collateral is not as common as most would think, but there are still a few safe and secure ways to get loans. We’ve outlined the main ones below.

Loan Apps

This is the fastest and most common way of getting a loan for start-up businesses in Nigeria. Loan apps usually take about 5 – 10 minutes to decide on your loan package and if you should be given a loan. Loan amounts range from ₦250,000- ₦10,000,000. Majority of the time, these apps don’t require collateral & offer collateral free loans for business. They only use your credit score to determine if you are likely to pay back.

Pros of loan apps

• They are fast. 
• They give substantial amounts of money
• No collateral needed
• No need to go to a branch. 
• You only have to download an app.

Cons of loan apps

• They often have only one physical branch
• You may not get the amount you want. 
• The app decides the amount it can trust you with.

Even though loan apps give some of the best small business loans, you still need to do your due diligence. Do not download just any app on the app store instead, check out this list we’ve compiled on the top loan apps in Nigeria and pick a loan app partner based on your needs.

SBA loans

The US Small Business Administration (SBA) doesn’t offer most SBA loans directly, but it partially guarantees loans offered through participating lenders. You can apply for different types of SBA loans depending on your business and how you plan to use the funds. Although the application and approval process can be lengthy, the guarantee can also make it easier to get a substantial loan on favorable terms, even if you don’t have great credit.The SBA 7(a) loan program is one of the most popular programs and offers up to $5 million in funding. In 2021, about 17% of SBA 7(a) loans went to startups.

The SBA 504 loan program could be a good option if you’re buying real estate or equipment, but only 10% of those loans went to startups.

The Community Advantage loan program is for businesses in underserved markets, and 45% of these loans went to startups in 2021.

The SBA microloan program offers up to $50,000 to start or expand a business, although the SBA doesn’t say what share of those went to startups.

The SBA also has a lender matching tool you can use to find participating lenders and compare loan offers based on your specific needs.

Banks

Before loan apps, banks were the number one place small business owners who wanted to grow their businesses go to get loans. Although they are trustworthy, loans from banks usually come with high-interest rates and a request for collateral. This often discourages startups from getting loans. However, start-ups can request business loans from banks, if the owners have a good track record and can provide sufficient collateral.

Pros of banks

• Trustworthy 
• You may get more loans as you build credit with them.

Cons of banks

• High-interest rates
• Lots of documentation and need for collateral
• Long processing time

Government loan schemes

The Nigerian government has established a few bodies to help MSMEs and SMEs. Examples of these bodies are the Bank of Industry (BOI), Bank of Agriculture (BOA), Development Bank of Nigeria (DBN), Nigerian Export-Import Bank (NEXIM), and Small and Medium Enterprises Development Agency of Nigeria (SMEDAN).

They were established to give grants, and low-interest loans to MSMEs and SMEs in Nigeria. Here are their pros and cons.

Pros of Government loan schemes

They offer grants or low-interest loans
They focus on MSMEs and SMEs
They sometimes offer collateral-free loans for business

Cons of Government loan schemes

Competition is high, so they are difficult to get

Crowdfunding

Online crowdfunding platforms can help you organize a campaign and raise money from strangers and people you know. There are four common types of crowdfunding: debt, equity, donation, and rewards.

With equity you’re raising money in exchange for a portion of your business, while with a loan or bond you’re taking on debt that must be repaid with interest. Donor crowdfunding, like GoFundMe campaigns, isn’t often used by startups because you have little or nothing to offer in return. But you could consider a rewards-based campaign and offer donors one of your business’s products or services in exchange for their contributions.

Online apps for small business loans

Loan apps in Nigeria are known for their speed when it comes to loan approval and disbursal. They don’t require you to go to a place or present numerous documents. All you need to do is download the app, sign up and request a loan.

This is especially good for small businesses that need money to sort out business emergencies or for businesses just starting out with no social proof and no collateral.

Here is a list of the top loan apps that give loans without collateral:

FairMoney MFB: FairMoney’s main appeal is that it is a full-fledged digital bank that gives loans of up to ₦3,000,000. This means you can sign up to get a loan on the FairMoney app in under 5 minutes and increase your chances of getting a higher amount by banking with FairMoney and enjoying other benefits. 

Here is a detailed review of FairMoney. Check out more details about FairMoney loans here.

Branch: Branch prides itself on offering quick collateral-free loans. They have over 10 million downloads and their loans require no documentation. 

Kuda: They offer loans called “overdrafts”. They can only be given to people who have been using Kuda for a while. The overdrafts typically accumulate a 0.3% interest daily.

RenMoney: They offer loans to both individuals and start-up businesses in Nigeria. Their loan offer is currently maxed out at ₦6,000,000Carbon: Carbon typically helps customers buy commodities and allows payback in instalments at a later date. The repayment period is usually 3-6 months.

These apps have made it possible for the average credit-worthy Nigerian to start and grow business/businesses in Nigeria.

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What Are the 5 Areas of Personal Finance You Need To Improve On?

One of the major reasons we fail to secure a financially stable life is because we are unaware of the things that we need to put in place to make it right. Having the basic personal financial skills is one of the most important things we can do to live a healthy and happy life. It is also important to know what the key areas of our personal finance is so that we can keep focus on while creating a road map for our financial well being.

In this article we will look at different aspects of personal finance to give an idea about how your complete financial picture should look like. The height at which you understand these basic will greatly impact your life. This article covers all you need to know about personal finance and all that relates to the subject.

Before deep delving into the topic, it is important to note that there are 5 areas of personal finance.  There are saving, investing, financial protection, tax planning and retirement planning, but in no particular order. 

What are the 5 areas of personal finance? The areas of personal finances are 5. 

• Savings: You need to keep money aside as savings to cover any sudden financial need. 

• Investing: Investing is important to grow money so that you can achieve what you aspire.

• Financial protection: Now, financial protection through insurance ensures you and your family are able to sail through during the hard times.

• Tax planning: With proper tax planning, i.e. making adequate expenditure/investment, you can bring down your taxable income, eventually saving a lot of money every year.

• Retirement planning: Finally, retirement planning is crucial to ensure that you have a big bank balance meant solely for your needs during the twilight years.

These are the important aspects of a complete financial picture and we will discuss each of the 5 areas in full further detail: 

1. Savings: 

The need for sudden money can come at anytime. That is why saving money is important for a number of reasons. Firstly, it helps you to manage your expenses and avoid overspending. By setting aside a certain amount of money each month, you can ensure that you have enough money to cover your basic needs, such as food, rent, and bills.

Secondly, personal savings can provide a safety net in case of emergencies. It is essential to have some money saved up for unexpected expenses, such as medical bills or car repairs. By having a savings account, you can avoid going into debt or relying on credit cards to cover such expenses. It also provides peace of mind and reduces financial stress.

Thirdly, savings can help you to achieve your long-term financial goals, such as buying a house, starting a business, or retiring comfortably. When you set aside money regularly, you can accumulate a significant amount over time and use it to achieve your goals. 

However, such emergency events can be dealt with if we have enough savings to cover the need. As a thumb rule, the fund for your emergency needs should be three to six month of your expenses. 

2. Investing: 

The majority of people consider investment and savings to be synonymous. The point is they are different. Savings as we have earlier stated are excesses from your income after all expenses. While investment involves purchasing assets such as mutual funds, real estate, stocks, bonds, etc. with your money with the expectation to generate a rate of return. Investment comes with a lot of risks. This is because not all assets actually end up yielding ROI. 

Now talking in terms of investment, mutual funds are an excellent investment option if it is done right. However, while investing in mutual funds it is essential to be mindful about choosing the right fund for your investment, otherwise it might turn counterproductive.

Now what funds should one pick as per their financial goals?

Short term goals: The goals that need to be achieved within three years are short term goals. From saving for a trip to saving for a phone, there are multiple things for which one needs to arrange funds within this timeframe.

Mid-term goals: If you have set a goal for yourself that needs to be achieved within three to five years, for example downpayment for a house, it can be termed as mid term goals.

Long term goals: Milestone events like retirement, children education, their marriage, i.e. the goals for which the timeframe is minimum of 5 years are termed as long term goals.

3. Financial protection: We might have different dreams in life and create investment plans to turn those dreams into reality. But unless we protect them with a safety net, the same can turn into a liability. That safety net is insurance.  This is a wide array of products that you can use to guide against unforeseen occurrences. In the case of finances this is generally purchasing some type of insurance. Insurance is a means of protection from financial loss. It is a form of risk management, and it can be used to prevent the risk of a contingent or uncertain loss. There are 4 kinds of insurance we all need which I will discuss  below.

 

The Consumer Financial Protection Bureau was created to provide some financial education assistance and financial tools to consumers that desire to have the facts about financial matters. For more information visit, www.cfpb.gov.

1. Term insurance

It is a kind of life insurance that ensures that your family or dependents do not have to go through financial hardship if you die early. As compared to other health insurance products, the sum assured for term insurance is higher as against the premium amount. Now if you calculate it correctly, then you can account for day-to-day expenses of your family, a retirement corpus for your spouse, cover for your liabilities like – home loan, and children’s education in the sum assured.

2. Health insurance and Critical Illness insurance

Having health insurance ensures that you do not have to pay from your pocket in case you or any of your family members have taken ill. Health insurance covers all costs for treatment of the insured like hospitalisation, medication, pre and post hospitalisation expenses etc. Meanwhile you can opt for critical insurance along with your basic health policy. In case you are diagnosed with one of the critical illnesses mentioned in your policy, the insurance company will pay you the sum assured.

3. Mortgage Protection insurance

Mortgage protection insurance pays off your mortgage if you die during the term of the mortgage. It ensures the loan or mortgage for home, car, property etc. does not become a liability for your family, in case you die early.

4. Personal Accidental insurance

In case you meet with an accident and get seriously injured, or become partially or fully injured, the insurance company will pay the sum assured to cover the expenses for treatment and also loss of income. Meanwhile, if you die during the accident, the lumpsum amount will be paid to your family. The payable amount, however, is dependent on the fatality of the accident.

Having financial goals is very important to provide you and your family with financial freedom and security. The earlier you start having a financial plan, the better.

5. Retirement planning

Retirement is one of the most crucial stages our life, and it can be as blissful or as miserable depending upon how we have planned for it. It holds true for financial planning too. 

There are two aspect to consider when planning for retirement. First, is saving for retirement and second is, generating income from your assets during retirement. And, here are the two steps:–

1. Building a retirement corpus: Saving for retirement is crucial for two reasons majorly – loss of income and increased life expectancy. Let’s assume that you retire at 60 and live up to 85. How do you plan to fund your expenses for 25 years after retirement, at a time when you do not have any steady income? 

Plus, considering inflation, i.e. the rise in prices of goods and services for regular use, your expenses will be much higher after retirement than it is today. For example, if your monthly expenses are Rs 35,000 right now, it would be Rs 80,000 per month in 20 years, considering you would want to maintain similar living standards.

Now, building a fund as large as a retirement corpus is a lifelong process. So, the earlier you start saving, the better it is.

2. Generating income during retirement: As much as it is important to ensure that you are saving enough for your retirement while you are working, it is equally important that you channel that corpus correctly after retirement. Making the right investments will ensure that you have a steady income as long as you live.

Investment options for generating income during retirement: STP withdrawal/transfer from Mutual Funds, life insurance annuity, and rental income. 

Saving money is an important part of personal finance and can provide financial stability and independence. According to a rule of thumb, don’t spend more than you earn. The instant this starts happening, debt is imminent. Although going into debt can be very helpful. But this is when you borrow to secure an asset with the expectation of a return. 

The process by which you manages your personal finances is usually summarized in your financial plan or a budget. Having all the aspects of a complete financial picture in one frame ensures that your financial future is just picture-perfect.

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How to Get Out of Debt Faster in 6 Months Strategies that Work

The road to debt freedom can be tough. But remember, your future is worth the work you put in today. There are a lot of things you can do to get out of debt fast. But without the right plan, it’s hard to make progress and even harder to keep yourself from going back into debt later.

One of the quickest way to be debt-free is committing to filing bankruptcy, but you need to understand your options and the consequences that come with having a bankruptcy on your credit report. Read to the end to find out everything you need to know about bankruptcy.

Learn Budgeting

Your first step to be debt free is to build a budget to pay off  existing debts. It’s easy to lose control of debt when you’re not tracking your spending. Budgeting is a big part of staying out of debt, but it can also help you pay off debt faster.

You need to create a budget that gives you a clear idea of how you spend and save your money. If you have excess credit card debt, budgeting can give you valuable insight into where your income goes each month. Use a budgeting spreadsheet can also help track your spending habit for a month and to see where you can allocate more income toward repaying debt.

• You can try to also incorporate a 50/30/20 budget: Meaning, you split your income into three categories: 50% goes toward your needs, 30% goes toward “wants” and 20% goes toward savings and debt repayment.

• Zero-based budget: At the end of each month, your income minus your expenses should equal zero. This helps you account for every dollar earned, including debt repayment and savings.

• Envelope budget: Categorize your spending into virtual “envelopes,” such as food, utilities and housing. Allocate your budget at the beginning of the month to cut down on superfluous spending.

• Minimalist lifestyle: Cut regular but unnecessary expenses, such as eating out or gratuitous shopping trips, to maximize savings. Dedicate any remaining income to debt repayment.

You can also utilize an online debt payoff calculator to determine how much you should allocate toward your debt in order to pay it off within a certain time. This gives you a clearer image of how much you’ll pay every month and how much you’ll pay in interest in the long run. You can customize your strategy to pay off debt based on how much you can put aside each month.

You may able to reduce the cost of your borrowing, this will make repaying your debts cheaper and free up more money to pay off what you already owe.

Credit cards

You could also look at your credit card statement to see what you’re being charged in interest. Reducing the interest rate and amount owing on your credit cards will also help reduce your debt.

Improving your credit score can also help you get out of debt quick. When you have a low score, you almost always pay higher interest rates on everything from credit cards to personal loans.

If your credit score is high enough, you can make significant savings by transferring your debt onto a balance transfer card with a 0% credit period. This will enable you to focus on repaying your debt without interest charges boosting it further. You may have to pay a fee, but the savings normally outweigh this cost.

If you’ve previously missed credit card payments or have a lower credit score, you may not be eligible for a 0% balance transfer card. However, you may still be able to find a card with a lower rate than your current one.

With any balance transfer card, it’s important to remember that its purpose is debt repayment - that means you need to be disciplined and not purchase anything with the new card.

You should also look at how long your interest-free or discount period lasts and ensure you repay your debt before it runs out. Otherwise, you’ll start paying interest again, and simply paying the card’s minimum repayment is unlikely to be enough to clear your debt.

Loans

If you have a fixed rate secured or unsecured loan, you’ll probably have to pay to move to a cheaper option. However, it’s always worth checking.

Work out whether you could save money by moving your loan and then ask your lender how many monthly payments you have left and the outstanding balance. You should also check whether there are any penalties if you repay the loan early.

Increase your debt repayments

One of the easiest way to take control of your finances is to know exactly how much you owe, how much money you have coming in and, with luck, your outgoings are lower.

That means you should be ready to start focusing on your debts and using the money you have freed up to repay them.  

Pay off as much as you can each month. Not only will this speed up your debt repayment, but it will also save you money in interest too. Setting up debt repayments by direct debit can make sticking to your plan easier.

Stop taking on new debt

If you borrow money from one source to pay another, you’re shuffling debt around instead of paying it off. Sometimes this can be beneficial, like opening a new balance transfer credit card to take advantage of a 0% APR introductory period or consolidating your debt into a personal loan with a lower interest rate. 

When you are trying to pay down debt, you must stop taking on new loan. Don’t open new credit cards or apply for loans unless you have strategic reasons, and freeze all unnecessary spending.

Mortgages

A mortgage is likely to be your most considerable monthly expense, so if you can save money on your mortgage, it could make a big difference to the amount of money you have to tackle other debts.

If you’re currently on a standard variable rate mortgage, you could be paying more than you need, and remortgaging could be a simple way to reduce your monthly bills.

Remortgaging with your existing lender can be a good option because you don’t have all the costs of switching to another bank or building society.

An independent mortgage adviser will be able to explain your options and help you work out the exact cost of moving your mortgage. Remember, remortgaging is only worthwhile if it saves you money.

In all likelihood, you won’t be able to save money by remortgaging if you are on a fixed deal. This is because the penalty fees are likely to outweigh the benefits of a better rate.

However, you should still make a note in your diary so that you’re ready when your rate does run out. Then you can switch straight away and start making savings.

Make a grocery shopping list.

One of the easiest ways to save money at the grocery store  is to make a list. Whether you like to write down your grocery needs on a piece of paper or you prefer using a grocery list app. 

But here’s the thing about making a list: You have to stick to it. Especially if you're shopping with kids.

Once you’re debt-free: Learn how to stay out of debt

Becoming debt-free is a difficult task, so it’s important to build better habits going forward so you don’t find yourself in the same situation again. Stay out of debt by monitoring your budget, building your savings and working on increasing your income. 

It’s important that you don’t sacrifice your emergency savings for debt repayment. You should always be saving at least some money in an emergency fund. That way, when you’re hit with a big, unexpected expense, you don’t need to resort to taking out debt again.

Many professionals advise that you have between three and six months’ worth of expenses saved up in case of emergency. If that seems like a lot, start small; create your emergency fund by saving up one week’s worth of expenses, then one month, and build from there. Here are a few traps to avoid as you step your way to debt freedom:

1. Debt Consolidation

You’ve probably heard of it. And maybe you’ve even fallen prey to it. But hear us out: Debt consolidation is a bad idea.

With consolidation, combining your debts for a lower interest rate will make you feel like you’ve done something to help your situation. In reality, though, it’s only going to keep you in debt longer—because debt consolidation often means a longer repayment term.

The only form of debt consolidation we can get behind is for student loans. And that’s only if you consolidate your student loans the right way.

2. Credit Card Balance Transfers

Just like debt consolidation, credit card balance transfers will only offer you a temporary solution. Sure, it might give you a little extra breathing room in your paycheck, but it’ll keep you in debt for longer.

Why? Because you’ll be tempted to spend those “extra” dollars on something other than your debt. Remember, the only way to get out of debt fast is by throwing everything you have at it—until it’s gone.

3. Filing for Bankruptcy

When you don’t have enough money to pay the light bill or buy food, it’s beyond terrifying. But bankruptcy is rarely the answer. If you feel like bankruptcy is your only option, it’s time to slow down, take a deep breath, and remember there’s hope.

Bankruptcy is the last thing you should consider. Before you go there, do everything you can to avoid it. If you’re feeling like you have no other choice, please talk with a Ramsey Preferred Coach first. They can offer hope by walking you through other options.

Conclusion 

If you  are a low income earner, getting out of debt doesn’t have to be far-fetched. Follow these strategies will help in your journey of become a debt-free by eliminating those pesky balances. You could consider a debt consolidation loan if you have several debts with high interest rates to help you get out of debt faster. 

Taking action sooner than later will help you improve your credit score and get one step closer to attaining financial freedom.

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