We hear all about the South African Reserve Bank (SARB) in the news, but what do they actually do? A lot. 🏦
And it affects all South Africans... so here goes! 💡
The South African Reserve Bank is the central bank in our country. Its main job is to manage our currency, protect its value, and help keep our economy stable and growing. To do this, it needs to be able to influence the balance of people spending money and people saving money. ⠀⠀⠀⠀⠀⠀⠀⠀⠀
The simplest way to do that is to raise or lower interest rates, which makes it either cheaper or more expensive to borrow money. When interest rates are low, the market becomes more active, but increased demand can cause an increase in prices for everyday things - which can lead to a lot of inflation (and regular people depending on debt to buy household necessities!)
The SARB also lends money to banks - and they charge banks interest. That’s called the repurchase rate - or repo rate for short!
The repo rate is the interest rate commercial banks pay to borrow money from the Reserve Bank, at the moment it’s sitting at 6.75%. By raising or lowering the repo rate, the Reserve Bank effectively makes it more or less expensive for commercial banks to borrow money. This affects how affordably they can lend money to consumers, and drives the prime lending rate (which we will cover later this week!)
Now you know! 💅
. #WomensWealth#InterestRates#Banking#PersonalFinance #FinancialFreedom#Empowered#Economy#Knowledge
0 73 hours ago
How much you can borrow can sometimes be a bit blurry. Try our home loan calculator to help make your borrowing power more transparent, simply follow the link in our bio!
1 83 hours ago
Want to take YEARS off your Mortgage? 🏠🍾
With interest rates the lowest they have EVER been, it’s time to talk about how you can take advantage of this opportunity and secure financial freedom earlier than anticipated.
Whilst reducing rates, and repayments, is going to give you more money in your pocket, why not consider a different approach and request your lender to keep your current repayment prior to the latest rate drop... or even better still set it back to an even higher repayment. The interest charged on your loan is going to stay low so anything you set above that is going to come off the principal and could cut your loan end date down by years .
As an example, on a $300,000 Mortgage at 3.7%, your repayments would indicatively be $1380.85. With rates moving by .15% on average your new repayment would be $1355.52. If you continue to make a repayment of $1380.85 on the lower rate, you would save 11 months off your loan and approx. $6,860 in interest over the term of the loan.
Imagine if you set your repayments even a little higher (as let’s face it rates have been higher and you managed fine). As an example using the above scenario, if you changed your repayment to $1500 a month (approx. $33 a week more than the new min), you would save 4 years and 8 months – and over $33,000 in interest! .
If you want to know how to make this happen with your particular lender shoot me an email or give me a call.
Have you ever wondered what a money related version of the hit TV show The Biggest Loser would look like? 🤔
5 participants who have had a history of bad spending habits... they all move into the same apartment complex, each live in separate but identical furnished apartments.
They are given a budget each week to survive on and at the end of the week, the participant with the most money left over wins and the one with the least money is eliminated until there is 1 winner at the end of the 4 weeks. 🏆
I reckon 4 weeks is a bit too short though. Health habits are similar to money habits. They both take time for behaviours to change. But wouldn’t it be great to see what people would do in with a challenge like that?
What do you think you would get up to if were participating in a moneybags version of The Biggest Loser??? ⬇️⬇️⬇️
1 95 hours ago
1️⃣ of the differences between Mortgage Brokers and Mortgage Bankers/Banks/Retail
This is just one. Whether you call us or work with another fellow broker I just wanted to relay one of the benefits. 🥇
NewCarAlert🚙!!🙌🏾 Congratulations .🎊🎉🎈Take control, get in the driver's seat with your credit!! . Who else wants to change their credit scores this year?
Our Protection Plan Membership Can Help You Protect Your Identity, Credit, Family, Finances, Lifestyle & Future!
Let me help you get closer to being approved with the Credit Scores You Need.
Text “CREDIT REPAIR “ To 786-487-5630 to help you get enrolled .
I never imagined that I’d be negotiating, signing documents and opening escrow inside of a canyon with pretty much no reception :)
Love my job and feeling so grateful for my clients 🙏🏼❤️🙏🏼 what a blessing!
It’s been a very busy “vacation”: sold one home and opened escrow on another, all while preparing my beautiful off market listing for SALE.
Dear family, friends and colleagues, if you know of someone who is looking for a gorgeous home in one of the most desirable neighborhoods of Redondo Beach, please send them my way! I HAVE A PERFECT beautifully REMODELED Single Family Residence FOR SALE at a price BELOW MARKET VALUE 🥰🏡🥰
2 137 hours ago
For real tho? 📉 interest rates are still low
💸 we are seeing more price improvements
👥 there are fewer multiple offers 🔥 but the fall market is still HOT HOT HOT
Check out this view! I got a new listing in Morgan Hill that will be coming on in 2020 and not only this, but there's also Lake Anderson... It feels like you're in a whole other place! If you or someone you know is looking in this area PM me for more details.
We go WHEREVER, WHENEVER to close your loan!
My boy @nugsy_bogues (with Partnership Title Associates) and I ain’t afraid to close after 5pm!
We‘re out here at a guy’s house in Marietta and were about to close his refinance!
2 910 hours ago
Choose from 25,000 loan products, not one banks.
The journey in search of a home loan can be complex, multifaceted and nonlinear. The purpose of going through a mortgage broker is to make sense of this process, and to eliminate the legwork required in shopping around to compare rates, products and features to ensure the borrower is getting the “best” deal on their mortgage.
Of course, a bank will also do this, but only on the loan products they offer, which are a fraction of what is available to a broker, like Loan Market Edge. This by its very definition means borrowers who only visit their existing bank are not getting the best deal! In fact, did you know that across the 53 lenders on our panel, there are over 25,000 individual loan products to choose from? Not all will be suitable for your situation, but that’s an example of the breadth of choice we offer.
A good loan for you may not be the loan with the lowest rate, if that loan also includes a high annual fee and/or limited features that will cost more over the long term than the interest on the extra 0.02% you’ll pay. It may not even be one loan. Depending on circumstances, some customers may elect to split a loan, with a portion fixed, and a portion variable - if there was the possibility of interest rate rises (which might presently be a couple of years off!) and you wanted to hedge their bets, for example.
We work with you to understand your situation and objectives, then research and assess available options before clearly presenting you with the loan products we believe best suit your circumstances, accompanied by an explanation of the options considered and reasons for their recommendation, so you can make an informed financial decision that will benefit you over the long-term.
If you're in the market for a new home, a really effective tool available to you is pre-approval on your finance.
This means that you can go to auctions with confidence in your borrowing capacity. You can also make offers on homes that you love quickly, to reduce the risk of losing it to someone else.
You're also able to save time by only looking at homes within your price range and not getting disappointed later if you find out the homes you loved are above your price limit.
To enquire about pre-approval, call our mortgage expert, John, for a completely free consultation! He can do a quick analysis of your current financial position and guide you to make a great financial decision for your future.
NEW 30 SECOND MARKET UPDATE!
Housing News Continues to Show Health: The Case-Shiller Home Price Index, which is for the month of July, showed that homes across the nation appreciated over the last twelve months by 3.2%. This index also pulls information from twenty major cities across the country and showed an annual appreciation of 2.0%... For the full 30 second Update go to MLamp1.com!
Did you know 93% of people use finance of some kind to buy a car? Let @aussiecronulla take care of your pre-approved car loan so you can get behind the wheel of your new car sooner. With more than 38 lenders on our panel we are confident we negotiate the winning rate! 🚗 🚘 🚙 AND, we can also help source your dream car - by accessing great deals on cars and finance 🚘! Speak to us before stepping into a dealership for fast pre-approval. We also offer a FREE Car Buying Service that can save you hundreds off the purchase price and arrange delivery to your front door🚪We can even take care of your trade in! #assetfinance#carfinance#gostraighttoaussiecronulla#aussiecronulla#carfinance
1 1313 hours ago
Did you file for a 6 month tax extension back in April? 15 million taxpayers did and today is the extension due date!⠀
‼️Here is what you need to know: ⠀
▪️ if you miss the filing deadline, you are on the hook for a 5% failure to file penalty. However, the IRS may waive penalties in certain cases, such as taxpayers who have suffered through a natural disaster. There’s also relief through the agency's “first-time penalty abatement” program and taxpayers who haven’t incurred penalties over the previous 3 years. ⠀
▪️ Changes stemming from the new tax code include the elimination of personal exemptions and the near-doubling of the standard deduction.⠀
▪️ Certain itemized deductions are now subject to new limitations, as well. For instance, the state and local tax deduction is now capped at $10,000.⠀
▪️ Some business owners and self-employed workers may still be able to sock away retirement savings for the 2018 tax year if they have a simplified employee pension individual retirement account, also known as a SEP-IRA, which is geared toward these workers. That’s because SEP-IRAs allow prior-year contributions as late as Oct. 15 – as long as an extension was filed. (Traditional and Roth IRAs don’t enjoy this benefit)⠀
▪️ Think about charitable giving. With the higher standard deduction of $12K for singles and $24K for married-filing-jointly, filers may need to donate aggressively to reach the threshold to itemize.⠀
▪️ Go over your tax withholding. If you owe more than expected, consider updating your Form W-4 — that’s the form that your employer uses to withhold the right amount of tax from your pay.⠀
0 513 hours ago
Shades Up, Interest Rates Down!☀️🍂Only 2 other times in history have mortgage interest rates been this LOW! They won’t be this low for long; SO if you’ve ever considered buying in the next year.. I highly recommend reaching out to me to get the ball rolling and make an introduction to my fabulous lender partner!😎
5 9913 hours ago
~Nothing lasts forever. Forever is just a lie. People can change their mindset at anytime. They can make their standards high. They sometimes stop trying and loses interest. 🙂
Student life is an interesting time, although tuition along with other living expenses is quite expensive. This causes the occurrence of debts on average by several tens of thousands dollars in two-thirds of students. Many people wonder about should college students use credit cards, if most of them already have such debts. #CollegeStudentsUseCreditCards#CreditHistory#InterestRates#StudentLoans
Closed on this beautiful home 🏡 for a first time home buyer.
Patience and transparency is what it takes when working with first time home buyers 🙏🏼. This is a whole new world 🌎 for you guys and it’s my job to make sure you are comfortable and happy with the process!
If you or anyone you know needs help getting pre-approved for their first home, feel free to give me a call 📞 or send me a message 🤳🏼 and I will be happy to help!
3 4615 hours ago
Can your client afford to keep their home in a separation? Check out this quick article sharing how an awesome Mortgage Advisor can help your client tap into Settlement Assets. Visit the link in my bio.
Mortgage Rates are slightly higher this week. At the end of last week it was announced that China and the U.S. are making progress with their trade negotiations and possibly ending the months of trade-war. The local housing market has seemed to slow down, which is why it's a great time to put your home on the market or to purchase your home. Give us a call today for a consultation. 503.515.2599
With a current supply at 4.1 Months, Sellers are enjoying this almost magical time where there are so many buyers, fewer homes on the market, AND…lower interest rates.
1 917 hours ago
Whether you're a Buyer or a Seller, you will benefit from today's market.
Homes have gained value, which means top-dollar when selling.
Interest rates are very low, so payments are lower when buying.
3.4% 30YR FIXED
3% 15YR FIXED
If you are still paying PMI/MIP and own at least 20% equity, REFINANCE! Get rid of that extra payment and get a lower rate!
📲 (909)800-5169 If you have any questions.
📢 Check out our new blog post! LINK IN BIO - Shopping around for mortgage rates isn't as easy as it should be. The Mortgage Firm Tampa One will evaluate all your options and provide the best home loan for you.🙂🙌
📲 Call TODAY 813-644-6001 & Get Pre-approved ✔️
😊 "Let Us Show You The Way Home!" 🏠
2 618 hours ago
🤔🤔 Should you buy a car 🚘 cash 💰 or take the higher interest rate? Listen to my insight for a quick tip on how to save yourself! #Credit is key to building wealth! PS I'm buying my 2nd home 🙂 you have to have great credit to do this so listen up 💯
Happy Tuesday! 😎 I’ve decided that I will post a picture of my online savings account after every couple posts (aesthetic reasons) in order to hold myself responsible on adding money into my savings. This account was created as a savings account for my student loan repayment 😊 Working only part time, it is hard to add a decent amount of money to it each month while sustaining current bills, but I am determined to save as much as possible before my loan is due in a few (1-3) years from now. My checking account is currently frozen due to fraud activity so I cannot access any of my money yet (have to open a new acc and close my old one today ☹️). I do have $70 more scheduled to be transferred once my bank acc is settled, so I consider this amount to be at $250.18 and I’ve started this account August 5th, 2019. I am excited to document my progress with you guys as well as hopefully gain a supportive community!
1 619 hours ago
A brand-new #TermforTuesday with two, count em, two parts for your profit-seeking pleasure (I guess there's only one to count until next week)! I split this one up because there's two different ways to think about this term, which sometimes find themselves at odds with each other. Watch both videos to get the full picture on what an "Asset" really is!
My goal here is to transfer the knowledge I've learned from podcasts I've listened to, experts I've talked to, and books I've read to you, the listener, so that you can expand your grasp of the rules & strategies of this game we're all playing.
If I get something wrong or if you have something to add, let people know in the comments!
Thanks for sticking with me these last two months. I promise these videos aren't going to stop until we reach the end of the dictionary (I'm building an archive for people to use when they want an unintimidating explanation of a personal finance term) and your viewership is something that I cherish greatly, even if it's a viewership of one.
I'm going to do what I can to keep this interesting for you as this ride continues, so keep tuning in for your Tuesdays!
Always invest into assets before liabilities, I’ve said this before. But I don’t mind saying it again.
If you want financial freedom, you invest into assets. That’s it.
And when you have an consistent income from your assets, spend your money all you want. But before that, you should want to minimize your expenses as much as you can so you can invest it into recurring passive income streams.
Some examples of this are rental properties, automated businesses and dividend stocks.
Do you have any passive income streams yet? If so, from where do they come? 🤔
Let me know in the comments, I’d really like to know! 👇
257 9,35211 June, 2019
This is an example of the difference between investing in Apple 🍎🍏 stock back in 2008 versus putting the same amount of money over 10 years into a savings account earning a GENEROUS 2% interest rate which is very hard to find. Most savings accounts offer far less than 1%. Some credit unions offer higher interest rates for savings accounts, but your Chase or KeyBank account will not get you anywhere near that. 🤷♂️
Keep in mind that as you continue to reinvest your dividends back into more Apple stock, you will continue to accumulate more shares which will eventually lead you to a massive dividend check each year that continues to pay you as long as you hold the shares 💵
What’re your thoughts? I’m sure some of you have some critiquing to do so let’s talk 😎🤙
👉 Follow @getjoemoneyright 💵
- #savingmoney#savingsaccount#interestrates#investments#aapl#applestock#stockmarket#dividends reinvest #drip#dripinvesting#dividenddrip#saveyourmoney#learntoinvest#business#entrepreneurship
Many think that when short-term yields rise above long-term yields, or when the yield curve inverts, it signals an oncoming recession. Jim Bianco says that's not quite right. "In reality," Bianco says. "It means that the cost of obtaining credit is too high and if it persists long enough, a recession will ensue." The sooner the Fed fixes it the better. One would be hard pressed to find a period of five consecutive months of inversion that did not precede a recession. "The sooner the Fed fixes it, the better. A 50 basis-point cut fixes it better than a 25 basis-point cut." #Yieldcurve#economics#Fed#interestrates#invertedyieldcurve#recession#FederalBank#money#policy