Once A Week

  Why I should avoid Payday loans We all have bad months where the unexpected happens. And this is when we look to borrow some money to get us through the month. A very well advertised and often used option are payday loans. These loans lend you money on a short term basis to be paid back by the end of the month. These loans can seem like a attractive way to get through the month. But here is why you should avoid them! They charge very high-interest rates! Because of the high risk associated with these loans, the lenders often charge very high-interest rates which can hurt your pocket! Similar to point 1, the lenders often charge very high fees! They are only a short term fix, not a long term solution. A short term loan can provide you with cash flow. But you need to look at why you need the loan. Are you spending too much? Is your emergency fund to small? Or is this a completely unexpected event? Image by Gerd Altmann from Pixabay Here are are 2 ways to avoid needing

How to use a Zero-Based Budget? Zero-Based Budgeting is the new way of budgeting. It takes into account worldly factors and allows more flexibility than the traditional budget. But What is it? And how can I use it in my own life? What is a Zero Based Budget? A zero-based budget us “Zero-based budgeting (ZBB) is a method of budgeting in which all expenses must be justified for each new period.” by  Investopedia . It stops the assumption that last month or period will be the same as the future or coming period. Everything starts at zero and all expenses need to be justified and explained. This process forces managers to review every expense and justify it. Image by  Steve Buissinne  from  Pixabay Why should I use a Zero Based Budget? Zero-Based Budgeting can help you by  cutting costs  and to be knowledgeable about where your money is going. By assuming nothing and justifying all your expenses bi-yearly or quarterly, you can find wasteful spending and ways to improve your spending. Findi

Buy vs Rent? The Home Loans Story Home Loans are probably the most sought after loan in the world. Often difficult to get and expensive to pay. But is the extra cost worth it as opposed to renting? Let’s have a look! How long will you stay in the home? As pointed out by  Fidelity , one of the most important items to consider is how long are you planning to stay in the house? For a house to make money, you would need to have a timeline of 20 years or more. This is due to appreciation, bond costs, and maintenance costs. Over this length of the timeline, there is a benefit to owning rather than buying! Image by  Wokandapix  from  Pixabay Can you afford it? Affording a house is expensive! With most banks requiring you to have 3x bond repayment as monthly income. You or you and your partner would need around R30 000 in monthly income to be able to buy an R1 000 000 house. This high level of income has made it out of reach for a lot of South Africans! Even with our low-interest rates at the

Money Saving Tips for South Africans Saving Money is HARD! Don't kid yourself! It is much easier to just go and spend every penny in your account. I have done that! But what I have found more beneficial to have money left over at the end of the month. It almost like sitting on your couch and streaming Netflix is easy and enjoyable, but working hard and climbing to the top of the mountain can be more beneficial. Creating memories that last forever of the views that are seldom seen! But how do you do this? How do you achieve this "money in my bank account at month-end" myth? The answer is discipline and practice. Here are my money saving tips Plan out your goals "If you fail to plan, you plan to fail" - Benjamin Franklin Yes, I know I use this quote too much but it is so relevant! If you don't have a plan you won't achieve the success you want, as you have not identified the success or goal you want to achieve. It is like running

Should I get a Credit Card? Credit Cards can be great or can be catastrophic, depending on who you ask. They have many great aspects but the Debt aspect is what scares people away! Here are 3 questions I ask myself before getting a Credit Card: What are the Fees? Credit Card Fees like bank fees can be astronomically high or fairly reasonable. But lookout for hidden fees such as Late Payments, Credit Usage, Credit Limit Fee, dishonoring fee, lack of funds fee, international transaction fee and interest. These are fees listed on the report but often ignored. But they can hit you like a ton of bricks if you don't take note of them. That being said Free swiping along with other benefits can make a Credit Card more cost-effective than other accounts. What are the Benefits? One of the main reasons people take out Credit Cards is for the rewards or benefits. Be it Discovery Miles , Ucount , Greenback's, or EBucks ; these benefits can add up! From discount

How to create your financial plan? "If you fail to plan, you plan to fail", the wise words of Benjamin Franklin. And this applies to your financial plan as well. But how do you create a financial plan? Write it down This may seem like an obvious one, but I myself have skipped it in past times. Writing down your goals and plans can significantly increase the odds of you keeping them. Because while you write, you think through your plan and iron out any creases. This will leave you feeling more confident. Automate The easiest way to save or repay is to automate the process. As diligent as we may be, the temptations of our world are real! So don't tempt fate, automate! With all major banks offering scheduled payments and debit orders. Automate your savings and your repayments to avoid having to think about or forget about it. Formulate your savings and repayment plan and then automate to make sure you stick to it. Do good research upfront! T

How to save money in tough times The tough times are the last place you think about how to save money! Especially when you have lost your income or your income get reduced! There are then more important things to worry about, and you may even have to dip into your savings. And that is okay. But Saving is not just an action, its a habit. And I believe in saving even just a minimal amount to help you save. So here are some fun, creative ways to keep the habit going! Keep a cents jar All those 10c, 20c, and 50c can add up to more than just a few chappies. I managed to save R10 a month by doing this. Which may not sound like much but every bit helps and every cent saved is worth more in the future! Make it fun by customizing the coin jar, or find a piggy bank! I have a blue one I got free with a promotion a Dros years ago. Image by Devanath from Pixabay Have a swear jar Yes, the good old swear jar! You've seen it on so many TV shows, I couldn't lis

What are Bonds? Should I invest in Bonds? Bonds, loans, debt. They have a reputation for being very safe with minimal returns. Is this true? What are Bonds? Should I invest in bonds? What is a bond? Bonds, loans, and debt are a type of investment where you buy the debt of a company, institution, municipality, or government. The return earned is on the rise in value of the bonds, as well as the yield/ interest rate paid. Think of it as you acting as the bank, you loan the money to Joe and he pays you back plus interest. Government Bonds are often considered the safest option as a government is very unlikely to default or not pay their debts. Companies or corporate bonds are often considered a higher risk as they could go bankrupt. What is the bond market? A bond market is similar to the stock exchange where bonds are traded. These markets bond markets are often available only to wealthy individuals and institutions. Where do I invest in Bonds? The Bond Market We know what the stock mark

Budgets as I showed in my previous post " Budgets! Agg… " are not the old boring things we were taught in school. We control our budgets as our destiny. So here are my Top 4 tips for Dominating your budget! Pay yourself first Yes I know that sounds weird. But you worked hard for your money and you should benefit from that. So spoil yourself sometimes and spend on yourself in furthering you. From Excerise, to studies, to books and courses. Pay yourself first DIY! So I know most of you are probably not Handymen/women. And if you're anything like me it could be dangerous if you were. But doing some basic fixes around the house can save you money versus calling in a repairman/women. SAVE! Savings as I have stressed before are very important! Especially for emergencies! As COVID19 has shown a lot of us, Savings can help you get through these difficult times. Have a Misc section of your budget Misc. or miscellaneous are expenses that are