Benefits of a Home Loan for Women Homeowners

In recent years, an increasing number of women have become an integral part of the process when making home purchase decisions. 

Coupled with financial independence, they have been contributing equally to home loan repayments, whether as single/main applicants or as co-applicants. 

They have a distinct edge while negotiating favorable terms, the rate of interest, and processing fees with banks and lenders. Home loans, especially, aimed at female house owners are a huge cost-saving opportunity and hold numerous advantages.

Home Loan Benefits for Women Home Buyers

There are several benefits attached to a home loan if it is availed by a woman. Here are some of its merits:

1. Higher loan eligibility - If earning women apply for a home loan with their spouses as co-applicants, their combined income increases the home loan eligibility. This offers them more flexibility in choosing properties and they can even opt for a bigger house.

2. Longer repayment tenor - Home loans for women are offered for a longer tenor. This, automatically, lowers the EMI and helps them make the repayments comfortably. 

Additionally, they can meet all their commitments and regular expenses without feeling the burden of the monthly EMIs, utility bills, credit card bills, etc. 

They also benefit from making foreclosures and part payments on their loans without incurring any penalty or other charges.

3. Lower interest rates - Many financial institutions have low-interest loans for women applicants. A lower rate of interest impacts the EMIs significantly and you can also use Home Loan EMI Calculator for calculating your monthly EMI which helps to make bigger savings over the entire loan tenor.

4. Income tax benefit - If the husband and wife jointly apply for a home loan, they can enjoy more tax deductions on the loan repayment of the principal and the interest amount. 

Individually, each can claim a maximum rebate of Rs.1.5 lakh on the principal (under Section 80 C) and Rs.2 lakh on the interest (under Section 24) components of the EMI. 

Together, they can avail of combined tax benefits of Rs.3 lakh on the principal and Rs.4 lakh on the interest of their home loan. This amounts to significant tax benefits.

However, the actual tax benefit enjoyed by each co-applicant is in proportion to their contribution in repayment of the principal and the interest, subject to the mentioned limits.

5. Lower stamp duty - To encourage female home buyers, many state governments charge 1-2% lower stamp duty from women property owners. 

This enables them to save a considerable sum on their home expenses. So, if a borrower opts for a house worth Rs.80 lakh, she could easily save Rs.80,000 to Rs.1,60,000 in stamp duty exemptions.

6. Better chances of home loan approval - Market trends indicate women have better savings potential as compared to men. They avoid unnecessary debts, make sound financial decisions, and have lower default rates. 

All these factors establish them as more responsible borrowers. Lenders, therefore, are more inclined to offer home loans to female borrowers with attractive loan terms and specialized schemes.

7. Pradhan Mantri Awas Yojana (PMAY) - Under PMAY, house owners belonging to EWS, LIG or MIG sections of the society can claim government subsidies up to Rs 2.67 lakh on the principal amount of their home loan. 

The subsidy amount is given upfront on the principal outstanding, thereby lowering the interest component. It is, however, mandatory for a woman to be either the sole or joint owner of the property and preference is given to female applicants, especially, widows and single women.

Eligibility Criteria for Women Home Loan Borrowers

Like any other home loan applicant, female loan applicants must meet the eligibility requirements laid down by the lender. Both salaried and self-employed women can apply for a home loan. The eligibility criteria include:

• The applicant should be a residing citizen of India.
• In the case of a salaried woman, she must be between 23 to 62 years of age, while self-employed ladies should be between the ages of 25 to 70 years.
• She must have a minimum work experience of at least 3 years if she is salaried. And, self-employed women should have a business continuity of at least 5 years.
• She should have a credit score of 650 and above.

Interested applicants can, further, check their exact home loan eligibility by using a home loan eligibility calculator online.

Documents Required for Home Loans for Women

The documents necessary for a home loan may differ with each lender. But, the common set of documents that are, usually, required can be summed up as follows:

• Proof of identity - PAN card, Aadhar card, Voter ID, valid passport, driving license, etc.
• Proof of residence - Aadhar card, ration card, copy of utility bills like telephone bill, water bill, electricity bill, and so on.
• Proof of income - Latest salary slips and Form 16 (salaried applicants), P&L statements, TR documents, proof of business (self-employed applicants).
• Other documents - Passport size photographs, duly filled form, and bank statements.

This list is indicative and borrowers may have to furnish other documents, as and when required.

Summing Up

The benefits of a home loan extended to women save on costs associated with buying a house and expedite the entire loan approval process. They also reduce the burden of EMIs. With favorable government laws and the support of financial institutions, women can enjoy homeownership even more easily.

How to Save Money and Plan for Your Financial Future

Living from paycheck to paycheck is a leading cause of stress among much of the population. There are surveys that indicate nearly 50% of Americans would have trouble coming up with the money to pay for a $400 emergency.

This is not a good recipe for financial success. That's why saving money is so important.

Make Saving Automatic

David Bach popularized the concept of the latte factor, which suggests cutting out mindless spending to build wealth over time. While that is perhaps his most famous recommendation, he also encourages people to make their savings automatic. 

Signing up for automatic withdrawals to a savings or investment account is a great way to make sure the money actually gets saved. 

People who wait to save what's leftover at the end of the month generally have no money left over to put toward their long-term goals. Therefore, paying yourself first is a necessary step to start building some savings.

Consider a Credit Union

When most people think of where they might put their savings, a large commercial bank might come to mind. However, credit unions are also a great option. 

Some companies, like Credit Union of Denver, know that these financial institutions run just like a bank. They offer loans at competitive rates, and they also have accounts that allow for savings and investments. 

Sometimes, these accounts come with better interest rates for savers. Members run credit unions, rather than shareholders who may or may not use a commercial bank's services.

Track and Trim Expenses

Many Americans spend mindlessly. Sure, there are bills that you'll have to pay monthly that stay relatively stable. These include things like rent, car payments, and food. 

There are other expenses that are completely unnecessary. Going out to a movie theater every weekend and eating out for lunch every day can get expensive. 

Tracking these expenses and trimming them back a little could put $100 or more back into your budget every single month. Over time, what might not seem like a huge sum of money could grow into a significant nest egg.

Make More Money

There are several options for making more money. The easiest might be simply asking for a raise. It can also pay to do a bit of job-hopping. 

Sometimes, switching employers can lead to some pretty hefty pay increases. Another option is starting a new side hustle that can bring in a few bucks. 

Over time, a side hustle might turn into your primary income, which means that it doesn't hurt to start one.

Putting some money away for emergencies or for the future is key to your financial health. That's why it's important to make savings automatic. 

Taking these tips into consideration can be a great way to increase your financial freedom over time. The earlier you start, the more likely you are to succeed in stashing some cash for your long-term goals.

How Recycling Is Good for Your Wallet

Recycling is important to help conserve the environment, making it a habitable place for generations to come. When recycling, a sense of achievement is often felt, motivating you to do a bit more.

However, with the money involved, getting into recycling is easier than ever. Here are some ways recycling is good for your wallet.

Recycle Scrap Metal

Metal is one of the most popular recyclable materials as it does not degrade with every subsequent recycling. When using metal materials, taking them to a scrap metal yard will make for some extra money. 

Note that different kinds of metal such as steel, iron, brass, copper, and aluminum are different, so the payout will vary. But selling off scrap metal is a great way to make money and help the environment at the same time.

Old Books

In many homes, there is a stockpile of books lying around with no use. The books can be from school or a hobby. A simple way to recycle is to trade your books you don’t need for credit at a used book store. This way you can get new books while extending the lifecycle of your old books.

Collect Cans

Be it soda, beer, or any other beverage, many people consume can after can. While normally these cans would go in the garbage, many people collect them. Once you have a fair bit of cans, you can sell them to a recycling center. Then you can feel better about having so much soda!

Electronics

New technology comes out every day. Old technologies become cheaper and new tech becomes more powerful. Your old computer may be too slow for you, but it could be just right for someone else. 

Consider selling it to someone else. If you can’t find a buyer, you could consider using old hardware for simple tasks, like a back-up box.

Another option is tech recycling companies. Some companies will buy broken-down electronics and then break them down into base elements such as gold, copper, and silicon. 

While there’s not enough gold for you to make a reasonable profit, a dedicated company can make a profit. So consider selling your old equipment to recycling centers.

Recycling is a simple change of mindset. Turning off unused lights will help in decreasing the electricity bills. Recycling cans and tins from food, and trading them in will help get cashback instead of getting the items in landfills. Remember, recycling can be good for more than just the environment.

What to Do if You've Been Scammed Into Paying Someone Through Venmo

Although Venmo was designed to make transferring money between friends simple and convenient, it’s not always so simple. In some situations, scammers pose as friends or family, hoping to steal money from unsuspecting users.

These scams make it even more important to be cautious and aware when using the app. The following are some steps you can take if you’ve been scammed by someone through Venmo:

Block the Scammer

If you’ve been scammed and have sent money through Venmo, first contact your bank immediately. Tell them what happened and see if they can reverse any charges that have already taken place. 

If they can’t reverse those charges, they may be able to help you get an extension on your payment plan so you can work something out with your creditor.

When speaking to a representative from the bank, they may also let you know how many days/weeks/months it might take for a refund from Venmo (if one is available). The last thing you want is for someone else to use that money before it gets returned to you.

Report it as Fraud

If you think you've been scammed, report it as fraud. There are a few things to know about reporting scams on your account: In most cases, you should be able to find options for reporting fraud in your settings. Within minutes of reporting your issue, you should receive an email stating that the app has received your request.

If your account is still active after you report an issue with a transaction as fraud, that likely means a representative from Venmo hasn’t determined that there was any fraudulent activity involved. Keep reporting the fraudulent activity until you get a response.

Tell Your Bank and Request a Chargeback

In many cases, you can request a chargeback through your bank or credit card issuer. A chargeback will remove any money taken from your account and refund it into your bank account. 

This is a hassle, though, so you’ll want to try everything else first. Keep in mind that some chargebacks can take weeks to resolve so keep checking your account until the money is returned. 

As you wait, consider reaching out to an attorney from Heidarpour Law Firm to help you recover your funds after fraud.

Change Your Password or Deactivate Your Account

If you think someone has gained access to your account, you should change your password immediately or deactivate your account. 

Changing your password will ensure that no one can make any additional transactions from your account (or transfer funds) for 14 days. To do so, go back into Settings > Security and select Deactivate Account at the bottom of that page.

Make sure your money is safe when using your Venmo account. Keep this information in mind as you take steps to safeguard your finances in the future.

Figuring Out a Monthly Budget? Car Expenses to Account For

Manage your money well, and you’ll wonder how you ever lived without a budget. Your spending will dictate how much money you have leftover for emergencies, savings, and discretionary fun.

A monthly budget is a great way to help you stay on track and focused on your financial goals. It’s an essential tool for anyone who wants to keep tabs on their money and make smart financial decisions. 

Following a budget will help you stay on track and help you feel accountable for your spending. It’ll also help you avoid making money-eating mistakes and set realistic spending limits. 

This article will go into depth about car expenses to make sure you include them in your monthly budget.

Petrol and Diesel

The average person will spend $2,783 on petrol and diesel each year. This equates to $8.67 per gallon of petrol and $4.39 per liter of diesel. 

However, this doesn’t consider taxes, fees, or additional costs associated with operating a car. If you’re a higher-end driver, you may spend even more. To put this in context, the average car in the U.S. costs $30,000. 

That means, on average, you’re spending about $4,000 more per year on petrol and diesel compared to the price in your own country.

Insurance and Registration

The average person will spend $1,919 on car insurance every month. This equates to $8.62 per gallon of petrol and $3.25 per liter of diesel. What’s more, this exceeds the price of car maintenance by far. 

You could easily pay $1,000 or more for the privilege of driving your car. If you need to take someone to court, their car insurance will likely cost you more than your monthly budget.

Brake, Tire, and Servicing Expenses

These are the majority of the costs associated with maintaining a car. Break these down, and you’ve still got yourself a healthy monthly budget. 

For example: brakes cost $84, tires require $96, tire recommended $40, servicing fees $36, tire replacements $36, brake maintenance $318, etc.

Now that you’ve got a better understanding of how your monthly budget works, it’s time to take action. Make a plan and stick to it. Make small adjustments each month, and you’ll see results. 

There are many ways to go about this. You could look at your monthly expenses as a percentage of your income or look at them as a dollar amount. Whatever way you look at it, you can still make it work.

What Is a Raw Land Loan and What Is It Used For?

Raw land is undeveloped land in its natural state; it's real estate that has no buildings, farm fields, or utilities. Raw land may not even have an access road.

Buying raw land presents the buyer with the possibility to do what they like, as long as it falls within zoning regulations. Raw land has also become popular as an investment. While buying raw land is an attractive option for some people, financing the purchase can sometimes be difficult.

Most Lenders Want Collateral

Since there are no structures or farm fields for the bank to hold as collateral, banks are often reluctant to finance raw land. If the buyer falls behind on their payments, the lender wants to be able to foreclose on a property they can quickly sell.

While raw land is attractive to some people, most people want to develop real estate. Most people do not want to deal with building a road, digging a well, installing a septic tank, and building a home from scratch. 

Also, that home will need an off-grid solar system and maybe even a rainwater harvesting system. Raw land is not something a bank can turn around and sell quickly.

Raw Land Loans

Fortunately, raw land loans are available. Raw land loans are generally obtained by developers who want to build an industrial park or a subdivision. Some companies, like Raw Land Lenders, realize that this is typically why someone wants one of these types of loans. However, it's also possible for individuals to get a raw land loan.

Typically, you’ll need to present a detailed plan of what you want to do with the land, such as build a home, factory, or start a ranch. The terms of the loan can vary depending on how you plan to use the raw land. 

Also, raw land loans typically have very short terms of just two to five years, often ending in a balloon payment. The closer the land is to being developed, the easier it will be to get a loan. 

Also, you may get better interest rates, better terms, and a lower down payment. There are lenders that specialize in raw land loans, and seller financing is also common.

Know Before You Buy

You may assume that buying raw land means that you can do whatever you want with it; that is sometimes true, but most of the time it's not. Before you buy raw land, check with the county for zoning and building codes. It may be zoned for a specific purpose, and there may be a time limit in which to begin building.

Raw land is often very affordable and gives you the chance to start fresh with a piece of property. It can also be a good investment as land prices continue to rise.