Redevelopment of Property
Oct 9th
photo by RedAgenda
In recent times builders have been offering residents of old buildings a handsome amount to get a refurbished flat with additional space.
Who will not grab such a tempting deal? The flat seller not only gets the cash, but also gets a monthly rent for his temporary accommodation. Once the new property is ready, he gets a refurbished, newly-constructed flat, in place of his old one.
Builders do so to redevelop the property and add additional floors to a particular building. They earn money by selling the additional flats. The money paid by the builder to the existing residents depends on whether he asks the resident to shift temporarily or permanently. Continue reading “Redevelopment of Property” »
79th Carnival of Money Stories: Cartoon Edition
Oct 7th
Check out some really interesting articles at the 79th edition of the Carnival of Money Stories hosted by LAL. Hoping these stories will give you some great personal finance ideas and distract your mind from the market.
LAL will also be even hosting the Finance Fiesta this week, so feel free to submit a post here.
The Orange Paper’s post Power of Compounding has made it in the Investing section of the carnival 
Bank Gone Bust? Don’t Worry, Your Account Is Insured*
Oct 6th
photo by Gaeten Lee
You might be aware of the recent rumor on the street regarding ICICI Bank and how people queued up at the bank/ATM to withdraw their money. Continue reading “Bank Gone Bust? Don’t Worry, Your Account Is Insured*” »
Stop Paying Entry Load, Go Direct
Oct 4th
photo by coloros
In January 2008 SEBI abolished entry load on Indian equity funds if you’re investing directly. However, it is mandatory to pay an entry load of 2.25 percent if you transact through intermediaries, better known as distributors who take this charge to service investors.
Suppose you are investing Rs 1000 and the NAV (net asset value) of the scheme that you are buying is Rs 10. This NAV is multiplied by 1.0225 (2.25 percent of Rs 10) to factor in the entry load and operative NAV for you becomes Rs 10.225 (Rs 10 as the actual NAV and Rs 0.225 as the entry load). Continue reading “Stop Paying Entry Load, Go Direct” »
Buy: Punj Lloyd, target Rs. 532
Sep 28th
Source: Sharekhan
Recommendation: Buy
Price target: Rs 532
Current market price: Rs 283
Punj Lloyd has won 2 orders this week. The first, to engineer, procure, install and commission a 211km pipeline with associated stations and infrastructure in Qatar — an $800 million contract (Rs. 3636 crore) from Qatar Petroleum for a gas transmission project, while the second order is much smaller at $42 million (about Rs. 190 crore) for an onshore drilling project in Libya. Continue reading “Buy: Punj Lloyd, target Rs. 532” »
7 tips to make the most off your credit card
Sep 27th
photo by The Consumerist
A credit card can be an excellent tool for saving money and getting discounts. If one goes haywire it can lead to additional costs and penalties. Credits cards are often blamed for debt woes as well as other consumer-related ills prevalent in society. But, in reality, most of such woes result from the misuse of plastic money or the ignorance of consumer himself rather than keeping a credit card in your wallet. Here are some tips to make the most of your credit card: Continue reading “7 tips to make the most off your credit card” »
Power of compounding
Sep 22nd
photo by orangeacid
Investment experts keep advising us to “invest for the long term,” mainly so that we may benefit from the power of compounding.
Take an individual who decides to invest Rs. 50,000 for 20 years. Assume that he earns a constant return of 8% per year. In the first five years, the Rs. 50,000 invested grows to Rs. 73,466. (see table) This means, he gains Rs. 23,466 in absolute terms in the first five years. Continue reading “Power of compounding” »
Buying a plot of land?
Sep 13th
photo by demibrooke
Buy land. They’ve stopped making it. – Mark Twain.
Banks and housing finance companies (HFCs) in India provide loans for purchase of plots (land). Usually, the banks/HFCs insist that the plot of land is purchased from a recognized authority like a development authority, from a society, or from a recognized developer. Financing purchase of plots is a bit risky because of difficulty in documentation. Continue reading “Buying a plot of land?” »
