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Showing posts from April, 2016

Are you a victim of Financial Infidelity?

Image courtesy of stockimages at FreeDigitalPhotos.net
Shikha is scared to death. She doesn’t know what to do. She and Rahul got married last year. Rahul had his job in Bangalore, so Shikha had to leave her job and has settled down as homemaker in Bangalore. She had one credit card from the time of her working days. When Rahul was gone to office she used to go out and buy things for herself from that credit card. Since she was working before marriage, she never got the habit of asking money from Rahul. And even Rahul never bothered to check if she needs some money for anything, because most of the time they used to do shopping together and Rahul settled the bill. But now due to extensive usage of her credit card and non-payment, credit card dues have mounted up to Rs. 25,000/-. And Shikha has no idea of how to break this news to Rahul.
As per Wikipedia, Financial infidelity is the secretive act of spending money, possessing credit and credit cards, holding secret accounts or stashes o…

Cobbler, Cobbler, Mend my Investments!

I know a relative of mine who opts for an Insurance policy for every investment need of his. He has a friend who is an Insurance agent, and whenever my relative has surplus to invest, he calls his friend and invests the amount in whatever plan his friend suggests. So, let me ask you a simple question – is this the right approach to manage one’s surplus monies? I am sure most of you will be with me in saying a big NO. It is like visiting a carpenter and asking him to fix your fever. All our investments are to be done with a certain perspective in mind. You cannot choose one asset class for all your investments and vice-versa. For managing your investments the right way, you need to take note of few things. 1.Qualification of your Financial Planner/Advisor: Is your Financial Advisor aptly qualified to guide you on your investments? Or he is simply selling you the products which give him the maximum commission. Your investment is not to be treated as a source of more revenue for your Adv…