Trust Bank, the latest digital bank in town, is giving out $35 NTUC e-Vouchers

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Have you heard of Trust, the latest digital bank to take the digital banking scene by storm? Trust Bank offers up to 1.4% interest rate for its savings account, 21% rebate on its credit card, $35 NTUC e-Vouchers as well as free rice and Kopitiam breakfast set. Here is how to save and score these freebies!

What is Trust Bank?

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Trust Bank (known as Trust) is a new digital bank set up by Standard Chartered Bank and NTUC. This means that customers of Trust conduct all their banking activities online since Trust Bank does not have any physical bank branch. Here are the products available under Trust.

1. Trust Bank Savings Account

Trust offers a base interest rate of 1% for the 1st $50,000 deposits. If the customer makes 5 eligible card transactions, this can be increased to 1.2% and 1.4% for non-union and union members respectively. No minimum amount is required to start earning the base interest rate. Best of all, there is no fees or lock-in period required.

2. Trust Bank Credit Card

Trust credit card provides up to a mind-boggling 21% savings rate on card spend. This is issued in the form of Linkpoints which can be offset against purchases at NTUC, Unity stores etc. If a NTUC union member spends at least S$350 per month on expenditure outside of FairPrice Group every month, he or she will be entitled to 21% savings rate on spending made at FairPrice Group. Simply put, if you are already spending within the NTUC ecosystem- i.e. shop at NTUC and Unity, dine at Kopitiam, now is the perfect time to save on your spending with Trust card.

Other amazing perks are the absence of annual fee, foreign transaction fee, cash advance fee as well as card replacement fee. Finally, those who sign up for the Trust credit card will enjoy complimentary coverage of the Family Personal Accident Insurance for the first 2 months

Amazing Promotion

Another eye-catching aspect is the generous freebies thrown in to mark its launch. These freebies add up to a total of $42:

  1. $10 FairPrice e-Voucher upon signing up with a referral code (DFFZV6CZ)
  2. Free Signature Breakfast Set to be redeemed at Kopitiam (worth $3.10)
  3. Free 1KG Superior Fragrant Rice (worth $3.55)
  4. S$25 FairPrice e-Voucher on your first card spend (no minimum amount required)

Besides these one-off freebies, Trust also pushes out regular discounts from popular merchants such as KFC, Burger King, Starbucks, Gong Cha etc. Remember to browse the app regularly and grab these vouchers!

Sign Up For Trust

From downloading of the app to approval of application takes less than 20 minutes if you sign up via MyInfo. With such a smooth onboarding process and the amazing freebies, what are you waiting for?

Download Trust app to collect your freebies- remember that the $10 FairPrice voucher is only valid if you sign up with a referral code. (DFFZV6CZ)

 

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How Can Women Focus on Their Retirement?

Women face greater financial long-term risks than men due to several factors. These factors include having a longer lifespan, needing to pay for medical expenses, loss of spouse, and gender pay gap.

Senior Wealth Advisor Sandy Higgins highlighted: “There are varied reasons for this gap, but what holds true are the statistics and cumulative impact of this on retirement savings.”

While the difference between the wages of men and women do not seem large to many, the results can be substantial over time. Thus, it is important for women to focus on their retirement plan. Consider the following tips.

#1: INCREASE YOUR KNOWLEDGE

Despite having a tendency of being more responsible with money, women were not allowed to open a bank account in their name before the 60s. Today, men are still regarded as the primary financial providers for their families.

Dance with the times by being educated on your finances. Brush up your knowledge on personal finance to get more confident as time passes.

#2: KNOW YOUR SPENDING HABITS

To grow your golden nest in the future, you must become aware of your shopping habits. Tracking your spending allows you to identify where your unnecessary and unplanned purchases happen. This way, you can modify it to achieve your retirement saving goals.

#3: PRACTICE BUDGETING

Always budget the expenses before signing a lease or making a major financial decision. It is important to recognize the full cost of your choices, including your rent or mortgage payment.

Experts say that the most common rule of thumb in housing is that your total housing costs should be no more than 30% of your gross monthly income. Stay as close to this amount as possible.

#4: GET READY TO RETIRE

A woman’s marital situation can affect her retirement plan. For instance, a woman may outlive her husband by several years depending on their age difference. Second marriages and stepchildren can also affect retirement planning.

Image Credits: unsplash.com

Structure a realistic and attainable retirement plan. Do not forget about your husband’s assets! Know which assets will be divided among you and your children once your spouse dies.

Sources: 1 & 2

 

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Top 5 Things You Should Know About Getting a Home Loan

Getting a home loan can be one of the most important financial decisions you’ll ever make, and while the process can seem overwhelming, it doesn’t have to be. If you know what to expect and how to prepare, you’ll be better equipped to get the best deal on your mortgage and secure your home faster than ever before. Here are five things you should know about getting a home loan.

Top 5 Things You Should Know About Getting a Home Loan

1) Understand the process

The home loan process can be confusing and even overwhelming at times, but it doesn’t have to be. First, get your paperwork in order: gather your pay stubs, credit report (including your latest report), bank statements, property tax records, homeowners insurance records and any other supporting documents that may help with qualifying for a mortgage. Remember that the amount of loan you need and will receive will depend on the type of home you are looking to purchase, for instance if you are looking for places that have indoor gas fireplaces versus a small one bedroom with no windows, the insurance amounts among other variables will differ, hence impacting the overall loan.

2) Save for your down payment

One of the most important things to know about getting a home loan is that you will need to save for a down payment. The amount you will need to save will depend on the type of loan you get and the lender you use, but it is typically around 3-5% of the purchase price of the home. If you have questions about how much your down payment should be, talk with a real estate agent or mortgage broker to see what they recommend. They can also help you figure out if you are able to afford the monthly payments and provide more information about what kind of loan might work best for you.

3) Calculate how much your monthly mortgage payment will be

When you’re ready to buy a home, one of the first things you’ll need to do is get pre-approved for a mortgage. This will give you an idea of how much money you can borrow and what your monthly payments will be. Here are the top five things you should know about getting a home loan. Before buying a house, it’s important to understand how much you can afford. That’s why pre-approval is such an important step in the process. It will tell you what kind of house you can afford and the size of mortgage payment that would be best for your budget.

4) Choose your mortgage type (Fixed, variable, interest only or offset)

If you’re looking to purchase a home, you’ll likely need to obtain a mortgage. There are many different types of mortgages available, and each has its own pros and cons. Fixed-rate mortgages, for example, have a fixed interest rate for the life of the loan, but this means your monthly payments will be higher. Variable-rate mortgages have an interest rate that is adjusted periodically at set intervals or whenever the bank changes their prime lending rate. It can fluctuate up or down as well. Interest only mortgages allow you to pay only the interest on your loan during the first few years while the principal stays unchanged. Offset mortgages allow you to offset your savings account against the outstanding balance on your mortgage so that when you make repayments, it reduces both what’s owing on your mortgage and what’s in your savings account by the same amount.

5) Have patience

The process of getting a home loan can be long and frustrating, but it’s important to be patient and understand that the lender is just trying to protect their investment.

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Costly Investing Mistakes to Avoid in 2022

All of us will likely end up making an investment decision that we will regret in the future. Despite how calculated your moves are, no investor is perfect. However, there are some errors that people have made in the past that you can learn from and avoid.

On that note, here are five critical investing mistakes to avoid at all costs.

#1: INVESTING WITHOUT ESTABLISHING AN EMERGENCY FUND

Having a sense of financial security in case your investment and other life choices go awry is important. Before you begin investing, ensure that you have established an emergency fund. To get an idea of how much you should set aside, you should first calculate your monthly expenses.

If you are single and primarily responsible for your own well-being, you can have at least three months of expenses saved up. If you have a family, you must aim to have at least six months’ worth saved up to be on the safer side.

#2: PUTTING ALL YOUR SAVINGS INTO CRYPTO

The buzz about cryptocurrency can attract both aggressive and conservative investors. Reports of incredible gains in the crypto sector dominate the financial news, with uniquely named tokens such as Shiba Inu posting returns of forty-three million percent in 2021 alone. Hearing these types of returns can tempt the investors who are looking for a quick buck and are drawn to cryptocurrency.

While there is nothing wrong with investing a portion of your wealth in cryptocurrency, putting your savings into a single investment comes with elevated levels of risk. What will happen to you if cryptocurrency plunges down?

#3: TRYING TO TIME THE MARKET

Timing the market consistently over the long run is close to impossible. Investors may think that they can always time the market, but you must be realistic. As the saying goes: “Time in the market is more important than timing the market.” Instead of timing the market, you can take a dollar-cost averaging approach.

The dollar-cost averaging approach will enable you to invest at set, regular intervals regardless of the prices of your stocks at the time. You can take emotions out of the situation and stick to your schedule with this investment approach.

#4: FOLLOWING THE FAD

Keeping up with the investment trends can be a dangerous investment “strategy”, but it can be even riskier as we head towards the end of 2022. For instance, many investors were drawn to cryptocurrency as they were the most prominent highflyers in 2021. You must assume that others will continue to buy and push the prices up even higher, but it is difficult to decide when to sell.

Be cautious when it comes to investment trends. If you feel the need to follow the fad, just invest a small percentage of your overall portfolio.

#5: INVESTING WITHOUT A WRITTEN PLAN

Step towards 2023 with a plan on hand! As an investor, it is easy to think that investing resembles a casino. In reality, the long-term returns of the stock market are relatively reliable. To attain reliable returns, however, you will need to develop and follow an investment strategy.

Image Credits: pixabay.com

Investors are wired to be in the market when it is making new highs, but no one wants to buy if it is dropping to new lows. Having a written investment plan can help you prevent investing based on your emotions. Sticking to the written investment strategy will help you guide your decisions and follow the path of long-term financial success.

Sources: 1,2, & 3

 

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Your Concise Guide to Insurance Terms

Represented by a policy, insurance is a contract in which an individual or entity receives reimbursement or financial protection against losses. It is a cushion against the risk of financial losses that may result from the damage to the insured property or injury caused to a third party. The company pools clients’ risks to make payments more affordable for the insured.

That being said, here are some terms that you must familiarize yourself with.

1. ACCIDENT

An accident is an event which occurs by chance. It is unforeseen, unexpected, and unplanned. This results in injury and property damage, which can be covered by the insurance.

2. ADDITIONAL INTEREST

Additional interest refers to the individual, partnership, or corporation other than the actual named insured. This individual, partnership, or corporation has an insurable interest. For instance, adding an employer’s name to an employee’s policy for the company car.

3. APPRAISAL

Appraisal is an estimate of property value or the extent of the property damage. Appraisals are provided by the authorized persons and are performed to determine the value of the property at the time of loss.

4. BENEFIT

The basic principle of insurance is that an individual should not end up in a better financial or physical state because of a loss. Hence, a benefit is partial compensation for lost wages or disability.

5. CANCELLATION

Cancellation is the termination of an insurance policy before the end of the stated period. There are three ways in which cancellation can take effect. These are namely: to surrender the original policy by the insured, to write a notice to the insured by the company or agent, or to sign a “Lost of Policy Release” by the insured.

6. CLAIM

The claim is a request for indemnification or compensation. A first party claim refers to the request for indemnification due to a loss involving only the insured and his or her insurance company. While a third-party claim refers to the indemnification of a loss by someone other than the insured for the damage alleged to have been due to the insured.

7. DEDUCTIBLE

The deductible is the amount a policyholder agrees to pay before the insurance company covers a loss. The insurance company pays the balance of the loss up to the limits of the policy.

8. DEPRECIATION

Depreciation is the allowance taken for age, wear and tear, and obsolescence of any item. The depreciation factor is applied to the replacement value at the time of the loss and not to the original cost of the item.

9. ENDORSEMENT

It is a printed or otherwise written statement attached to the insurance policy to alter, delete, or add coverage, terms, or provisions. Changing circumstances usually require that alterations be made to an existing insurance contract.

10. PREMIUM

Premium is the amount of money an insurance company charges in return for providing coverage at a specified length of time. There are distinct types of premiums such as the additional premium, earned premium, gross premium, and minimum premium.

Image Credits: pixabay.com

When it comes to insurance, there are many terms, words, and phrases that you should know. Use this list of insurance definitions to better understand what each term means.

Sources: 1, 2, & 3

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