The contemporary trends in Banking operations and services with the help of computers are quite cheering for customer. As we find information technology invading the banking sector, only banks, which used the right technology, could come out with success.  Banks are required to ‘restructure’, re-invent and reengineer themselves go meet the necessary performance improvement and get the competitive edge due to the introduction of information technology (Internet Baking) being an imperative one

Application of Information Technology

Phone banking:

  1. Bank on phone, provides easy access for customers to have large businesses through   telephones. Data are exchanged   over the phone regarding any queries, to issue instructions on balance transfer, statement of account, cheque- book, stop payments, new schemes, interest rates etc. at any convenient time and place. Tele banking has gone a long way in providing maximum customer satisfaction within the limited infrastructure.

Automatic Teller Machines:  (ATM)

  1. Now, the banks provide this facility in a more sophisticated way that a customer of one bank and branch can withdraw from any other banks, at any other branch, nation wide. In developed countries, this service is provided to their blue chip client globally. This is possible only through worldwide networking and communication system.

Credit cards:

These plastic cards enable customers to spend whenever he/she wants within the prescribed limits and pay later. Debit card is a prepaid card with stored value, whereas credit card is post paid with fixed limits. It is seen that spending is higher through debit cards than with credit cards currently CITY Bank and time bank have started with Debit cards and now other banks are also following these to launch their own cards.

Electronic Funds Transfer: (EFT)

Electronic funds transfer is a system of processing and communication of payment through electronic methods. EFT assumes greater significance in the banking system as the RBI also encourages the commercial banks to adopt this technique. Normally, payments are made through cash, cheques, drafts and credit cards. The latest in this process are the debit card system, charge, digital cash, and electronic purse and so on.

SPNS- (Shared payment network system):

SPNS installed by the IBA in the city of Mumbai, enables electronic banking service like cash transactions, extended hours of banking, utility payments, cheques, point of sale facilities by the SPNS can go to any ATM linked to SPNS.

Electronic Clearing Services [ECS]:

Electronic clearing of funds from one centre to another for handling bulk transactions like salary, interest, dividend, commission etc., has dispensed the cheques. A part of electronic clearing service is computerized clearing of cheques at metropolitan centers and linking with international communication system of SWIFT. These services have contributed in a great way towards improving the customer’s services globally. ECS was introduced in India in 1996. It has made it possible for customers to get the funds next day itself.

Point of sale [POS] terminal:

Payment card at a retail location for electronic transfer of fund is called POS.  The client enters his personal identification number [PIN] and confirms the amount due. Customer’s account is automatically debited with the amount of purchases and it credits the retailers account POS installed at petrol stations and large retail houses are linked to banks network.

D-Mat Accounts:

Transacting shares business through electronic media is called D-Mat.  Investor opens an account called Demat Accounts with DPS.  They get shares in electronic form.. Then they send the actual shares to the investor.  Investor pays for the opening, maintenance and collection of shares.  This has reduced the paper work, bad deliveries; loss of shares and less transaction cost.  However delays in demating, higher cost charged by the investors has not given a good start for the growth and scope of Demat in India.  Depository participant sometimes make illegal money at the cost of investors.  SEBI should find ways to over come this to give a good scope for Demat in India.

Electronic Data Interchange-EDI:

EDI refers to the electronic exchange of structure information using telecommunication like payment orders, debits credits, statement of account etc.  As part of EDI, satellite communication network is also entering the banks.  EDI will very soon do away with branch banking and the customers will be identified as ban customer and not branch customer


Digital cheque used by the payer to the payee through internet is called e-cheques.  Electronic versions of cheques are issued, received and processed.  Most of the banks use e-cheques.  A secure means of operation is provided for collecting, payments, and transferring cash flows through this method.  The payer issues a digital cheque to the payee and the entire transactions are done through internet

Benefits of Internet Banking Services

1.It reduces cost of   both in services and administration

2. Overcoming the geographical barriers

3.  Cost minimized for customers

4. It helps to maintain customer loyalty

5. Web site enables banks to develop advertisement

6. Information technology enables banks to deliver products and services

7. Multimedia capabilities offer homogenous branding

8. Online banking encourages promotion of various schemes of the bank

9. Individualized and customized services with the help of integrated customer data

10. Minimizing fraud and misappropriation by inter-branch reconciliation      Convenience to customers – like card free banking, cash free banking provides a domain of access to banking services.

From the discussions on the internet banking services, it is felt that, this will enable the domestic banks to challenge the competition from their foreign rivals. Further, there will be a reduction in the staff strength to a considerable extent due to the adoption of information technology and ultimately banks can provide timely services to customers to their fullest satisfaction.

How to get unsecured debt consolidation loan NZ?

Are you looking for welcome home loan? While buying the home, you may need help with welcome home loan NZ. Look for the mortgage lenders who can analyze your situation and offer financing option. Welcome home loans are the best option for people who don’t have a deposit or who have only a small deposit. It is a Government supported initiative to help people get access to the homes easily. If you cannot afford to repay a home loan welcome loan can help.

How can I apply for welcome home loan?

If you wish to apply for welcome home loan, you can choose a participating lender and complete a loan application form. The participating lender needs to apply its own credit criteria at the time of assessment. Each participating lender will have its own interest rates and fees.

When you need a debt consolidation loan, you have two basic options: get a secured loan or an unsecured loan. While both options have their pros and cons, the important thing is that you don’t have to own a home to take advantage of either one.

Do you need debt consolidation loan NZ?

A debt consolidation loan helps you redirect all the debts to one single repayment. It also allows you to lower the payments you pay monthly. It becomes easier to manage one single payment as compared to many. People can save a lot of money as they get lower interest rate. The loan will be applicable for a fixed and condensed time period. Every payment you repay will reduce the principal.

There are two types of debt consolidation loans:

Secured debt consolidation loan

If you do not own a house as collateral, you may be able to get approval for debt consolidation loan. Many lenders accept boats, house, jewelry or autos as collateral. Some lenders also accept bonds, funds and mutual funds as collateral. Such type of loan is called secured debt consolidation loan. If you require a debt consolidation loan, you should find a reliable lender for debt consolidation loan NZ.

Unsecured Debt Consolidation Loans

If you do not have anything to use as collateral, you can still get a debt consolidation loan NZ. You need to find a lender who is ready to rely on nothing more than your promise for the repayment. There are many lenders who provide unsecured debt consolidation loans. In order to improve the chances of loan approval, you should take your credit report and apply for the loan.

Choosing Accounting Finance as a Career

A career in Accounting Finance involves acquiring the appropriate education and distinct skills required for success in the finance industry. You must be proficient in math and be able to contribute to the financial growth of the company in which you are employed. If you find the business world appealing, a career in accounting finance may be the right choice.

There is a wide variety of accounting finance areas that one can specialize in and can include: commercial banking, corporate financial management, international financial management, and personal financial planning and investment. Companies that employ those who specialize in accounting finance include: commercial and investment banks, insurance companies, Brokerage firms, Real Estate companies, and other accounting and financial companies.

Educational requirements for a career in accounting finance normally include a bachelor’s degree in finance. A bachelor’s degree is required for CFA certification. A career in financial management requires a Master of Business Administration. Courses can include economics, accounting, risk management, statistical analysis, critical thinking, research methods, problem solving, mathematics, ethics, business management, etc. Financial accounting differs from common accounting as it involves working with those who are not directly involved with the day-to-day operations taking place on the stock market. This includes such organizations as banks and government agencies. However, one will have a sound understanding of the financial markets and be able to make use of an assortment of financial data.

There are a broad range of career options in commercial banking. A career in commercial banking involves working in such areas as financial and credit analysis, accounting and auditing, financial management, securities, commodities, and a host of financial services. There are currently more people working in commercial banking than in any other division of the financial services industry. In banks, financial planners concentrate on assisting people with their financial plans for their future such as retirement. A financial analyst will research a clients or company’s financial status that can include their history, record of risk, current spending details, as well as the status of their investments. They make recommendations based on these factors and the company’s financial goals. An excellent financial planner is one who is knowledgeable about such areas as investments, taxes, and estate planning. They should have great interpersonal and listening skills.
In investment banking, finance professionals work with companies and governments to assist investors with trade securities, managing financial assets, providing financial reports and reports of investment activities, offer financial advice, and issue securities.

Certification is recommended for a career in finance. Personal financial advisors are often required to be a Certified Financial Planner. (CFP) Certification as a Chartered Financial Consultant (ChFC) is also helpful. To meet the criteria for the exam, you will require a bachelor’s degree and three years of experience in a related field. Additional licenses are required for sales in stocks, bonds, mutual funds, and insurance and real estate.

Job projections in accounting finance are expected to grow much quicker than the average for the next ten years. If you are good with numbers, critical thinking, and have an outgoing personality, you may want to consider a career in Accounting Finance.

A Stepping Stone towards Business finance with QuickBooks Tech Support Phone Number

In advanced modern days, business entrepreneurs are using advanced technical and featured software tools to keep their business world efficient, well versed business and profit gaining. The latest market trends is full of amazing techniques and advanced tools that help a lot in business growth and functioning almost all features of a corporate business world. QuickBooks as known accounting software is collection of secretarial beneficial software that deals business entrepreneurs the chance to attain all of their bookkeeping software requirements. Many of the featured functions and successive progressive options that are considered in this package are mystifying and exceedingly unprecedented for the entrepreneurs to work over and reform for their corporate that is why the turn to professional advices and recommendation. Defining which professional expert to exploit can actually be quite hard to consider.

QuickBooks software program is authorize training and counsel program to learn how to take advantage of extremely advanced functions and distinctive attribute of QuickBooks software. Business man should initially feel certain that any skilled professional considered is fully authorize by QuickBooks software. The known software companies have full extensive information about training programs that experts are able to take a part in to increase their skills and be esteem as a ProAdvisor upon completion. Most dedicated professionals promote this suggestions which is advantageous in being able to ensure their skills are corporative and fully effective as needed. Get whole ideas using help of QuickBooks Tech Support Phone Number for your purchased QuickBooks Accounting Bookkeeping software.

QuickBooks ProAdvisor program contains Information as follows-


This innovative feature provides online Bookkeeping to help your online customers. The features avails online bookkeeping professionals who can give instructions you to handle your customers live on web.


Authorized tutorials and training Programs offered to make awesome understanding about QuickBooks software features and characteristics of QuickBooks accounting software that you can become a QuickBooks professional expert.


Get online live support using chat messengers to provide solutions regarding   your queries and problem. This is the best way to get solutions of your entire queries and whenever you require. With QuickBooks Payroll Support Phone Number to get ideas about your QuickBooks accounting software.


The advantageous authorized your skills and provides a stage that is ProAdvisor site to get registered and spread your knowledge with QuickBooks Accounting software. This facility provide you to explore your experience about QuickBooks.

  • Organized Service delivered from the experienced should create innovative as well.
  • The kinds of features proposed from experts are mostly grounded on the need to ensure that any process of support being required later is preferably suitable for actual need of entrepreneurs.
  • Imitate or straight choices are the most collective and both can be pretty useful in making decisions efficient.

The complete package of QuickBooks technical software help should be concern if it suits the expenses. Recompense for skilled professionals supervision is really tough for business entrepreneurs to arrange on their limited fund. Cost effective professionals who provides sensational advice and solutions support their clients to manage their financial plan in efficient manner. However, QuickBooks Proadvisor Support Number for your any technical issues regarding QuickBooks software handling.

Duties and Responsibilities of Branch Manager in Bank

A bank branch manager is responsible for smooth working of a division of the banking institution, operating locally. Branch manager should be a proactive leader and planner with expertise in strategic business planning, market plan execution, staffing and targeted marketing with proven ability to achieve the pre-set sales & profitability targets. He should have the ability to support and sustain a positive work environment that fosters team performance with strong communication and relationship management skills. Their responsibility is to Head the local Office & coordinate with senior management including Head Office properly. Other responsibility may include managing a team of Sales Executives, Probationary Officers, Credit Analyst and other Office Staff. The branch manager majorly responsible for the profitability, achieving sales and revenue generation. Therefore he has to monitor monthly, quarterly & yearly business targets through required relationship management.

Some of the duties and responsibities of branch managers are as follows:-
• Setting a process which will drive the sales & business development of the branch.
• Developing & implementing plans for various alternate channels to improve the performance of the team.
• Effective co-ordination between sales team & clients to carry out all the activities in smooth manner.
• Analysing latest marketing trends and tracking competitors’ activities and providing valuable inputs for fine tuning sales & marketing strategies.

• Plan and carry out sales activities to achieve numbers and value targets of Banking and Financial Products
• Working as an effective Leader for fulfilling business objective and achieve assigned targets.
• Attending enquiries to utmost satisfaction of prospect to optimize sales chances.
• Strategize the business target and ensure a healthy relation between bank and customers.

Some of the quafication required for Branch Manager are as follows:-
• PG in Management with good experience in managerial position.
• Should have extra ordinary Leadership and Marketing skills
• Branch Managers should also possess strong interpersonal qualities and organisational abilities.
• Candidate should have very good knowledge of the Banking Industry & Financial Markets.

Branch Manager should be from Banking or Insurance sector, should posses good communication and team management. He should have experience in sales and credit management. Banks prefer managers with good computer knowledge and NCFM certification.

An Introduction to Internet Banking in South Africa

Benefits of Internet Banking Services

Internet banking services provide a safe environment with hardly any of the frustrations associated with visiting a physical bank, giving you the control to bank when it suits you best, no matter where in the country you may be. Internet banking means that there is no need to stress out about getting to a branch during working hours or standing in queues for ages, waiting to complete one simple bank transaction.

Internet banking in South Africa has greatly reduced paperwork, saving time and money. Instead of waiting for statements to arrive by post, you can access your transaction records at any time you wish. The ability to also print a copy of your bank statements can be used as proof of payment to a creditor. The ability to monitor your personal finance activities 24 hours a day also enables discrepancies to be picked up and dealt with swiftly. Internet banking services allow you to manage multiple accounts from one easy location and perform an array of banking activities from one convenient and secure portal.

Internet Banking Services

When you register for Internet banking, you will have access to a range of services and facilities:

  • Request statements – you will be able to access statements whenever you like, as well as choose the date range that you want to reflect back on.
  • Interaccount transfers – with a few simple clicks, you can transfer money between accounts, saving you the time and hassle of visiting your branch.
  • Pay bills – this Internet banking service has given you the freedom and convenience of paying electricity or water bills online.
  • Pay school fees – with Internet banking you are able to pay school or tuition fees with ease.
  • Apply for an overdraft facility ­– this also saves the time and hassle of visiting your branch.

Get your finances on track with these 3 skills

As we go through life, our financial responsibilities and priorities are bound to change. Whether you’re moving out on your own for the first time or planning your retirement, having the right information at these transition points can help you make smart financial decisions to reach your goals.

No matter your life stage or age, you can improve your financial skills, knowledge and confidence. Improving these three critical skills can help you take charge of your personal finances:

1. Brush up on your money and debt management skills.

If you’re like many Canadians, you do not have a household budget. This can affect your ability to pay bills on time, save for the future, and make spending decisions based on your needs and priorities. Budgeting and tracking your expenses is a sure way to remain in control of your financial life.

2. Plan and save for the future.

The federal government’s National Strategy on Financial Literacy — Count Me In, Canada explains that setting goals is a key part of a good financial plan. It’s important to know about the different savings products and the benefits you may be eligible for (the Canada Education Savings Plan, for example), so that you can plan for the future and save to achieve your goals.

3. Learn to recognize signs of fraud and financial abuse.

While fraud involves scams by strangers, financial abuse often involves relatives or acquaintances who employ subtle pressure tactics on their potential victims. To keep your money and identity safe, be aware of the warning signs and know where to go for help if you encounter abuse.

When thinking about how you can better manage your household budget there are several things to consider:

• How to make the most of your income so that you can pay your bills and meet other financial commitments;

• How to make a budget and track expenses;

• How to make wise spending decisions that suit your priorities and needs.

Planning and saving for the future include setting realistic short- or long-term financial goals, such as buying a home, financing your children’s education or your own retirement, and identifying paths to achieve these goals.

While financial planning can seem intimidating, you don’t have to go it alone –there are several events across the country that teach these crucial money management skills. To find an event in your area

Earn Rewards Points with SBI Internet Banking Loyalty Rewards Program

Take advantage of the Loyalty Rewards Program introduced by SBI for Internet Banking customers. This scheme is effective from November 26, 2009.

This scheme rewards existing as well as new retail internet banking customers of SBI by giving them reward points for transacting online. The rewards points can then be redeemed for cash.

According the the release from SBI, internet banking customers will automatically qualify for reward points if they carry on the following transactions of Rs. 100 or above via onlinesbi:

  • Bill payments, online shopping, merchant payments etc.
  • Government transactions pertaining to retail/individual customers falling under  Central/State taxes (OLTAS,CBEC etc), Cyber treasury.
  • Railways ticket booking through IRCTC.
  • RTGS/NEFT (retail internet banking transactions only)/Visa Money Transfer.

Based upon the number of transactions a customer will gain points and these points can be redeemed online for cash back. The cash from the redemption proceeds will be immediately credited to the customers transaction account upon opting for redemption, subject to the availability of a minimum of 400 points at the time of each redemption.

The value of each rewards point is Rs 0.25.

The best part of this scheme is that no registration is required for enjoying the benefits of this program. All internet banking customers doing online transactions will be automatically eligible for loyalty rewards.

The Loyalty Rewards Program will continue for 1 year and maybe extended at the discretion of the bank. You will have three months after the withdrawal of the scheme to redeem your points.

If you are a internet banking customer doing a lot of transactions, this is an excellent offer from SBI

What Documents Does An NRI Need To Submit When Applying For A Home Loan?

The home loan application process for an NRI home loan is slightly longer. For NRIs who wish to purchase their dream house in India, there are a number of financial institutions which offer affordable home loans. The benefit for an NRI who plans on applying for a home loan  is the fact that the exchange rate makes the repayment of the loan far more affordable. However, before the home loan application is approved, there is a list of documents that one is required to submit along with their loan application to the financial institution. It is crucial for one to provide all the relevant documents to ensure that their home loan application is approved.

•    Passport size photographs which need to be affixed along with the home loan application.

•    The applicant must also provide copies of the passport which includes the pages with the Visa stamping.

•    Financial institutions also require the NRIs to provide a copy of their employment contract in English as well as a copy of the valid work permit.

•    Copy of the latest salary certificate is required to be submitted for those who are employed and a copy of proof of income in the case o those who are self employed.

•    A copy of the identity card which has been issued by the company or the employer.

•    Proof of current residence must be provided. The NRI can provide a copy of their driving license or a utility bill.

•    A copy of the continuous discharge certificate for those individuals who are employed in the Merchant Navy.

•    There also be a brief write up of the employment profile for the last ten years.

•    There should also be a brief write up on the company or the institution where the individual has been employed.

•    Since the NRI will probably have an account in an overseas bank account they are required to submit a copy of their overseas bank statement as a proof of salary savings.

•    Power of attorney which is duly stamped and notarized and attested by the Indian embassy.

If an applicant has any confusion about the documents they are required to submit, they must simply contact the financial institution to clear their questions. A home loan can be extremely beneficial for an NRI not only to purchase a new house but also in cases where they need funds to purchase a new house or a house on resale, construct your own house, extend or renovate the house or even purchase a piece of land.

Some Mistakes to avoid While Taking a Home Loan

Taking a home loan can be an overwhelming experience for those who have always dreamt of having their own roof / shelter. There are many aspects that add to a successful home mortgage deal.  Where one always ensures that the mortgage deal taken is the best, many borrowers make mistakes which are irreversible.

The option of finding a lender is in the hands of the borrower and one must exercise this decision wisely. The market features many reputed companies functioning in this domain namely FHA Loan Boise that discloses everything that the deal contains. Still with newer companies entering this domain, it is important for a borrower to exercise caution against the below listed slippages. Let’s take a look:

  • Select a lender before selecting the property: It may sound weird to some but surprisingly this technique has always worked in the favor of ardent borrowers. Fixing a money lender is of prime importance to ensure that one should hunt for properties that fall within the assigned budget / loan sanction amount. An easier way to calculate the loan eligibility amount is that in case the borrower is less than 40 years, the sanction amount is calculated by multiplying his and the spouse’s yearly gross income by 4. This is estimated as the rough amount of loan which one is eligible to get. Additionally, one must refrain from falling in love with any property since loan eligibility can be an issue due to legal/document issues. Find out if any other lender has funded any other property in the same building and fix him.
  • Missing out on arrangement of down payment: As soon as everything is set and approved, down payment comes into the picture. If a borrower fails to arrange for down payment for a construction property, the lenders will hold back the first disbursement on the property.
  • Ignoring the aspect of Window-shopping – Yes, even loan can be window shopped. Many banksgive alluringbargains since property is a hot market. Sit back and make a list of most suitable four or five banks or financing institutions and try to negotiate as much as you can. Always keep in mind that the terms and conditions of any housing loan stands highly negotiable. There is a lot of scope to get rebates on the interest rates. Approach them after one’s studying the income and repayment profile. Borrowers can also save cost and money on other aspects like valuation fees, pre-payment charges, processing fees, legal fees, and other hidden costs.
  • Not understanding the difference between types of interest rates: Interest rate is the deciding factor as to what amount is going to be charged for this favor. It will save a lot of hassle in future along with some regrets.
  • Choosing between inheritance of home loan and the house: If one is taking a home loan a life insurance and critical illness policy can be a great combination. Life insurance will secure the home as well as home loan both in case of unforeseen contingencies.

4 step closure procedure for NJ Home Loans

If you are under the impression that just buying the best NJ home loans is enough for you then you are completely wrong dear friend. You also have to be very clear about the closure procedure of the home loans. Following are few essential details that you will have to keep in your mind while your home loan is getting closed.

The original documents that are submitted at the financing company needs to be taken back without fail. The original documents are the most important things which the company has to return you back once the entire loan amount is redeemed. Also check the documents in and out and see whether all pages are present and also are in proper condition as submitted.  Do check the documents and read it thoroughly in front of the official person so that he does not get an opportunity to escape out in case there is any mistake.

After the entire payment for the NJ home loans is done you will get getting a NOC from the financing company. Make sure that you do not forget to take it. This certificate will claim that the financing company is no longer obligated to the property and it completely belongs to you or the owner who so ever is entitled for the ownership. The NOC should contain all the required information correctly on it. thus make sure that you check whether they have mentioned things like home loan account number, owner’s name, address or the property, Date of commencement and closure of the home loan, loan amount etc.

An extremely essential thing that NJ home loans provider usually do for borrowers with low credit rate is to put a lien on the property. In case your property has any such lien, make sure that it gets removed at the time of closure. This lien can be removed from the registrar office and thus can make your house free from any official questions in the future.

After this step is done you next have to look out for an EC. This is a certificate is equally important as it will state that your house is now released from all the procedures of NJ home loans. In case the registrar does not provide you with this document contact the financing company. But make sure that you do not leave this document.

This 4 step closure procedure will help you enjoy living in a loan free home.

The Important Aspects Of Business Finance

Business finance is one of the most important aspects of running and maintaining a business. Finances dictate the success or failure of a business. If a business owner does not properly maintain their business finances then they will soon see problems arise. Business finance is something that every business owner must deal with and understand.

Part of business finance is setting up proper cash flow. A business owner needs to clearly define their accounts receivable and accounts payable. They need to maintain a steady and balanced cash flow at all times. This means they must never let your accounts payable exceed their accounts receivable in any given month.

A business owner must also carefully manage their debt. They should never let their debt get too high or out of control. They should maintain regular payment schedules to ensure they do not fall behind on repaying any debt.

Keeping clear and concise records is extremely important to keeping business finance under control. A business owner should either hire a professional or use some type of bookkeeping computer software to maintain accounting records.

It is important for a business owner to maintain a business budget, much like they would for their household. This will help them ensure they are keeping track of all the money coming in and going out of the business. This is a good method to avoid getting too much debt.
Proper record keeping can also help out should the business owner need to get a loan. Lenders prefer to have records to refer to when making a decision on a loan, especially for a business. Businesses are seen as risky because they can easily fail. Lenders like to see proof that they business is doing well or at least a forecast that shows significant proof the business will do well. This is what good record keeping does.

Business finance is something many people do not think too much about when starting a business. This is why so many businesses fail. When a business is just starting up lenders like to see a good business plan in place, including a financial plan. This shows the business owner is really understanding all that is involved with taking a business successful.

Every business owner should have their business finances in mind at all times. Money is the biggest indicator of success in business, so it makes sense for that to be one of the top priorities of a business owner. For proper business finance a business owner should maintain records for all of the money going in and coming out of the business. They should track all debts and money owed to the business, as well. By practicing good business finance, a business owner is going to be one step closer to ensuring their business succeeds.

Importance Of Business Finance

Business finance is solitary of the majority of the essence aspects of running and maintaining a concern . Finances dictate the victory or failure of a concern. If a concern holder does not appropriately keep their concern finances it follows that they will soon investigate problems occur. Business finance is something with the purpose of all concern holder be obliged to deal with and understand.
Part of concern finance is setting up proper cash stream. A concern holder needs to obviously describe their accounts receivable and accounts payable. They need to keep a steady and balanced cash stream next to all epoch. This resources they be obliged to not at all consent to your accounts payable exceed their accounts receivable in one agreed month.

A concern holder be obliged to and carefully cope their debt. They be supposed to not at all consent to their debt develop too high ranking or prohibited of control. They be supposed to keep regular payment schedules to ensure they get something done not fall behind on repaying one debt.

Keeping fair and concise records is exceedingly of the essence to keeping concern finance under control. A concern holder be supposed to either hire a proficient or manage a number of type of accounting workstation software to keep accounting records.

It is of the essence on behalf of a concern holder to keep a concern financial plan, much like they would on behalf of their household. This will help them ensure they are keeping track of all the money advent in and on offer prohibited of the concern. This is a nice method to steer clear of getting too much debt.

Proper make a recording keeping can and help prohibited be supposed to the concern holder need to develop a give somebody an advance of. Lenders have a preference to suffer records to refer to what time making a decision on a give somebody an advance of, especially on behalf of a concern. Businesses are seen as risky as they can without difficulty fail. Lenders like to investigate attestation with the purpose of they concern is burden well or next to slightest a forecast with the purpose of shows considerable attestation the concern will get something done well. This is come again? Nice make a recording keeping does.
Business finance is something many group perform not think too much something like after first a establishment. This is why so many businesses fail. When a establishment is absolutely first up lenders like to ensure a skilled establishment map in place, as well as a monetary map. This shows the establishment possessor is really understanding all to is involved with taking a establishment winning.

Every establishment possessor ought to take their establishment finances in mind on all period. Money is the biggest indicator of star in establishment, so it makes get the impression instead of to be individual of the top priorities of a establishment possessor. For proper establishment finance a establishment possessor ought to assert records instead of all of the money obtainable in and imminent outmoded of the establishment. They ought to track all sum unpaid and money payable to the establishment, as well. By practicing skilled establishment finance, a establishment possessor is obtainable to be individual step closer to ensuring their establishment succeeds.

BPI internet banking

BPI internet banking, also calledB PIExpressonline is supplied by BPI, of the Bank of Philippines Islands, features an abundant heritage and tradition of banking which can be reflected in the level of awards it has received by several monetary summits and conferences, and also the rewards it has acquired from its critics as well as from the press.

All in all, the principal purpose and statement of BPI should be to serve its consumers and from the belief that the users should have the best and utmost quality of service that they deserve. In such an age of increasing high-priced consumerism, it becomes a seriously tedious undertaking to keep up with the requirements of contemporary lifestyle. In addition, increasing member base plus the rising competitiveness from other banking establishments creates the stress.

Having said that, BPI has stood the test of time, considering that it has been existing for several years and endured almost everything, ranking it among the top banks of Philippines. Each person have their very own dreams and BPI strives hard to address the needs and wants of their customers by providing them a better high quality of everyday life. BPI has launched its internet banking service to cater to different persons who do not want to line up at the banks all the time.

Also, time is usually saved given that online banking can be performed even though a person is located in the office, in the school or even wherever. The time saved could therefore be used for other more productive aspects of life. The primary advantages of BPI’s on the web banking service is the fact that that you could access your account from anywhere, be it your house, office, coffee shop or the playground. All you need is a device which connects to your internet. Also, there is no time constraint, compared to financial institution branches which open and close at fixed times of the day.

On-Line banking may be accessed 24 several hours each day, seven nights a week. In case your hectic routine leaves you with no time to pay for your bills, you can constantly use your BPI internet banking service. The recurring bills will even be paid back automatically should you create some direct debit arrangement. For example, when you must pay your electric bill on the fifth of each and every month. All you must do is create an automatic debit arrangement from the service provider and you might be able to roam around without any hassle and with no extra cost.

When you would like to transfer cash from one savings account to another one, it is possible to do so given the internet banking system of BPI. Also, you can examine the account details and transaction background every time you would like to, and from any period of time you wish to.

Creative Owner Financing

It can seem awkward, when you ask a seller for owner financing when buying a home. The seller can offer owner financing when they carry a portion or even the entire purchase price, minus the down payment of a buyer. This is a time tested methods of owner financing and works very well in various markets. For instance, there are many individuals who wish to sell their property and at higher rates than is the market value. Many of these sellers want to stay ahead of their competition, concerning other homes in the area. While still many of them reach for a constant flow of cash from their property, long after they have sold the property.

Owner financing carries numerous benefits. Property can be sold by the owner whether the market is good or bad. Despite increasing foreclosures, and new home construction, there is a leading edge in the marketplace competition. This influences the consumers, since owner financing will draw more prospective buyers. Creative owner financing can lesson the headache of price negations, while the seller can experience a constant money flow, long after selling their property, which is on of the basic advantages of creative owner financing. When you consider owner financing in the real estate market, you make the transition from an owner to an investor. Creative owner financing can easily offer you this competitive advantage. Another essential benefit is that it offers you a constant cash flow after the transaction. This strategy is time tested and permits you to make cash from the property you sell and when continues on from such transactions, even after selling your property.

A buyer can settle their own terms with owner financing, these terms may include terms of payment and interest rates. All parties involved in a transaction involving creative owner financing, find it beneficial. This type of transaction gives continuous cash flow to both the buyer and the seller. In the world of real estate, owner financing allows the buyer to pay the owner of the property directly, rather than going through a bank. Creative financing, gives the seller the high interest on monthly payments on the property, while getting a very high price for your property. A good owner financing strategy, helps by these means. For many consumers, this method of creative owner financing is ideal.

However, one disadvantage of creative owner financing is that the taxes, the water bill and other such payments, are still payable by the seller. Which, means the government can seize the property, while the buyer does still have to pay any overdue costs or bills. The buyer may be able to get the property back, however, he or she will have to pay the bills. These are but a few of the features of creative owner financing, however, they are immaterial compared with these features. Creative owner financing is unique, and an older solution in looking at these modern problems, even with mentioning all the advantages and disadvantages.

Fulfill Your Dream of Owning a Home with the Home Loan

Staying in own home is a fantasy of everybody. Individuals see longs for owning home at their own particular decision, yet everyone doesn’t ready to manage the cost of that. These days in the nation like India, cash is not an obstruction of the fantasy of owning a home. Since all the legislature and on-government banks in India offer Home loan. These loans are extraordinarily given to that individual who needs to develop their own particular home or buy a home.

Indian banks offer home loan under diverse classifications, these incorporate:-

Home Purchase Loans – This sort of fundamental loan are being accommodated acquiring another home.

Home Construction Loan: Banks gives this sort of loan to development of home.

Home Extension Loan: One can get the loan for growing or broadening his current home.

Home Improvement Loans: People can profit these loans on the off chance that they have the prerequisite for actualizing repair works and redesigns of their current home.

Bridge Loans: This loan is the best loan for that individual who needs to offer his current home and wish to buy another home. Banks individuals by giving this loan to back the new home.

Parity Transfer Loans: This sort of loan is given to pay off a current New Zealand home loan and benefit the choice of a loan with a lower rate of hobby.

Home Conversion Loan: Banks give this sort of loan to that individual who has as of now bought home by taking home loan and afterward needs to proceed onward to another home and for that he requires some additional cash. Under this classification of loan the current loan is being exchanged to the new home and the additional sum is to be incorporated.

Area Purchase Loans: One can benefit these loans for obtaining area. The bank will give the loan without checking whether the borrower taking the loan for development his home or utilizing it for some different purposes.

Renegotiate Loans: That who have taken loans from their companions or in respect to buy their homes, this sort of loan helps them considerable measures to reimburse that obligation add up to them.

Stamp Duty Loans: To buy a property, stamp obligation is fundamental. This sort of loan people groups to pay for the stamp obligation.

In India, banks give home loans against altered and gliding rate of premium. Under the settled rate home loans the financing cost stays altered for the entire time of the loan. By taking loan under this classification the borrower will get the office of getting a settled financing cost. Be that as it may, for this situation they need to pay a higher rate of hobby. Then again, under the drifting rate loans the rate of interest vacillates in like manner. The borrower will get the office of getting a low loan fee. Be that as it may, the financing cost can rise whenever and the borrower needs to pay a much higher loan cost than the settled rate of these loans. The reimbursement of nz home loans is to be given through Equated Monthly Installment (EMI). The home loan EMI relies on upon the sum and the reimbursement period one takes.

In this time of innovation, one can apply for the home loan Online. By applying online one gets help from the heaps of bother like going to the banks, looking for the best home loan arrangement, do the tremendous conventions and satisfy the long paper works. By profiting these loans online one simply needs to sit on an Internet empowered PC, make a quest for the best home loan bargain and in the wake of picking one simply needs to fill a structure, that is it. By doing some basic techniques you dream can work out.

Essential factors for selecting the UK Immigration consultants

You might have encountered questions as to how and what needs to be done in a scenario when your Visa application is on brink of near rejection. Most of applicants become paralysed simply on the idea that their Visa application has been summarily rejected, let alone the very thought of selecting the UK based Immigration consultant. And those applicants who even reach to the levels wherein they start thinking of hiring a professional Immigration law firm, their decision is arrested due to several vague thoughts. Often, such individuals get themselves strangled into train of circumlocution. On the flip side, such applicants should look seriously and give a thought on hiring services of professional Immigration consultant.  But, even here there is a stop point. How should the applicant be assured of his or her choice? Here are few parameters that must be kept in your mind while hiring the services of Immigration consultant:

• Licenced and certified from OISC
• The practise should be focussed on Immigration and Asylum Law
• The Immigration consultant should have good understanding on your Immigration case, in particular
• The Immigration lawyer should talk to you not like a professional, but like a friend
• He should emphasise on providing personalised guidance, besides other factors
• The professional lawyer should not hesitate in divulging a precisely clear and honest estimate of total fee
• The consultant should be affordable and comes within your budget
• The conduct of consultant should not be unethical, deceitful or for that matter farfetched

Role of the Immigration consultant

Immigration consultant has a different role to play than what is usually played by any other consultant, say for example the educational consultant or the business consultant or the financial consultant. As it is clearly suggestive, Immigration consultant will always concentrate on providing on legalised help to prospective applicants who are just planning for Immigration, but require guidance to move ahead successfully through the entire Immigration process.

The role of immigration consultant, speaking in general, follows closely with that of legal adviser or counsellor to foreign citizens and immigrants who need to interact with Immigration authorities.  The consultants play major role in providing professional advice and get quick, enterprising guidance on valuable points like Visa Applications, Green cards, Citizenship and Naturalization, Deportation issues, and working out methodologies to create employment for non-citizens.

In plain terms, the Immigration consultant is engrossed in offering advice to prospective group of applicants, who have interest or have already made the application before Visa office.The consultants are Immigration lawyers, who at times, make appearances in front of Immigration judge or jury, in a scenario where the applicant is facing Immigration hearing. In several cases, the Immigration lawyers also present the testimony between Immigration and criminal laws.

Reasons for hiring professional Immigration consultant

Many applicants need services of professional Immigration consultants for various needs. Here are few important needs that you should concentrate upon:

•Assistance for submitting Visa application before the designate authority, in this case, it is the Visa office
•Help in making the applicant understand importance and sensitivity of Immigration law
•Work on the complex frontiers where the Immigration and Criminal law come closely together
•If the Immigration applicant has initiated the Visa application process, but is confused as to how he or she should proceed further on it, the Immigration consult would help
•If the applicant wants to set up his or her extended business in foreign country
Do not delay your decision on hiring the services of Immigration consultant. Keep the above points in your mind when making the selection of Immigration consultant, and you will feel sheer confidence when applying for a particular Visa.

Tally ERP 9.0 training for B.Com (Hons) students at Galgotias

Keeping in with the tradition of providing the best possible learning choices to the students, the School of Finance & Commerce at Galgotias University, Greater NOIDA recently organized a three-day workshop on ‘Tally ERP 9.0’ for the benefit of its B.Com. (Hons) students. It is worth-mention that the Tally ERP 9.0 is the latest software being widely used for all accounting and control purposes.

This workshop was specially designed and conducted by Prof. (Dr.) Hemchand Jain, Associate Professor, Deen Dayal Upadhyaya College, Delhi University. The workshp content design specially focussed on catering to needs of first year and second year students of B.Com. (Hons.).

Talking about the software Tally ERP 9.0, Prof. Jain explained to the students that it was a popular choice across the business and industry. He said, it has become almost synonymous with accounting. It optimizes an organization’s various operations and divisions, streamlines every aspect, and brings together its functioning into a cohesive whole. Tally is extensively used in not only in financial accounting but also in payroll management, inventory management, management accounting, credit management, and, reporting.

Prof Jain exclaimed that theoretical knowledge and hands-on working on this software, ‘Tally ERP 9.0’, doesn’t only build upon the profile of students but also makes them job-ready thus increasing their employability factor.
The workshop turned out to be a great success as not only the participating students, but even other students of the School of Finance & Commerce were excited to learn it better.
About Galgotias University, Greater Noida – Seeds of the Galgotias University were sown by Smt. Shankutla Educational & Welfare Society in the year 1999 when it founded Galgotias Institute of Management & Technology (GIMT). The next year, in year 2000, the society established Galgotias College of Engineering and Technology (GCET).

Another institute named as Galgotias Business School (GBS) started in the year 2007. Then, in the year 2011, a statute passed in the Legislative Assembly of Uttar Pradesh founded the Galgotias University.

The core strength of the University lies in its in-depth curricula for various courses, internationally successful pedagogies, world class faculty and excellent learning environment. This is why the students and their parents have reposed their faith in Galgotias University.

Apart from the flagship courses offered at above-mentioned constituent institutions,  Galgotias University now offers a wide spectrum of courses in different disciplines including Law, Computer & Information Sciences, Journalism & Mass Communication, Arts & Social Science, Finance & Commerce and Hospitality & Tourism etc.

Benefits of Credit Risk Management Software

Finding timely and comprehensive information relating to credit exposure and financial liquidity is now an increasing demand in the current business environment today. Having reliable credit risk management software is a great advantage especially with strict regulatory mandates for additional accountability and audit ability. It is also a necessity to have financial risk management software and financial risk management systems to back it up. Companies regardless of size need an accurate insight and better control around credit exposure that will give them a place or much better edge in this unstable market. Organization with the ability to ensure a comprehensive management and well positioned financial ratings will retain its current shareholders.

Protecting your financial stability and avoiding up to minute perspective credit exposure and even liquefaction of your credit is a main goal of any credit risk management system. It provides a systematic software or tool to ensure a more stable credit management program. If your credit risk system have an added accountability, internal control and audibility to comply with increasing regulatory disclosure requirements these are good trades as well. Financial risk management is a crucial part of having effective financial risk management systems. These proactively measures and manages finds business software solutions and also reduce the risk in decrease in profit that might lessen the shareholders confidence. This proves that you have a good risk management software tools in your credit management program.

Here are more benefits of good credit risk management software:

It improves your favourable financial ratings and boost shareholder confidence that enhance business intelligence to make best provable decisions.

It utilizes best practice methods of reducing the credit risk exposure that improves internal and external transparency.

It provides a more integrated solution for credit risk management that features its benefits to any organization

Credit risk management is essential. Its objective can vary on different things but its main objective is to control factors to lead the risk to be successful or to materialize. It is also a way to have control in our financial stability. This system allows us to have a full support on business transparency and tight regulatory compliance especially in time of global financial market crisis. Since global financial market is slowing down or might come to a point of virtual standstill financial risk management software that monitors and evaluates market and credit risk of financial institutions is a must. It automates portfolio management and increase efficiency and revenue optimization. Using an internal and well developed financial risk management system will monitor the market risk and economic capital. This will allow an awareness and knowledge of how to handle or find business software solutions more suitable to manage your credit risk system and even protect your financial stability. Its based component can be easily integrated using your risk management software tools.

So if you want to retain or to have stability to your company’s financial and market organization, better search for a suitable credit risk management software and take full advantage of its benefits through credit risk management system.

Remove Midland Credit Management From Your Credit Report

Midland Credit Management is a collection agency and they collect on telecom accounts, credit cards, and other unsecured debts. They are a subsidiary of Encore Capital Group.

Midland Credit Management is located in San Diego, Phoenix, and Minnesota. Their parent company Encore Capital Group is traded on the NASDAQ.

They purchase debt from creditors and other collection agencies. They claim to work with the customer to set up re-payment plans or lump sum settlements.

However they have a reputation of actively using arbitration. This means they frequently will file a court claim in hopes of getting a civil judgment against you.

If you can avoid a judgment I strongly encourage you to. If you have a negative listing from Midland I would dispute this listing directly with the credit bureaus.

To dispute this mark you can do it yourself or hire a credit repair company. If you do it yourself you will have to craft a sample dispute letter.

In this letter you simply give the specifics about the negative mark and the reason that it is incorrect. Then you place this letter in the mail.

If you only have one or two negative marks that you need to have removed then you should dispute these marks yourself. However if you have multiple marks then you should consider a professional firm to dispute them on your behalf.
A credit repair company will track and monitor you disputes and stay on top of the credit bureaus and their stall tactics. This company will also draft a “valid” dispute letter to start the investigation.

It is frequent for credit bureaus to respond to a dispute letter by asking for more information about the dispute. The bureaus do this in an attempt to frustrate the individual into giving up on the process.

The bureaus want you to give up on the process because otherwise it will cost them to investigate a dispute. This money would otherwise be profit for the credit bureaus.

The credit repair companies frequently get the bureaus to hold an investigation faster than an individual can. This is probably due to the companies having credit attorneys that are well versed in credit laws, and the bureaus being fearful of being sued. The bureaus must be compliant with the Fair Credit Reporting Act.

This act makes bureaus legally responsible to investigate a disputed mark and delete that mark if it is inaccurate or unverifiable.

In sum, the law is on your side and you have every right to dispute the accuracy of any mark on your credit report. You do not have to keep paying the high cost of bad credit.

Difficult Church Loan and Business Finance Solutions

Church loans often suffer from several problems, and as a result specialized business finance strategies are required. Typical church financing will involve multiple difficulties.

Church loans are probably the most difficult form of commercial financing to successfully close. Churches are an integral part of local communities, so it is necessary to improve church financing solutions. In almost all cases financing will require a very specialized commercial real estate loan that is typically not widely available.

Churches are not typical commercial enterprises but they do have substantial business financing requirements. This article will offer an overview of four key church loan financing difficulties and a listing of six practical church financing strategies.

Four Major Church Financing and Business Finance Difficulties –

Before addressing possible solutions for the most common church loan needs, it is important to discuss the typical barriers to obtaining appropriate financing. Historically church financing has been difficult to arrange for several reasons:

(1) Church Loan Obstacle Number One: Church properties are unique. Lenders are therefore concerned that if commercial loan payments are not made in a timely manner and the lender is required to assume ownership of the property, it will be very difficult to find a new owner because of the unique property features.

(2) Church Financing Difficulty Number Two: Commercial lenders usually require individual guarantors for church financing, and this is inappropriate for a church loan. The financial structure of churches simply does not lend itself to a traditional lender/guarantor approach. Many commercial lenders are not comfortable with the potential lack of individual guarantors because of the difficulty of reselling the church property if negative financial circumstances occur in the future.

It is unfortunately very common for church financing to have been secured only after church members have authorized an individual guarantee for church financing. The need for individual guarantors acts as a serious barrier first because church members might be unwilling to do so and second because there might not be individuals who have enough financial resources to provide an individual guarantee for larger church financing needs.

(3) Church Financing Difficulty Number Three: When church financing is obtained, there are frequently unacceptable business finance terms such as very small loans, low loan-to-value (LTV) of 50% to 60%, short-term loans and high interest rates. These onerous terms are tantamount to the church loan being declined, and if the terms are accepted, the church is likely to experience continuing financial difficulties due to unrealistic commercial mortgage requirements.

(4) Church Financing Difficulty Number Four: Construction, renovation and land acquisition are even more difficult for churches to finance than purchases or refinancing. As a result, needed repairs are often postponed indefinitely and new churches frequently take many years to become a reality.
Six Practical Church Loan and Commercial Mortgage Solutions –

There are common-sense financing solutions for the church loan issues described above. Here is an overview of church financing that is now available from some non-traditional lenders:

(1) Church Loan Financing Approach Number One: Non-Recourse Loans (instead of guarantors). As noted above, the willingness to forego traditional guarantors does require a non-traditional lender. With this church financing approach, church lending will not depend on individual guarantors.

(2) Church Loan Solution Number Two: Long-term business loans. Church financing will be much more successful when it is long-term instead of short-term (payments will be reduced dramatically).

(3) Church Loan Solution Number Three: Low interest rates (usually a maximum of prime plus 1-2%). In reality many churches have been taken advantage of and charged excessive interest rates because lenders perceived that they did not have any other realistic options.

With payments limited to prime plus 1-2% or less, church financing payments will be noticeably reduced. In combination with longer-term loans, the overall payment reduction will make a significant contribution to church cash flow improvements.

(4) Church Loan Solution Number Four: Church loan financing minimum of $500,000. This allows churches to complete most financing in one step rather than piecemeal over a period of years.

(5) Church Loan Solution Number Five: Higher LTV (75%-90% is possible). This results in a more workable amount of 10% to 25% (rather than 40% to 50% with traditional church financing) for the down payment or non-financed portion in refinancing.

(6) Church Loan Solution Number Six: Church financing can now include new construction, renovation, land acquisition, purchase and refinancing. Due to flexible church loan financing, it is not necessary for any of these important church loan activities to be postponed.

Collectively the six church financing solutions described above should benefit a large number of churches by allowing refinancing with much better financial terms and by facilitating the construction of new churches on an accelerated timetable. The six church loan financing approaches should result in financial covenants that will contribute to the long-term financial profile of prudent churches which adhere to the church financing approaches suggested.

Regardless of the practical business finance and commercial mortgage strategies that have been described above, it is appropriate to emphasize that arranging appropriate church financing will almost always be difficult. Due to the specialized nature of a church loan, unavoidable complications with the commercial real estate financing should be anticipated. As a result, prudent church borrowers should attempt to acquire a better understanding of these complex business loan issues.

Earn Rewards Points with SBI Internet Banking Loyalty Rewards Program

Take advantage of the Loyalty Rewards Program introduced by SBI for Internet Banking customers. This scheme is effective from November 26, 2009.

This scheme rewards existing as well as new retail internet banking customers of SBI by giving them reward points for transacting online. The rewards points can then be redeemed for cash.

According the the release from SBI, internet banking customers will automatically qualify for reward points if they carry on the following transactions of Rs. 100 or above via onlinesbi:

  • Bill payments, online shopping, merchant payments etc.
  • Government transactions pertaining to retail/individual customers falling under  Central/State taxes (OLTAS,CBEC etc), Cyber treasury.
  • Railways ticket booking through IRCTC.
  • RTGS/NEFT (retail internet banking transactions only)/Visa Money Transfer.

Based upon the number of transactions a customer will gain points and these points can be redeemed online for cash back. The cash from the redemption proceeds will be immediately credited to the customers transaction account upon opting for redemption, subject to the availability of a minimum of 400 points at the time of each redemption.

The value of each rewards point is Rs 0.25.

The best part of this scheme is that no registration is required for enjoying the benefits of this program. All internet banking customers doing online transactions will be automatically eligible for loyalty rewards.

The Loyalty Rewards Program will continue for 1 year and maybe extended at the discretion of the bank. You will have three months after the withdrawal of the scheme to redeem your points.

If you are a internet banking customer doing a lot of transactions, this is an excellent offer from SBI. Find more details of the Loyalty Rewards Program here.

What Are The Advantages And Disadvantages With Internet Banking

In simple terms Internet Banking means banking activity carried on between the clients and the banks online. Thus it is also known as online banking. This way of banking helps to insure you have a speedy and personal process of banking activities. This gives you the luxury of using banking services from your house, or even when you are traveling far away from your home.
Some banks provide you with a user name and password to enable you to log in and access your account. While others may allow you to set this information up yourself. You can leave instructions online for any transaction. These days, all important banks have this kind of online banking system. Despite its popularity this banking system is hazardous since there are security issues which can be disastrous to incautious people. If you do not log out or using the bank account in an insecure connection, someone can access your account and misuse it. As a precautionary measure you should keep on changing the password, as often as possible.

Though you have heard about this online banking system, you may be wary to use. You might have availed an online loan, but as far as committing money, you still feel comfortable to do it the way your grandfathers banked. Though this kind of banking is not going to bring a revolution in your monetary habits, it has obviated the time consuming processes of traditional ways so that you are able to handle financial issues efficiently.

By offering fully secured, functional systems, free of cost, banks are attracting people to use this mode of banking. Just not all are ready to give up the tellers window in the banks, or forget about the smiling bank manager. The virtual banks which exist only on the internet, can extend a great amount of services.

In fact the money saved on overhead costs is passed by some online banks as higher interest yields to your account, or lowering fees for services. Though these virtual banks can equal the traditional bankers in every respect, as far as ATMs are concerned they are at a disadvantage. Let us look at some advantages and disadvantages in this Banking.The advantages include: convenience, available twenty four hours a day seven days a week, three hundred and sixty five days of the year. Even if you are away, and facing a fiscal problem, you can get it redressed through the internet from any part of the world. There is speed in doing online transactions, every branch works efficiently online, and is usually very effective. Some online banking services include, stock trading, quotes and rates alerting, portfolio management, and so on.

The disadvantages may include start up difficulties, because banks insists on signing forms, providing identity proof, and a power of attorney, in case you want your spouse to look into your account. At times navigating on these sites is difficult. The major disadvantage, is in trusting online banking, as you wonder whether the transaction has gone through, whether you have pushed the button once or twice. In order to eliminate these concerns, a print out of your application can be done and you can mail it in. Especially if internet security is also a concern you may have.

Internet Banking is here to stay, along with many other great online features we now have at our disposal.

The pros and cons of using internet banking services

Internet banking has been one of the most popular services of banking that is used by customers all over the world. Most individuals do not have the time to constantly visit the bank for various purposes. Internet banking services have simplified the process providing easier access for the customer.

The advantages of using internet banking services in India are:

1.      Simple setup

The website is set up in an easy to understand manner for the customer. The website is designed to ensure that the customer can use it with ease and not require any assistance from the bank. One of the goals of setting up a banking website is to allow customers to get their bank work done in a matter of seconds from anywhere in the world.

2.      Ease of paying bills

One of the biggest advantages of internet banking services in India is the option that allows customers to pay their bills online. Most individuals do not have the time to pay their bills as they are working. In this fast paced world the option of being able to pay one’s bills with a simple click of a button is convenient for the customer and also ensures that the bills are paid on time. Some banks also allow the customer to activate automated recurring payments where in the bills are paid directly.

3.      Compatible with mobiles

All internet banking services are compatible with an individual’s mobile phone. This has not only made the entire banking process convenient but allows one to access their bank services from anywhere in the world.

4.      24 hour services

Another benefit that internet banking services provide is 24 hours service. One can access any type of banking services at any time. This allows one to also pay their bills at any point of time without incurring any problems.

The disadvantages of using internet banking services in India are:

1.      Security

One of the biggest concerns of using internet banking services in India is the risk of security. The number of cybercrimes has been on the rise in the past couple of years. Hence it is extremely important for individuals to ensure that they do not disclose any of their banking details online on unsecured websites.

2.      Transaction issues

There are some occasions where it is important for a customer to meet a banking representative face to face. Some complex transactions may confuse an individual and cause problems. In such cases, the bank is not able to provide the individual with the required information and advice. This is a concern that is constantly faced by banks.

Overall internet banking services in India has become revolutionary service for its customers. The ease of use and the promise of 24 hour services is a big advantage which customers have readily made the most of.

The Advantages of Internet Banking In Comparison To Walking Into the Bank

The World Wide Web has virtually permeated every single aspect of modern life in less than one tenth of the time. If you have internet connection, an almost limitless amount of goods, services and entertaining choices are at your finger-tips with the most ease of access. Nearly anything can be done online, including all your banking and transactions. But the question is this wise? Just how comfortable are you feeling about conducting your businesses banking in cyberspace? Online banking has both advantages and disadvantages, but let’s give our attention to the good aspects of online banking as it is more widely beneficial than it is a problem to society. Here they are namely:

  • It is typically secure. But make sure that the website you are using has a valid security certificate. This lets you know that the site is protected from cyber-thieves looking to steal your personal and financial information.
  • You have twenty-four-hour access. When your district bank closes, you can still access your account and make dealings online. It is a very suitable alternative for those that cannot get to the bank during normal hours because of their work schedule, health or any other reason.
  • You can access your account from almost anywhere. If you are on a business trip or vacationing away from home, you can still keep alert on your money and financial transactions – irrespective of your location.
  • Directing business online is generally faster than going to the bank. Long teller lines can be time-consuming, especially on a Pay Day. But online, there are no lines to compete with. You can access your account instantly and at your leisure.
  • Many features and services are typically available online. For example, with just a few clicks you can apply for loans, check the progress of your investments, review interest rates and gather other important information that may be spread out over several different brochures in the local bank.

The need for simple online banking is such a huge thing in the world of business due to the fact that generally business transactions can be rather frustrating if made difficult to comprehend and as such Easydebit has changed the face of managing your money, efficiently. The business is stream-lining your business’ transactions through their secure online portal. Easydebit offers you the freedom to capture, manage and submit financial and non-financial transactions to all major banks in South Africa. This has only been beneficial to so many South Africans, and Easydebit have lived up to their reputation, consistently.

Hire Best Agents Of Your Area To Get Good Deal Of Your Property

Arranging is vital before an individual executes his or her sought activity. This announcement sees a great deal of quality in each life area; whether, you are collecting your funds to assemble a home or you are considering purchasing anything new. In both these circumstances, it is redundant that you may have a flat out the sum in your pool.

In today’s chance, people have expanded costs; the main noticeable arrangement is a home loan. For example, on the off chance that you have discovered an attractive property for yourself, then the right way is to join forces with a capable home loan specialist. These days, you will locate an unfathomable number of home loan operators in your city. What makes a difference the most is the determination of the person who will be seen sitting at the end table on time with the best financing cost, credit terms, and expenses guaranteed to you. A home loan is a credit to fund the buy of your property. Additionally, it is undoubted that it will be the biggest obligation you will ever tackle. You can say that it is a critical choice to choose the best representative who offers a palette, brimming with wholesome choices.

For the general population living in Vancouver or its adjacent territories, there are different distinct options for discovering best class contract operators. Those will furnish you with the exhortation that goes past just discovering you the best home loan rates. Their procedure separates them from banks and credit unions. With a mission to have any kind effect in their customers’ life, they take a stab at incredibleness and a proactive methodology.

These home loan specialists trail an orderly approach. Sometime recently, they chalk out an arrangement; they trust in meeting with their customer. An unmistakable comprehension of customer’s spending proportions, cost proportions, stipends, Financials, and so on offers them some assistance with tracking down a pathway. Amid this technique, they ask every conceivable point of interest which may get the best home loan rate for their customer. A complete money related examination directed and in light of that a proposal report produced. An examiner on board, terms of transactions can be appropriately interested as they attempt their best to get you the best mortgage rate, Vancouver. When all said done, a home loan is a long haul procedure, and recharging projects might be consolidated in such a way, to the point that you don’t confront any hassling circumstance later. Likewise, banks just work on your financing costs, yet these home loan specialists have faith in a win-win circumstance. Sometime recently, you consent to any property arrangement; hold hands with home loan operators to get the best arrangement.

Financial Adviser Client Referral Program for Business

With complex cases and clients that look to get their issues addressed by a single professional, there often arises a need for specialist intervention. Issues like pension planning and equity release need to be handled by verified and competent professionals who have an in-depth knowledge and intricacies of the subject. When such cases are passed to external professionals, it is essentially referral to an unverified resource which may hamper quality, as well as resulting in financial loss for advisers, which research platform FBA, pegs at GBP 100,000.

FBA conducted research on such referrals. It was found, that almost 251 UK-based financial advisers and wealth managers pass their referrals to external professionals. The main reason for this was a general lack of knowledge on how such referrals could be leveraged to earn more, as well as the absence of a database of quality specialists.

Referral systems have been used since decades to pass on work that cannot be handled by financial advisers beyond a point. The ad hoc nature of this referral activity however, makes the entire sector unregulated.

Considering such a scenario in broader terms, there appears to be a huge gap that prevents financial advisers from tapping into this attractive resource, thereby increasing their revenue and dipping into a verified talent pool that can be utilized to its potential.

The Financial Advice Client Referral Program runs on the premise of an open market portal which has like-minded, highly qualified professionals who can bid for opportunities to service client cases, given to them by financial advisers. Having a portal such as this, not just answers most of the shortcomings of this unregulated sector, but also acts as a regulated online platform for quality, verified leads

The outcome of such a client referral program for businesses, are twofold. Financial advisers in the UK can use this verified system of lead generation to provide their clients with quality referrals, while expanding their client base and earn money doing it.

FBA has few options for referral management, and these include;

  • Commission based referrals – Commissions for client work that has been referred to an external professional advisor
  • Advisor Markets – Access to a knowledge bank of qualified advisers and portals of open market systems
  • Specialist referral portals – Ability to upload case details on a specialist portal that invites registered external advisers to bid for leads.

These Financial Advisor Client Referral programs ensure that quality leads and referrals are passed on, which can benefit both the advisers and wealth managers.


Regarding personal financial advisor (F.A):A personal financial advisor is entrusted with the job of evaluating the presentation of companies or that of a portfolio of securities and providing expensive leadership to persons regarding the appropriateness of investments. Advices to individuals, corporate organizations and governments Financial Advisors have access to a full range of wealth building, managing and preserving services throughout the Firm, including mutual funds, stocks, bonds, credit & lending, insurance, estate planning and many other services that they will offer to their client base and the investing public

In additional view: a financial advisor is responsible for asset management and financial planning. He combines personal skills with all the resources for the purpose of serving clients recognize their financial objectives. Financial Advisors are provided wide-ranging training to help them construct their own business, which includes attracting and servicing dealings with their clients. Also a Financial Advisors are accountable for assessing a client’s situation and purposes,

The main function of the financial advisor is to help the concerned parties to keep a high-quality set of scales of investment earnings, assets and a satisfactory hazard level. a lot times, the financial advisory services are required when the client wants advise concerning financial reserves such as stocks, bonds, mutual funds and other investment strategies.

Financial Advisor Career outline: Financial advisor (FA) and financial consultant (FC) are current titles for stockbroker, broker, account executive or registered representative. usually, the job has involved trade securities on behalf of clients.

Financial advisors really should be investment advisers and financial planners who take a holistic view of their clients’ financial needs and goals. Other variations in title, such as wealth management advisor, also are used, sometimes to denote a financial advisor who has additional training, certifications and experience.

Some financial advisors specialize in serving personal clients and others concentrate on business clients. Some securities firms prefer that financial advisors specialize in this fashion, others go away it up to the personal advisors to choose at all combine of clients they favor. Business clients who need particular advice and services, a financial advisors with in depth understanding in these areas

Education: A bachelor’s degree is predictable for a financial advisor. An assignment in finance, accounting and/or economics is helpful, though not required. Strapping quantitative and logical skills are very important.

Certification: Becoming a financial advisor requires passing the Series 7 exam .but In some firms, for confident more higher financial advisor positions, and in some states, one or additional supplementary qualifications may be necessary.

Earnings: of the well-paid personal professions is that of a financial advisor. A freelance financial advisor can fairly earn in surplus of $150,000 a year, and smooth for those who work for hard, $100,000 a year in salary and benefits is not odd.

The following write-up examines the responsibilities and the duties of a financial advisor.

Responsibilities and Duties of a Financial Advisor: A financial advisors direction client on investment opportunities, consonant with the latter’s needs, objectives and acceptance for risk. The job requires keeping alongside each other of the financial markets, frequently monitoring the exact savings in clients’ portfolios, and being on top of new asset strategies and investment.

A financial advisor must be a good investigator and know the investment markets fine. Those resources simply stocks, bonds, and securities, but all of the financial markets in which people may invest including real estate. In order to know everything he needs to know, a financial advisor must always follow the business section of the newspaper in the areas in which his services are required.

He needs to observe the portfolios of his clients so that he can give advice on any change in a market, particularly in the securities and substitute investments markets. Financial advisors must be secure about decision-making under indecision and under extreme time force, have exceptional people and communication skills, and know how to deal with crash and with dissatisfied clients. Success is highly needy on sales ability, both in the achievement of new clients and in the headfirst of investment ideas to existing clients Even if his current client list does not include some of the potential markets, he must keep informed so that he will be familiar if a client should advance him about investing in that exacting market.

He must also be mindful of any wilting real estate markets and the areas where they exist in order to advice his clients. It is a position that requires continuously updating your knowledge, but it is also one that carries with it a great many rewards both monetarily and in the achievement A financial advisor cannot ignore the client’s ability and the willingness to assume risks. The ability and the willingness to assume risks coupled with the appropriate investment decision making ability will authority the return on investment. This is because risk and reward are directly comparative. Clients, who have a great deal of money and a long term investment prospect, may be better-off investing in more risky assets. People with a short term investment prospect need to have sufficient liquidity to meet their financial requirements

Financial advisors have the responsibility of assessing the client’s situation. The client’s risk and return objectives need to be determined. The risk, that the client is willing to assume, should be in agreement with the preferred level of return. The need for liquidity and the time horizon of the client should also be determined. A client, who has the need for liquidity, will noticeably not be willing to invest a vast deal of money in investments that will not provide fast return in the short term. The investor’s time prospect is also very important since an investor with a short term prospect will not prefer locking up cash in investments that are expected to mature in the long run. Investors may have more than one time prospect. For instance, an personal may necessitate cash for buying a home and sponsoring children’s education. Other than these operating costs,

The investor may not have any other important financial commitments until retirement an investment consultant should make sure that the client’s eagerness and the ability to assume risks balance each other. In case of any inequity, the advisor should clearly demonstrate the risks and the benefits of assuming the given level of risk. In other words, the advisor should develop highly individualized strategies intended at prosperity conception and capital protection. The above financial advisor job explanation bears proof to the fact that an advisor has huge tasks towards delivering the best for his/her clients.

Financial Advisor Job Secrets

Learning about careers as a financial advisor, or financial planner

What are financial advisors and financial planners?  They are referred to as a mentor, a teacher, a registered rep., a sales person, an adviser or advisor, a consultant, a planner, a broker or stock broker, or a trader.  Many terms define what it is to be a financial advisor.  Financial advisors work at a brokerage, wire house, broker-dealer, or financial services firm.  Some specialize in insurance and some specialize in investments.

Financial planners and financial advisors deal with all things having to do with money, investing, and risk management.  They deal with banking, budgeting, and business investment.  Some firms have in-house legal and tax advice.  Financial advisors and financial planners must have a working knowledge of portfolio building, allocating assets, economic analysis, and other fiscal and monetary issues.

As a financial advisor you will help people become debt free and financially independent.  To help people reach financial freedom you will use tools and financial solutions such as mutual funds, common stock, preferred stock bonds, options (calls and puts), commodities and futures, outside consulting, life insurance, and soft ware assisted financial analysis.

In order to enter a career in financial services one must pass a series of exams.  Different firms have different requirements of tests you must pass.  The series 7 allows one to sell general securities such as stock, bonds, mutual funds, and exchange traded funds etc.  A series 6 allows a rep to sell mutual funds.  The series 66 allows an advisor to charge a fee based on advice.  Other tests one may be required to pass are the series 31 (commodities and futures) and certain insurance licensing exams.  Studies show that a career as a financial advisor will be one of the best careers to pursue as the need for financial services increases.

The hardest part of a career in financial services is getting your foot in the door.  There are many secrets to landing a dream job as a financial advisor or stock broker and many hoops one must jump through to overcome the weeding out process.

How to Write a Tax Consultant Resume

A good resume is very important in the job search process. Whether you are called for an interview or a test would mostly depend on your resume. Following are some tips for writing a tax consultant resume. These are also relevant for writing a financial consultant resume and to a lesser degree, writing consultant resume in general

  • Format of the Resume

You should remember that the employer would not spend a lot of time looking at it, so put the more relevant details in the beginning. Keep the resume short and compact but not at the cost of omitting relevant details. You should look and review some sample resume of tax consultant and financial consultant resume and some consultant resume for getting an idea of the general format of a consultant resume.

  • Technical Knowledge

Tax consultants advise the clients or companies about tax returns and fillings. They suggest ideas for saving money while adhering to government rules and regulations. For this a tax consultant must know the relevant rules and regulations. These rules may vary with region, state and country. Make sure to mention in the resume your knowledge and experience with such rules and regulations as well as your familiarity with tax related local, national and international laws and procedures.

  • Domain Knowledge

A tax consultant or any consultant in general should have significant knowledge and experience with various industry domains. Always mention your experience with different domains and your knowledge of various business processes in your financial consultant resume or resume of tax consultant.

  • Computer Knowledge

In today’s IT oriented world most job requires some basic computer knowledge. There should be mention of computer skills, such as knowledge of basic applications like MS Excel, Word, Outlook etc as well as any other financial software you have worked with, in the resume of tax consultant.

  • Mathematical Skills

As a tax consultant or financial consultant you will more often than not work with numbers. Make sure to mention your familiarity with numbers, mathematical aptitude and analytical skills in the resume of tax consultant.

  • Soft Skills

There are some soft skills like team working, communication skill, leadership skill, works well under pressure etc that are always useful in a prospective employee. Mention some soft skills that are appropriate to your situation in your tax consultant resume or financial consultant resume.

  • Academic

Academic qualification should be below the professional experience unless you have little or no professional experience. Also emphasize the parts that are more relevant to the job you are applying for.

The resume writing tips above are targeted at resume of tax consultant or a financial consultant resume but are also useful for resume writing in general.

Working Towards Your Financial Goals With A Personal Financial Planner

For clients that haven’t worked with a financial advisor before, the assumption is often that everything starts with investments. What funds to buy, when to buy and how much to invest are typical questions. Since most financial commentary is centered around investing – and because many non fee-only planners make their money from investments – it’s easy to understand why consumers might think that’s where the planning process starts. In our view, though, financial planning starts with establishing a robust financial framework and only once that framework is in place do we turn to a discussion of investments.

What is Financial Planning?

Financial planning is a process that begins with establishing financial goals. The goals may be short-term – like purchasing a home or paying for private school – or longer term goals including retirement, funding college for younger children or buying a vacation home. Once the goals are established, a plan framework is constructed that reflects current assets, ability to save, how to invest, the amount needed to fund the goals and other key details. Ultimately, the plan framework maps out steps that the client needs to take in order to have a high likelihood of achieving the financial goals.

Some financial planners offer comprehensive planning, which means that they focus not just on constructing the plan framework, but also on related issues including estate planning, tax planning and risk management. Focusing on these issues allows the client to make optimal decisions and to better manage risks to the plan.

Importance of Financial Planning

Most clients find the most valuable aspect of financial planning is that it confirms whether or not they are on track, and that helps reduce financial stress. A plan is also useful in that it provides very specific information as to what a client needs to do in order to meet their financial goals. With that framework in place, if the unexpected occurs – such as the loss of a job or an unplanned for inheritance – it is possible to quickly assess financial impact and map out options.

An additional benefit of working with a personal financial planner is that the planner – and the planning process – can help a client make optimal financial decisions. Deciding when to finance a purchase versus when to pay cash, or choosing the best insurance coverage can all have material impacts on a client’s financial situation. Finally, the greatest long term benefit we have found for clients who have successfully implemented a financial plan is that they have an ever-expanding choice of options as to how they want to live their lives.

When to seek help from a Financial Planner

Typically, clients seek out a financial advisor when an event has occurred in their lives. The event might be approaching retirement, or receiving an inheritance or having a child. Most of the time, the primary goal of the client is to confirm that they are financial prepared, although in “liquidity events” in which the client receives a large sum of cash, determining how to invest the cash can be the driving concern. In either instance though, the planning process is similar in that it begins with establishing goals and then building the plan framework – including how to invest – within which the client works to pursue those goals.

In searching for a financial planner, a few good resources include the National Association of Personal Financial Advisors (, which is an umbrella organization for fee-only financial advisors, and the CFP Board (, the governing body for CERTIFIED FINANCIAL PLANNERs™. Once you have identified a few potential advisors, interview them by phone or in-person, and ask for references. While experience, qualifications and whether or not the planner works via fees or commission are all important, a good fit between client and financial advisor is extremely important as well.

MBA in Marketing Vs MBA in Finance

Now-a-days MBA is one among the top choices of students from the Engineering as well as Finance streams. Management careers are gaining more and more fame as students have good career opportunities post successful completion of management studies. When pursuing MBA Students can choose the courses of their interest. When it comes to MBA programs in finance and marketing both have lot of similarities. Finance MBA programs offer courses in marketing, and marketing MBA programs offer courses in finance.

India is home to around 3000 institutes offering management education. Out of which there are numerous top management institutes in Maharashtra. Apart from Mumbai, even small cities like Pune and Nashik get ranked for owning the best MBA institutes. The top MBA colleges in India have the best infrastructure, best faculty, alumni and of course tie-up with top companies for campus placements.

Listed below are the similarities between Marketing and Finance MBA Programs:

Master of Business Administration in Marketing (MBA in Marketing)

Students who pursue MBA in marketing learn to manage and make decisions in regards to advertising, public relations and other communications fields. In their course of education they are taught about international sales and marketing, risk management, strategic planning, economics, ethics, market research, financial analysis, consumer behavior and current business trends.In an MBA marketing program, students can choose their subspecialty depending on their interest and career goals from areas like advertising, Internet and international marketing.

Master of Business Administration in Finance (MBA in Finance)

MBA graduates who pursue major in finance are taught how to make financial decisions for a variety of businesses and organizations. Students are taught how to acquire, manage and distribute funds in business. MBA in finance includes learning marketing, international business and finance, budgeting, financial accounting, data analysis and economics in the syllabi. Private equity, corporate finance and portfolio management are few of the subspecialty which students can choose depending on their interest.

From the above information, it’s clear that Marketing MBA graduates have an opportunity to step into creative and communications field and also in other finance corporates organizations where as Finance MBA graduates are best suited for working in fields related to banks, administration and accounting and corporate financial organizations.

Following is a list of Career Options for Graduates with a Marketing MBA degree:

  • Advertising Executive
  • Brand Manager
  • Business Development Director
  • Buyer
  • Market Researcher
  • Product Manager
  • Senior Marketing Analyst

Following is a list of Career Options for Graduates with a Finance MBA degree

  • Chief Financial Officer
  • Financial Analyst
  • Financial Manager
  • Insurance Adjuster
  • Investment Banker

Stock Broker

Wahid’s Initiative – What is the Responsibility or Role of the Finance Department in a Business?

Introduction: The finance department of a company is responsible for all of the financial aspects of a company, The Finance Department really has two fairly dissimilar jobs to perform in most companies: managing the company’s financial resources (“Finance”) and recording and reporting all its financial transactions (“Accounting”).today’s mid-sized and smaller companies don’t establish separate Finance and Accounting departments within their organizations.

Role of the Finance Department

Accounting and Finance is the heart of a business. Its functioning efficiently directly affects the rise and fall of a business. It is possible to survive, for a while at least, without an effective marketing plan, poor human resource management and indeed a poorly designed business strategy finance is a very essential to smooth running of the business No finance – no business No business, whether big, medium or small can be started without an adequate amount of finance. Right from the very beginning, i.e. conceiving an idea to business, finance is needed to promote or establish the business, acquire fixed assets, make investigations such as market surveys, etc., develop product, keep men and machine at work, encourages management to make progress and create value These departments are crucial to the financial well-being of a company and ensure that there is money for day-to-day operations and oversee investments strategies for future growth.


As the economy continues to develop, so does the role of the finance occupation within an organization, motivated by investments in activity resource planning, shared services and changes in its reporting role, most finance functions are becoming more efficient  requiring fewer resources to manage them and closely aligning with the company’s business structure. This is especially true in the area of operation processing where superior computerization of financial transactions has enabled finance staff to increased their role and spend more time supporting decision-making processes, slightly than just processing and merging transactions.

As business processes develop and business questions become more multifaceted, the analytics essential to answer and act on these questions entail a higher level of data addition and organizational teamwork. For in-stance, historically, finance departments were oftentimes the only departments with access to accurate information about a company’s financial results. However, this information was usually at an aggregated level and wasn’t available until several days, sometimes weeks, after the end of the month. More and more overall organizations are integrating and standardizing their business processes and systems, allowing end users with both finance and non-finance functions to update and obtain financial information from any geographic location. This has significantly improved decision support within the organization.

The finance department of a company is answerable for all of the financial aspects of a company to achieve these objectives, accounting, finance, tax and other financial areas are developing data warehouses collective with sophisticated analytics to serve the needs of the entire enterprise. We refer to this advanced decision support capability for finance as financial analytics. This article examines the evolution of financial analytics and its effect on the state of data warehousing. These departments are crucial to the financial well-being of a company and ensure that there is money for day-to-day operations and oversee investments strategies for future growth.

01. Cash Flows:

Managing an organization’s cash flows and reorganization its financial logistics is of paramount importance to managing liquidity risk and optimizing interest charges. There are various ways to streamline daily cash management, because an organization daily cash flow is the most vital duty of the finance division. Every day, businesses spend money on office supplies, equipment and salaries, so it is important to monitor each day cash flows. The finance department can make adjustments and recommendations on how to adjust these cash flows for better presentation.

A company wants to keep enough cash at hand and enough income from accounts receivable and cash sales, to cover these debts. a company’s cash flow statement, it is important to consider each of the various sections which contribute to the overall change in cash position. In many cases, a firm may have negative overall cash flow for a given quarter, Cash Flows from Financing Activities  is a measure of the money that a company took in or paid out to finance its activities. It represents the flow of cash between a company and its owners and creditors. Typically included in this calculation are the issuances or repurchase of common stock, the issuance or repayment of debt and the dividends paid out to shareholders.

Chief financial officer (CFO), of finance department is  major responsibility to control the cash flow position throughout the company, understand the sources and uses of cash, and maintain the reliability of funds, securities and other valuable documents. You receive, have custody of, and disburse the company’s excise and securities. CFO responsibility includes the influence to launch accounting policies and procedures for credit and collections, purchasing, payment of bills, and other financial obligations.  Cash is king and the flow of cash, or cash flow, is the most important job a CFO has in any company. and if at all possible positioned to guidance on the selection of the most suitable electronic banking and treasury management system for organization.

02. Accounts Receivable and Payable:

The finance department also makes sure accounting and reporting. Cash and banking tricks and certain Accounts Receivable activities that client who are past due are contacted and their balances paid. A company must have adequate money coming in from its operations to cover expenses, so when credit is comprehensive, it must be paid in a appropriate manner. The finance department also makes sure that credit accounts are taken care of and paying all due bills to vendors and suppliers to cover the costs of raw material or purchased goods that were bought on credit is another area that the finance department should handle. The finance department can pay bills when they are due and make decisions on what and when to pay to exploit investment strategies.

03. Taxes:

Suitable to the current intricate tax structure across the world, finance department jobs are more in demand these days. Satisfying out tax forms and addressing deductions and tax strategies can often be performed by the finance department CFO who inspects the book of accounts and records and computes the taxes according to the laws and regulations. He also the advisors to the management/individuals concerning. The tax liability, updated tax arrangement and layering out strategic plans for minimizing tax liability. They are the ones who records, maintains and calculates the complete details of the individual/ organization’s assets and their income and then computes the tax liability on those assets and income. So finance departments concentrate for this field should have good knowledge of mathematics, accounts and tax laws. They should also acquire effective communication and organizational skills.

04. Investments:

Finance departments invest extra cash to make money on the interest. Although businesses should keep a small amount of cash on hand, it is wise to invest the available money to enlarge profits for shareholders’ or owners’ wealth. The finance department should be able to recommended short-term investment strategies for cash and instruct owners on long-term strategies.

The Finance department is responsible for managing the financial operations Functional responsibilities include accounting, financial reporting, cash management, budgeting, debt management and investments. The accounting function includes accounts receivable, accounts payable, fixed assets and general accounting. Finance departments invest extra cash to make money on the interest. Although businesses should keep a small amount of cash on hand, it is wise to invest the leftover money to increase profits for shareholders’ or owners’ wealth. The finance department should be able to recommended short-term investment strategies for cash and instruct owners on long-term strategies.

The responsibility for financial reporting includes preparing monthly interim financial statements as well as the Comprehensive Annual Financial Report in accordance with generally accepted accounting principles (GAAP).


The accounting job is typically done by the Accounting Department; at its simplest level accounting is still about abridgment and adding up the financial values and transactions connected with a business or some other enterprise. However, accounting and the role of accountants has urbanized far beyond this simple idea. The modern accountant extracts sense from a firm’s financial data: partly to help control its behavior, partly to decide what resources are available for future development and partly to satisfy the needs of a wide range of different groups who need financial information for their own purposes.

But most important to running the companies are the reports the accountants prepare for company managers, for it is those reports that managers use to appreciate their company’s financial past and make decisions about its financial future.

Accounting within firms has developed in two principal instructions: first in fulfilling the information needs of external stakeholders and, second, in providing information to management to assist them in their decision-making and other activities. The externally oriented division of the subject is called ‘financial accounting’ where statements of financial concert over a period of time are twisted the income statement (formerly the profit and loss account), the balance sheet and the cash flow statement. ‘Management accounting’ is anxious with producing internal information for the management of the firm.

Conclusion: In today’s ever-changing business surroundings, financial executives are exploring ways in which the financial function can bring greater value to their organizations. To this end, they are transforming their organizations from focusing primarily on regulatory reporting to most effectively providing the information that internal management needs to more effectively “run” the business. financial executives must now think beyond the traditional financial information contained in general ledger systems and consider how best to provide for the inclusive measures and analytical methods needed to drive decisions during complex, dynamic companies.

Credit Checks in the Philippines

If you are a typical middle class Philippines citizen, chances are you already have some credit established either through a credit card, home, car or other loan. If you are applying for a loan or credit, it is important to understand how this works in the Philippines.

The Credit Management Association of The Philippines, also known as CMAP governs all financial institutions that provide loans and credit. All loan and credit information is managed by CMAP, so whether you have made all of your monthly payments on time, paid off a loan, or defaulted on a loan, all is kept in CMAP, typically for a period of 5 years.

When you try to open a bank account or apply for a loan, CMAP is checked first. Also when you apply for a loan or credit card, your eligibility and rates are determined by your CMAP credit score. Here are the current score rankings:

Philippines Private Investigators has seen a dramatic rise in background checks from foreign customers. Background checks often focus on brides, girlfriends, and internet dating relationships, as well as business partners and investors. With the high degree of fraud in the Philippines, getting a background check or due diligence investigation is an important security decision. Proceeding in a personal or business relationship without one can be very costly. Checking someone’s credit score and history is also another way to understand someone’s background and economic stability.

Despite the fraud, there are opportunities in the Philippines, both for personal and business relationships. Beautiful brides and profitable business ventures do exist, but hiring a Philippines private investigator to do a professional background check is an effective way to protect yourself.

Philippines Private Investigators offer discreet private investigative and detective services at affordable rates. Our team of highly experienced and trained local and expat agents cover all of the Philippines and work with local police, NSO, embassies, as well as other government agencies.

The Importance of trade Credit Management

Introduction: The main purpose of any business is to maximize owner’s happiness, in other words “getting paid ” Because business is essentially afraid with the sale of goods or services on open account at profit, the credit function plays an vital, essential role within the organization.  The credit function is the relation between customers and many other business functions such as marketing, sales, production, shipping, customer service and accounts payable.  It contributes to the common main objective of maximizing profit by means of an boost in credit sales and the net income from sales by granting credit.

Unhurried payment and a high part of bad debt will defeat the main business objectives.  If payment is made late, then profitability is eroded. On that basis, it is only good business observe to put credit management at the “front end” which will construct real benefits.

The credit role symbolizes a business decision that requires both financial and strategic decision making to promise that a proper balance of benefit is resulting from sales against carrying the cost or potential loss. The realization of a suitable match or “well” between an organization’s strategies and its credit purpose strategy has optimistic belongings on the organizations presentation or performance,

What is trade credit?

Traders can exchange their products/services for cash, but if they prefer to permit a time lapse between the business deal of delivering goods and services and the acceptance of cash they are permitting the consumers to delay payment and for that reason offering credit. So, trade credit is presented by non-financial firms that are in business not to afford finance to their customers but to sell them goods/ services. Even though there are many dissimilar explanations of trade credit, they all concur on the truth that it is the deferring of payment to a settled date in the future. Trade credit provide thus creates a current advantage in the firm’s balance sheet: “trade debtors”.

Importance of Credit Management

Consumers are the steam engine of the economy, if credit dries up; consumers have main difficulties in borrowing. In different consume less because they have less entrée to credit. For the reason that of this producers will sell less, and produce less. Fewer employees are needed so more will get laid off. Less working people + less output = lower GDP. This could create a unhelpful spiral.

Most organizations have dedicated sales order, manufacturing, accounting and ordering system but very little around credit management attempting to implement a credit policy without systems to support it is a brave choice decision

If organizations invested a great deal of energy into supplying his products and services, but turnover only becomes profit when customers have actually paid. It is consequently very significant to know whether customer can and will be able to pay invoices on time. This offers security and prevents a lot of tribulations. Bad payers have a unhelpful effect on organizations cash flow, organizations balance sheet ratios and profit and loss account or income statement. Additionally, they put in a difficult dilemma; organizations would really like to collect accounts receivable quickly, but organizations also want to retain the good relationship with organizations customer.

In details:

Having good credit is significant. Mortgage lenders want to know that you won’t failure to pay on your mortgage. If you don’t have good credit, the lender will regard as it risky to give you a mortgage loan. This could result in a higher cost of borrowing or worse, a denial of the loan

Don’t think that because you’re not on the advertise for a new home, your credit is used for take on decisions, too. Landowners consider your lease as a loan. You’re being loaned a place to live and the landholder wants to know you’ll pay back this loan. If you don’t have good credit, you can get denied for an apartment.


Except you have the cash to buy a car, you’ll have to get a loan. Your credit not only influences whether or not you be eligible for a loan, but as well the amount and interest rate of the loan. Normally, loan candidates with good credit be eligible for bigger loan amounts with lower interest rates.


A lot of public have thoughts of opening their own trade. The majority business startups necessitate a great amount of cash that you capacity not have accessible. In that case, you’ll need to gain a small business loan. Between other possessions, you want to have good credit to be eligible for the business loan.

Efficacy Services

It may be somewhat appalling to be taught that your credit is required to create efficacy service. Your exciting corporation contends that you’re borrowing one month of exciting service. So, before turning on your power, the company will check to see if you have good credit. This affects to most efficacy services including lead, telephone, water, and even cell phone.

as your acknowledgment is different by how you’ve paid (or not paid) your bills in the past, many businesses landlords, mortgage lenders, efficacy providers, and even employers  use your credit to forecast your future financial accountability. Anytime you require borrowing money, or even services, your credit is called into query. This is why maintaining good credit is so important.

Conclusion: so that responsible credit management is very important to saving money and ensuring that you are not overpaying for matter that you want. Everybody is able of making responsible credit decisions if they are alert and select their choices carefully. For all of the erroneous credit decisions you can make, there are frequent good credit decisions you can make as well which can help you to ensure you always have several options to choose from so you can select the best credit management option for your needs

No Doc Loans In The Post Housing Bubble Market

No doc loans are searched for every day by hundreds if not thousands of people. Unfortunately, conventional mortgage lenders no longer offer such programs due to the high rate of defaults after the housing bubble burst. That’s the bad news. The good news is there are still no doc loans available for homebuyers.

So just where are these no doc mortgage loans for homebuyers? Actually, they’re everywhere. They are called private mortgages from individuals utilizing owner financing in order to sell their home or even commercial property.

So how do I know this? As a private mortgage buyer or private mortgage note buyer, I see private mortgages every day. I also see how they were created and their terms. Most of these owner financed home sales were purchased with 10 percent down or less. Also, and here is where the “no doc” comes in, well over 90% of the loans I see were given with no income or asset verification and no credit check. The reality of it is that these loans are better than the pre housing bubble no doc mortgages or stated income mortgages due to no credit check or mortgage application. But wait! Sorry, I just had to say that. There is even more good news for prospective homebuyers. Most of these loans carry low interest rates. I see 5% and 6% every day, far lower than most pre bubble conventional no doc mortgages.

How does a prospective homebuyer find these great loans? Actually, many are easy to find while others require a bit more work. The easy ones are advertised as “owner financing available” or “seller financing available” in their ad. For the others you can find them either through your local tax office or through a real estate agent. You are looking for homes for sale with little or no mortgage. These are ideal candidates for owner financing. Also, most real estate agents know how much of a mortgage is on the home. As to the tax office, you will need to search for homes that you know are for sale to see if they have a mortgage lien on them. Someone at the tax office can usually help you. You can approximate the seller’s mortgage balance by reviewing the terms and initial mortgage note date if there is one.

So if you’re fretting over getting a home loan to purchase a home, stop worrying. Just go out there and look for motivated sellers that owe little or nothing on their home and see what kind of deal you can cut. You may just be pleasantly surprised.

Va Home Loans and Guidelines for Bankruptcy and Foreclosures

I receive a lot of VA loan questions in regards to bankruptcies (BK) and foreclosures.  Most of the time the questions are determining how long a borrower has to wait after their bankruptcy before they become eligible for a VA loan?  Or is there anything they can do while they wait to help their chances of getting approved for a VA loan once the waiting period is up.  So let’s dig in because as of right now the VA underwriting guidelines are much more flexible than conventional or FHA loan guidelines.

Chapter 7 Bankruptcy

First, a chapter 7 bankruptcy involves a complete discharge of debtors.  Once the petition is file and accepted by the court and the BK is finalized the borrower is released from liability from the creditors.  Generally, with a chapter 7 bankruptcy the VA underwriting guidelines require a 2 years waiting period from the discharge date of the bankruptcy before financing becomes available. There are, however, certain uncontrollable circumstances such as medical conditions or job loss that allow for financing 1 year after the discharge date but these are very rare.  To contrast this with conventional guidelines at the time of the article Fannie Mae is now requiring a 4 year waiting period after a chapter 7 BK.

Chapter 13 Bankruptcy

A chapter 13 on the other hand is called a wage earners plan.  A trustee is appointed from the court and a repayment plan is negotiated.  A veteran may actually be eligible for a VA mortgage while in the chapter 13 bankruptcy; but will need to have at least made 12 on time payments and have approval for the loan by the court trustee.  Also, after the chapter 13 is finished the veteran borrower is eligible immediately.  Fannie Mae requires a 2 year waiting period after the discharge.


The VA guidelines state the foreclosure period follow the same rules as the Chapter 7 Bankruptcy.  Basically, the veteran borrower needs to wait 2 years.  Fannie Mae requires a 5 year waiting period now after the completion of the foreclosure, ouch.

Tips for after a Bankruptcy

As top VA lender that has dealt with their fair share of bankruptcies we’ve put together a few tips that borrower can put to go use.

I strongly recommend after the bankruptcy has been discharged that you mail in a full copy of your discharge paperwork with all of the appropriate schedules the three credit bureaus Equifax, Experian and TransUnion. Often time some of the accounts included in the bankruptcy won’t reflect that accurately.

I also suggest you start by pulling your credit at least once a year from each of the nationwide consumer credit reporting companies. Keep track of what’s gone on and make sure there are no inaccuracies by the time you are ready to apply for a VA loan.

In addition, if you don’t have any remaining creditors after your bankruptcy we strongly recommend reestablishing your credit if you have not already done so.  Sometimes a borrower with a lack of credit is just as hard as approving borrowers with poor credit.  And of course always, always, make your payments on time!

Of course the VA loan bankruptcy guidelines could change or be amended in the future but so far most of the VA guidelines have stayed the same.

What do Financial Professional Designations Mean?

Financial Professional designations many times demonstrate a commitment to study, education and ongoing continuing education. However, it becomes confusing to understand the lexicon of the financial industry. This tip sheet is meant to provide a very brief, abbreviated definition of various financial services designations. Please note being licensed in particular area or field does not constitute an advanced designation. It merely means that the state in which the license is held allows that individual to participate in the areas that they are appropriately licensed.

Designations: (NOTE:This is only a partial list of designations available to financial professionals.)

CAP: Chartered Advisor in Philanthropy provides graduate level education in charitable giving. Those who have earned this credential may provide assistance with planning tools and strategies to achieve philanthropic and wealth management goals through contributions of personal property, charitable remainder trusts, charitable lead trusts, pooled income funds, charitable annuities, life insurance uses, etc.

CASL: Certified Advisor for Senior Living designees’ has completed educational coursework focused on working with mature clients and those planning for retirement. CASL’s have studied knowledge to assist their clients with important investment, health insurance, retirement and estate planning decisions.

CDFA: Certified Divorce Financial Analyst has completed education specific to the needs of couples going through a divorce and the financial ramifications of the event. Designees can provide an understanding of marital versus personal property, tax issues, financial values, provide assistance with attorneys, and help prepare a divorced individual with the proper planning to protect what they now own and to prepare for financial independence.

CFP: Certified Financial Planner Professionals have earned this widely known designation through the completion of various courses and examinations on the successful analysis and development of personal and business financial plans. Education, work, and ethical requirements need be met and satisfied to become and remain a CFP.

ChFC: Chartered Financial Consultant designees’ have completed a rigorous educational program designed to assist the professional with individuals, families and business owners with financial strategies to help attain financial goals and objectives, income tax reductions, increasing the retirement next egg, increasing and managing investments, and enhancing the value of your estate.

CLTC: Certification in Long Term Care graduates have completed studies in long term care, its needs, application, uses and varieties. The needs of the pre-retiree and retiree are examined and strategies for planning in this area of building concern.

CLU: Chartered Life Underwriter designees’ have completed a challenging credentialed educational program. They have studied financial solutions for individuals and business owners, financial security through life insurance, estate planning by enhancing the value of the estate, and how to manage the risks of running a successful business. CLU’s also have studied retention strategies for small business key personnel.

CSA: Certified Senior Advisors have completed coursework specific to the needs of seniors and financial services applications and strategies.

LUTCF: Life Underwriting Council Fellow designees’ have completed a broad education in general planning with a wide range of needs consisting of life insurance, disability income, long term care insurance, retirement planning, estate planning, and senior planning.

MSFS: Master of Science in Financial Services has completed one of the pinnacles of

educational achievement in financial services. This educational program builds upon other designations to help the professional provide comprehensive advice on complex needs and provides further education in asset management, tax planning, estate planning, pensions, business succession, etc.

REBC: Registered Employee Benefits Consultants have completed education in health insurance and managed care. Their education can assist them in selecting the right group benefit plan(s) for your company and retirement needs of the business owner and employees.

RHU: Registered Health Underwriter graduates’ have completed education to understand all types of health insurance, are able to review health insurance needs of individuals, families and employees. They are knowledgeable in helping people understand and to get the most out of their health insurance options.

Don’t Hire a Certified Financial Planner in Albuquerque, NM Until You Read This!

Hiring certified financial planner in Albuquerque, NM can be a risky business if you don’t know what to look for. There are a wide variety of financial planners and investment advisors that offer a wealth of different services and products. They came from many different backgrounds; some are qualified, some are not. The truth is anyone can call themselves a financial planner, the term is not government regulated. The ones that do hold qualifications come from a variety of academic and professional backgrounds and generally specialize only in the area in which they are qualified. You really need to do your homework before hiring a certified financial planner in Albuquerque, NM.

Investment Advisor or Financial Planner in Albuquerque, NM?

Individuals or firms that concentrate on advising people about investing in stocks and bonds or securities are investment advisors. They may not be able to help you with estate planning or tax advice, though some might. The field of financial planning is a complex one, as most financial planners are investment advisors, but not every investment advisor is a financial planner. You should look for any the following qualifications when searching a financial planner in Albuquerque, NM:

  • AEP (Accredited Estate Planner)
  • CPA (Certified Public Accountant)
  • PFS (personal Finance Specialist)
  • ChFC (Chartered Financial Consultant

In Albuquerque, NM a financial planner may be limited as to what products and services they can offer you. Some of the products they could be qualified to advise you to invest in are not even securities. Before signing any agreement with a financial planner or investment advisor you should fully investigate their qualifications. This includes asking them what they are, seeing documented proof, and finding out what those qualifications mean. To fully protect yourself and your money, contact the organization that certified them and inquire as to whether they are still in good standing.

Understand How Your Albuquerque, NM Financial Planner Will be Paid

It is very important that you understand from the beginning how the planner or advisor
you are working with will be paid. Some charge an hourly rate, some a flat fee, others commissions from your investments, and some a combination of all three. Being clear up front will save you from any surprise charges and reduce the chance of any confusion in the future. Each method of payment has its own pros and cons, but you should choose one that you are comfortable with. Shop around a bit and don’t be afraid to ask questions. That way you will be sure you hire the best certified financial planner in Albuquerque, NM to fulfill your needs.

Know About Trade Finance and Corporate Finance Services

Are you aware of trade finance services and what is the prime thing that includes in corporate finance services? If no, then this article will offer enough idea about trade finance and corporate finance services. Trade finance services incorporate exercises such as loaning, issuing letters of credit, calculating, fare credit and protection. Organizations included with exchange fund incorporate shippers and exporters, banks and agents, back up plans and fare acknowledge offices, and additionally other administration suppliers. It is true that the trade finance is of key significance to the global economy with the World Trade Organization that accesses around ninety percent of worldwide exchange on the stratagem for financing. Trade exchange has been in presence for a considerable length of time, exchange account created as a method for encouraging it further.
The broad utilization of exchange account is one of the components that have added to the huge development of global exchange late decades. In its most straightforward method, trade structure works by accommodating the different needs of an exporter and merchant. While an exporter would want to be paid forthright by the shipper for a fare shipment, the danger to the merchant is that the exporter may essentially stash the installment and deny shipment. On the other hand, if the exporter stretches out credit to the merchant, the recent may decline to make installment or deferral it excessively. The most well-known answer for this issue is through a letter of credit, which is opened in the exporter’s name by the shipper through a bank in his or her nation of origin.

The letter of credit basically ensures installment to the exporter by the bank issuing the letter of endless supply of narrative verification that the merchandise has been sent. In spite of the fact that this is a to some degree bulky procedure, the letter of credit framework is a standout amongst the most famous exchange money components. Now, let’s understand about corporate finance services. trade Finance services practice influences on our comprehension of corporate procedure, capital markets, and global wards and administrative necessities, to open the potential for development in organizations. Well, corporate finance services include:

 •    Transacting Advisory: Most developing organizations need to definitely consider a residential or cross-fringe exchange, for example, setting up a branch outside local market or securing an abroad organization. These exchanges are regularly mind boggling and require cautious thought. With multidisciplinary mastery crosswise over divisions and industry verticals, we help our customers in proactively underscoring so as to execute key business exchanges – the significant worth drivers, and discovering the real dangers and opportunities in the exchange.

•    Valuations: Putting a cost on something or assessing its value is never clear. Today, performing valuations are getting more mind boggling with persistent changes in the administrative and business environment. Valuation administrations are required for different reasons, for example, obtaining, speculation, transfer, and buyout, merger, rebuilding, bookkeeping, statutory/lawful and so forth.

•    Mergers and Acquisitions: This offers neighborhood and global organizations a far reaching scope of M&A administrations. With the developing economy and also expanded cross outskirt vicinity.

Are you aware of trade finance services and what is the prime thing that includes in corporate finance services? If no, then this article will offer enough idea about trade finance and corporate finance services. Trade finance services incorporate exercises such as loaning, issuing letters of credit, calculating, fare credit and protection. Organizations included with exchange fund incorporate shippers and exporters, banks and agents, back up plans and fare acknowledge offices, and additionally other administration suppliers. It is true that the trade finance is of key significance to the global economy with the World Trade Organization that accesses around ninety percent of worldwide exchange on the stratagem for financing. Trade exchange has been in presence for a considerable length of time, exchange account created as a method for encouraging it further.

The broad utilization of exchange account is one of the components that have added to the huge development of global exchange late decades. In its most straightforward method, trade structure works by accommodating the different needs of an exporter and merchant. While an exporter would want to be paid forthright by the shipper for a fare shipment, the danger to the merchant is that the exporter may essentially stash the installment and deny shipment. On the other hand, if the exporter stretches out credit to the merchant, the recent may decline to make installment or deferral it excessively. The most well-known answer for this issue is through a letter of credit, which is opened in the exporter’s name by the shipper through a bank in his or her nation of origin.

The letter of credit basically ensures installment to the exporter by the bank issuing the letter of endless supply of narrative verification that the merchandise has been sent. In spite of the fact that this is a to some degree bulky procedure, the letter of credit framework is a standout amongst the most famous exchange money components. Now, let’s understand about corporate finance services. trade Finance services practice influences on our comprehension of corporate procedure, capital markets, and global wards and administrative necessities, to open the potential for development in organizations. Well, corporate finance services include:

•    Transacting Advisory: Most developing organizations need to definitely consider a residential or cross-fringe exchange, for example, setting up a branch outside local market or securing an abroad organization. These exchanges are regularly mind boggling and require cautious thought. With multidisciplinary mastery crosswise over divisions and industry verticals, we help our customers in proactively underscoring so as to execute key business exchanges – the significant worth drivers, and discovering the real dangers and opportunities in the exchange.
•    Valuations: Putting a cost on something or assessing its value is never clear. Today, performing valuations are getting more mind boggling with persistent changes in the administrative and business environment. Valuation administrations are required for different reasons, for example, obtaining, speculation, transfer, and buyout, merger, rebuilding, bookkeeping, statutory/lawful and so forth.

•    Mergers and Acquisitions: This offers neighborhood and global organizations a far reaching scope of M&A administrations. With the developing economy and also expanded cross outskirt vicinity.

Start Your Business With Adequate Finance

Construction consists of several different activities. When we talk about the word construction then there come many activities that need coordination.The construction can be of any thing that can be your house,your company,your office anything.

Beginning another business is a deed that you can accomplish just on the off chance that you have the sort of capital that goes into it. You have to have property where your office can be manufactured, you have to develop the workplace, you have to purchase hardware, you have to contract workers…the rundown continues forever. Any kind of money deficiencies can put a mark on your task. To verify your fantasy business begins effectively, you will need to obtain plentiful budgetary assets. This should be possible through new business loans.

It is not easy to find the right construction company.Before one makes the decision to build any kind of building there are lot of things that should be considered carefully.The building that you want to construct, first of all you will want to do your best to ensure that the construction team in charge of doing this will be able to get the job done absolutely right.If you want your construction successful and according to your own desire then you must hire the services of professional construction services.

And while hiring such a professional company following things must be kept in mind:

• Firstly, you should  look for a company in the list of the construction companies which are registered and approved by the government.

• Secondly, make sure that the company that you will hire must have their own website. Websites allows us to visit and see the past work of the contractors and services that are provided by the contractor.

• Before signing for any construction company ask them about that how they hire their sub contractors. And also ask them that whether they have the insurance policy of their employees or not.

So these are the tips to hire good professional company for construction process. In today’s world everybody want a perfect construction work for house , company or anything.And this perfection is possible if you are hiring perfect professional company.And after hiring company one can move forward in construction process of his dream house or dream company or whatever.

But the best construction depends on the construction company that you are hiring. Some companies are specialized in kitchen renovation,bedroom renovation etc.Some companies provide you the service to complete your construction process in minimum period of time.

Now the features that every construction website must have are:

They must have great domain name.Domain name helps to easily search on google Construction Website’s success depends on publishing new contents through blog software.Construction website’s description must be very clear.Mean it should be very clear that what they are offering.


Every construction company have different policies and procedures and its upto you that which company you want to hire and which suits you best. The advantage that you can search in these companies is fixed features. Having a fixed prize will make your task easy and definitely make it worth the investment. By finding that type of construction company you will be able to plan better for your construction and you will enjoy many benefits like:

  • Easier Transition
  • Budgeting abilities
  • More Flexibility
  • No hassles with contracts.
  • You get exactly for what you are going to pay.

Tips for choosing construction company for your project.

  1. Firstly read contract carefully. The profession read every contract carefully. The biggest sign of whether a company is professional is how well their contracts are done. You can get an idea about whether they employ people who will dot the i’s and cross the t’s or whether you will have to do all of the heavy lifting.

2.    Find out how they handle their communications. With some companies, you will notice that it is a real challenge to simply find someone to talk to who knows anything about your project. You need a contractor who is available and able to speak with you on your time

Business finance – Meaning and concepts covered

Anything that has got to do with money, its management, accountability of the same, transactions, running of a company, costs etc. is covered under a wide terminology known as business finance. Let us look at some of the basic concepts that are involved here.

Health of a company

One of the main concepts involved in the financial market is to check the health of a company. By health, we mean the company’s capacity to sustain financially. This is done by checking the cash flow of a company. This will help you ascertain if a company has enough cash inflow to meet the expenses. In other words, it simply helps you understand, if the company is healthy or not, when it comes to its finances. By knowing this, you can arrive at an important decision of knowing if it is worthy to invest in this company or not.

Kinds of inflow

Businesses can borrow money from a lot of sources to run their operations. Some of the most important sources ofcapitalare equity, investments from venture capitalists and the like. The art of knowing the various sources of finance, how to utilise them to the maximum possible extent, what risks are one subjected to in each of these sources, what level of inflow can one expect them, how to develop further with these sources etc. are all widely covered in the concept of business finance.

Arithmetical formulae

For the benefit of owners, there are some formulae available in the financial market for calculating the soundness of their venture.. For example, a company’s current ratio can be calculated with the help of formula, current assets/current liabilities. In order to check a company’s quick ratio, that is, how quickly a company is able to generate cash for its needs, the formula is quick assets/current liabilities.

Important terms

Some of the important terms used in this field are cash flow, budget, balance sheet, dividends and the like. They are not jargons and it is important for everyone involved in this field to know about these. Only if the proper meaning, inclusions, exclusions and applications of these terms are understood properly, will an owner be able to sustain himself in the competitive world today. Today, there are lots of businesses vying for competition and it is important to have a unique edge over the other if you want to position yourself in the minds of customer. This edge could be in terms of your knowledge. You can get this by hiring experts in this department.

Minimizing Bad Debt – The Proper Use Of Credit

Businesses that extend credit to their clients can be a very advantageous situation. This can attract more sales by giving clients an extra convenience.

Unfortunately, businesses can sometimes have the problem of collecting bad debts. To avoid having to collect on bad debts, it is important for a business to lessen the problem of bad debts before a problem even arises.

If a bad debt does occur there are different methods a business can implement in order to collect on bad debt.
First there are credit management strategies. A business should always state clearly the terms related to extending credit and do thorough credit checks. The business should be sure that all credit agreements are put in writing and signed. It also helps if the company maintains accurate records and makes notes on any amount of money that is due or overdue.

Credit ratings should be evaluated regularly and if practical for the company, have the client give a deposit or pre pay for any services or products. The company may even want to collect payment as a project progresses to reduce the possibility of incurring a bad debt.

A business should always have a specific practice for following up on debts. Making phone calls, visiting customers or sending polite reminders are some things that can be done.

If a bad debt still occurs after using some strategies for credit management and the company need to recover the debt, they may want to try a consultation. A business may want to contact the individual that owes a debt and come to an agreement on payment. The company can get assistance from centers such as the Community Justice Center to resolve any debt disputes.
If debt consultation is unsuccessful, a business may want to send a letter of demand to the individual or company that owes money. The letter should request that the amount due be paid by a certain date. The letter should detail the debt and warn that legal action will be taken if the debt is not paid by the date specified. A company should be sure to evaluate the situation before using legal means to collect a debt. A business may prefer to send a letter asking for payment instead of a letter of demand.

A statutory letter can also be used if the debtor does not respond to a letter of demand. This type of letter is similar to a letter of demand but it is sent out like a court document. A statutory letter lets the debtor know of impending legal action that will commence in twenty one days.

After receiving no response from a debtor, legal proceeding may than begin. A business should be aware that starting legal proceeding is the most complicated way to collect a debt. The kind of legal action taken depends on the amount of money owed. Small Claims Courts deal with debt up to $10,000 while the General Division of a local court can handle debt that is up to $40,000.

Legal proceedings can be expensive so a business should consult their local court for information on potential costs.

Credit Management – Why Credit Management is Important and How You Can Get Help Free

Credit management is very important for people to consider because without it, our finances can fall into debt and we can become impoverished and might need to file bankruptcy if we are not careful.  This is something that most people overlook because they tend to take a lot of credit, credit cards and personal loans and lose track of how much they owe and how much they can afford to spend.  People become frustrated when they cannot make their monthly payments and sooner or later get stuck in a bad credit situation because of their poor credit management skills.

If you are going to be filing for bankruptcy or just want to be able to control your finances and spending, the best thing to look into would be a credit management course.  There is much information available online for free and there are some places where you can take courses.  Some schools offer courses for people to take as well.  If you are seeking a free credit management course, you can find them all over the place.  If you are looking for credit management tips, the best tip that I can offer you is to never go into debt and eliminate your need for credit indefinitely.  If you want more money and you want financial independence, create it for yourself.  If you rely heavily on credit and want good credit and more money, then make sure you find a good course that can assist you now and in the future.

Most credit agencies will require that you get help with credit and find credit management strategies to help you in the future or they will not help you.  If you want to start taking control of your finances, this would be the thing to do.

Is Online Banking Secure? : Internet Banking Security tips

Nowadays online banking service became a very popular. It allows people to undertake traditional banking activities, like account transfers, payment of bills and requests for stopping payments, via the Internet. In this day and age, online banking has become an essential facility for people who are hard pressed for time and find it difficult, if not impossible, to reschedule their busy lives for the sake of making a few withdrawals and deposits. The most important part for ensuring security while online banking, is to keep your password and pin number a secret.

Is online banking secure? Have you any ideas about this? Online banking or banking via the Internet banking is safe and secure. Here you can get the safety tips for internet banking. Internet banking allows the user to execute bank related transactions through Internet. The main benefit of internet baking is that people can use the service at home to transact business. When small transactions like balance inquiry, record of recent transaction, etc. are to be processed, the Internet banking facility proves to be very handy.

Safety tip about Internet Banking Security

The security of your personal computer is very important for safe internet banking.
Never login to internet bank account on public computer.
Never login to Internet Bank via an email link.
Never reply to email that asks for your personal credit card/debit card or any account number and password.
Check that the padlock at the bottom of the page shows that you are safe and secure websites.
Always use your Bank Account by typing Bank sites directly. If you don’t know the bank site, go and contact your bank personally they provide you all the details.
If someone call you as introduce them as Bank Employee and ask your bank account details, never expose them and report this to your bank personally.
Choose your user ID and password carefully – it shouldn’t be easy for others to guess (like your name!) and make sure you change them on a regular basis.
Once you are done with your Internet banking, make sure you log out and close the browser window.
Never give you password on the Internet (through emails) or over the phone to anyone

Choosing the right bank for internet banking with advanced features and facilities

The emergence of internet banking

The advent of online banking has been since 1980’s and is being alive till date. With the advancement in the internet technology, more options are available with online banking. Though it was 1980’s the mid of nineties was the period which boosted internet banking. The main beneficial fact of internet banking is the round the clock service which is comfortable for customers. The security reasons are another fact for which many people shift to internet banking. When an account is opened in a bank the option for internet banking can be requested in the same bank. The same is accomplished by submitting an application form for internet banking. The id and password for internet banking is provided to the customer by which internet banking can be activated. With the id and password the customer can make use of internet banking from anywhere.

Online shopping trend

The new trend of online shopping has been a main reason for internet banking to be boosted. Customers use internet banking for shopping anything online. Since this is an easy way of shopping and payment, internet banking is liked by all. Apart from online banking paying bills, recharges, fund transfers and more are achieved with internet banking.

Yes bank facilities

In that manner the yes bank net banking is one type of bank which has state of the art facilities for banking. Yes banking follows single access key, where a single key can be utilized for both net banking as well as ATM usage. To activate and make use of yes bank net banking, the customer just needs to login to the yes bank site and enter the pin provided for debit card. This number should be entered in the internet access services area. Once validated the customer needs to enter the password and start using the service which is simple and easy.

Latest technology for safety

The technology used by yes banking is safe and secured keeping in mind the customers. The highlight of net banking in yes bank is the two factor authorization which is implemented for the first time in India. With this facility one time passwords are used at time of net banking. This is a security factor when you’re processing net banking. By this way one never requires to remember many passwords for net banking. The transaction authentication is sent to the mobile by ways of SMS. All queries that arise amongst customers regarding safety and security of yes bank can be cleared by means of Instant payment options can be achieved by internet banking. The RTGS and electronic fund transfer are other options which can be used to transfer funds to third party instantly.  Demand drafts can also be requested by making use of yes bank. The best part of security is that yes bank uses 128 ssl encryption methods which is considered as a high level of security mode. These facts make yes bank the famed bank in terms of security and safety for customers. There are many people who possess account in yes bank for the above reasons.

Financial Planning in Sydney Saves Your Present and Future

At every phase of life one needs money, from the beginning of the life till the ending, but surely everybody don’t start earning and continues earning at all the steps of life and also are certain responsibilities, one needs to take care of at various levels of life. Economic planning is extremely important to pay such responsibilities and to pay upcoming financial requirements. Financial Planning in Sydney is actually a process of guaranteeing the supply of money where and when it is needed and to optimize the return of financial savings.

financial planning in Sydney



Inlayman vocabulary monetary planning could be a budget or perhaps plan to save current and long run income for certain group obligations such as marriage, education as well as Medicine. This plan of action allocates long run income to several types of expenditures, for example rent or utilities, as well as reserves some earnings for short-term plus long-term savings. Financial planning in Sydney also has investment of current and future income in some ventures or property to build maximum dividends on the savings, couple of such ventures can be an investment in start up business plan, Investment in stock exchange and in real estate investment.

When we invest in funds plus associated lending options such as bonds we overlook the loss related to instant access to the cash. More specifically, while investing in an economic product usually there remain managing charges or processing costs. Again regarding withdrawing the quantity before the period of maturity a foreclosure fee is added. It’s always important to make sure that the return of the spent amount must be greater than what invested and this too after all types of deductions. Additionally, it has been observed most of the financial companies charge a specific amount as penalty if the fund is taken out. In turn the individual even gets a lesser amount than he/ she invested. This is indeed often a negative situation for the investor.
A skilled financial consultant helps by giving transparency regarding distinctive investment strategies or ideas. The data about minimal amount you need to maintain after investment or other account associated charges or fees needs to get resolved. These are plainly known when the expenditure is initiated with involvement of an appropriate financial consultant. A Sydney monetary planner can help when you invest from any nooks of Australia. In this particular e-era information trade or consultation is a subject of a couple of seconds with best usage of internet technologies.

So if you’re looking to employ a financial planner in that case what is preventing you? Perhaps that you question of the efficiency of financial consultant, you are thinking about financial planning Sydney. Inquire and ask as much as you can. Inquire from your buddies or referrals already getting services of a financial consultant, question them about the functionality of their financial consultant and sum they have gained by different investment procedures and policies. Inquire from financial planners you are thinking about hiring for your monetary planning approach, asking the length of time they’ve been in the industry along with what are their biggest successes, ask about how many clients, what their qualifications are, how they function, and so on.

Three Ways To Obtain Business Finance Money

Business finance money is a necessity for the beginning small business as well as the large, thriving corporation and practically every type in between. Every company has to address the issue of where they are going to financial resources they need to maintain their operations. A brief consideration of the question yields at least three primary answers to the dilemma that most businesses will face. It should be instructive to highlight these ways briefly so that you have a better idea of what is involved.

First, one of the most obvious ways bigger companies obtain financial assistance is through selling shares in their companies on the stock exchange. This also called equity financing. This option not only handles some of the pressing monetary needs of the company by receiving money from each shareholder when they purchase shares. Each shareholder then has an interest in the company and is paid interest the shares they bought. This interest is called dividends.

Businesses can also use debt financing. This method is simply another way of saying that you must seek business finance money by borrowing it from outside financial institutions like banks and credit unions. This form of financing is common with businesses of all types and sizes. A business will most likely some sort of loan to in the beginning since useable capital may not be readily available to the investors, entrepreneurs, or proprietors. Debt financing via loans is by far the most common of all types of financing. There is another type of debt financing that is not always considered when search for business finance money.

Debt financing can involve the issuance of bonds. While bonds are similar to stocks that are issued by companies, bonds are counted as liabilities to the companies since they are like getting loans from investors. At the same time, investors are the ones who typically choose bonds since they are less risky to invest in than stocks. Bonds provide a set interest rate that is paid to the investor while the principle is protected even if all else is lost to changes in the market. Basically, the company issues a set number of bonds and if all are purchased, they get that money up front to use for the pre-determined purpose then they will have to pay the investors back for their assistance.

These methods of financing are the basic three methods used by most companies to obtain business finance money, but with some risk involved.

The trade credit control process and credit collection way by financial adviser’s

Introduction: One of the most important phases of a credit control process is to clearly define the conditions that would bind the credit agreement. This is supposed to be done by the lender. For case there should be clear state in the credit conformity of the fines the debtors force need to pay in case they get late with their payments.

Cash or credit business:

Firms supplying goods or services on credit naturally take a greater risk than those ‘selling’ for cash. Cash is the life blood of any business. And in the recent years of business latest gamble, the ability to get cash into business bank account more rapidly than it goes out again will be one of the main dealings of it being a workable business. even more so during tough economic period.

The temptation to increase sales or fees by offering credit may well be at the cost of supplying to unreliable or slow payers. Costs incurred in collecting debts may well exceed the benefit of additional sales; they may also lead to the downfall of your business.

What is credit control?

Business or industry credit is credit that is presented to business without by means of a personal credit. The verdict is made from drawing business credit reports which are frequently coming from experience business. Credit procedures designed at allocation the twofold function of (1) growing sales returns by extending credit to customers who are measured a good credit risk, and (2) reduced risk of defeat from bad debts by restricting to customers who are not a good credit risk. Effectiveness of credit control lies in procedures employed for moderator projections credit value,

Why need Credit Control?

The credit control process is one of the main vital ones in the framework of the pronouncement creation process of a company. In the current economic world this procedure is anticipated to be important with look upon to the economic well-being of a business being. The procedure of credit control is also vital for the lenders as well as their business diagnosis.

Credit control process provides the following benefits

1. Permits for reduced capital due to carry of payables.

2. Make available for buy of tackle that may not have been potential without credit.

3. Give for the increase of a business credit record, vital as the business goes ahead of infant steps,

Credit control process:

The credit management function involves an assessment of the finances of customers, to guarantee that they are financially able of paying for any orders that the company ships to them. There is a significant risk that orders may be shipped in circumvention of the credit management procedure, so the controls renowned following essential for measured

There are frequently troubles that need to be solved when organizing credit control. Many companies disagreement over how much they should pay or even sometimes whether they should pay at all. It is also trouble-free to make mistakes or for there to be a misinterpretation. The correct type of entity needs to be employed so that problems can be solved in a certified manor. They need to be positive and firm but also logical and respectful.

A compulsory control is to necessitate that all sales orders be sent to the credit department for authorization before any shipment is made. It is expected to avoid the credit endorsement process for small orders, fix and preservation orders, and when customers have recognized credit lines with the company

It is possible for sales orders to be deceitfully routed approximately the credit department, so create an authorization stamp to be used on each sales order. This authorization stamp should include liberty for the signature of the credit manager, and for the date when the authorization was settled. The shipping manager should not ship from any sales order that does not enclose this signed approval stamp. Also, the credit authorization stamp should be protected up when not in use.

Credit control problem arises seriously when there is no formal definition of how to calculate a credit limit. This results in widely varying credit levels being granted. To resolve this problem, create and consistently apply a standardized credit policy to all customers.

It is best perform to evidence all statement that you have with suppliers in relation to payment. You will be able to control the credit of the company in a much more well-organized way. Vital details to note are possessions like the date of the phone call, who you spoke to and their position in the company, the effects that were discussed and any problems with payment. This means that if any major issues arise, you have a detailed account of your message with the company in question and therefore problems are more likely to be solved faster.

They key to being victorious in this role is organization. If you cannot validate what has happened then you will considerably delay payment and potentially distress your customers and suppliers.

Credit collection stage:

Customers will often try to delay payment. This may be a danger signal or it may just be because they want to improve their own cash flow at the expense of yours in this business situation The debt collection process can be defined as a legal and necessary business activity where creditors and collectors are able to take reasonable steps to secure payment from consumers who are legally bound to pay or to repay money they owe

A credit provider’s collection process should meet the following objectives:

1. Should help in the cash-flow situation of the credit contributor.

2. Should avoid bad debts from enchanting position.

3. Should remain the expenses due to bad debt at the lowest possible level.

4. Has to be in line with the general Credit Act.

5. Should support the consumer to keep to his/her commitments.

Initial or preliminary credit collection process will turn to the below

1. Call the customer just before payment is due to confirm that it will be on time.

2. If a customer makes a part payment (payment on account), acknowledge receipt and ask for the balance.

3. If a customer queries one item, insist on full payment for the rest of the order. Sort out the query separately.

4. If a cheque is incorrect (unsigned or for the wrong amount), call to point out the error &

Ask for a new cheque immediately

Finally or as a final point by the financial adviser, consultant & planner, credit collection stage or the solution of is following

The first step in a credit control method is to make sure customers want to pay in advance and within the agreed terms. The very best way to achieve early completion is to make the settlement in the interest of the client and money is in every businesses interest. A possible solution would be to offer a cash discount for early decision. Presenting a cash discount for early settlement adds another precious tool to the credit control procedures as the debtors who do not take up the potential of paying lower prices are most likely to already have cash flow problems and credit should be controlled.

The financial strategies of a credit control system should include correct bookkeeping records and the without delay issuing of sales invoices and the usual making of customer declarations. Customers who go over the permitted credit limit must be sent a succession of credit control writing worded to make sure the customers take act to pay the outstanding invoices. Credit control writing should be sent at encoded intervals and each should specify the amount outstanding should be paid right away by growing the effect on the business affiliation if payment is not made.

Stage 01- The first correspondence should give advice the debtor that the customary terms and conditions have been exceeded and apply for payment to keep a sound trading relationship.

Stage 02 – This stage credit control correspondence might give an opinion the sales debtor that late payment penalties and interest payments will be raised if payment is not completed. If the customer chooses to disregard being charged extra for non payment then

Stage 03 – This stage communication should recommend the debtor the future orders will be placed on stop until the account is brought to order. Such action by the supplier may harm future sales but it is better to restrict the financial exposure to the sales already completed than continue to lengthen credit where the prospect of never being paid may become a reality. If payment has not been customary by this stage

Then a serious situation has urban. The customer has not paid on time causing the business a decrease in cash flow. The defaulter has also indicated by non payment act that amplified costs during interest and punishment is preferable to paying and finally that they are prepared to risk not getting further goods and services.

At this stage the supplying trade has to consider lawful action to pick up the outstanding balance. The amount outstanding is at risk and legal debt recovery should be raised to avoid the entire balance flattering a bad debt which may never be recovered with the significant effect on both cash flow and net profit.

SAP Credit Management

Table of Contents

What is Credit  Management ?. 3

Types of Credit Management 4

Simple Credit Check. 4

Dynamic Credit Check. 5

Organizational Structures & Master Data. 6

Customization. 7

Example. 9

What is Credit  Management ?

Most enterprises extend credit to their customers. This literally means, selling their goods and collecting money at a later point of time. The amount of credit extended is determined by the customer’s credit worthiness (Also called credit limit ) . The number of days for which credit is extended is based on the payment terms associated with that transaction.

For ex., Customer A could be given a credit limit of $ 100,000 by the company.

Now lets say the customer orders goods worth $ 20,000 with payment terms of Net 45 2 % ( Meaning if the customer pays for the goods within 45 days of purchase, he will be given a 2% cash discount. So instead of paying $20,000, the customer would need to pay ($20,000 – 2% of 20,000) = $ 19,600. This is to encourage timely payment of their bills and improve cash flow).

The same customer could also place another order for $ 60,000 and still be within his credit limit.

The value of Order A ( $ 20,000 ) and Order B ( $ 60,000 ) put together is called the credit exposure of the customer. If the customer places another order for $ 30,000 more, he now exceeds the credit limit set for him.

So, at the point of ordering (Order C) the customer’s total receivables ( Value of Order A + Order B ) along with his current order ( Order C ) is checked against this credit limit. Since the customer exceeds the credit limit set for him, the order would be blocked.

Credit Exposure = Value of all Open Items + Value of the current Order

$ 110,000       =  ( $ 20,000 + 60,000 )   +  ( $ 30,000 )

This is a very simple example of credit management. In reality, credit management can get pretty complicated and not all the scenarios will be covered in this document.

Types of Credit Management

Types of credit checks:

Simple credit check

Dynamic Credit check

Static Credit Check

Dynamic Credit Check

Simple Credit Check

This is very similar to the example we have discussed earlier. Simple credit check compares the Customer’s credit limit to the total of all the items in the order and the value of all open items.

Credit Exposure in Simple Credit Check = Value of all Open Items + Value of the Current Sales Order.

Open items are orders that have been invoiced to the customer but the payment for the invoices have not been received yet. The system can be configured to either block the delivery, send a warning or an error message when the credit exposure has exceeded the credit limit of the customer.

Dynamic Credit Check

Simple Credit Check alone is not sufficient for most businesses. Instead of just considering open items only, there is a need to consider existing open orders and open deliveries as well. Also, for old and seasoned customers, even if the credit exposure exceeds the credit limit set for the customer, the order can still be processed because of the good payment history with the company.

However, for new customers credit needs to be strictly monitored. For the purpose of Credit Management, SAP allows us to recategorize customers into different ‘Risk Categories’. Some examples of risk categories could be Medium Risk, High Risk, Low Risk etc.

Dynamic Credit Management can be broadly divided into 2 components.

Static Credit Check

Open Deliveries + Open Invoices + Open Items

Dynamic Credit Check

Open Sales Order Value with a Time period ( Called Time Horizon )


The use of time horizon can be best explained with an example. Most orders for the holiday season are pre-ordered because of the holiday rush. Orders might start to pile in as early as June, July. The delivery however is to be done in November or December.

For example, in August ,  Order A for $ 50,000 is a Pre-Ordered to be delivered in November.

Similarly for the month of December, another order, Order B is placed for $ 40,000  to be delivered in December.

In case of static credit check, the credit exposure is already $ 90,000. If a regular order is placed in August for another $ 30,000 the credit exposure would exceed the credit limit of $ 100,000. However, in case of dynamic credit check, a horizon of say 2 months would be used to exclude all orders for which the delivery has to be beyond the stipulated horizon.

So, order C would not be blocked in case of dynamic credit check.

Organizational Structures & Master Data

Monitoring Credit during SD Processing

The master data for those customers whose credit we wish to monitor is created in SD.We determine how high a customer’s credit limit is to be when creating this data.

Credit Control Area

An organizational unit that represents the area where customer credit is specified and monitored.Credit Management takes place in the Credit Control Area.A Credit Control Area can include one or more company codes.It is not possible to divide a company code into several Credit Control Areas.

Path: IMG -> Enterprise Structure -> Assignment -> Financial Accounting -> Assign Company Code to Credit Control Area.


Customization Settings for Credit Management in SD

1. Define Credit Groups

Credit Group groups together different business transactions which should be dealt with, in the same manner with regard to credit check.We enter Credit Groups when we configure the Sales document types for Credit Management.

The following credit groups are contained in the standard SAP R/3 system:

01 = credit group for sales order

02 = credit group for deliveries

03     credit group for goods issue

2. Set Sales Documents and Delivery Documents for credit management

We can specify in Customizing when,at the point of Order, Delivery or Goods Issue a check on the customer’s credit limit is to take place.We can specify the Sales document and Delivery document types  for which a credit check should be carried out.We can also specify if Credit check can occur at the time of Goods Issue.

We can specify the system response if credit check is set.The system can respond in the following ways:

–        Warning Message

The document can be saved.

–        Error Message

The document cannot be saved.

–        Setting a Delivery Block

The document can be saved, but a delivery block is automatically set.

3. Set Sales and Distribution document items for credit management

We can specify for each item category whether credit check is to be carried out.

Path: IMG -> Sales and Distribution -> Basic Functions -> Credit Management/Risk management-> Credit Management/Risk management Settings -> Determine Active Receivables Per Item Category.

4. Define type and scope of credit checks

  • Simple Credit check

A credit limit check can be carried out when sales documents are created or changed.The check is carried out within one credit control area. Simple credit check compares the Customer’s credit limit to the total of all the items in the order and the value of all open items.

  • Automatic Credit check

The automatic credit check can target certain aspects during a check and run at different times during order processing.

We can determine an automatic credit check for any combination of the following:

–        Credit Control Area

–        Risk Category of the Customer

–        Credit group

Path: IMG -> Sales and Distribution -> Basic Functions -> Credit Management/Risk management -> Credit Manageemnt -> Define Automatic Credit Control.


Now lets see an example, by creating 3 Sales orders.

Check the Credit Limit for the Customer.

Transaction Code:  FD32

Here the Credit limit is set at 1,000,000 and the credit exposure is currently 0.

Now lets start creating the orders.

Transaction Code: VA01

Order Value 1: 200.000,00

Create a second Order.

Order value 2: 600.000,00

The credit exposure now is 800,000 ( 200,000 + 600,000 )

Create a third order.

Order value 3: 300.000,00

We get the following error message when we create the Order, because the total of the net document value and the open items value has exceeded the credit limit of the customer.