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Category Archives: money

Differences of Each Money Type

  • Primarily, money is the number one medium for all trade system of goods and services. Even in the virtual world, things that can be classified as money in case it is able to perform the major roles of money like medium of trade, stocks value, and the account unit. Knowing this, it is very evident that there are different money types available in history and earn an old coins and banknotes

    Four Major Types of Money

    Here is a summary of the differences of each money type:

    Money Type #1: Commodity Money

    This type of money is the simplest and generally the oldest one. From the scarce resources, commodity money represents as a medium of exchange, stocks value, and an account unit. The barter system is where commodity money originates. Moreover, the barter system and commodity money operates in the same way in which either the goods or services can be exchanged for other goods and services as well. However, what’s note-taking with this type of money is that the intrinsic value of the commodity is its real value.

    Gold coins, shells, beads, and spices are some of the examples of commodity money.

    Money Type #2: Fiat Money

    Unlike commodity money, fiat money’s value comes from the order of the government. It simply means that fiat money is defined as a legal note by the government which should be accepted by the people and the establishments of the country as a mode of payment. Failure to comply with this may be subjected to fine or imprisonment. Furthermore, the intrinsic value of the fiat money is relatively lower than to its face value. Also, the fiat money’s value comes from the connection of the supply and demand. This money type is generally utilized by most of the modern day economies. Coins and bills are the most common examples of fiat money.

    Money Type #3: Fiduciary Money

    Fiduciary money is not allowable as a means of payment by the government unlike the fiat money. Person who issues fiduciary money commits to exchange it for either fiat money or commodity money in case the recipient may request for it. Fiduciary money may include banknotes, cheques, or drafts

    Money Type #4: Commercial Bank Money

    The type of money that can be used as claims against financial establishments giving assistance, like that of the one handled by the bankruptcy attorney San Diego, is called as the commercial bank money. This money type can be utilized in exchange for purchasing the goods and services. Commercial bank of money is generally produced using the fractional reserve banking which is typically debt generated. 

    Advantages of Long-Term Loans

  • Long term personal loans could be a fantastic thing for a consumer as well as a business. The flexibility on the inadequate capital of the borrower is augmented, at the same time, the positive credit score that they have gained makes it much trouble-free and possibly more inexpensive to in the future get loans.

    Advantages of Long-Term Loans

    It is uncommon for a business or a consumer to have sufficient or abundant cash available to invest or capitalize on sizable and very pricey items, like an automobile or a house. Long term loans could provide the required funding for such purchases. These types of loans could be settled in installment up to twenty-five years. To be eligible for long term loans, a borrower must have a credit history that is satisfactory, is able to pledge collateral, and assets. If the criteria and conditions are met and provided, long term loans could curtail the upshot on operational cash movement, a borrow could get a loan with reduced interest rate, a business could abate interference from investors, and is an effectual approach to build and establish the worthiness of credit standing as well.

    Augmented Flow of Cash

    Capital is a resource that is usually limited and making an investment in huge sums to any project or asset restricts the availability and accessibility of capital for another investments. A long-term loan cuts the time used for saving up for an investment or capital spending, and sooner, investors are capable of achieving potential profits to aid in counteracting the cost. Though holding some on hand cash is vital to ease unanticipated expenses, setting aside a huge lump sums is uneconomical and inept. With long term loans, flexibility of the limited capital of an investor is amplified by allowing it to be allocated for a manifold of investments, as well as dismissing the abrupt result on operational money flow.

    Smaller Interest Charge

    Long term loans lenders take on a risk of high measure, which typically necessitates the borrower to provide collateral. Frequently, the asset wherein the finances are being loaned could function as collateral. In the circumstance the borrower fails to pay, that asset could be taken or reclaimed by the lender. Mortgage is an example. The borrower uses the money to buy a house and that purchase, which is the house, is utilized as the collateral. Up until the maturity of the loan, wherein the borrower becomes the exclusive proprietor of that asset, payments that were defaulted will result in the eviction of the borrower and proprietorship of the house will be signed over to the lender.

    Lessened Interference from Investor

    Looking for private investors as well as issuing shares are usual approaches to amass funds for possible investments. But these also means distributing ownership of the business or company which means redistributing and restructuring control as well. With long term loans, an opportunity to fund possible investments is provided whilst keeping control of the business or company.

    Optimizing the Benefits of HUD Grants to Cover Repairs of Rental Housing Units

  • If you are a rental property owner but have trouble raising money needed to repair or improve the conditions of your rental units, it will interest you to know that the U.S. Department of Housing and Urban Development (HUD) has been offering grants for that purpose.

     

     

    The HUD financial grants though depend on the location and type of property applied for, as well as comes with certain conditions. Nonetheless, the federal assistance could be the answer to your prayers. If you will optimize the benefits of such grants you can make additional revenue that will allow you to revitalize your other rental housing units; making them more attractive to tenants.

    The Multi-Family Housing Revitalization Grants

    The main objective for this type of grant is to provide affordable housing to low-income families. Approved grants under this program are to be used in improving and/or repairing housing units for rent in rural areas.

    However, the federal government requires rental property owners to enter into a “20-year Restrictive Use Covenant,” which makes it mandatory for them to lease the repaired or revitalized housing facility to low-income residents only. This denotes that the covenant includes a condition that the rental fees must not exceed the amount determined by the HUD as reasonable for low income earners in the related region.

    Main Street Housing Grants

    Owners of properties located in the historical downtown districts, known as “Main Street” of a community, can apply for a grant for the purpose of renovating a rundown commercial building. However, aside from agreeing to the condition that the traditional historical characteristics of the edifice are preserved, the renovation must be for the purpose of converting them into affordable housing units.

    Not all communities with historical downtown areas though, are qualified to offer the “Main Street ” grant. Only townships with 50,000 residents and with less than 100 public housing are eligible to offer this HUD grant.

    Housing Preservation Grants

    This HUD financial assistance is available to owners of housing units leased to low income families; but only if the property/ies are located in communities where there are less than 20,000 residents. Nonetheless, Housing Preservation Grants also allow landlords to use the funds in making repairs for their own homes. The HUD requires grant recipients to use the funds for repairs and revitalization of the low-income housing units within 24 months, counting from the date of approval.

    Hiring Property Managers to Optimize the Benefits of the Housing Grants

    Landlords should optimize the benefit of receiving financial assistance that addresses the need to revitalize rental housing units that have not attracted tenants due to their rundown state. Even if the HUD requires landlords to lease the improved units to low income families, the department does not forbid them from screening applicants before accepting them as tenants.

    However, there are federal government laws that stipulate the legal reasons for rejecting an applicant. That is why landlords who are not familiar with such laws find it necessary to engage the services of property managers. That way, they are assured that they will only be taking in quality tenants, whilst rejecting only those that fall under the categories deemed as legal reasons for rejection.

    In Atlanta, the services for property management peachtree city ga professionals offer, include assistance in legal documentation, tenant screening, background checking, rental collection, addressing repair and maintenance issues, as well as handling tenant complaints, and when necessary, pursuing evictions.

    Earn on Old Coins and Banknotes

  • Since the introduction of the euro in 2002, you may wonder how much you have left in old guilders, francs and German marks. You may find old money in the attic that you have saved after a vacation. You may also own old coins or old notes as part of a collection. If you have in safekeeping old notes and coins, you may not need to take out a loan after all as you can actually earn from these very old notes and coins.

    OLD DOLLAR BILLS WORTH MONEY

    The value of old money depends on 4 factors. Read about it further below.

    1. Money that Was Recently in Circulation

    Do you still have Dutch banknotes from the time of the guilder? The value of old money from the time before the introduction of the euro is still the same. The best way to exchange that old money is at the Nederlandsche Bank. These old banknotes are exchanged for a value of 0.45378 euros per guilder. For an old 100-guilder note, you can expect around 45 euros. Unlike a money exchange office, De Nederlandsche Bank does not charge costs for exchanging old money.

    Old banknotes from other euro countries can be exchanged at the central banks of those countries. Keep that in mind when you go on vacation to France, Belgium or Germany for example. Unfortunately, coins are no longer exchangeable in most euro countries.

    At the moment there is still a lot of old currency dust to collect in attics and cupboards. There are millions of banknotes and coins that have never been returned.

    2. The ‘Age’ of the Old Mint or the Ticket

    Old coins and banknotes from 100 years ago are of course worth much more than the guilders or francs in circulation just before the euro was introduced. A medieval or Roman coin is so rare that it has historical value for collectors.

    Does the old coin have a date? Then you know about how old he is. But until a few hundred years ago, coins usually had no date. Then you need an expert who can tell you where and when the coin was minted.

    3. The Condition of the Old Money

    Is the coin damaged or relatively intact? The older the coin, the greater the chance that it has been damaged by use or oxidation. If you find an old coin from hundreds of years ago that is still in good condition, then this coin has much more value.

    4. The Rarity of the Currency or the Note

    value of old money – selling the value of old money also depends on the number that still exists. Some coins or bills are old and in good condition, but not rare. It is possible that other collectors have the same type of coin or banknote. This can happen, for example, with coins and banknotes, many of which were made in the past when they were in circulation.

    If you want to know the value of old money, you can ask a coin dealer, jeweler, or a gold dealer. If they are interested you can also immediately sell the old coins or notes. But it can also be wise to keep the old money. The value of old money is steadily increasing every year. Old coins or banknotes are a good long-term investment: you can easily keep them, they are portable, and you can sell them at any time. That makes old money a stable and liquid investment.