Importance of Insurance

Well... It is important of course! That's exactly the reason I don't understand with people fleeing like their about to pee on their pants when I started discussing them the policies of insurance. Sheesh! Imagine how much risks you will be save from when you are insured. That's why it's called IN-SU-RANCE! Insurance companies technically insures that you do not suffer risks or losses. But first you must religously pay your premiums. Premiums will not cost you that much why not be insured?

Here are kinds of insurance that you can avail of:
Life Insurance 
insures the life of the insured.This does not mean the insurance company will insure that you will be alive FOREVER! This means that your wife and children will be very very happy when you die. In my case, my wife can finally afford a trip to Europe.

Medical Insurance
Here the insurance company pays the amount to the insured for his health purpose. In case you get sick, You don't have to worry about the medical expenses,  depending on your policy.   In my case, the money I've been saving for my wife's trip to europe will be untouched. Therefore She'll no longer wish me dead.

Disability insurance
-a financial support on monthly basis is provided by the insurer to the policy holder if he is unable to work due to an injury or an illness.This a a type of simple disability insurance. But in the case of permanent disability insurance the injured person will be reimbursed by the insurance company. You guess right! I'll be able to survive even without my wife who is shopping for Louise Vitton because I have money while I'm peacefully sited at home, trying to relax watching movies, no longer chasing people who suddenly had the urge to pee at my sight.

Did you see the importance of Insurance?? ---IT'S ABOUT MAKING YOUR WIFE HAPPY! AND MAKING PEOPLE PEE.


_How about you? What do you think is the importance of Life insurance in your life? Please leave your comments

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You want "Home Loan". Here is the Solution

Which Type of Home Loan is Right for You?

If you are new to the world of home loans, the number of options at your disposal is enough to make your head spin. You know all about the basic "new purchase" mortgage and what it entails, but have never given much thought to the others: refinance, home equity, home improvement, debt consolidation and loan modification.

What are these other types of home loans, and which one is right for your particular situation? Here we take a closer look at these loans so that you may decide which is best suited for your needs.

New Purchase Mortgage

The most common type of home loan is the new purchase mortgage, which is granted to home buyers so that they can finance the purchase of a new or existing home. When you begin your home buying quest it is important to familiarize yourself with the types of loans available and the terms that go along with them. The biggest difference in mortgage loans is the fixed-rate mortgage and the adjustable-rate mortgage.

A fixed-rate mortgage keeps the same annual percentage rate (APR) through the life of the loan. The interest rate will never change and the homeowners can rest assured that their payments will remain the same until the end of the loan. An adjustable-rate mortgage, on the other hand, has an interest rate that will adjust periodically in the life of the loan. However, these loans typically have lower payments and come with the option to convert or refinance to a fixed rate at a later time. This type of mortgage is good for homebuyers that plan to live in their homes for only a few years.

Refinance

Refinance loans are for current homeowners who seek to change the terms of their existing loan or use their home's equity for other purposes. There are several reasons you may want to refinance your home loan:

   • You have an adjustable-rate mortgage and you'd like the security of a fixed rate

   • You'd like to lower your monthly payment

   • You want to get equity out of your home in the form of cash

When you refinance your loan you are essentially restructuring your debt with new debt. The new loan pays off the old loan, and you begin to make payments on the newer loan.

Home Equity

Home equity is the difference between the home’s fair market value and the outstanding balance of the loans on the property. When a mortgage has been paid in full the property belongs to the mortgager, but in the meantime the mortgager has the option to borrow against the equity in the home.

There are two types of home equity loans. The first is known as a second mortgage. This type of loan lends a lump sum of money to the mortgager and must be paid over a fixed period of time.

The other type of home equity loan is a home equity line of credit, or HELOC. This gives the mortgager a line of credit similar to a credit card but in this case the funds are drawn against the equity in the home.

Home Improvement

This loan works like a home equity loan with an advance of funds to the property owner, but the money must be used for improvements such as maintenance and repair. A home improvement loan is usually short-term, and its resulting repairs and improvements may increase the value of the home.

Debt Consolidation

Debt consolidation is basically taking out one loan to pay off many others. A borrower may use their property as collateral in order to decrease the amount of interest they are paying on other debts, such as credit cards. The loan is used to pay off high interest debts by getting a lower interest rate and by making one payment a month versus many payments.

Loan Modification

Loan modification takes place when a borrower facing financial difficulty and having trouble making their mortgage payments works with their lender to change the terms of the mortgage. This usually involves a reduction of the interest rate on the loan or an extension of the length of the loan terms. A lender is willing to change the terms as such because they otherwise stand to lose more if the home should go into foreclosure.

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