Are We Returning To Good Old Paper Money?

Cash Isn’t Dead

First Published Date: Aug 9, 2009

The past few years have seen a major change in the way we do things financially. More and more, we are seeing an economy that works away from the traditional methods. It used to be the case that shoppers would pay for smaller purchases with cash, and for larger ones with either cash or check, and as time went on with credit cards. As time has passed, however, there are many people who do not bother carrying cash with them and the check is now about as fashionable as velour flares. More and more, we are becoming a society of people who pay with plastic. Our weekly shopping is paid for by handing over a small rectangle of plastic and the funds are taken from our account directly.

This is a system that has taken off in no small part due to its convenience. Don’t have time to get to the ATM and withdraw cash on your shopping trip? Just hand over the plastic. Not sure how much you need to withdraw? Plastic means that the only money to leave the account will be the money you spend in the store. It’s convenient and saves on thinking. Initially it seems that it is the perfect way to do things. But this system does have its drawbacks, and people are becoming more and more aware of these and returning to good old paper money. If anyone out there is  hoping for the day when cash is entirely replaced by plastic, they probably have some time to wait. Checks may be playing less and less of a part in personal finance, but notes are still going to be used for a while yet.

The reason for this is that cash does allow you to take far more of a pro-active role in managing your money. One thing that has made paying by plastic problematic for people is that it makes it altogether too easy to spend money without really noticing. When the wages hit your account on pay day, you have a certain amount of money for the rest of the month. Paying your bills cuts away a fair section of that money. After other necessities are taken care of, you have your disposable income. Now, you wouldn’t be cavalier with the bills and necessary payments – but paying by plastic makes it all too easy to spend your disposable income, and that has to last for the rest of the month.

By withdrawing your disposable income in cash it becomes a lot easier to keep an eye on how much you are spending. Sure, you want your money to earn interest, so open a savings account and put some money in there. The rest of your disposable income can be kept somewhere safe and accessed whenever you need it. If you are keen to stick to a budget, it becomes much easier when you can physically see what you have for spending. Your plastic does not show you a running total as you use it, so the benefits of cash are surely clear. No, cash isn’t dead. Not by a long shot.

To streamline and minimize blog maintenance, I will be discontinuing maintaining the Canadapersonalfinancewebsite.com website (however, I will still hold the domain). I will gradually move all articles from this site to A Dawn Journal. This article originally published on the above website on Aug 9, 2009.

A Brief History of the World’s Tallest Skyscrapers

Tallest Skyscrapers in the World

First Published Date: Mar 27, 2010
 

Skyscrapers are essentially a 20th century invention, and while tall buildings have existed for thousands of years, they reached new heights when skyscrapers began to pop up around the world. Each time a skyscraper was built; there was the drive of the builders to have the tallest building in the city, country and in the world. Since the early part of the 20th century, the drive to have the world’s tallest building has been a constant battle between cities within a country and among countries around the world.

Things started off with the Flatiron Building, which was built to 87 meters and became the tallest skyscraper in the world when it was completed in 1902. The new steel structure of the building allowed the building to reach such a high vertical height and it was not long before other buildings in New York City began to copy the style and build to new heights. The Singer Building and Metropolitan Life Tower both succeeded Flatiron as tallest buildings within the city and the world.

The height of skyscrapers really increased with the Woolworth Building in New York City, which was built overlooking City Hall. Built to 241 meters, it became the world’s tallest building in 1913 when it was completed. It would keep this title until 1930 when the building was surpassed in its height by 40 Wall Street.

The newest world’s tallest skyscraper only had its title for a few months before the Chrysler Building took over title. Built to 319 meters, the Chrysler Building became an icon of New York City, but even its title as world’s tallest skyscraper did not last long. In 1931, only one year after the Chrysler Building was finished, the Empire State Building would rise to 381 meters and become the world’s tallest building. Unlike other buildings that held onto their title for a few years at most, the Empire State Building would remain the world’s tallest building for over 40 years.

In 1972, New York once again built to new heights with the completion of the World Trade Center, which consisted of two towers reaching to the equal height of 417 meters. Their title as world’s tallest skyscrapers would only last one year before the Sears Tower (Willis Tower) was completed in Chicago. This building reached up to 442 meters, or nearly half a kilometer and it would keep the title as the world’s tallest building until 2004. Currently, it remains the tallest skyscraper in the United States and the last, so far, of the American skyscrapers to be considered the tallest in the world.

America’s dominance of the tallest skyscraper category ended with the building of the Taipei 101 in Taiwan, which took over the title as world’s tallest skyscraper in 2004. This building reached to a roof height of 448 meters, but the title of world’s tallest building would not last long for this new skyscraper. Over in the Middle East, the tallest building was about to be built and it would be unlike anything ever built.

In 2010, the title of world’s tallest building passed from Taipei 101 to Burj Khalifa. This building did not beat the Taipei 101 building by a few meters for the title, it beat the building by nearly 400 meters, which amounts to almost half a kilometers in height! Burj Khalifa stands at 828 meters, making it nearly one kilometer high and by far the world’s tallest skyscraper and building. To put it in perspective, this Dubai skyscraper is half-a-kilometer higher than both the Chrysler Building and Empire State Building.  The Burj Khalifa also took over the title of world’s tallest free-standing structure over from the CN Tower, which for decades held the title.

Of course, this does not mean that skyscrapers will stop increasing now that the previous tallest record has been shattered. Many buildings are currently building to immense heights of over 500 meters, and in the future there will be some that challenge Burj Khalifa for its title. In fact, the Mile High Tower, proposed to be built in Saudi Arabia, would stand at an astounding 1,600 meters, or double the height of the Burj Khalifa. Whether or not it will be built is a question that cannot be answered quite yet.

The ScotiaBank Gold American Express Card: Should You Keep It?

The ScotiaBank Gold American Express Card Review

First Published Date: October 8, 2015

The ScotiaBank Gold American Express card is a travel rewards credit card that lets you earn Scotia Rewards points for everyday purchases that can be used towards eligible travel costs without any blackout periods or restrictions.

The Cost

Annual Fee = $99. Additional cards = $29

Minimum annual income required = $12,000

Rewards Points Snapshot

– Earn 4 points for every $1 spent at eligible gas stations, grocery stores, and on dining and entertainment in Canada.

– Earn 1 point for every $1 spent on everything else.

First Time Bonus

A 20,000-point (valued $200) welcome bonus when you spend $500 within 3 months. Also, the annual fee is NOT waived for the first year.

Anniversary Bonus

None.

Features & Benefits

– Book with any travel provider and redeem points for your complete trip, including taxes and surcharges.

– Receive 20% off and complimentary upgrade (if available) and a free amenity, such as complimentary breakfast, late checkout privileges, etc. (if available)

– Low Price Airfare Alerts will monitor your itinerary and if a lower price becomes available, the agency of record will automatically exchange your ticket for the lower price.

– Access to 24/7 full service travel agency.

– Complimentary 24/7 premium concierge service.

– 35% discount on Priority Pass annual airport lounge membership.

– Emergency Medical Insurance (25 days<65, 10 days>65 or older, Amount: 1 M/per person).

– Travel Accident Insurance (Up to $500,000 CAD).

– Auto Rental Theft and Collision/Loss Damage Insurance (Amount not provided by Scotia)

– Trip Cancellation Insurance ($2,500 each, maximum $10,000).

– Trip Interruption Insurance ($2,500 each, maximum $10,000).

– Flight Delay Insurance (After 4 hours, maximum $500 per occurrence).

– Lost and Delayed Luggage (maximum $1,000).

– Hotel/Motel Burglary (maximum $1,000).

– Extended Warranty Insurance (1 additional year).

– Purchase Security (90 days).

– Price Protection (within 60 days, up to $100 per item, $500 each year).

What’s Missing

– None.

My Take

Although the Scotiabank Gold American Express card is not an Elite series card, it can put many elite cards to shame in terms of the features and benefits it provides for only a $99 annual fee. Just take a look at the regular American Express Gold card that charges a $150 annual fee and provides inferior benefits and insurances. For example, Amex Gold does not come with concierge, trip cancellation insurance, and many other features Scotiabank Gold American Express comes with.

The only thing I can complain about the Scotiabank Gold American Express card is that it does not provide 4 points per dollar on travel spending; it provides only 1 point, which I find ironic because it is a travel rewards card and providing no extra rewards points on travel spending.

Another thing you need to keep in mind is that this is a Scotiabank/American Express blended card that will only work on the American Express network and you may find many places will not accept this card, unlike Visa and MasterCard which are accepted everywhere.

Finally, keep in mind that insurances provide by American Bankers Insurance Company of Florida, an American insurer. Like Allianz Global (which provides insurances for many Canadian credit cards, for example, BMO World Elite MasterCard), there were numerous complaints and bad reviews online about these providers when it actually comes to processing claims. All these benefits look very good on paper, but would mean nothing if you are unable or getting hard time processing your claims. I am much more comfortable dealing with insurances provided by TD, RBC, American Express, and so on. So make your call before picking any credit cards that provide insurance benefits.

As of this writing I do not hold this card.

Disclosure: Information provided here may not be accurate and no longer valid. The mentioned card provider is not related to A Dawn Journal and neither monitor this site nor responsible for any inaccurate information. Contact the card company directly for accurate and updated information. A Dawn Journal or my YouTube Channel are not compensated by or affiliated with any credit card companies. All credit card articles are 100% unbiased and honest.

Financial Cynicism or Financial Skepticism?

Looking to the Future

First Published Date: Aug 17, 2009

Reading the financial pages of the newspapers – both national and international press – has become something of an endurance sport in the past 18 months. Although there have been serious issues in need of being addressed, there must also be some acknowledgement that at a certain point, bad financial news reaches a level of saturation that makes everyone reading want to bury their head in the sand and shout “no more!”. This presents financial editors with a tricky conundrum. You have to report what’s going on, but when all you seem to be reporting is one hammer blow after another, does a point arrive where the coverage begins to dictate behaviour?

There is now a great deal of cynicism when any politician says that they can see the green shoots of financial recovery. Of course, there tends to be some cynicism when any politician says anything these days. It has become de rigueur to simply disbelieve a politician by dint of their occupation. It would be tempting to assert, although one must accept that statistics do not exist to back this up, that were a prominent politician to stand up and declare that it was sunny outside, 25% of any audience would look out the window for definitive proof before trusting that it actually was. This is how politicians are viewed by the general public in almost every country. It may not be ideal, but that’s how things are.

So it becomes doubly hard for governments to persuade their electorate that financial recovery is on its way, or already here. When a populace will refuse to believe the word of a politician on principle, overcoming cynicism becomes a Herculean task. Is this how it should be? A little bit of skepticism is surely welcome, but at what stage does skepticism become deliberate contrariness? At what point do we say “the media are saying one thing, the government another – I can only trust my own judgement.”? It seems that in this case, there is no time like the present. To clarify that, we appear to be on the cusp of a recovery which may, initially, be accompanied by limited growth or none at all. Waiting for recovery with growth to take off could mean missing the best opportunities. Get on the right bus now, however, and there could be excellent payoffs when your stop comes along.

As much as we like to make our own judgements based on a commendable grasp of the information in front of us, it should be accepted that we live in a world without certainties. No-one ever got rich backing sure things, but the markets are beginning to rise. Investing at this point may be the wisest step, because once the recovery has clicked into top gear it could be too late. It may not work out the way you hoped it would, but the same is true of any investment at any time – unless you are illegally well-connected. Be cautious and suspicious by all means, but don’t let opportunity pass you by.

To streamline and minimize blog maintenance, I will be discontinuing maintaining the Canadapersonalfinancewebsite.com website (however, I will still hold the domain). I will gradually move all articles from this site to A Dawn Journal. This article originally published on the above website on Aug 17, 2009.

The TD Aeroplan Visa Infinite Card: Should You Keep It?

The TD Aeroplan Visa Infinite Review

First Published Date : October 14, 2015

The TD Aeroplan Visa Infinite card is a travel rewards credit card that lets you earn Aeroplan miles for everyday purchases that can be used towards Air Canada (and 26 other Star Alliance flights) and various other rewards such as hotels, vacations, car rentals, entertainment, merchandise, and so on offered by Aeroplan.

The Cost

Annual Fee = $120 Additional cards = $50

Minimum annual income required = $60,000 (Or $100,000 household income)

Rewards Points Snapshot

– Earn 1.5 miles for every $1 spent at eligible gas stations, grocery, drugstore, and on eligible aircanada.com purchases, excluding Air Canada vacation packages.

– Earn 1 point for every $1 spent on everything else.

First Time Bonus

A 15,000 miles welcome bonus when you make your first purchase. Another 10,000 miles bonus is usually offered when you spend $1,000 within 3 months (check the TD website for details as TD is always changing these bonus terms and conditions). Also, the annual fee is NOT waived for the first year.

Anniversary Bonus

None.

Features & Benefits

– Complimentary first checked bag when you travel on an Aeroplan reward flight operated by Air Canada.

– Priority check-in and boarding when you travel on an Aeroplan reward flight operated by Air Canada

– Access to Maple Leaf Lounge when you travel on an Aeroplan reward flight operated by Air Canada.

– Access to Visa Infinite 24/7 concierge service.

– Emergency Medical Insurance (15 days<65, 4 days>65 or older, Amount: 1 M/per person).

– Travel Accident Insurance (Up to $500,000 CAD).

– Auto Rental Theft and Collision/Loss Damage Insurance (Amount not provided by TD)

– Trip Cancellation Insurance ($1,000 each, maximum $5,000).

– Trip Interruption Insurance ($5,000 each, maximum $25,000).

– Flight Delay Insurance (After 4 hours, maximum $500 per occurrence).

– Lost and Delayed Luggage (maximum $1,000).

– Extended Warranty Insurance (1 additional year).

– Purchase Security (90 days).

What’s Missing

– Hotel/Motel Burglary Insurance

– Price Protection Insurance

My Take

Although on the surface it looks like the TD Aeroplan Visa Infinite is showering you with many Air Canada benefits such as lounge access, priority boarding, free checked baggage, etc., you will not be able to use any of them. Let’s put is this way: You don’t want to use them, as the condition is you have to fly Air Canada and you should avoid Air Canada at any cost when you are flying on Aeroplan miles.

This is because Air Canada charges hefty fuel surcharges on Aeroplan flights and if you are an Aeroplan member your objective should be to not fly Air Canada, as there are other Star Alliance airlines that will not charge you fuel surcharges.

For example, let’s take Turkish Airlines, which is one of the Star Alliance members that does not impose fuel surcharges. If you book a one-way flight from Toronto to Istanbul, your total fees would be about $54. However, if you book the same trip using Air Canada, you will be paying $536 because Air Canada is charging you fuel surcharges.

So what does this mean at the end of the day? The TD Aeroplan Visa Infinite card basically provides no benefits, except insurance benefits and a Visa Concierge benefit. And even the insurance benefits are flawed, as the Trip Cancellation Insurance is only $1,000, whereas many other travel rewards cards provide $2,000 to $2,500.

Another point worth mentioning is that TD Aeroplan Visa Infinite card only provides 1 mile on travel purchases, although it is a travel rewards credit card.

As of this writing, I hold this card. I picked up the TD offer to receive 25,000 bonus Aeroplan miles and the waiving of the first year annual fee. In the future, I am planning to discontinue this card unless I can make TD continually waive the annual fee.

Disclosure: Information provided here may not be accurate and no longer valid. The mentioned card provider is not related to A Dawn Journal and neither monitor this site nor responsible for any inaccurate information. Contact the card company directly for accurate and updated information. A Dawn Journal or my YouTube Channel are not compensated by or affiliated with any credit card companies. All credit card articles are 100% unbiased and honest.