Avoid Making Your Mortgage A Wasteful Borrowing

Do Not Take Out The First Decent Loan You Are Offered

First Published Date : August 26, 2009 ADawnJournal.com

The fact that it is nigh-on impossible for most people to buy a house without borrowing at least some of the cost these days has hardened some of us to the question of debt. It would not be wrong to say that a large amount of the consumer debt which is strangling companies and individuals right now is a result of people saying “Well, we are all in debt these days anyway – what harm will it do to add a little bit more?”. We have become hardened to debt – and even those of us who seek to avoid debt altogether are conscious that this has happened. Just for clarification, becoming hardened to debt does not mean ignoring it altogether. Rather, it means that we accept it will exist and we try to live the best way we can while recognising the fact.

One consequence of becoming hardened to debt as a society is that there has been a certain amount of slippage where wastefulness is concerned. Being ready to accept debt – as we all must be, eventually – should not mean being wasteful. If we are debt conscious, we can minimise the damage done to our finances by debt. If we are wasteful, we run the risk of doing something which is essentially the equivalent of accepting that there will always be a little bit of mess in our house, and inviting a family of horses to live in our kitchen in recognition of the fact. Yes, you can live with debt. No, you cannot live indefinitely with several debts getting in the way of everything you do and making a mess of things.

It doesn’t even need to be the case that you regularly miss loan payments for you to qualify as wasteful – although the amount of extra cash you will need to pay to make up for that certainly qualifies. Another wasteful thing to do as regards credit accounts is to take out the first decent loan you are offered without doing a little bit of shopping around first. There are so many banks out there who offer mortgages, and other institutions besides who will loan money for the purpose of buying a house. Even when people take into account that the bank will own a stake in the house for the duration of the loan account, they are often still all too happy to settle for a “decent” mortgage, when a little bit of time spent researching would have freed them up to the tune of hundreds of dollars per month.

Being wasteful costs us a lot of money when we are young, and some people never really learn the lesson. Sure, it’s fun to let go every so often, but that’s what ball games, clubs and friends are for. A mortgage shouldn’t be a case of “yeah, this will do!”. It needs to be a matter of “yes, this is the right one”. You’ll be paying it off for a quarter of a century or more, most likely, so it requires some attention.

Free E-Book: 101 Reasons to Love a Recession

How to Prosper During an Economic Downturn

First Published: ADawnJournal.com May 27, 2009

International Best Selling author Ernie Zelinski has generously offered his latest E-Book free for A Dawn Journal readers.  Titled 101 reasons to Love a Recession, it talks about how motivated individuals can capitalize on recession. A recession can present opportunities to prosper during an economic downturn and benefits of a recession should not be overlooked. Economic turmoil can bring the best and it’s up to you to turn adversity into advantage.

This E-Book is yours to download right now. I will not ask you to provide your email address or force you to subscribe my RRS Feed to enjoy this book. However, If you would like, you can subscribe my RSS Feed voluntarily right here – RSS.


Canadian Financial Blogs

Financial Blogs In Canada

First Published: June 7, 2009 ADawnJournal.com

It is time to present a list of Canadian Financial Blogs for my readers. There are many (probably too many) blogs out there these days—not all of them worth mentioning. In search of blogs that can be mentioned here, I have set some standard criteria to follow. Each blog needs to go through these filters, thus providing you with only quality writing and a pleasant reading experience.

Here are the filters for the ADJ litmus test:

·   The blog must have its own domain name. Free hosted blogs are simply not professional and lose credibility. You can’t simply expect to be taken seriously if you are on a free hosted site.

·   The blog must be three months old.

·   The blog must not have too much time lags between posts.

·   The blog must present original, vibrant, timely and timeless content.

·   I am featuring only English language and family-friendly blogs.

·   Blogs with low Google PageRank may not be approved but will be given special consideration to be listed.

This post is going to be updated from time to time to add dynamic, promising new blogs. If you come across a blog that you would like me to add, send me an email via my contact page or write a comment underneath this post.

I will be using sites’ own descriptions to describe these sites. For example, A Dawn Journal would appear as: A Dawn Journal – A blog on Personal Finance, Investing, Entrepreneurship, and More. Sites will be listed in alphabetical order – this puts A Dawn Journal on the top spot. Let’s begin our list.

Canadian Financial Blogs – The List

A Dawn Journal A blog on Personal Finance, Investing, Entrepreneurship, and More.

Canadian Capitalist – A personal finance blog to help Canadians navigate their way through the alphabet soup of financial acronyms: RRSPs, RESPs, TFSAs, mutual funds and ETFs

Canadian Personal Finance Blog – Personal Finances and Consumer Concerns, essays, stories, examples and how to articles with a distinctly Canadian Point of View

Canada Personal Finance Website – A personal finance website written in simple and understandable terms from a Canadian perspective.

Four Pillars – Investing and personal finance

The Dividend Guy – One Guy’s Journey to Passive Income Through Dividend Investing

The Financial Blogger – Got Money?

Thicken My Wallet – Everything to do with thickening your wallet

Million Dollar Journey – The Making of a Millionaire – A Canadian Personal Finance Blog. Daily topics include The Smith Manoeuvre, RRSP, Canadian discount brokerages, Questrade, early retirement and book reviews

Worthwhile Canadian Initiative – A mainly Canadian economics blog

Where Does All My Money GoWhere Does All My Money Go

NB – I will be adding more sites slowly

Toronto Stock Exchange Has Launched A New Portal Called TMX Money

TSX Launches TMX

First Published: June 15, 2009 ADawnJournal.com

Toronto Stock Exchange (TSX) has launched its new financial portal “TMX Money.” Visitors will be able to access a series of new features and investment research tools to make informed investment decisions.

Some of these tools are:

– Stock screener
– Financial calculators
– Stock Market glossary
– Customizable ticker
– Business news
– Exchange Traded Funds (ETF) portal
– And much more

I like ETF portal the most. Exchange Traded Funds (ETFs) are growing in popularity and opening up new investment opportunities and possibilities. I encourage you to check out TMX Money’s ETF section as it provides helpful ETF information. Visit TMX Money for more information.

Personal Finance and Kids

Kids Need to be Taught About Money

First Published: June 23, 2009 ADawnJournal.com

The Alberta Finance Minister has said that both parents and the government need to take a firm hand in teaching kids how to be financially responsible now and in the future. With the current global financial situation having some bad news for everyone, even among the growing number of positive signs, it is now viewed as absolutely essential that sound financial planning is given the emphasis it requires at all levels, rather than leaving children to find out about the intricacies of the subject first-hand when they leave college and start looking for work. The minister, Iris Evans, said that her own children – all of whom are now grown up – have succeeded in life because she made sure to teach them about money.

Although not everyone would agree with the entirety of the Minister’s speech – which made great play of the importance of each family having at least one stay-at-home parent – the message of teaching children about money and how to handle it is one that will surely recur as we work to get out of the troubled financial climate of the present. At least some of the problems that the world is currently dealing with have something to do with irresponsible consumer borrowing and spending, and if good habits are locked in at an early stage then there is all the more chance that financial crises like the present one will be rarer and shallower in future. What the government may do remains to be seen, but there are plenty of things that a parent can do to instill the right habits in their offspring.

Savings accounts are something that will often be encouraged for the very youngest kids, but when they get to around the early teens the interest seems to drop off quite considerably. Finding a way to encourage your teenage child to save and pay close attention to the value of money is not difficult. All that one needs to do in the present climate to make one’s children pay heed to the importance of sensible financial practices is watch the news with them. As banks, businesses and other organizations battle the ill-effects of financial laxity, there has never been a better opportunity to pass on a message of caution.

It may be increasingly difficult in this day and age to avoid debt in one’s everyday life – particularly if one intends to make a go of a business career at any point – but a bit of financial wisdom can give the children of today the thought processes to deal with the future in a mature and secure way. Don’t teach them to be afraid of debt, but to understand good and bad debt. Don’t let your children see loans as free money, nor see savings as being boring or cheap. Good financial sense starts at an early age, and with a bit of forward thinking can lead to a very satisfactory future. Instilling these messages will mean less likelihood of a repeat of what we are currently dealing with.