Following the 5 steps to create Wealth in your life:

1. Accept 100% responsibility for our situation

One of the most common problems in people, is that they believe that the responsibility for your financial situation for others. Whether the government, employer, financial institution, their families … and so on.

If you really want to achieve wealth, accepts full responsibility for your life, and commit to take steps to improve it.

2. Develop a Wealth Mentality

Perhaps this is one of the main goals of this blog. The reprogramming your mind completely, so you begin to conceive of the concepts that will serve to create wealth, and discard what does not.

The problem however, is that people do not take seriously the creation of a culture of wealth. Just think to change your thinking about money will result.

3. Defer Bonuses

On the other hand, people who are in great abundance in their lives, usually know for certain what they invest and spend their money. They know how much goes in and going out each month and have great control.

And interestingly, those who have money problems or even care about these issues. They are very busy with things “more important” to think about these details. And certainly that is what constitutes a financial abyss for them.

Deferring gratification is not to reward all the time without reason, buying things for pleasure or personal satisfaction, but have enough self-control to do so moderately only when truly deserve it.

4. Designing a Strategy for Creating Wealth
This fourth step is another very important in principle must develop a strategy that allows you to achieve abundance. How to get to your destination if you do not know which path to take anyway?.

If you do not know how to create wealth, and if you have a clear strategy based on your skills, strengths, passions, geography, society around you … etc, hardly you will get rich.

5. Maximize your ability to produce

The key is productivity. When you take into account the above steps and you’re on your way to wealth creation, how to make you rich, you will maximize your income (because your expenses were minimized in step 3.).

Maximize your income will depend specifically on your business, your item and yourself, but find ways to produce more, or to generate more value is ultimately what will make you rich and will give you more abundantly.

In many cases is to produce more, or find other alternative distribution channels. Either way, the application of the latter and all the steps above will take you to financial freedom.

Certainly if you take action to achieve your goals. Make it your goal, then, to reach financial freedom. Do not leave it for later … may be too late.

Your financial history is including debt, loans, accounts, credit cards, collections, outstanding balances and more. If your credit is good it will be easier to obtain financing with good rates of interest and if it’s bad impact your ability to get loans and services.

When you apply for credit financial institutions and lenders look at two main factors:

* Credit report: a record of your transactions and financial accounts, loans, debt, cards, collections, payments, outstanding balances, personal information and credit applications. The bad financial history can remain on your credit report for seven years or more.

*Credit score: A number, usually between 300 and 850, used by financial institutions and lenders to predict your likelihood to repay loans on time. Your score low if you have too much debt or do not pay up on time and if you manage your money responsibly. A score above 700 is considered very good. A score below 600 represents a risk to the lender and can cause you to receive a higher interest rate or that your application be rejected. (more…)

It sometimes happens that for various reasons such as death or change of address, bank account holder “forgets” that keeps the balance in favor of it. In this circumstance raises the question: What happens to the money left by their owner in the bank account?

The truth is that as regulated by Article 18 of Law 33/2003 of November 3. Heritage of the Public Administrations, the balances in a bank account abandoned become the property of the state when you go 20 years without “has management practiced by some stakeholders that involve the exercise of their right of ownership “. I.e. without the owners have made any movement, except charges for maintenance fees was able to perform the bank.

The financial institution is required, three months before the expiry of the legal limitation period of 20 years, to communicate by registered mail to last known address of the holder of the account, the existence of it and the fact that it takes 20 years (less than three months) without movement. This communication is the last opportunity for owners to recover the money before finally passing the state funds.

The valuation of a home plays a fundamental role in the granting of a mortgage. It is a little known process but you need to know to use because of the valuation will determine the amount the bank will grant a mortgage loan.

It is important that the amount of taxation is as close as possible and not less than what you pay for the property, because otherwise we run the risk that the value of the mortgage is less than what we need. It is important to know that today most financial institutions do not provide mortgages for more than 80% of the appraised value of the property, except from the auction floor or in the case of providing additional safeguards as an endorsement.

The appraisal is a report that approximates the value of a property according to property valuation standards. Keep in mind that this is a highly regulated sector with the supervision of inspectors of the Bank of Spain, who issued lists of approved appraisal companies. Also, note that normally belong to appraisers appraisal companies, while banks tend to have approved only a few. Get the facts on this point, since it can be to hire an appraisal is not approved by the bank and has no validity. To avoid having to do two appraisals, it can be very useful to perform a pre-assessment online, much cheaper than a valuation-in order to negotiate the purchase price and see if 80% of us access to a mortgage. (more…)

In early 2009, large U.S. banks have been received at the White House for a meeting with the President: it told them that the only way he could justify the measures taken in their favor was through their participation in the effort for economic recovery. To be clear: I will support you if you use the means that I give you to help me revive the economy. From my side I count on your restraint in pay.

For a Democratic president, it was indeed possible to support financial institutions that if they contributed to the national recovery effort. So they had to use the resources obtained by lending on terms less onerous because their cost of funding was lower. And they had to continue to lend to the real economy. (more…)