December 30, 2009

Who wants to be a millionaire?

We have all heard the stories about one bright idea that made someone a millionaire but even if you are devoid of inspiration it is possible to have a seven-figure bank balance.

The key is the sooner you start the better.

Editor of Smart Investor magazine, Nicole Pedersen-McKinnon, said anyone earning an average wage can retire with a comfortable cushion of cash beyond their superannuation account.

"When you're young you have time on your side so you only have to put aside small amounts to amass a huge amount in retirement," she said.

"If you put away just $190 a month into an 8 per cent bank account you'll have $1 million by retirement."

If you leave it until your forties to think about saving for your retirement it is harder but still within your grasp.

Nicole said a property may cost $350,000 now but when you are 65 it is worth well over $1 million.

Jenni Eason retired at age 50 with $2 million in the bank. She had the advantage of a background in accounting but she did not start investing seriously until age 30.

"Anyone can do it, it's just a matter of setting down working out what you can and can't do and making sure that you get in to a habit of saving and the earlier you do that the better," she said.

"If you haven't got the money you don't miss it."

Jenni took full advantage of the tax breaks of super contributions and has always followed the mantra of spending less than she earns.

"I like the lifestyle I want and I'm happy with. There's nothing that I want to do that I can't do."

Even though Jenni managed to retire at 50 she could have started her serious savings then and still had a million by retirement.

So what is the most common mistake?

Last year Australians lost $1 billion to scams so make sure you are protected and do not be a sucker.

"My number one tip to earning $1 million is developing a healthy sense of scepticism," Nicole said.

December 17, 2009

Super Earth

Scientists discover Earth-like, water-rich planet.

Astronomers have discovered a new Earth-like planet that is larger than our own and may be more than half covered with water, according to a study published Wednesday in the science journal Nature. Skip related content

The so-called "super Earth" is about 42 light years away in another solar system and has a radius nearly 2.7 times larger than that of our planet, according to the study by the Harvard-Smithsonian Centre for Astrophysics.

The discovery of the planet, called GJ 1214b, represents a "major step forward" in the search for worlds similar to the Earth, added the University of California's Geoffrey Marcy in a commentary also in Nature.

The "newfound world" is too hot to sustain life as we know it, said the Harvard-Smithsonian Centre for Astrophysics in a statement.

Its density suggests however it "is composed of about three-fourths water and other ices and one fourth-rock," it said. "There are also tantalising hints that the planet has a gaseous atmosphere."

Its temperature is estimated at between 280 and 120 degrees Celsius (536 and 248 degrees Fahrenheit) with its host star about one-fifth the size of the Sun, according to the scientists.

"Despite its hot temperature, this appears to be a waterworld," says Zachory Berta, a graduate student who first spotted hints of the planet's presence.

"It is much smaller, cooler and more Earthlike than any other known exoplanet," he said in the statement.

An exoplanet is one outside of our solar system.

Berta said some of the water would likely be in crystalline form that exists at pressures greater than 20,000 times Earth's sea-level atmosphere.

Its temperature is much lower than that on the only similar discovery, called CoRoT-7b, which revolves around a star that is much hotter, the scientists say.

The CoRoT-7b has a density close to that of the Earth (5.5 grammes per cubic centimetre) and seems to be rocky, while the new discovery appears to be much less dense (1.9 g/cm3).

"To keep the planet's density that low requires that it contains large amounts of water," said Marcy. "It must contain a huge amount of water, roughly 50 percent by mass."

The "wild card" is the make-up of the gases on the planet, he said.

The planet orbits every 38 hours around a small, faint star that was first spotted by eight ground-based telescopes no larger than those used by amateur astronomers, the Harvard-Smithsonian Centre said.

Its relative closeness makes its possible to study it to determine its atmosphere.

"That will make it the first super Earth with a confirmed atmosphere -- even though that atmosphere probably won't be hospitable to life as we know it," said David Charbonneau who heads the research team.

November 15, 2009

10 Ways to Prevent Cancer.

Only a few everyday choices about diet, exercise and tobacco use can dramatically reduce a person's risk of cancer, according to a Special Report on Cancer Prevention.

The Special Report examines the science and latest findings on 10 approaches that can make a real difference in preventing cancer.

Here are some highlights from the list:

1. Don't smoke: Quitting smoking reduces the risk of lung and other cancers, regardless of the number of years of smoking.

2. Eat fruits and vegetables: The American Cancer Society recommends eating at least five servings of fruits and vegetables daily because they are loaded with vitamins, minerals, antioxidants and other substances that lower the risk of cancer.

3. Limit fat in the diet: Current guidelines recommend keeping fat intake between 20 and 30 percent of total daily calories, with most fats coming from sources of polyunsaturated and monounsaturated fats, such as fish, nuts and vegetable oils.

4. Maintain a healthy weight: Being overweight or obese can increase the risk of postmenopausal breast cancer as well as cancers of the colon, endometrium, esophagus and kidney. There's evidence that obesity increases the risk of cancers of the prostate, liver, gallbladder, pancreas, stomach, ovary and cervix.

5. Be physically active: From 45 to 60 minutes of moderate to vigorous activity a day, on most days of the week, is considered optimal to reduce the risk of breast and colorectal cancers.

6. Curb alcohol consumption: Women should limit themselves to no more than one alcoholic beverage a day. Men should have no more than two.

7. Limit exposure to radiation: Ultraviolet (UV) radiation, which comes from the sun, sunlamps or commercial tanning beds, is the primary cause of skin cancer, the most common of all cancers.

8. Protect against infection: Infections caused by viruses are recognized as risk factors for several types of cancer.

9. Consider chemoprevention: Chemoprevention is the use of natural or synthetic compounds to reduce the risk of cancer or its recurrence. Tamoxifen, prescribed to prevent breast cancer in high-risk women, is the best known chemoprevention agent.

10. Get recommended screening exams: Pap tests, mammograms, colonoscopies and other routine screenings cannot prevent cancer. But screenings can help find cancers early, when treatment is most likely to be successful.

The study has been published in the November issue of Mayo Clinic Women's HealthSource. (ANI)

May 26, 2009

Banana = Beer

The next time you feel a little low or jaded, don't hit a pub to drown your sorrows. Just visit a nearby grocer and buy some bananas or help yourself to a bar of dark chocolate.

The reason you are feeling low may be due to depleted levels of serotonin, the 'happiness hormone'. The intake of certain kinds of foods can help increase its levels.

"Serotonin is a neurotransmitter that regulates many of our feelings, including pain, sleep, mood and hunger. In simple words, it helps different parts of your brain to talk to each other, and inadequate amount of serotonin can lead to mood swings, sleep disorder and depression," says Ishi Khosla, clinical nutritionist and director of Whole Foods.

The solution, she says, can be found in certain foods. "A number of food items act as mood boosters.

For example, honey coated nuts, oatmeal porridge, muesli or granola in milk, yogurt and fruit are handy things that can make you feel better," she says. Monika Sharma, an MSc.

student, says, "I don't know about other things that can lift one's mood, but yes, chocolate definitely works for me. Whenever I feel low, I munch on a bar of chocolate.

" Chocolate may lift your mood but not without leaving you feeling guilty about the extra calories. Deepika Malik, a wellness expert, says, "If you are worried about putting on weight, you can substitute strawberries for chocolates and nuts.

Cold milk with a hint of saffron in it also acts as a mood booster.".

May 14, 2009

Banks to reimpose annual fee on new credit cards

Getting a new credit card now could become more expensive. Banks are looking to reimpose an annual fee on new credit cards.

The fee could be anywhere between Rs 250 to Rs 500 per card.

Bankers say that with mounting credit card defaults over the last one year, it has become necessary to consciously cut down on issuing new cards.

Also, with a large number of cards going out of circulation either due to defaults, or due to termination by customers, bankers say charging the fee will help protect their margins.

There is an annual fee on some cards already.

Currently, the platinum card customers are being levied an annual fee of around Rs 2,000-6,000.

With contracting volumes, bankers are increasingly finding the need to levy or re-impose the annual fee on new credit cards.

Credit Card = Money Trap

A credit card is a way of payment by using the plastic cards which are issued to customers for their payment. Credit cards are different than the debit cards. It is because using the facility of credit finance it does not remove or decrease the balance of the amount of account holder from his account.

Creditcard works differently from the debit card. It is issued after a credit card application has been made to the issuer. The issuer then lends money to the credit card holder generally on different rates of interest. And if a consumer is using credit cards then it means he can reconcile his balance at the cost of charging interest and it would make his payment period longer than before. Most credit cards are having almost the same shape and size around the globe.

Credit cards work in a very simple way, a consumer is issued a credit card after his application for credit card has been approved by concerning authorities and a credit company shows its consent to issue the applicant a credit card. Now the customer who has purchased the credit card will be able to buy things on credit up to the limit of credit which was agreed upon by both parties in terms and conditions.

A consumer can also used credit card online facilities to get benefit from his credit card. This online credit card facility is easy to use and it is faster than the actual procedures of cash transactions.

A customer can apply credit card on different outlets and he can also make purchase online by using his credit card in a case he does not have liquid cash.

Every credit card is supported by a credit card companies. Some of credit cards companies are best and they offer very user-friendly credit cards. This kind of credit card is one of the best credit card and their characteristics have no comparison with any other type of credit cards. In these cards the widely known cards are Visa Credit Cards & Master Credit Cards they are used all over the world. You can apply for credit card in any credit card company, or in a bank or you can also apply online for getting a credit card.

Different credit card companies and credit banks also maintain a system of credit check to get their credit in times. So a consumer will not be able to deceive them by using their credit cards. This credit check is maintained regularly and if a credit card holder is not able to pay his payments in the assigned time of payment then he will be given a grace period and in a case he would not be able to pay his credit. His credit card would be blocked. And he will not be able to make any further purchases from his credit card.

The rewards and points which person gets from using a credit card can be emerged together and that would the credit card consolidation.
According to The Wall Street Journal new laws regulating credit cards could soon change the way that America buys everything from clothes to groceries. In the process, it could also show customers the actual cost of the little plastic cards in their wallets.

Among other things, the new credit law currently being proposed in the Senate could introduce transparency into the world of credit cards. For example, most customers aren't aware that in return for the convenience of being allowed to take credit, stores generally give credit companies between 1.5 and 2 percent of the gross proceeds of their credit sales. By comparison, debit card sales cost the stores approximately one percent.

While the convenience of credit undoubtedly draws customers to stores that accept cards, it also means that these stores either have to realize smaller profits from their credit sales or charge all customers more to make up the difference. Retailers can theoretically offer cash customers a discount off the credit-card price, but credit contracts, as currently worded, make it difficult. Basically, to offer a reduced cash price, stores need to mark each item with both the credit and cash price. The credit price has to appear in a larger font and has to be more prominently positioned. Companies that fail to abide by these rules can face penalties from their credit providers.

Adding to the situation, many credit card companies offer customer discounts and other perks to encourage credit usage. That means many credit card customers effectively end up paying the reduced, or "cash," price, while cash payers get stuck bearing the burden of the tariff on credit card usage. Right, it's totally screwed up.

The new law would free retailers to do what they've long wanted -- either give cash-paying customers discounts off the marked price or charge credit-card users more, without all the complicated re-labeling and threat of penalties, etc. Attempting to block the proposed legislation, credit card companies have claimed that allowing stores to charge separate credit and cash prices could be a form of bait-and-switch for the credit customers. The companies further argue that the bill is an attempt to let retailers off the hook, ensuring that they don't have to pay "their share."

For quite some time, analysts have been warning that the current real estate crisis and Wall Street meltdowns are only a prelude to a credit crisis. As more and more customers get in over their heads with climbing interest rates and fees, it seems likely that they will begin to default on their cards. In that context, anything that tempers, or at least doesn't actively encourage, credit card usage could be a good thing. Allowing both cash and credit customers to pay their respective prices isn't only logical and fair then -- it might keep from throwing more gasoline on the fire.

March 28, 2009

Applying for a Credit Card


Credit card providers will do everything in their power to hook You into getting a credit card. Many attach a free gift or special offer and while that t-shirt of frisbee might look nice now, it isn’t worth the headache that a credit card will ultimately bring you. The most important thing to consider when applying for a card is the terms and conditions, not the free stuff.

Know your credit limits.
Usually credit limits are low when you get you first card. This is a good thing. It keeps your debt manageable, and allows you to start to build your credit score at an early age. Whatever you do, don’t go over your limit or you will pay some hefty penalties. Keep track of your spending.

Remember, promotional rates are temporary.
Just about every credit card offers a promotional rate for a fixed period of time to attract new customers. Do your homework and find out exactly how long, and then make sure you know what the APR will be set at after the promotional rate has expired.

Watch out for penalties and unnecessary fees.
The biggest pitfall with a credit card other than spending too much, is to have unnecessary fees added onto to your balance. These fees are most commonly associated with late or missed payments. In most cases, any missed payment results in a penalty plus a resetting of the APR to the highest possible rate.

My last piece of advice is to keep one card only. The more you have, the more likely you are to use them and confuse them. Keep it simple and good luck.

Read this if you use credit cards


As instances of credit and debit card thefts is on a rise, users need to be aware of the fact that if unreported, the liability on the amount of financial loss on their credit cards would rest on them. However, in the event of the death of the customer and any misuse of the card after that, like what happened in Delhi recently, where two women allegedly lost their lives at the hands of robbers, banks say that they would not go to the customer's family to recover the amount.

"As a gesture we won't go for recovery to the individuals family and I think that no bank will seek recovery in such case," said an official from a private bank on conditions of anonymity. However, banks set customers liable for any loss on card prior to discovery of card loss.

There are however means where the customer can transfer the risk of any financial loss on the credit card. There are insurance covers available with certain cards, which cover the pre discovery fraud loss on credit cards.

Citibank and HSBC offer the pre discovery fraud loss on their cards in partnership with CPP Assistance Services. It covers losses upto 24 hours prior to the notification of card loss.

These are available on select cards and also the cover is only upto several hours before the reporting of card loss," said Harsh Roongta, CEO, Apnaloan.com.

This means that if the cover is upto 12 hours prior to reporting of card loss then if the card is lost at 7 AM in the morning, and he reports the card loss at 9 PM the same day then any financial loss between 9 AM and 9 PM will be covered. Reserve Bank of India has been laying emphasis on banks to provide the pre-discovery fraud loss cover on their cards, said the bank official.

Also, RBI has asked the banks to put in place a system where the system will ask for one additional information that is not available on the card to validate the transaction. "This will make the online credit card transaction secure going forward," said Roongta.

Read this if you use credit cards


As instances of credit and debit card thefts is on a rise, users need to be aware of the fact that if unreported, the liability on the amount of financial loss on their credit cards would rest on them. However, in the event of the death of the customer and any misuse of the card after that, like what happened in Delhi recently, where two women allegedly lost their lives at the hands of robbers, banks say that they would not go to the customer's family to recover the amount.

"As a gesture we won't go for recovery to the individuals family and I think that no bank will seek recovery in such case," said an official from a private bank on conditions of anonymity. However, banks set customers liable for any loss on card prior to discovery of card loss.

There are however means where the customer can transfer the risk of any financial loss on the credit card. There are insurance covers available with certain cards, which cover the pre discovery fraud loss on credit cards.

Citibank and HSBC offer the pre discovery fraud loss on their cards in partnership with CPP Assistance Services. It covers losses upto 24 hours prior to the notification of card loss.

These are available on select cards and also the cover is only upto several hours before the reporting of card loss," said Harsh Roongta, CEO, Apnaloan.com.

This means that if the cover is upto 12 hours prior to reporting of card loss then if the card is lost at 7 AM in the morning, and he reports the card loss at 9 PM the same day then any financial loss between 9 AM and 9 PM will be covered. Reserve Bank of India has been laying emphasis on banks to provide the pre-discovery fraud loss cover on their cards, said the bank official.

Also, RBI has asked the banks to put in place a system where the system will ask for one additional information that is not available on the card to validate the transaction. "This will make the online credit card transaction secure going forward," said Roongta.