Latest news with #financialexperts
Yahoo
a day ago
- Business
- Yahoo
One change that could leave Aussies $830,000 better off at retirement
Most people think building wealth is about how much you save or how smart you are with your investing. But what makes the real difference isn't your income, your investment knowledge, or even your budget — it's how early you start. Consider an example of two people with the same goal of growing their money through investing. One starts investing just a few dollars a day from the age of 20. The other waits until they get to age 40, when their financial position is more settled, they're earning more, and they're able to invest a more 'meaningful' amount of $500 monthly. But when we look at the numbers, you can see that by waiting, the damage is done. Even though the late starter is investing more than triple the amount of money, they end up with less than half the amount of money at the end. This is the power of time — it works silently in the background, and if you ignore it, the cost is huge — even if you're doing everything else right. RELATED Expert's 'crucial' money tactic to retire with $2.9 million Centrelink's 'balancing' move could provide cash boost or expose debt Commonwealth Bank's fresh alert for millions over mass text messages The power of time (and compounding) Going back to our example, we've got two people, Emma and James. Emma starts investing $5 daily from the age of 20, and James is our late starter who invests $500 monthly from the age of 40. Because Emma starts early, her money has more time to grow — and that's where the magic of compounding comes even though she's investing less money overall, her money starts growing sooner. And through compounding, Emma benefits from growth on her growth, which cranks up her investment balance over time. Based on the Australian long-term (30-year) average sharemarket return of 9.8 per cent, Emma's $5 daily investment would grow to be worth more than $1.48 million by the time she's 65. For James, even though he's putting away $500 monthly, or more than triple what Emma is investing, he starts 20 years later. By the time he reaches age 65, his money has grown to just under $650,000. This is a solid result, but is $830,000 less — or less than half of the final amount Emma has from her much smaller investment. For James to 'catch up' to Emma given his delayed start, he'd need to invest around $1,250 monthly — or almost 10 times the daily investment amount Emma is putting in — all because he starts later. The cost of waiting It's not about earning more. It's not about investing huge amounts of money. It's about giving your money time to work for you. When you start early, you don't need to be perfect. You don't need to pick some hot stock that takes off. You just need to get started. Small amounts of money, invested regularly and consistently, are how regular people can build a life-changing amount of money. It isn't 'sexy', and doesn't need to be 'risky' — but it is effective. Waiting even a year to get started with investing can cost you a lot more than you think. Delaying by 12 months might not seem like much, but following our example above, waiting just one year to start your $5 daily investment (starting at age 21 vs 20), your final balance drops by $140,000. But it gets worse. If you delay to age 25, that's over $580,000 you'll miss out on. And if you wait until age 30, you're giving up a whopping $940,000 in investment growth. That's the opportunity cost of inaction — it's not just about not investing now, it's about future options you're missing. The earlier you start, the less effort it takes — and every year you wait, the cost of your inaction grows. This is the hidden danger of inertia. Most people don't realise the real cost of waiting, because it doesn't really feel like you're losing money. But you are, because you're giving up future wealth that only time can create for you. That's why time is your greatest asset. The longer you wait, the more effort it will take to catch up, and for most people that gap simply becomes too much — and they end up settling for an outcome well below where they really want to be. This works for anyone And the best part of all of this is that investing $5 daily is something that's possible for almost anyone. It doesn't require a huge income, lots of time, or heaps of experience in investment markets. Instead of stressing about trying to save hundreds or even thousands of dollars, simply automate a small daily investment and let it grow. Thankfully today, technology is making this easier, with dozens of investment accounts that can help you easily automate a regular investment. Follow this approach, and over time your investment growth will outpace how much money you're putting in — and eventually it will do more of the work than you ever could on your own. Most people spend too much time trying to predict the perfect time to invest, or waiting for their financial situation to get more comfortable so investing is 'easier'. But the real winners are the people that crack on and get started, and focus on being consistent over a longer period of time. The wrap Investing doesn't need to be some big, bold action you take once you have heaps of money. It just has to be consistent, and the sooner you start, the more you'll be rewarded. Don't wait until you make more money, or saving is easier, or even until you're more of an investing expert. You just need to make the decision — $5 a day today, or thousands monthly later trying to catch up. Because when it comes to getting ahead, how soon you start is the single thing that will make the biggest difference. Ben Nash is a finance expert commentator, podcaster, financial adviser and founder of Pivot Wealth. Ben's new book, Virgin Millionaire; the step-by-step guide to your first million and beyond is out now on Amazon | Audiobook. If you want some help with your money and investing, you can book a call with Pivot Wealth here. Disclaimer: The information contained in this article is general in nature and does not take into account your personal objectives, financial situation or needs. Therefore, you should consider whether the information is appropriate to your circumstances before acting on it, and where appropriate, seek professional advice from a finance in retrieving data Sign in to access your portfolio Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Best cashback card deals of the week, 23 July
Credit cards aren't just about spending. They are also powerful tools that, when used wisely, can help you save money, manage debt and even earn rewards. Whether you're looking to cut down on interest payments, earn cashback on everyday purchases, rack up air miles for your next holiday, or avoid fees while traveling abroad, there's a credit card tailored to your needs. In this guide, we'll break down the best options on the market for balance transfers, purchases, cashback, air miles and travel spending. We'll show you how to use these cards to your advantage, ensuring you get the most value while avoiding common mistakes. Best 0% balance transfer credit cards If you're struggling to keep up with credit card payments, a balance transfer credit card can be a lifesaver. These cards allow you to transfer existing credit card debt onto a new card with a 0% interest rate for a set period, potentially saving you hundreds of pounds in interest. Read more: How to build passive income However, there are some crucial rules to follow to make the most of these deals: Always pay the minimum monthly repayment. Missing a payment could result in losing your 0% interest deal, incurring fines, and damaging your credit score. Clear the debt within the interest-free period. To avoid paying interest after the promotional period ends, make sure you can pay off the entire balance within the 0% timeframe. Don't use the card for new purchases. The 0% deal usually applies only to transferred balances, and using the card for new spending could result in hefty interest charges. Check your credit score. The best deals are often reserved for those with a strong credit rating, so it's worth checking your score before applying. Kate Steere, a credit card expert at personal finance comparison site said: 'There's healthy competition in the balance transfer market at the moment and you can bag almost three years at 0%, provided you don't mind paying a balance transfer fee. "The longest 0% deals always come with these painful, percentage-based balance transfer fees. So if you're in the market for a balance transfer and don't think you'll need such a long period to clear your card debt, then first consider the longest no-fee deals on the market (Barclaycard [BARC.L] currently offers 14 months with no transfer fee). But if you do know you'll need longer to clear your debt, then it's worth taking a slightly shorter 0% term to get a lower balance transfer fee.' Best 0% purchase credit cards A 0% purchase card allows you to make new purchases without paying interest for a set number of months. This can save you thousands compared with using a standard credit card, assuming you pay off the balance during the interest-free period. Read more: Average UK house asking price drops by almost £5,000 These cards are perfect for planned, necessary purchases. Think of them as a tool for managing big buys such as a new TV or essential home improvements. Let's say you take out a 0% purchase card with a 10-month interest-free period and spend £2,000 on new appliances. If you repay £200 each month, you'll clear the debt before the interest kicks in. However, if you still have a balance after the 10-month period, you'll start accruing interest at the standard rate, which can be as high as 27% annually. Key points: 1. Make sure to pay at least the minimum each month to keep the 0% deal. 2. Borrow only what you can comfortably repay within the 0% period. Steere said: 'TSB currently has the longest 0% purchase deal on the market at 25 months, narrowly ahead of M&S (MKS.L) and Barclaycard at 0% for 24 months. "If you're planning a large expenditure, like a summer holiday or some new garden furniture, the current range of 0% purchase cards could offer a handy way to spread the cost. None of these cards come with annual fees, but all of them revert to very standard (read 'punishing') rates after the 0% periods end. If you haven't cleared your balance at that point, look at a balance transfer deal.' Best cashback credit cards A cashback credit card rewards you with a percentage of your spending, effectively giving you back some of what you spend. For example, if your card offers 1% cashback and you spend £100 on groceries, you'll earn £1 back. This cashback is typically credited to your account or added to your statement. Read more: First-time buyers on £30k salary now able to apply for mortgage Things to watch out for: 1. Limits: Some cards cap the total cashback you can earn. 2. Introductory offers: Cashback rates might only apply for the first few months. 3. Restrictions: Some cashback offers are limited to specific purchases or retailers. 4. Minimum spend: Some cards require you to spend a certain amount to qualify for cashback. Steere said: "Amex (AXP) currently offers the highest introductory cashback rate: 5% (up to £125) for the first five months. After the five months, with the Everyday Amex you can earn 0.5% ongoing cashback (1% on annual spend over £10,000) or you can upgrade to the Amex Cashback Credit Card — which is currently free for the first year (£25/year thereafter) and lets you earn 5% (up to £125) for the first three months. "Afterwards, you can earn 0.75% ongoing cashback — the extra cashback covering the card fee once it kicks back in, provided you spend £10,000 on the card annually. However, if you want an instant welcome bonus, then Prime members can get a £50 Amazon welcome gift card with the Amazon (AMZN) Barclaycard.' Best credit cards for air miles If you travel frequently, a credit card for air miles can help reduce the cost of flights and even unlock perks like flight upgrades and hotel stays. By using these cards for everyday purchases, you can earn points that can be redeemed for flights with your favourite airline's loyalty programme. How it works: 1. Earn miles: Points are usually earned based on the amount you spend and the class of your ticket — premium tickets often earn more points. 2. Redeem points: You can use points to cover the cost of flights or upgrades, though taxes and fees may still apply. Steere said: 'For big rewards, the British Airways (IAG.L) American Express Premium Plus Card offers 30,000 Avios when you spend £6,000 in three months, while the Barclaycard Avios Plus Card gives 25,000 Avios for spending £3,000 in the same period. "Virgin Atlantic fans can earn 18,000 points with the Virgin Money Virgin Atlantic Reward Plus Credit Card by making their first purchase within 90 days. Just remember the cards with the biggest introductory reward offers are also the ones with the largest annual fees.' Best credit cards for holidays and travelling Planning a trip abroad? A specialist travel credit card can save you a bundle by offering near-perfect exchange rates without the usual foreign transaction fees. Most credit and debit cards charge around 3% on foreign transactions, meaning a £100 purchase abroad could cost you £103. On top of that, some cards add a flat fee for every overseas transaction. Specialist travel cards waive those fees, letting you spend abroad at the same rates your bank gets. Read more: How to use your Avios points for more than flight tickets Key points: 1. Avoid cash withdrawals, as they often come with fees and interest. 2. Use the card for spending abroad to enjoy near-perfect exchange rates. Steere said: 'If you're getting ready for the holiday season, there are great offers at the moment to help you avoid currency conversion fees overseas, and you can even earn cashback on your spending (at home or abroad). Just be sure to pay your card off in full each month to avoid paying interest (which would soon outweigh any cashback).' Disclaimer: The opinions expressed are the author's alone (unless stated otherwise) and have not been provided, approved, or otherwise endorsed by the providers listed. Yahoo does not earn any commissions from the lenders, or any other third party from the content in this series.
Yahoo
2 days ago
- Business
- Yahoo
Best cashback card deals of the week, 23 July
Credit cards aren't just about spending. They are also powerful tools that, when used wisely, can help you save money, manage debt and even earn rewards. Whether you're looking to cut down on interest payments, earn cashback on everyday purchases, rack up air miles for your next holiday, or avoid fees while traveling abroad, there's a credit card tailored to your needs. In this guide, we'll break down the best options on the market for balance transfers, purchases, cashback, air miles and travel spending. We'll show you how to use these cards to your advantage, ensuring you get the most value while avoiding common mistakes. Best 0% balance transfer credit cards If you're struggling to keep up with credit card payments, a balance transfer credit card can be a lifesaver. These cards allow you to transfer existing credit card debt onto a new card with a 0% interest rate for a set period, potentially saving you hundreds of pounds in interest. Read more: How to build passive income However, there are some crucial rules to follow to make the most of these deals: Always pay the minimum monthly repayment. Missing a payment could result in losing your 0% interest deal, incurring fines, and damaging your credit score. Clear the debt within the interest-free period. To avoid paying interest after the promotional period ends, make sure you can pay off the entire balance within the 0% timeframe. Don't use the card for new purchases. The 0% deal usually applies only to transferred balances, and using the card for new spending could result in hefty interest charges. Check your credit score. The best deals are often reserved for those with a strong credit rating, so it's worth checking your score before applying. Kate Steere, a credit card expert at personal finance comparison site said: 'There's healthy competition in the balance transfer market at the moment and you can bag almost three years at 0%, provided you don't mind paying a balance transfer fee. "The longest 0% deals always come with these painful, percentage-based balance transfer fees. So if you're in the market for a balance transfer and don't think you'll need such a long period to clear your card debt, then first consider the longest no-fee deals on the market (Barclaycard [BARC.L] currently offers 14 months with no transfer fee). But if you do know you'll need longer to clear your debt, then it's worth taking a slightly shorter 0% term to get a lower balance transfer fee.' Best 0% purchase credit cards A 0% purchase card allows you to make new purchases without paying interest for a set number of months. This can save you thousands compared with using a standard credit card, assuming you pay off the balance during the interest-free period. Read more: Average UK house asking price drops by almost £5,000 These cards are perfect for planned, necessary purchases. Think of them as a tool for managing big buys such as a new TV or essential home improvements. Let's say you take out a 0% purchase card with a 10-month interest-free period and spend £2,000 on new appliances. If you repay £200 each month, you'll clear the debt before the interest kicks in. However, if you still have a balance after the 10-month period, you'll start accruing interest at the standard rate, which can be as high as 27% annually. Key points: 1. Make sure to pay at least the minimum each month to keep the 0% deal. 2. Borrow only what you can comfortably repay within the 0% period. Steere said: 'TSB currently has the longest 0% purchase deal on the market at 25 months, narrowly ahead of M&S (MKS.L) and Barclaycard at 0% for 24 months. "If you're planning a large expenditure, like a summer holiday or some new garden furniture, the current range of 0% purchase cards could offer a handy way to spread the cost. None of these cards come with annual fees, but all of them revert to very standard (read 'punishing') rates after the 0% periods end. If you haven't cleared your balance at that point, look at a balance transfer deal.' Best cashback credit cards A cashback credit card rewards you with a percentage of your spending, effectively giving you back some of what you spend. For example, if your card offers 1% cashback and you spend £100 on groceries, you'll earn £1 back. This cashback is typically credited to your account or added to your statement. Read more: First-time buyers on £30k salary now able to apply for mortgage Things to watch out for: 1. Limits: Some cards cap the total cashback you can earn. 2. Introductory offers: Cashback rates might only apply for the first few months. 3. Restrictions: Some cashback offers are limited to specific purchases or retailers. 4. Minimum spend: Some cards require you to spend a certain amount to qualify for cashback. Steere said: "Amex (AXP) currently offers the highest introductory cashback rate: 5% (up to £125) for the first five months. After the five months, with the Everyday Amex you can earn 0.5% ongoing cashback (1% on annual spend over £10,000) or you can upgrade to the Amex Cashback Credit Card — which is currently free for the first year (£25/year thereafter) and lets you earn 5% (up to £125) for the first three months. "Afterwards, you can earn 0.75% ongoing cashback — the extra cashback covering the card fee once it kicks back in, provided you spend £10,000 on the card annually. However, if you want an instant welcome bonus, then Prime members can get a £50 Amazon welcome gift card with the Amazon (AMZN) Barclaycard.' Best credit cards for air miles If you travel frequently, a credit card for air miles can help reduce the cost of flights and even unlock perks like flight upgrades and hotel stays. By using these cards for everyday purchases, you can earn points that can be redeemed for flights with your favourite airline's loyalty programme. How it works: 1. Earn miles: Points are usually earned based on the amount you spend and the class of your ticket — premium tickets often earn more points. 2. Redeem points: You can use points to cover the cost of flights or upgrades, though taxes and fees may still apply. Steere said: 'For big rewards, the British Airways (IAG.L) American Express Premium Plus Card offers 30,000 Avios when you spend £6,000 in three months, while the Barclaycard Avios Plus Card gives 25,000 Avios for spending £3,000 in the same period. "Virgin Atlantic fans can earn 18,000 points with the Virgin Money Virgin Atlantic Reward Plus Credit Card by making their first purchase within 90 days. Just remember the cards with the biggest introductory reward offers are also the ones with the largest annual fees.' Best credit cards for holidays and travelling Planning a trip abroad? A specialist travel credit card can save you a bundle by offering near-perfect exchange rates without the usual foreign transaction fees. Most credit and debit cards charge around 3% on foreign transactions, meaning a £100 purchase abroad could cost you £103. On top of that, some cards add a flat fee for every overseas transaction. Specialist travel cards waive those fees, letting you spend abroad at the same rates your bank gets. Read more: How to use your Avios points for more than flight tickets Key points: 1. Avoid cash withdrawals, as they often come with fees and interest. 2. Use the card for spending abroad to enjoy near-perfect exchange rates. Steere said: 'If you're getting ready for the holiday season, there are great offers at the moment to help you avoid currency conversion fees overseas, and you can even earn cashback on your spending (at home or abroad). Just be sure to pay your card off in full each month to avoid paying interest (which would soon outweigh any cashback).' Disclaimer: The opinions expressed are the author's alone (unless stated otherwise) and have not been provided, approved, or otherwise endorsed by the providers listed. Yahoo does not earn any commissions from the lenders, or any other third party from the content in this while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
Yahoo
2 days ago
- Business
- Yahoo
Best cashback card deals of the week, 23 July
Credit cards aren't just about spending. They are also powerful tools that, when used wisely, can help you save money, manage debt and even earn rewards. Whether you're looking to cut down on interest payments, earn cashback on everyday purchases, rack up air miles for your next holiday, or avoid fees while traveling abroad, there's a credit card tailored to your needs. In this guide, we'll break down the best options on the market for balance transfers, purchases, cashback, air miles and travel spending. We'll show you how to use these cards to your advantage, ensuring you get the most value while avoiding common mistakes. Best 0% balance transfer credit cards If you're struggling to keep up with credit card payments, a balance transfer credit card can be a lifesaver. These cards allow you to transfer existing credit card debt onto a new card with a 0% interest rate for a set period, potentially saving you hundreds of pounds in interest. Read more: How to build passive income However, there are some crucial rules to follow to make the most of these deals: Always pay the minimum monthly repayment. Missing a payment could result in losing your 0% interest deal, incurring fines, and damaging your credit score. Clear the debt within the interest-free period. To avoid paying interest after the promotional period ends, make sure you can pay off the entire balance within the 0% timeframe. Don't use the card for new purchases. The 0% deal usually applies only to transferred balances, and using the card for new spending could result in hefty interest charges. Check your credit score. The best deals are often reserved for those with a strong credit rating, so it's worth checking your score before applying. Kate Steere, a credit card expert at personal finance comparison site said: 'There's healthy competition in the balance transfer market at the moment and you can bag almost three years at 0%, provided you don't mind paying a balance transfer fee. "The longest 0% deals always come with these painful, percentage-based balance transfer fees. So if you're in the market for a balance transfer and don't think you'll need such a long period to clear your card debt, then first consider the longest no-fee deals on the market (Barclaycard [BARC.L] currently offers 14 months with no transfer fee). But if you do know you'll need longer to clear your debt, then it's worth taking a slightly shorter 0% term to get a lower balance transfer fee.' Best 0% purchase credit cards A 0% purchase card allows you to make new purchases without paying interest for a set number of months. This can save you thousands compared with using a standard credit card, assuming you pay off the balance during the interest-free period. Read more: Average UK house asking price drops by almost £5,000 These cards are perfect for planned, necessary purchases. Think of them as a tool for managing big buys such as a new TV or essential home improvements. Let's say you take out a 0% purchase card with a 10-month interest-free period and spend £2,000 on new appliances. If you repay £200 each month, you'll clear the debt before the interest kicks in. However, if you still have a balance after the 10-month period, you'll start accruing interest at the standard rate, which can be as high as 27% annually. Key points: 1. Make sure to pay at least the minimum each month to keep the 0% deal. 2. Borrow only what you can comfortably repay within the 0% period. Steere said: 'TSB currently has the longest 0% purchase deal on the market at 25 months, narrowly ahead of M&S (MKS.L) and Barclaycard at 0% for 24 months. "If you're planning a large expenditure, like a summer holiday or some new garden furniture, the current range of 0% purchase cards could offer a handy way to spread the cost. None of these cards come with annual fees, but all of them revert to very standard (read 'punishing') rates after the 0% periods end. If you haven't cleared your balance at that point, look at a balance transfer deal.' Best cashback credit cards A cashback credit card rewards you with a percentage of your spending, effectively giving you back some of what you spend. For example, if your card offers 1% cashback and you spend £100 on groceries, you'll earn £1 back. This cashback is typically credited to your account or added to your statement. Read more: First-time buyers on £30k salary now able to apply for mortgage Things to watch out for: 1. Limits: Some cards cap the total cashback you can earn. 2. Introductory offers: Cashback rates might only apply for the first few months. 3. Restrictions: Some cashback offers are limited to specific purchases or retailers. 4. Minimum spend: Some cards require you to spend a certain amount to qualify for cashback. Steere said: "Amex (AXP) currently offers the highest introductory cashback rate: 5% (up to £125) for the first five months. After the five months, with the Everyday Amex you can earn 0.5% ongoing cashback (1% on annual spend over £10,000) or you can upgrade to the Amex Cashback Credit Card — which is currently free for the first year (£25/year thereafter) and lets you earn 5% (up to £125) for the first three months. "Afterwards, you can earn 0.75% ongoing cashback — the extra cashback covering the card fee once it kicks back in, provided you spend £10,000 on the card annually. However, if you want an instant welcome bonus, then Prime members can get a £50 Amazon welcome gift card with the Amazon (AMZN) Barclaycard.' Best credit cards for air miles If you travel frequently, a credit card for air miles can help reduce the cost of flights and even unlock perks like flight upgrades and hotel stays. By using these cards for everyday purchases, you can earn points that can be redeemed for flights with your favourite airline's loyalty programme. How it works: 1. Earn miles: Points are usually earned based on the amount you spend and the class of your ticket — premium tickets often earn more points. 2. Redeem points: You can use points to cover the cost of flights or upgrades, though taxes and fees may still apply. Steere said: 'For big rewards, the British Airways (IAG.L) American Express Premium Plus Card offers 30,000 Avios when you spend £6,000 in three months, while the Barclaycard Avios Plus Card gives 25,000 Avios for spending £3,000 in the same period. "Virgin Atlantic fans can earn 18,000 points with the Virgin Money Virgin Atlantic Reward Plus Credit Card by making their first purchase within 90 days. Just remember the cards with the biggest introductory reward offers are also the ones with the largest annual fees.' Best credit cards for holidays and travelling Planning a trip abroad? A specialist travel credit card can save you a bundle by offering near-perfect exchange rates without the usual foreign transaction fees. Most credit and debit cards charge around 3% on foreign transactions, meaning a £100 purchase abroad could cost you £103. On top of that, some cards add a flat fee for every overseas transaction. Specialist travel cards waive those fees, letting you spend abroad at the same rates your bank gets. Read more: How to use your Avios points for more than flight tickets Key points: 1. Avoid cash withdrawals, as they often come with fees and interest. 2. Use the card for spending abroad to enjoy near-perfect exchange rates. Steere said: 'If you're getting ready for the holiday season, there are great offers at the moment to help you avoid currency conversion fees overseas, and you can even earn cashback on your spending (at home or abroad). Just be sure to pay your card off in full each month to avoid paying interest (which would soon outweigh any cashback).' Disclaimer: The opinions expressed are the author's alone (unless stated otherwise) and have not been provided, approved, or otherwise endorsed by the providers listed. Yahoo does not earn any commissions from the lenders, or any other third party from the content in this in to access your portfolio
CTV News
3 days ago
- Business
- CTV News
Sponsored: protect yourself from "finfluencers"
Edmonton Watch What are "finfluencers" and why is it so important to keep some risks in mind when listening to them? Hilary McMeekin from ASC explains.
