Q: Unsure if my husband and I should take out life insurance and what institution should I approach?
A: Hi Antonella
As a financial adviser speaking from both my personal and professional experience every person who has financial dependants such as a spouse or young children should strongly consider insuring their lives. A qualified Financial advisers can help you source a suitable and cost effective life insurance policy from a number of reputable insurers either in your own name or via your super fund. This is tailored to your unique circumstances and generally comes with the responsibility of assisting people with a claim should the need arise.
I am happy to assist if you get in touch with me.
Q: I am about to sell a house and will come in front by about 200k, should I rent for a bit and see what's happening and save or should I be looking to buy straight away? I have heard of the saying buy n sell in same market although don't really know
A: Hi Michael
This is a question that requires careful consideration. Switching real estate assets frequently can cost people a relative fortune in transaction costs i.e. agent fees, stamp duty, other legal fees etc. It would be wise to think about what you want from both a financial and lifestyle perspective before acting. Also if I was you I'd think about where to deposit or invest my surplus funds in the meantime.
Feel free to get in touch for me to see how I can be of assistance.
Q: If a financial institution calculates interest daily, is it only business days? Is this the same for deposits as loans?
A: Hi Rob it is indeed accrued daily without pause on most loans. With some deposits interest can compound monthly so make sure you read the fine print.
A quote from Albert Einstein below;
Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it.
Happy to have a chat to you if you need advice.
Q: What is typically the difference in currency conversion cost between a local merchant doing the conversion at the time of transaction and your home country bank?
A: Hi Mark I would suggest that it would depend on the spreads thats they choose to charge. You can always try negotiating a slightly more reasonable conversation rate with local merchants as you would in any market place.
Q: What is the best interest rate I could possibly expect to negotiate if I refinance my home loan?
A: Hi Laina. That depends at least in part on the quality of the broker you choose to use.
Q: Does it make sense to use the equity in your property to purchase a private vehicle versus a lease or personal loan with regards to the interest rate?
A: Hi Nicholas. There are a few things you would need to consider on this one such as the overall cost and flexibility of borrowing versus leasing.
The interest rate differential (relative cost of borrowing) would usually favour using home equity (assuming you have enough to cover the purchase) as you are using your home as the underlying security as opposed to a secured or unsecured personal loan which typically come at higher interest rates and shorter loan terms.
A lease may give you more flexibility to replace the vehicle but may come at a higher cost in the long term when you factor in all of the leasing costs involved and you would generally not have full ownership over the vehicle.
Overall you should run the numbers on each option and consider how often you want to replace the vehicle and other factors like depreciation etc. Finally if by some chance the vehicle needs to be used for business or work purposes I would consider the tax implications of each option and seek tax advice from a qualified accountant.
Please note this is general advice only and doesn't take in to account your personal circumstance. I am happy to have a chat to you in person if you need further assistance.