Most of us are done with filing our income tax returns. Some have done it electronically, some via post. However, each one of us can check our tax refund status on the IRS official website. On the top of the page, the link 'Where's My Refund' directs you to the area where you can check the status. Probably everyone know this. But When can I check it, and how does it work? You must enter the area 'Where's My Refund' only if you have filed your tax returns (1040/1040A/1040EZ). If you have already filed it, you will have to fill up a form that asks for basic personal information including Social Security, address, tax receipt numbers, and so on. It will process your information and display the result (when your refund would be sent) within minutes. The method of filing tax returns determines the time it takes to receive your refund. If you have filed it online, you can check the status  [...]

There are probably many reasons to hate BP, but we missed the most important one. No, I am not talking about spoiled beaches, death of birds, environmental damage, or wastage of natural resources. I am talking about the way we have been used to overreacting due to the spill. How much, I wonder, we would react when we realize that we have to import more oil that the actual spill. Why? To maintain our economic budget and repay our deficits, we have borrowed enough capital from other economies. Besides, we aren't producing half the amount of oil needed by our country. So, watching our money gushing to oil importers faster than oil gushing into the Gulf would be certainly over reactive. If you are not aware about updates on world's environmental conditions, let me tell you, every year, oil more than the BP spill, gushes into the water of Nigeria. If that's a part of our earth, why aren't  [...]

The Fed government is trying hard to boost retail sales. There are discount tags on all the items, and loans are easily available (except mortgage) to make purchases. However, thanks to the recent economic crisis, people have started realizing the importance of money. Many lost their jobs, many were downgraded, which helped people to learn to survive in less income. This is the time when we are trying to have more disciplined finances. But the government is pushing hard to make us spend more. Tough times are gone. Unemployment rate have started diminishing, and people have started spending again. But there has been a cut in their spendings. This has put me in a great confusion. If people start spending considerably again, it would help in nothing but repeating the same cycle. Conversely, if people don't spend more, the economy with certainly take a hit this year, and in the coming years. In  [...]

I have written enough about gold investment. 'Gold is good', 'Gold can bean inflation', 'It's a good investment to diversify your investment'. So, why do I write it over and over again? Because the value of gold changes over time, with change in related factors, and the effect should be visible in your portfolio. The current situation, however, is quite different. People who had invested in gold few years ago are receiving great returns. However, due to elevated prices, it's very expensive to own gold now. For instance, current price of gold per ounce is 300% more than it was 10 years ago, and it was all time high in December at 1,226.56. In recent years, billions of dollars have flowed into this investment product, as every investor wanted to be a part of this rally. And, as ever, gold is considered to be a an investment that hedges you against inflation. Since gold prices are at  [...]

When you bet against stocks' upward movement, it's short selling. In this method, you must borrow stocks from your brokerage company, sell them at a higher price, and buy back at lower price. You (short selling traders) can benefit only when the market or a stock declines due to unexpected consequences. The method is of short selling stocks is quite simple. You borrow stocks from your broker by paying a small fee (administration or financing fee), and give it back after selling the stocks at higher price and buying at lower price. Thus you make a profit without investing much. Probably the below mentioned example would make things clear. Stocks of company XYZ is being traded at $20 per share. You learn the company doesn't have surplus stocks, thus loss is inevitable. In such situation, you must borrow around 100 share at $2,000, and sell them when the price reaches $10 due to bad news.  [...]

One of the best ways to save some money on credit cards is by doing a balance transfer to a 0% interest credit card. What’s a 0% Interest Credit Card? Many companies introduce credit cards with 0% interest rate on new purchases and balance transfers. These offers, however, are valid only for a limited period (usually 6-18 months), and are introduced to attract new customers. Alright, What’s a 0% Balance Transfer? By availing a card with 0% interest rate, you can transfer the debt on your current card to your new card that charges you 0% for a limited period of time, usually till the offer is valid. This is a great opportunity for people who have huge credit card debt and are currently paying over 20% on the total amount. They can save some hundreds each month, simply by transferring the balance, which can be used to repay the debt quickly. Should I Apply For 0% Balance Transfer  [...]

What’s an IPO? IPO, also known Initial Public Offering, are shares of a company sold to public for the first time. Through such IPO’s, companies that aren’t currently listed on stock exchanges manage to receive capital for their project. As soon as it sells all their shares, and receives funds, the company gets listed on the exchange. IPO is considered to be a good investment product, as shares are available at cheaper price. With the growth of the company, the price then keeps mounting, providing a good return on your investment. However, this investment can sometimes be a disaster, if the company doesn’t perform well. Hence, it’s imperative to take following steps before you invest your money in an Initial Public Offering (IPO). Check Company’s Background Before you put your money in an IPO, make sure you know their business very well. Know about the business model  [...]

Whether or not one invests in stock market, Dow Jones is an exchange known by majority of people around the world. Dow Jones Index is an index used to gauge the everyday performance of specific stocks. Similarly, Dow Jones Industrial Average gauges performance of 30 established US stocks, and compares current prices with previous closing. It is an average of performance of all the 30 stocks. So, if the industrial average goes down, these stocks, on an average, aren’t performing well. And if it’s up, they are doing well. The performance is measured in points. Hence, it’s easy to gauge the magnitude of rise and fall. The question, however, is, how is it calculated. There isn’t any mystery behind it. It is calculated using a Dow divisor. In a generally average method, the sum of the parts is divided by the number of parts. Here, parts are thirty. However, they use a different figure  [...]

Few months ago, we all learnt what happens when an economy (government, to be precise) spends more than its means. The recent increase in debt level would result in inflation, lower standard of living, currency devaluation, and so on. This is certainly not a good sign for an economy. Although our President, Barack Obama, is taking several measures to smoothen the economic conditions, US national debt is mounting incessantly. Annual deficit increases due to several years of faulty management, and it certainly cannot be rectified in a short period. When the debt level of a country exceeds its GDP (Gross Domestic Product), the debt is simply too high. Greece is going through such similar situation. The debt owed by the nation is much more than what it earns. Besides, when such crisis occurs, the nation cannot boost the economy by printing more currency or borrow funds by issuing bonds.  [...]

Considered to be a highly volatile market, Forex is also the most liquid market on our planet. This is because the global population including corporate bodies, financial institutions, governments, and individuals trade in foreign currency. However, due to its extremely volatile nature, it’s very difficult to predict the market movements. This market, however, reacts to some global factors. Knowing how it affects foreign currency exchange rates can help you exit before loss and enter just at the right time. Let us have a look at some of the factors that affect Forex market. Economy Foreign exchange rate of a currency is highly depended on the revenue earned by the country. If there is a stable inflow of revenue every year, the rate would remain steady, with a gradual growth. However, if the financial condition of a country is unstable, the currency would lose its value against other  [...]