Higher Loan Growth Expected as the Pandemic Lifts

Spain’s large lender company: Bankinter, which currently owns Avant Money, has published new research results. These results predict the outcome of loan growth and higher lending income across its citizens and markets as lower provisions led to its 4th-quarter profits to fall less than in previous quarters.

The lender identified possible success within its Irish market business. Especially for the reason of offering credit card, home, and mortgage loans. After releasing these research results, we saw Banklinter’s shares rise by more than 7% this past Thursday after it stated that is their net interest income would be growing in 2021 despite the negative interest rates in the first half. Net Interest Income (NII) is defined by the difference between the company’s’ earnings on loans and the costs.

Bankinter’s chief financial officer, Mr. Diaz, has spoken up and told analysts that the company is expected to show strong actives of loan growth in both mortgage and consumer lending in Ireland, Spain, and Portugal. This is shown by Net profit at the bank falling to 8.7% to €97 million compared to €115 …

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Healthy Relationships with Money and your SO

Lots of people say money complicates things. Well, it may be true in some situations but being transparent about your significant other and money is important. Over the years you will attract what you are worth and what you put out there. How you act to others is a direct effect of how others will view you, this is not only for significant others but friends, family, etc. You worried you are with the wrong person or attracting the wrong people you might need to start reevaluating yourself.

Speak to your partners. Do you like saving money? Do you like investing? Do you like getting good deals? Communication is key. Being on the same page with each other is important to know each other’s values. By doing so, as partners you can start compromising to avoid unsaid annoyances. Letting each other know right from the beginning shows exactly who you are and who they are. It makes it easy to find someone like you or believes in the same things as you.

Money may be a taboo topic. Having conversations …

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Morgan Stanley Borrowing on the Bond Market

The stock market and Trading has been the hot topic of the past decade. Many young individuals look towards buying and trading stocks as the next fast way to make money. But the market is much harder to understand than it seems on the surface.

Morgan Stanley, one of the largest American based investment banks, has recently invested just over 400 million Euros on the bond market to secure against a group of buy-to-let mortgages and owner-occupiers located in Ireland. And of these, some vulture funds were bought not from the banks themselves, but rather from third-party locations such as Lone Star and Cerberus.

Generally, a vulture fund is a type of hedge fund, which is privately owned and operated. They are invested in debt considered to be weak or at default, which is also known as distressed securities. These vulture funds are looking to manage and overturn these debts to draw in a profit. Yet despite the large number of home loans in Ireland that were price-reduced following the most recent crash, vulture funds are seeing a hard time …

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What is Open Banking?

Open Banking is generally known as the practice of sharing personal financial information electronically, under secure conditions that are both approved by corporations and by the consumer. In doing so, Application programming interfaces (APIs) allow Third-Party Providers (TTP) to access financial information efficiently which results in smoother, faster, and easier financial processes.

Examples of how Open Banking has already started to become implemented would be budget tracking apps on your device, or even through your bank that could be connected to checking or savings accounts. Other instances where Open Banking has been used when you don’t even realize would be purchases of a home or monthly payments. Technology is becoming increasingly prominent in daily financial transactions, and understanding how this affects your life is essential.

What can Open Banking do for you though? Open Banking is a huge aspect for not only banks but also TPP’s and regulators. It offers more personability and customization to its consumers in managing and borrowing money as well as making payments.

App developers have recruited the use of APIs to create more streamlined and …

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Crack Down on Money Laundering

Everyone has heard of the term “Money Laundering”, but most fail to understand what exactly it is and how it affects not only our daily lives but also a county’s economy. Money Laundering is an illegal process that individuals can take advantage of to hide the origins of where money was obtained illegally. This is most often done by passing the money through a complex number of bank transfers to eventually erase and hide where the money originated. In the end, the money launderer receives the “clean” money.

Ireland has had a history of struggling with cracking down on money laundering, and in light of having to pay nearly 2 million Euro to the European Commission in July 2020 for failing to implement regulations, a new law has been passed in an attempt to begin intensifying legislation around anti-money laundering. The Criminal Justice (Money Laundering and Terrorist Financing) (Amendment) Bill 2020, was signed on May 5th, 2020.

This Bill aims to: 1: Prevent the creation of anonymous safe-deposit boxes by credit and financial institutions 2: Continuously improve on the customer …

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Quarantine Leading to a Rise in Property Prices

As the COVID quarantine still impacts our daily lives by forcing people to work from home and limit public interaction, the predicted property prices in Ireland are said to skyrocket as much as 6% this upcoming year. In the newly released annual review today by The Society of Chartered Surveyors Ireland (SCSI), out of their three agents, two of them predicted an increase in property rates in 2021.

While that 6% is said to be an average across Ireland, different areas are predicted to have slightly varying inflated rates. For example, Dublin, as the area with the highest current prices, is predicted to see an average increase of 3% in property prices. But for other areas such as Leinster and Munster, are predicted to have price increases of 4% and 5 % respectively. Some areas are predicted to see price increase reflecting this past year within the range of 1-3%, yet other areas are predicted to experience price increases that could even reach 8%.

According to SCSI’s vice president; TJ Cronin, many of these seen increases in prices are said …

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Saving During the Pandemic

Now is a great time to be investing in smart money saving techniques. The recent pandemic in 2020 has not treated many of us kindly, and money may be an issue even as we move into 2021. We’ve composed a shortlist of just a couple of ways you could help yourself financially to not only get back on your feet but also begin thinking of how to use your money wisely!

1: Begin Saving

Everyone should already always have an emergency fund at the ready, but why not go beyond that set a certain amount of your paycheck to be put into savings? According to Retail Analyst Mr. Kantar Worldpanel, nearly a quarter of Irish families regularly shop at either Aldi or Lidl. In that, nearly 75% of families rarely shop at discounter shops. These family-friendly stores could not only give you better, more local products but also be less of a burden on your wallet. Mr. Worldpanel also reports that of the families that shop at Aldi or Lidl, their weekly grocery bill is nearly 20% lower than those …

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Talking Money: Financial milestones of your 30’s, 10th August 2015

On the 10th of August we looked at the ‘financial milestones’ you should have reached by the time you are in your 30’s.

As with many things, these are not ‘set in stone’ but in general, they are good indicators of how you are doing on your road to financial health.

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RTE Talking Money: The cost of raising kids

This week on RTE’s ‘Talking Money’ we looked at the cost of raising a child. Everybody who ever had kids knows it’s expensive, but did they realise it can cost about €105,000 per child? That’s a real eye opener and that so many parents cut back on vital financial needs like life insurance to allow for general consumption is a concern. As always, you’re bound to be entertained as Karl Deeter and Jill Kerby ‘talk money’.

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RTE Talking Money on Life Insurance

Back in June (sorry for the delay, we had the recording but didn’t post it!) we did a piece on life insurance and both how and why it matters.

As usual, Jill and Karl didn’t always agree on everything but the need to insure against your greatest risk was universally accepted and how to do it sensibly is really straight forward.

You can catch us again ‘Talking Money’ every Monday on RTE Drivetime at about 18:15.

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