Are You Confident About Your Financial Future?

We all use it, it is the common way we acquire services and goods on a daily basis. We trade our time for it. We rely on it

to provide for our future, stash it away in belief that it will still have value in the future. It is our currency be it Dollars, Euros, whatever, but it is not as trustworthy as you may think. Look I am by no means a qualified financial adviser or guru in any form, but I am going to explain to the best of my ability; that you should start looking at other forms of investment to secure your financial future.

Fiat currency

All national currencies are called fiat currencies. What does this mean? Well Investopedia's definition of a fiat currency is:

"Currency that a government has declared to be legal tender, but is not backed by a physical commodity. The value of fiat money is derived from the relationship between supply and demand rather than the value of the material that the money is made of. Historically, most currencies were based on physical commodities such as gold or silver, but fiat money is based solely on faith. Fiat is the Latin word for "it shall be"." - investopedia.com

So basically, that piece of paper you carry in your pocket is exactly that, a piece of paper that is based on your faith that it will still have the same purchasing power tomorrow as it has today. So what is wrong with that?

Fiat currency, unfortunately, has had a long history of failure. Since the Roman Empire in the first century began with the practice of debasing their currency (adding impurities to their money thereby reducing the value but increasing the amount of currency in circulation) it has led to devaluation and eventual collapse.

Maybe you are thinking that it could not be happening today, I am sorry to say that it is. Our history has had several failed attempts at using paper currency and fiat currencies have never been successful except for political systems trying to prevent the debasement of their currency by letting the printing presses run amok.

It is not all doom and gloom though. I am also not saying this will save everyone, but if you look at countries like China who are stockpiling in gold, maybe we should follow in their footsteps? We all know that gold is valuable and there is only so much of it on our planet, this allows it more stability than fiat currency. Gold has also shown a consistent growth in its life time.

Like I said I am by no means a qualified financial adviser, I am just stating my thoughts and how I feel. And I feel that there is a definite shift in the way the world economy is moving right now. I can't say if it is going to happen tomorrow or in the next 10 years, but I am sure it will happen. So maybe it will be a good idea to create a secure foundation for your financial future. Hope for the best and prepare for the worst.

To Your Success.

If this article has tickled your interest and you are wondering what you can do about it. Feel free to contact me via skype at ja_holtz and I will gladly explain more.

To Your Success.

Article Source: http://EzineArticles.com/expert/Jan_A_Holtzhausen/2238525

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How To Send Money Abroad In An Efficient Manner

Every day, countless people make international money transfers. Is it easy to send money to someone in country? Well, it depends. If you don't take enough care, it may cost you much more money, as most people are oblivious to the hidden fees. Let's find out more about how to make the process safe and cost effective.

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For sending money overseas, you will have to bear two types of costs: the currency conversion cost and the cost to transfer the money to your desired country. The service provider can be an FX broker, a bank or a money transfer company. The thing is that they don't convert one currency to the other on the basis of the inter-bank rate. Instead, they make the exchange at a lower rate making a good deal of profit. Give below are a few tips that may help you go through the process efficiently.

Foreign Exchange Brokers

Acting as intermediaries, foreign exchange brokers deal with a lot of banks and provide the best exchange rates. While their primary role is to convert currencies, they can also help you send money abroad for a reasonable fee.

While this option is cost effective, especially if you want to transfer over $5000, the process can take longer to complete. Choose this option if you don't have to send your funds abroad urgently.

Commercial Banks

Banks are the most common means of international money transfers all over the world. However, the fact of the matter is that banks are known for charging hidden fees for money transfers, and the fees will continue to go up as the amount of money that needs to be transferred goes up. But the advantage of using a bank to do this job is that banks are considered the safest way of transferring money abroad. So, if you are planning to do the transfer through a bank, make sure you choose a bank that charges a minimum amount for transfers.

Money Transfer Providers

If you want to send less than $5000 to someone in another country, money transfer providers is probably your best option. They are best in terms of cost of transfer. Typically, they offer bank-to-bank transfers. You can also find some providers who allow you to receive cash at cash pick-up branches.

Online Money Transfer

These service providers allow you to send money abroad charging a minimal fee. Usually, they charge just $1 extra for the transfer. Some providers don't even charge this fee.

These providers are regulated by the financial authorities of the same country they operate in. They use the state-of-the-art financial technology for sending and receiving funds. So, you can count on them with your eyes closed.

With online money transfer, you don't need to visit a financial office. All you need to make the transfer is a computer and a fast internet connection.

So, before you choose any of the three money transfer services mentioned, do your homework and compare them with each other. You can go with the one offering best services at the lowest cost.

For more on international money transfers, you can go to this website.

Article Source: http://EzineArticles.com/expert/Jovia_D'Souza/2007086

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