Borrowing Options Without a Bank Account

October 12, 2021

Why is it so hard to get a loan without a bank account?

When you apply for a loan, lenders may ask for your bank history, as it helps them to verify your income and will give them an idea of whether you have the income to keep up with repayments.

Without a bank history to verify this, lenders can find it difficult to assess the risk of lending to you. Lenders need assurance that you will repay the loan, without any statements to prove that you can manage payments it can be harder for them to determine if you are eligible for a loan.

Those who offer personal loans may also need you to have a bank account, as this is where funds are deposited and where your repayments will come from. However, for those without a bank account there are still options, although it is simply better to open a bank account. CreditNinja shows how to get a loan without a bank account, and while it is difficult it is still doable.

Does every lender require you to have a bank account?

Having a bank account is not always a requirement to get a loan, however, lenders typically require this, and if they do not, they may offer subprime loans. This means that loans will carry a high-interest rate and fees that are marketed to borrowers may have a hard time repaying debt, i.e. they may have a low-income or bad credit.

Certain types of loans and credit cards can be useful for these borrowers, but any other type of subprime loan is best avoided.

What loans can you get without a bank account?

There are a select few options out there for those who do not have a bank account. While these options are still viable, we urge they be avoided if at all possible. Opening a bank account is simply the best route you can take, as it will be the easiest way to start saving, budgeting, and it can help you to secure better options for loans in the future.

Yet, it is not always immediately possible for everyone and if you need a loan in the short-term, and you do not have a bank account there are three types of loans you can seek out; pawn shop loans, payday loans, and title loans.

Payday loans and title loans.

These are options for those in dire need of financial assistance with no time to open up a bank account. If you cannot borrow from a friend or family member, your last resort can be to take out a car title loan or a payday loan.

These types of loans are far from recommended as the costs and financial risks they come with are high. However, if you do need to take these types of loans out, you need to know what you are getting into, so you have the best chance to protect yourself, thus understanding the costs and what it takes to repay them.

Title loans come with some red flags including High APR’s, and Equity matters meaning that the amount you apply for depends on how much equity you have on your vehicle, it can range from $100 to $5,500 typically. And also the potential for repossession if you do not pay your loan back as agreed.

Payday loans also have red flags, these include that they are small, meaning generally $500 or less, they come with high fees meaning that a two-week payday loan can equal an APR of almost 400%, as well as becoming potentially threatening to spiral you into debt. If you can’t pay it back quickly, the fees can add up quickly and make your existing problems continue.

One other option is for a payday alternative loan. These are a short-term small-amount loan that is offered up by a federal credit union, they have an interest rate capped at 28% typically, and the application cannot be more than necessary. You can apply to borrow up to $2,000 and repayment terms may range.

Pawn Shop Loans.

Alternatively there are pawn shop loans which are secured loans requiring you to offer up a valuable item as collateral. These can be found at pawn shops throughout the country, and the amount you may be eligible for will depend on your collateral, the lender and your location.

These loans can be fairly high risk, and the lender can keep the item if you cannot repay the loan.

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Pros and Cons of Using Cryptocurrency in Business

October 12, 2021

By Sherri Carrier

Technology constantly alters every aspect of our society, and it didn’t spare our mode of payment for goods and services. Currently, in the financial transactions sphere, we have PayPal, Amazon Pay, Apple Pay, cryptocurrency, and other various online payment methods. Cryptocurrency is a relatively new payment system, with many people trying to figure out how it works.

However, there are currently more than 2,000 distinct types of cryptocurrency. In this article, we discuss the far-reaching influence of cryptocurrency and the pros and cons of using this digital financial currency.

Influence of Cryptocurrency in the Business Sector

Researchers at essay writing service UK claim that the importance of cryptocurrency cannot be ignored anymore. Cryptocurrency involves using virtual tokens or coins, which are used by private individuals and companies alike for operational and transactional purposes, and undoubtedly investments.

According to some estimates from late 2020, it was established that about 2,300 US businesses accept bitcoin as a form of payment for transactions, excluding Bitcoin ATMs. Cryptocurrency is a form of digital payment system that doesn’t rely on banks to verify transactions., thereby making running financial processes easier and faster.

Cryptocurrency may take the form of coins, and as there are two sides of a coin, we have the good and bad of using cryptocurrency in business. You may have been feeling left out or reluctant to adopt this as a payment method for your business, and some of your fears are justified. So, we will be providing you with information to put on a scale and weigh if it’ll do more harm than good or vice versa to your business.

Pros of Using Cryptocurrency in Business

Technology enthusiasts at Aussieessay writers suggest that the benefits of using cryptocurrency are significant, especially in virtual businesses. Here are some of the benefits.

It is secure and fast: Cryptocurrency uses encryption to verify transactions. Hence, the name “cryptocurrency.” Advanced coding is involved in the transmission of data and transactions processes; there is blockchain tracking of each coin and wallet. The end goal is to enhance safety and security. Also, in comparison to fiat money, transactions involving cryptocurrency are concluded much faster. Speed is imperative in the aspect of receiving and processing payments in businesses.

Growth of the company: Growth is characterized by change, and times are changing. Many people have opened their minds to digital currencies, and customers are demanding faster, easier means of payment. Adopting cryptocurrency into your business places it in this important emerging space for currency evolvement.

Creates an avenue for gaining high profits: Having the capability to provide your clients with as many payment options as possible is a win for your company. The ultimate goal of a company, or most companies, is to make profits. The more cryptocurrencies you feature as possible payment options, the better your user engagement and conversion rates will become.
It reduces “friendly fraud”: Friendly fraud, commonly known as chargeback fraud, is a situation whereby a cardholder contacts the issuing bank to reverse payment or obtain a refund while still keeping the items gotten from such transaction. This is not an issue with cryptocurrency, thanks to its rigid tracking system around blockchain technology. Essentially, it is almost impossible to carry out a chargeback fraud.
Low transaction fees: A lot of payment services places extra charges on transactions. PayPal, for instance, charges up to 4% per transaction (or sometimes more). Meanwhile, cryptocurrency transactions fees are close to nothing, or sometimes, even nothing. For instance, Binance, which is one of the world’s best-known crypto-trading companies, charges about 0.04 – 0.10 percent fees on transactions, which is determined by trading volume.
Removes Intermediaries: Cryptocurrencies were created to oust middlemen; banks, and online marketplaces. Blockchain set to achieve this by replacing the central system with a decentralized ledger of chained records where everything is interconnected.

Cons of Using Cryptocurrency in Business

Despite the various benefits of cryptocurrency, it still has its negative aspects. These disadvantageous aspects are:

It is highly volatile: Cryptocurrencies are extremely volatile; their values can vary significantly. In a single day in May 2021, the price of Bitcoin dropped by about 30% before recovering down to 12%. Its volatility might be influenced by security breaches, the uncertainty of its future value, bad news, among other factors.
It is not widely accepted: Cryptocurrency is still not generally accepted. Digital currencies are still foreign to some people. So, you have to consider if your clients prefer to use digital currencies or not. Some people who even possess wallets and coins prefer not to trade using them but to go for fiat money or other traditional means of payment.
Complex set-up process: In comparison to other transactions channels, setting up your cryptocurrency payment options may require additional efforts and time. You could create your business’ wallet or opt for third-party exchange services, which will act as an intermediary between you and your clients. In the long run, you may consider these as minor setbacks, but it may be a huge turn-off initially.
The responsibility of protecting your digital assets rests solely on you: In circumstances where you lose your virtual wallet as a victim of a hack or delete your currency, you have to bear the consequences yourself. It is similar to an instance where someone takes your debit card and withdraws all your money, but in the case where your virtual wallet is hacked, no bank is going to replace it for you.
Migration: As established earlier, there are over 2,000 different types of cryptocurrencies. Consequently, if other companies and even your clients migrate from one digital currency to another, what happens? The value significantly dips.
There are no established bodies like the Financial Conduct Authority to regulate financial activities: When it comes to cryptocurrencies, your business may be vulnerable to scams and the likes, as there are no rules to protect it. It is also risky in contrast to investing in the stock market.
Highly vulnerable to scams: The foundation of cryptocurrency rests mainly on the new and developing technology areas such as Blockchain. The effect of the newness of this technological aspect is that internet fraudsters and hackers can take advantage of this critical factor to defraud cryptocurrency owners through social media platforms such as Facebook, Twitter and Instagram. Fake investments schemes related to cryptocurrency have been used to scam crypto-users, resulting in profit loss.

Final Thoughts

Having considered the benefits and the not-so-alluring aspect of adopting cryptocurrency as a means of payment in your business, I hope you’re able to make a decision or reach a conclusion that is beneficial to your company. Sometimes, one needs to take that bold step while considering its worth.

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About the Author

Sherri Carrier is a professional writer that engages in dissertation writing services and dissertation help. Sherri writes at assignment help UK and is a member of several writing clubs in New York. She has been writing her own poems since she was a child. The young author gets inspiration from her favorite writers and people whom she loves.

Controversies Trails Amnesty for “Repentant” Boko Haram Members

October 12, 2021

In the past few weeks, news about the massive surrendering of Boko Haram terrorist fighters has dominated the headlines across the Nigerian media. Their repentance is also being followed up with a rehabilitation program under an initiative called Operation Safe Corridor. However, the purported surrendering has raised controversies across sectors, with many questions begging for answers.

Since its emergence in 2009, the Boko Haram terrorist group, whose ideologies and struggle are against western education and democracy, has terrorised northern Nigeria and other countries in the Lake Chad Basin region. It has been 12 years of horror, with tens of thousands of lives lost and millions of people forcibly displaced. The group’s activities have crippled the economy in many parts of the region and rendered many school-age children academically disadvantaged due to its incessant attacks on schools in that region. Given the human and economic loss they have caused and are still causing, never would one have thought the government will one day consider giving amnesty to the ruthless killers. However, that option is now a reality, especially as the rebels are said to be giving up arms in their thousands.

While campaigning for office in 2015, one of President Muhammadu Buhari’s campaign promises was never to give amnesty to Boko Haram because doing so would be “unfair to the system.” The reason behind the dramatic change of mind by the same government is one of the questions on many Nigerians’ lips. Not only are they being pardoned, but taxpayers’ money is also spent on rehabilitating and reintegrating the “surrendered insurgents,” whose repentance is widely doubted among Nigerians. Much like most jihadist fights across the world, the Boko Haram war is more of a battle of ideologies than physical. And given the indoctrination involved, it is hard to see terrorists repent, especially those who have wined and dined with suicide bombers and participated in cold-blood slaughtering of victims. So, it is a question of how soon they will return to their rebellion.

The federal government also seems to have discountenanced the feelings of the affected community members in all of these. The question of whether people really want the terrorists back in their midst seems to have been neglected. Boko Haram has brought untold hardship to many communities across the region. Many families have lost breadwinners and loved ones, some have been rendered disabled, many properties and livelihoods are also lost to the war. Millions were forced to flee their ancestral lands and their community taken over by the terrorists. Sadly, the affected people are yet to recover from the effects, as most promises made by the government to rehabilitate and resettle them haven’t really come to fruition. It is therefore not surprising to see opposing voices from community members who find it hard to imagine having their one-time ‘nemesis’ back in their fold.

Immigration Advice Service gathered that Boko Haram has displaced nearly 2.4 million people in the Lake Chad Basin region, most of whom ended as internally displaced persons (IDPs) in Nigeria. In those IDP camps, there have been reported cases of grave human rights violations, starvation, widespread sexual assaults against women and girls, several other atrocities committed by security forces assigned to protect these terror victims. The camps are also badly managed and porous, and some of them have recorded terrorist attacks.

These internally displaced persons bear some of the greatest burdens of over a decade of violence by Boko Haram and are living witnesses of the horrifying realities that the Jihadists represent. They, therefore, deserve the utmost attention from the government. Many of them have spent years in the camps as the number of residents keeps growing with more terrorist attacks. Efforts to return to their communities have also suffered setbacks as the insurgents relaunch attacks on many resettled areas. Given the severe abuse and deprivation these terror victims have experienced, it is surprising to most Nigerians that the jihadists who inflicted the agony seem to be getting more attention than the victims. So, this most important question, “when are the IDPs going home?” remains unanswered for the umpteenth time.

It is also important to look at the immediate and long-term downsides of this olive branch being extended to the rebels. Amnesty is not a new trend in Nigeria. In 2009, the government of President Umar Musa Yar’Adua granted amnesty to the Niger Delta militants following years of attacks on oil facilities in the region that greatly impacted the country’s economy. The amnesty came with juicy benefits, including loans to start businesses, formal education in Nigeria and abroad, and a monthly allowance of US$400 for every fighter who handed over their weapons. The monthly allowance was far higher than the minimum wage, which was about US$60 at the time. Their leaders were also offered highly profitable and massive contracts in the oil industry, and many of them gained political power in their communities. But the amnesty and its accompanying juicy packages only benefitted only the fighters who were just a fraction of the population, as the government failed to tackle the wider socio-economic grievances in the region. Years after, new militant groups emerged and resumed attacks on oil facilities, which reduced oil production by half in 2016.

Drawing from this past experience, the ongoing amnesty to Boko Haram fighters may end up creating more problems, especially as the yearnings of the affected victims remain largely unanswered. It could also set a precedent that will attract the emergence of new armed groups in the future. Already, some groups in northern Nigeria are advocating amnesty for the so-called bandits who are as deadly as Boko Haram and have terrorised the country for the past few years. This leaves many people wondering where the government’s priority lies: rewarding crime with financial benefits and pardon or ensuring criminals face justice for their crimes?

In the past few weeks, about 6000 Boko Haram members have reportedly surrendered. In a shocking twist, however, the Islamic States of West African Province (ISWAP), a splinter of Boko Haram, is massively recruiting to replace those repentant members. This shows that the terrorists will remain a big threat to the country’s security as long as they have the resources needed to continue the war.

Many analysts believe the lasting solution is to identify their sponsors and bring them to book. Judging from the rapid growth of the Boko Haram group in the past decade, it is becoming more apparent that the fighters are being bankrolled and aided by powerful individuals who benefit from their activities. On September 13, the UAE federal cabinet named some Nigerians among global financiers of terrorism. An official in the Nigerian government was also said to be involved.

There have also been reported cases of top Nigerian military officers aiding and abetting the terrorists in their heinous activities. While the masses call for naming and prosecuting Boko Haram sponsors, the government, on the other hand, believes the time is not ripe for that as investigations are still underway. The continuous attacks by the Boko Haram group, the ongoing amnesty for the surrendered members, and the refusal to mention those terror sponsors make many Nigerians doubt the government’s seriousness in bringing this decade-long war to an end.

Olusegun Akinfenwa is a correspondent for Immigration Advice Service. A law firm based in the United Kingdom and offering immigration and citizenship services globally.

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Everything You Need to Know About Bankruptcy

October 12, 2021

A million and one plates are being spun at any time in a business. You have to keep everyone happy, keep payments flowing, and keep business growing. Sometimes, it’s impossible to keep up with everything, leading to financial or personal problems.

One of the main financial challenges a company can face is the decision on whether to file bankruptcy. It can be a scary and confusing title to want to take on. Should you declare bankruptcy? What does it even mean to be bankrupt? In this article, you’ll learn everything you need to know about bankruptcy and your business.

Why Does Bankruptcy Happen?

As mentioned, business owners have a lot of things to keep afloat at the same time. Sometimes, factors outside of their control lead to filing for Customer Bankruptcy. This could be down to the current economic climate, poor sales, overpowering debts, or myriad other reasons.

If you are a business owner, you will know that you often make purchases through debt and credit. Often, it’s hard to keep on top of all the financial outgoings, meaning they can stack up and become too expensive to manage. In this situation, when debt leads to dangerously low or no cash flow, you’ll need to file for one of the two below bankruptcy options.

Chapter 11 Bankruptcy

The most common form of bankruptcy a business files for is called Chapter 11 bankruptcy. In this form of bankruptcy, a company is given time to develop a plan of debt restructuring and reorganization, with the aim of exiting bankruptcy as a more profitable, successful company. In many cases, certain debts will be discharged or partially cleared, to give the company a second chance.

Chapter 7 Bankruptcy

Chapter 7 of the Bankruptcy Code is a little different. A Chapter 7 bankruptcy is often referred to as “liquidation.” This is because, in a Chapter 7 bankruptcy, a court-appointed trustee takes charge of the companies assets, liabilities, and property, often selling them to help repay the debt they owe to their company. Unlike a Chapter 11 bankruptcy, a Chapter 7 results in the cessation of all business activity, leading to the full closure of the business.

Petition Date

There is an important factor involved in either form of bankruptcy and that is the petition date. This is the date where a company facing a Chapter 11 bankruptcy first declares its bankrupt position. It is this date that marks the start of their bankruptcy process, meaning debts incurred before this date are the ones likely to be reduced and restructured.

After the petition date, companies must complete a few important tasks. Firstly, they must submit a plan to use current assets to pay immediate debts, staff wages, pensions, and more. Then, your company will have 120 days to submit a plan of reorganization.

Restructuring or Reorganizing

Most commonly, companies will be well aware that they are heading for bankruptcy, so plans for restructuring and reorganizing their debt will have been made in advance. They’ll work with various creditors and shareholders to work on this plan before entering bankruptcy, meaning the plan for exiting bankruptcy is already in place on their petition day.

Alternatively, if no plan and no communication is occurring between the debtor and creditors, owners may choose to sell their business. In many cases, another company within the same sector will strategically purchase the business and absorb it into its own company. In other cases, an investor may purchase the company in the hope of selling assets at a profit.

What About Staff?

In general, companies entering Chapter 11 bankruptcies will keep their staff on board and continue to pay them post-petition. Unfortunately, wages may be lost for staff of companies entering a Chapter 7 bankruptcy. Pension plans should be kept for those of Chapter 11 bankruptcies, but again may not be the same for those in Chapter 7. If your pension is lost due to the bankruptcy of a company, you can file a claim with the Pension Benefit Guaranty Corporation.

Intellectual Rights Post-Bankruptcy

Unfortunately, if your company holds patents, these may well be lost in a bankruptcy process. That is the case if you sell your company or parts of it to a bankruptcy estate. Intellectual rights are considered the property of whoever buys the company. However, if you restructure debt and keep your company alive, you will retain the rights.

These are the basics you need to understand when looking at bankruptcy for your business. It is never easy having to face these kinds of issues but, if tackled properly, you can come out the other side financially secure and stronger than ever.

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Which Crypto is Best for Beginners?

October 12, 2021

By Thomas Jackson

Cryptocurrencies are digital currencies that are not managed by the government or any central system but are built on blockchain technology. In the last decade, cryptocurrencies have gained traction, have become more popular, and are becoming more of an option for individuals and organizations to invest in.

As a beginner in crypto, you’re unlikely to know which cryptocurrency is the best and which one to invest in. There are more than 6000 cryptocurrencies, so picking out the best one with high growth potential by yourself may be an arduous task. Bitcoin is an obvious crypto investment given its popularity and constant growth – even with the frequent market volatility. However, there are many other cryptocurrencies that you can invest in with high growth potential as well.

In this article, we’ll be discussing some of these cryptocurrencies that are the best investment for beginners.

1. Bitcoin (BTC)

BTC remains the most valuable and profitable of all cryptocurrencies, which will be the case for a long time. The price, market volume, and market cap of bitcoin are far higher than other cryptocurrencies. Even though there are thousands of other coins in the market, bitcoin still accounts for more than 40% of the crypto market cap, making it an ideal investment option for beginners and experts in cryptocurrency.

Also, several businesses now receive bitcoin as payment for goods and services – another reason why it is a wise investment. For instance, Visa transacts with BTC, and in February, Tesla announced that the company has invested $1.5 billion in BTC and will also be accepting it as means of payment for its cars. Additionally, the large banks are already incorporating BTC transactions in their offers too.

2. Ethereum (ETH)

ETH is a far different cryptocurrency from BTC because it isn’t a cryptocurrency only; network developers can also use it to create their cryptocurrency. Although it has a far inferior value to bitcoin in the market, it is far ahead of other digital currencies. As a result, it represents a profitable investment for beginners and expert crypto traders.

According to the essayontime.co.uk platform, ethereum came out many years after hundreds of cryptocurrencies hit the crypto market but has surpassed them by far due to its unique technology.

3. XRP

Digital payment company, Ripple, created XRP to work as a crypto payment platform and allow exchange between fiat and cryptocurrencies. It also enables other cryptocurrencies to be exchanged on its network. As a result, XRP has grown massively in recent years, and several banks now use the network to execute modern banking functions. If you want to invest in XRP visit this guide to learn more.

Ripple also put heavy investments into non-fungible token projects using the XRP ledger – a public blockchain. Many experts claim that this investment puts Ripple in the position to be an “Ethereum killer.”

4. Cardano (ADA)

This cryptocurrency network has a relatively smaller footprint, and there are several reasons why it is more appealing as an investment option. First, it requires relatively lesser energy to complete transactions using the Cardano network, unlike the much larger bitcoin network. This means the transactions are not only faster, but they’re cheaper as well. The platform also claims to be more secure and adaptable, and they are consistently improving the network’s development to remain ahead of hackers.

5. Binance Coin (BNB)

This is one of the very few cryptocurrencies that reached their peak after 2017 – a year in which there was a big bull market and many cryptocurrency prices rose to their peak, then plateaued before the prices started to fall again. However, unlike many other coins, Binance Coin continued to experience a slow and consistent upward trend after 2017. As stated in an assignment writing service, this coin’s consistent and stable performance is one of the reasons it is regarded as a stable investment option because it poses fewer risks.

6. Polkadot (DOT)

The Polkadot currency was created by some of the breakaway leaders at Ethereum to form a new cryptocurrency with a better network. So, rather than having a single lane for carrying out and completing transactions, Polkadot has several lanes.

Polkadot was designed to reward genuine investors and sorts out those that are only trading to make fast money from crypto. Investors that are well-engaged on this platform also help with decisions such as network fees, removing or establishing parachains, and network upgrades.

7. Chainlink (LINK)

There are several reasons why investors find this cryptocurrency appealing, and the chief of that is its affordable price. However, this coin has also shown that its value can rise well enough over the years, and it still has plenty of room for growth.

This cryptocurrency is also available and is traded on Coinbase – one of the world’s largest crypto exchange platforms. This accessibility is another reason why it’s an appealing investment option.

8. Dogecoin

Although the hype around this coin isn’t as much as it was at some point, it is still a strong digital coin that’s attracting several investors. While cryptocurrencies such as Bitcoin have limited coin supply, Dogecoin doesn’t have limits. As a result, something that started is now a cryptocurrency with several supporters and investors, including celebrities and billionaires, notably Elon Musk.

9. Tether

This is a stable coin, so it is pretty unique among other cryptocurrencies. Stable coins have the backing of fiat currencies such as the Euro or US dollar. This means that if an investor buys 1 Tether coin, they will have the same value of 1 fiat currency (backing the coin). Theoretically, what this means is that Tether will have a more stable value than other cryptocurrencies that suffer market volatility.

Conclusion

Cryptocurrencies are not going anywhere, they are here to stay, and if you’re reading this article, it means you know that fact and are ready to be a part of the present and the future. Welcome to the crypto world! One of the biggest concerns as a beginner is which crypto to buy. That’s why we made this article to help you solve this issue.

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About the Author

Thomas Jackson is a professional freelance content writer and cv writer. He also works as an essay reviewer at rushessay.com, and is an active member of several writing clubs in New York. He has written several songs since he was a child. He gets inspiration from the live concerts he does in front of close friends and family members.

European Banks Need to Step Up Their Application Modernisation Agendas

October 11, 2021

European Banks Application Modernisation

By Alfred Escala Sisquellas, Vice President, Banking and Financial Markets, IBM

Most major banks will have had application modernisation as a strategic agenda for several years now, however the process has been challenging due to the high stakes involved. At the same time as transforming the core of their applications, banks need to continue to provide operational resilience, pervasive security, and comply with the sector’s inherently complex regulatory requirements.

Some banks have opted to persevere with many legacy applications as a result, leaving new technologies just to new applications and hence ending up with two worlds – the legacy and the new. These hybrid architectures are sometimes inefficient, complex to maintain and have made it difficult to introduce new products and services to adapt to COVID-19 uncertainty, or to identify new revenue streams to offset what are historically low interest rates.

In a survey this year, we found that 58% of Europe’s top 50 major banks consider total cost reduction as the top strategic driver for application modernisation, followed by technology strategy at 22% and reacting to competition at 20%. Application modernisation is now an urgent priority for banks and continued hesitation will see them drowning in what is an increasingly competitive and demanding sector.

The Race for New Revenue

Over the course of the pandemic, interest rates have been locked in at near to 0%, banking fees have decreased dramatically, and many banks posted their lowest returns in years. According to the European Central Bank (ECB) Banking Supervision, the profitability of European banks fell from an already mediocre 6% at the end of 2018 to around 1.5% at the end of 2020.

Many leading banks with a strong capital base were able to absorb the economic losses, while smaller banks relied on Government stimulus efforts to stay afloat. All share the common need to discover new revenue streams and increase profitability to survive in the coming years.

One approach will be launching a host of dedicated sector platforms for vertical customers. An example of this is the Cajamar Cooperative Group in Spain, which has rolled-out a platform called Tierra to provide analysis and monitoring tools for farmers in the agri-food sector and deliver services across the whole industry value chain.

By undergoing an application modernisation process and moving legacy systems to solutions built on cloud, banks can make it easier to access data sets and deliver real-time insights to customers as part of new platform offerings.

The Fintech Threat

As if the economic challenges of the pandemic weren’t enough, customers also spent more time using digital platforms and started to demand more from their online banking systems. According to McKinsey, digital engagement levels have climbed up to 20 percent, the use of cash has halved, and 30-40% of customers have expressed a greater need for advice.

This has resulted in banks coming under new attack from fast-moving technology firms including fintech and digital giants. These companies benefit from being able to innovate with a lower risk profile than incumbent banks – they are not present in the most regulated segments of the banking value chain, allowing them to quickly introduce new platforms and services to meet evolving consumer needs. European regulation, such as PSD2, is unbundling the banking value chain and allowing companies to take on the role of ‘financial product and service distributors’, which are also subject to less regulatory requirements.

Most banks suffer from the burden of legacy technology and inflexible applications that impede productivity gains and jeopardise their time-to-market for delivering new products and services to their clients. Existing core banking systems and applications are linked to past architectures and have not been optimised to take advantage of new technologies. Fintechs are more agile and are therefore getting their share in the most profitable pools of the banking value chain, such as international payments.

This is where application modernisation is so crucial for incumbent banks. By shifting on-premises systems to modern cloud-based solutions, changing their application and data architectures to fulfil their clients demands, and moving to a new micro-services architecture, banks will be able to achieve significant improvements in terms of flexibility, agility and cost reduction allowing them to keep pace with their nimbler counterparts.

The Ecosystem Innovation Opportunity

One rare positive trend of a difficult 18 months for the banking sector, has been increased collaboration between technology and financial services players. Organisations of different sizes, industries and geographies are being brought together on cloud platforms to identify transformative technologies, solve market challenges, and respond to regulatory requirements.

For example, we worked with UK retail and commercial bank TSB to integrate its chat service TSB Smart Agent into its mobile application and use the AI and the advanced natural language processing capabilities of IBM Watson Assistant to improve its conversations with customers. This was critical at the start of the COVID-19 outbreak. We recently announced a milestone of 100 ecosystem partners on IBM Cloud for Financial Services

Over the coming years, we can expect ecosystems to bring a host of exciting new innovations to market that will transform traditional banking models and revitalise the relationship between customers and their financial services providers. However, banks operating on outdated legacy systems will struggle to take advantage of these new financial services innovations.

Application modernisation gives banks the flexibility and scalability to introduce new digital technologies and delivery models on their existing platforms. This will be crucial if these organisations are to maintain pace with agile competitors.

A Simplified Transition

Historically, organisations have avoided application modernisation due to the central position they occupy within banking architecture and concerns about how to maintain those systems in the future. It was a long, uncertain journey which most firms were reluctant to face. Other options such as a total replacement of their core banking systems with packaged solutions could allow for modernisation but risks and uncertainties were still there.

However, the emergence of new technology offerings and management tools has put banks in a better position than ever before to kick off their modernisation journeys. For example, the emergence of open hybrid cloud platforms allows organisations to leverage the most suitable applications for their transformation rather than being tied to the solutions of a specific vendor.

New tools, such as IBM Financial Services Workbench and new industry models such as Banking Industry Architecture Network (BIAN) have become accelerators which reduce both the timeframe but also the risk of application modernisation. While market and business pressures are more acute than ever, banks now have the tools, the reference models, and the partners to successfully deliver this modernisation, de-coupling the client-facing distribution layer from the product manufacturing and transactional layer, enabling them to be more responsive to client needs.

Application modernisation should leverage the current system capabilities and assets and be aligned to the overall strategy of the organisation. It should consider the whole target operating model including products and services, people and culture, processes, partnership strategies and the capacity of the bank to absorb change and manage risk.

It is a process that will underpin the bank’s future operations and prosperity; one which they can no longer afford to delay.

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About the Author

Alfred Escala is VP Banking & Financial Markets EMEA Leader since January 2021. He joined IBM in October 2002 through the acquisition of PwC Consulting where he was partner-director of PwC Consulting Spanish Practice. After joining to IBM, Alfred Escala has had several positions in IBM Global Business Services such as Consulting Services Leader for Spain & Portugal, Strategy & Market Director Leader for South West Europe. In 2009 he moved to Global Markets organizations and he was FSS Sector Leader for SPGI (Spain, Portugal, Israel and Greece) and he was responsible for overall IBM business in Banking, Financial Markets & Insurance. In 2014 he became VP responsible for CaixaBank-IBM relationship and Chariman of ITnow (CaixaBank & IBM joint-venture). In 2018 he was appointed VP Cognitive Solutions Leader and Industry Business Development Leader in SPGI. Alfred Escala has deep experience in complex transformation projects in the banking industry, leading large multinational teams across different transformational areas, both at the busines re-engineering side as well as at the IT transformation. Previous to his banking experience, he led large Customer Service & Billing (BSS/OSS) projects at the Telecom Industry.

Everything You Need to Know About Smart Locks: Are They Really Safe?

October 11, 2021

In order to guarantee a higher level of security for commercial properties and businesses, it is important to invest in a high-tech system that builds confidence and peace of mind. Advances in the security technology sector have been impressive in recent years, presenting different types of locks, characterized by their wide variety of functions and advanced protection. Having secure locks and limiting who can enter the premises is a key component of commercial access control best practices, so it’s no surprise that locks are evolving to solve for the latest threats and needs.

Although we are used to robust locks with keys, deadbolts, or a huge padlock, it is a reality that criminals have become masters in violating these conventional security systems.

It is important, therefore, to know and explore other lock options to secure your business. Among the new types of security technology, a standout has arrived: smart locks. In this article we will address all the details you need to know before investing in smart locks for your business.

What is a smart lock?

Losing your keys will no longer be a problem. Smart locks are composed of a high-security mechanism that can be installed on just about any type of door, and guarantees that it can only be opened by the person authorized to do so.

Unlike conventional locks, these locks are equipped with alarms, digital panels, or sensors, which work through different verification methods to unlock the door. They are ideal for bolstering your space’s physical security, as smart locks tend to be more robust and more efficient than traditional locking mechanisms.

The smart lock system works through Wi-Fi signals, Bluetooth, voice assistants or biometric devices, which turns the user’s mobile device, fingerprint or registered voice into the key that opens the door.

How do smart locks work?

Commonly, the smart lock mechanism integrates various technologies to grant access only to authorized individuals. For example, some smart locks use proximity keys, while others require an app installed on a mobile device.

Once configured and installed, when the smart locks detect an authorized smartphone or smartwatch, they authenticate the credential to allow access by reading encrypted data or tags. The smart lock then triggers a mechanism to release the locking hardware. There are also models that work through PIN codes, either entered on an integrated keyboard or via voice detection by a smart reader. Some smart lock devices provide access only through a biometric verification, such as a fingerprint or facial scan.

It is important to note that, for the most part, smart locks are powered by long-lasting batteries with alerts that indicate when the battery must be recharged or replaced. Thanks to this, the system can guarantee a long continuity in security, avoiding any interruption caused by the electrical system of the house. For commercial buildings, there are wired smart locks available for a more consistent power source.

Smart lock manufacturers are continuously improving their security systems. Although criminals are always finding new ways to penetrate security systems, this type of adaptable smart technology keeps you one step ahead.

Are smart locks really secure?

It depends on the situation you are in. If someone manages to steal your smartphone and access it, the smart lock is not really safe. Smartphones have extra security features, such as passcodes and facial recognition built-in to prevent this type of security breach. However, most smart locks also have a spare key and a special option to lock down access in case you can’t find your smartphone.

Another problem lies in the firmware. There are several cases where smart lock manufacturers have received complaints from customers regarding firmware defects. Damage to the firmware can leave you vulnerable to a break-in. It’s important to always source smart locks from a reputable manufacturer, and perform regular vulnerability testing to ensure your locks remain secure.

At a convention for hackers held in 2016, practitioners found that 75% of the smart locks on the market (at the time) could be hacked. Vulnerabilities usually lie in factors such as simple passwords, device spoofing, and decompiled APK files. Following best practices such as multi-factor authentication for passwords and only connecting to secured Wi-Fi networks will help protect your smart locks.

Of course, no security system is 100% fail safe. However, updating to smart locks and keyless entry systems can help improve security over traditional systems, and provide a greater peace of mind for businesses and individuals.

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How VAT Software Can Benefit Your Growing Business

October 11, 2021

As a small business owner, keeping your business running efficiently requires persistence and almost limitless energy. You’re expected to manage multiple facets of your enterprise, with reams of urgent paperwork taking up the majority of your ever-growing to-do list.

Managing your tax obligations as a small business is another plate you need to keep spinning, and due to its apparent complexity and importance; many small businesses are left feeling completely perplexed and overwhelmed by their VAT responsibilities. Thankfully, more business owners than ever before are turning to software to help them remain compliant with Making Tax Digital (MTD) obligations and keeping their business aligned with the requirements of HMRC. In this post, we’ll examine how VAT software can benefit your growing business and why using VAT software is the approach of choice, for businesses just like yours.

There’s Less Paperwork

Working through mountains of paperwork, receipts and invoices is a dreaded time of year for any business owner. The sheer volume of documents brings confusion and pressure to the situation and makes errors more likely to occur. When you implement VAT software, you can maintain a digital paper trail instead, where all your actions, invoices, reports and other documents are recorded digitally, helping you keep track of every document and effectively streamlining the entire process.

Compliance is Guaranteed

It’s hard to keep up with the rules and regulations of VAT and tax. And the prospect of getting it wrong can have serious repercussions on your business, your finances and your reputation as a business owner. No matter how much time you spend sifting through your paper documents, once your return is submitted, there’s no going back and no guarantee that your submission was accurate.

This is where using VAT software can help. Once you make the switch to this software, you’ll get monthly snapshots of your VAT records, and have all the calculations completed for you – so no matter how complex your VAT return is, you can have a compliant and accurate submission with just a few clicks.

You’re Kept Up to Date

With VAT software, you’ll never miss a deadline. Because the process is streamlined and simplified, business owners don’t run the risk of submitting their VAT returns late or incurring hefty fines for their delay. Helpful reminders will keep you aware of looming deadlines and thanks to its digital paper trail and automated calculations, you can get back to focusing on your business, knowing your VAT obligations are all in hand.

Real-Time Data

Knowing where your business is fiscally at any point in the financial year is essential. Implementing VAT software means that you can be. Having access to real-time tax data for your enterprise means you can have everything you need in place even before your return is due. It’s this data that can help you make better business-led decisions, putting you in a stronger position and giving you a competitive edge.

Final Thoughts…

With the right VAT software, taxes and MTD doesn’t have to be complicated or overwhelming. Put your business ahead, and implement it today.

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Guide For Your Dream Home in Orlando-An Overview of Real Estate Trends 2021

October 11, 2021

Home to a warm climate, sunny beaches, Walt Disneyland, Universal Studios, and SeaWorld, Orlando is the largest city in the state of Florida and 73rd largest city in the US. With job seekers, students, and retirees flocking to Orlando, the housing supply is dwindling compared to its demand.

The high quality of life at a reasonable cost has been profitable for investors with the trend forecasted to continue into 2021. Dubbed the “City Beautiful,” Orlando is steadily climbing its way into post-pandemic recovery. Here we talk about the market trends for real estate in Orlando and what makes it a great place if you are looking to buy your dream house or your luxury vacation homes Florida.

Orlando Real Estate Market Trends 2021

The Orlando housing market is remarkably competitive, with homes selling within only 13 days as compared to 21 days last year. Moreover, the average selling price is $311K, which is up by 13.1 percent over last year as per the national real estate brokerage, Redfin. A staggering 1,351 houses sold this year, up by 8.3 percent from last year with hot homes pending within 4 days and selling for 3 percent above listing price.

Orlando Housing Affordability 2021

Following the trends of low supply and high demands for housing, the first-time homebuyer affordability index fell from 90.37 to 88.99 percent last month. To give you an idea of what this means, an affordability index of 90 percent means that buyers are 10 percent short of the state-reported median income to purchase a median-priced home, whereas if it is over 100 percent, you make more than the required amount to purchase a house.

Orlando Home Listing Prices

Now let’s briefly discuss home prices in Orlando. The May 2021 report from Realtor.com states that more people are buying homes in Orlando than are available, making it a seller’s market.

The median list price of homes in Orlando, FL was $305K, trending up 9.6 percent year-over-year.
The median listing price per square foot was $184.
The median sale price was $300K.
Sale-to-list price ratio: 100 percent—a seller would always prefer scenarios that can yield a ratio of 100 percent or higher while a buyer would prefer a sale to ask price ratio that’s closer to 90 percent.
With a median listing price of $130K, South Semoran is the most affordable neighborhood.
With a median listing price of $599K, Lake Nona South is the most expensive neighborhood.

As already mentioned, Orlando is a hot seller’s real estate market and will likely remain so for another 12 months, if data from Orlando Regional REALTOR® Association (ORRA) is to be believed.

Housing Supply & Inventory

Orlando housing supply indicators show high rental vacancy rates and excessive multi-unit housing permits, which should be taken into consideration before you invest.

There is a national inventory shortage, with Orlando showing a 61 percent fall year-over-year. The average time to sell all of the inventory in Orlando as of July 2021 is just three weeks, whereas the national average was 1.24 months. This is an indication of high demand for property from buyers without enough inventory.

Additionally, the record low mortgage with the 30-year fixed rate being 2.98 percent (3.16 percent in 2020 and 3.80 percent in 2019) also adds to the attraction of the property. Nonetheless, it is still quite difficult to buy homes in this strong seller’s market. On the contrary, initiatives like We buy houses in Orlando by SP Homes LLC are helping owners sell houses quickly in any condition with no hidden costs.

Orlando Median Home Sales Price

In accordance with national trends, the median home price in Orlando has risen a staggering 18.8 percent in the last year. Still, with a median price of just $335,000 as of July 2021, price points in Orlando are still far below the national average, which measured $386,000 in July. Here are a few other relevant stats for housing property trends in Orlando:

The median price for single-family homes rose by 23 percent year-over-year.
Condos also saw a significant change in price from year to year (+14 percent).
For duplexes, townhomes, and villas, the median price was up 21 percent from last year.

Now before you are discouraged by these stats, house owners can still make profit through property in Orlando. The renting price in Orlando is also on the rise (14 percent) although not as high as the sales price (18 percent). With a rent price of $1,758 and optimum location, houses in Orlando are an ideal deal for buyers.

Yearly Housing Sales Comparison

Real estate in Orlando has seen a slow but steady post-pandemic recovery with rising home sales by 19 percent this May compared to last year and a 16 percent year-over-year rise in the number of new houses for sale. Let’s go through some stats of housing sales primarily in the Orange and Seminole counties:

A total of 3,872 properties were sold in May 2021 compared to 2,127 last year, a 15.43 percent
Townhome/villa sales showed a 131 percent
Single-family home sales showed a 63 percent
Condo sales were a staggering 206 percent higher than last year.

Orlando Real Estate Market Focus 2021-2022

Why You Should Invest in Orlando

Population Growth

As the housing inventory hints, the population growth in Orlando and neighboring suburbs is at an all-time high and expected to keep this trend. These stats only prove why Orlando is one of the fastest growing cities in the US:

The population of Orlando has seen a rise of 48,600 people since 2010
Last year recorded over 2.5 percent population growth in the Orlando metro area, i.e. Orange, Seminole, Lake, and Osceola, where already 2.6 million residents live.
An estimated population of 5.2 million is expected by 2030 as per Orlando Economic Partnership.

Job Market

Given the high availability of service and hospitality jobs primarily at Disneyland, AdventHealth, and Universal Studios, it is no wonder the rental property demand is high.

The thriving tourism industry is also responsible for a large number of jobs in Orlando. Now with all businesses cautiously opening again, the unemployment rate in Orlando is at 6 percent.

The employment rate is expected to grow by 19 percent with 500,000 new jobs to be added by 2030. Manufacturing and construction, home and healthcare services, computer systems design, and engineering and transportation are some of the top sectors projected to create employment opportunities. Here is a list of companies under respected sectors:

Engineering, manufacturing, and aerospace: Lockheed Martin, General Dynamics, Mitsubishi Power Systems, Siemens, AT&T, and Boeing
Defense: United States Army Research, National Center for Simulation, Patrick Air Force Base, and Cape Canaveral Air Force Station
Entertainment: Disney’s Magic Kingdom, Universal Studios, Disney’s Hollywood Studio, SeaWorld Orlando, Disney’s Animal Kingdom, and Disney’s Epcot Center
Residential areas and parks: Creative Village Innovation District and Central Florida Research Park are large areas with opportunities for education, business, and employment.

Profitable Renter’s Market

Considering the growing population, job opportunities, educational institutions, and affordable property prices, it is no wonder that Orlando is a rental property heaven. The sunny weather and no state income tax protocol only sweetens the deal.

Some key stats about rental property

Rents went up by 2 percent over the past year in the metropolitan area.
About 45 percent of houses are rented.
Rents less than $1,000 monthly account for only 11 percent housing units.
About 53 percent of renters pay between $1,001 and $1,500 monthly, whereas 36 percent pay higher than $1,501.
Even the average rent of the most expensive neighborhoods like Lake Shore Village, Palomar, and Spring Lake is $1,943 monthly.

The average rent being less than national average ensures low rental vacancies, so property owners are more likely to have their properties rented. This creates a win-win situation for both tenants and landlords.

Flexible Tax Laws

Having no state income tax, as we have previously mentioned, has made Florida a hub of booming businesses and eager investors. The 5.5 percent corporate income tax has attracted small businesses and startups, which is further good news for rental property owners looking to rent out places for showrooms and offices.

Tourism Opportunities

Thanks to its warm, sunny beaches, Disneyland, SeaWorld, and Universal Studios, making it the “theme park capital of the world,” Orlando has no shortage of visitors, and this is only expected to go up once the world returns to normal.

A good cash flow is key to a profitable rental property. If you are thinking about investing in Orlando, your best bet is a booming neighbourhood with high job rates and population density. The rule of thumb to purchase property is one that will give a minimum 1 percent profit on your investment.

Here are top 13 neighbourhoods with high appreciation rates:

Kissimmee
Winter Park
Thornton Park
Shiloh / Dummit Grove
S Semoran Blvd / Curry Ford Rd
Boggy Creek Rd / Dowden Rd
Manatee St / Hoffner Ave
Omara Ct / S Goldenrod Rd
E Colonial Dr / Barton Dr
S Goldenrod Rd / Curry Ford Rd
Dorado Ave / San Juan Blvd
Stonecastle Rd / Thrippence Ln
U of Central Florida / N Tanner Rd

Student Housing Opportunities

Home to renowned colleges like the University of Central Florida, Valencia College, and Seminole State College of Florida, educating over 64,000 students yearly, there is plenty of potential for student housing, and investors can look into rental properties for short-term rentals.

Conclusion

According to a survey, 86 percent of residents answered positively with comments like “excellent” or “very good place to live” when describing Orlando. And it’s no wonder, given that Orlando is one of the most ethnically diverse cities in the US, with rich history, entertainment opportunities, and booming education and job sectors. Investors and homeowners alike are looking into buying and renting property in Orlando given its immense growth potential. We hope that through these pointers we can present to you a comprehensive guide to help you make a well-informed decision before investing your money in Orlando real estate.

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Champions League Prize Money Breakdown

October 11, 2021

The UEFA Champions League is often regarded as the world’s richest club competition, and the enormous sums at stake attest to this.

According to UEFA, nearly €2 billion was given to the teams that competed in the 2019-20 competition, with the winning team eligible for a total prize pool of up to €82,400,000. It’s no surprise that clubs set such a high value on qualifying for — and winning — the annual continental championship.

The prize money is awarded to every club that competes in the Champions League, but only a few teams earn the large sums connected with the knockout rounds.

Prize money for winners and participating teams

With each round that a club advances in the Champions League, the prize money increases.

Reaching the group stage is the first profitable feat, with each club receiving €15.64 million.

If you keep going, you’ll get more reward money as you go through the rounds.

Winning the tournament may earn you up to €85.1 million in prize money, which is a significant sum. In addition to the round-by-round statistics shown in the table below, it’s a total that incorporates match victory bonuses.

When broadcast revenue is taken into account, the victors will receive much more. There’s also money to be won if you make it to the UEFA Super Cup the following year, with €4.5 million going to the ultimate champion and €3.5 million going to the runners-up.

What is the value of a Champions League win?

In addition to the monies given out every round, the group stages provide even more riches. Every win nets a team €2.8 million, and even a draw nets them €930,000. As a result, a side that qualifies for the Champions League group stages and wins all six matches will have already earned €42 million in round-by-round and match bonuses before ever playing in the knockout round. Fans have their own share of the spoil as betting with Betway for all qualifying and round matches can be extremely rewarding.

This includes the €15.64 million guaranteed as a group member, as well as €16.8 million in victory bonuses and €9.6 million for reaching the final 16.

Winning a Champions League semi-final is extremely significant in one-off matches. It offers you an additional €15.5 million, or €20 million if you win the tournament.

How does the market pool influence Champions League earnings?

The amount of victories you have and the round you reach are both important factors in determining your Champions League fortunes.

However, those aren’t the only elements that influence a club’s total Champions League revenues.

Bayern Munich, for example, received a total of €130 million (including television money) for winning the title in 2020. Liverpool’s previous year’s total was about €111 million.

The market pool is a system that guarantees that teams from countries with the most lucrative broadcast contracts are rewarded handsomely for helping UEFA raise cash.

A percentage of each country’s prize money is then distributed to all of that country’s teams competing in the competition. As a result, if five Premier League teams qualify, the slices available to those English clubs will be lower than in years when only four teams qualify.

The 2021/22 season is currently underway, and you can bet on the favourites with Betway to see who emerges victorious come May 2022.

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