US Finance World

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Archive for December, 2009

If ever there was a good time to take advantage of a federal energy tax credit with energy efficient windows, this is the time to do it.

Not only will Uncle Sam reward you with an energy savings tax credit up to $1,500 but you also may qualify for an additional $500 rebate from participating energy companies. If you live in the Boston area or other Northern climate, you will appreciate how much energy efficient windows can save you on your heating bill. Energy Star windows, doors and skylights that qualify for this tax credit have been proven to reduce energy bills by an average of 7-24 per cent. This means that if you were replacing single pane windows, annual energy savings for an average home would be $126 to $465 and would approximate $27 to $111 when replacing double-pane clear glass windows.

Qualifications for federal energy tax credits …

Not all energy efficient windows qualify for this federal energy tax credit. In fact, not all Energy Star rated products qualify.

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For more than 80 years, stocks have been paying dividends that have provided an important boost to the overall return of stocks. Dividends often get downplayed but they historically have been very significant. Over the last 82 years of history in the stock market, an average of 35% of monthly returns from stocks have come from dividends, a number much higher than most would guess. Twice there have been entire decades where the dividends paid to shareholders of stocks made up more than 50% of the average monthly return.

Companies have a choice about how much of a dividend they want to pay and many companies have cut their dividends during the recession. It takes steady earnings to pay dividends at all and a stable dividend is a sign of a stable company to invest in.

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Some animal lovers find pet insurance too confusing.

Britons may decide not to take out pet insurance because it is too complicated, according to a leading financial services research firm.

The value of having cover in place is particularly pertinent over the Christmas period, when a household’s furry friends are tempted by a number of wires, new toys and treats.

However, Brian Brown, head of research at Defaqto, has urged insurers to simplify their policies to ensure that there is no obvious reason for people not to protect their pets.

“Pet insurance is hugely complicated, unlike motor and home insurance, for example, which is fairly similar no matter who you go to,” he told the Daily Mail.

“Many are prepared to take on the risk of things going wrong.

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There isn’t any simpler sale than the mortgage protection sale. The mortgage protection sale is one of the easiest to make because the prospective client already believes he must protect his investment. Since the prospect is painfully aware of the size of his mortgage, he knows how important it is to protect this investment. He already perceives a need, which is why mortgage protection practically sells itself.

An insurance agent’s job is to collect a large number of clients. Of course, you don’t want so many clients that you can’t handle them all. The simplicity of mortgage protection insurance makes it easy to gather many clients in an efficient manner.

You could argue that mortgage protection isn’t the best market. It is true the amount of compensation is relatively low, and it could be argued that even with the easier than average sales, this simply isn’t the best business decision. There is still plenty of work involved in generating these types of insurance leads, and don’t forget the overhead expenses.

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With over 140 bank failures in 2009 alone, it goes without saying that this has been one of the most challenging years ever faced by banks. Banks of all sizes have fallen in the economic storms and challenges in the capital markets but recently the bank failures seem to be limited to small, community banks as opposed to large national and regional banks and financial institutions.

President Obama met with officials from eight community banks recently and found them much more willing to work toward a common solution than the CEO’s of large banks that flew into Washington for meetings a few weeks ago. Instead of worrying about maximizing the size of their bonuses, these banking leaders are simply struggling to keep their doors open as the FDIC looks for new targets that are under-capitalized. T

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