Friday, 26 June 2009

Interest rates remain unchanged

News Flash: Michael Jackson passed away last night! A sad time in the history of music! A man light years ahead of his time, and the most influencial pop musician of ALL time. His music will sorely be missed by all, but a legacy will always remain!
Tito Mboweni's decision yesterday to keep rates unchanged has shocked some, but with inflation levels staying at around the 8% mark, it's no wonder.

After dropping the interest rate more than 5 times this year already, and inflationary levels not dropping at quite the speed the reserve bank were hoping, Tito's decision remains a solid one.

There's loads of speculation out there with talks about rates going back up and people needing to fix rates now, but with GLOBAL economies sitting at the levels they're currently sitting at, it's not possible. If anything I believe we'll see a another drop in the next month or two and then we'll stabilize!

Wednesday, 24 June 2009

Cleaning up your credit record

When working in the Home Loan business and seeing how people fall into debt you enter into a world were people are drowning and we are constantly in a field that needs advise. Don't wait until its too late to sort out a potential debt problem. Do a credit check. Clean up your credit record. Its not something to be ashamed of, but it is something that should be managed sooner, rather than later, when the pressures have reached insurmountable proportions.

By negotiating lower interest rates and waived late fees, you can often arrange more affordable payments and shorter payoff periods. You can also consolidate your debts into one convenient monthly deposit that will disburse directly to your creditors.

Once you acknowledge your debt and get your payment plan into place, its amazing how quickly your stress levels drop. Your creditors are more likely to be understanding and accept that they will be paid, and the pressure on you is reduced to manageable proportions.

Labeling the cause of your debt overcomes the hurdle of denial and sets the course clear to financial rehabilitation.

Few things in life cause more tension than a debt crisis. Do not tackle this alone. Ask those closest to you to help see you through this difficult time.

Can you deal with bad debt?

If you need a debt counselor use a reputable organisation and check what it is going to cost before you sign up, and in many instances your bank can help you.

Tuesday, 23 June 2009

Will South Africa get another Rate Drop

So there's alot of talk and speculation again about another interest rate drop....

24 out of 26 economists in a Reuters poll last week predicted that the MPC, which has seven members, will lower the Bank’s key repo rate by half a percentage point to 7%. That would bring the cumulative reduction over the past seven months to five percentage points, taking prime lending rates back to the level they were at in 2003.

Electricity utility Eskom is asking for a 34% tariff annual increase.
So while producer inflation has braked sharply, consumer prices remain high and central bank governor Tito Mboweni warned after last month's meeting the policy committee was unlikely to go for more big cuts.

Powerful trade unions, close allies of the ANC, have demanded more action from the Reserve Bank and government to save jobs and propel the economy out of recession.

For additional articles relating to the potential rate cut:

Friday, 5 June 2009

The Zuma Five - Go Go Go Mr President we love your song now lets see the dancesteps

Mr President, when I listened to your speech, I was impressed!
I have never felt more - that i want to believe what you say you will deliver.
I will stand by you and our country as we endeavour to claim our rightful place as proud South Africans.
bayete! I salute you as we create jobs, cut crime and create the rightful housing for all.
I see your hand in the strengthening of the Rand against the Dollar. The lowering of interest rates - which you COULD GIVE US MORE OF.
I know you have many masks that you must wear and I feel concern on the checkered past, but you do represent a very well needed change and I look forward to your bulldog approach when you take on crime!
I hope to see our banks lending to those needing credit as we weather the credit crises and I hope your intervention prevents them from stepping into a cocoon of protectionism as we need them to assist the people on obtaining homes and the financing thereof. The strength of using the reserve bank to lower our rates will force the banks to follow suite and give the man in the street the cash to keep our economy afloat, active and rebounding against the world storm.
bayete! You're such a THRILLER!!

Wednesday, 3 June 2009

General Motors Bankruptcy - GM Confidence in SA Market

This week, General Motors announced that it would continue the rebuilding of its U.S. operations under a court supervised process. This is a progressive step which will position the company to succeed in an increasingly competitive and challenging U.S. automotive industry.

GM South Africa is not part of this filing in the U.S. and will not be affected by the measures announced. We are a self-sustaining operation and as such will continue to operate as normal, drawing on GM’s global resources for the same great product portfolio that has helped us become one of the leading automotive companies in Southern Africa today.

GM South Africa and our dealer partners will continue to provide full sales and after sales backing for all our vehicles including honouring all warranties, service and maintenance plans which we believe are the best in the industry. During the past four years alone, together with our dealer network, we have invested R4 billion in our joint operations to ensure that General Motors’ customers in Southern Africa receive the best products and services available.

More recently, we inaugurated a new R150 million Vehicle Conversion and Distribution Centre in Port Elizabeth, and we will soon break ground on our all new R250 million Pan-African Service Parts Distribution Centre. We are also happy to say that we have now received the first shipment of the highly anticipated Chevrolet Cruze so that our South African Engineering Centre can begin local validation testing prior to the start of sale later this year. These are simply a few tangible examples of our commitment to providing our customers in Southern Africa with the world class level of service you deserve.

We are proud of the General Motors (GMSA) long standing history in South Africa dating back to 1926, and we appreciate the loyalty of each and every one of our customers. We take our commitment to you very seriously, and look forward to building a bright future in this great country together.