Monday, September 8, 2014

Paying homeloan from credit card

Somebody, in some forum (@Ashal: ssshhh), asked a question: "Can we pay home loan from a credit card?".

Actually, it was not a question. It was kind of a suggestion and the person just wanted to get the feel of the audience. I dare not comment on such threads. It just gets nasty. I have burned my fingers once, when I argued, why should an agent cheat client. If he needs to be paid the commission, he must say that. Simple, right? Nopes, someone argued that he needs income as well. This is the exact mentality, why agents get a bad reputation. Offcourse, nobody is against their income. Just that, it should be differentiated from the premium. Okay, lets not get into that.

Coming back to the topic. The moment I heard the question, I remembered this "thread". First thing first, I have never heard any bank deducting a premium from his credit card. Why? Simple: It is actually like an old proverb - 'Robbing Peter to pay Rob'. The idea sucks, not financially but psychologically (I never get this spelling right). It is like a trap. You get use to the credit card and then comes the admin charges, yearly charges, usage limits and plenty of other stuff. 

Why complicate our lives. Just pay off the EMI from SB account. The counter argument is, we get free money, if we pay by credit card. This is what Subra call - innumeracy. What people do not understand is (even if banks allow) paying by credit card just changes their EMI date and nothing else. 

Suppose, my EMI date is 5th of every month.
I have started using credit card and hence get say, 20 days to pay off. So now, effectively, my EMI date becomes 25th of every month. The benefit of free cash usage is only in the first month. Then onwards, its just the change of the date and nothing else. 

P.S.1: If somebody disagrees with my view, I would be happy to hear their counter logic.
P.S.2: It would be interesting to see Ashal's views on this.

Sunday, September 7, 2014

Stop complaining

Like every other human being, I too have the habit of complaining. Generally, we complain about things like:

  • Getting cold and cough
  • Paying 10 or 20% tax on the income
  • Getting 8% ROI on FD and a friend getting 9% ROI
  • In malls, not getting an autorickshaw
  • Not able to eat pizza/vada pav or burgers, daily
However, recently, I met this girl. After hearing her disease, I was like "Freak... how do you survive...".
The said girl has a disease due to which she is allergic to nuts (peanuts, almonds, cashews, etc..) and to majority of the fruits. It is like a unique disease and she has to live with it. No medicines to cure that. She just has few medicines which reduces the impact of allergy when she comes in contact with the above mentioned food items.

The restrictions are too much. Even if she inhales the air which has the particles of the nuts or some fruits, she gets the allergy attack. Her allergy attack is similar to asthma attack.
Once, when she was traveling from London to her home town, she was served doughnuts. As soon as she had one of them, she got the allergy attack mid air. Fortunately, there was a doctor on the plane. He understood her condition and gave her the emergency injection. She carries this injection all time. Later, when they checked, the doughnut box had a warning: "May contain traces of nuts". 

My camera

The greater problem is, only when she consumes a particular fruit, she understands whether she is allergic to that. The kiwi seeds, the custard apple, orange and few other fruits are banned for her.

Almost, in all the developed nations, the food product manufacturing company has a mandate to write the warning, if the items are produced in vicinity of the nuts. If the patient does not get quick medication, his immune system may get permanently damaged or he may die. Such is the severity of the disease. 

Recently, a small girl, almost died in a plane. The passenger sitting three rows ahead, opened a packet of cashew nuts and started eating. The small particles from the nuts, caused her breathing problems. Her mother immediately informed the crew members and they took her to the end of the plane area and gave her a seat over there. However, the air in the plane is always circulated due to the air conditioner and she started getting vomiting and other symptoms. She did not carry the anti-biotics and could be treated only after reaching the nearest airport. Luckily, she survived.

After hearing such cases, I have stopped complaining for minor issues in my life.