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If you are looking at growing your money, the world of investments has no limits. While there are conventional methods of investment like fixed deposits, PFs, bonds and more, there are multiple alternative methods you may want to explore too.

Non-traditional methods can surprise you and provide outsized results. Here are a few different types of non-traditional investment methods that you should know about:

1. Digital Gold Currency

Digital Gold Currencies or DGCs, are a form of virtual or electronic currency based on gold mass units. These are representative currencies that are available for exchange for gold on demand. Linked to grams as their measurable units, DGCs are now issued by various companies.

Backed by gold reserves by private agencies, DGCs are best suited to survive during economic turmoil, considering that they are not tied to any monetary policies or economic systems of a country.

Read more about How to save money

2. Equities

While equities can seem like a popular investment option, the truth is that only 2% of the country invests in the stock market. That’s a staggering amount of people left out of one of the most visible indicators of our economy. This is partly due to a lack of understanding of how this asset class works, and the related apprehensions that brings with itself. But in the process, you’re missing out on opportunities for solid returns on your investments – the Sensex delivered a 17% return in 2017 and 11% in 2018.

You may want to test the waters by beginning with mutual funds – generally a less volatile, and easier to manage investment than stocks and shares directly. Get yourself a demat account to begin.

3. Inflation-indexed bonds

Inflation-indexed bonds are a measure of protection taken by the RBI (Reserve Bank of India) that acts as a hedge against inflation. This investment choice is particularly to safeguard your bond holdings. While a regular security bond of the government is subjected to the risks of inflation, inflation-indexed bonds are free from it. Sold in the secondary markets, there are no set fees for this service and these bonds score higher with respect to capital protection.

4. Collectibles

Collectibles are an interesting investment choices for tangible investments. They tend to usually include vintage antiques, precious metals, numismatic and rare coins, watches or anything whose value is likely to rise in time. The key to investments in collectibles is the question of rarity – the price demanded is higher for anything exceptionally rare. However, it is extremely important to have a thorough investigation before investing. It is also vital to ensure that you are investing money that you can afford to lose, considering the volatility of prices in the market. That said, collectibles are ideal investments for failed conventional investments.

Read more about How to invest epf savings

5. Real Estate

Real estate is one of the best tangible assets for money investment and growth. This is because unlike others, its price has historically consistently performed well over the long term. The three basic ways of investing in real estate are:

1. Buying your own house – This is the simplest investment in real estate considering the fact that you would have to live there too. This is beneficial in increasing your ownership equity through mortgages and appreciation of the property.
2. Investment in rental properties – Investments in rental properties add an extra flow to your already existing income. However, it is important to understand that rental real estate is a hand on activity, meaning this requires a larger investment in terms of down payments and market prices. Nevertheless, it is the perfect way to grow your money on a long term basis.  
3. Real Estate Investment Trusts or REITs – REITs are like mutual funds in the real estate market. These are trusts that are sold on known exchanges, from which you can either invest in the property or its mortgages. A new asset class that’s only just launching in India, an REIT is generally categorized into multi-unit apartments, commercial flats and retail buildings. An advantage of REITs is that they have huge tax benefits and provide higher yields too.

Investment is a slow and steady process; it is important to remember not to dip your feet into every pond. And while you’re at it – remember that it’s only prudent financial management that will enable you to invest well in the first place. If you’re short on funds, you may want to look at instant loan from Fibe to meet your urgent needs and maintain financial wellness.

If you’re beginning to enter the world of investment, starting with one or two traditional investments and then working your way up to the non-traditional ones is an ideal way to play this field.

It is believed that living well and achieving dreams like buying a car, travelling or buying a home require quite a bit of financing as well as financial planning. Saving a bit of your income each month goes a long way if you wish to lead a comfortable life and be prepared for emergencies like losing or quitting your job, or a sudden medical problem. This brings us to the question on everyone’s mind these days – how much of our salary should we save per month? There are several ideas regarding this, but a lot of them stem from the one popularized by American Senator Elizabeth Warren, called the 50/30/20 rule. However, it’s not the only one. Here are some ideas on how to go about keeping aside some of your income as savings.

The 50/30/20 rule

Simply put, the rule suggests that:

• 50% of your income must be channelled towards your “needs” – essential items that we can’t do without – like food, rent, electricity, etc.
• 30% should be spent on your “wants” – non essential items but desires you’d be happy to fulfil.
• And 20% should be put into your savings.

This 20% can be split between retirement savings, an emergency fund and investments, including mutual funds, SIPs, stock market investment, etc. Savings could also indicate debt repayment, as any interest payment would reduce future debt. This rule can’t really be applied everywhere, especially if your salary is too low, or if your financial goals require you to save more. However, it is an excellent guide for someone who doesn’t know how to start saving.

Rules for retirement savings

One of the most popular rules of thumb when it comes to retirement savings is to put away 10% of your income every month. Most careers have a retirement age, that is, when you turn approximately 60, you’d probably want to (or have to) stop working. However, your basic needs and wants are unlikely to reduce after you stop working. In fact, your standard of living would’ve risen signifiacntly over the years, making it more expensive than ever before. Plus old age can bring with itself health problems, which invariably leads to more expenses. Saving a certain amount, specifically for when you retire, is a good idea.

10% of your monthly salary is a good start, especially for youngsters who have just started out. However, if you start late, you’ll probably have to put more of your income towards your retirement. You could put the money in a retirement fund, or according to the returns, invest in some long term mutual funds. Another approach is to save money considering that by the time you retire, you should have 20 times your annual salary saved up. This is a more comprehensive approach than that 10% rule, as you can save a particular amount depending on when you start saving.

Emergency fund rule

A popular belief is that you should have enough money stored up in an emergency fund to last you between three to nine months. The fund should cover your living expenses for this time period, including food, rent, any debt repayments, health requirements, etc. This is usually in case you suddenly find yourself without a job, so there is no need to include costs for entertainment, dining out and other things you would indulge in otherwise.

Although three to nine months’ worth of money is often not enough, as you may be out of a job for longer, it helps to know you can at lease survive for so long without a steady salary. It is, however, believed by some that it’s unwise to keep so much money in a savings account when it can be invested for higher returns. Others argue that this fund is not necessary at all. Of course, if you don’t have this money stocked up and need money urgently, you can also apply for instant loans or a salary advance through apps like Fibe to get you through for the time being.

The money ratios approach

Charles Farrell, in his book “Your Money Ratios”, suggested an approach to calculate savings rate considering age, current income and current savings:

• According to him, you need to accumulate 12 times your annual salary by the time you retire.
• Assuming that your invested money will give a return of about 8% annually, you can live on about 80% of your annual income even after you retire.
• He also suggests that you put the money you’re keeping aside in a retirement account, or invest it somewhere which will give you good returns at low risk.

Of course, all these rules are subjective and only serve to provide a set of guidelines to work with, when you don’t know how to start saving. Before following any of these rules, it is recommended you first look at your financial goals. If, for example, you wish to buy your first car in ten years without a loan, you need to start saving up for it accordingly. Calculate how much you need to invest per month, and estimate the returns you must get through your investment over ten years in order to buy the car. The approach is similar for any financial goals you may have. But putting away a small amount towards your retirement and keeping some money aside for emergencies are two things that must not be ignored.

Just landed a new job and struggling to meet ends? Don’t know who to turn to for your temporary cash-crunch? A salary advance can be a panacea for all your liquidity problems. The concept technically refers to an early payment of a portion of an employee’s salary – but is often used to refer to instant loans and cash advances before paydays. These advances are usually recovered in installments.

The Why

As banks lure the salaried class for home and car loans, those who miss out are the ones who are hard-pressed for money to meet immediate expenses. Many today are unable to navigate into the corporate world as their expenses mount. After all, establishing yourself in a brand new place requires capital. Right from arranging accommodation in metro cities to meeting short-term travel expenditures, keeping up with all the added expenses is a daunting task. This is where monetary help such as salary advances can help.

Most of us attempt to save for a rainy day fund. But with costs of living on an upward trajectory, coupled with those few times when we give in to our urges, it’s a difficult endeavor. Moreover, in a country like India where festivities are welcomed with much gaiety and expenditure, money crunch is a common problem. It is almost like a faucet that won’t turn off.

The What

To navigate rough waters, you may avail of salary advances.  A salary advance has the following advantages:

1. Fast Processing and Disbursal: Taking a loan from a traditional bank is tedious and time-consuming. It takes weeks to process the loan and a lot of paperwork. However, waiting is not an option when you have an urgent personal need for cash. That is why salary advance which generally takes only a day or two to be processed and disbursed are preferred over loans.
2. Interest Rates: Usually, when you take a personal loan, the interest rate on it starts accumulating soon after its disbursal. However, in case of salary advance like the one offered by Fibe, you’ll only be charged for the number of days you use the money.
3. Comfort with Flexibility: Salary advance loans come with several repayment options. The flexibility ensures that there are much lower chances of you being out of money when the repayment is due. Moreover, you may use your salary advance anywhere and everywhere, with restrictions.
4. Borrow small amounts: Need some cash for that much awaited Goa trip or that feature-packed smartphone? Guess what, you can take even small advance salary loans.

Nobody likes walking on a tightrope. So, why should you when you are financially constrained? A salary advance is extremely beneficial in grabbing opportune investments. It also helps during unplanned hospitalization or other unfortunate events, where immediate money is needed. A salary advance can help you with everything from the purchase of a house or a car, timely payment of deposits, etc. However, with less than two per cent companies in India giving advance salary support to their employees, an individual should be ready with Plan B. The need for the sector is fairly apparent – over 200 salary loan apps are said to be competing in India to meet these customer needs – a fairly large pool, but one in which EarlySalary, the best advance salary app, stands out (more on that, below).

The How

As Shakespeare wrote in Hamlet. “Neither a borrower nor a lender be. For a loan oft loses both itself and friend”, asking friends or family for money can potentially strain relationships. If you need extra money for an unexpected emergency, there’s one source: Fibe’s Salary Advance. A unique salary advance app that can assist you meet short-term pecuniary needs with quick turnaround time and zero paperwork, Fibe allows you to borrow up to Rs  2,00,000 with interest rates as low as Rs 9/day. The platform has also partnered with major ecommerce portals to allow you to make purchases directly from their custom wallets, making it easier than ever to make those urgent (or even impulsive) buys.
Tide over your month-end and mid-season blues, with EarlySalary’s direct cash transfers or shop with partner websites today and pay later in EMIs at no extra cost. Sign up here!

From paid vacations to health insurance, organisations have left no stone unturned to ensure the convenience of their employees. However, with the state of the global economy and rate of inflation we tend to see, money seems to be slipping out of our bank accounts faster than we can earn it.

Despite meticulous planning and stringency, salaries are exceedingly difficult to sustain for an entire month. Many people have next to no savings and continue to rely on credit cards. Emergency circumstances, including medical bills, educational expenses or an unplanned trip, might not fit into your monthly budget.

Credit cards can be the best scope to sustain by the end of the month but they can often add up to hefty amounts if you are not able to pay off your bills on time. Is there something better than credit cards? Salary advance can be your boon at the end of the month. Read on to understand what it is and its benefits. 

What is a Salary Advance?

A salary advance is fairly self-explanatory – it refers to an advance taken by employees in order to carry out any unforeseen or unwarranted expenses. The salary loan given is recovered in instalments and has very low interest rates.

With the concept of a salary advance catching on, many instant loan apps and services offer it to tide over a cash crunch at the end of the month. These salary loan apps are bridging the gap between employees and their expenses. 

Fibe, for instance, is one such app that provides salary advances for working professionals within a few clicks. With a hassle-free process, a salary advance loan is an excellent alternative to credit cards. 

Why Salary Advance?

Here are some benefits and features that help professionals keep pace with life and its many demands with this credit facility: 

• High Loan Amounts

The convenience and flexibility associated with this loan gives it an upper hand. With Fibe, you can get up to ₹5 lakhs with an easy online application process and minimal documentation.  

• Low Interest Rates

Compared with rates of other loans and credit cards, salary advance loans have lower interest rates. Moreover, they may come with no added charges, which makes this a great option for new working professionals. 

• Pay Back Flexibly

With Fibe, you can repay the funds over a period of 3 to 36 months as per your convenience. Many organisations also offer easy repayment facilities as your salary is used to repay the loan amount the following month.

• Collateral-free

Salary advance loans are unsecured loans that don’t require any collateral. If you apply for this loan, you do not have to worry about pledging and risking an asset.

• Swift Approval and Disbursal

Thanks to evolved transactional systems and tech, your salary advance can now make it to your account quickly. Since there is no middle-man involved, all you need to do is send an online application. This quick disbursement is a lifesaver when you are in need of some quick and an instant loan.

• Low Importance of Credit Score

The process does not require an outstanding credit score. Salary advance apps like Fibe do not rely solely on your credit score in order to lend you money, making it more millennial-friendly.

• No Restriction on End Usage

You can use your advance salary for any kind of financial requirement, such as:

1. For impromptu medical bills
2. For vacation or travel
3. For relocating to a new city/ town
4. For repairing your vehicle 
5. For renovating your home
6. For paying fees/ bills/ rent
7. For buying household items (including groceries)
8. For festive shopping or upgrading electronics

How to Go About the Process?

If your employer offers an instant salary advance, that can be an ideal scenario. Organisations can often be slow to move on this front and may require additional paperwork such as long salary advance forms, etc. But this is far from being the only option. 

Fibe offers a hassle free salary advance within minutes. Here’s how it works:

• Onboarding: The Salary Advance program is successfully activated once your company signs up for it
• Integration: Your company shares all relevant information on it to you via email.
• Disbursal: You are directed to the Fibe portal for approval for salary advances.
• Smart Repay: You can set up the Smart Repay option to conveniently manage the repayment.

Via Fibe, you can apply for a salary advance of up to ₹5 lakhs and repay the amount over the next 36 months. Thanks to salary advances, no need to worry about cash crunch at the end of the month anymore. Get started by downloading the Fibe’s Personal Loan App and get your salary in advance.

Imagine being able to borrow money without any hassles or unruly paperwork, so that you could buy your dream car or house. However, reality is far from such a scenario. Borrowing money from the bank depends on a number of factors – the most important being your credit score. A credit score is an indicator of your reliability and financial situation. Lenders assess your risk as a borrower by putting together the information in your credit report and credit score. A high score results in banks lending you money without much doubt and interest. A low credit score, on the other hand, comes with its long list of problems including higher interest on loans, high insurance premiums, and difficulty in being able to buy or rent houses and cars. We’ve previously discussed 5 ways to improve your credit score. This time, here are seven ways to preserve your credit score and prevent it from dropping –

#1 Avoid using more than half of your credit card limit

Credit utilisation is calculated as the ratio of your outstanding balance to your credit limit. If your credit utilisation is high, it could impact your credit score. If you use too much credit, the possibility of you repaying the money you borrow is expected to decrease. A higher utilisation could ultimately result in you defaulting on your credit obligations. A low credit utilisation means that you are using only a small amount of the credit loaned to you and hence the possibility of paying back the amount is high. In order to keep a decent credit score, ask your bank to either increase the limit of your credit card, or spread out your expenses over several credit cards to avoid reaching the limit on either. You can also pay your credit card dues twice a month so that the limit refreshes each time.

#2 Avoid any late payments or defaulting your credit cards

Payment history has a very strong impact on your credit score, so people looking to maintain a proper credit score should pay credit card bills on time. Defaulting on a credit card bill payment will almost certainly lead to difficulty in taking out loans, or opening new bank accounts. On the off-chance that you are able to secure a loan, the interest rates may be very high. Most banks do send you notices when your payment deadline is about to approach. Despite this, the number of credit card defaulters remains astonishingly high.

#3 Avoid multiple credit cards

Having multiple credit cards is neither unheard of nor is it a bad idea. However, managing and keeping track of more than one credit card requires a higher amount of attention. Due dates and the reward points should be noted. A default could result in bad credit score and high interest. Know that inactive credit cards could also negatively affect your credit score, as could applying for multiple credit cards within a given span of time.

#4 Keep a sufficient gap between sanctioning two loans

While a gap between two loans seems obvious theoretically, a lot of young millennials believe that they need to buy their house and car immediately, resulting in a pool of debt. A loan should ideally be sanctioned for a short period of time. A longer tenure attached to your loan means you end up paying more interest over the years. Try to maintain a minimum gap of 12 months between the end of one loan and the start of the next. This way, financial pressure decreases and ensures that you end up paying the EMIs regularly without any defaults.

#5 Sticking to the same form of credit can keep your score stagnant

Credit basically refers to the act of borrowing money. This could be in any form – credit cards, bank loans or overdrafts. Using different kinds of credit and paying them off properly shows that you are a responsible borrower, and lenders don’t hesitate to lend you credit. In fact, it also helps build your credit score. Regardless of your credit type, it is important to note that you must always pay off your credit on time.

#6 Avoid jumping from card to card. Maintaining old credit cards helps you lengthen credit history

Every time you use a new card, the card comes with a fresh slate for you to build up on credit history. Closing existing accounts shrinks your credit score and makes it difficult for lenders to assess your risk. When your credit history is long and lengthy, it helps lenders asses you more accurately. It also shows that you have been using credit cards for a fairly long period of time and are responsible with the payment, successfully being able to manage it.

#7 Check your credit report regularly in order to avoid any mistakes

It is rare for a mistake to occur on a credit report. However, if it does, it can cause your credit score to plummet. There could be errors on your report suggesting you were 30 days late in your credit card payment, bringing your credit score down, and once the errors are fixed, it can take upto months for your credit score to be rectified. A simpler way is to just avoid any mistakes on your report.

With a monthly salary not sufficing and sustaining you through the month, credit is crucial to pull through the month, whether it is a simple shopping and vacation, or buying a house or car. Your credit can be improved by regularly borrowing small amounts of credit and paying it back in time. However, building up credit does take a lot of time, effort and planning, and hence, a lot of fintech portals have come up with the concept of lending a salary advance which does require an outstanding credit score. Fibe is one such salary advance app which has done away with the importance of the credit score. Instead, it checks many other factors – such as your social worth score in order to determine the interest that will be levied on your instant salary advance.