Obsolescence weights your household finances

A light bulb that looks like incandescents as the sun itself is still shining at the Livermore fire station in California (USA). In fact, it has been on since 1901. Yes, it is a century-old light bulb that accumulates more than 800,000 hours without suffering the age or change of the century. Therefore, it has been more than 110 years old without faltering in its mission and without showing the slightest symptom of fainting. How is it possible if our bulbs do not exceed two years of life and we live in a permanent change and replacement of lights? Well, it is explained with a concept called programmed obsolescence.  

Thus, the centennial bulb of Livermore was manufactured when the industry had not yet realized that if you produce a product and it lasts too long, your factory may be in danger because it meets the need, we will not buy more, right?

That was what eluububó in 1924 a cartel that brought together the leading manufacturers in Europe and the United States. The association decided to agree on the limitation of the life of electric bulbs to 1,000 hours. It is clear that the Livermore bulb is the survivor of an era, right? Its longevity arouses the admiration of many tourists who come to visit it, it is celebrated each of its birthdays in the town and of course, there is a camera that constantly monitors it day and night in case it happens to go out.

Did the great depression of 1929 bring us obsolescence?

Did the great depression of 1929 bring us obsolescence?

But what was only glimpsed in the light bulbs, in the end it ended up invading us in the wake of the Great Depression caused by the crack of the New York Stock Exchange in 1929. To mitigate the problem, it was decided to revive the economy by launching products that, yogurts, they had an expiration date associated with us stranjis.

In this sense, the care and pampering that we dispensed to the object was indifferent. And it did not matter the excessive or moderate use that we could give it. In fact, when a date arrived, suddenly the product began to malfunction or simply died before our eyes without understanding what had happened.

Since then, and especially in recent years, we repair more objects than ever and even share with them as soon as we realize that acquiring a new one is almost more economically acceptable than facing a repair of an object that begins to collect ailments. Because how many times have we heard that ‘it is more expensive to fix it than buying a new one. And with the points you have … ‘Well, we have already fallen into the trap of obsolescence.

Could a refrigerator last us 70 or 80 years?

Could a refrigerator last us 70 or 80 years?

In this sense, Benito Muros has insisted on taking the witness of the Livermore bulb and has created what he has baptized as the eternal bulb, capable of lasting one hundred years.

But Muros has a first, because according to this expert committed to changing a polluting economy and drowning our pockets, if the old refrigerators resisted the three decades of the current, the current, thanks to the technology and without the presence of programmed obsolescence, could remain at the foot of the canyon for 70 or 80 years.

Surely more than one pulls his hair before such a statement, especially if he has just left an expensive repair for which he has even had to apply for an online loan like the ones we grant in our Good Finance comparator. Although perhaps he has opted for the purchase of a new tired of facing a rosary of arrangements.

Prohibited in France since 2015

Prohibited in France since 2015

However, there are countries like France determined to raise planned obsolescence to the same category of deceptive business practice. Therefore, she is punished with two years in prison and fines of up to 300,000 euros, in addition to discrediting the brand before the public.

The perceived obsolescence

The perceived obsolescence

But programmed obsolescence does not walk alone, because for some time it has been accompanied by a friend and is called perceived obsolescence. And what is it? Well, it is nothing more than that craze for acquiring the most cutting-edge products on the market periodically only because we consider that ours have already been outdated and surpassed by the new scarfs.

Therefore, we need to consume the latest, although little or nothing gives us your purchase, does a camera with more pixels, a screen with more resolution or a device that you can dive into the sea improve your lifetime? Does that justify the disbursement and withdrawal of an object in perfect conditions of use? No, of course not, but we think that it is necessary to go through the ring because it will contribute to improve our ‘technological’ quality of life.

Borrow money for making your own house more sustainable

Borrowing money is made easier by various Dutch banks to enable homeowners to make their homes more sustainable. The Dutch government wants to get rid of all households by 2050. This often requires a substantial investment that cannot be borne financially by all households. Then borrowing money is a good option.

Borrowing money makes initial adjustments to a sustainable home possible

Borrowing money makes initial adjustments to a sustainable home possible

The money that homeowners can borrow more easily makes it possible to pay for the first adjustments, such as the costs of insulating a house. This often requires substantial investments. Replacing the central heating boiler with a heat pump, or purchasing solar panels, for example, quickly add up to thousands of euros.

The costs for making an average home fully sustainable are often a lot higher than ten thousand euros. Making a terraced house fully sustainable in the 1970s, for example, quickly costs between fifteen and thirty thousand euros.

Making the house more energy efficient: various financing options

Making the house more energy efficient: various financing options

There are various financing options to make your house more energy efficient. We list them for you.

Co-finance in your mortgage

Co-finance in your mortgage

Various mortgage lenders offer the possibility to co-finance energy-saving measures in the mortgage; home buyers who want to become more sustainable can borrow up to 106% of the home value. Examples of energy-saving measures are: HR boiler, heat pump, solar water heater, roof and floor insulation and HR ++ glazing. The bank places the extra mortgage amount in a deposit and checks whether you actually spend the loan amount on energy-saving measures. In addition, the bank will ask you for purchase invoices.

In addition, there are administrative costs associated with changing an existing mortgage. This discourages many homeowners from taking the first step. A mortgage advice interview often costs around a thousand euros.

Are you buying a house and want to invest in energy-saving measures or are you buying a house that is already energy efficient? Then you can take out a higher mortgage with most lenders. This extra amount then comes on top of the maximum mortgage that is based on your income. For investments that still have to be made, you can borrow a maximum of 9,000 euros.

Due to the limited extra loan amount and additional administrative costs if you are already a homeowner, taking out a personal loan may be a more interesting option.

Benefits personal loan versus sustainability loan

Benefits personal loan versus sustainability loan

You can request a sustainability loan through the municipality. This is a loan with which you can finance energy-saving measures at your home under certain conditions. However, the disadvantage is that not every municipality or province has a sustainability loan. In that case, a personal loan is an attractive alternative.

Benefits personal loan

  • Shorter term than a second mortgage
  • Tax-deductible
  • Interest and duration are fixed in advance
  • No additional administrative costs such as notary fees etc.

Withdrawing Money Abroad With Your Credit Card?

You will soon be on vacation, but don’t feel like taking a large sum of cash with you? No problem, because thanks to your credit card you can also request local currency at an ATM. These tips ensure that you will never be confronted with surprises.

 

1. Which card do you use within the euro zone?

1. Which card do you use within the euro zone?

If you stay within the euro zone, you can also withdraw money for free from many ATMs with your Bancontact / Maestro card. If you use your credit card for this, there are costs associated with that transaction.

However, a credit card can sometimes also be interesting here. The sum that you collect with your credit card is not immediately charged, but only with the later settlement.

 

2. Which card do you use outside the euro zone?

No matter how you approach it: withdrawing money outside the euro zone is always accompanied by extra expenses, both within and outside Europe and with any card. Do you have more than one card? Then it is worthwhile to compare the costs, because they are different for every provider. View which cards are accepted at your destination and use the card that is most economical.

 

3. Consider the benefits of cash

3. Consider the benefits of cash

With your credit card you can pay easily with traders on holiday. But beware: a cost price is also attached to those transactions outside the euro zone. It is therefore best to compare in advance where it is wise to use it and where cash is cheaper. For example, you pay cash for a drink or ice cream, while you pay larger amounts electronically with your credit card. Do you buy expensive products on holiday, such as a camera? Then check whether your credit card offers additional benefits such as insurance for purchased goods. You should also include that argument in your trade-off between withdrawing money or paying electronically.

 

4. Realize your needs in a realistic way

When you withdraw money abroad with your credit card, the cost price is calculated based on the amount requested. It is important to know that these costs are subject to a minimum and maximum amount. If you need 500 euros for a week, it is therefore cheaper to request this amount in one go than in ten withdrawals of 50 euros. So estimate in advance how much money you think you will need, so that you do not pass too often for small amounts along a machine.

 

5. Pay attention to the maximums

5. Pay attention to the maximums

Each credit card has built-in limits, both for the amount that you can withdraw per day and for the maximum credit opening. With the credit cards from Sophia Western you can collect 1,000 euros per 24 hours (up to 600 € for Visa and Mastercard student and up to 1,100 € for Visa Gold and World Travel Mastercard), so that is usually not a major restriction.

The credit opening can in some cases be a point of attention. After all, all transactions are added together for this: money that you collect from a machine and payments with your card, but also when a deposit is secured by the company where you rent a car on holiday. Do you think that the credit opening will not suffice? Then ask your bank to raise the spending limit (subject to acceptance) or transfer money to your credit card account before you leave.

 

6. Be wary of scams

Card swallowed by a vending machine or no money received after you have entered your code? If no error message appears on the screen or something else makes you suspect that you are the victim of an attempted fraud, call the local police immediately and stay close to the machine. Also contact Card Stop directly.

What if I run out of money?

If you are in a situation where you have run out of money, you have to make some very important decisions. Decide if you will inform your family that you have run out of money

Financial problems

cash

Your family cares for you and naturally does not want to see you experiencing difficulties. Some people choose not to tell their family about their financial problems, while others think it is better not to remain silent so that they can get out of the situation together. When you decide to tell your family, make sure you don’t hide anything and show them the entire financial picture so that they can decide how to help.

Understand the importance of budgeting to avoid cash deficits

Understand the importance of budgeting to avoid cash deficits

Cash deficit is when you spend more than you earn. In order to get money shortage, you probably spend less than you spend. You must have a budget in place to avoid a monetary crisis. Many people see the budget as handcuffs, which limits them, but that’s not the case. Budgeting helps you control your costs and savings. Without budgeting, it will be difficult to financially create the future for yourself.

Do not take short-term loans if you do not have income

cash

Something that some people do when they run out of money is to take a quick loan, knowing that they will not be able to repay it. Short-term credit lines are better suited for people in employment who receive a monthly salary or income

Why are you in a cash shortage?

After the emotion of lack of money subsides, think about why it came here. The main reason for running out of money may be due to: either overspending or too much debt to repay. Find out what is the cause and look for a way to keep repeating yourself.

If you think you will be experiencing monetary problems, consider a small quick loan

Those of you who have a steady monthly income but still need quick cash can check out the payday loans lenders offer. Some companies, such as Good Finance, for example, offer a first payday loan with 0% interest for up to 15 days. This is a good opportunity to take advantage of short-term borrowing money to pay off with your next monthly payment.

If you run out of money, don’t panic. Never make extreme decisions – talk, discuss, think, there is always a way to get out of the situation. If you regularly monitor your finances, it will be easy to anticipate such a situation. If there are indeed preconditions for it, do not wait until the last moment. Discuss the situation with your friends, family or lender.