Train your dog to enjoy Deepavali

Wishing everyone a Great Deepavali

Kids start firing crackers and sparklers a week before Deepavali and this continues upto Karthigai Deepam.

During this cracker season, your pets get frightened of the sounds, and tend to take shelter under the cots in dark rooms. Stray dogs look for hideouts to stay safe of the bombardment.

Some dogs are so scared of these sounds that they do not even come out for answering nature's calls, and some even go off feed during the Deepavali season.

Is it not a pity that, when you and your family are enjoying the lights and sounds, your pets should spend their time in isolation and in darkness?

It is possible for you to train your dog also to enjoy the lights and sounds, and also the good food during this festival season.

The best approach will be to hold the dog and make it watch while the sparklers and crackers go on, so that it will slowly cast off the fear for them. Do not at all allow it to go under the cot. Your holding it will help the dog give up its fear gradually. This is very much like training your pet dog to walk on the road. If your pet had been mostly an indoor dog and if you take it out on the road all on a sudden it will get scared of the vehicles and the crowd on the road. If you take it out for short distances regularly, it will cast off the fear and start walking boldly on the road.

So, what is needed is a gradual exposure of your pet dog to the lights and sounds associated with Deepavali.

Do not feed your dog with too many sweets during the season. After giving a sweet or two, give it a raw carrot so that its teeth will get cleaned. If the dog allows it, clean its teeth with vinegar after it has consumed some sweets.

Reverse Mortgae!! Could this offer a better life for senior citizens in India?

Sethu and Raji were a loving couple. They had come through the rigors of life and had almost dedicated their entire life for their children. The kids were decently settled and now the couple were through with their lives responsibilities to others.
The only thing they had for themselves was their house which they had bought saving penny by penny. This was one of their special days in their life and at the same time a scary one too. Sethu had reached the twilight of his career and this was the last day in office for him. Since he had borrowed from his savings for kids education, marriage etc. there was hardly anything left which he was taking as his retirement benefit. The company did not offer any pension scheme either.
As they ate their last dinner this sudden realization dawned on them. The interest on his investment hardy worked out to a few thousand rupees which would not be enough to sustain them. They did not want to burden their kids either. The only thing that was left as an asset was their house. Tears filled their eyes as they contemplated on selling it to sustain themselves or he might have to find a job again which was doubtful at this age.
Now retirement was being a heavy burden on the couple as they retired to their bed with fear in their hearts.

This is a common story of most middle class couples in our society. For some who have managed to own a property there is some good news.

REVERSE MORTGAGE:
SBI has finally launched this scheme for senior citizens which allows them take a personal loan by mortgaging their property. This scheme removes the burden of earning for a living after retirement and also to retain the hard earned property.
Conditions:

1. You have to be 60+ years
2. Should have only one wife/husband who is 58+ years
3. Should be using the premises for your residence
4. Own the clear title to the property without any encumbrances
   
5. Balance life of the property should be minimum 20 years on the date of availing the loan.
6. Maximum loan period up to 15 years if you are 68 years & 10 years if you are above 68 or death whichever is earlier
7. Loan+Interest can be availed to up to 90% of property value based upon prevailing market rate.
8. Loan can be availed as monthly payment, quarterly payment or as a lumpsum payment.
   
9. Interest @ 10.75% flat.
10. Maximum loan of 1 crore and minimum of 3 lacs.

For example, if you have a property worth 10 lacs, then @90% you avail a loan of 9 lacs which compounded for 15 years at 10.75% would work out to Rs. 225 per lac per month = 225x9 = Rs. 2025 per month or Rs. 687 per lac per quarter = 687x9=Rs. 6183 per quarter or a lumpsum of Rs. 21619 per lac or 21619x9=Rs. 194571. Monthly or quarterly receipt is more attractive and sustaining than lumpsum payment.
There is no prepayment penalty and hence at any time in case of an emergency or a major appreciation in property which you may want to capitalize, you can sell the property and repay the loan and get the balance to your account.

Benefits:
1. Your house fetches you a fixed income every month and you continue to enjoy the property.
2. The interest you pay is more than compensated by appreciation in property value.
3. Since it is a fixed interest rate you are covered by future hike in borrowing rates.
4. You cover for your spouse by this income after your death.
5. In India the unofficial market rate is always higher that the official market rate by atleast 25%, hence you are always covered by this factor in case of a distress sale.

Some of the risks of such an arrangement would be
1. Fall in borrowing rates below 10.75% owing to economic conditions.
2. Drop in property value which will then need a reassessment of loan to your disadvantage.
3. You will have to continue to stay in the premises and cannot let it out.
4. You will need to maintain on home insurance every year and upkeep the premises even for minor repairs.
5. In case of any disputes within the family can lead to problems with the bank stopping and canceling the loan agreement.

Prevailing real estate market conditions in India, especially in the metros are positive and the property values are likely to keep booming owing to more demand than supply. Under the prevailing conditions this kind of mortgage should be beneficial especially if the value is upwards of 30 lakhs.
@30 lakhs the monthly earning would be Rs. 6075 for a 15 year period and Rs. 12636 for a 10 year loan period.

See the chart below