[insert your name here]
Maryam Mardo
Introduction
The disc work place is a tool that helps asses a person’s predominant personalities, traits and character and how they affect their leaderships. DISC is an abbreviation that stands for Dominance, Influence, Steadiness and Conscientiousness. The DISC assessment pays a keen focus on one’s behavioral mechanisms, energy and trust in indicating one’s leadership characteristics.
Brief Report of Results
Predominant Style and Distance from Edge
My dot is located on the S region while close to the C region making my style steady and conscientious. This indicates that I am even tempered, accommodating, patient, humble, tactful, analytical, reserved, precise, private and systematic. My dot was closer to the center of the circle indicating that I incline and easily relate to the characteristics of all the four styles listed in the paper.
Predicted Style Versus Actual Results
My results bear close semblance to my predicted style. I had guessed I would be Steady and close to the center as I realized I easily relate with the others circles as predicted. I however had not pictured that I would be close to the C. The similarity stems from having taken time to analyze myself severally now through my personal development journey and was thus sure of my traits
Priorities
My priorities are support, stability, accuracy and results. I thrive in calm places and I dislike randomness. I live to get results and at all times I strive to ensure that things are working out. Interesting is that my desire for results is termed to be unlikely of my SC style probably indicating why I get comfortable around people with the D style.
Analysis of Results
My style has had a significant bearing in my leadership style. Over time I have realized I am inclined to operate in teams with persons who are result focused and are slow to cause disruptions whenever we set out on a goal. When allocated team assignments I tend to ensure I select persons who will guarantee me support through the tough moments of any assignment and are results oriented. Severally this has seen my team emerge the best in various work place related activities. However my set of priorities make me a little less adaptable in fast paced groups that care little about disruptions.
Motivators and Stresses
Following procedures, working towards a goal, maintaining standards and immediate results highly motivate me. Rushed decision making, being forced to give up on my ideas and dealing with conflicts stress me quite a lot.
Application with Others
My immediate supervisor’s style is I-Influence. They love taking action and are fast paced in their decision making. Initially I always felt as if they were constantly doing the wrong thing until retrospectively noticed they were able to consistently yield results. Over time I have come to appreciate the difference. Going through this assessment has made it even better since I now understand that they are just different and not bad or better.
Improving as a Leader
In order to improve in my leadership journey, I will set out to understand my colleagues better. Over time I noticed I was overly excited when with people that I approve of their style. However having learnt that there exist differences I commit to better learn and understand others in order to gel with them. Having known my stressors, I intend to work around them to ensure that they do not stress me anymore and limit my productivity. In cases such as being stressed by making of fast paced decisions, I will approach those in my team who make decisions fast and learn from them how they are able to do it.
PFIN
5
Using Consumer
Loans
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BILLINGSLEY/ GITMAN/ JOEHNK/
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Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
- Know when to use consumer loans and be able to differentiate between the major types
- Identify the various sources of consumer loans
- Choose the best loans by comparing finance charges, maturity, collateral, and other loan terms
- Describe the features of, and calculate the finance charges on, single-payment loans
LEARNING OBJECTIVES
PFIN5 | CH7
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Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
5 Evaluate the benefits of an installment loan
6 Determine the costs of installment loans and analyze whether it is better to pay cash or to take out a loan
LEARNING OBJECTIVES (continued)
PFIN5 | CH7
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Consumer Loans
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- Formally negotiated contracts that specify the borrowing terms and repayment
- Types
- Auto loans
- Loans for other durable goods
- Education loans
- Personal loans
- Consolidation loans
PFIN5 | CH7
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Exhibit 7.1
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PFIN5 | CH7
Federal Government Student Loan Programs at Glance
Source: http://www.fastweb.com and http://www.staffordloan.com, accessed August 2014.
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Consumer Loans
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Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
PFIN5 | CH7
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Acquiring Consumer Loans
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PFIN5 | CH7
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Managing Credit
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- Finance charges
- Loan maturity
- Total cost of the transaction
- Collateral
- Other loan considerations
- Payment date, prepayment penalties, late fees
PFIN5 | CH7
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Keeping Track of Debt
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- List all outstanding consumer debt
- Include
- Installment loans
- Student loans
- Single-payment loans
- Credit cards
- Revolving credit lines
- Overdraft protection lines
- Home equity credit lines
PFIN5 | CH7
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Single-Payment Loans
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- Repaid in full on a given due date
- Payment consists of principal and interest charges
- Interim interest payments must be made at times
- Payment at maturity = principal + unpaid interest
- Can be secured or unsecured
- Can be taken out for any purpose
PFIN5 | CH7
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Features of the Loan
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PFIN5 | CH7
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Loan Collateral
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- Lien: Legal claim permitting the lender to liquidate the items serving as collateral to satisfy the obligation
- Chattel mortgage: Mortgage on personal property given as security for the payment of an obligation
- Collateral note: Legal note giving the lender the right to sell collateral
PFIN5 | CH7
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Loan Repayment
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- Prepayment penalty: Additional charge you may owe if you decide to pay off your loan prior to maturity
- Loan rollover: Process of paying off a loan by taking out another loan
PFIN5 | CH7
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Calculating Financial Charges
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PFIN5 | CH7
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Simple Interest Method and Annual Percentage Rate
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- Simple interest
- Finance charge = principal loan amount x stated annual interest rate x term of loan
- FS = P x r x t
- Annual percentage rate
- APR = Average annual finance charge Average loan balance outstanding
PFIN5| CH7
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Discount Method
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- Calculates finance charges in which interest is computed and then subtracted from the principal, with the remainder being disbursed to the borrower
- Fd = Fs = P x r x t
- Where,
- Fd = Finance charge calculated using discount method
- Fs = Finance charge calculated using the simple interest method
- P = Principal amount of loan
- r = Stated annual rate of interest
- t = Term of loan
PFIN5 | CH7
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Installment Loans
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- Repaying the debt in a series of installment payments
- Convenient loan repayment
- Types
- Car loans
- Home furnishings
- Appliances
- Entertainment centers
- Camper trailers
PFIN5 | CH7
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Methods of Computing Finance Charges
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Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
PFIN5 | CH7
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Prepayment Penalties
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- Additional charge one may owe if he/she decides to pay off their loan prior to maturity
- Rule of 78s
- Known as sum-of-the-digits method
- Calculating interest that has extra-heavy interest charges in the early months of the loan
PFIN5 | CH7
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Loan or Cash Dilemma
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- Paying cash - Purchase costs more to borrow the money than one can earn in interest
- Loan - Purchase costs less to borrow the money than one can earn in interest
PFIN5 | CH7
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- Consumer loans
- Collateral
- Single-payment loan
- Interim financing
- Installment loan
- Consumer finance company
- Sales finance company
- Captive finance company
- Cash value
- Loan application
- Lien
- Chattel mortgage
- Collateral note
- Prepayment penalty
KEY TERMS
PFIN5 | CH7
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Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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- Loan rollover
- Loan disclosure statement
- Simple interest method
- Discount method
- Add-on method
- Rule of 78s
KEY TERMS
PFIN5/CH7
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Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
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Copyright ©2016 Cengage Learning. All Rights Reserved. May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part.
SUMMARY
- Consumer loans are important to the personal financial planning process
- Consumer loans can be used for any purpose
- Various sources provide consumer loans
- Single-payment loan and installment loans are types of consumer loans
PFIN5 | CH7
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