Good Debt vs Bad Debt

Good Debt vs Bad Debt

A majority of the people today are in debt. We like to spend and spend and go out and have fun, thus increasing our debts. Most of us don't even carry cash anymore, meaning all of our daily and necessary purchases are made through credit and debit cards. These all add to each of our personal debt accounts. And the more we are in debt, the more in the hole we become.

So where is that light? What makes the poor different from the rich in terms of debt?

Both rich people and poor people have debt. But the difference is how we use our debt. Did you know there is a difference between good debt and bad debt?

Bad Debt - bad debt is what I described earlier as everything we purchase every day. In addition to that, those in bad debt generally get themselves into bad debt by purchasing fancy cars, state-of-the-art HD TVs, video gaming systems, going out to fancy dinners and clubs. These all add to our montly expenses and do nothing more for us than provide us a bill on our credit card at the end of every month.

Good Debt - good debt however, is getting yourself into a debt where you have the potential to generate money from it. For example, entreprenuers who start up a business get themselves into hundreds of thousands of dollars of debt at the beginning. This is an example of good debt, because hopefully the business will eventually become a gold mine that will generate large sums of monthly income that will eventually pull themselves out of debt into the positives and beyond.

Believe it or not, debt is a good thing for our economy as well. Debt is what drives and stimulates the economy, forcing the creation of more jobs, more income, more circulation of currency.

The fastest way to becoming rich is also related to getting yourselves into good debt. To use your credit and your money and purchase "items" which will bring in more money to you. It is like the old saying: "If I had three wishes, I would wish for three more wishes."

In this case, this can be applied to real life. If you could purchase a machine that generates $100 every month, wouldn't you put all of your money into purchasing more of these machines? And in fact, wouldn't you take out a large personal loan to purchase as many as you can so you could double, triple, and quadruple your monthly cashflow?

Now this is a very simple example, however in real life, we can purchase items that bring in money for us every month. This includes stocks, bonds, funds, royalties, rental property, dividends, just to name a few. And the few rich and wealthy invest all of their assets into purchasing more assets so that they never have to worry about being too deep in the hole, their assets will pull them out.

This also touches on the basis of Infinite Return. What is Infinite Return?

To calculate this, let’s look at the formula for calculating regular return:

If you put in $100 into a savings account and at the end of the month, your account increases to $101, you have received a return of $1, or 1%, which can be calculated by

or in this case

Now let’s look at an example where you receive Infinite Return.

Let’s say that your friend asks you to borrow $1000 to repair some car damages. He promises to repay you back the $1000 with 10% interest.

Since you don’t have $1000 to spare, you decide to ask your parents for $1000 with a promise to repay then back with 5% interest.

So you acquire the money from your parents and you lend it to your friend. One week later he sends you a check for $1100 ($1000 + 10%). You take that check and repay your parents the $1000 you owe them plus the 5% you promised them which is $50. In this scenario, you have pocketed $50 without spending a dime of your own money. This is another example of good debt and because you didn’t spend any of your money to begin with, here’s the formula now:

As you can see from this formula, your denominator is zero because you invested zero dollars initially. You end up with $50 as your numerator. Since we cannot divide by zero, we have to use calculus to determine our return %.

Using calculus, we need to look for the value as the denominator approaches zero, basically what happens to the formula as the denominator gets smaller and smaller and smaller?

As you can see from above, as the value of the denominator gets smaller and smaller, the entire value of the fraction gets bigger and bigger. Through this, we can see that as the denominator approaches zero, the value of the fraction will go up to infinity, thus if you invest zero dollars and make ANY money at all whatsoever, whether it be $0.01 or $1000, you will have obtained Infinite Return.

So to conclude this, there is good debt and bad debt, depending on how you use your credit and how you use your loans. For those of the rich and wealthy, they know where to put their money so that they can generate large amounts of return whether it be infinite or not. In the end, it all boils down to what you do with your money and how educated you are in using it.

Financial Freedom Blog: Good Debt vs Bad Debt

Financial Freedom - What is it?

With the current state of the economy, many Americans wonder if they wake up one day without a job. Bank of America had recently cut thousands of jobs as they restructure their organization. The government has threatened to shut down multiple times within the last three months. The DOW had dropped over 500 points in one day just last week, a historical record. Congress and Obama have increased the Government debt while cutting spending in essential areas and threatening to the increase the American income tax. The class structure may soon be changed forever as the poor and middle class get lumped into their own class while the rich continue to get richer without being phased with high income taxes and soon darkness will consume our markets as our world is plunged into another depression.

The few, the prosperous, the educated, know of the light in tunnel. They've passed around a phrase that represents an ideal lifestyle, that of which is free from the constraints of stress and worry over tax and job issues. These few know of how to survive like the fittest in the best of times and the worst of times. This phrase I'm speaking of is: Financial Freedom.

What is Financial Freedom?

Financial Freedom is the state of living in which you are free of any financial obligations. It is living life without any worry of a job or bills. Generally it's the rich and wealthy people who have financial freedom. They can go day to day without every stepping into an office and wake up whenever they want. They can eat whenever they want, go to the bathroom whenever they want, and they are the ones who have complete control over every little aspect of their life. Their biggest problem on a daily basis is deciding where to eat.

So how can they live so freely without having to worry about work? Well that's because they own assets, enough to generate an amount of income every month which is sufficient to cover any financial expenses they may have. The easiest example I can provide (and something I thought about as a little kid, although now that I'm older, I realize it's not feasible) is imagine that you have a savings account offering a 3% return in interest. If you had a million dollars in your savings account, you would accrue a couple thousand dollars per month off interest alone. That money could then be used to pay off any and all of your monthly bills including food, rent, utilities, and debt with some change leftover. Because your necessities are paid for every month automatically without a requirement of a job, you are financially free.

How is Financial Freedom Obtained?

So how do I obtain financial freedom?

There is no one straight answer to this question. You could, as mentioned in the example above, accumulate large amounts of money into multiple savings accounts and live off interest. However, savings accounts today are unable to keep up with the rates of inflation so you would be bleeding money out every year without even realizing.

You could also win the lottery and then be paid on a periodic basis, whether monthly or yearly, and then that money would automatically go towards covering your bills. Although this is a very unlikely situation.

The basic way to obtaining financial freedom, as Robert Kiyosaki's Rich Dad stated, is to buy assets. What is an asset? An asset is anything that puts money into your pocket. This is the strategy of the rich and this is how the rich literally get richer: because their assets bring in more money every month after month after month...

The majority of Americans do not have assets. Instead they unknowingly burden themselves with liabilities which causes many of them to live from paycheck to paycheck in an effort to pay off the expenses that the liabilities produce.

Take a look at the balance sheet below. It represents the lifestyle of an average middle-class worker:

As you can see, the majority of the traffic comes from liabilities to expenses. These are the most common forms of liabilities found today: mortgages, loans, and credit card debt. These people have only one source of income: their job or jobs. And only as long as they continue to work these jobs would they continue to have a source of income. If they were to lose their job, there would be no source of income left to pay for these monthly expenses and then they would be required to dive into their one asset, their savings account, if they even have one.

The balance sheet below shows the lifestyle of someone with Financial Freedom:Notice the drastic difference in the boxes. Instead of a large amount of liabilities, there is a large amount of assets. That is because the rich do not put money into purchasing materialistic possessions. Instead they pour their money into items that can generate more money. Because of this, they now have enough assets generating money for them that they do not need to worry about working a job in order to put food on the table, their assets do that for them.

Take my friend Ted Tran for example. He currently owns a condo and is living in a 3-bedroom townhouse which he has a mortgage on. He has to make monthly payments on his townhouse on the amount of $1700. His condo he completely owns so he pays a few hundred dollars per month on utilities and fees. He rented out his condo to a single family who pay $1500 a month for rent. That's $1500 that Ted pockets which he then uses to pay almost the full payment on his town house. He has two roommates living with him at his townhouse who pay $500 per month for rent. Ted's townhouse generates $1000 total and his condo generates $1500, each of these recurring every month. And because of these assets generating income, he is able to sufficiently use that money to cover his townhouse payments while having $800 leftover for food and bills.

In addition to that he also does trading on the stock market, generating between $500 - $1000 per month. Another asset bringing in more money.

Because of these money generating assets, Ted does not need to work a job. He has all of his necessities for living paid for by his assets. Thus, Ted is living, financially free.

Financial Freedom is a slow emerging concept. As this economy turns for the worst, more people are excavating to find ways to escape this disaster. Many turn to investing, to real estate, and few turn to the arduous journey of obtaining financial freedom. Keep in mind this is no quick fix, this is a long-term solution which may potentially change the life of your family and your children forever. But once you've obtained financial freedom, never again will you be required to go to school in search of a 40+ year job until your retirement while living paycheck to paycheck. It is the knowledge of how to obtain financial freedom that will sustain your family generations to come.

Move over people, this has become the new American Dream.

Financial Freedom Blog: Financial Freedom

Are Savings Accounts Really Worth it?

Ninety-five percent of Americans work for someone else. Most of these workers put away money to save every single month, whether into a savings account or money market accounts, these two being the most common forms of saving money.

But we must deduce why exactly people are putting money into these accounts?

It is because they believe that these accounts have little to no risk. Money accumulates based off compound interest. The account will only go up, never go down. That’s where the “no risk” comes in.

However, what most people don’t know is that their savings accounts are still subject to inflation risk. And this is something that most people are uneducated in. They are unaware of how their $1000 that they put away this year may not have the same purchasing power the following year. Although they are accumulating interest, the money and interest being accumulated is not following the economy fast enough.

Now don’t get me wrong, I am not against savings accounts. I want to advocate the fact that there’s a time to put money into your savings account and a time not to. It boils down to how well you can manage your money during different times in the economy.

Let’s look at a prime example:

In 2007, the highest interest rate on savings accounts ranged around 5% APY.

This means that if you put away $10,000 at the beginning of the year, then by the end of the year you would have $10,512.67 if your interest was compounded daily.

Savings Account: $10,000 / 5% APY = $10,512.67

The average annual inflation rate for 2007 is 3.8%.

Putting in the same $10,000, by the end of 2007, your money would have the purchasing power of 10,383.96.

Inflation: $10,000 in 2007 -> 3.8% inflation rate -> $10,383.96 in 2008.
Meaning what cost you $10,000 in 2007 now costs you $10,383.96 in 2008.

Because you had your money in your savings account however, you’ve accumulated $10,512.67. Your savings account has surpassed the inflation rate and made you a positive net return of $128.71.

Now let’s use the same analysis on 2009: the market’s rock bottom era.

Savings account: $10,000 / 1.4% APY = $10,140.98

Inflation: $10,000 in 2009 -> 1.4% -> $10,163.98 in 2010
Meaning what cost you $10,000 in 2009 now costs you $10,163.98

Meaning that if you had saved up $10,000 to purchase something in 2009, you now need to save up an additional $163.98 in order to buy it. But because your savings account is working for you at 1.4% APY, your savings account now has $10,140.98 which STILL sets you at a deficit of $23 dollars.

The point of this article is to show that the old way of saving money is no longer relevant to today’s economy. The traditional saying of “save your money” from what our parents and what our grandparents said no longer holds true.

This is because back in their time, saving money actually meant “saving money”. Back in their time, the dollar bill was still held to the gold standard so saving money was literally saving gold. Since the dollar bill broke away from the gold standard in 1971 and inflation kicked in, people must devise new ways of saving money.

Saving money in the 21st century includes a combination hybrid system of investing and savings. When savings accounts can not keep up with inflation, it’s a good idea to take your money out of savings accounts and put it into other investments instead.

It really boils down to how the economy is doing and how much return you’re getting off your accounts. Be sure to keep a sharp conscious about this, other wise you would be hemorrhaging money and not even know it. The old traditional ways are gone, so adapt to the new systems or else it’ll leave you dry.

(Sources:
Interest calculator: http://www.bankofinternet.com/interest-calculator.aspx
Inflation rates: http://www.usinflationcalculator.com/
Financial Freedom Blog: Financial Freedom)

Tim Tebow

Fans chanted Tim Tebow's name in derision. They hooted as he missed open receivers, got buried under blitzes and kept falling short on third down.

The Broncos appeared beaten when they trailed 15-0 with 5:23 left and took over at their 20. At that point Tebow was 4 for 14 for 40 yards.

'It was my fault we were in that position," he said. "Silly things kept happening. On the sidelines, we were still believing. We wanted it, and they believed in me for more than 60 minutes."

In the frantic final minutes of the fourth quarter, Tebow led TD drives of 80 and 56 yards sandwiched around a successful onside kick. He scored a 2-point conversion standing up with 17 seconds left to tie the game.

In overtime, Denver's D.J. Williams sacked Matt Moore to force a fumble and recovered it at the Miami 36. Three plays later Prater hit the game-winner.

"It was never in doubt," said Denver coach John Fox.

The Broncos (2-4) won for the first time in the eight games they've played on the Dolphins' field. Miami (0-6) extended the NFL's longest losing streak to nine games, leaving the status of embattled coach Tony Sparano even more tenuous.

"Of course he's the head coach and he's going to take a lot of heat," receiver Brandon Marshall said. "But trust me, it's not him. Not just him. It's all of us."

The Dolphins lost for the 12th time in their past 13 home games.

"I'm just discouraged for the players in the locker room," Sparano said. "They work really hard, and we don't have anything to show for it right now."

Tebow started for the benched Kyle Orton, and for much of the game the Broncos sputtered. Tebow was sacked seven times as he struggled to identify blitzes, and several throws landed nowhere near a receiver.

As he walked to the sideline after one series stalled, spectators jeered, and Dolphins players gestured to the crowd for more noise.

"You can't lose confidence in yourself, or you've lost already," Tebow said. "When you get knocked down, you've got to keep getting back up."

That's what Tebow did. With the Broncos on the verge of being shut out for the first time since 1992, he led an eight-play touchdown drive that got them back in the game.

Matthew Willis' 42-yard reception was a pivotal play, and Tebow threw a 5-yard scoring pass to Demaryius Thomas with 2:44 left to make the score 15-7.

Then came the onside kick. Miami receiver Marlon Moore leaped to catch the ball but bobbled it and the Broncos' Virgil Green recovered at their 44 with 2:31 left.

"They made the play. I didn't," Moore said. "It was just a bang-bang play. I had it, the dude turned the corner, hit me, it came out, they got it."

Tebow's strike to a diving Daniel Fells gained 28 yards to the 3. Two plays later, Tebow fooled the Dolphins by rolling left and throwing back to the right to Fells, who dived across the goal line for a 3-yard score.

Denver still needed a 2-point conversion to stay alive, and Tebow kept up the middle to score standing up. Prater missed field-goal attempts of 49 and 43 yards in regulation, but his kick with 7:24 left in overtime gave Denver the victory.

"I'm trying to search for answers," Miami running back Reggie Bush said. "I just keep coming back to embarrassing."

While the Broncos were two time zones from home, lots of fans wore Tebow jerseys, and the popular quarterback drew a big roar trotting onto the field for his first series. Tebow won a 2005 high school state championship and the 2008 national title with the Florida Gators in the same stadium.

Crowd loyalties were divided even at halftime, when the Dolphins paid tribute to the 2008 Gators. Seventeen former Gators and former coach Urban Meyer took part in the ceremony, drawing a mix of cheers and jeers.

Despite the salute to the Gators and Tebow mania, the stadium was almost half empty at the start — a sign of growing fan discontent with the Dolphins.

The crowd was booing the home team before Miami's first series ended, but Denver move the ball no better. Together the two teams failed to convert their first 16 third-down situations.

Midway through the third period Denver had netted 2 yards on 10 pass plays, an average of 7 inches per play. But in the final 13 minutes Tebow went 9 for 13 for 121 yards, and he finished 13 for 27 for 161 yards. He ran for 65 yards in eight carries.

"He's a young guy, a good player," Fox said. "He's going to get better. We saw him get better today."

AkariTutoring Revolutionizes Education with Digital Learning

Move over professors, there's a new school powerhouse in town. Akari Online has entered the world of education, revolutionizing the way tutors teach and students learn. Started by three young entrepreneurs in Fairfax, Virginia in March 2011, Akari Online is an online-based educational system which connects students to tutors anywhere on the internet. With today's youth, the amount of activity spent online surfing the web, updating Twitter, viewing Facebook, it's clear that the cyber world is the main target of interest. Akari Online has utilized this advantage and provides tutoring, coaching, and instruction to students anytime, anywhere through their tutoring company: AkariTutoring.

AkariTutoring has developed an online digital whiteboard where students and tutors come together to engage in a "virtual classroom." Their whiteboard simulates a real-life whiteboard, allowing anyone in the classroom to communicate and draw out problems. With the ability to support one-to-one or one-to-many types of lessons, their virtual classroom can connect students from all across the world together who share a common characteristics: striving to do better in school.

Founded by Nero Nguyen, Tran Pham, and Justin Nguyen, these three individuals came together with a mindset to start a business that will outcut the high rates of all the other major tutoring companies out there and also against the freelance tutors. Rates for tutoring in the Fairfax averages around $40/hour. This is mainly due to the high commute and traveling requirements within the area and to make the tutor's time worthwhile, rates are this high. Many students do not wish to travel ~30 minutes one-way to a students house to spend an hour of instruction only to receive $20. It's just not worth their time.

With AkariTutoring, they believe that education should not have a price on it. Many of the world's problems stem from the lack of education. In fact, the United States has even fallen in the world ranking of education as referenced in this article in the HuffingtonPost ( http://www.huffingtonpost.com/2010/12/07/us-falls-in-world-education-rankings_n_793185.html ). AkariTutoring rates begin as low as $15 per hour online and $25 in-person covering the entirety the Northern Virginia, Maryland, and Washington D.C. area.

AkariTutoring strives to help improve the economy also by reducing the number of students in school without a job who are "broke, busted, and disgusted." Their service creates job for many high school and college students who wish to contribute nothing more than their academic knowledge. Students are paid anywhere between $10 - $25 per hour on a part-time basis (less than 40 hours per week) which provides enough pocket change for them to go to school comfortably and still be able to do the things they love without significant financial restrictions.

AkariTutoring's website can be found at http://www.akaritutoring.com/ where they will have more detailed information on their rates, services, and what they cover.

What to Expect at Apple’s iPhone Event

by Jesus Diaz

Tomorrow Tim Cook will be talking iPhone and perhaps something else. Here's a list of all the things you can expect:

100% chance

• iOS 5: Prepare your iPhones, because the final iOS 5 is coming for sure... but perhaps not yet. Most probably it will not be available for download tomorrow—the latest beta was not a very good one and there's no sign of the golden master anywhere. Still, if there's no download, there will be a release date and a full tour of the complete operating system, including its new killer feature: Assistant.

The new iOS 5 comes with a lot of new features—these are the top ten—but Assistant is the one that nobody has experienced yet. Assistant is based on Siri, a technology that Apple bought for a couple hundred million dollars. The rumor is that it will require the new and more powerful iPhone's A5 processor to work correctly, as well as a connection to the Internet. This is because Assistant is not just voice recognition, but artificial intelligence assisted by servers in the cloud. Expect a deranged Scott Forstall to be extremely excited about this tomorrow.

If you want to see a video mockup on who Assistant may work, check this video out.

• iPhone 4S: We know this is real because we got the exclusive info. The rumor is that it is a cheaper version of the iPhone. I think this is the new iPhone, period. It has appeared in the latest iTunes beta and has also been leaked on Germany Vodafone's site. An updated iPhone 4 with new A5 processor and more RAM, maybe a better camera, but with the same design. Just like the iPhone 3GS was a faster update to the iPhone 3G.

If you want to use the new Assistant, the rumor is that you will need the iPhone 4S' A5 processor. The question is: would people think the increased speed and Assistant is worth the upgrade?

50% chance

• New iPod touch: The event invitation says "Let's talk iPhone." That clearly sets the tone and perhaps it's an indication that they will only talk about iPhones. However, traditionally they have also made announcements about iPods during the iPhone events, so they may mention the new models for the holiday season. Or perhaps they will just pass on these completely, just like they usually do when new Macbooks or iMacs appear on the Apple Store without any fanfare.

• Click-wheel iPod is dead: If they talk about iPod, then they most probably will announce the death of all the non-iOS 5 iPods except the touchscreen iPod nano. In a one slide, farewell, you served us well, NEXT! kind of way.

10% chance

• iPhone 5: Don't hold your breath for this one. Despite all the Chinese cases and all the rumors, there's not a single tangible evidence of the iPhone 5. None of the iPhones—or any other Apple product in history, for that matter—has reached the day before its announcement without a leak in the supply chain. Our bet is that the iPhone 4S is the next iPhone.

1% chance

• One more thing may be Steve Jobs himself. Some people think he will appear and say hi. I strongly doubt it.

iPhone 5 becomes iPhone 4s

The rumours are growing every day that Apple is about to launch not one, but two new phones in October: the iPhone 4S and the iPhone 5. Here's all you need to know about the feasibly forthcoming iPhone 4S.

On 30 September the existence of an iPhone 4S seemed ever more likely - but is it just a respin of the current iPhone 4? Read on for more.

If you're desperate to know what we think will be coming from the top end new Apple device, check out our iPhone 5: All You Need To Know video below:

But with more information emerging about a phone with 'minor updates' from the iPhone 4 emerging all the time, here's what we know about the rumoured iPhone 4S:

The iPhone 4S will be a minor update to the iPhone 4

In a similar move from the iPhone 3G to the 3GS(which saw only a slight processor improvement, video camera and compass added) the iPhone 4S will only feature slight spec upgrades, according to Jefferies and Co. analyst Peter Misek:

"According to our industry checks, the device should be called iPhone 4S and include minor cosmetic changes, better cameras, A5 dual-core processor, and HSPA+ support," he wrote.

These claims of 'better cameras' have been corroborated by leaked images of the new cameras from Apple.pro to be used in the next version of the phone - the iPhone 4S will reportedly have a separate flash from the main sensor.

The iPhone 4 has the flash built directly into the camera unit, so the new design could herald an even thinner iPhone 4S too.

On 3 October it was revealed that the iPhone 4S name has been used in the latest beta of iTunes, casting yet more doubt that the iPhone 5 will launch this week.

A screenshot from the beta makes several specific mentions the "iPhone 4S", offering both black and white colour variations.

iPhone 4S construction

Photos of what is supposedly the iPhone 4S were published in July showing a familiar-looking handset with a plastic casing in place of the iPhone 4's glass finish.

It's almost impossible to tell if these photos are the real deal; they could easily be of a regular iPhone 4 onto which an enterprising fraudster has transplanted into a plastic casing - or simply a pasted a matte cover - but it would go a long way to removing the possiblity of Antennagate again, plus would bring down the cost of building the device to help make it a truly budget iPhone.

iPhone 4S screen

Conflicting reports in August suggested the next Retina Display in the new iPhone will remain at 3.5-inches.

A leaked prototype LCD display component uncovered by the MacPost website fits exactly the same form factor as the iPhone 4.

That discovery could be interpreted in two ways. The first is that the iPhone 5 design will remain unchanged.

Secondly, it could add credence to rumours that Apple will launch a second tier 'iPhone 4S' that sticks to the iPhone 4 design.

The iPhone 4S is just a developer's version of the iPhone 5

The nickname iPhone 4S could just represent a devloper's version of the forthcoming iPhone 5, in order to stop the final hardware being leaked.

A select few games devs reportedly received a new iPhone in April, to help them prepare the best titles possible for the iPhone 5 launch.

9to5Mac reports that the new handsets feature Apple's super-nippy A5 chip, allowing developers to create the fastest and best-looking mobile phone games yet possible.

9to5Mac's source claims that the "iPhone 4S" is almost identical to the current iPhone 4, apart from the inclusion of the newer, faster processor.

The iPhone 4S replaces the faulty iPhone 5

Rumours of delays have dogged the upcoming iPhone 5 for months now, and rumours persist the device may be held back until early 2012.

The reason behind the hold-up, sources say, is the dual-core A5 processor that Apple is intending to use has been overheating - presumably this is a space issue in the thinner device, given the iPhone 4S is supposed to run with the same chip.

Many have speculated that this will see Apple waiting until the A6 chip is available, which won't be until the beginning of next year.

If true, this could mean we will see a slightly updated iPhone 4S launch in autumn (another recurring rumour), with a more major upgrade made public after Christmas.

There's talk of three memory varieties launching inside the 4S, which may mean we see a new 64GB model joining the 16GB and 32GB line up.

That, or we'll see a cheaper 8GB model swell the ranks.

Gizmodo (who else?) Brazil managed to sneak into the Brazilian Foxconn factory and nab snaps of hardware that looks almost exactly like an iPhone 4 and, interestingly, a document that includes the model number – N90A.

...or the iPhone 4S will launch with the iPhone 5

This one seems a lot more credible, with the iPhone 4S coming as an upgraded iPhone 4 to sit alongside the iPhone 5 on shop shelves.

Images have emerged of what is said to be components of the iPhone 5 as well as the insides of a re-tooled version of the iPhone 4, likely the iPhone 4S.

The images show a re-jigged A5 chip inside what is believed to be the iPhone 5, as well as a bigger battery capacity.

Alongside that are purported images of components inside something that looks like an iPhone 4 - showing off a plastic white casing and a dual core A5 chip.

Credit: MacPost

And more innocuously, Al Gore - a member of the Apple board - recently outed 'new iPhones' in a speech, which led to speculation of more than one model emerging.

Gore apparently told a leadership conference in South Africa: "Not to mention the new iPhones coming out next month. That was a plug."

It remains unclear whether Gore meant that there would be multiple models or many of the same new model. The source, Stuff Magazine South Africa's Editor Toby Shapshak, says Gore did not clarify.

Later on Twitter, Shapshak followed up by saying "I clearly heard "iPhones". I recorded it. Double checked. Clearly plural but could be millions of one model."

iPhone 4S release date

If an upgraded iPhone 4 does launch with the iPhone 5, then it's highly likley the two devices, running iOS 5, will be launched at the same time, with reports of an iPhone release date between the 10 and 20 October seeming the most likely at this stage.

It will be interesting to see whether Apple does indeed bring out a dual-core model of the iPhone 4 - if so, then surely the company has big plans in store for the more powerful devices, so we should probably all get pretty excited at the possibility of all new applications being able to take advantage in the huge ramp up in power.

by Gareth Beavis

http://www.techradar.com/news/phone-and-communications/mobile-phones/iphone-4s-rumours-what-you-need-to-know-956098