Should there be caps on charges for payday loans?

Payday loans have become increasingly popular over recent years. This is not because they provide great value for money on borrowing or anything along those lines. The reasons for their popularity is clear – they are easily accessible for those that work because no credit check is required, they enable struggling consumers to get the money that they need pretty much right away, and they offer short term loans to tide people over until they get paid, which suits many of those that simply cannot make their monthly wages stretch quite far enough anymore.

The rise in the cost of living, the increase in VAT, cuts in wages, and potential job losses have all taken their toll on consumer finances, and this has left many people unable to make their budget stretch far enough to even afford the basics. Many of these people are turning to finance such as credit cards and overdrafts. Others are turning to payday loans, which come with extortionate APRs but are often the only possible short term solution for those with poor credit.

There are now set to be discussions in the House of Commons with regards to whether increasingly stringent legislation should be brought in with regards to the charges made for credit by payday loan provider and home credit lenders. The House of Commons is set to vote on the backbencher motion later this week. The move comes as consumer prepare for another year of hardship and worry over jobs, benefits, debt, and other financial issues.

It was reported recently that one in every ten people were unable to make their wages stretch for the whole month, and their wages tended to run out on the 20^th of each month, leaving them with more than a week without money.

Tags: week, check, caps, hardship, great value, backbencher, solution

Boost your chances of getting a mortgage as a first time buyer

As many people are already aware getting a mortgage can be difficult for anyone these days, with the banks exercising extreme caution over who they lend to and putting a range of restrictions in place with regards to mortgage loans. However, one of the groups most likely to experience difficulties when it comes to mortgage loans is first time buyers.

There are many first time buyers that are desperate to get onto the property ladder, and have been for some time. However, for many years these potential buyers have faced difficulties when it comes to getting a property. Until the global credit crisis swept the nation first time buyers could get mortgages without even having to put down a deposit in most cases, but many could not afford the extortionate house prices that resulted from the many years of house price inflation.

Once the credit crunch hit property prices began to tumble, which is what many first time buyers may have been waiting for. However, at the same time as this the banks started to really rein in their lending, wiping out the 0 percent deposit that so many first time buyers had come to rely on and demanding huge sums up money upfront before even considering granting a mortgage loan. This has left first time buyers out in the cold once again, albeit for different reasons.

Whilst there is no doubt that first time buyers still face many challenges when it comes to getting a property there are some steps that they can take to try and improve the chances of getting onto the property ladder. One important thing to remember is that lenders are being very cautious over who they lend to, so it is advisable for first time buyers to be prepared and be aware of their credit rating. Before applying for a mortgage buyers are advised to order a copy of their credit report and check how good the rating is, as this will provide an idea of how likely it is that a mortgage will be granted.

Another think to consider is the level of deposit that the lender will want. Before wasting time looking at properties and applying for mortgages first time buyers should plan their budgets and spend time saving as much as possible, as the higher the deposit the more likely it is that an affordable mortgage will be granted by lenders.

Finally, more and more first time buyers are now turning to shared equity schemes, where they get a mortgage out to purchase a percentage of a property and rent the remainder from a housing association until they can also afford to buy the remaining share, which can be done in stages. This is a more effective and affordable way for first time buyers to get onto the property ladder these days, and it is possible to get a brand new house without having to take out a huge mortgage by using this option.

Tags: ladder, potential buyers, finance, first time buyer, Mortgage loan, money, check, mortgage

Tips on buying a used car

Although the government’s ongoing car scrappage scheme has been welcomed by many industry groups and has been viewed as a boost for the motor industry for many consumers it has made little difference to their ability to get a new vehicle. Whilst the scheme offers up to £2000 towards a new car if the consumer scraps their old vehicle, subject to eligibility criteria, the consumer still has to find at least another several thousand pounds to purchase the new car, and in the current climate this isn’t always easy of even possible. Read more

Tags: check, Everyone, Scrappage program, used car tips, used cars, car, save on used cars, second hand cars

Tenants now carry out reference checks on landlords

There was a time when any tenant was considering moving into a privately rented property that the landlord would be sure to get a credit check carried out on the potential tenant. Read more

Tags: top, tenants, property, Politics, government backed scheme, reference

How to Have an Elegant, But Cheap Wedding

With the recession in full swing, many couples who have been planning a wedding are looking for ways to save money on this special event and still have the elegant wedding they dreamed of. Read more

Tags: check, cheap wedding, wedding budget, good fortune, wedding, EBay, Wedding industry in the United States, wedding costs

Why is home insurance so important at this time of year?

Many people have valuable and expensive items in their homes at all times of the year, but at this time of the year most people have additional valuables in their homes, having stashed loads of expensive gifts for loved ones and also having received gifts from friends and family. Having a good home insurance policy in place is important at the best of times, but at this time of year when the value of items in your home tends to go up you need to make sure that you have adequate home insurance in place to protect your valuables against loss, damage, or theft. Read more

Tags: case, home insurance, flooding, valuable items, check, financial losses, fire, side

Bank manager not seen by Brits in over ten years

Over half of Brits have confessed they have not seen their bank manager in more than a decade, according to new research from Lloyds TSB.

The survey showed that one in ten respondents were too embarrassed to discuss money matters.

Another one in ten did not think their financial aspirations would be taken seriously while a third were put off discussing their money concerns by a fear of financial jargon.

Liz Hogbin, director of savings and investments at Lloyds TSB, said: “We service our cars, have regular hair cuts and visit the doctor if we have any health concerns but many of us admit that we don’t take such good care of our finances.”

She added that a regular financial health check could put minds at rest and ensure consumers made the most of their money.

Just over a third of respondents had paid a visit to their bank manager in the last two years despite over half of them recognising that their financial situations had changed in that time.

Research was conducted by Ciao among 1,024 consumers between 16th and 24th November 2007.

Tags: financial situations, bank, financial aspirations, visit, fear, regular financial health, check

Homeowners urged to combat subsidence

With subsidence claims having risen by 50 per cent since 2002, according to the Association of British Insurers, homeowners are being urged to take measures to reduce the risk of subsidence in their property.

“People don’t knowingly cause subsidence, but there are ways homeowners can help to reduce the risk of such damage to their home to avoid the costs, inconvenience and inevitable worry that subsidence damage brings,” said Neil Curling, senior structural claims manager for Halifax Home Insurance.

Halifax recommends that to avoid or combat subsidence homeowners should check for historical activity of mining in the area, get a survey of the property’s drainage, trim back or remove large trees near a property and get the local water authority to check the incoming mains supply for faults.

And they should definitely double check the small print in their home insurance documents, or shop around for a cheap deal if they don’t have any.

The improving weather conditions make the risk ever greater as vegetation takes up more moisture as it grows just as the heat makes moisture scarce.

This can cause some types of ground, such as clay subsoil, to shrink as it dries out, which can undermine property foundations and crack walls – one of the first signs of subsidence.

Tags: Association, home, check, authority, measures, Financial services, weather conditions, water authority

Drivers warned about danger of frosting

Car owners are being warned against the dangers of frosting, which leads to a large number of car thefts each year.

As temperatures across the UK plummet, Sainsbury’s Car Insurance says drivers should be aware that thieves are on the look out for frosting victims.

Frosting involves the theft of cars which are left unattended, with the engine running in order to warm it up.

Sainsbury’s says that around 120,000 households have been the victim of the crime between 2000 and 2005.

“Many thieves are opportunistic and will look to steal your car if you leave it running unattended,” said Richard Clark from Sainsbury’s Car Insurance.

“We are concerned that the predicted extreme cold weather will result in more people taking this risk and becoming victims of frosting.”

The firm is also issuing advice to drivers which they hope will help to avoid accidents during the cold weather.

Motorists are advised to get their car serviced, monitor oil, water and brake fluid levels regularly and check tyre pressure and condition.

In addition, drivers are being urged to ensure that they have antifreeze with them in the car at all times and that headlights are regularly cleaned.

Tags: water, Sainsbury's Car Insurance."We, frosting."The firm, temperatures, frosting

What kind of coverage can I expect with home insurance?

Home insurance was created, and is provided in order to insure a person’s possessions. As you can imagine this can potentially be a vast list of items ranging from do-it-yourself appliances to the kitchen sink. Read more

Tags: redress, home insurance coverage, range, Types of insurance, mind, equipment, choice, check