Importance of a balanced diet for dogs

Just like us, the health of our pets can suffer if they don’t follow a balanced diet. In addition to becoming under or overweight they can also experience problems relating to a deficient diet. The best way to avoid this is to make sure they have a full and balanced diet and of course, to protect their health using pet insurance. So, after you compare Dog insurance in the UK and choose the right policy for your pooch, make sure you take a look at the food you are giving your dog to ascertain if it makes the grade.

In order to create a good nutritional regime for your dog, you should ensure their diet includes water, protein, fats and oils, minerals, vitamins and carbohydrates. Water is fundamental and dogs should have access to water at all times. Whatever the breed of your dog protein is likely to be the largest part of the diet and for puppies and young dogs in particular diets are likely to be protein heavy in order to aid growth and development.

Although carbohydrates aren’t an essential component in dog’s diets, they do provide a helpful source of energy. You should however be careful to note the ratio of carbohydrates to other more crucial dietary elements. Try and include vitamins and minerals within your dog’s diet too. Vitamins can help your dog to maintain a healthy skin and coat and also aid the nervous system and help healing. In terms of mineral content in food, both calcium and phosphorous are must-haves for canine diets. These help strengthen bones and teeth. In addition sodium, magnesium, chloride, zinc, potassium, iron and copper, are all important for aiding bodily function.

If you are unsure whether the food your dog is eating is providing a sufficiently balanced diet you may want to check the ingredients listings in order to make sure the six essential nutritional elements are covered.

Tags: coat, United Kingdom, magnesium, dietary, fats

Mortgage default levels could rise

According to a recent report the number of homeowners that are defaulting on their mortgage repayments in the UK is set to rise over the coming three months. The data comes from a survey that was carried out by the Bank of England amongst lenders and formed part of the central bank’s quarterly survey on credit conditions.

Over the past three months default levels amongst UK homeowners is said to have remained relatively flat. However, the figures showed that the balance of lenders who were expecting the rate of defaults on mortgage loans to increase rose to its highest level since the end of 2009.

The survey also showed that banks were not expecting to see any sharp increases in lending over the coming months, with the outlook for bad debts being cited as one of the reasons why banks may remain reluctant to lend in the immediate future. One economist said that the Bank of England report had nothing in it that suggested banks were likely to start lending more soon.

According to the data there has also been little in the way of change over the last three months when it comes to the availability of personal loans, mortgages and business loans. The data indicated that there could be an increase in unsecured lending to households over the next three months but that mortgage lending was likely to remain flat.

The report did indicate that there had been a marked improvement in the buy to let sector in the UK, with demand for buy to let having increased over the past few months. Lenders are expecting this improvements to continue over the coming few months and for the remainder of this year according to the report.

Tags: economist, Federal Housing Administration, United Kingdom, quarterly survey, business loans, improvements, bank

Property Ombudsman reports on estate agent complaint figures

Estate agents have never been known as one of the best loved professions in the UK, and many people joke about how wary they are of estate agents. However, is seems that many people actually are not huge fans of people in this profession and this has been reflected in recent complaints figures that have been released by the Financial Ombudsman, Christopher Hamer.

According to Hamer the number of complaints that were made last year against estate agents in the UK soared to their highest level since records began two decades ago. The previous peak when it came to complaints about estate agents was seen during the peak of the financial crisis and recession back in 2008, but last year’s levels surpassed even this by a massive 28 percent according to the figures.

There were a number of main reasons why people were complaining and in total there were 1338 official complaints that were made against estate agents last year. These related to matter such as lack of communication from the estate agent, marketing and advertising used by the estate agent, and the way in which estate agents had handled complaints made by consumers. Hamer said that the level of complaints was unacceptable and that people were simply not willing to put up with poor service, bad communication, etc. any longer when they were having to shell out a lot of money in the difficult financial climate.

Hamer said: “People are less ready to be satisfied in times of economic stress to accept less than perfect service, especially when they are spending a lot of money.”

The figures showed that the vast majority of complaints related to lack of communications between the estate agents and the consumer. The highest levels of complaints were made against estate agents in the South East.

Tags: United Kingdom, The Property Ombudsman, percent, property, advertising, Business Finance, vast majority, Business and Economy

First time buyers looking at a year’s salary for deposit

Before the global credit crisis made its way to the UK many first time buyers were blessed with the ability to be able to get not only a mortgage with ease but also a mortgage that did not require any deposit. In fact, many first time buyers were able to get a mortgage for more than the value of the home that they were buying, giving them enough cash left over to furnish or renovate the property.

However, over the past few years this has all changed, and first time buyers have found themselves in an increasingly difficult position, leaving many of them unable to consider getting onto the property market. Whist property prices may have come down they are still high enough to keep the average first time buyer off that first rung of the property ladder. Mortgages have become increasingly difficult to come by, as lenders exercise increased caution over who they are prepared to grant loans to. When it comes to deposits first time buyers have well and truly found themselves in a difficult position, with lenders demanding a large percentage by way of a deposit to consider the buyer for a mortgage.

In fact, the level of deposit has soared over recent years, and this is one of the main reasons why so many first time buyers are struggling to get onto the property ladder. In 2007, prior to the onset of the global financial crisis, the average deposit required by a first time buyer was £12700. However, this has now soared to £31,500, which means that the average first time buyers will need significantly more than a year’s salary to be able to put down a deposit.

The government is calling on various housing and lending bodies to help first time buyers, and the Housing Minister Grant Shapps has met with various bodies to discuss the problems that now face first time buyers. It is thought that around 1.4 million households are keen to own their own property but are affected by the squeeze on mortgages. Shapps spent time discussing issues such as new products that may be able to help first time buyers, specialist insurance for lenders, and shared equity schemes for first time buyers.

Shapps said: “I do not want to see the current generation completely locked out of the market. The pendulum has swung too far the other way, where even if you have a good salary and save to get a deposit, you still cannot get a deposit.”

Tags: time buyers, generation, good salary, home, United Kingdom

Interest rate increases will mean paying out more on debt

Industry officials have said that increases in interest rates over the next four years will result in families having to find more money every year to make increased payments on debt such as credit cards, loans, and other forms of finance that are based on variable rates. This could result in families having to find a whopping £1800 a year more in order to deal with the increased interest on these debts.

For nearly two years now the base interest rate has been at an all time low of just 0.5 percent, and this is he lowest it has been in the history of the Bank of England, which spans over three centuries. However, inflation levels are now soaring and many industry officials now believe that the rate of interest will have to rise over the course of this year in order to keep a lid on inflation, which could mean more financial hardship for many households.

There are a number of experts that think the rate rises could start by this summer, which means that households would have to cope with additional interest on their debts as well as higher living costs and increased VAT, which went up by 2.5 percent at the start of this year. Mortgage payers will also be affected with extra payments, which could leave many on the financial edge and put them at risk of missed repayments.

The Bank of England said: “Currently, around two thirds of outstanding mortgages in the United Kingdom have floating interest rates, somewhat above the average over the past five years. That proportion is rising as mortgagors move on to standard variable rate products as existing fixed-rate deals expire. This exposes more households to the risk of increases in interest rates.”

Tags: GBP, variable rate products, interest rates, households, year, United Kingdom, Loans, lid

Survey shows households in UK still overstretched

A recent study has shown that households in the UK are still overstretched financially, with the findings showing that more than 50 percent of them have been struggling to repay their debts. The study was carried out by the Bank of England and involved polling around two thousand people.

According to the results of the study more than half of households were struggling meet repayments on debts such as credit cards, loans, and other unsecured debts. The results also showed that around 22 percent of consumers had been put off spending money because it was becoming more difficult to borrow money – this reflected an increase from the 16 percent that said the same thing in a poll carried out last year.

In addition to looking at difficulties with debt repayments and spending the survey also looking into how people thought they would be affected by government cutbacks. The results showed that a massive 90 percent of consumers thought that they would be affected by the cutbacks and spending cuts that were being imposed by the coalition government.

However, despite the fact that so many believe that the cutbacks will affect them less than 50 percent had actually taken any steps or action to try and prepare themselves for the possibility of being affected, such as saving more money, looking for a new job, or working longer hours. Reliance on credit cards and loans has been growing according to the Bank of England report, and a quarter of households are struggling to meet payments on bills.

In its report the Bank of England noted: “The burden of unsecured debt has risen this year, most likely reflecting a combination of weak earnings growth and the interest rates on unsecured debt remaining high over the past two years.”

Tags: Household, spending, United Kingdom, fact, debt consolidation

Homeowners advised to check insurance cover is adequate

Officials are warning consumers to make sure that they have adequate insurance cover in place as the cold weather sets in. The cold snap across the UK has already caused chaos, and with weather conditions set to get worse many people could find that it affects their homes as well as causing problems such as traffic issues.

Officials have warned that as the winter sets in homeowners need to make sure that they have the right insurance cover and the right level of cover in place in order to protect themselves against the damage that can be caused by freezing temperatures and heavy snow. Claims are said to shoot up at this time of year, and for those that find their cover is not adequate – or who have no cover in place – the financial implications can be huge.

Frozen pipes and broker down boilers are amongst the more common problems that can affect households at this time of the year. If homeowners do not have any insurance, do not have the right cover, or do not have an adequate level of cover, in place then getting these problems sorted out could be extremely costly. However, with the right cover homeowners can simply arrange for repairs to be carried out through their insurance provider.

Another thing that winter brings with it is the dark nights, making it easier for thieves to gain entry to houses without being spotted. Homeowners should therefore also ensure that they have the right level of cover in place to protect them in the event of damage and theft caused by burglars.

With Christmas coming up many thieves will be on the lookout for expensive gifts that households have received or have bought to give to others. Make sure that if you have valuable gifts in the home you are adequately insured, as otherwise you may not be able to claim for them.

Tags: cold weather, chaos, right cover, United Kingdom, officials, traffic issues, Insurance, pipes

Some drivers wasting money on wrong insurance cover

Having vehicle insurance cover in place is a legal requirement in the UK for drivers that intend to operate a vehicle or take their own vehicle out on the road. However, the cost of vehicle insurance can be expensive, and increases in premiums have left many people struggling to afford this cover.

However, in their bid to save money on the cost of insurance cover some drivers could simply be wasting money according to a recent report. It is claimed that many people are taking out vehicle insurance cover that offers them little to no protection simply because it is the cheapest they can get. This means that they are paying out money for insurance cover, but if they need to make a claim it could turn out that they are not adequately covered.

Many of those that are taking out the cheapest car insurance even though it may not be suitable are using price comparison sites to find their cover. Price comparison sites often give consumers the impression that they are getting a very good deal on their insurance cover, when they may actually just be getting the cheapest cover without the level of cover that they need.

Officials have said that many of those that simply opt for the cheapest cover without really thinking about the level of cover that they need are taking a huge risk, as they may find themselves with real problems in the event that they have to make a claim.

Consumers who are looking for cover are advised to make sure that they compare the features and coverage levels of the plans that they are considering rather than focusing their attention on the price of the cover, as this could turn out to be a false economy that will cost them far more in the long run.

Tags: United Kingdom, Financial economics, insurance cover, level, wrong insurance cover, Healthcare in the Netherlands, focusing

Older people likely to cut back on spending before younger consumers

It has been claimed that older people in the UK are more likely to curb their spending on things such as credit cards and current accounts than younger consumers. With many people struggling financially, and with rising living costs, increasing VAT levels, and rising unemployment levels likely to further affect spending power amongst consumers, cutting back has become a necessity for many people.

An official from Lovemoney.com claims that it is the older members of society that are likely to react to economic changes before younger ones, and older people are more likely to reduce their spending on credit cards and via their current accounts. Older people are also more likely to start putting money aside in savings than younger people.

Ed Bowsher, the official from Lovemoney.com, said that with interest rates still at a record low younger people are more likely to continue spending in the short to medium term and less likely to think about reining their spending in or trying to save any money. However, he said that older people would not have that ‘feel good’ factor.

Bowsher’s prediction comes after the publication of a recent report, which showed that since the start of the recession around 75 percent of consumers in Britain had altered their spending habits, with many having to make huge changes to their spending levels because of the financial strains that have come about from the recession and the global financial crisis.

However, many people have turned to credit cards and overdrafts in order to keep up with their financial commitment or continue with a particular lifestyle, and this has led to rising debt levels amongst households in the UK.

Tags: overdrafts, necessity, power, consumer, debt levels, particular lifestyle, factor

Investigation over energy mis-selling to be carried out

It has been revealed recently that four of the big six energy giants in the UK are at the centre of an investigation over the mis-selling of energy to UK consumers. The investigation is to be carried out by the UK energy regulator Ofgem, which said that it had received complaints and reports from various sources suggesting that the four energy companies may have breached regulations with regards to energy sales.

The four energy giants that are facing questioning from the regulator as part of the investigation are Npower, Scottish Power, Scottish and Southern Energy, and EDF Energy. The investigation centres around sales made by the firms on both a face to face basis and over the telephone. It comes following new regulations that were brought in at the start of this year with regards to the sale of energy  contracts to consumers.

According to Ofgem more than 50 percent of energy customers that switched in 2008 did so after being contacted by an energy sales person, but in many cases the customers ended up on a more expensive tariff because they had been misled over their energy costs or had not been able to effectively compare costs against their existing tariffs.

The four energy giants have said that they will fully cooperate with Ofgem in the investigation, which will centre around whether they have breached the new regulations that were brought in at the start of this year. The new regulations required energy firms to ensure that estimates were given before any face to face contract were concluded and where possible comparisons were given to the consumer with regards to pricing compared to their existing provider.

Andrew Wright, of Ofgem, said: “We expect all suppliers to comply with these tougher obligations, but if our investigations find otherwise, we will take strong action.”

Tags: energy, energy customers, Scottish Power, EDF Energy, regulator, energy regulator, United Kingdom, energy companies

Vehicle insurance related costs soar

It has been revealed in a recent report that costs relating to insuring cars and other vehicles have soared in the UK over recent months, resulting in many drivers who may already be struggling financially due to the cost of living and petrol prices finding it even more difficult to keep their vehicles on the road.

According to the report the costs associated with insuring a car or vehicle in the UK have increased by more than 14 percent in the second quarter of this year. The figures have come from the EMB Car Insurance Price Index and the online insurance comparison site Confused.

The rise in costs associated with insuring a car are much higher than the increases that were seen in the final quarter of last year and the first quarter of this year. In the last three months of 2009 costs relating to insuring a car increased by 4.3 percent, and in the first three months of this year the costs relating to insuring a car increased by 6.3 percent.

The massive increase in costs of over 14 percent seen in the second quarter of this year has resulted in around £74 being added to the average cost of car insurance for drivers. This reflects a total increase of 31 percent according to figures, and brings the average annual cost of car insurance to £599.

Some areas saw costs relating to car insurance rise more than others, and amongst those to be hardest hit were inner London and Manchester. Insurance officials have also said that this is not the end of the bad news for drivers, as many believe that the cost of vehicle insurance could continue to increase, which would mean even higher premiums for many cash strapped drivers.

Tags: premiums, Vehicle insurance, second quarter, car insurance, Insurance, end, United Kingdom, quarter

Lack of mortgages and increase in buy to let investors leads to increase in private renting

Over the past few years the mortgage lending market in the UK has become increasingly subdued, and whilst the recession may now be over and the economy on its way to recovery many people are still struggling to get a mortgage loan unless they have a very sizeable deposit to put down. At the same time the number of buy to let investors is said to have increased, which means that there is a rising number of buy to let properties on the market.

A combination of these factors is said to be affecting the number of people that are in private rented accommodation, and according to recent reports the number of people that are privately renting is set to rise, as more and more private investors come on to the market, making it increasingly easy for people to get a private rent accommodation compared to social housing, which involves going onto a waiting list or bidding on properties through council websites via the Choice Based Lettings system.

A study was recently carried out by the Building and Social Housing Foundation, and the results of the study indicated that one in five households could be living in private rented accommodation by the end of the decade. The foundation believes that there is going to be a boom in the number of people that are living in private rented accommodation, and this will make up one fifth of households by the end of the decade in ten years time.

One industry official said: “This research shows significant changes are taking place in the UK housing system. More and more of us are becoming private renters – 1m households since 2005 – some of them through choice, but many because they have no other option.”

Tags: uk, buy-to-let, Financial economics, Private rented sector, economics, Renting, United Kingdom, finance

Desperate customers being shunned by banks

It has been claimed in a recent report that many banks in the UK are turning away many desperate customers who are in need of help with their finances. Read more

Tags: position, bank, debt advice agency, previous year, agency

Interest rates and government intervention helped repossession levels

According to figures that were recently published there was a significant drop in the number of repossession in the UK in the final three months of last year. Read more

Tags: general election, mortgage, Subprime lending, economics, finance

Cash back cards set to become scarce

Over the years many consumers in the UK have taken advantage of cash back credit cards, and these are a type of reward credit card that enable consumers to earn a set level of cash back on every pound that they spend on the card on purchases. Read more

Tags: United Kingdom, personal finance, credit card provider, Credit Cards, reward schemes, figures 25 percent, rewards credit cards

Another data breach bungle by HMRC

It was revealed recently that HM Revenue & Customs had been involved in another data breach bungle, raising further concerns over identity theft. The latest blunder involved over two thousand letters being sent out to claimants with regards to child benefits, but many of them had the personal details of other people on. Read more

Tags: security, identity theft, United Kingdom, HM Revenue and Customs, Crimes, Taxation in the United Kingdom, Data security, Data breach

Recession over for UK

It was announced last week that the UK has finally come out of recession. All of the other major economies had already come out of recession, with the UK left lagging behind but following the release of recent figures the UK has now joined the other countries that have at last shaken off the recession and can now start looking forward. Figures showed that in the final three months of 2009 the UK economy grew by 0.1 percent. Read more

Tags: Economy of the United Kingdom, United Kingdom, Late 2000s recession in Europe, economics, recessions

Bonus payments to Barclays executives to be deferred

It has been announced recently that the High Street bank Barclays has decided that it will be deferring bonus payments that were to be made to banking executives for up to three years. This means that directors and senior staff at Barclays will have to wait up to three years to get their bonuses, which are likely to be paid in the form of shares that are staggered up until 2013. Read more

Tags: United Kingdom, bank executives, bank bonuses, G20, barclays

‘Bumpy’ recovery for firms in the UK

According to a recent report UK firms should be prepared for a bumpy ride to recovery over the course of this year. Despite a fall in the number of profit warnings over the final quarter of last year the accountancy company Ernst & Young has stated that the recovery for UK firms is still likely to b a bumpy and challenging one, and that companies needed to prepare themselves for this. Read more

Tags: accountancy, Ernst & Young, recession, economics, scheme, contrast, spending, United Kingdom

Supermarket hopes to cut food waste with special offers

One leading UK supermarket is hoping that it can allow its customers to save money on their shopping whilst cutting back on food wastage through the launch of a new offer that is to run over the next couple of weeks. Read more

Tags: tesco, Economy of the United Kingdom, food waste, food wastage, United Kingdom

Britain drops to 25th for quality of life

A recent report has indicated that Britain has now fallen to 25th in the global rankings in terms of quality of life, falling even further down the list than last year when it came in at number 20 in the rankings. Amongst the countries that have now overtaken Britain in the rankings for quality of life are Lithuania, Uruguay, and the Czech Republic. France took the number one spot in the polls for the fifth year in a row. Read more

Tags: Jackie Flynn, Britain, International Living, United Kingdom, France

Charity wants more help for elderly in cold weather

A leading charity for the elderly is calling for more help with fuel bills for older people who are struggling to keep warm during the ongoing cold snap that is being experienced across Britain. Charity Age Concern and Help the Aged has stated that the government needs to increase the payments it makes to pensioners for fuel during the unusually long cold snap that is being seen across the country at the moment. Read more

Tags: spokesperson, nhs, Social Issues, Help the Aged, normal energy bill

Shopper panic buying due to weather

The past week has seen the weather in the UK take a nasty turn, and what started off as a cold snap is now being described as a big freeze, with roads and pavements across the UK covered in snow and ice, and conditions becoming increasingly dangerous for both pedestrians and drivers across the country. Read more

Tags: Asda, hot food, supermarket, Litter box, United Kingdom, cat

Lenders consider lower deposits from borrowers

A number of recent reports have suggested that some lenders in the UK are now considering lower deposits from first time buyers. This comes after a particularly difficult couple of years where many first time buyers and low income families have been unable to get a mortgage because of the extortionate deposits that lenders have been demanding from customers. Read more

Tags: extortionate deposits, Mortgage loan, Consumer fraud, Mortgages, mortgage, United Kingdom, traditional mortgage, Super jumbo mortgage

Professor speaks out over part time student fees

A university professor has recently spoken out over the university fees for part time students, stating that with more and more part time students now in the UK something needs to be done to address the fairness of fees for this particular group. His comments come as a review has been launched over how students pay for their university education, and Professor David Latchman, Master of Birkbeck, University of London, has said that the growing number of part time students in the UK must not be ignored. Read more

Tags: lowest incomes, ELQ, higher education agenda, student costs, United Kingdom, time study, fee support

AA report huge hike in car insurance costs

Figures that have been recently released have shown that there has been a huge rise in the cost of vehicle insurance, and the cost of cover could continue to rise. The research was carried out by the AA and showed that the average cost of car insurance has rocketed by a record 14 percent, and it could rise higher still. Read more

Tags: better car, group, car insurance costs, competitive markets, motor insurance, hike, car insurance, United Kingdom

Further limit reductions on credit cards could be in the pipeline

It has been claimed in a recent report that a growing number of credit card customers in the UK could see their credit limits reduced as credit card providers do their best to shore up their finances and claw back some revenue. Read more

Tags: Credit Cards, credit card limits, bank, credit, United Kingdom

Dramatic fall in balance transfer card deals over recent years

Over recent years many consumers have benefited from using balance transfer credit cards, as these cards have allowed them to save money on their credit card debt interest. Read more

Tags: balance transfer credit card, balance transfer credit cards, period, Business Finance, credit card balance transfers, interest, balance transfers, United Kingdom

Financial complaints soar into their millions

Recent figures that were released have shown that consumer complaints relating to financial services have soared into their millions over the past few years, with data showing that between 2006 and 2008 more than nine million separate complaints were made to financial firms in the UK. Read more

Tags: loan complaints, United Kingdom, bank complaints, financial complaints, Business Finance, mortgage endowments

Holiday companies may have to offer huge discounts

It has been claimed that due to a drop in bookings holiday companies in the UK may have to start offering huge discounts on holidays abroad in order to generate interest from consumers and get the travel market moving again. Read more

Tags: industry, travel market moving, cheap holidays, holiday savings, United States, holidays, tour operators, United Kingdom

Food price inflation highest in UK

According to recently released figures food price inflation in the UK is higher than any other destination in Europe. The figures show that in the UK food price inflation is around four times higher than in the rest of Europe, and at the same time supermarkets have been enjoying record profits. Read more

Tags: rest, liberal democrats, food prices, Organisation for Economic Co-operation and Development, record

HSBC’s £1bn boost to first time buyer market

HSBC has allocated £1 billion to a new 90% loan to value product which it is hoped will give a much needed boost to the first time buyer market. Read more

Tags: United Kingdom, Mortgages, support, hsbc, first time buyer, credit

Card fraud rife despite Chip and Pin

A few years ago the nation was introduced to Chip and Pin technology which was a new type of technology that had been designed to increase security for plastic card users and to cut down on the rising level of card fraud that was being seen across the country. Read more

Tags: chip and pin, country uses chip, fraud, United Kingdom, place, something, internet

Shopping Around for the Best Deal in Broadband

The aim of the British government is to bring Broadband into every home in the country within a three year period. This is indeed an ambitious plan that leaves households scrambling to find the best possible deal in getting a connection. Read more

Tags: cheap broadband, connection, high speed internet, dial, long time, plan, month, United Kingdom

Mortgage rescue plan gets rolled out

The government has recently decided to roll a mortgage rescue scheme designed to try and help struggling homeowners to avoid repossession out across England. Read more

Tags: rescue, repossession, Mortgages, remainder, consumers, scotland, mortgage rescue plan, United Kingdom

Darling to optimistic about end of recession

Earlier this month the Chancellor of the Exchequer, Alistair Darling, indicated that there was a chance that the recession in the UK could be over by halfway through this year. Read more

Tags: United Kingdom, majority, recession, darling, revival, international co, prime

An increasing number of insurance applicants telling lies

Every year many people apply for a variety of different types of insurance cover in the UK, from home and car insurance cover to life and income insurance cover. However, according to recently released figures there has been a sharp increase in the number of people that are telling lies on their insurance application forms in order to get a better deal on the cost of their insurance cover, and officials have stated that it is the honest consumers that are going to end up paying for these lies. Read more

Tags: finance, insurance fraud, insurance lies, driver, United Kingdom, cost, abi, application forms

Water firms receive record numbers of complaints

According to a recent report water firms have been receiving record numbers of complaints over the past twelve months. The data comes from the water watchdog, the Consumer Council for Water. Read more

Tags: Consumer Council for Water, complaints regarding water, United Kingdom, water firms, South West Water, year, individual water companies, customer

Long haul package holidays being slashed in price

With the global credit crunch still underway and soaring household bills and living costs impacting on consumers’ budgets it is little surprise that many people have decided that they either cannot afford to take a holiday at all or that they can only afford to take a break somewhere local within the UK rather than heading to some far flung destination that costs a small fortune when it comes to flights, accommodation, and all the extras. Read more

Tags: fuel, advance, holidays, United Kingdom, different deals

Who is telling the truth – Brown or Darling?

For many months now both consumers and industries have been concerned about the slowdown that has hit the UK’s economy. With the nation hitting a period of stagflation, which is a toxic combination of stagnant economic growth and soaring inflation levels, it seems that the nation has been thrown into chaos. Even the Monetary Policy Committee and the Bank of England have been at loggerheads over recent months with regards to the movement of the base rate, with some wanting to increase the rate to curb inflation and others wanting to cut the rate to boost the economy. Read more

Tags: Alistair Darling, gordon brown, crisis, United Kingdom, Labour, nation

Foreign banks take the number one spot for savings again

Over recent months many consumers may have been thinking about trying to put a little money aside wherever and whenever possible in case of emergencies, especially given the ongoing tight credit conditions that are making it difficult for many to get finance when they need it. However, with the high cost of living and hikes up bills most consumers are looking for a way to make their money work as hard as possible in terms of rewards. Read more

Tags: recent, ICICI offering, savers, past year, savings accounts, customers, foreign banks, United Kingdom

Many people could find it even more difficult to sell their homes

A recent report has shown that many homeowners in the London area could find it increasingly difficult to sell their homes in the near future, as a result of new plans that may be introduced to force homeowners to inform potential buyers about the risk of flooding. It is already very difficult for many homeowners to sell their properties due to problems in the mortgage and housing markets, and this could matters even worse for many more. Read more

Tags: United Kingdom, housing markets, risk, mortgage, interest

Bank savings interest rates start to come down

The interest rates being offered to savers with some banks have already started to fall following the recent base rate cut from the Bank of England. Following the latest Monetary Policy Committee meeting early in December the Bank of England announced that interest rates would be falling by 0.25% taking the rate from 5.75% to 5.5%. This followed a series of five interest rate rises between August 2006 and July 2007, after which there were several months where the interest rate remained unchanged at 5.75%. Read more

Tags: certain level, base, saving account, interest rtae, United Kingdom, bank of england

Can you benefit from being a credit card rate tart?

There are so many different types of credit cards in circulation in the UK these days it can be difficult to determine which one might best suit your needs and circumstances. However, for some people getting value for money on credit cards means chopping and changing cards regularly to make sure that they are always getting the best rates, deals, and rewards. As a rate tart you can not only enjoy the convenience, flexibility, and benefits of credit card use, but you can even make money and rewards from spending on your credit card. Read more

Tags: rate, personal finance, United Kingdom, business, Credit Cards, rate tarts, free credit card, Credit card

Prospect of monthly bank charges unpopular with consumers

According to a recent report the vast majority of consumers do not want to see the introduction of monthly banks charges even if it means that there will be a fairer system in place with regards to penalty fees for unauthorised overdraft use, bounced cheques, and returned direct debits. Research was recently carried out by MoneyExpert.com, and showed that nearly 60% of consumers did not want to see monthly account fees brought in even if there were caps placed on penalty fees. Read more

Tags: United Kingdom, bank charges, notice, OFT states, recent announcement, presiding judge, office, year

Is a variable rate mortgage the right choice for me?

Consumers in the UK can enjoy a choice of mortgage options these days, and no matter what your needs and circumstances there is a good chance that there is a suitable mortgage product on the market for you. When it comes to mortgages consumers can enjoy options such as the standard variable rate, the fixed rate, base tracker mortgages, capped rate mortgages, and more. The most popular of these are the variable rate mortgage and the fixed rate mortgage, both of which offer benefits as well as disadvantages. Read more

Tags: UK mortgage terminology, Business Finance, variable rate mortgages, Floating interest rate, interest, Mortgages, Real estate

Nationwide tightens mortgage criteria

Nationwide, the UK’s second biggest mortgage lender, has increased the deposit needed by new borrowers to a minimum of ten per cent on all except two of its products. Read more

Tags: nationwide mortgages, nationwide, bbc, director for mortgages, loan

People using same Pin are risking money

Around ten million people in the UK are putting their money at risk by using the same Pin number for their different credit and debit cards, according to new research.

The study conducted by Opinium Research found that almost a quarter of the 41 million adult cardholders in the UK choose one Pin number for their cards.

However, of those who had been more cautious, 11 million now only use one card because they cannot remember their different Pins.

Steve Willey, head of credit cards at price comparison site moneysupermarket.com, advised cardholders to be more careful, saying: “A little vigilance can go a long way. It certainly beats the trauma and trouble that can be caused by being far too lax with your cards.”

He also warned that people should be careful to keep sight of their cards when making a purchase, since criminals make billions of pounds each year from card cloning and skimming.

Younger cardholders in particular seem unaware of this, with 23 per cent of those aged 40 or under allowing their card to be taken where they cannot see it, compared to 13 per cent of older people.

Tags: research, Automated teller machine, billions, younger, business, United Kingdom, trouble, Cardholders

“There are lots of good offers” on the market for bank accounts, say experts

Due to the effects of the credit crunch meaning banks are having difficulty finding funds, “there are lots of good offers” on the market for bank accounts for UK consumers, one expert has said.

Fool.co.uk said there are differences to be found between bank accounts but to spot them consumers will have to keep their eyes peeled.

David Kuo, head of personal finance at fool.co.uk, said: “There are no ‘one size fits all’ when it comes to current accounts. So thanks to the plethora of choices, consumers can find one account that most suits their lifestyle.”

He added, as an example, if you regularly go overdrawn then a current account that provides an overdraft buffer will probably be best.

Meanwhile, a survey by Mintel has previously found that British people are more likely to get divorced than to change their bank accounts.

Up to one in two respondents were rated as being either ‘dissatisfied or extremely dissatisfied’ with their bank’s service, according to the survey.

Tags: United Kingdom, bank, Mintel, suits, plethora

Female savers set to miss out on Isa benefits, say experts

Many female consumers are not preparing for their financial future with 20 million set to miss out on investing in the individual savings accounts (Isas), one financial expert has claimed.

According to new research from the Co-operative Bank, two thirds of women in the UK are without an Isa.

Of the third that do hold one, less than a third intend to invest ahead of this season’s deadline in comparison to more than a half of male spenders who possess one.

Scott McPhail, savings product manager at the Co-operative Bank, said that financial planning is essential for women and not a maybe.

“Women can often retire earlier, and live longer than men, but many are simply not making enough provision for their futures and are failing to take advantage of tax-free savings,” he said.

Despite this, the research showed that women are more likely to be concerned about the state of their finances than men.

Meanwhile, the Association of Investment Companies has warned consumers to take care in researching the various Isa products on offer before making a purchase.

Tags: future, advantage, new research, finance, bank, United Kingdom, male spenders

‘Disappointing Budget’ does not encourage savers to use Isas

The new Budget from Alistair Darling is “disappointing” as it does not encourage savers to use Individual Savings Accounts (Isas), one financial expert has claimed.

According to Nationwide, the Chancellor could have gone further in promoting the product to consumers by ensuring that they were more flexible, and index-linking them to inflation.

A spokesman for the company said: “Additionally, we would have liked to have seen the Chancellor introduce a withdrawal buffer that allows savers to make withdrawals and replenish their Isa within the same tax year, as this would particularly help people on lower incomes.”

The firm said it hoped that Mr Darling would do more to re-evaluate the Isa system in future budgets to try and encourage consumers to make full use of their Isa allowance and embrace the tax-efficient benefits they bring.

Meanwhile, according to the Daily Telegraph, recent research from Lloyds TSB revealed millions of savers are missing out on tax-free interest as nine in ten Brits fail to make the most of their individual Isa allowances.

Tags: withdrawal buffer, nationwide, Brits, incomes, tax-efficient benefits, United Kingdom, Product Recall, Telegraph

UK consumers saving less

Concerns about the future of the economy has led to UK consumers putting less money into their savings,

Findings from Sainsbury’s Bank show that those in work are saving 6.6 per cent of their income while those who do not have jobs are only putting away 4.8 per cent.

An estimated 16 per cent are saving less than a year ago compared with six per cent who are saving more, according to the figures.

Neil Cameron, savings manager with Sainsbury’s Finance, said: “Many people are clearly finding it difficult to save, with a worrying number unable to set aside anything at all.”

“It is concerning that many people have decreased the amount that they are putting aside in savings since last year,” he added.

On a regional basis, people in Yorkshire and Humberside are saving the least, putting aside on average 4.7 per cent of their monthly income into savings, while people in the East Midlands and Anglia are saving the most at 6.7 per cent.

Meanwhile, more research from the firm shows that spending on cars is set to decrease by £11.1 billion over the course of the next six months.

Tags: work, United Kingdom, jobs, savings manager with Finance, yorkshire, income, east midlands, regional basis

Single consumers better off than those in a couple

Single consumers are richer than those spenders in relationships to the tune of almost £4 million according to new research.

Findings from Fool.co.uk show that the average single Brit is better off by £255.42 per month.

The average Brit not in a couple spends £281 a month on rent and bills, compared with the £500 paid out by someone in a relationship – meaning £2,600 saving per year on rent alone.

David Kuo, head of personal finance at Fool.co.uk, said: ” Money can’t buy you love, but it can help to ease the burden as pay day gets further away and the bills start rolling in.”

He added that the firm were not suggesting that money will ever replace the warm glow felt from loved ones, “but if you can’t be with the one you love, then learn to love your wallet”.

The average Brit in a relationship spends £39.50 per month when dining with friends – compared with just £22.85 forked out by singletons.

Meanwhile, UK payments association APACS has said that changes to processes on cashing cheques mean they offer “more certainty” than before.

Tags: United Kingdom, burden, Relationships, couple, rent, Insurance, Numismatics, wallet".the average brit

House prices rise by 3.2%, says financial experts

The average asking price for property has risen by 3.2 per cent as estate agents test the market, claim property experts.

According to property website Rightmove, competition between estate agents is expected to be fiercer than last year with only 132,000 properties on the market compared with 144,000 during this time in 2007.

The firm adds that prices have been virtually static for much of the past six months, and this is a trend expected to continue through 2008.

Miles Shipside, commercial director of Rightmove, said: “It’s not the start of another price boom, but the interest rate cuts have no doubt given some sellers headier hopes.”

He added that these are likely to prove to be unwarranted given the high level of existing property that is already on the market and the amount of time that it has been there.

A slower market was cited as one reason for this drop in new listings, but also the introduction in December of home information packs (Hips) which might have put some speculative sellers off say Rightmove.

Tags: hips, Ask price, property website rightmove, average asking price, United Kingdom, Rightmove

Consumers need to be wary credit card fraud

Consumers need to be wary of credit card fraud when paying for goods in shops, one security expert has claimed.

The CPP warned that there is a risk that sometimes businesses work in collusion with fraudsters to deceive customers by using two machines – one that they skim the card through before putting it into the chip and pin machine.

Danny Harrison, a security expert at CPP said: “It’s something we need to be careful of. If somebody does take a card we need to be watching what they do with it.”

He added that chip and pin machines can easily be fitted with cloning devices but it should also be easy to recognise when a device has been tampered with.

According to research conducted by CPP, nearly one in five consumers have had their card cloned when using either an ATM or chip and pin machine.

The number of fraud and forgery acts committed in England increased dramatically in 1999 when compared against the number of cases during 1993 to 1999.

Tags: security, forgery, fraud, machines, Payment systems

Nearly 2m pet insurance claims made by consumers

Up to 1.8 million pet insurance claims are made per year by owners according to research from Sainsbury’s Bank.

A further 18,000 claims are made for reasons including when a pet is lost or stolen.

Sainsbury’s warns that as many as 75 per cent of cats and dogs are not insured and as a result estimates that 5.5 million treatments are paid for by owners.

Claire Moyles, pet insurance manager at Sainsbury’s said: “The pet insurance industry not only deals with a huge volume of cat and dog claims every year, it deals with a staggering breadth of ailments and problems.”

She added that insurance can be more useful than expected as events when you need to claim could be “more common than you wish to consider”.

The estimated cost of owning a cat and a dog is £7,200 and £9,000 respectively while vet fees make up 19 per cent of the annual spend on dogs and 21 per cent for cats.

Meanwhile, Sainsbury’s Bank has also reported that the UK has seen an upsurge in the number of property damage claims in the wake of the recent bad weather.

Tags: insurance claims, Nectar loyalty card, cent, annual spend, United Kingdom, sainsburys, result, cat

Bank loss in court case could bring debt to the consumer

If the Office of Fair Trading’s (OFT) court case into the overdraft charges of eight banks goes against the firms, then the long term banking climate could be affected for the worse for the consumer claims one financial expert.

FinanceDaily.co.uk said, that while the legality of the case needs clarification, if the banks lose they maybe required to make pay outs up to £1 billion in compensation.

Dale Lovell, editor of FinanceDaily.co.uk, said: “If the banks lose the case it will almost certainly be the end to ‘free’ banking in the UK because the banks will have to find alternative ways of earning money back from customers.”

He added that the interest paid by banks on current accounts could end while the introduction of monthly standing charges for current accounts is also a distinct possibility.

The application for the declaration is brought against Abbey National, Barclays, Clydesdale, HBOS, HSBC, Lloyds TSB, Nationwide Building Society and Royal Bank of Scotland.

According to industry commentators, the banks make an estimated £10 million per day in charges.

Tags: United Kingdom, Economy of the United Kingdom, business, financial expert, royal, Fair Trading

Households to be worse off in 2008

Households will be financially worse off in 2008, according to Ernst & Young ITEM Club’s latest forecast for the UK economy.

The research, using the Treasury’s own economic model, describes public finances as a “mess” and anticipates the situation to get worse with slower growth and slower tax revenues predicted.

Speaking to the Independent, Peter Spencer, chief economic adviser to the ITEM Club, said: “Now that the economy is slowing sharply, the public finances will deteriorate equally rapidly.”

He added: “We have revised our forecast of this year’s current deficit up to £14 billion, compared with the Treasury’s pre-Budget report forecast of £8 billion.”

Experts have predicted that the Bank of England will cut interest rates at least three times to 4.75 per cent, or to a figure even lower, from the current 5.5 per cent over the course of the year or by 2009 if the economy continues to slow.

Meanwhile, research from property expert Right move shows that house prices are rising at their slowest rate for two years.

Tags: Business Finance, Economic, United Kingdom, rate, bank of england

“Incredibly important” for debtors to be aware of solutions

It’s “incredibly important” that those seeking debt help are made aware of all solutions available to them, says a debt advice service.

Debt Help UK said that being aware of all the solutions that are available can make the difference between finding an appropriate solution and having a solution forced upon her.

Iain Wrenshall, director of Debt Help UK, said: “As your situation degrades, then your options generally become narrower and, ultimately, your creditors have the sanction to make that choice for you.”

“It is important that people don’t bury their heads in the sand, but look for free advice which is going to help them understand the solutions and the options open to them,” he concluded.

According to research from uSwitch.com, almost one in four UK adults are finding debts unmanageable – 9.5 million have maxed out on one form of credit in the last six months and 38 per cent have had a credit card application rejected.

Tags: United Kingdom, Debt Help UK, free advice, director, Insolvency law, uswitch, debt

Self-certification mortgages still available despite credit crunch

Self-certification mortgages are still available despite the credit crunch and consequent tightening of lending criteria, according to industry experts.

Mortgage advisers Alexander Hall said that the credit crunch has had “nowhere near” the same impact on self-certification products as it has on subprime mortgages.

Andy Pratt, spokesperson for Alexander Hall, said: “All those clients who would have got a self-cert mortgage before have been able to get them even with the credit crunch.”

He added that Alexander Hall have had no problems placing clients in self-certification mortgages as there is “still a good enough choice out there”.

The Council of Mortgage Lenders defines self-certification mortgages as “a mortgage where you declare what your income is, but are not required to provide proof.

They are used by the self-employed, or people who have difficulty providing proof of income.

According to the Economic and Social Research Council’s most recent figures, for 2006, of the 29 million people employed in the UK, 13 per cent (3.8 million) were self-employed.

Tags: United Kingdom, alexander, Andy Pratt, self cert mortgage, good, self certification mortgages, self-certification products, Financial crisis of 2007–2009

Pensioners increasingly in debt

Despite the credit crunch, borrowing levels have continued to rise and debt levels are increasing with the over-55s being the worst offenders, according to financial experts.

Research from Callcredit reveals that the elderly are the most uncertain about their future with 16 per cent of respondents over-55 financially unaware and unable to define their debt levels.

As a result the pensions gap is continuing to increase, claim the organisation.

Mark Ward, consumer debt expert at Callcredit, said: “It is essential that people start to borrow more carefully in order to avoid having to owe more than we are able to pay back.”

Over 1.5 million of those aged 55 and over claim they can’t afford to retire at state retirement age due to a lack of pension savings.

Another 1.1 million retired homeowners in the UK have outstanding mortgage on their home, with an average debt of £38,000.

Callcredit is a consumer credit reference agency and forms part of the Skipton Information group.

Tags: Labor, lack, United Kingdom, finance, reference, 1 million, information, Banking

Divorcing couples need a ‘clean, simple solution’

Couples going through a divorce should list their combined assets and agree on how to split them to ease problems and conflict, say leading financial advisers.

Lowland Financial said couples should look for the most straightforward way of splitting assets in order to “find a clean, simple solution”.

Graeme Mitchell, managing director of Lowland Financial, said: “An awful lot depends on how they [people] react – often what you find is when people first part, they say: ‘We’re going to try to deal with this amicably’. Then as time goes on they get more and more bitter and twisted.”

He said that couples should start by listing all their assets which were already in place, then those which were accumulated while they were together.

According to the most recent government statistics, the UK’s divorce rate was 12.2 divorces per 1,000 marriages in 2006 following two consecutive years of falls.

The divorce rate is now at its lowest level since 1984.

Tags: Social Issues, law, Lowland, couples, place, Christian

Young people should ‘consider insurance options’

Young people should shop around more for life insurance providers, an industry expert has said.

According to Clare Moyles of Sainsbury’s Bank, younger people are often inclined to use the same provider for life insurance as they have to take out a mortgage.

She said: “Younger people tend to go with their mortgage lender because they might be a first time buyer and that tends to be the easiest thing to do.

“Not shopping around is a disadvantage for them because with life insurance your premiums do stay the same.”

For those who are “younger and healthier”, she added, premiums will cost less. By sticking with one lender without looking at the other options, people are missing out on possible savings.

Information from the Association of British Insurers this year showed that £160 million per day was paid out in Britain in 2005 by the UK insurance industry.

This figure comprises £17 million in death benefits and £144 million paid to pensioners and long term savers.

Tags: time, Insurance, Types of insurance, economics, expert, shopping

Credit crunch will hit ‘less well off’ worst

Mortgage-seekers who are less well off will be hardest hit by the implications of global credit squeeze.

According to a representative for money education charity Credit Action, the sub-prime mortgage crisis that hit the US with its repercussions reaching UK financial markets, has meant that those with the least will now find it hardest to be successful in mortgage applications.

The mortgage market has seen a widespread tightening up of specifications for people wishing to take out a mortgage after the problems that famously hit lender Northern Rock.

However, she said: “The companies that traditionally provide for the less well off, such as the door step lenders, won’t be affected because their system is so different.

“They rely on the agent network and I don’t think that is likely to be affected at all.”

She added that the sub-prime market makes up around “ten per cent” of the UK mortgage industry and it is clear this has been impacted by problems in the US.

Tags: tightening, sub prime mortgage crisis, repercussions, cent, credit crunch

Mortgage slow-down expected as prices rise

A slow down in the market is forecast as a result of rising mortgage prices, according to Andy Hornby, head of HBOS mortgage lender.

He warned that property owners were at risk from the fluctuations to the mortgage market and predicted that concerns regarding these changes could end in homeowners having to spend more on mortgage repayments.

Speaking to a Merrill Lynch banking conference in London yesterday, he said: “I suspect that the mortgage market is about to undergo a fundamental shift. Over the past three years we’ve seen a major decline in mortgage margins.”

He added that mortgage cost adjustment would continue on the back of “wholesale funding costs”.

Lenders’ rate increases have been widespread in the UK following the sub-prime mortgage crisis, causing anxiety for those considering taking out a loan on a house, many of whom decided not to, according to National Homebuyers.

HBOS is a retail, business, corporate banking, investment and insurance services company. It is the UK’s biggest mortgage and savings provider.

Tags: conference, Mortgage loan, retail, National, market, provider, HBOS mortgage lender.He, United Kingdom

No rise for interest rates

The Bank of England has left the UK base rate untouched at 5.75 per cent.

Today’s announcement from the Monetary Policy Committee comes after five consecutive rises since August 2006, each of one quarter of a per cent.

“An interest rate cut was unlikely this month as there are, as yet, few signs of any serious damage to the real economy from the upheaval in the money markets,” said CBI chief economic adviser Ian McCafferty.

Homeowners who faced increased mortgage repayment costs and a recent fall in house price inflation are likley to welcome the news.

The rises in interest rates may have had a direct effect on house price inflation, which fell last month from 11.4 per cent in August to 10.7 per cent in September, according to the Halifax.

Martin Ellis, chief economist at the bank, commented: “September’s price fall is consistent with the normal behaviour of the market during a slowdown.”

Tags: slowdown, rate, United Kingdom, monetary, uk base rate, house price, Monetary policy, chief economic adviser

Parents and students considering loans for university

Many of the UK’s parents have admitted that their children will need to take out a student loan before going to university.

According to research from Halifax, 57 per cent of parents admit their offspring either has a student loan already or is planning on arranging one.

What’s more, 11 per cent of respondents said that they were thinking about taking out a personal loan in order to help cover costs, while 63 per cent will use their own earnings and 59 per cent will draw on savings.

“For most parents, taking your child to university for the first time is a proud but emotional moment,” said Neil Chandler from Halifax. “It is important to consider how best to support your child with the minimal amount of strain on your pocket as this commitment is likely to last for several years.”

The study found that 96 per cent of East Anglian parents would forgo home improvement plans to finance a child’s further education and 79 per cent of those in Wales would give up a holiday.

A recent report from Moneyfacts warned students over the often high interest rates applied to credit card deals available to them – which can be as much as 20 per cent typical APR.

Tags: further education, card deals, home improvement, students considering loans, personal loan, cent typical apr, United Kingdom

Pet insurance affected by location and housing

The cost of insuring a pet can be affected by where the animal is housed and what part of the country you live in.

According to insurer Allianz, there are various factors which determine the price of pet insurance premiums such as the age and breed of a pet, how much it cost to buy it, how much physical activity it takes part in and if the owner lives in an area where it is expensive to run a veterinary surgery.

Clare Wheatley, risk and underwriting manager for Allianz’s Petplan programme, noted that “the cost of setting up and running a vet practice can vary greatly across the UK”.

She added: “We take a pet’s age, breed and location into account when insuring them.

“Age is a factor because just like humans, pets are more likely to fall ill as they get older. A man or woman may develop diabetes and arthritis later in life, and so may a pet. Therefore, to cover the additional risk of insuring an older animal we charge slightly more for dogs over the age of eight (five years for some breeds) and cats over the age of ten.”

Tags: woman, Human Interest, Financial economics, United Kingdom, pet, Physical exercise, risk

Mothers should be able to make pension contributions

More action is required in order to ensure that women are able to contribute to their pensions through motherhood, according to the Fawcett Society.

Company spokesperson Sarah Campbell has claimed that the government and employers need to act on the issue, noting that women who take time out of work during motherhood have reduced access to both private and state pensions.

Her comments follow research by the society that reveal that men save £51.03 more each month than women, while 55 per cent of single mothers were found to have no savings at all.

Ms Cambell believes that the gender pay gap lies at the root of the problem and that mandatory pay checks for all employers should be enacted to prevent the problem.

“Measures are needed to increase access to flexible working for parents and to encourage and enable men to take more responsibility for caring for children, so that this task can be shared more equally,” she added.

A UK campaign group for equality between women and men, the history of the Fawcett Society traces back to 1866 when Millicent Garrett Fawcett instigated a peaceful campaign for women’s votes.

Tags: Yvette Cooper, employment, women's votes, women, problem, pay, cambell, United Kingdom

Market volatility increases attractiveness of buy-to-let

The recent fluctuations in the UK stock markets have caused a lot of financial concerns among investors.

Originally caused by the meltdown of the US sub-prime mortgage sector, the current turbulence in credit markets might lead some to look elsewhere to grow their assets.

Mortgage Trust commented today that some landlords are finding safer bets in the buy-to-let market.

According to their research, 32 per cent of new landlords have cited control over their investment was a major factor behind their decision to enter the market.

This represents a four per cent rise over the same question asked by the company in January.

Managing director at Mortgage Trust John Heron commented: “When investing in stocks and shares, your only option if you don’t like the way an investment in a fund or company is performing, is to sell.

“With buy-to-let, landlords are in the driving seat. As financial markets become increasingly volatile, this level of control will become more attractive to investors.”

Mr Heron also claimed that the spiralling base rate of interest – which the Bank of England has raised five times in the last year – had also led investors to become “increasingly risk averse”.

Tags: stocks and shares, United Kingdom, Trust, buy-to-let, director

Graduate mortgage lenders run risk, IFA says

Those lenders who allow recent graduates to take out mortgages with them do so at their own risk, Balmoral Associates said today.

The independent financial advisor said that the mortgages, which typically lend at five to six times salary under the assumption that wages will increase over the years, were not “very common”.

Director at Balmoral Associates Paul Monk also took care to distinguish them from 100 and 110 per cent mortgages, saying that the graduate loans were aimed at those who had read a “professional course like medicine or law” and whose “salary is going to increase dramatically over a short space of time”.

Given that a proportion of graduates will remain on similar wages after some years, however, Mr Monk added that “the lender’s taking a big risk” in offering the service.

“The lender’s banking on the fact that because of the sort of job you’re in that that is automatically going to happen but it’s not always the case,” he added.

Mr Monk also commented on the recent US sub-prime mortgage crisis, saying that the UK market might “tighten up” on lending, with recent graduates among the first to feel the squeeze.

Tags: recent graduates, market, service."The lender banking, medicine, salary, time, law, United Kingdom

Barclays share prices fall

Rumours surrounding emergency loans allegedly taken out by Barclays Bank from the Bank of England have resulted in the bank’s shares taking a tumble. The UK banking giant recently saw its shares fall to their lowest level in two and a half years. In August rumours began when the bank is said to have taken two emergency overnight loans from the Bank of England. The bank has defended its actions, stating that the loans were due to technical difficulties, but with the crisis that hit Northern Rock still fresh in the minds of many it was inevitable that Barclay’s actions would eventually affect its share prices. Read more

Tags: United Kingdom, point, finance, recent additions, worth, loan, bank of england, head of global retail and commercial banking

HSBC removes mortgage fees in promotion

In a reflection of the UK’s increasingly competitive mortgage market, high street bank HSBC has announced that it will axe all mortgage fees for two months, effective immediately.

The bank said that it was making the move as a reaction to the ongoing Financial Standards Authority (FSA) investigation into the charges.

Consumer groups have complained to the FSA that charges such as exit fees have been ramped up in recent years , while not costing providers any extra money over that period.

Head of mortgages at the bank Rob Chesters said: “With some lenders recently bowing to pressure to scrap their exit fees, HSBC has decided to stay one step ahead by removing all fees on its standard mortgage range until the end of September.”

Some advisers say, however, that the promotion might not be all that it seems. “With HSBC’s rates higher than many rivals, homeowners could be better off choosing to pay fees and head elsewhere”, This Is Money counsels.

The FSA is due to report its findings later in the year.

Tags: consumer groups, United Kingdom, bank rob chesters, Financial Standards Authority, mortgage market, hsbc, end

Chip and pin revolution boosts online fraud

One surprising outcome of the chip and pin revolution is that online fraud has risen, the trade association Apacs said today.

The massive increase in UK consumers shopping online has proved fertile ground for thieves, as the rise of chip and pin has left them looking for “other areas to exploit”.

The association has also found that one in eight have failed to log out while shopping – leaving their financial details accessible by others. One in four do not perform background checks on the websites where they conduct their transactions, leaving questions of security unanswered.

Apacs spokesperson Mark Bowerman said: “Certainly as you close down one avenue for the fraudsters, we know that they’re not going to pack up shop and get legitimate jobs, they’re going to look for other areas to exploit.

“Certainly the fact that this type of fraud has gone up would indicate that they’re doing that.”

Apacs figures from March this year show that online banking fraud cost £33.5 million in 2006, up from £23.2 million the previous year. Set against this was an overall decline in fraud from £439.4 million to £428 million.

Tags: United Kingdom, financial details, surprising outcome, background, fertile ground

Holidaymakers pay extra in credit card fees

British holidaymakers will pay up to £258 million in fees over the summer as their credit card companies charge them for making transactions abroad, a new study has found.

According to the report from the Post Office, Britons will collectively spend around £9.4 billion, though many are unaware that they will incur extra costs for borrowing while overseas.

Of those people questioned, nearly half said that they had no idea that such extra charges would apply, while 37 per cent believed that their lender did not levy an additional fee, despite research showing that the vast majority of firms charge on average 2.75 per cent per transaction made.

In addition, 26 per cent of people admitted to failing to budget for their holidays before they went away, meaning that they left themselves vulnerable to having to borrow and get into debt.
“We are now four times more likely to spend on plastic abroad than 10 years ago,” said the PO’s Gary Fitton.
“It’s shocking not only to see how much people are being penalised to use their cards on holiday, but how few are aware of this.”
The findings come soon after the UK payments association Apacs revealed that fraud committed abroad on UK-issued cards totaled £118.2 million last year, an increase of £36 million.

Tags: United Kingdom, plastic, finance, fee, london, summer, idea, apacs

ABI issues warning as floods worsen

The Association of British Insurers (ABI) said yesterday that the floods in Southern and Western England, still ongoing, could hit the industry for “hundreds of millions of pounds” in claims.

With flood levels at 60-year highs in places, and with waters still rising, the ABI made its sombre announcement based on calculations that the average business would claim £100,000, and the average home £15,000 to £30,000.

Last month’s catastrophic floods in the Midlands already carry an estimated £2 billion insurance bill, according to the association.

Gordon Brown, visiting Gloucestershire – the worst-affected area by the floods – today, told reporters that “what we saw here was a month’s rainfall in some places in an hour, something that was quite unprecedented, and put enormous pressure on water and the emergency services”.

The Financial Times estimates the average insurance payout for storm damage in a year as between £400 million and £800 million.

Tags: something, water, economics, Gloucestershire, The Financial Times, Southern, United Kingdom, insurance bill

Co-op ethical policy ‘has turned away £700m’

The Co-operative Bank (Co-op) announced today that it had declined more than £700 million worth of loans for ‘ethical and ecological reasons’.

It also claimed that its ‘ethical positioning’ is a ‘positive driver for business’, with its loan book growing 250 per cent in the 15 years which it has held its ethical policy to total almost £2 billion today.

The bank first formally committed itself to ethical investment in 1992, with its statement that it would not invest in businesses involved in cosmetics testing on animals. It formulated its Ethical Policy statement, committing it to supporting Fair Trade, in 1995.
The Co-op’s chief executive David Anderson hailed the bank’s ethical standard as responsible for changing society: “We’ve witnessed the end of cosmetic testing on animals in the UK; the introduction of legislation to phase out the manufacture of the most harmful chemicals; and Fair Trade – something our customers have supported since 1995 – is now a mainstream brand.”
The figures released by the bank show that ecological reasons – making up almost half the total at £324 million – were by far the most costly factor behind the bank’s loan refusals. Animal welfare came next at almost £150 million, with the arms trade, global trade and human rights concerns all costing over £50 million each.

Mr Anderson remains optimistic for the brand’s future: “Of course, major challenges remain, and going forward we will continue to press for change on the issues our customers care about.”

Tags: mainstream brand, The Co-operative Bank, Co-operative, human rights concerns, ethical policy statement, United Kingdom, Mr Anderson, business

Barclaycard introduces ‘wave and pay’ credit card

In another small step towards a cashless society, Londoners will be able to make purchases on a combined Oyster and credit card from this autumn.

Along with more traditional transactions, the new ‘wave and pay’ card will perform the same function as the Oyster card, a ‘contactless’ payment system which has enabled quicker, cash-free payment at cheaper rates on the London public transport system.

The new product from Barclaycard, called the OnePulse, was developed in collaboration with the consortium which operates the Oyster card, TranSys.

In a further innovation , the card will be enabled for contactless payment for low value transactions. Users will be able to pay for purchases under £10 by swiping the card in a special reader, rather than having to enter their PIN.

The new technology has been successfully roadtested at Barclays’ Canary Wharf headquarters.

The card operates on the typical variable APR of 14.9 per cent, and offers zero per cent interest on products bought in the first six months.

Recent figures released by Apacs show that card spending has risen by 269 per cent in the UK over the past decade, with just a 17 per cent increase for cash.

Tags: GBP, cent, OnePulse, United Kingdom, value, barclays, transport, Business Finance

50% of income going on mortgage

Some Londoners are spending as much as 50 per cent of their take-home income on their mortgages.

New figures from Woolwich highlight the precarious situation that many homeowners find themselves in and things could get worse with the Bank of England widely expected to announce a 0.25 per cent interest rate rise today (July 5th).

The average first-time buyer in the UK is said to be forking out 32.4 per cent of their take-home income on mortgage payments as property prices boom and people become evermore desperate to get onto the housing ladder.

The figures are a concern for many industry figures and Andy Gray, head of mortgages at the Woolwich, said further rate rises are likely to have a massive impact on the housing market.

“We fully expect the average age of first-time buyers to go up until people are well into their 30s,” he revealed.

“For those lucky enough to be on the ladder, the data suggests that in certain areas of London they are already stretched. The last thing any of them need is a further increase in base rates.”

First-time buyers, many of whom are understandably desperate to get onto the property ladder, are advised to carefully calculate their finances before taking out a mortgage to ensure that they are financially prepared for any future rate rises or changes to their circumstances.

Tags: housing market, United Kingdom, increase, Real estate, market, rise

How things have changed in last 50yrs

Half a century ago (July 1957) Conservative prime minister Harold Macmillan famously said that the people of Britain “have never had it so good”.

He was talking at a time when rationing had only just come to an end following World War II but Halifax has been comparing the economic picture in the UK in 1957 and comparing it with today’s situation.

Understandably, it has found that massive changes have taken place and concludes that the people of Britain in 2007 really have never had it so good.

The average annual wage in 2006 stood at £31,278, compared to a miser miserly £731 that workers took home on a yearly basis 50 years ago.

More people own their own home today, with 70 per cent of the adult population holding the rights to a property, compared to just 38 per cent in 1957.

We work shorter weeks today, with the average being 38.9 hours, while in the fifties they worked 48.5 hours per week.

Some things were better in 1957, with unemployment figures very low at just 1.3 per cent compared to today, while house prices were fantastically low at just £2,330.

The pound was also very strong in those days, sitting at $2.79.

Tags: United Kingdom, halifax, War, July, pound, week, world, population

Buy-to-let looking good

There is a continued high demand for rented properties and this is good news for people with a buy-to-let mortgage.

Figures published by Paragon show that rent has increased consistently over the last six months, as more and more people look to rent a home.

The average annual rent in England and Wales in May sat at £10,702, signalling a ten per cent increase of £1,037 compared to November figures when the average was £9,665.

A recent study shows that 63 per cent of residential property investors have seen tenant demand grow or remain stable and, as a result, they are looking to increase their buy-to-let portfolios.

“The private rented sector is buoyant as demand from tenants continues to be strong,” said Nigel Terrington, Paragon’s chief executive.

“Many parts of the community, such as students, migrants, people on housing benefit and first jobbers, rely on rented accommodation for their housing needs, and the sector is set to continue this growth over the next five to ten years.”

Mr Terrington went on to say that negative reports about the buy-to-let market are unfounded and said that affordability is playing a big part in keeping the market buoyant.

“Commentators forecasting a downturn in the buy-to-let market have overlooked the fundamental dynamic of the UK housing market – people need somewhere to live, and for many, house purchase is simply not an option,” he added.

Tags: mortgage, demand, United Kingdom, good news, Private rented sector

Ex-smokers pay less for insurance

England is set to go smoke free by the end of this week (July 1st) and many smokers may find that kicking the habit will benefit them in more ways than one.

As well as the money saved on not stumping up for cigarettes, ex-smokers will also see the premiums they pay for life insurance plummet.

The average 35-year-old male who regularly lights up can expect to pay around £13.50 per month for a £100,000 term assurance policy providing cover for 20 years.

However, if the same person were to quit smoking, within a year he would see his monthly payments fall to around £7.90.

“This shows just how important it is to shop around for an annuity which meets your individual needs and also takes into account lifestyle or health issues,” commented Matt Ward from financial research company Defaqto.

Insurance firms require applicants to have been smoke free for at least a year before they can be considered an ex-smoker and it is not easy to pull the wool over their eyes.

Many insurance firms carry out a cotinine test which detects nicotine in blood, urine and saliva.

Tags: policy, Human behavior, premiums, cotinine, United Kingdom, smoke, life insurance plummet.The, plummet

Housing market slowing down

House prices in the UK are increasing in price at the slowest rate they have all year.

The Halifax House Price Index shows that properties increased in value by 0.3 per cent in May, signalling the third consecutive month of the market slowing down.

The average house price sits at a lofty £196,893 and buyer interest fell for the fifth consecutive month.

The housing market is expected to continue to slow down in the coming months, with increasing interest rates and reduced real earnings each playing a part.

Commenting on the 0.3 per cent price increase, Martin Ellis, chief economist at Halifax, cited rising interest rates as the main factor.

“This is the smallest increase so far this year and the third successive easing in the monthly growth rate,” he said.

“The recent slowing in monthly house price inflation, together with further evidence of moderation in housing market activity, suggests that the interest rate rises since last summer are having an impact on the market.”

A slowing down of the housing market is good news for first-time buyers as ever-increasing house prices are making it very difficult for young buyers to get onto the property ladder.

Tags: halifax, value, Subprime mortgage crisis, Index, rising interest rates, successive easing

FTBs benefit from landlords selling up

First-time buyers (FTBs) in the UK are benefiting from a trend which is seeing landlords selling their properties.

Statistics from Alliance and Leicester show that buy-to-let mortgage holders are beginning to sell some of their properties, with most making big profits.

According to the firm, ten per cent of landlords sold one property in the last two years, while 42 per cent of FTBs snapped up a landlord-owned house.

Head of specialist mortgages at Alliance and Leicester, Jeremy Claridge, is pleased that FTBs are taking their chance to get onto the property ladder.

“It is heartening to see that first time buyers are benefiting the most from the sale of buy-to-let properties with nearly half having bought from a landlord,” he said.

“With many believing the boom in buy-to-let has priced first time buyers out of the property market, the research highlights it is not all doom and gloom for first-time buyers. Instead, they are the group gaining the most.”

A quarter of landlords who sold their property in the last two years made a return of more than 30 per cent, with only two per cent reporting a loss.

This bodes well for the future of the buy-to-let market as does the fact that 29 per cent of landlord-owned properties sold since 2005 went to existing or new landlords.

Tags: loss, half, Head of specialist, group, benefit, cent, landlord, United Kingdom

Contactless cards are on their way

The UK banking industry has confirmed that plans are in place to roll out contactless technology for debit and credit cards.

We could see the new system being put in place as early as September of this year, with consumers receiving new cards and retailers getting new receivers.

The UK payments association Apacs has revealed that transactions on the contactless cards will be limited to no more than £10 and users will not need to enter their pin number each time they make a purchase.

Apacs is assuring customers that their cards will remain safe and says that every now and then they will be required to enter their pin number for security reasons.

The cards will initially be introduced in London, spanning from the City to Canary Wharf, with a larger roll out planned across the whole of London and eventually nationally by the end of 2008.

The cards are being touted as an easier and quicker way for consumers to purchase everyday items and the banking industry believes that their introduction will encourage shoppers to use their cards rather than paying for low-value items with cash.

“We are confident that consumers in the United Kingdom will be quick to adopt contactless payments as they are faster and more convenient than cash increasing both the number of cards in issue and, as retailers benefit too, places where they can be used,” commented John Bushby from Mastercard Europe.

Cardholders should wait for correspondence from their card company to see what they need to do to get a contactless card.

Tags: bank, europe, year, new cards, introduction, United Kingdom, card, Cardholders

Store cards forced to admit they’re bad value

Millions of shoppers across the UK will soon be told by their store card provider that they could be getting a better deal elsewhere.

An inquiry by the Competition Commission into the Annual Percentage Rate (APR) charged by store cards carried out last year found that they were too high.

This has led to store cards with an APR above 25 per cent now being told that they must provide a warning to card holders informing them that they could be getting a better rate with another product.

These warnings will have to appear on the card statement and store card providers appear happy to comply.

“Of late, some providers have already moved their rates lower,” revealed a spokesman for the Finance and Leasing Association (FLA), which represents providers.

“Providers are getting on and implementing what the Competition Commission wants. No-one has any issues with incorporating this information on statements.”

During its inquiry, the Competition Commission calculated that the UK’s 11 million store card holders are overcharged by around £55 million every year.

Tags: store, Credit card, No-one, deal elsewhere.An inquiry, George Osborne, Competition Commission, United Kingdom, card statement

Hips will wipe out sellers’ savings

People selling their home in the UK are currently making savings because the market is so competitive but all of that is about to change.

According to mortgage provider the Woolwich, sellers are managing to save money by striking deals with agents who are keen to see the property on the market.

This is despite the fact that property prices have risen by 11.1 per cent in the past year.

“The market definitely favours sellers at the moment and the lack of property on the market is helping them negotiate deals with estate agents and, to a lesser degree solicitors, as agents are desperately trying to find enough good quality property to satisfy the increasing demand,” said Andy Gray, head of mortgages at the Woolwich.

“As a result the cost of moving for sellers has decreased by approximately ten per cent since last year ¬¬- it now costs on average £4,666 to sell a home compared to £5,181 last year.”

Although sellers are currently saving on the costs of moving, experts are predicting that this will change when it becomes compulsory for home sellers to provide home information packs (Hips).

The new rules come into effect on June 1st 2007, with Hips set to cost a seller in the region of £500.

Although the cost of Hips is clear, the Woolwich claims that 77 per cent of estate agents do not believe they will improve the house-buying process.

Tags: information packs, United Kingdom, year, good quality property, lesser degree solicitors, degree, mortgage provider, deals

Thieves get on your bike

Britain’s shift towards being a nation of green-minded individuals is being exploited by thieves.

That is according to new research which shows that bicycle thefts have grown by ten per cent in the last 12 months.

As more and more of us try to do our bit for the environment by ditching the car and peddling to and from work, thieves are capitalising.

Halifax Home Insurance has revealed that a bike is stolen every 71 seconds in the UK, with their being a total of 439,000 bike thefts every year.

Bike owners are now being advised to check their home insurance policy to ensure that their wheels are covered should they be stolen from a public place.

Figures from Halifax show that in 2006, 89 per cent of bike thefts occurred in a public place when the bike had been locked up.

“One bicycle theft occurring every 71 seconds is an astounding figure and should certainly make cyclists think more carefully about the level of security they use to keep their bike safe,” said Vicky Emmott from Halifax Home Insurance.

“With the majority of thefts coming from bikes that have been placed under lock and key, it may be worth considering spending a little more money for a high security lock that might stand a better chance of deterring a thief.”

London has been named as the UK’s bike theft hotspot and the average claim in the capital is for around £340.

Tags: uk, lock and key, bike theft, green-minded individuals, bicycle theft, bicycle, United Kingdom, policy

Card fraud unit celebrates 5th year

Apacs, the UK payment association, is celebrating the fifth anniversary of one of the UK’s leading anti-fraud squads.

The Dedicated Cheque and Plastic Crime Unit (DCPCU) was established in 2002 with the task of cracking down on cheque, debit and credit card fraud.

Since it was first introduced, initially as a two-year pilot, the DCPCU has been responsible preventing £130 million worth of fraudulent activity and secured 156 convictions.

Apacs and its member banks sponsor the specialist police unit and the organisation says that the DCPCU plays a massive role in reducing fraud.

“The Dedicated Cheque and Plastic Crime Unit has been an important initiative to cut fraud over the last five years and I am delighted at the successes they have had,” said Home Office minister Vernon Coaker.

“The banking industry must also take credit for these successes. Their financial support for this unit provides an excellent example of how a public/private partnership can work together to create a valuable addition to law enforcement when tackling organised financial crime.”

The DCPCU’s fifth birthday falls on April 29th 2007.

Tags: Vernon Coaker, law enforcement, massive role, United Kingdom, initiative, home, specialist police unit

Homebuyers cutting corners

A large number of homebuyers in the UK are cutting corners financially as house prices rise and this could lead to big problems in the future.

Research by AA Legal Services highlights an alarming trend of buyers failing to ensure that their new home has been properly checked before signing up to buy it.

The average home in the UK currently costs around £185,000 and Brits owe a combined £340 billion in mortgage repayments.

It is this debt, says the AA, that is causing new homebuyers to run the risk of cutting corners.

“With home buyers stretching themselves to the financial limits to afford their home, many are cutting back on the relatively low costs of basic legal and social inspections,” said James Molloy from the firm.

“New home owners who do not carry out basic checks, face discovering too late that their dream home could actually be a financial time bomb.”

According to AA Legal Services, only 28 per cent of homeowners questioned had commissioned a structural survey on their property or looked at the flood risk.

In addition, only 14 per cent had tried to get an independent conveyancing service, while just 21 per cent looked for an insurance quote and 29 per cent considered council tax costs.

“I’m very worried that so few take steps to protect their investment and ensure that their interests are represented,” added Mr Molloy.

Tags: big problems, Brits, large number, GBP, addition, United Kingdom, future research, aa

Association supports government plan regarding unclaimed assets

The government in the UK has recently proposed an initiative in relation to unclaimed banking assets, and the British Banker’s Association has confirmed that the banking industry is backing this initiative.

The banking industry has been finalising technical details relating to the initiative with the cooperation of the government, and consumers are being given priority so that they can reclaim their money whenever they want to.
The Chief Executive of the BBA, Angela Knight, stated: ‘The banking industry has been in a detailed discussion with the Government since the 2005 Pre-Budget Report on the introduction of an unclaimed assets scheme for bank and building society accounts with the aim of getting the technical detail right on their initiative.

All along our priority has been the protection of the right of customers to reclaim their monies at any time.  A key element of the approach proposed within the consultation paper therefore is that even after the transfer of their ‘unclaimed assets’ individuals will retain the right to reclaim their monies via their bank or building society as at present.’

According to the BBA banks will continue to effectively deal with customers to minimize on the number of claims that have to be moved over to a central account and to minimise on inconvenience. The regulations mean that any unclaimed assets will them be moved into a central fund after fifteen years if no claim has been made.

At present there are hundreds of millions of pounds in UK banks that remains unclaimed, and it is thought that every year tens of millions more may be left unclaimed. Authorities also plan a consultation later this year to decide upon distribution of unclaimed funds.

Tom Smith
25th April 2007

Tags: Angela Knight, inconvenience, approach, initiative, building society accounts, government plan, United Kingdom, priority

Savers are short-sighted

Millions of consumers are only saving money to achieve their short-term goals, new research has indicated.

An estimated 7.5 million Britons save cash just to meet their immediate needs, according to a report by website Unbiased.co.uk.

A further 3.8 million are thought to be “frivolous” spenders, driven to part with their cash because of their desire to acquire certain purchases, rather than their ability to afford them, according to the study.

The report, commissioned by IFA Promotion and based on official data and a YouGov survey of consumers, concludes that there are two frivolous spenders for every Briton who is financially aware.

Dividing the nation into five categories according to their spending habits, the study also suggests that even one in ten “bargain” spenders do not have any savings.

“This year’s research into the nation’s propensity to save shows some improvement, but it is disappointing that we still define ourselves as a nation of spenders rather than a nation of savers,” said Unbiased.co.uk chief executive David Elms.

News that many Britons are failing to save for a rainy day follows research published yesterday indicating that the majority of the nation’s wealth is now tied up in property rather than traditional financial assets such as savings.

Some 55 per cent of the UK’s wealth is now linked to equity in properties, the study commissioned by the insurer Prudential found.

Tags: United Kingdom, insurer, propensity, money, spending habits, year, property, rainy day

Parents don’t talk to kids about money

Many of us have let our banking situation spiral out of control because our parents failed to talk to us about finances.

A new report by the Department for Education and Skills (DfES) highlights that few people aged between 16 and 21 regularly speak with our parents about money.

This has led to a number of negative effects, says the report, with 40 per cent of people in this age group not even knowing what APR means.

In addition, 25 per cent incorrectly believe that store cards offer better value than credit cards and the DfES puts this down to a lack of parental guidance.

One in three admitted that they do not discuss finances with their children and this is despite 83 per cent having concerns that their kids are running into debt.

The main reason behind the lack of communication is said to be a fear of appearing to be a nag (48 per cent), while many are put off by their child’s nonchalant attitude towards money (22 per cent).

The DfES is trying to tackle this by launching Talking Money, a campaign designed to promote financial conversations between children and their parents.

“While parents are happy to talk with their offspring about socialising, boyfriends and girlfriends or getting a job, it would appear that in many families money remains the last taboo subject,” said minister for higher education Bill Rammell.

“Talking Money is designed to raise awareness of the fact that financial help is available to cover the cost of higher education in the form of loans, grants and bursaries.”

Tags: higher education, reason, conversations, parental guidance.One, Bill Rammell, taboo subject, United Kingdom

Are you smoking away your money?

Smokers are being urged to kick the habit as National No Smoking Day lights up the UK on March 14th.

Co-Operative Insurance is calling upon all smokers to give up so that they can improve their health and their financial standing.

The firm claims that a smoker who gets through 20 cigarettes a day could save themselves over £1,800 every year.

That figure doubles if a couple quit smoking together but the financial benefits do not stop there.

It is also possible to severely reduce the premiums on life insurance cover by stopping, as well as premiums on income protection and critical illness insurance.

“Giving up smoking can save people a significant amount as well as hopefully bringing a longer and better quality of life,” commented Fiona Jackson, head of protection at Co-Operative Insurance.

“Someone who is able to give up an addictive habit like smoking can certainly take charge of their own financial destiny and make adequate financial provisions for their future.”

Research shows that smoking is more common among men than women, although the gap is just three per cent.

Smoking is said to cause 30 per cent of all cancer deaths, 17 per cent of heart disease deaths and at least 80 per cent of deaths from bronchitis and emphysema.

Tags: March, financial standing.The firm, someone, heart disease, Social Issues, financial benefits, United Kingdom, year.That figure

Uninsured Loss Recovery

Amazingly, at any given time, one in five drivers in the UK will be driving without adequate car insurance should they have an accident. Probably more worryingly, if you drive regularly in the UK, is the statistic that at all times five percent of cars on the roads in the UK have no insurance whatsoever! Add to that the fact that, when asked, over half of those who drive in the UK admitted that, given the chance, they would not stop and give their name and address if they hit another road vehicle, preferring instead just to drive off (a habit known as ‘road running’), and you start to wonder just what you would do if you were unlucky enough to be involved in a road accident involving another vehicle. Read more

Tags: cost, scenario, uninsured losses, damage, uninsured loss protection, Amazingly, adequate car insurance

Theft : A Vital Part of Car Insurance

Car theft has increased in the UK and more than a 100,000 cars are being stolen a year. The insurance claims for car theft are 1 policy claim out of 20, and the car insurance companies want drivers to realize the need to protect their vehicles from these incidents. The more claims made to an insurance policy, the higher the premium. Read more

Tags: insurance policy, Car Security, car insurance, car theft, United Kingdom, luxury cars

PPI market faces scrutiny

The Office of Fair Trading (OFT) has decided to refer the UK payment protection insurance (PPI) market to the Competition Commission (CC).

A public consultation was held following an original proposition by the OFT for the referral back in October.

Businesses, consumer organisations and trade associations were asked to give their views on the market and the responses confirmed the OFT’s prior concerns.

“Our examination of the evidence presented to date gives us reasonable grounds to suspect that there are features of this market which restrict competition to the detriment of consumers,” said John Fingleton, chief executive of the OFT.

“Despite some evidence of a degree of consumer satisfaction with aspects of the product, the evidence as a whole suggests consumers get a poor deal.”

The organisation says that the CC can now carry out a thorough investigation of the market, offering the chance for a solution to be reached.

The Financial Services Authority is currently working to remedy some of the problems present in the market in terms of selling practices. However, the OFT feels that this alone will not fix the current problems.

Those of you considering a loan may find that you are better off getting PPI, but should shop around for the best deal.

Tags: commission, United Kingdom, trading, consumer, evidence, consumers, public consultation, detriment

ID theft avoidance guide

Millions of Britons are leaving themselves open to identity theft because they are failing to face up to the reality of the problem.

That is according to the Information Commissioner’s Office (ICO), which says that all of us need to change our behaviour if we want to protect our finances from con artists.

The ICO has published a guide to help us avoid becoming a victim and it comes on the back of the release of some alarming data.

CIFAS, the UK fraud protection unit, has revealed that the number of ID theft cases rose by 19.91 per cent between 2005 and 2006, while one-in-five Brits think they may have already been targeted.

It is possible for thieves to pretend to be another person by stealing items such as bank documents and credit card statements. This information can then be used to open bank accounts and take out loans in their victim’s name.

“We are living in an age where protecting your personal information has never been so important,” said David Smith, from the ICO.

“Almost every day we give out our personal details which can leave us open to identity theft, unwanted marketing and a loss of privacy.”

The ICO guide tells us to keep all personal documents safe and ensure that mail is redirected when moving home. It also says to make sure your home computer is secure before going online and to never give out secret passwords or pin numbers.

We should also check our credit card and bank statements regularly to see if any unfamiliar transactions have taken place and the most important piece of advice is to shred all unwanted personal documents.

Tags: ID theft cases, office, identity, fraud protection unit, name, United Kingdom, david smith, place

Credit card market lacks competition

There is a lack of competition in the debit and credit card market, meaning consumers are getting a bad deal.

That is according to a new report published by the European Commission (EC) and it backs claims previously made by the British Retail Consortium (BRC).

For some time now, the BRC has been arguing that there is a lack of competition and that fees charged for transactions are an unjustifiable tax.

The BRC has revealed that the fees we pay are fuelling excess bank profits and figures from the EC report show that credit card issuers are making profits of 40 per cent.

Calls are now coming for the Office of Fair Trading to recognise the findings of the EC report in its current case against Mastercard and Visa’s fee arrangements.

“This report is a welcome indication that the commission agrees with us that banks are abusing their position,” said Kevin Hawkins from the BRC.

“The report sends a clear signal to member states, including the UK, that consumers and retailers have been bearing the costs of that abuse.

“We’ve long argued that high charges are an unjustifiable tax on consumers leading to excessive profits for the banks,” he added.

Customers looking to get a credit card should shop around and try to find the best deal to suit their personal needs.

Tags: MasterCard, tax, United Kingdom, Credit card, BRC, fee

HSBC offers new 5-year mortgage

A new 5.55 per cent, five-year fixed rate mortgage plan has been launched by HSBC.

Following the base interest rate rise to 5.25 per cent last week, the package replaces HSBC’s Green Sale mortgage with a fixed rate of 5.17 per cent, which has sold out.

The new plan offers the incentive of no booking or exit fees, with interest charged daily.

Rob Chesters, head of mortgages at HSBC, said: “Following the recent increase in interest rates, we are pleased to be able to announce immediately our new five-year fixed rate mortgage, which comes with a very competitive rate and no booking fee.

“Our Green Sale mortgage proved to be very popular with the many homeowners spring cleaning their finances this January, selling-out in the first two weeks of the sale.”

The fixed rate reverts to 6.25 per cent variable once the five-year fixed rate period has expired.

HSBC serves 15.6 million customers in the UK and over 125 million customers worldwide.

Tags: green, United Kingdom, Green Sale mortgage, rise, uk, rate, cent, rate rise

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