November, 2011 news
Chancellor delivers Autumn Statement
Chancellor George Osborne has given his Autumn Statement, informing MPs of the state of the economy and the Government's plans for the future. Mr Osborne's statement came as the Office for Budget Responsibility (OBR) published its latest forecasts for UK growth and borrowing. ... Read more »
Mortgage lending by building societies 'up 20%'
Gross mortgage lending by building societies and other mutuals hit £2.3 billion in October 2011, according to the Building Societies Association (BSA). ... Read more »
Chancellor: cost of travel to rise
Commuters are likely to endure yet more increases in travel costs next year, after Chancellor George Osborne announced his plans for the economy in the Autumn Statement.... Read more »
No change in loan figures for October
There was no increase in loans to individuals in October, as consumers took a cautious approach to their finances ahead of the expensive festive season, new figures from the Bank of England show.... Read more »
Budgeting key to keeping down Christmas debt
With Christmas now less than a month away, many of us will be rushing out to make sure the gifts, food and decorations are all taken care of. But for those of us who can't afford to fit it all into this month's salary, paying on credit card or overdraft may seem an attractive option. ... Read more »
Insurance fraud: some expert advice
Insurance fraud is a multi-billion pound problem in the UK, adding almost £50 a year to the cost of honest people's insurance policies. ... Read more »
Credit cards 'being paid off more slowly'
Credit card holders in the UK are repaying less of their balance than they have at any time in the last two years. At the same time, worryingly, the number of people using their credit cards to get cash advances is at the highest level we've seen in that time. ... Read more »
Young adults 'still taking on more debt than other age groups'
Almost a fifth (18%) of 16-24 year olds have already borrowed money to help them cover the cost of the festive season, according to research by insolvency trade body R3. ... Read more »
'Foundation generation' defying the financial doom and gloom
If you read the news on a regular basis, you'd be forgiven for believing that most of us are on the brink of financial disaster. But new research from Aviva tells us quite the opposite - for the 'foundation generation', at least. ... Read more »
Scottish mortgage lending 'up in third quarter'
Mortgage lending in Scotland increased by 8% between June and August this year, new figures from the Council of Mortgage Lenders (CML) show. ... Read more »
Research indicates young women are at high risk of online fraud
As part of the UK Cards Association 'Be Card Smart Online' campaign, young women are being warned to be more security conscious when shopping online this Christmas, as research shows they are at a high risk of online fraud. ... Read more »
How the 'winter freeze' could put your finances at risk
A study by Churchill Home Insurance has revealed that the bad winter weather that hit the UK between October 2010 and February 2011 caused damage to more than three million people's homes. ... Read more »
Smartphone payments: the end of cash?
New developments in smartphone technology could spell the end of cash, as increasing numbers of users turn to smartphone payments, research by PayPal suggests. ... Read more »
Simpler utility bills could help people tackle fuel debt
British Gas has promised that simpler tariffs are on the way, after admitting that things have been too complicated in the past. ... Read more »
Winter sports insurance: are you sure you're covered?
For some of us, the idea of a holiday couldn't be further away - most of us are planning on wrapping up warm, turning on the heating and getting ready for the festive season. ... Read more »
Loan rates 'at lowest point since beginning of credit crunch'
Borrowers who take out loans of £7,500 or more are paying the lowest interest rates since the 'credit crunch' began, on average, according to MoneySupermarket. ... Read more »
Cap on payday loans to be considered
Should payday loans be 'capped'? Some say yes; some say no. So the Government has asked Bristol University's PFRC* to look into it. ... Read more »
Consumer group says new store card rules 'could kill off the industry'
Yesterday we brought you the news that new store card rules are coming into place from the second quarter of 2013 onwards. James Daley, the editor of Which? Money has "never been keen on these products" and says that banning instant discounts "could sound the death knell for these cards," as reported by The Telegraph.... Read more »
'Tough love' will lead to lower insurance costs
Helping younger people drive more safely will mean they end up paying less for their motor insurance. The Association of British Insurers (ABI) has set out what it calls 'tough love' proposals that should cut the number of accidents and young deaths on the roads - and help bring down the cost of insurance for young drivers. ... Read more »
'Tempted' into debt? New store card rules coming into force
A new ban is coming into force, as stores have agreed to stop offering discounts that encourage people to sign up for store cards. ... Read more »
Banks 'will help keep customers out of the red'
The British Bankers' Association (BBA) has announced that High Street banks have collectively agreed to make changes to how bank accounts work. The changes will be brought in from April next year, as reported by the BBC.... Read more »
Cash or credit card? How credit makes spending 'less painful'
There's a big difference in the way we look at our purchases, depending on how we're planning to pay for them: with a credit card or with cash. ... Read more »
Virgin Money buys Northern Rock
The Government has announced that Northern Rock, the bank nationalised in 2008, is being sold to Virgin Money for £747 million, the BBC reports. ... Read more »
Half of UK 'not planning for retirement'
Significant numbers of people face an uncertain future because they haven't started planning for retirement yet, according to the fourth annual Financial Planning Survey from the Institute of Financial Planning (IFP). ... Read more »
Government proposals 'to make bank account charges clearer'
The Government has proposed measures to help customers make better decisions when borrowing and improve the transparency of bank charges. ... Read more »
Mortgage lending continues to rise
Gross mortgage lending was up by 13% in October, compared with the same month a year earlier, the latest data from the Council of Mortgage Lenders (CML) shows. ... Read more »
Government calls for better access to bank accounts for bankrupts
The Government is calling for better access to bank accounts for undischarged bankrupts, as very few banks allow undischarged bankrupts to open a bank account. ... Read more »
Family savings 'fall to lowest rate in 2011'
Many families have felt their finances squeezed in recent months, with rising inflation and high levels of debt having a big impact on household budgets. However, research from the latest Aviva Family Finances Report has revealed just how many families' financial security may be at risk. ... Read more »
More drivers 'regularly switching insurance'
For many people, keeping the household finances in order has been a difficult task in recent years. But there are some upsides to that, as it appears more and more people are taking steps to improve their budgets - in some areas, at least. ... Read more »
Italy's debt costs causing worries
Italy has a new Prime Minister, Mario Monti, who's responsible for bringing the country's debt under control after the departure of Silvio Berlusconi. ... Read more »
'One-minute motorists' & the million pound fuel bill
11.4 million motorists - almost a third - admit to making weekly car journeys of less than half a mile, according to new research from Santander Credit Cards. ... Read more »
Average household debt 'just under half of annual income'
The average family in debt owes the equivalent of almost half their household's annual income, according to the latest Family Finances Report from Aviva.... Read more »
Cheque guarantee cards 'could return to bank accounts'
The Payments Council is considering a U-turn on its decision to abolish cheque guarantee cards, after it was suggested that too many people are being turned away when trying to pay with cheques. ... Read more »
Average energy debt 'over £300'
850,000 households are on average £309 in debt to their electricity supplier and 700,000 households are in debt to their gas supplier on average by around £320, as reported by The Mirror. ... Read more »
Little growth expected this year, says Bank of England
The UK's economy is expected to remain pretty much flat for the rest of the year, says the Bank of England in its latest quarterly Inflation Report. And there's a good chance it'll be under 1% throughout 2021.... Read more »
360,000 first-time buyers 'trapped in their first homes'
Up to 360,000 first-time buyers (FTBs) who got their foot on the property ladder in 2007 are likely to be 'trapped' in their first homes, due to the subsequent fall in house prices, new research from HSBC has revealed. ... Read more »
Banks 'falling short on small business loans target'
UK banks are falling short on their targets for lending to small businesses, according to the Bank of England. ... Read more »
The rise of 'zombie' bank accounts
Savers are being warned that the number of 'zombie' savings accounts, which don't accept new customers and pay very small returns on savings, have nearly doubled in the past year, the Financial Times reports. ... Read more »
Insurance survey: spotting 'best value for money' is no. 1 issue
When many people are choosing between financial products, their number one problem is figuring out which one provides the best value for money, says the Association of British Insurers (ABI), after studying the results of its latest Quarterly Consumer Survey. ... Read more »
Rising energy bills 'forcing families to cut back on food'
Almost half of families are cutting back on the amount they spend on food because of the rising cost of gas and electricity, research by Confused.com has found. ... Read more »
Banks agree new 'ethical behaviour' code
Some of Britain's leading banks have signed up to a new code of ethical behaviour, which could mean tough sanctions for companies and individuals who don't meet standards, This is Money reports. ... Read more »
Italy: new PM calms fears about debt
Mario Monti (front row, second left) at the XVII Pontignano Conference: "After the crash" in Rome, 2009. Image © British Embassy in Rome (CC 2.0).... Read more »
Mortgage lending 'down in September'
Both mortgages for new house purchase and remortgages fell slightly in September, according to the Council of Mortgage Lenders (CML).... Read more »
'Make do and mend' is back in Britain
Make-do-and-mend was good enough for our grandparents and now, while we face the prospect of another recession, it's good enough for us too!... Read more »
Recession Britain: who's been hit hardest?
Britain's 'North-South divide' has become even wider since the recession began - and this gap is only expected to grow, according to the new 'Regional household exposure to financial stress' index from PricewaterhouseCoopers (PwC). ... Read more »
25% of web users 'bank online daily'
It seems that the convenience and speed of online banking is fast overtaking the High Street, with a quarter of internet users logging on to internet banking every day, research by PayYOURway.org.uk indicates. ... Read more »
Debt Relief Orders: getting started in Northern Ireland
Recently introduced in Northern Ireland, the Debt Relief Order (DRO) seems to be off to a slow start, with 34 people entering a DRO between July and September. ... Read more »
OFT 'to investigate Northern Ireland car insurance prices'
The Office of Fair Trading (OFT) is to investigate car insurance prices in Northern Ireland, after it was claimed that the average premium costs 84% more than in the rest of the UK.... Read more »
58% of homeowners 'have never remortgaged
58% of homeowners have never changed their mortgage outside of moving home, and could be letting years of reduced mortgage payments go to waste, according to new research from Barclays. ... Read more »
86% 'at risk of debt problems if they lost their job'
New research by online insurers British Insurance states that 86% of us don't have employment insurance and would rely on hand-outs from family and friends, savings, benefits, or would get into debt on credit cards if we lost our jobs, as reported by The Telegraph. ... Read more »
Loan rates keep on falling
Not everyone who's looking for a loan will find one, but the good news is that people with a good enough credit rating could find they're offered a loan with a lower rate than they expected. ... Read more »
How safe is mobile banking?
As more and more aspects of our daily lives depend on the internet, the number of bank account providers offering online banking 'apps' has been rising. But is managing your bank account on a smartphone a good idea? ... Read more »
Filling up your car could 'cost £100 by 2015'
Motorists may have to pay as much as £100 for a tank of petrol by 2015, as petrol prices are pushed up due to rising inflation and increasing demand for oil from other countries, myfinances.co.uk reports. ... Read more »
Student Loans Company launches 'finance calculator'
The Student Loans Company (SLC) has launched a 'finance calculator' to help students work out how much funding will be available to them if they attend university. ... Read more »
Couples put off saying 'I do' because of bank balance
The current financial squeeze on many households means couples are putting off saying "I do" and choosing between buying a house and starting a family. ... Read more »
Home insurance: could you save by switching?
We've all heard stories about the value of switching, whether it's bank account, broadband provider, utility company - or home insurance provider. ... Read more »
Government planning to make bankruptcy simpler
Business Minister Edward Davey has announced proposals to 'streamline' the bankruptcy process for individuals and businesses, the Insolvency Service has announced.... Read more »
Bankruptcy figures 'don't give the whole picture'
The latest official insolvency statistics - which showed a significant fall in bankruptcies in the third quarter of 2011 - don't fully reflect the situation many people find themselves in with debt, according to KPMG.... Read more »
Online banking & smartphone scams
Smartphone users are being warned of the risks to their online security in the shape of 'malware' applications, the BBC reports.... Read more »
Credit cards - what's out there?
As Christmas nears, most of us are starting to think about the parties, the presents, the people - and paying for it all!... Read more »
Personal insolvencies fall by 11%
The total number of personal insolvencies in England and Wales fell to 30,219 in 2011's third quarter - an 11% drop compared with the same period in 2010 (33,935), the latest figures from The Insolvency Service show.... Read more »
Greek PM faces confidence vote over debt bailout
Today there will be a parliamentary confidence vote for the Greek PM, George Papandreou, following his calls for a referendum earlier this week on the proposed Greek debt bailout, as reported by the BBC.... Read more »
Many mortgage holders 'better off for reverting to variable rates'
Most homeowners who have automatically moved onto their mortgage lender's 'standard variable rate' after finishing a fixed-rate deal are paying much less as a result, according to the Council of Mortgage Lenders (CML).... Read more »
Eurozone Debt crisis 'likely to lead to new UK recession'
The UK could easily fall back into recession if political leaders don't find a solution to the Eurozone debt crisis - and do it quickly. ... Read more »
Banking customers 'want strong financial watchdog'
Banking customers want a 'strong financial watchdog', but don't believe that the Financial Services Authority (FSA) has gone far enough in helping consumers, new research by Which? has revealed. ... Read more »
Four in ten mortgages 'aren't protected by life insurance'
Four in ten households with mortgages are not covered by life insurance, research by Sainsbury's Life Insurance has found - meaning they could struggle to meet their payments if the main earner in their home passed away.... Read more »
35,000 'will be threatened with homelessness by Christmas'
The homelessness charity Shelter says that every two minutes in the UK, someone faces losing their home. Up to 630 people every day receive a letter threatening legal proceedings that could lead to the loss of their home. According to their figures, that means 35,000 people could face the threat of homelessness by this Christmas. ... Read more »
Don't put your retirement at risk - make pensions a priority
Think Money is urging people to think about how they'll cope financially in retirement, as statistics suggest that some people may be neglecting their own financial future.... Read more »
FSA calls for transparency with packaged bank accounts
The Financial Services Authority (FSA) wants to make sure banks and building societies let customers know whether they are eligible for insurance included with their 'packaged' bank accounts.... Read more »
Mortgage approvals fall in September
The number of mortgage approvals decreased in September 2011, according to the latest lending figures released by the Bank of England.... Read more »
Winter begins - and insurance really counts
As winter begins and we start seeing severe weather, the ABI (Association of British Insurers) has stressed that people who've been affected need to talk to their insurance provider as soon as they can. ... Read more »
What would convince you to choose a bank account?
When you're in the market for a new bank account, where do you look and what do you look for? ... Read more »
Markets fall after Greek debt crisis referendum
European markets have fallen after yesterday's announcement of Greece's referendum on the latest plans to solve the country's debt crisis.... Read more »
Bank of England: loans up by £500 million in September
Borrowers took on around £0.5 billion more in loans ('other loans and advances') than they repaid in September, according to the latest figures from the Bank of England.... Read more »