December, 2011 news
More mortgages for low deposits - but should you wait?
Leeds Building Society this week became the third mortgage lender in the current market to offer mortgages requiring only a 5% deposit - in a move that could help more first-time buyers get a foot on the housing ladder. ... Read more »
No recession please, it's Christmas
One way to measure how much money people are spending is by looking at ATM withdrawals. Link, one of the better known cash machine providers in the UK, says that £7.6 billion was withdrawn from ATMs so far this December, as reported by The Telegraph. ... Read more »
Payday loans: applications 'more than quadruple'
Micro-loan lender Ferratum has revealed that four times as many people applied for a payday loan during the last fortnight than in the whole of last month, with the majority of borrowers aged between 18 and 35. ... Read more »
Booby traps - no substitute for home insurance
Research by insurance provider MORE THN has revealed that more than half of British households are considering setting up 'booby traps' to protect their home from burglars over Christmas. ... Read more »
You don't have to be young to be in debt
Debt isn't something that only youngsters worry about. People of any age can end up in debt, struggling to repay the money they owe. ... Read more »
Want to see your credit history for free?
Callcredit, one of the UK's main credit reference agencies, is now giving everyone in the country access to their personal credit record without having to pay for it. ... Read more »
Christmas 'will send one quarter of us into debt'
A recent survey by uSwitch.com asked consumers whether they thought they'd end up in debt because of Christmas. Just over one quarter (27%) said they would. With so much pressure to spend at this time of year, it's possible that people feel pressure to borrow money for the 'perfect day'. ... Read more »
Christmas can be enjoyable AND affordable
Think a good Christmas is always an expensive Christmas? Think again. Financial solutions company Think Money has been offering its tips on how families can enjoy the special time of year without feeling the effects for months to come.... Read more »
ECB loans could help to shore up eurozone
The European Central Bank (ECB) will offer three-year loans to banks in a move it hopes will help restore confidence in investing in the eurozone, the BBC reports. ... Read more »
OFT tackles 'confusing travel money charges'
The Office of Fair Trading (OFT) has won agreement from banks and travel money providers to improve the information about available options for consumers buying foreign currency in the UK, or using debit and credit cards abroad. ... Read more »
OFT recommends 'transparency' for overseas fees
The OFT has recommended that banks make it easier for customers to find out how much they would be charged for using their credit card abroad. Banks are also going to scrap some of the charges for people who buy foreign currency, as reported by The Telegraph.... Read more »
Last-minute Christmas pressure 'hits peak' today
With less than a week to go before Christmas, many people are starting to feel the pressure of last-minute gift buying.... Read more »
Car loans for new vehicles 'on the rise'
October saw a 6% increase in the number of brand new cars bought on finance, according to new figures from the Finance & Leasing Association (FLA).... Read more »
Insurance tips for the festive season
Santa won't be the only one writing a list this Christmas. If last year's anything to go by, we could see ten thousand insurance claims for burglaries that take place over the festive period. Follow these tips from the Association of British Insurers (ABI) and hopefully you won't start 2021 by making a list of things you've had stolen!... Read more »
Spending money 'falling' in run-up to Christmas
The amount the average person had available to spend fell in November, according to research by Lloyds TSB, as incomes failed to keep up with the rising cost of living.... Read more »
Chancellor 'to accept Vickers' banking report'
The FSA (Financial Services Authority) has announced a set of proposals designed to prevent a repeat of the 'risky mortgage lending' we saw in the run-up to today's economic problems.... Read more »
New mortgage rules 'ensuring common sense'
The FSA (Financial Services Authority) has announced a set of proposals designed to prevent a repeat of the 'risky mortgage lending' we saw in the run-up to today's economic problems.... Read more »
Euro crisis: Six major banks have credit rating downgraded
Six of the world's major banks have had their credit rating downgraded, as they struggle to keep up with high levels of debt. ... Read more »
CML makes mortgage predictions for 2021
What will happen with mortgages in 2021? It's a question many existing and potential homeowners are asking as we come to the end of a difficult year for the housing market. And according to the of Mortgage Lenders (CML), there are further challenges ahead. ... Read more »
Slight drop in rental prices in November
Many renters will be relieved to hear that rental prices in England and Wales dropped for the first time in 10 months in November, as reported by the BBC. ... Read more »
OFT car insurance study to investigate sharp price increases
The Office of Fair Trading (OFT) is looking into why car insurance premiums appear to have risen sharply in recent years. ... Read more »
Co-op 'preferred buyer' of Lloyds bank branches
Lloyds has said its preferred buyer for the sale of 632 of its bank branches is the Co-operative Group, the BBC reports. ... Read more »
Euro debt crisis and the UK's contribution
The 27 members of the EU are expected to commit another €200 billion to the IMF (International Monetary Fund) to help tackle the debt crisis - but Britain won't be committing as much as some countries expected. ... Read more »
FSA: banks should advertise Financial Services Compensation Scheme
The FSA wants to make sure bank account holders and savers know exactly what protection they will receive against their bank failing, by forcing their account providers to display how much financial compensation they could claim. ... Read more »
Many Brits 'prefer not to deal with debt face-to-face'
An online survey conducted by YouGov, on behalf of Intelligent Environments Online, suggests that 25% of us would rather deal with our debts online than in person and 21% would prefer to use email, Mortgage Finance Gazette reports. ... Read more »
Payday loans, adverts and the OFT
As Christmas approaches, some payday loan providers are facing action by the OFT (Office of Fair Trading). An article on the BBC website tells us more. ... Read more »
Mortgage payments 'most affordable for almost 8 years'
Figures from the Council of Mortgage Lenders (CML) for October 2011 have indicated that monthly mortgage payments for first-time buyers in that month were the most affordable they've been for nearly eight years - largely as a result of ongoing low interest rates. ... Read more »
Cold morning? An insurance warning.
Nobody likes getting in a freezing car on a freezing morning, but the alternative could be much worse - leaving your car to warm up could mean your insurance won't cover you. ... Read more »
Scots 'at end of tether' dealing with debt
The recession has had a big impact on many people's finances. According to Citizens Advice Scotland (CAS), Scottish residents are at the 'end of their tether' over problems with debt, welfare and benefits. ... Read more »
Inflation drops to 4.8%
The Office for National Statistics (ONS) released the inflation results for November today. In November the consumer prices index (CPI) measure of inflation was 4.8% and had dropped from 5% in October. However, this is still well above the Bank of England target of 2%. ... Read more »
How safe are peer-to-peer loans?
With lenders getting stricter about offering loans in recent years, we've heard a lot about the rise of payday loans - a quick and convenient, but often expensive, way to borrow money. However, there's a third option that is becoming increasingly popular - peer-to-peer loans. ... Read more »
Time for a challenger to bank cards?
They say that 'time is money', and a new wristwatch equipped with contactless payment technology could make this more of a reality, The Independent reports.... Read more »
Credit cards at Christmas
When Christmas comes around, plenty of us will run into more expenses than we expected. If and when that happens, it's often tempting to turn to some kind of borrowing - something which a third of us will do this year, a recent study indicates. ... Read more »
Analysis highlights bankruptcies per county
A debt charity, the Consumer Credit Counselling Service (CCCS), has highlighted some figures showing which British counties were worst hit by bankruptcy in 2009 - and the results may surprise you. ... Read more »
Mortgage approvals 'hit two-year high'
Mortgage approvals have hit their highest level in almost two years, thanks to the "loosest mortgage lending conditions seen since the Lehman collapse", according to the latest e.surv Mortgage Monitor. ... Read more »
Just 30% think they'll need to save for care in old age
New international research from Bupa has revealed that less than a third of people in the UK think they will need to put money aside for their care costs in old age. ... Read more »
Record number of shoppers 'will use online vouchers'
Christmas has traditionally been a time of prosperity for retailers, and in the current economic climate they are using vouchers and discount codes to get people buying in droves, as reported by The Telegraph. ... Read more »
Euro crisis: a threat to UK too
The Euro debt crisis isn't just affecting the Eurozone. The health of mainland Europe's economies is extremely important to the UK, and their debt problems are having a major impact on our own fortunes. ... Read more »
Campaigners discuss reforms with banking boss
Last night, some of the Occupy protesters who've demonstrated outside St Paul's Cathedral since October met the head of the Financial Services Authority (FSA) to talk about proposed changes to the way the banking system is regulated, according to The Independent. ... Read more »
Icy weather ahead: do you have the right car insurance?
Icy conditions have been a cause of more than 1.3 million road accidents in the last five years, according to research by Sainsbury's car insurance.... Read more »
3.5 million 'could turn to payday loans'
R3, the insolvency trade body that represents "professionals working with financially troubled individuals and businesses", says 3.5 million people are considering taking out a payday loan over the next six months. ... Read more »
60% of Britons 'worried about their debts'
60% of Britons are worried about the amount of debt they're carrying, and 45% find they struggle to make their money stretch until payday. ... Read more »
Euro crisis: Bank of England announces emergency lending facility
The Bank of England has announced a new short-term lending facility that could help limit the impact of a deterioration in the eurozone debt crisis. ... Read more »
Lenders' forbearance 'eases mortgage arrears'
Banks and building societies have helped homeowners struggling with mortgage arrears by easing their repayment terms, according to the Financial Services Authority (FSA). ... Read more »
ABI asks banks to 'rethink remuneration'
The Association of British Insurers (ABI) has written to the big four banks, Lloyds Banking Group, Barclays, Royal Bank of Scotland and HSBC, asking them to change how they determine pay packets, and in particular, bonuses. ... Read more »
Christmas parties: an insurance warning
Christmas might be a time of year when people get together for some fun, but anyone who's getting carried away with the celebrations should think it through before they order another drink. A conviction for drink driving could cost drivers dearly - aside from the physical risks and the thought of paying a fine (of up to £1,000), they're also likely to face a big hike in their insurance costs. ... Read more »
Low income families facing a 'cut-price Christmas'
Many low income families may have to cancel Christmas this year, as pressure on family finances grows, according to a report from Family Action. ... Read more »
Borrowers 'ditching store credit for credit cards and loans'
The amount of money lent to consumers increased in September, according to the Finance and Leasing Association (FLA) - but it seems that people are turning away from High Street lending, such as store instalment credit, in favour of credit cards and loans. ... Read more »
The real cost of unauthorised borrowing
Some UK banks are charging their customers 'eye-watering' interest rates for exceeding their overdraft limit, the BBC reports. ... Read more »
Credit cards: plastic spending hits a new record
In October this year, we used our plastic - credit cards and debit cards - more than ever before. ... Read more »
Savings: research reveals 'north/south divide'
Savers in the south of England have savings of 13% more than their northern counterparts, on average, according to research by Halifax. ... Read more »
Autumn statement: cutting stamp duty concession could hit first-time buyers
One of many announcements in this week's Autumn Statement by Chancellor George Osborne was that the concession on 'stamp duty' for first-time buyers would be stopped next March, because the Government believes it is ineffective. ... Read more »
Average household debt stands at £7,984
The average UK household owes £7,984 of debt (excluding mortgages), according to Credit Action's latest 'Debt Facts and Figures' report. ... Read more »
Spread your savings to keep them safe, says FSCS chief
Savers and bank account holders have been advised to protect their money by making sure their account balances don't exceed the limit for the government's compensation scheme, the Guardian reports. ... Read more »
Secured debt rose in October
This October, the amount of debt we're collectively carrying saw a serious increase, as secured debt grew by more than we've seen in any month since January this year. The Bank of England's latest 'Lending to Individuals' figures supplied the details. ... Read more »
Uninsured drivers: court fines 'too soft'
Courts are "too soft" on uninsured drivers, says the AA - after it was revealed that the average fine handed out to motorists who drive without car insurance is just £200. ... Read more »
Britons 'will be worse off in 2015 than 2002'
People in the UK will have lower incomes in 2015 than they had in 2002, as the nation continues to struggle with a serious squeeze on living standards, according to the Institute for Fiscal Studies (IFS). ... Read more »