April, 2011 news
Energy customers given 30-day notice of price rises
Starting from today, billpayers must be given at least 30 days` notice of any price rises on their energy tariffs, under new rules set by industry regulator Ofgem.... Read more »
Predicted rise in number of homeowners struggling with loans
The CML (Council of Mortgage Lenders) has said it expects to see an increase in the number of homeowners falling behind with their home loan payments this year - jumping from 169,000 in 2010 to 180,000 in 2011, The Telegraph reports.... Read more »
Scotland has six towns in the `bankruptcy top ten`
According to figures from Experian, Scotland has six towns in the `bankruptcy top ten` - with people living in Kirkcaldy, Livingston and Glenrothes twice as likely to face bankruptcy because of their debts as people anywhere else in the UK, thescottishsun.co.uk reports.... Read more »
Mortgage approvals at 8-month high in March
In March, the number of mortgages approved hit an eight-month high. According to figures from the British Bankers` Association, it seems would-be homebuyers are starting to `return to the market ahead of the traditional spring bounce`.... Read more »
`Sharp` drop in consumer confidence in April
Consumer confidence has fallen even further, GfK NOP has revealed. The market research group uses five measures to track consumer confidence - and it tells us that all five of them have fallen in April.... Read more »
Four fifths of consumers `have changed spending habits`
More than four fifths of consumers have changed the way they spend their money over the last year, according to research by insolvency trade body R3.... Read more »
PlayStation Network users urged to watch bank accounts
Following an online security breach, which may have led to around 70 million users` personal details being stolen, Sony has urged users of its PlayStation Network to watch their bank accounts in the coming days, the Independent reports.... Read more »
Banks `set to increase cost of credit cards`
The cost of using credit cards is likely to increase in the reasonably near future, according to the Express.... Read more »
Personal insolvencies in Scotland continue to fall
According to figures from Accountant in Bankruptcy (AiB), the number of Scottish residents declared insolvent because of unmanageable debts fell again during the first quarter of 2011.... Read more »
Budgeting most powerful weapon against debt
Setting a budget is "probably the most powerful financial weapon in the fight against debt".... Read more »
How far does insurance extend?
When it comes to insurance, many homeowners will take great care to make sure the inside of their home is fully covered - but what about the outside?... Read more »
Servicing a mortgage debt `now cheaper` than paying rent
Research has revealed that following a drop in the rates charged on mortgage debts over the last three years, an average three-bedroom property now costs £608 a month in mortgage payments compared with £709 in rent, The Telegraph reports.... Read more »
`Cheaper mortgages` could be here soon
The minutes from the Bank of England`s Monetary Policy Committee`s April meeting have `quashed rumours` of an `imminent` base rate rise - leading to mortgage market insiders hinting that the mortgages on offer could become cheaper over the coming weeks and months, the Independent reports.... Read more »
Mortgage lending up 21% in March
Mortgage lending was up 21% in March, growing from £9.3bn in February to a total of £11.3bn, figures from the CML (Council of Mortgage Lenders) have revealed.... Read more »
One third `don`t know why they were turned down for credit card`
One in three consumers who have had a credit card application turned down in the last year have no idea why they were rejected, according to Equifax.... Read more »
Debt in retirement: a look at Canada
In January, a survey by Prudential revealed that one in five people entering retirement in the UK this year will still be carrying an average debt of £33,000.... Read more »
Students will need larger loans to cover tuition fees
Following the announcement that three out of four universities plan to charge £9,000 a year for tuition fees, students will have to take out larger loans to cover the cost of their studies.... Read more »
One in seven couples near retirement has a second home
According to figures released by the Office for National Statistics (ONS), one in seven couples approaching retirement has a second home, the Daily Mail reports.... Read more »
`The American Way` - credit card debt `has become normal`
Researchers at Oregon State University have found that younger Americans are being encouraged to use credit cards and take on debt by their parents, upi.com reports.... Read more »
No change in base rate vote, MPC minutes show
There was no change in voting at this month`s Bank of England Monetary Policy Committee (MPC) meeting, minutes from the meeting show.... Read more »
`Quiet quitters` could be saving on life insurance
Some ex-smokers are paying a combined £316 million a year more than necessary because they haven`t told their life insurance provider that they`ve kicked the habit, according to Sainsbury`s Finance.... Read more »
Cost of bankruptcy to rise
The Insolvency Service has announced an increase in the cost of entering bankruptcy.... Read more »
Crackdown on vehicles without insurance
New regulations will mean it`s an offence to keep - not just to drive - a vehicle without insurance.... Read more »
Millions left in forgotten bank accounts
The Consumer Council is working with the Ulster Bank in Northern Ireland to encourage people to search for old bank accounts they no longer use that may still have money in them, UTV reports.... Read more »
Raising bank rate too soon could be `disastrous`
Economists may be concerned about the rate of inflation in the UK, but that doesn`t mean they`re all calling for the same response from the Bank of England. ... Read more »
Household debt up amidst job security concerns
The latest Markit Household Finance Index has revealed that 36% of households experienced a `worsening in their finances` last month, while just 7% experienced an improvement, The Telegraph reports.... Read more »
14% rise in mortgage fraud since recession
Figures from credit rating agency Experian have revealed that mortgage fraud has increased by 14% during the `fallout` of the recession, The Telegraph reports.... Read more »
Paying by credit card `increases low-cost air fares`
Air fares on `budget` airlines cost on average a third more than advertised because of hidden charges, new research has found.... Read more »
Average rents rise as FTBs struggle to secure home loans
According to the LSL Property Services buy-to-let index, average rents are now 4.2% higher than they were last year, as first-time buyers (FTBs) struggle to secure home loans and get a foot on the property ladder, the Guardian has reported.... Read more »
Debt levels amongst men `higher than amongst women`
The average level of personal debt amongst men is higher than it is for women, research by moneysupermarket.com has found.... Read more »
Bank of England`s rate-setter: inflation could pass 5%
Inflation is likely to keep rising, and could exceed 5% in the near future, according to Bank of England Monetary Policy Committee (MPC) member Andrew Sentance. ... Read more »
Irish banks could write off some mortgage debt
In the Republic of Ireland, three major mortgage providers have said they would consider writing off some mortgage debt in certain circumstances.... Read more »
State-funded loans for students at private universities
From 2021, students studying at private in universities in England will be eligible for state-funded loans of £6,000 to cover the cost of their tuition fees, the BBC reports.... Read more »
One in ten don`t save because of high inflation
Research by moneysupermarket.com indicates that nearly one in ten Britons have stopped contributing to a savings account this year because of the strain high inflation is putting on their finances.... Read more »
Using RPI for loans will leave graduates deeper in debt
The TUC (Trades Union Congress) has warned that continuing to set interest rates on student loans using the RPI (Retail Prices Index) rather than the CPI (Consumer Prices Index) will leave graduates `thousands of pounds deeper in debt`.... Read more »
Car insurance prices rising
The AA and Confused.com have both released studies showing year-on-year increases in the average cost of car insurance. ... Read more »
Base rate could stay at 0.5% for longer after drop in inflation
Last month`s fall in inflation from 4.4% to 4% could lead the Bank of England to hold its base rate at 0.5% for longer than many economists had previously expected. ... Read more »
ICB: switching bank accounts should be easier
The Independent Commission on Banking (ICB) has said it should be easier for consumers to switch their bank accounts, The Telegraph reports.... Read more »
Bank reforms could add to the cost of debt
Yesterday, when the Independent Commission on Banking (ICB) announced possible changes to the banking system in the UK, it said that those reforms would make the system safer - but would also add to the cost of overdraft debt and mortgages, among other things.... Read more »
Half of mothers have no life insurance
Almost half of mothers don`t have any life insurance, new research indicates. Despite the importance of protecting the family`s finances like this, the mums who were questioned gave a range of reasons why they`d not sorted it out.... Read more »
Changes to banking system proposed
The biggest banks in the UK should change the way they operate, to avoid the need for another bail-out.... Read more »
The UK national debt: £138,360 per household
The Centre for Policy Studies (CPS) has revealed that the country`s national debt is the equivalent of £138,360 for each household in the UK, the Daily Mail reports.... Read more »
Mortgage lending remains low
Figures from the Council of Mortgage Lenders (CML) have revealed that mortgage lending is `still running at very low levels`, the BBC reports.... Read more »
Loyalty rewards `main reason for switching credit card`
Loyalty rewards are the main reason for switching credit cards, according to research by Sainsbury`s Finance.... Read more »
Borrowers may face higher loan rates after bank review
Experts have warned that consumers wanting to take out loans (and other forms of credit) may face higher rates under Government plans to allow financial institutions to fail, The Telegraph reports.... Read more »
Increase in depression `may be linked to debt worries`
Financial worries may be leading to mental health problems for many people in England, according to experts.... Read more »
Bank of England holds base rate for 25th month
The Bank of England`s Monetary Policy Committee (MPC) has once again decided to hold its base rate at 0.5%, despite continued concerns about rising inflation.... Read more »
Rising mortgage costs unlikely - for new
Homeowners with a variable-rate mortgage may well be worried about potential increases in the base rate. After all, it`s a story that keeps appearing in the papers and on the news, especially in each run-up to the Bank of England`s monthly decision on the base rate.... Read more »
Irish homeowners bracing themselves for home loan rate hikes
Many homeowners in Ireland are bracing themselves for the first of three predicted interest rate rises that will add to the cost of their home loan repayments, independent.ie reports.... Read more »
Bank accounts - why it pays to act fast with your cash ISA
Yesterday marked the beginning of the new tax year, and savers who act fast by investing in a cash ISA (Individual Savings Account) could end up much better off, research by Fair Investment Company has revealed.... Read more »
Almost a third `have received incorrect energy bills`
Comparison website uSwitch.com says that almost a third of households (27%) have received incorrect energy bills in the last two years - leaving many in debt without even realising.... Read more »
`Coping classes` clearing debts amidst unemployment fears
According to research by financial group Friends Life, middle-income earners - known as the `coping classes` - are focusing on clearing their debts amidst fears they will not be able to provide for themselves if they should become long-term unemployed, The Telegraph reports.... Read more »
Travel insurance could cover cost of cancelled flights
Travellers who could be affected by forthcoming strike action by British Airways cabin crew have been advised to make sure they have adequate insurance to cover any losses caused by cancelled flights.... Read more »
Treasury Committee: switching bank accounts should be easier
A report from the Treasury Committee claims that retail banking is not competitive enough - and has highlighted the difficulties many people face when switching bank accounts as one reason for this.... Read more »
Record amount of mortgage debt paid off
Last year, homeowners paid off a record amount of their mortgage debt in the final quarter of the year.... Read more »
Going away? Don`t forget insurance.
For anyone going on holiday, insurance should be on their to-do list, if it`s not already arranged.... Read more »
Credit card borrowing shows slight annual increase
Credit card borrowing increased by 3% in January, compared with a year earlier, according to figures from the Finance and Leasing Association (FLA).... Read more »
End of the tax year - some information about bank accounts
The 2010/2011 tax year draws to a close today, and many bank account holders will be wondering what will happen with cash ISAs (Individual Savings Accounts) as we move into the new tax year.... Read more »
Bank of England predicts rising mortgage defaults
The Bank of England has warned that the number of people defaulting on their mortgage payments could increase over the next few months, following an unexpected increase in the first quarter of 2011.... Read more »
Bank urged to hold off on base rate rise
Despite worries about rising inflation, the Bank of England is not expected to raise the base rate this week, a Press Association press release tells us.... Read more »
Families face `spiralling debt crisis` over next four years
Official figures from the Office for Budget Responsibility (OBR) have revealed that families will face a `spiralling debt crisis` over the next four years as the Government austerity programme takes effect, the Guardian reports.... Read more »
EU mortgage Directive - what does it mean for borrowers?
A proposed EU (European Union) Directive will - if passed - offer mortgage borrowers more protection through stronger regulations regarding mortgage advertising, advice, creditworthiness assessment, pre-contractual information, and early repayment.... Read more »
Defaults on mortgage debt `could rise in coming months`
An unexpected increase in the number of mortgage defaults in the first quarter of 2011 has led the Bank of England to warn that even more people could struggle in the coming months.... Read more »