The material on this website is for information only
and is not intended as any recommendation or endorsement of any products or companies mentioned. We are not licensed by the FSA to give financial advice, and none of the material on this website constitutes or is intended to constitute financial ...
News
Financial TimesBank of Mum and Dad mortgage a sign you should wait to buyFinancial TimesAnd, given the bottomless pit of cash demanded by their elders' defined benefit pension schemes, the wages of the under-45s working for many of the UK's companies are showing pretty feeble growth rates too. ... (which effectively brings the nil-rate ...and more »
Hargreaves LansdownWhy Napoleon's to blame for IHT and expert tips on reducing taxHargreaves LansdownHargreaves Lansdown has a team of 85 Financial Advisers across the UK who can help you navigate the new rules, minimise the tax payable and increase the amount to be paid to your loved ones. Tax rules can change and any benefits depend on personal ...
Almost half of 0% credit card borrowers fail to clear the balance before deals expire and end up paying £267This is MoneyBorrowers in the UK currently have a whopping £60.54 billion balance on credit cards collectively but only 41 per cent of this, £25.2billion, is on an interest-free credit card, according to a seperate study by financial services research firm ...
In the papers: Airbnb, BHS, Whyte & MackayProactive Investors UKReckitt Benckiser Boss apologises for South Korean disinfectant deaths: Rakesh Kapoor, the Chief Executive of Reckitt Benckiser, issued a personal apology for 96 deaths in South Korea, one day after the region's biggest retailer called for a boycott of ...and more »
Yahoo Finance UK10 things you need to know in markets todayYahoo Finance UKBy Oscar Williams-Grut | Business Insider UK Finance – 30 minutes ago ... The Telegraph reports that the Topshop owner has written to Frank Field MP and Iain Wright MP, chairman of the House of Commons Work and Pensions and Business committees ...and more »
Have you met...
Latest Members:


Tania Bae


peuores


DeanWatriama


afnan36


girlagogo


aksawy


walaa

 

To Save or To Clear the Debts?

You may have noticed that your savings aren’t doing a lot to pay their way these days. Pensioners are badly hit as many of them use the interest from their life savings to pad out the weekly amount they get from the state. Many mortgage payers are happy as their payments have come down, but just about everyone else with savings is in the situation where the real value of their money is falling because interest payments aren’t as high as inflation.

 The average rate for UK instant access accounts including current accounts was around 0.17% at the end of February and we’ve had another cut in the Bank base rate of half a percent since then. Despite that, with credit hard for many people to come by; credit limits being cut by the card companies and worries about job losses, if you can, it’s best to have some savings on hand for an emergency. And the latest figures show that people are saving more. There’s nearly £1,000 billion of savings in our banks and building societies and another £90 billion in National Savings.  

In terms of interest you may as well keep your money under the bed – but then that’s probably the first place a cash strapped burglar is going to look. Fixed rate bonds pay slightly higher rates than instant access accounts. National Savings and Investments products are increasingly popular because people want to know their money is safe whatever the interest rates and they have a 100% government deposit guarantee. It’s never been more important to shop around and don’t be slow to move your money to higher interest rate paying accounts. Keep a close check on any accounts you do have to see what interest you are being paid. The financial pages of the newspapers are good for advice on which accounts are paying the best rates but these change frequently. 

Once you’ve got your emergency fund in place if there’s any money left over think about clearing expensive debts. There’s no point in having a lot of money sitting in an account getting 2.5% interest if you’re paying off loans or credit card accounts at interest rates in the high teens and 20’s. Homeowners are paying off their mortgages too. Some who’ve seen their monthly payments fall are continuing to pay at the old rate so that they clear their mortgages more quickly.

If you have a lot of savings think about getting some financial advice. Your money may not be doing as well for you as it could and a good Independent Financial Adviser can be worth his or her weight in gold. Visit more than one and choose the advice you feel happiest with. Family, friends and colleagues may be able to recommend advisers they’ve used and found helpful.

If you’re lucky enough to have money to put aside it’s time to take stock and nurture it so that it can nurture you back in the future.

Advertise with us  |  Privacy  |  Terms & Copyright                                                                                     Website maintained by USP Networks