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Tagged: Business, Finance, Marketing, Niche(Cue crickets chirping.)
This blog has been unseasonably quiet, not because I no longer care, but because I’ve been occupied elsewhere. A good chunk of my time has been divided between updating…
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Lending growth slows in August, BoE reveals
Tagged: Finance, Loan, Loans, UKAccording to the BoE, growth in the amount borrowed slowed to 6.2 per cent, while the three-month annualised growth rate declined by one per cent to 2.6 per cent.
Brits unaware of mortgage details
Tagged: Finance, MortgagesCar Insurance
Tagged: Finance, InsuranceCar insurance is as we all know a compulsory part of owning and driving a car on British roads. With the market being in constant battle with each other in regards to offers, discounts, rates and extras there are more options that you can shake a gear stick at.
If you have a young adult who has recently passed their driving test, or a friend who needs to borrow your car for a one off trip or perhaps even a co worker needing to borrow your car for a business trip over a weekend, and you have been generous enough to agree to lend them your motor, you will probably be thinking about insurance.
If you choose to add an extra person to your policy, you not only add to your payments you also still run the risk of losing your no claims bonus even if you are not in the car when it gets damaged. Is the idea of losing all that hard earned discount makes your stomach turn you will be relieved to hear you can purchase “temporary car insurance” for a period of one to twenty eight days.
The basic rules that go along with this arrangement is that the driver must be at least twenty four years old and hold a full driving licence accepted within the EU. Any claims that happen during this period of insurance is covered solely by that insurance policy, so the car owners no claim bonus is un effected and perfectly dent free!
This type of policy is ideal for those who have passed their test and already own a car, but are yet to find their perfect insurance policy. They are free to drive around without worrying about damages and accidents while they find the best deal for their particular circumstances.
Car insurance offers are all around us in this competitive market. Keep your options open when it comes to insurance, there are more car insurance quotes
Still Get a Loan
Tagged: Finance, Loan, LoansIt is unfortunately true that a lot of us within the United Kingdom are really feeling the pinch of the credit crunch and the pennies just don’t seem to want to mount up for anything at all. If you are trying to get enough money together to make that special purchase such as for a new car, a caravan or that amazing holiday with family, there is still a way to finance it without choosing one of the un rewarding loans in the bank shop window.
Even though it is probably hard to believe the financial experts are convincing us that there are still some decent and fair loans on offer, it’s just you will have to look a little longer and harder and perhaps at come less well known names instead of the high street banks and building societies we are more used to. Some of the more famous banks are charging a shocking 12% more than the most competitive loan offers out there!
Did you know that with a lot of big banks only 66% of people get the rating of interest and APR that’s advertised on the posters? The rest will be offered either more or less than advertised depending on their individual situations and financial history. So, due to this, it’s often even worth seeing what these banks will offer if there is no other option if you have a good credit rating.
If you manage to get a great deal be sure to only take out the amount you need, and to work out how much that is in advance so you are not left in the lurch either way of having too little or too much. It is always important that you make sure you are going to be able to comfortably make all the repayments each month, as you simply won’t enjoy your new “toy” if you are always worrying about how to pay for it!
If you are looking to get your hands on that dream car look into amazing holiday caravans, you can still grab a great deal on loans. Believe it or not, cheap loans are not a thing of the past just yet.
Debt is A National Problem
Tagged: Debt, Finance, UKDebt. It’s something we are reading and hearing about more often every day that goes by. With the UK’s debt currently over £1,430bn it is hardly a surprise that more of us are feeling the squeeze and are in need of help.
Did you know that, excluding mortgages, the average household in the United Kingdom is in debt to the extent of £9000 - £12,000? And to make the fact even harder to swallow, more and more people in Britain are getting into serious debt every day.
Debt consolidation was, for a long time, seen as a desperate last resort and was generally frowned upon. This attitude is changing, with people beginning to realise that the sooner you decide to bit the bullet and consolidate the sooner you can get on your way to be debt free and stead on your feet again.
With modern culture’s use of media on TV, the internet and pretty much every public place you see offering “buy now, pay later”, loans, credit cards and similar products it should not be a surprise that the personal debt of people in the United Kingdom goes up by approximately £1 Million a minute! And with the stomach wrenching feeling of having another brown envelope hit the door mat or ignoring the ringing phone in case it is somebody demanding payments being all too familiar to many people in Great Britain, debt consolidation is thankfully an option you can take to help you sort your financial problems, and your life, out.
In layman’s terms, debt consolidation means you contact all of the companies that you owe money to and request a settlement figure. Collect these together and calculate the full amount. You would then apply for a loan from whoever is offering the best rate, and pay back your debts, in full, with this amount. You then only have one, although significantly larger, monthly repayment to take care of. This is obviously much more manageable and easy to keep track of.
However, if you have a bad credit rating you may find it difficult to be accepted for a debt consolidation loan. If this is the case, you may need to approach one of the many specialist debt companies who would offer you the money and take care of the settlements for you. Unfortunately there is a catch. Most of these companies will charge you a high interest rate, so you will eventually be paying more than you originally owed in the first place. However, you will be paying a lower monthly repayment which is easy to track and keep on top of, usually meaning an easier life for you.
Consumers urged to shop around as personal loan rates surge
Tagged: Finance, UKConsumers urged to shop around as personal loan rates surge
by Kay Murchie
Figures from price comparison website, uSwitch.com, has found that lenders are continuing to increase their cost of personal loans with interest rates surging.
In the last month alone, personal loans from Black Horse, part of the Lloyds TSB group, have increased by up to nine percentage points, to 36.9%, according to uSwitch.
Prior to the hike, a consumer borrowing £2,000 over two years would have paid £632 in interest. At the new, higher rate, the interest figure would be around £857.22 - an increase of 35%.
According to uSwitch, as well as personal loans becoming more costly, they are also becoming elusive as just 52 loans are now available, down from 56 in the last month.
The news comes despite the fact that the Bank of England has lowered interest rates by three-quarters of a point to 5% since last September.
The Monetary Policy Committee (MPC) is to meet on Wednesday with an announcement on Thursday lunchtime, and many economists believe that a quarter point reduction is inevitable this month.
However, whether or not the reduction will be passed on to the consumer, is the question many will be asking.
Discuss this in the Finance Markets forums
Story link: Consumers urged to shop around as personal loan rates surge
Slowing economy sends car sales plummeting
Tagged: Finance, UKSlowing economy sends car sales plummeting
by Kay Murchie
More evidence of consumers tightening their purse strings is unveiled today after figures from the Society of Motor Manufacturers and Traders (SMMT) reported that car sales plummeted 21% in September compared with last year.
September is a major month for car dealers, due to the introduction of new registration plates in August.
However, in the wake of the credit crunch, consumers have continued to cut back on non-essential items. The fall in car sales follows a similar decline in August and, as a result, car sales for the year are down 7.5%.
Sales of some luxury models fell, with purchases of Bentleys down by 48% - at 153 compared with 293 last year, while sales at Land Rover have almost halved to 4,907 from 9,756.
This is the fifth month that car sales have dropped and as a result, the SMMT is calling on the Government to take action to restore confidence
The figures from the SMMT show what a devastating affect the economic slowdown is having on the UK car market. Production is being cut back and last week it was announced that carmakers, Ford and Land Rover, had introduced a four-day working week blaming the tough economic climate for the decision.
Paul Everitt, SMMT’s chief executive, said the Chancellor’s pre-budget report should set out steps to improve demand for new fuel-efficient cars and abolish plans for unfair increases in car tax.
In related news, 600 employees at LSUK, a car parts supplier in Sheffield, were made redundant today.
LSUK had been bought by rival Euro Car Parts (ECP) last week in the hopes that it would be saved. However, a spokesperson for ECP said it was impossible to continue with investment without the required support, which was not forthcoming.
Discuss this in the Finance Markets forums
Story link: Slowing economy sends car sales plummeting
FTSE plummets amid another eventful weekend
Tagged: Finance, UKFTSE plummets amid another eventful weekend
by Kay Murchie
It has been yet another weekend full of news in the banking sector which has sent shares in London and Europe crashing.
Meltdown Monday saw the FTSE 100 index down by over 6% by mid-morning to 4675 - a fall of 304.6 points. Banks including HBOS fell 32p, while RBS lost 26p.
Across the Atlantic, the US $700 billion (£380 billion) bailout plan was finally approved late on Friday night, but quite how effective the package is on everyone’s mind.
In the euro zone, German Chancellor Angela Merkel has announced it is to guarantee all retail savings deposits. However, the announcement rocked its fellow European nations after French President Sarkozy is seeking the support of European leaders for a €300 billion (£237 billion) bailout fund to rescue struggling banks throughout Europe.
The move from Germany came after one of the country’s largest lenders, Hypo Real Estate, struggled to stay afloat.
In the meantime, Icesave, an arm of Landsbanki, the Icelandic bank, has experienced a glitch on its website.
According to The Times, savers were unable to withdraw money online but were allowed to view their accounts. The Icesave website said it had been experiencing problems over the last 12 hours but the matter has now been resolved.
The news of Icesave comes as the country has announced a financial package in a bid to boost its struggling banking sector.
Geir Haarde, Iceland’s Prime Minister, said the country’s biggest banks have agreed to sell off some of their overseas assets and bring them back to Iceland. As well as boosting the economy, it is hoped that the move will prevent the Icelandic currency, the krona, from falling any further.
Last week, it was announced that Iceland’s third largest bank, Glitnir, was nationalised after it faced short-term funding problems. It was the first bank in the country to be nationalised since the start of the credit crunch.
Discuss this in the Finance Markets forums
Story link: FTSE plummets amid another eventful weekend
Santander: White Knight or What?
Tagged: Finance, UKSantander: White Knight or What?
by Gill Montia
A crisis might be a time for action rather than questions but with the scale of the problems facing the UK banking sector escalating, one particular question regularly bubbles to the surface.
Is Grupo Santander any more likely to emerge from the credit crisis in sound shape than some of its failing European rivals?
Santander became a household name in the UK when it acquired Abbey for £9.5 billion, back in 2004.
In July of this year it rescued troubled mortgage lender, Alliance & Leicester, and is now taking ownership of Bradford & Bingley’s savings business and branch network.
The reasons for Santander’s confidence in these troubled times are well known.
It is predominantly a retail bank and its conservative investment strategies left it clear of exposure to the US sub-prime mortgage fiasco.
In addition, its profits have been bolstered by the acquisition of businesses in the fast growing economies of Latin America.
Last year, the group emerged from its joint purchase (with RBS and Fortis) of Dutch Bank ABN Amro, with ABN’s asset management business in the region.
On the downside for Santander, the collapse of the Spanish property market will inevitably impact on its fortunes, although opinions on the extent to which it could damage the group’s balance sheet vary widely.
In addition, expectations of a sharp slowdown in the global economy could jeopardise its Latin American profits and ambitions.
The bank is regarded as well diversified but its sheer pace of growth in the past 15 years could leave it vulnerable.
Possibly the group’s greatest asset is its chairman, Emilio Botin, who has been the driving force behind Santander’s highly successful recent history.
Strong management by one powerful individual has its attractions but questions about Santander’s corporate governance have been raised in the past, not least by Vince Cable, the Liberal Democrat Treasury spokesman, at the time of the Abbey acquisition.
Santander now describes itself as one of the world’s leading banks by market capitalisation and “number one in the euro zone”.
What only a few months ago would have read as a proud boast on the group’s website now prompts a sharp intake of breath; the mighty are falling like nine pins.
Discuss this in the Finance Markets forums
Story link: Santander: White Knight or What?