Household debt costs to surge over next five years

The next five years could be a tough time for those with debts, whether credit cards or mortgages. According to projections obtained by a freedom of information request to the Office for Budget Responsibility, the cost of household debt is going to soar. In fact, by 2023, debt servicing costs are likely to increase by 29%. The rise of a third in the cost of having a mortgage or servicing loans could be challenging for many UK households already stretched to breaking point. But where is the cost most likely to bite and what can you do to prepare for it? Where are we right now? Most of the UK population is currently unprepared for the reality of what a significant increase in debt cost is going to look like. Over the past five years we have seen debt costs fall 9% and decline as a percentage of household income. However, this has been largely thanks to the way interest rates have remained low. In November 2017, the Bank of England raised interest rates for the first time in a decade and
http://bit.ly/2IioC1t

Advertisements

All you need to know about the NS&I (National Savings & Investments)

For many of those not currently on the property ladder, the topic of deposits creates an instant sinking feeling. The average deposit in the UK is currently £32,899. If you’re looking to buy in London then that triples to £106,577. Government Help to Buy has enabled first time buyers to get on the housing ladder with just a 5% deposit. Although this has brought home ownership within reach for many it doesn’t reduce the associated cost. To get a good deal on a mortgage, most experts agree that you need to have a deposit of at least 10% of the purchase price, ideally 20%. So, how do you do it? The argument for cutting back The average salary in the UK is £27,000 and the current average rent is £921 a month (£1,246 in London). As Money Saving Expert Martin Lewis says, “There are those young people who are managing their money so badly that they can’t afford property, then those who would never be able to buy without help from the bank of Mum and Dad.” So, for many people w
http://bit.ly/2J1f1NC

How to save for a deposit for your first home

For many of those not currently on the property ladder, the topic of deposits creates an instant sinking feeling. The average deposit in the UK is currently £32,899. If you’re looking to buy in London then that triples to £106,577. Government Help to Buy has enabled first time buyers to get on the housing ladder with just a 5% deposit. Although this has brought home ownership within reach for many it doesn’t reduce the associated cost. To get a good deal on a mortgage, most experts agree that you need to have a deposit of at least 10% of the purchase price, ideally 20%. So, how do you do it? The argument for cutting back The average salary in the UK is £27,000 and the current average rent is £921 a month (£1,246 in London). As Money Saving Expert Martin Lewis says, “There are those young people who are managing their money so badly that they can’t afford property, then those who would never be able to buy without help from the bank of Mum and Dad.” So, for many people w
http://bit.ly/2IXYaLH

Unexpectedly brilliant and cheap weekend destinations in the UK

The Pound is struggling against the Euro and the Dollar, inflation is rising and it costs more than ever before to pay for overseas travel. However, most of us still want to get away from it all and enjoy the odd weekend break. So what’s the solution? There’s nothing new about the idea of taking a ‘staycation’ in the UK rather than going overseas. However, you might be surprised to find just how many locations offer an awesome weekend away without a crippling price tag. Hull East Yorkshire town Hull (full name ‘Kingston upon Hull’) is located on the coast, a port city that sits where the River Hull meets the Humber Estuary. For a city break without the European cost it is the perfect choice, whether you’re looking for history or culture. Visit Wilberforce House, birthplace of William Wilberforce and a museum that documents the abolition of the slave trade, or take a cycle tour through Hull’s perfectly flat streets. Hull was named as the 2017 City of Culture, a title th
http://bit.ly/2G8rlK5

The Rich, the Super-Rich and the Rest of Us

Change has come quick and fast to the pensions world in recent times. We now have a much broader range of options when it comes to how to save for retirement and greater freedom in terms of choosing investments for pensions. While this means that we have more control over our money it also increases vulnerability and the scope for scammers to succeed. So, how do you protect yourself from scams while navigating this new pensions landscape? Don’t take cold calls The Pensions Regulator specifically highlights unsolicited phone calls, emails or texts as a prime source for pension scams. So, if you get a call or email out of the blue then be very wary. Most reputable organisations simply wouldn’t do this kind of cold marketing when it comes to their products so it’s far more likely to be a scammer. Be cautious of unregulated investments Pensions themselves are regulated but there are all sorts of investments for retirement that are not. For example, you might be offered the opportuni
http://bit.ly/2DKVc9E

How to protect yourself from pensions scams

Change has come quick and fast to the pensions world in recent times. We now have a much broader range of options when it comes to how to save for retirement and greater freedom in terms of choosing investments for pensions. While this means that we have more control over our money it also increases vulnerability and the scope for scammers to succeed. So, how do you protect yourself from scams while navigating this new pensions landscape? Don’t take cold calls The Pensions Regulator specifically highlights unsolicited phone calls, emails or texts as a prime source for pension scams. So, if you get a call or email out of the blue then be very wary. Most reputable organisations simply wouldn’t do this kind of cold marketing when it comes to their products so it’s far more likely to be a scammer. Be cautious of unregulated investments Pensions themselves are regulated but there are all sorts of investments for retirement that are not. For example, you might be offered the opportuni
http://bit.ly/2DKVb5A