Many people will be leaving Halifax
February 22, 2010
The High Street banking giant Halifax has always enjoyed a healthy database of customers, but there is evidence to suggest that a huge number of customers may be leaving the bank because of changes that they have brought in with regards to how they charge for customers’ overdrafts. Read more
What does the banks’ victory mean for you?
January 31, 2010
Last year banking customers, campaigners, and various industry groups in the UK received the news that they thought that they would not hear but had been dreading at the back of their minds. After nearly two years of legal battles and appeals it was announced that the banking industry had won the case into bank charges, which had been brought by the Office of Fair Trading. Read more
Gordon promises economic recovery in recent podcast
December 8, 2009
The shock news that was released recently with regards to the economic growth in Britain - or rather the lack thereof - caused more unrest in the UK. It had been widely predicted that the economy would show growth in the third quarter of this year, which would mean that the UK was finally out of recession, but sadly the figures showed that the economy had actually shrunk further by around 0.4 percent, leaving Britain languishing in the longest recession it has ever had to face since records began. Read more
What the experts think of the QE extension
December 4, 2009
Following the most recent Monetary Policy Committee meeting the Bank of England announced that the base interest rate was to stay at its all time low level of just 0.5 percent for the eighth month in a row, in the hope that the lower base rate would help to increase affordability and boost the economy. This came after news that the UK was still in recession, with a drop in growth for the third quarter - something that came as a shock to most industry experts. Read more
Staying focussed on your finances
October 9, 2009
With the financial climate still very turbulent in the UK it has become increasingly important for consumers to keep a tighter reign on their finances. Read more
Further controversy arises over PPI
September 28, 2009
Over recent years PPI, or Payment Protection Insurance, has been at the centre of heated controversy and regulation changes. This insurance is a form of protection that is offered to consumers taking out finance such as credit card, loans, and the like, and the idea behind the cover is that if the policyholder is unable to make repayments for a specified period of time due to sickness, redundancy, or injury, the policy will then meet these repayments up to a certain period of time. Read more
Shared ownership hopes dashed for many people with damaged credit
August 4, 2009
Getting any sort of finance such as mortgage finance has always been difficult for those that have damaged credit, and in the past people with bad credit ratings that wanted to get a mortgage struggled for years, as lenders viewed them as high risk and therefore either refused them credit or charged them a very high rate of interest. Read more
Extra Costs Causing Hardship for Tenants
June 12, 2009
Tenants renting flats and houses in England have recently been faced with a rash of charges that is cutting into the money they have allotted for their expenses. One charity in England has labelled these extra charges by the letting agents as unjust and excessive. Read more
Family values need to be applied to the banking system
April 1, 2009
We all like to think that we instil good family values into our homes and loved ones, but the one thing that most of us would not associate with family values is the typical High Street bank. Read more
Will interest rates drop to 0%?
March 18, 2009
Since October of last year the UK has seen the base interest rate plummet, and it has fallen from 5 percent in October to just 1 percent following the February Monetary Policy Committee meeting, following a series of base rate cuts over a number of months. Read more
Will the drop in interest rates help the economy?
March 4, 2009
There have been unprecedented cuts in the UK base rate over the past five months, with the Bank of England slashing rates each month, resulting in the rate falling from 5 percent in October to just 1 percent following the February Monetary Policy Committee meeting. Read more
Use Any Extra Funds to Pay Down Your Mortgage
March 2, 2009
In the current credit crunch many homeowners in the UK are striving to build up their savings accounts so that they have money to fall back on just in case they may encounter financial difficulties in the future. Read more
New buyers could benefit from slashed auction prices on property
January 8, 2009
With the housing market experiencing volatile conditions and mortgages becoming increasingly difficult to get, many new buyers have found that when it comes to purchasing a property they have had to hold off because of affordability problems or simply because of the risk of property prices falling further after they have purchased the property that they want. However, some people could find that they are able to get their hands on a bargain property by going to auction, where they could end up paying far less than they imagined. Read more
Deadline set over fairness to mortgage customers
December 18, 2008
Over recent months the government has been trying to bring in new guidelines and rules in relation to mortgage lending, to ensure that mortgage customers are treated fairly by banks and lenders in the current difficult financial climate. Recently lenders have agreed that they will now wait at least three months before taking any repossession action in the event that a homeowner falls into arrears with their mortgage repayments, which gives the customer more time to reach an effective solution with the lender or to catch up with repayments. Read more
Low deposit mortgages – can you get one?
December 15, 2008
For many of those hoping to get onto the property ladder in the current difficult financial climate the area of deposit levels is something that often puts a spanner in the works, particularly for first time buyers who have little to no savings and no equity from a previous property to rely on. In the past deposits haven’t been too big an issue for those looking to get onto the property ladder, as many lenders offered loans to the value of the property or even over and above the value of the property, enabling first time buyers to get onto the property ladder without any deposit at all. However, since the onset of the global credit crunch in 2007 all of this has changed. Read more
Response to UK interest rate cut
December 13, 2008
In early October the government and the Bank of England surprised the nation by cutting the base rate by 0.5% a day ahead of the scheduled Monetary Policy Committee meeting, where interest rates are usually cut. Like a number of other central banks across the globe, the Bank of England cut the base rate in an emergency move to try and boost the failing economy and stave of recession, and the move was welcomed by many consumers and industry groups. Read more
Mortgage market could slump massively by end of year
December 10, 2008
As most people will be only too well aware the mortgage market in the UK and in other parts of the world has slumped over recent months, and for over a year, since the onset of the global credit crunch, nations have been suffering huge financial problems, with liquidity in the financial markets all but grinding to a halt. In the UK and other nations this has resulted in radical changes in the mortgage market, which has slumped enormously as the days of easy credit disappear and a new approach to lending comes into play. Read more
Just where is the taxpayer’s money going?
December 8, 2008
Over recent months officials from the government, such as the Prime Minister Gordon Brown and the Chancellor Alistair Darling, have regularly been on our television screens and in the papers telling us about various bailout schemes that are being put into place to bailout the UK’s struggling banks, get the wheels of the mortgage market moving again, and improve the housing slump. Read more
5% mortgages still falling
November 26, 2008
First time buyers have had it tough for many years. Out of the past eleven years ten of them have seen house prices soaring year on year, and for first time buyers this has resulted in being priced out of the market altogether, with houses costing hundreds of thousand of pounds instead of tens of thousands of pounds. However, over the past year it has been a very different problem that has hit the average first time buyer, and this is the lack of affordable finance to get onto the property ladder. Read more
What you need to look at before you purchase a property
November 26, 2008
Buying a house is a huge commitment, and even in the current financial climate where mortgages are more difficult to come by and house prices are falling but still high, many people decide to take the plunge and purchase a property. The last thing that you want to do when buying a home is end up with the wrong property at the wrong price and in the wrong are, so it is important to research different aspects before you take the plunge and buy a home. Read more
Will the base rate cut really help borrowers?
November 24, 2008
In the past the rules behind interest rates charged by mortgage lenders seemed to be pretty simple - when the Bank of England put up the base rate then mortgage lenders would put up their borrowing rates by the same amount, and when the Bank of England cut the base rate then lenders would cut their borrowing rates by that amount. Simple and straightforward. Read more
Responses to surprise rate cut
November 18, 2008
This week saw central banks around the globe take the unprecedented step of cutting base rates in order to try and rescue the world’s financial markets, breathe life into failing economies, and restore the confidence of consumers. Gordon Brown, the Prime Minister, and Alistair Darling, the Chancellor of the Exchequer, called a special press report earlier this week, and announced that the Bank of England had cut the base rate from 5% to 4.5% reflecting a half a percent cut. Read more
What does the government rescue plan involve?
November 16, 2008
Recently the UK government, like some other global government officials, announced details of a proposed rescue plan to bail out the struggling financial markets in the UK, restore consumer confidence, and boost the economy. The details of the plan were unveiled by the Prime Minister, Gordon Brown, and the Chancellor, Alistair Darling, at the same time as the announcement about the surprise base rate cut of 0.5%, which came just a day ahead of the scheduled Monetary Policy Committee meeting where the base rate is usually set. Read more
What should the banks give us in return for the bailout?
November 10, 2008
We have all heard the proposals and plans that the government has put in place to bailout the banking system in the UK, and the bill for the bailout is likely to run into hundreds of billions of pounds. Moreover, the funding is to come from the public purse, which effectively means that it is the taxpayer than is funding the government bailout, and quite rightly consumers are looking for something back in return for the bailout money. In a recent survey a number of issues were highlighted by consumers, and it appears that there are many changes that we want to see made at UK banks. Read more
How low will rates go?
November 9, 2008
Interest rates have been causing problems for many homeowners and would be property purchasers over the past couple of years. Between August 2006 and July 2007 the base rate was increased no less than five times, and with each rise being 0.25% this took the base rate from 4.5% to 5.75%. For many homeowners with variable rate mortgages this caused huge problems, as their monthly mortgage repayments rocketed by hundreds of pounds a month in some cases. Those that were hoping to get onto the property ladder found themselves priced out of the market because they could not afford to take out a mortgage at such a high rate of interest. Read more
Tightening of rules over doorstep sellers
November 3, 2008
Doorstep selling has always been a controversial area, but at the same time there is evidence that the number of people that are turning to doorstep sellers offering cheap goods and services has been increasing over the past year as a result of the tighter credit conditions that have come into play since the onset of the global credit crunch. Many people have now found that they are unable to get finance to pay for more expensive work from more reputable firms, and many have therefore opted for cheap services and goods from doorstep sellers. Read more
Will you be cutting your spending to focus on your mortgage?
October 21, 2008
Over the past ten years the UK has gone through a housing boom, and this has seen some lucky homeowners see their property prices rocket. Many have been delighted to see just how much their equity levels have increased as a result of soaring property prices, and this has made it possible for many homeowners to borrow large sums of money secured against the high levels of equity in their homes. Read more
Mixed reactions on housing proposals from government
October 19, 2008
The government in the UK has made a number of new proposals recently to try and kick start the slow housing market, and amongst the actions taken by the government are a suspension in stamp duty for properties up to £175,000, and also the provision of loans for first time buyers looking to purchase new build properties. Industry groups and officials have offered mixed reactions to these moves, some of which can be seen below. Read more
Is it time to scrap HIPs?
October 17, 2008
There is no doubt that when legislation relating to Home Information Packs was brought in the year before last there was a great deal of controversy and dissatisfaction amongst both homeowners and various industry groups, such as estate agents. Officials from the Labour government have been insisting that these packs are a good idea, and that they will make the house selling process far faster. However, whilst Labour officials continue to defend these HIPs officials from other parties are insistent that they need to be scrapped. Read more
Could you pick up a property bargain at auction?
October 16, 2008
As most people are only too well aware the prospect of being able to afford a property these days is very bleak, even thought property prices are falling, as they have been for the past eleven months. Whilst house prices have been falling month on month, the cost of buying a property is still very high. On top of this the ability to get a mortgage for such a substantial amount of money has become increasingly restricted, with lenders exercising far more stringency because of the effect of the global credit crunch. Read more
Could stamp duty relief help to boost the housing market?
October 14, 2008
Over the past few months the housing slump in the UK seems to have become more and more pronounced, with estate agents unable to shift many of the properties on their books and with sellers resigning themselves to the fact that even if they do manage to sell their homes it will most likely be at a far lower price than they are asking. The effects of the global credit crunch, the state of the economy, and soaring inflation levels have all affected the low level of property sales over recent months. Read more
What will you choose if you need to remortgage?
October 13, 2008
When choosing a mortgage product it is very important that you go for a mortgage that is going to prove suitable and save you money wherever possible, as your mortgage is a daunting long term financial commitment. In the past choosing a mortgage was relatively straightforward. If interest rates were low and were more likely to go up than down in the future most people went for a fixed rate mortgage to protect the lower repayments in the event that the base rate went up. In cases where the interest rate was quite high and the most likely movement would be downwards people have opted for a base rate tracker, so that their repayments would fall when the base rate went down. Read more
Blanchflower speaks up in favour of rate cuts
October 9, 2008
Earlier this month following the latest Monetary Policy Committee meeting the Bank of England announced that for a fifth month in a row the base rate was to be kept on hold at 5%. Interest rates soared five times between August 2006 and July 2007, each time rising by 0.25%. Between July 2007 and December 2007 the rate remained stuck at 5.75%. However, between December 2007 and April 2008 there were three 0.25% cuts in the base rate bringing it down to 5%, where it has remained since. Read more
Attracting buyers for your property
October 8, 2008
If you have been trying or even thinking about selling your home over recent months you will already know what a tough time you could be facing. Property sales have plummeted over recent months, and the situation has been fuelled by falling house prices, which is putting potential buyers off due to the risk of falling into negative equity, and also by tighter credit conditions, which is resulting in many would be buyers being unable to get the necessary funds required to purchase a property due to the global credit crunch. Read more
Make sure you keep up with repayments on your secured loan
October 7, 2008
In the past many people were nervous about taking out a secured loan, as the very fact that the loan was secured against the home made some people extremely wary. However, for those with damaged credit there was very little choice other than to opt for a secured loan, as most unsecured lenders would not entertain the idea of lending to someone with damaged credit. Read more
Will house prices rise or fall?
October 6, 2008
A huge number of industry officials and agencies have been predicting since last year that since the housing bubble burst house prices would continue to fall for the next couple of years in the UK. Some officials have predicted that house prices could plummet over the next couple of years, with a number of professionals sating that the value of properties could fall by 17% over the next year and by up to a third over the next couple of years. Read more
Credit unions performing well in the wake of the credit crunch
October 2, 2008
Over the past twelve months, since the onset of the global credit crunch, many people have become distrustful of banks, and many others have found that they no longer have access to some of the services that banks offer, such as loans and other forms of finance. According to a recent report this trend is resulting in increased custom for credit unions, which are community run institutions and offer many benefits for members. Read more
Should you go direct to lender or through an intermediary for your mortgage?
September 25, 2008
These days getting a mortgage can be really difficult, and the global credit crunch has impacted heavily on the mortgage sector heavily, leaving consumers with little choice when it comes to finding a mortgage and resulting in lenders really tightening up on their lending criteria. Whilst the base rate has come down three times over recent months many lenders have continued to hike up their mortgage interest rates, making it more expensive for consumers to borrow. Many lenders are also demanding higher deposit levels and charging huge arrangement fees, which has added to the problems that borrowers face. Read more
Income and outgoings set to cause consumers problems
September 22, 2008
The governor of the Bank of England, Mervyn King, has recently highlighted how below inflation wage rises coupled with soaring food, petrol, and living costs are set to cause many households severe problems over the foreseeable future. Mr King warned households in a recent speech to brace themselves for some of the most challenging times that many may have yet faced in terms of their finances, with outgoings set to far outweigh income levels in the current economic climate. Read more
How to ease the financial strain at home
September 20, 2008
The global credit crunch, tighter credit conditions, rising bills, and soaring living costs have all taken their toll on household finances, and many consumers have found that it has become increasingly difficult to cope with their finances, with many finding that their income is way less than their outgoings. Many industry officials have said that the situation is set to get worse, with the Bank of England hinting that rate cuts could come to a stop whilst the government tries to bring inflation under control, energy industry officials stating that bills could soar in the autumn, and little hope of food and petrol prices coming down. Read more
Offers on properties being dropped just prior to exchange
September 14, 2008
A recent report has highlighted a problem that many homeowners are now experiencing, with the housing market having swung abruptly from a sellers market to a buyers market. Many homeowners are now experiencing difficulties in selling their homes for a number of reasons. One reason is that mortgage lending has dried up over recent months, and this has resulted in many would be buyers being unable to get a mortgage to purchase property, as well as due to would be buyers experiencing nerves over taking the plunge in case property prices continue to fall, as they are expected to do, as this could leave them facing negative equity. Read more
How are estate agents bearing up to the housing crisis?
September 8, 2008
The housing slump in the UK has hit rock bottom over recent months and estate agents have been reporting very poor sales figures over this period. The housing crisis has been fuelled by one disaster after another, and all of this has added up to housing transactions all but grinding to a halt in England and Wales. House prices have been falling for the last ten months, which has put many people of buying property in case the value of the home continues to fall after they have made the purchase, leaving them facing negative equity. Read more
Some signs of the weakening economy
September 5, 2008
Most of us have heard rumours and speculation over whether the nation is on the brink of recession lately, and there is little doubt that the economy has taken a real battering of late. This has been worsened by the fact that interest rate cuts from the Bank of England have come to an abrupt halt as a result of soaring inflation levels, having been kept on hold since April of this year. Some industry official have said that the Bank of England has had no other choice but to hold interest rates steady, given that the rate of inflation has reached nearly double the government target of 2%, coming in at 3.8%. However, others have said that the decision spells disaster for the economy, which is already going through a marked slowdown. Read more
Even wealthier borrowers are now struggling to repay their loans
August 27, 2008
A recent report has claimed that suffering severe financial difficulty is no longer a problem that affects only low income consumers. The report shows that financial difficulties are now even hitting homeowners living in fairly affluent areas, indicating that the current financial climate is also impacting heavily on the finances of those that would normally be considered to be fairly well off. Read more
Cost of home improvements rising for homeowners
August 25, 2008
Homeowners have received more bad news recently, after a report showed that the cost of home improvements has rocketed over the past couple of weeks. This comes at a particularly bad time, as many homeowners who are unable to sell their homes due to tighter mortgage lending conditions and falling house prices have decided that they may as well stay put and improve their homes to suit their needs rather than selling up at a low price and moving on. Read more
What are payday loans for?
August 25, 2008
Have you even reached the middle of the month, when payday is still a couple of weeks off, and encountered some form of emergency where you need to raise finances that you simply will not have available until payday? This is something that has happened to many people, and something such as an unexpected bill, an emergency repair, or even an unexpected event can result in the need to find money when payday still seems a long way off. Read more
The benefits of an unsecured loan
August 20, 2008
There are many different loan types available these days, and consumers that are looking for finance can choose a loan that caters for their individual needs and circumstances. There are loans available for all sorts of people, including homeowners, non-homeowners, and even those with bad credit. It is important that you find a loan that is suited to your needs and your circumstances before you apply otherwise you risk wasting your time applying for a loan that you are not eligible, and also damaging your credit as a result of rejection. Read more
Is an interest only mortgage a good idea?
August 20, 2008
For many consumers and lenders the idea of an interest only mortgage is a worrying one, as these mortgages are often seen as higher risk mortgages, and are frowned upon by some lenders who refuse to offer them in the current, riskier financial climate. However, for some people there may be no other option apart from an interest only mortgage, and this is because the repayments on a capital and interest mortgage – also known as a repayment mortgage – are simply too high to afford. Read more
Searching for the right loan
August 18, 2008
In the past finding the right loan could be a difficult and time consuming process, even though credit conditions were pretty relaxed and there was a wide range of loan products on the market to choose from. These days things have changed for the worse when it comes to finding the right loan, with the global credit crunch resulting in such tight credit conditions that the whole process has become increasingly difficult and time consuming, particularly for those with less than perfect credit. Read more
How long will it take for the mortgage market to settle down?
August 9, 2008
According to recent reports the mortgage industry in the UK could take several years to settle down, and industry officials have said that conditions in mortgage lending will never be as relaxed again as they have been over recent years. These relaxed conditions and the days of easy credit were brought to an abrupt halt late last summer, as the global credit crunch winged its way to the UK from the United States, and began to wreak havoc in the mortgage and finance industries. Read more
How a home improvement loan could help you
August 9, 2008
We’ve all heard about the problems that have dogged the housing and mortgage markets of late, and for many homeowners and would be purchasers this is causing real problems. Homeowners are now often finding that selling their home has become increasingly difficult, and those wishing to move are experiencing huge delays in terms of selling their homes, as well as being beaten down in price. Read more
Brokers angry over lack of deals from lenders
August 5, 2008
Many consumers as well as many different industries have been affected by the global credit crunch, which made its way to the UK last summer. Credit conditions have become far tighter, consumers have struggled to get finance, lenders have struggled to fund their mortgage lending operations, and the wheels of the mortgage lending industry have come close to grinding to a halt. Recently a number of lenders have tried a new tactic, by offering better deals to consumers that go to them directly rather than going through a middle man in the form of a broker. Read more
Should You Pay Off Your Mortgage
July 30, 2008
A mortgage loan is a pretty hefty debt to have hanging over your head. Sometimes mortgages are used to buy that first home or to pay for remodelling, emergencies, or other situations where money is needed quickly.
The current mortgage crisis has many homeowners looking twice at the loan agreement which may reset at higher interest rates in the future and at rates that make foreclosure possible. This fact alone causes many home owners to consider paying off a mortgage early. Read more
Will mortgage approval levels recover?
July 8, 2008
With the ongoing global credit crunch causing huge problems for mortgage lenders when it comes to raising finance to fund their mortgage lending operations, mortgage approval levels have been taking a hit for some time. The current economic climate means that many consumers are unable to consider taking out a mortgage, with many household budgets already overstretched, and this is also affecting approval levels with fewer people applying for a mortgage. Lenders have also increased a range of mortgage fees, such as interest rates, deposit levels, and arrangement fees, which has affected consumer ability to afford to take out a mortgage. Read more
Lack of first time buyers severely affecting rest of housing market
July 6, 2008
The housing and mortgage markets have both been experiencing immense difficulties over recent months, with the onset of the global credit crunch last summer having a profound adverse effect in the money markets, and this having a knock on effect in the housing sector. Mortgages have all but dried up, with many consumers unable to get finance to purchase a property due to tighter credit conditions stemming from lenders finding it increasingly difficult to get finance to fund their mortgage lending operations. Read more
Have you been priced out of the housing market?
July 1, 2008
When industry analysts and economists began to make predictions last year that the ten year housing boom was finally over, and house prices in the UK would come tumbling down over the months to come, many first time buyers pricked up their ears and rejoiced, thinking that it was at last time for them to take their first tentative steps onto the property ladder. With house prices having soared over recent years, many would be first time buyers had found that it was impossible to get onto the property ladder due to affordability problems, so this prediction came as welcome news to most. Read more
House price falls – opinions from experts
June 29, 2008
Last year many industry professionals began to predict that house prices throughout the UK would fall, although most thought that the fall would be minimal and some thought that house price inflation for this year would remain stable. However, there is little doubt that house prices are indeed falling and are likely to continue to do so over the course of this year and into next. Read more
What to look out for when choosing a mortgage
June 18, 2008
The world of mortgages has become something of a minefield in the UK over recent years. Not only are there more and more lenders offering a wide choice of mortgages, but the rises in property prices and interest rates have meant that many lenders have changed what were once considered traditional terms in relation to mortgages, such as offering far higher income multiples and much longer repayment periods. Read more
Are discount mortgages a good choice?
June 18, 2008
From fixed rate mortgages to a tracker mortgage, and from interest only mortgages to buy to let mortgages, the world of mortgage loans has become more complex than ever these days, with a wide range of mortgages to select from. This is great news for consumers that want to find the perfect mortgage for their needs, but can be a nightmare for those that know little or nothing about mortgages and are not sure where to even start. Read more
Borrowers getting fleeced on fees
June 18, 2008
It seems that the average borrower looking for a mortgage simply cannot win these days. Even though house prices are coming down, which should have been good news for first time buyers looking to get their foot on the property ladder, and interest rates have been cut three times since December, which should be good news for all borrowers, things are still incredibly tough for mortgage borrowers, and many are still finding that it is impossible to get a mortgage due to a variety of factors that are affecting affordability levels. Read more