Over recent years an increasing number of people have taken advantage of consolidation loans, which are loans that are designed to pay off existing debts, and are available on either a secured or an unsecured basis. Taking out a consolidation loan can make a big difference when it comes to financial management as well as when it comes to how much you pay out each month, although you do need to ensure that you use these loans effectively so that you do not end up back at square one, or worse still end up getting into more debt than before. (more…)
Archive for June, 2008
Making the most of a consolidation loan
Monday, June 30th, 2008
Should you take a secured loan or an unsecured loan?
Monday, June 30th, 2008Consumers these days can choose from a range of different loan options to suit their needs and circumstances, and all loans come under one of two categories, which is either secured or unsecured. The type of loan that is likely to best meet your needs will depend on your circumstances, as there is clear eligibility criteria in place when it comes to these different loan types. (more…)
House prices have plummeted since last year
Monday, June 30th, 2008According to a recent report the value of homes across the UK has plummeted since last summer, with industry officials claiming that house prices have fallen by around £15,000 on average since last summer. The data was recently released by the Halifax, with claims that house prices peaked last August, around the same time that the global credit crunch began to make its way to the UK, and since then have been declining. (more…)
How far will house prices fall?
Tuesday, June 24th, 2008Following the recent report from the Nationwide indicating that house prices had fallen by 2.5% and had wiped thousands of pounds off property values, many industry officials have expressed their opinions on what will happen with house prices now. Some industry groups, such as the Council of Mortgage Lenders, have revised previous prediction with regards to how far house prices are likely to fall this year, with the CML changing its prediction from a 1% gain over the year to a 7% fall. (more…)
Drop in mortgage lending levels for Nationwide
Monday, June 23rd, 2008Blaming the drop on ‘unprecedented market conditions’ officials from the Nationwide Building Society recently reported that the lender suffered a fall of 40% in mortgage lending levels last year. Many lenders, including the Nationwide, were forced to rein in their lending levels last year after the global credit crunch set in, and these tighter credit conditions have contributed to the lower lending levels seen last year by Nationwide. (more…)
Don’t take loans from doorstep lenders
Sunday, June 22nd, 2008With many consumers unable to get their hands on an affordable loan due to the restrictions that have come about from the global credit crunch, many are turning to more expensive methods of trying to bridge the gap each month when they find that their income does not cover their outgoings. According to some officials many of those unable to get finance elsewhere due to poor credit or low incomes are turning to doorstep lenders and paying a fortune in order to borrow money. (more…)
Five year fixed rate mortgage now more popular
Wednesday, June 18th, 2008Over recent years fixed rate mortgages have been very popular amongst consumers who wanted to keep their mortgage repayments static for a period of time, with the deal enabling them to enjoy a specified period on a fixed rate on their borrowing, which means that their repayments will also be fixed for that period of time. Until recently most consumers have, however, opted for shorter term fixed rate deals of two or three years rather than committing to the longer term deals of five or ten years. (more…)
Borrowers could benefit from advice on mortgages
Tuesday, June 17th, 2008Officials from the Association of Mortgage Intermediaries have recently suggested that it has now become especially important for consumers to seek advice on mortgages from professional intermediaries such as independent financial advisers, stating that the difficulties facing consumers due to a tightening of the mortgage market could otherwise make things extremely stressful, and could end up costing the consumer a lot more in the long run. (more…)
Base rate stays the same for June
Monday, June 16th, 2008Earlier this month the Monetary Policy Committee met for its monthly meeting in order to discuss the base rate, and it was decided following the meeting that the base interest rate would be kept on hold at 5%. The base rate was last cut in April, following two earlier rate cuts. However, despite concerns over the slowing economy and the effects of the global credit crunch on consumer finance and confidence the Bank of England decided to focus more on rising inflation levels, thus deciding to keep the base rate at 5%. (more…)
Asda may enter mortgage market
Sunday, June 15th, 2008For many people Asda is a place to go in order to do the weekly shop, purchase a few odds and ends, or look for bargains on some household goods and gadgets. However, like other supermarket giants over recent years, Asda has added a number of financial products to its range, such as loans, credit cards, and insurance services. It has now announced that it is thinking of entering into the mortgage market, with officials claiming that the company may be able to try and ease the currently difficult mortgage market by offering more choice for consumers.
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Government rescue plan may take time to take effect
Wednesday, June 11th, 2008According to industry officials the recently launched government mortgage rescue plan could take some time to take effect, and in the meantime the mortgage sector will continue to remain inaccessible and expensive for many consumers. The £50 billion plan was launched by the government recently in a bid to increase confidence amongst lenders in order to encourage them to lend to one another at affordable rates, which in turn could help to increase liquidity. (more…)
Seller experiencing problems with home buyers
Tuesday, June 10th, 2008The drop in house prices and the desperation of some homeowners to sell before prices fall any lower is resulting in many buyers getting a raw deal on the value of their home, as buyers take advantage of the difficulties in the housing market by engaging in a practice known as gazundering. Whilst not illegal, this practice is seen as highly unethical but a number of buyers are trying their luck in the hope of being able to pick up a property at a bargain price. (more…)
Are you entitled to a mortgage holiday?
Friday, June 6th, 2008Over recent months many homeowners have struggled with their mortgage repayments, and whilst some people are struggling with repayments every month, indicating that they need to find a long term solution such as cutting back on other costs or finding a more affordable mortgage deal, others find that they are finding it impossible to meet the mortgage repayment for the odd month or two. Many of those that suffer difficulties with their mortgage repayments on occasion rather than continuously turn to other forms of credit to make the repayment such as an expensive credit card – or in some cases simply allow their account to fall into arrears. (more…)
Mortgage market could continue to suffer for another two years
Thursday, June 5th, 2008According to officials from the Building Societies Association the mortgage market in the UK could take another couple of years to rectify, and even then it will never be the same as it has been over recent years, where consumers found it pretty easy to get a mortgage whatever their circumstances, and where borrowing levels and income multiples offered by lenders were very generous. (more…)
Middle classes now struggling with loan repayments
Thursday, June 5th, 2008Whilst many people on lower incomes and bad credit have been struggling to meet loan and debt repayments for years, it seems that the global credit crunch has resulted in a new breed of consumers now struggling to make ends meet when it comes to their finances. According to a recent report more and more middle class consumers living in fairly affluent areas with their own homes are now struggling to keep on top of debt and loan repayments. (more…)
Some debts could be written off by debt management firms and charities
Wednesday, June 4th, 2008New government regulations that have been introduced could result in debt agencies and charities in the UK being able to write off a portion of clients’ debts even in the event that creditors are not happy about the matter. Many people that are struggling with their debts now turn to debt management agencies and charities, and are often put onto a debt management plan, where they pay a set amount each month to the agency, and this is then distributed amongst the creditors on a pro rata basis. (more…)
Even the government expects house prices to keep falling
Wednesday, June 4th, 2008Whilst the government has tried to make minimal fuss about house prices falling in the UK over the course of this year, an inadvertent blunder by the housing minister, Caroline Flint, recently dominated the headlines. She was photographed walking into number 10 for a cabinet meeting, holding documents that clearly stated that the government was expecting house prices to fall by ‘5-10 percent at best’ over the course of this year. (more…)
Overdraft popularity increases as loan accessibility is reduced
Tuesday, June 3rd, 2008As many consumers will be only too aware accessibility to loans of any sort has become far more difficult over the past nine months, since the global credit crunch swept across the UK, wreaking havoc in the nation’s financial markets. Many consumers who may have been eligible for a loan a year ago may find that the tighter credit conditions in place now mean that they can no longer get an affordable loan – or in some cases any loan – which has made things very difficult for some, particularly given that many households and experiencing real financial worries due to increased living costs. (more…)
Is another house price crash on the cards?
Tuesday, June 3rd, 2008There are many people that may still remember the dark days of the early 1990s, when the aftermath of recession coupled with plummeting house prices resulted in a very poor outlook for most. Many people were plunged into negative equity as house prices plummeted. However, for the past ten years staring from the latter part of the 1990s the housing market has seen property prices rocket, with homeowners finding themselves sitting on a tidy sum of equity. (more…)
More help to be offered to homeowners facing repossession
Monday, June 2nd, 2008There have been some very worrying reports over recent months about the level of repossessions expected in the UK. According to recent reports the number of people facing repossession has risen by 20% in the past year, and the Council of Mortgage Lenders recently announced that the number of people that lose their homes through repossession could rocket to 53,000 over the course of this year – a stark increase compared to its original prediction of around 45,000. (more…)
The importance of seeking mortgage advice
Monday, June 2nd, 2008Anyone that is not now aware of the chaos that has engulfed the mortgage lending sector in the UK must have been asleep for the past six months. Since the onset of the global credit crunch last summer the UK’s mortgage lending sector has gone from bad to worse, with the effects of the global credit crunch having a profound effect on mortgage lending throughout the nation. (more…)
Estate agents at risk of problems due to mortgage and housing chaos
Sunday, June 1st, 2008A recent report has shown that many estate agents could be at risk of going bust as a result of problems in the housing and mortgage markets, which are resulting in fewer homes being sold through estate agents. The housing slump has resulted in fewer people taking the plunge when it comes to buying property, with many waiting for property prices to fall further, as they are expected to do. Sellers are also holding off putting homes up for sale in some cases, because they don’t want to sell at low prices. (more…)
Mortgage markets could be slow to recover
Sunday, June 1st, 2008The mortgage industry has faced some of its toughest times ever over recent months, with the global credit crunch having a profound adverse effect on the mortgage and finance industries in the UK since it swept across the nation last summer. Nine months on and the mortgage lending industry is still suffering hugely, with lenders finding it increasingly difficult and expensive to secure the finance that they need to fund their mortgage lending operations. (more…)