The National Consumer Council, which was recently renamed Consumer Focus following a merger, has reported that it is not part of a relatively new website that was set up to help consumers find the cheapest doorstep lenders. The reports indicate that the consumer watchdog is trying to distance itself from the website, which was set up earlier this year by the Competition Commission to help people to find the most competitive doorstep lender in a climate where an increasing number of consumers have had to turn to these lenders. (more…)
Archive for December, 2008
NCC cuts ties with doorstep lending site
Wednesday, December 31st, 2008
Are those with bad credit being targeted by high interest lenders?
Tuesday, December 30th, 2008Over the past decade having damaged credit did create problems for those that were looking to take out finance. However, in the days of easy credit even those with damaged credit were able to get finance at a relatively affordable rate. However, these days are now gone and now those with bad credit will find it very difficult or even impossible to get the finance that they need. This situation, coupled with the various living cost hikes that households have had to cope with, has made things very difficult for those that do not have good credit. (more…)
First time buyers paying a fortune on mortgages
Saturday, December 27th, 2008Things have not been easy for the average first time buyers for many years when it comes to getting onto the property ladder. The last ten years has seen many first time buyers priced out of the market, as property prices in the UK have rocketed, leaving many unable to entertain the idea of getting on to the property ladder because of the cost of buying a home. However, property prices have been falling over the past year, and are expected to continue falling for the foreseeable future. (more…)
Rates on personal loans have soared
Wednesday, December 24th, 2008Most people are well aware that the financial sector has been deeply affected over the past year as a result of the global credit crunch, which has affected all sectors of the financial industry and has seen credit conditions become far tighter and borrowing rates become far more expensive.
However, over the past year the base interest rate has fallen a number of times, and in particular over the past two months, which has seen 2 percent sliced from the base rate. The base interest rate is now at 3 percent, which is almost half what it was a year ago, at 5.75 percent. (more…)
Loan rates have rocketed
Monday, December 22nd, 2008Consumers are being warned that over the past few months the interest rates charges on personal loans have rocketed, and rates are now well over double the official base rate of 2 percent, with more than a 5 percent margin between the base rate and the average rate of interest charged on these loans. In just a couple of months the gap between the rates charges on loans and the base rate has widened considerably, leaving consumers paying way over the odds on some personal loans. (more…)
Drop in mortgage approvals as consumers spend deposits elsewhere
Sunday, December 21st, 2008Reports have shown that October saw a further decrease in mortgage approval levels, falling by nearly two thousand compared to September and plunging by a massive 52 percent compared to October of last year. It is thought that part of the reason behind the fall in mortgage approval levels is that consumers have found other things on which to spend their deposits, particularly with Christmas just around the corner and very little availability of credit for many consumers. (more…)
Rents driven down through unsold homes
Sunday, December 21st, 2008Recent figures have shown that rental prices on homes are being driven down as a result of the many homes that remain unsold on the UK’s property market. Property sales have been very low over recent months, and although they have increased slightly over recent weeks due to more realistic pricing from sellers, they did recently reach average lows of as bleak as less than one property sale per week per agent. (more…)
Parents providing help to many first time buyers
Friday, December 19th, 2008For many years first time buyers have struggled to get onto the property ladder for one reason or another. For a number of years the problem has been the soaring price of property in the UK, but more recently, even thought house prices have been falling, other problems have emerged for first time buyers. This includes far tighter credit conditions, making it difficult for some first time buyers to get finance, and higher deposit requirements from lenders, which decreases affordability for the average first time buyer. (more…)
Extra help for homeowners announced as part of new measures
Thursday, December 18th, 2008As part of the package of measures that was announced in the recent pre-budget report, homeowners who lost their jobs are set to get extra help from the government to ensure that they do not lose their homes. Previously, the government covered interest payments on mortgages for those that had been out of work for at least thirteen weeks and could not meet repayments. However, this was up to a maximum of a mortgage value of £100,000. (more…)
Can an interest only mortgage ease your finances?
Wednesday, December 17th, 2008A recent article has suggested that struggling homeowners who are finding it difficult to make ends meet each month could benefit from opting for an interest only mortgage in order to reduce monthly repayments. It also suggests that those getting onto the property ladder for the first time could keep their monthly costs down to start with by opting for this type of mortgage over a repayment mortgage. However, consumers looking at interest only mortgages or any other types of mortgages for that matter need to ensure that they have all the facts before making any decision. (more…)
CML stands up for mortgage lenders
Tuesday, December 16th, 2008The Council of Mortgage Lenders has recently spoken out to defend its member banks, after some banks were criticised for failing to pass on base rate cuts and were accused of making a profit. The CML insists that its member banks are actually profiteering, and recently released a statement to this effect. (more…)
Are you facing repossession?
Monday, December 15th, 2008If you are in danger of facing repossession at the moment then you are not alone, as there has been a sharp increase in the level of repossessions of late, with more and more homeowners losing their homes. In fact, figures have recently been released that show the level of repossessions for the third quarter of the year up to end of September increased by around 12 percent, to around 11,300. The figures have been released by the Council of Mortgage Lenders. (more…)
What will our Christmas spending be like this year?
Wednesday, December 10th, 2008Many consumers in the UK have had a very difficult financial year over the past twelve months for a number of reasons. Whilst interest rates have now dropped to 3% after some drastic cuts by the Bank of England many have spent the past year trying to cope with high repayments, which has left them struggling to make ends meet. In addition to this inflation levels have soared to record highs, which has also affected consumer finances. The cost of food has rocketed, petrol prices have soared, and energy bills have gone through the roof, which means that all in all it has been a very bleak year for most people financially. (more…)
Is now the time to take out PPI?
Wednesday, December 10th, 2008The subject of PPI, or Payment Protection Insurance, has been a controversial one for the past couple of years, with a huge amount of controversy relating to the mis-selling or this cover, and financial authorities really clamping down on lenders and providers that are found to be breaching guidelines relating to PPI sales. The bad press has resulted in more people either deciding not to take out this cover over the past couple of years, or has resulted in fewer policies being taken out because of reduced pressure from lenders and providers who are aware of the crackdown by authorities such as the Financial Services Authority. (more…)
Borrowers may start to see rate cut benefits
Monday, December 8th, 2008According to recent reports many borrowers may start to benefit from the recent base interest rate cuts, as many lenders – under pressure from the Prime Minister, Gordon Brown – are now responding the recent rate cuts, and are cutting their own borrowing interest rates accordingly. In October of this year the Bank of England, along with other global central banks, applied a surprise base rate cut of 0.5% a day before the scheduled Monetary Policy Committee meeting, which is where interest rate movement is normally determined. (more…)
Poll claims HSBC most competitive with mortgages
Saturday, December 6th, 2008According to the results of a recent survey HSBC is the most competitive mortgage provider, having made forty two appearances in a top ten poll of mortgage providers by an online comparison site. The results were up to the end of September of this year, and resulted in the bank being dubbed the most consistently competitive mortgage provider during the third quarter of this year. (more…)
House prices may continue to fall in 2009 and 2010
Friday, December 5th, 2008Officials from the Nationwide Building Society have recently stated that the fall in house prices in the UK could continue over the course of 2009 and even into 2010. The building society, which has slashed mortgage lending like many other lenders since the onset of the global credit crunch, has said that the housing market is likely to remain subdued for the foreseeable future, which spells bad news for homeowners, who may lose their equity and even end up in negative equity. (more…)
Lenders say they will pass on base rate cut
Tuesday, December 2nd, 2008Following the recent 1.5% base rate cut, and in response to calls from the Prime Minister, Gordon Brown, a number o major lenders in the UK have said that they will be passing on the full 1.5% rate cut to borrowers over the coming weeks. As hoped by the government this could help to ease the financial situation for many consumers, and could ultimately help to boost the flagging economy, as consumers find themselves with more money to spend in the run up to Christmas. (more…)
House prices fall again in October
Monday, December 1st, 2008According to recent figures house prices have fallen for yet another consecutive month, and after a fairly small price fall in September figures show that house prices have now fallen by a further 2.2 percent in October. The figure comes from the Halifax, and officials from the lender have said that the October fall has brought the annual house price drop to 13.7 percent. The average house price has now fallen to £168,176 according to the Halifax, which is nearly £30,000 lower than a year ago. (more…)