The Worst Xmas Shopping Rip-Off... Ever! - Published:20/11/07
I was in BHS previous this week, shopping for some new furniture and quietly minding my own business As I was sitting on a divan and eyeing up the price-tag, a supermarket assistant came up to me with a big smile on her face "Would you like to take out a amass card today" she asked, completely unaware that she was about to sense the wrath of a small, curly-haired, store-card-loathing dragon, also known as: yours trulyThe fact is, this is one of the most stupid questions you could possibly ask a stupid writer "Absolutely not" I told her ferociously, before demanding: "What's the APR"As my boyfriend looked on, uncomfortable and wishing he was in a galaxy far, far absent, she went away to make sure with her manager That's right, she didn't knowIt was at this point that I started mouthful of air fire It drives me crazy that, unlike a mortgage or an insurance policy, people can sell amass cards without any formal preparation - never mind a recognised qualificationThe APR or Annual Percentage Rate of the average amass card -- and BHS is one of the worst offenders -- is 282%, almost twice the rate of a normal praise cardThis means that, if you don't disburse off your bills in full every month, you disburse 282% more than the purchase price - twice as much as you would be charged on a typical credit card, and nearly five era the Bank of England Base speed (the rate at which the Government lends cash to banks)No wonder hundreds of people post on our Dealing With Debt discussion board every year, frantic for advice after racking up thousands of pounds of debt on these swindle cardsCall me cynical, but I suspect that some people are duped into taking out on these cards because the friendly shop assistants who sell them have little thought how much of a stinking rip-off they really areBut am I being a bit unfair here Are these cards actually such a rip-off And if so, what's wrong with themallow's look at the facts On the face of it, many store cards offer what seem like fantastic discounts and reimbursement For example:Dorothy Perkins: 20% off one transaction every six months, gratis release on orders over £60, entry into monthly prize draws*So far, so good But let's take a seem at how much I would ‘save' if I took out a store card at Miss Selfridge, bought myself a glossy new Christmas party outfit, and then only made the smallest amount payments on my 28% APR store card:Product Retail cost Purchase cost with 10% discount Total amount salaried over a year Total cost of disburseing byWhen I hand over the card to disburse at the till, I think I am economy £12 with the 10% reduction But as the table shows, the dress would actually end up costing me an additional £3024 on top of the retail cost of £120, just because I used the store card in its place of paying by cashAnd remember, I got a 10% discount with my first buy If I had then gone back and bought, say, a sequinned party bag, the relative cost of using my certificate would have been even higherWhile I personally avoid them like the plague on code, I should emphasise there's nothing inherently wrong with store cards, as extended as you pay your equilibrium off in full every month You'll get the discounts and the reimbursement, and you won't pay a penny in interestBut if you prefer to ‘buy now, disburse later', these cards are definitely not your best option in its place, you should opt for a credit card that offers 0% interest on new purchases for say, 12 months That would denote you could bung all your new purchases on a certificate and, as long as you paid the balance off in full before the day was up, you wouldn't be charged any interest (saving you £3024 in this case)If you have any balance outstanding on these cards, I suggest you button over to a 0% balance transfer card immediately This will make sure you stop paying interest on your balance for a few months, allowing you time to pay off your money owing without racking up punitive charges You will more often than not be charged a small transfer fee, but it should still labor out much cheaper than keeping your equilibrium on a store cardFinally, a utterance of warning It's the start of the Christmas shopping period and, with hundreds of shoppers set to enter their doors over the next six weeks, department food are stepping up their efforts to sell new clientele their rip-off cardsSo if a shop helper comes up to you and invites you to take out a store certificate, think very carefully Unless you're 100% certain that you can pay off the equilibrium each month, steer clear© Copyright 1998-2007, The Motley Fool incomplete All rights reserved This material is for personal use onlyput of Reg: England & Wales Company Reg No: 3736872 storage bin Reg No: 735 7818 01 Registered Office: 30 Great.
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Mortgage application fees rise 83%, study indicates - Published:23/03/07
New research suggests that mortgage application cost have risen by 83 per cent in the last three years, in news that may be of concern to many people looking to find a remortgage deal information from financial services research firm Defaqto indicates that the standard fixed-application fee in February 2007 was £611, up from £334 in February 2004Mortgage holders have also been warned to check the mortgage request costs before signing any forms, with some mortgage lenders demanding request fees of up to £2,499 on a two-year fixed-rate mortgage Commenting on the study, David Black, head of banking at Defaqto, pointed out which prospective mortgage holders are probable to be most affected by mortgage application fees "If you have a small mortgage, the application fee will effectively increase the true cost fairly considerably, whereas if you have a large mortgage, a fixed-application fee is potentially a lot less," he saidprevious this month, Smile Mortgages published research into the home viewing habits of first-time buyersIn the learn, it was revealed that 43 per cent of people seem at fewer than five properties before approving a dealYoung people turning to buy to let mortgages, financial services study reveals - Tue, 20 ruin 2007Banking institution calls for inheritance duty revisions, mortgage holders told - Mon, 19 Mar 2007nowadays's Most Popular Results Mortgage Enquiry Form require Life Insurance ------ Mortgages - Information Mortgages - Home ------ monetary Services - HomeNone of the information on this website is future to promote any specific mortgage product or give mortgage advice Mortgagescouk is a non-regulated trading name of monetary Services Net Ltd[Terms & Conditions]more sites:car insurance| home.
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smile launches new mortgage products - Published:27/10/06
Two new fixed-rate and follower rate mortgages have been added to internet have an account smile's product rangeThe smile two-year fixed-rate mortgage offers clientele an interest rate of 534 per cent while the two-year tracker mortgage is available with an interest speed of 479 per centBorrowers are urged to take advantage of the offers quickly as the closing day for purchases is November 13th 2006 Both mortgages provide a supple repayment system so customers are clever to underpay or overpay within the have an account's stipulationsHead of mortgages at smile John Barker remarked: "Both new products offer clientele competitive rates and peace of mind that their rate will remain either fixed, or shut to the base speed for the initial period of the loan"With predictions of another [Bank of England] base rate rise expected before the end of the year, we appreciate that there is probable to be an increase in demand for good value fixed rates and closely concurrent tracker products"The smile two-year tracker mortgage is certain to match the Bank of England bottom rate, which currently stands at 475 per cent, with an added 004 per cent for the existence span of.
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Smile Launches New Mortgage Products >>
