20% of homeowners overpaying - Published:16/10/07
News Companies & markets Investing authority portfolio Campaigns Mortgages & homesMortgage featuresInsurance customer advice Broadband & phones Retirement Saving & banking Credit & loans little business Tax & wills Message boards cash blog Tools & calculators Ask an expert Guides contrast & buyThe widely-predicted rate rise next month will hit many homeowners harder than necessary, with one in five paying more than they need to by staying on their lenders' standard rateA rapid MONEY MAKEOVER If you only have one minute to study how to sort your finances, forget the rest and understand writing this>> Our 8-step planWith the Bank oF England expected to lift interest rates by 025% next month to counter the upset inflation rate rise reported this week, homeowners with changeable rate loans will face bigger monthly repayment billsBut according to new research from contrast website Moneysupermarketcom, 19% of households will incur higher costs unnecessarily, as they are paying lenders' high standard changeable rates rather than lower fixed or tracker speedsThe average top fixed speed deals currently charge between 525% and 55% interest, while most lenders normal variable tax are around 725% to 75%Louise Cuming, head of mortgages at Moneysupermarket, said: 'It is unbelievable so many populace are playing into the lenders' hands and paying the normal changeable rate'As this is likely to be at least 2% above the leading rates available, this be short of of action to appraisal their mortgage could be costing borrowers dearly - having both a negative impact on their way of life and their future wealth'The research revealed that the most popular mortgage type in Britain was two-to-five-year fixed speed deals - chosen by just over a district of borrowersMeanwhile, the mortgage-mapping exercise revealed 42% of households had a mortgaged house and 24% of people owned their home absoluteA decision by the Bank of England to raise the store rate from 525% to 55% has been predicted as an almost dead confidence by economists after this week's shock report that price rises had risen to 31% - more than 1% higher than the 2% aimHowever, despite the higher mortgage costs this would bring, a London land manager has suggested this would be the best thing that could happen for the overheated marketplaceDan Mcleod, of agents Atkinson Mcleod, supposed that in the areas where house prices are soaring, such as London and the South East, a rate rise could bring much needed breathing space and discontinue the bull runHe said: 'It sounds odd pending from an estate manager, but an interest rate rise would be ideal for the property marketplace as it needs to be steadied At the moment there is a desperate lack of stock and prices are strengthening out of control due to the huge imbalance in supply and demand'An interest speed rise will bring ordinariness to the market as more stock will accumulate on agents' books as properties takes longer to put up for sale This is perfect for applicants as they will have more choice, as well as time to consider their place, and prices are likely to be steadied rather than pushed up by frantic house hunters prepared to disburse anything'© 2007 Associated Northcliffe Digital Ltd Terms Privacy policy promote with us LoansCardsMortgagesInsuranceCompare the best deals around with This is MoneyPlease choose a loan£ choose a loan term 12 months (1 year) 24 months (2 existence 36 months (3 existence 48 months (4 existence 60 months (5 existence 72 months (6 existence 84 months (7 existence 96 months (8 existence 108 months (9 existence 120 months (10 years) GO novel credit cardPick your favoured card offer Please choose 0% preliminary rate No annual charge Cashback Loyalty scheme All of the above GO Balance transferPlease select a type of cover Life cover Home and contents Car Breakdown services Health - checkup Health - dental Travel Pet - afflict Pet - cat GO RECLAIM ALL FEESAdvice/template letters:BUY-TO-LET TIPSThinking about investing in property This is cash.
Read More:
20% Of Homeowners Overpaying >>
Britons cut out the credit - Published:27/11/06
Despite the most excellent inducements and blandishments of credit card companies, Britons are intending to cut a large amount of borrowing from their lives, a new review revealsThe latest Morgan Stanley credit card index has shown that UK borrowers wait for to sprint up £645 on plastic between now and AprilThe figure is a 31 per cent reduction on the £940 they expected to spend in the last three months of 2005, and 11 per cent less than they spent in the same era of last yearSpending on every day items and basics is expected to remain stable, while the UK seems to have collectively decided that lavishing best speed credit on luxury items has to go"Following recent reports of a careful celebratory period, our index shows that we can also expect to see a drop in credit card spending over the next three months, particularly on luxury purchases," supposed Patrick Muir, advertising director for the Morgan Stanley Credit Card"Spending on everyday items leftovers steady, with grocery shopping being the top category for praise card spending"Men still remain keenest on praise, planning to spend an standard £817 compared to an standard £469 among womenMoneyExpert Limited is authorised and keeping pace by the Financial Services power (FSA Registration No 301654) The Financial Services power does not regulate some forms of mortgage agreement, credit cards,.
Read More:
Britons Cut Out The Credit >>
Borrowers warned on uninvited cheque con - Published:14/11/06
Borrowers are being warned about a popular praise marketing technique that may not be as appealing as it seemsMany homeowner loan and credit providers decide holiday seasons to mail out unsolicited cheques next to material designed to encourage spendingA closer look at the terms and circumstances makes them less appealing when you compare loans, however, and the cheques never provide the most excellent rateAs well as a two per cent handling fee, many providers will charge well over 20 per cent interestNor do they include the customary 56-day interest free period typically provided with credit, or allow any form of near the beginning repaymentAnd crucially, the cheques are not enclosed by the same consumer praise protection as praise cards; if you purchase goods or services not up to the advertised standards you will be unable to involve your lender when looking for a refundMPs and customer groups have added their voices to the warnings issued to borrowers over the cheques, with the coffers Select Committee warning that they "trip persons up""The danger is that these cheques - pushed without any obvious advice - are usually treated as a money advance Therefore, they attract interest from the daylight hours they are used," Which spokeswoman Emma Bandey told the Independent"customers should be able to choose to opt in to receive them - and not opt out, as is the current situation," she addedMoneyExpert Limited is authorised and keeping pace by the monetary Services Authority (FSA Registration No 301654) The Financial Services power does not regulate some forms of mortgage.
Read More:
Borrowers Warned On Uninvited Cheque Con >>
