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UK consumers 'living on the edge financially'

Fri, 25 Jul 2008 14:43:14 GMT

People in the UK are currently walking a financial tightrope, it has been claimed.

The average monthly outgoings in the UK currently stand at £1,445, while the typical amount of accessible savings accrued is £2,474, according to Yorkshire Building Society.

It added that the average Briton would only last around 52 days on their accessible savings.

Furthermore, the typical self-employed worker would last the least amount of time on money they have put away - 51 days - while a widow would last 120 days.

"The research reveals that both state benefits and savings are not viable options for the majority of consumers to rely upon for an adequate length of time," said Tanya Jackson, corporate affairs manager for the bank.

Meanwhile, money charity Credit Action has revealed that people in the UK currently have a combined personal debt mountain of £1.4 trillion.

UK locations 'more popular after screen exposure'

Tue, 15 Jul 2008 14:48:02 GMT

Locations in Britain featured in films and television programmes have encouraged an increase in tourism, it has been claimed.

According to the Tourism Business, places in the UK featured in movies such as Pride & Prejudice, the Da Vinci Code and Gosford Park saw larger visitor figures last year.

This means that people could be looking to take out a travel insurance policy and heading to locations seen in British movies Adulthood and the new James Bond adventure Quantum of Solace, released later this year.

Screen time is making areas more popular, according to Martin Evans from the Tourism Business.

He said: "Villages like Goathland, in the North Yorkshire Moors and used in the Heartbeat TV series and attractions like Alnwick Castle in Harry Potter, have also seen visitor figures more than double as a direct result of being seen on screen."

A similar spike in tourism was recorded in Tunisia due to sets in the country being used to film the Stars Wars movies.

Bank of England 'disappointing 31 million people'

Fri, 11 Jul 2008 16:26:25 GMT

The Bank of England is disappointing 31 million British citizens, it has been claimed.

Earlier today, the Bank's monetary policy committee announced that it is to keep interest rates on hold, much to the disappointment of a number of Brits, according to Fool.co.uk.

Head of personal finance for the consumer website David Kuo remarked that people are feeling "increasingly stretched" due to greater fuel costs, household budgets and food bills.

Mr Kuo added that homeowners should save in order to make sure that they are comfortable in the event of more troubling times in the future.

He said: "Make yourself a cash-cushion now. It's the most comfortable thing to sit on in a recession and it beats sitting on your hands any day."

This comes as research from money charity Credit Action has revealed that people in the UK have built up a personal arrears mountain of over £1.4 trillion.

Bank of England 'disappointing 31 million people'

Thu, 10 Jul 2008 15:34:09 GMT

Citizens Advice 'welcomes' Financial Capability Action Plan

Wed, 9 Jul 2008 14:46:31 GMT

Citizens Advice has spoken out in favour of the government's new Financial Capability Action Plan.

The group has stated that it believes the plan, introduced by the Financial Services Authority, is necessary in order to meet demand for impartial monetary advice.

Furthermore, it commented that it is important that the service remains free of charge and that the national system could help the "UK economy as a whole".

It can also help reduce the risk of debt problems while ensuring that Britons save, the body said.

"Today more than ever before people need access to free, impartial financial information and advice so that they can plan for their and their family's future effectively," the company commented.

Citizens Advice's origins trace back to 1924, after a public assistance report concluded that advice centres should be set up for the public.

Some 200 bureaux were set up in 1939.

Consumers 'turned to debit cards first in 2007'

Mon, 30 Jun 2008 15:58:17 GMT

Debit cards are still the number one choice for making payments, according to a new report.

The Way We Pay 2008 report from UK payments association Apacs found that the method came out on top among the British public for the seventh year running.

It added that 62 per cent of plastic card spending over the course of the year involved a debit card, with £221 billion the total amount splashed out.

Sandra Quinn, director of communications at Apacs, remarked that "there has been no sudden spike in credit card spending" in the wake of the credit crunch.

"In fact, credit card spending up until the end of May increased by only 1.2 per cent - below the rate of inflation," she said.

This comes as the Scotsman has reported that a crackdown against fraud abroad could result in hundreds of thousands of holidaymakers having their cards rejected over the summer.

Festival revellers 'should look to stretch their cash'

Fri, 27 Jun 2008 16:30:49 GMT

People heading to festivals over the summer have been advised to make their cash stretch as far as they can.

High street bank Alliance & Leicester has found that 24 per cent of women over the age of 50 attend gigs - more than the number of men heading to concerts.

Emma Walkley, current account manager with the firm, stated that the bank offers a product to people over 50 who still feel young at heart.

She said: "Our Premier 50 Current Account has been especially tailored for the go-getting age group of over 50s, offering a market leading rate of 8.5 per cent AER as well as bespoke lifestyle benefits."

This weekend the Glastonbury Festival kicks off. Among those performing are rap star Jay-Z, crooner Neil Diamond and Leonard Cohen.

Last year's event featured groups the Killers, Arctic Monkeys and Kasabian, along with Amy Winehouse and Liz Green.

Smokers count cost of giving up

Wed, 25 Jun 2008 15:31:28 GMT

Quitting smoking has a number of financial benefits in addition to health bonuses, it has been reported.

According to Moneyfacts, NHS figures show that a smoker on 30 cigarettes per day can save around £250 per month by giving up.

The NHS added that 165,000 chose to kick the habit last year - up from 129,000 in 2006.

It also stated that life insurance companies offer more generous deals to those who do not smoke.

"On top of this most life assurance companies consider customers to be non-smokers if they have not smoked for 12 months. Anyone who gave up when the smoking ban came into force would now fall into this category," commented the firm.

The ban on smoking in public places indoors came into effect on June 1st 2007.

It was introduced after Scotland and Ireland brought in bans.

Banking online 'preferred over social networking'

Mon, 23 Jun 2008 15:56:41 GMT

Using the internet to keep up with finances is a more popular pursuit than staying in touch old friends through social networking, according to new research.

A study from online bank cahoot cited by Abbey shows that people in Britain spend more than three billion hours per year switching money between accounts on the internet.

This can be compared to the 2.7 billion hours Britons spend online annually on websites such as MySpace and Facebook, the company added.

Matthew Timms, cahoot director, remarked that online banking is currently the biggest draw of the internet.

He said: "We're flocking to internet banking, where we can instantly access and manage our finances at a time and location of our choice as well as pick up some of the best rates on the market."

This comes as comScore figures have revealed that Facebook has now overtaken MySpace as the internet's most popular social networking site.

Two in three 'fall out on holiday'

Fri, 20 Jun 2008 16:13:24 GMT

A summer holiday can often result in two out of three people falling out with friends or loved ones, it has been claimed.

The travellers cheques department of American Express has conducted research which shows that 65 per cent of holidaymakers argue even before the plane has left the ground.

Respondents indicated that what to pack was a big issue (48 per cent), as well as getting to the airport on time (40 per cent) and the quality of the accommodation (17 per cent).

According to Kirstie Bayley, director at American Express Travellers Cheques, "holidaymakers have a lot to think about when they go way", especially financially.

She said: "The last thing they are going to want to worry about is money. Sorting your travel money in advance of your holiday can alleviate this and buying travellers cheques can mean you have one less thing to worry about."

Summer officially begins on June 21st with the summer solstice.

Traditional savings accounts 'still popular'

Tue, 17 Jun 2008 17:09:10 GMT

A survey has found that Britons continue to keep faith with banks, with the majority entrusting the institutions with their savings.

Despite economic uncertainty, savings accounts are still favoured by 55 per cent of consumers, according to the poll by MGM Advantage.

Of these, most were women, with 60 per cent expounding the security benefits of a bank compared with just 48 per cent of men.

Plymouth was identified as the area most likely to shy away from financial institutions, with confidence levels low since the onset of the credit crunch.

Across the whole nation, one in 20 would prefer to keep the money left over from household bills, mortgage repayments and home and car insurance premiums safe under their mattress rather than depositing it in a bank.

According to April figures from the British Bankers' Association (BBA), personal savings deposits are on the rise, with annual growth now standing at 6.2 per cent.

Consumers 'tempted into debt by cars'

Thu, 29 May 2008 16:28:14 GMT

People are most likely to get into debt buying a car that they cannot afford, according to new research.

Global information services company Experian has found that flash vehicles are the top reason why consumers end up in debt.

The group believes that this is down to image, stating a third of UK adults admit that how other people perceive them influences their purchases.

Kirk Fletcher, managing director of Experian's automotive division, commented that the impact of the credit crunch on consumer confidence is "significant".

"This survey highlights the fact that the consumer's desire for a car that projects the right image remains as strong as ever," said the official

This comes as research from money charity Credit Action shows that people in the UK have amassed a total personal debt mountain of more than £1.3 trillion.

'More than £4bn per year spent on digital TV'

Wed, 28 May 2008 15:19:19 GMT

People in the UK spend more than £4.2 billion each year on digital television, according to new research.

A study from uSwitch.com also found that one in four users is not happy with the service they received.

It stated that Virgin Media has the smallest proportion of satisfied customers (32 per cent), while 76 per cent of those with Sky were happy.

Communications expert at uSwitch.com Steve Weller remarked that both firms still have catching up to do when it comes to customer service.

"Sky and Virgin will have quite a challenge on their hands convincing customers to part with their hard-earned cash whilst expecting them to accept the current levels of customer service on offer," he said.

Meanwhile, This is Wiltshire has reported that an increasing amount of people in the region are changing their television service to a digital one.

This comes ahead of the official digital switchover in 2010.

Tips for football fans headed to Moscow

Fri, 16 May 2008 16:37:15 GMT

Football fans making the trip to Moscow for the Champions League final have been issued a number of tips to make sure their journey runs smoothly.

People headed abroad for the all-England final between Manchester United and Chelsea have been told by M&S Money to place an order for their Russian currency as soon as possible - as it is not always available.

In addition, the company added that withdrawing from an ATM machine in the country could also result in large fees.

Fraser Millar, head of M&S Travel Money, commented that the firm is expecting big demand for rubles.

He added: "If fans have trouble getting Russian currency we recommend they take US dollars or euros which they can change in at banks or exchange offices in Moscow."

Yesterday, police in Moscow warned that it will not tolerate the same behaviour at the game from British football fans as was seen in Manchester for this week's Uefa Cup final between Rangers and Zenit.

Half of Brits 'would shun repairs'

Tue, 13 May 2008 16:21:11 GMT

A significant amount of people in the UK would choose not to attempt to repair an electrical device if it stopped working, according to new research.

Legal & General found in its Changing Face of British Homes report that a stereo, DVD or mp3 player would simply be binned and replaced if it was broken.

The findings show that 25 to 34-year-olds are the most wasteful, with 91 per cent choosing to ditch rather than fix, while people in the south of England were also found to nix repairs (88 per cent).

"With environmental issues increasingly on the public agenda, it is surprising that such a large number of us, 86 per cent, are still choosing to replace our household goods and possessions rather than try to repair them," said Ruth Wilkins, head of communications at the company.

Cost could be one reason why Britons do choose to repair rather than replace.

Money charity Credit Action has reported that the amount of personal debt in the UK currently surpasses £1.3 trillion.

M&S Money offers Champions League tips

Fri, 2 May 2008 16:28:42 GMT

Finance group M&S Money has given a series of tips to Manchester United and Chelsea fans heading to Moscow for this month's Champion's League final.

According to the body, the average price they can expect to pay for a hotel room is £236, although huge demand is expected of the 35,000 hotel rooms in the city.

It added that it is a good idea to shop around when exchanging pounds into rubles before heading to Moscow and to avoid withdrawing money from foreign cash machines.

Fraser Millar, head of M&S Travel Money, commented that the group is expecting an increase in demand for the currency.

He said: "If fans have trouble getting Russian currency we recommend they take US dollars or euros which they can change in at banks or exchange offices in Moscow."

Manchester United and Chelsea booked their place in the final this week after defeating Barcelona and Liverpool respectively.

Most couples 'want to separate their money'

Wed, 30 Apr 2008 15:04:12 GMT

A new poll has found that most couples would separate their money from their partner's if they could.

Research from money transfer company PayPal has found that 17 per cent do not want to be responsible for their partner's spending, while 12 per cent say they do not want to argue with their other half over finances.

Indeed, more than half of couples had their first argument about money while they were dating, with 27 per cent adding that it came post-nupitals.

Cristina Hoole, spokesperson for PayPal UK commented that there is a growing trend of people keeping their finances separate.

She said: "It also appears that arguments over money are most frequent after people have been in a relationship for a while, perhaps people wait until they feel settled with their partner before bringing up the sticky subject of finances."

This comes as Ernest Harburg, professor emeritus with the U-M School of Public Health and the Psychology Department, has stated that arguing with one's spouse can be healthy.

10 per cent 'think money is safest under the mattress'

Mon, 28 Apr 2008 14:55:15 GMT

One in ten people in Britain believes that their money would be safest stowed under their mattress, according to new research.

Newcastle Building Society has found that this is up almost 300 per cent in light of the recent credit crunch, reaching a high of 15 per cent in the midlands and Wales.

Confidence in banks has gone down some five per cent over the last year, the body added, while 19 per cent would opt against investing with financial institutions if they could.

According to Wendy Lee, commercial director at Newcastle Building Society, the results are a product of both the hype around the credit crunch and "a stark sign of the times".

"Some savers now have an exaggerated view that investing their money with a building society or bank can be a risky business, which is not the case," said the official.

This comes as Reuters reports that David Frost, director general of the British Chambers of Commerce, commented that the credit crunch is not specifically affecting people outside the City of London.

Money 'a worry for UK children'

Thu, 24 Apr 2008 16:28:14 GMT

A significant proportion of children in their early teens worry about money difficulties, according to new research.

Statistics from Abbey show that 21 per cent of 11 to 15-year-olds are concerned that they will get into debt and be poor when they are older, while a further nine per cent are anxious they will not be able to buy a house.

However, exam stress was found to be a much bigger worry for young people, with the prospect of failing a pressing matter for 32 per cent of those surveyed by the bank.

Director of Abbey Banking Steve Shore commented that "the news is fairly extreme".

He added: "Parents can calm their children's fears on issues such as house prices and concentrate on teaching their children good financial habits such as saving their pocket money."

Meanwhile, youth charity Rainer in collaboration with YouGov last year found that 80 per cent of young people in the UK find themselves in debt by the age of 21.

UK households 'owe energy suppliers'

Tue, 22 Apr 2008 16:19:00 GMT

More than a quarter of energy customers in the UK owe money their energy suppliers, according to new research.

Statistics from uSwitch.com show that 6.8 million households are currently in arrears, with the average debt owed to firms being around £114.

The company added that prices have gone up by a mean 15 per cent across the UK and that a number of direct debits are not being increased by firms in order to accommodate the change.

Director of consumer policy at uSwitch.com Ann Robinson has commented that "this issue has to be tackled now before it snowballs further".

"Consumers have to take a more active role in managing energy bills - don't just sit back and wait for your supplier to review your account," said the official.

This comes as uSwitch.com has launched a new life insurance comparison service in order to give people looking for policies the chance to shop around.

Credit card companies 'reject 18,000 applications daily'

Mon, 21 Apr 2008 16:23:09 GMT

The number of credit card applications rejected by companies across the UK has been revealed by a consumer organisation.

According to MoneyExpert, some 18,000 accounts are turned down every day, resulting in 3.24 million declined deals in the last six months.

This means that one in 14 people have been turned down when it comes to plastic over the same time period.

Chief executive of MoneyExpert Sean Gardner remarked that applicants should be confident in their attempts to get a card as a rejection could see them pick up black marks on their credit reports.

"For years borrowers have had the upper hand in the credit card game but the rules have now changed. People with debts who thought they could keep shuffling their cards to stay ahead are now running into trouble," he said.

Money charity Credit Action estimates that people in the UK are in more than £1.4 trillion of personal debt.

Elderly 'hit hardest by inflation'

Tue, 15 Apr 2008 16:12:20 GMT

People over 65 are being hit hardest by an increase in food and energy costs, it has been reported.

According to figures from Alliance Trust, people between the ages of 65 and 74 years old are currently having to cope with an inflation rate of 3.2 per cent, while those 75 and over are experiencing a 3.4 per cent rise.

The company added that there has been a six per cent hike in food costs compared to last year and utility prices have gone up by close to four per cent.

Head of the Alliance Trust Research Centre Shona Dobie commented that the statistics show that headline inflation and its actual impact can often be two different figures.

"This month we have found that the over 75s are once again the most exposed to the negative impact of high food and energy costs," she said.

Last week the Bank of England's monetary policy committee voted to reduce the base rate level of interest to 5.25 per cent.

Rate cut 'unlikely to make much difference'

Thu, 10 Apr 2008 14:56:00 GMT

The cut in the base rate level of interest is unlikely to make much difference to credit conditions in the UK, it has been claimed.

Earlier today, the Bank of England's monetary policy committee voted to reduce the current rate by a quarter of a percentage point to five per cent.

According to David Kuo, head of personal finance at Fool.co.uk, only those who are in the best positions financially will survive what he describes as the mortgage market "jungle".

Indeed, the body pointed out that the UK's biggest lenders offer an average standard variable rate of 7.2 per cent - more than two per cent higher than the base rate.

"If you can, you should use emergency savings to reduce the size of your loan. Others have to assume the worst which will mean tolerating unattractive and expensive mortgages until credit conditions improve," said the expert.

Consumer group reveals best way to complain

Fri, 4 Apr 2008 15:50:56 GMT

People in the UK have been advised how to get what they want when they complain to companies, it has been reported.

According to Consumer Direct, it is essential that customers remain calm rather than be aggressive, while they should also be clear about how they want the problem to be resolved.

If a product or service has a fault it should be reported as soon as possibly, with any necessary paper proof of purchase photocopied.

Keeping a diary of how events unfold is also a good idea, as it will help people to jog their memories if the scenario becomes a long drawn-out process.

"If you stay calm and complain the right way you increase your chance of getting the refund, repair of replacement that you're entitled to," said Michele Shambrook, operations manager for Consumer Direct.

Consumer Direct is a government funded advice service.

Plastic-wielding Brits 'tend to snub cash'

Mon, 31 Mar 2008 14:07:05 GMT

People in the UK are choosing to use their credit cards in order to pay for everyday occurrences rather than cash, it has been reported.

According to Fool.co.uk, 32 per cent of Britons pick plastic over notes and coins, with 37 per cent of such purchases made on debit card accounts.

The study from the group also found that people are carrying less cash than in the past, with men typically having £40 on their person and woman just under £20.

Head of personal finance at Fool.co.uk David Kuo remarked that it is often all too easy to rely on credit.

"Relying on money we can't see is a reflection of how easy it has been to rely on credit in recent years," said the official.

Meanwhile, an investigation into alleged unauthorised spending by police has seen some 1,400 credit cards taking from UK officers.

People 'cannot save due to living costs'

Fri, 28 Mar 2008 15:08:17 GMT

The cost of living is preventing people in the UK from putting away a substantial amount of savings, it has been claimed.

According to figures from the Post Office, 43 per cent of people said that Christmas had an impact on their finances and the amount they saved during the period.

Indeed, 21 per cent of Britons commented that the cost of the holiday season means that they have not been able to put money away until this month.

Post Office director of savings Richard Norman advised people to "try and keep saving regularly".

He said: "Millions of people are missing out on earning interest on their savings and have to live without the security of having a 'savings safety net' if they ever found themselves in financial trouble."

Figures from money charity Credit Action show that the UK is currently in more than £1.3 trillion of personal debt.

Credit card headline rate "most important thing"

Wed, 19 Mar 2008 16:08:59 GMT

The headline rate of a credit card has been described as the most important thing to consider when taking one out.

Money charity Credit Action has commented that the annual percentage rate should be the first aspect of a new card considered when people look for deals.

According to Chris Tapp, director of the firm, shopping around will take little longer, but it is a worthwhile thing to do.

"It is an action that will require a bit of time and effort, just as when you are buying a new car. You do not just compare one aspect of the car," said the official.

This comes as research from MoneyExpert.com has underlined the extent to which Britons rely on plastic.

According to the body, 3.2 million people have five or more credit cards.

Older people 'suffer higher inflation'

Tue, 18 Mar 2008 16:11:32 GMT

Britain's pensioners are dealing with a higher rate of inflation than any other age group in the UK, it has been claimed.

According to Alliance Trust's Research Centre figures, inflation increases introduced in February saw people over the age of 65 hit hardest.

It added that households comprising people between the ages of 65 and 74 experienced a higher rate than the headline figure, while those over 75 saw a figure 36 per cent higher.

Utilities account for the biggest increases, according to Alliance Trust Research Centre head Shona Dobie.

She said: "Unfortunately it is these basic items which have seen the highest price increases in recent months."

The current base rate level of interest currently stands at 5.25 per cent after the Bank of England's monetary policy committee voted to maintain the figure earlier this month.

Quitting smoking 'can save more than health'

Tue, 11 Mar 2008 15:23:22 GMT

Giving up smoking can see people in the UK save money as well as their health, according to new research.

Finance firm Fair Investment Company comments ahead of tomorrow's National No Smoking Day that £2,000 per year is spent by those who cannot kick the habit.

According to company director James Caldwell, deciding not to smoke can result in cheaper life insurance policies as well as an increase in the amount of money people can save.

"Giving up smoking can save you much more than just your health, with at least £2,000 saved per year, quitting means you can pay off credit card and mortgage repayments faster and become much more financially savvy," said the official.

This comes as the Norwich Evening News reports that officials in Norfolk are looking to get a record number of smokers to quit before May.

Authorities would like more than 4,032 registered quitters by the end of April as part of its Norfolk Big Quit campaign.

Base rate cut 'is not guaranteed'

Tue, 4 Mar 2008 16:32:11 GMT

Property owners should not assume that a cut in the base rate is on the way, according to a financial services provider.

Fair Investment Company is warning people that inflationary concerns may stop the Bank of England from implementing drops before the end of the year.

Close to 33 per cent of people believe the level will be at 4.75 per cent by the end of the year, while 27 per cent think it will be under 4.5 per cent, the firm added.

And this comes as the Financial Services Authority launches a guide advising people how best to avoid mortgage arrears.

People should be aware that the dramatic cuts in the interest rate seen in the US are not guaranteed in the UK, said Fair Investment Company director James Caldwell.

He said: "The monetary policy committee's decision is not as straightforward as people might think when it comes to setting the base rate. Inflation must be taken into consideration, as must the country's general economic condition."

Consumers waste two year 'worrying over debt'

Mon, 3 Mar 2008 16:13:06 GMT

The average Briton spends two years of their life worrying about their financial situation, according to new research.

Co-Operative Financial Services has found that 78 per cent of people in the north-west are stressed about debt, followed by 76 per cent of people in London.

Nationwide, 48 per cent of the 3,000 adults polled by the firm commented that they were concerned about their finances.

Those said to be most worried were undergraduates and recent graduates, who were found to spend close to two days every month attempting to balance the books.

Co-Operative Bank savings product manager Scott McPhail called the figures distressing.

"It is worryingly clear from the research that the vast majority of UK adults are deeply concerned about their finances, with rising levels of debt and inadequate saving provisions responsible for countless sleepless nights nationwide," he said.

Money charity Credit Action comments that people in the UK are currently in more than £1.3 trillion-worth of arrears.

Consumer body urges people to switch off

Tue, 26 Feb 2008 14:47:10 GMT

Consumers are being told to keep in mind energy-saving tactics for one day this month.

February 27th is to be E-Day, on which uSwitch.com is urging people to make sure they do not waste power.

The company estimates that 22 million mobile phones are charged needlessly everyday, with nine million consumers charging up gadgets as they sleep.

It added that switching off is a sound environmental decision, while it can also save people money in the long run.

According to Ann Robinson, consumer policy director at the company, E-day represents a "great opportunity".

She said "If we become more aware of the electricity we use we can work towards reducing our bills and our impact on the environment."

Earlier this month, the consumer site launched its own home insurance comparison area, where people can work out which cover deal represents the best option for their property.

Credit card transfers to hit £6.68bn in 6 months

Tue, 26 Feb 2008 14:46:45 GMT

Some £6.68 billion will be transferred between credit cards over the next six months, new research has found.

According to Sainsbury's Finance, the money, spread among 4.3m people, equates to £257.15m per week.

Over the next six months, the average amount people will switch is £1,555, while 181,000 consumers will transfer more than £5,000.

This activity is more prevalent in men, with 54.3 per cent of consumers switching funds being male, the company added.

This is "not surprising" according to Donald MacLeod, head of cards at Sainsbury's.

"Our research shows that there are an estimated five million people with outstanding balances who are not only incurring interest but also admit that it may take them longer than one month to clear their spend," he said.

Earlier this month, Sainsbury's Finance announced that it was to extend its interest-free period from ten months to twelve.

Capped balance transfer limits 'falling'

Mon, 25 Feb 2008 16:17:30 GMT

Capped balance transfer fees on credit cards are falling in frequency, according to new research.

MoneyExpert states that there are now currently only seven such offers on the market compared to 18 a year ago.

Of these, the average fee is 2.8 per cent of the money moved, meaning the typical cost of switching is around £74.65, the company adds.

Sean Gardner, chief executive of the firm, comments that "credit card switching is big business".

He states: "Consumers looking to move credit card provider will be in for a nasty shock if they don't choose a card with a capped balance transfer fee."

Mr Gardner adds that "switching may be entirely pointless" if there is a large fee involved.

This comes as research from money charity Credit Action has revealed the amount of debt people in the UK are currently in.

According to the firm, consumers currently have £1.3 trillion

Parents 'may be forced to cut spending on children'

Wed, 20 Feb 2008 15:47:39 GMT

Mums and dads across the UK are set to cut the amount of money they spend on their children as fears of a recession this year grow, according to new research.

Engage Mutual Assurance found that 38 per cent of families with children under the age of 18 will be spending less on holidays, while there will be fewer day trips for 29 per cent of people.

This may have already begun, as last week was half-term for a number of schools across the country.

In addition, toys and clothes for children will be cut back on by 26 per cent and 24 per cent of parents respectively and 15 per cent will give their kids less pocket money, the firm found.

Speaking on behalf of Engage Mutual Assurance, Karl Elliott stated that "saving little and often" is a good idea for parents looking to the future.

He said: "With the increased cost of food, fuel and mortgages taking effect, our research shows that many parents anticipate finding it increasingly difficult to make ends meet in the year ahead."

Debt 'worries one in three'

Mon, 18 Feb 2008 15:44:53 GMT

Debt is said to be a concern for one in three people in the UK, new research reveals.

According to MoneyExpert, 33 per cent of adults are worried about their level of arrears, with nine per cent said to be very concerned.

The firm added that 47 per cent of people now owe money on credit cards, while three months ago this figure was 41 per cent - something which may be down to Christmas spending.

According to Sean Gardner, chief executive of the company, this is distressing.

"The fact that one in three people who owe money are concerned or very concerned about their ability to manage their debts is worrying," he said.

Meanwhile, the Banking Times cites figures from the Ministry of Justice which show that more people voluntarily filed for bankruptcy last year.

It states that 53,114 people filed in 2007 compared to 52,717 in 2006.

OFT uses novel approach to get scam message across

Fri, 15 Feb 2008 15:37:31 GMT

The Office of Fair Trading (OFT) is to send out a text message to young people in an effort to make them understand the dangers of mobile phone scams.

An SMS which reads "Urgent! U may have won £1K cash with '2 Good 2 B True." precedes a second text in which the recipient is told that it was a hoax from the body.

Speaking on behalf of the organisation, director of consumer protection Mike Haley states that even the technology-literate are prone to beng tricked by scam artists.

'Young people can fall for exactly the same types of scam as anyone else ... We hope that our innovative approach of sending fake scam text messages will remind young consumers to be on their guard," he said.

This follows a scam warning from Citizens Advice, telling consumers to be careful of will writers offering cheap deals.

Surprise and weekend away most hoped-for Valentine's gift

Mon, 11 Feb 2008 16:17:06 GMT

People in the UK would like to receive a surprise gift on Valentine's Day more than anything else, new research has found.

A PayPal study ranks an unexpected present along with a weekend away as the number one wants for February 14th, with 27 per cent citing them.

Next was a romantic dinner with 11 per cent, while ten per cent of people would just like a card, the poll found.

According to Christina Hoole, spokesperson for PayPal, keeping it simple is often the best thing to do when it comes to presents on Valentine's Day.

"What we all want ... is to spend the evening with the person we love. To make this February 14th really special, wannabe romantics should heed the warning and make sure they spend time with the person they love," she said.

People are reminded to make sure that they do not go overboard and get into debt this Valentine's Day.

Money charity Credit Action states that the total amount of personal arrears in the UK is more than £1.3 trillion.

Base rate cut by Bank of England

Thu, 7 Feb 2008 16:20:38 GMT

The Bank of England has today cut the base rate level of interest to 5.25 per cent.

Dropping the rate by a quarter of a point will have a positive effect on Britons looking to stay on top of their mortgage, credit card and loan repayments.

This is the first cut made by the Bank's monetary policy committee since December, when it incorporated a 25 basis point reduction.

According to the Bank, lower levels of consumer spending have influenced the decision.

Similarly, reduced household and business plans have controlled costs to such an extent that the current economic slowdown is likely to continue unabated, it added.

The Bank said: "These developments pose downside risks to the outlook for inflation."

The monetary policy committee was established in 1997 when Gordon Brown, in one of his first acts as Tony Blair's chancellor, handed over base rate responsibly from the government to the Bank of England.

Nearly two-thirds 'not bothered about a will'

Wed, 6 Feb 2008 15:52:28 GMT

The majority of people in the UK are not concerned about making a will, new research shows.

According to a study from Co-operative Financial Services, 72 per cent of people in the UK have not prioritised the act, with 40 per cent stating that they would have nothing to pass on.

Managing director of the firm, Eddie Ryan, commented that the results show that making a will is not something that is important to Britons today.

He added that there are also misconceptions about the practice which keep people from drawing such a document up.

"At Co-operative Legal Services we strongly believe that having a valid and up to date will should be seen as a fundamental element of responsible financial planning," said the official.

Famous people from history who have died without a will include Martin Luther King Jr, Karl Marx and Abraham Lincoln.

Switching could see £1.25 bn savings

Fri, 25 Jan 2008 16:30:39 GMT

Consumers in the UK could save £1.25 billion on an £8,000 bill by switching providers half way through a term, it has been claimed.

According to research from uSwitch.com, changing the conditions of a repayment schedule in such a fashion is a cheap and easier way to cut costs, as many companies do not charge customers to do it.

It adds that the Bank of England's decision to cut the base rate level of interest by 0.25 per cent last month has already resulted in firms bringing down the switching prices.

Personal finance expert at uSwitch.com Mike Naylor states that loyalty should not be taken into consideration when it comes to financial products.

"In such a volatile unsecured personal loan market, five years is a long time to sick with the same provider as rates fluctuate constantly," he said.

Earlier this week uSwitch.com claimed that 4.8 million people in the UK spend more money than they earn.

Regular savers' £24K nest egg for children

Wed, 23 Jan 2008 16:08:31 GMT

Parents saving for the children's' futures are contributing to an average nest egg of £24,228, it has been reported.

A new study from Norwich and Peterborough Building Society has found that mums and dads put away close to £1,350 every year until their offspring reaches 18.

It adds that February, April and September were the months in which the least was deposited, not November and December, when people may be expected to be splashing out on Christmas gifts.

Group product manager at the firm Gary Lacey comments that parents could still be trying harder to give their children the best possible start to adult life.

"More needs to be done to highlight the benefits of regular monthly saving. The ability to actively put aside regular amounts each month instils a positive savings habit and can really add up in the long run," he said.

Since September 2002, government legislation means that each new child born receives a bond voucher of at least £250 in order to ensure they have some savings by the time they reach 18.

Consumers 'do not read refund policies'

Wed, 23 Jan 2008 16:08:04 GMT

Most consumers admit to not reading the return and refund policies they receive when they buy an item, it has been reported.

A swiftcover.com survey shows that seven out of ten do not know their rights when it comes to bringing back unwanted goods.

It adds that 26 per cent of people have struggled to return an unwanted item, while 47 per cent state that they have signed up for a service without looking around the market for a better deal.

Tina Shortle from the company commented that people in the UK have an impulse attitude when it comes to shopping.

"We've also dropped our guard when it comes to 'sensible' habits like shopping around and as a result we are getting stung by shops' returns policies," she said.

Money charity Credit Action has revealed that the UK's personal debt mountain currently stands at more than £1.3 trillion.

Britons 'spending more than they earn'

Tue, 22 Jan 2008 15:43:08 GMT

A number of people living in the UK may be living beyond their means, new research indicates.

The uSwitch.com study found that 4.8 million adults in Britain are spending more money than they earn.

It adds that the amount people throw away on non-essential items has gone up by 65 per cent in the last ten years, which is close to two-and-a-half-times the rate of inflation.

Ann Robinson, director of consumer policy at the price comparison site, comments "Britain is suffering from a bad case of affluenza".

She said: "We are caught in the grip of a spiral of conspicuous consumption where it's no longer enough to keep up with the Joneses, but instead we want to live like our favourite celebrities."

This comes as research from the Your Money Matters personal finance exhibition has shown that the average age at which men clear their debts in 52 years and three months.

The mean age at which women become free of arrears is 42 years and 11 months.

Skint homeowners 'missing mortgage payments'

Mon, 21 Jan 2008 15:39:17 GMT

Mortgage repayments have been missed by nearly half a million homeowners over the past six month, new research indicates.

According to MoneyExpert.com, 463,000 properties have gone unpaid for at least once since July 2007.

It added that those most likely to miss payments are people aged between 25 and 34 - typically those struggling to get their foot on the UK housing ladder.

MoneyExpert.com chief executive Sean Gardner commented that missing a payment is indicative of "real distress".

"If you are struggling to afford the repayments then now is not the time to stick your head in the sand. A phone call to your lender can ease the pressure enormously," he said.

This comes as research from the Council of Mortgage Lenders show that mortgage prices have fallen to a two-and-a-half year trough.

It states that 21 per cent less was borrowed by homeowners in December 2007.

Pension-less Brits 'still expecting retirement in early 60s'

Mon, 21 Jan 2008 15:38:53 GMT

People in Britain are expecting to retire before they are legally entitled to, despite the fact that they have no pensions provision in place, it has been reported.

According to Baring Asset Management, 33 per cent of Britons are looking to give up work between the ages of 60 and 65.

But it added that a quarter (24 per cent) of people making retirement plans are yet to make any provision.

Rob Lay, head of European sales at Barings, states that Britons need to think and take action if they want their pension plans to come to fruition.

"It is absolutely vital for people to start considering how best to build their pension fund from the day they start working. Unless they make the correct provisions now, that target age for retirement will slip further and further away," he said.

This comes as research from money charity Credit Action shows that the UK is currently in more than £1.3 trillion of personal debt.

Holidays more interesting to Brits than mortgages

Thu, 17 Jan 2008 16:00:29 GMT

Living elsewhere for a few days each year is more of an appeal than choosing a house to buy, if new research is to be believed.

Fool.co.uk comments that almost twice the amount of time taken to decide on a mortgage is spent picking the perfect holiday.

The poll of 2,000 people found that 36 per cent would spend ten hours or more researching a vacation, while 21 per cent would take the same amount picking a mortgage.

Head of personal finance at Fool.co.uk David Kuo believes that this is not something that people can be blamed for, but they should also keep an eye on their money.

"While a good holiday will recharge your energy levels for a few weeks, healthy finances can boost your bank balance for a lifetime," he said.

This comes as research from iknow-uk shows that holiday bookings to destinations in the UK have doubled over the last year.

New credit cards for 2.6m in 2008

Mon, 7 Jan 2008 12:28:11 GMT

People in the UK will be ringing in the new year by switching their credit cards, a financial firm reports.

According to MoneyExpert.com, 2.6 million consumers will be moving their accumulated debt from Christmas to another financial provider.

The firm comments that people should make sure that they are familiar with all of the terms and conditions before switching as they may be charged expensive balance transfer fees.

Indeed, the company states that transferring a £2,000 debt to another card could set consumers back £60.

"The first step towards controlling debt is to cut borrowing costs. The next important step is then of course to pay the debt off but transferring a balance is at least a start," said MoneyExpert.com chief executive Sean Gardner.

Money charity Credit Action reports that the UK has amassed a personal debt mountain of more than £1.3 trillion.

Expats 'turning to the internet to bank'

Fri, 4 Jan 2008 16:32:32 GMT

People who have left the UK in order to live abroad are increasingly turning to the internet to manage their finances, according to new research.

An Alliance & Leicester study has revealed that 92 per cent of expatriates go online to manage their money.

But the research found that only 30 per cent are using an internet offshore account.

Simon Hull, managing director of the firm, commented that these customers may be missing out on some attractive ways in which to look after their money while abroad.

He said: "With internet access now so readily available, offshore consumers should take advantage of internet banking and saving."

Meanwhile, research from the Etnia publishing group shows that there are now 4.48 million foreign residents living in Spain - ten per cent of the country's population.

It added that close to 17 per cent are British nationals.

Money issues this Christmas

Fri, 21 Dec 2007 15:54:13 GMT

People are being reminded to keep an eye on their finances this Christmas by financial experts.

The festive period is a traditional one during which consumers spend money on presents and expensive nights in and out with friends and relatives.

As a result, it may be that people make themselves more vulnerable to crime. The UK's fraud prevention service Cifas has warned Britons to make sure they do not give away their personal details. For example, they should shield their pin numbers when at a cashpoint, while they should also keep wallets and handbags close to them at all times.

When going out, people should make sure that their homes are secure and important documents are locked away, the firm said. This can be done with a small safe, while papers no longer needed but which contain personal details can be shredded.

The company added that people should be especially careful when donating to collectors who may be taking advantage of people's good spirits over the festive season.

"Check whether they are truly who they claim to be before giving them any information. Be just as careful when taking telephone calls. Fraudsters may try to dupe you into believing they are from banks or other companies. If you give them your account and security details they could run up huge debts in your name."

Sainsbury's Bank has revealed that this month people in the UK are expected to withdraw more money from cashpoints than ever before.

Over the course of December 2007, people will take out some £348.1 million, compared to £233.8 million in 2003, it stated.

However, it may be that this means people are risking more if they are mugged.

Alex Blake, head of ATMs at Sainsbury's, commented that the money is withdrawn at a rapid rate this month.

"People are more reliant on ATMs than ever before and the peak time for cash withdrawals is December. This helps explain why there has been a 29 per cent increase in the number of ATMs between December 2003 and June 2007," said the expert.

This comes as money charity Credit Action has revealed that amount of debt accumulated by people in the UK.

According to the firm, the current size of the arrears mountain is more than £1.3 trillion.

Toddlers 'cause £122m of home damage each year'

Thu, 20 Dec 2007 16:01:20 GMT

Parents in the UK pick up a combined bill of £122 million each year due to damage caused by toddlers, it has been claimed.

Les enfants terrible spill drinks, graffiti walls and furniture and damage mobile phones, according to Halifax.

In this respect, a home insurance may be a good present for parents who have just welcomed a son or daughter into the world.

The research added that boys are 20 per cent more likely to damage properties than girls, with spillages and damage to carpets causing despair for 68 per cent of mums and dads.

"Parents can protect themselves from the costs of home repairs and damaged contents by ensuring their home insurance includes accidental damage cover," said Martyn Foulds, senior claims manager for Halifax.

With the festive season upon us, it may be a good idea for people to seek a policy now if they are hosting family gatherings including young children.

Britons make green new year resolution

Wed, 19 Dec 2007 16:19:48 GMT

A large proportion of people in the UK are planning to lead a more environmentally-friendly life in the new year, according to new research.

Friends Provident has found that 13 million are planning to become greener in 2008, with 22 per cent of the population looking to do so on a budget.

This attitude is particularly popular among young people, with a third of 31 to 35-year-olds pledging to do their bit, while 22 to 25-year-olds will also be trying to reduce their carbon footprint.

According to socially responsible investment marketing manager at Friends Provident Julia Dreblow, green issues will be forefronted "more than ever in 2008".

She added: "Many people plan to take an ethical approach to their finances too, by reviewing their investments to avoid investing in companies that are not socially responsible."

Over the summer, the issue of climate change was raised by former US president Al Gore's Live Earth concerts.

Last-minute spending habit revealed

Tue, 18 Dec 2007 16:34:12 GMT

Shoppers in the UK will be spending close to £12 billion in the last week before Christmas, it has been claimed.

Research from Sainsbury's has disclosed the amount, adding that it is £2.7 billion more than was identified by the company in research from 2006.

Some 1.4 million will be spending over £1,000 in the week before Christmas, with men spending the most - £325.48 compared to £231.63 by women.

According to David McLeod, head of cards at Sainsbury's, putting the purchases on plastic may be the best way to go for some.

He said: "Credit cards can be a safe and convenient way to do your Christmas shopping and some provide great rewards for using them. There are a number of credit cards to choose from all offering different terms and conditions."

Those who have yet to finish their shopping may not want to know that there are six days left before Christmas.

Top Christmas presents revealed

Wed, 12 Dec 2007 16:21:35 GMT

New research has revealed which Christmas presents are likely to be underneath the tree come the big day.

Electronic money transfer company PayPal states that food is a common choice among buyers, with 71 per cent choosing it, followed by CDs and DVDs - popular with 70 per cent.

Next on the list are alcohol, clothing and books, present beneath 65 per cent, 64 per cent and 63 per cent of Christmas trees respectively, it added.

PayPal shopping expert Cristina Hoole stated that shopping online is a great way to make sure people receive the presents they want come Christmas morning.

She said: "There are plenty of bargains to be had by shopping online compared to the high-street. If you're prepared to do some digging around on the internet you'll find fantastic and original ideas."

This comes as money charity Credit Action reveals that people in the UK have amassed a total personal debt of over £1.3 trillion.

Credit card charges 'present over Christmas'

Tue, 11 Dec 2007 12:09:49 GMT

People who are celebrating Christmas in a foreign country this year should double-check that they will not be charged hidden fees for using their credit card abroad, it has been claimed.

According to research from the Post Office, most companies will charge an average of 2.75 per cent on overseas transactions, which could prove costly for the 2.4 million leaving the country for the season.

It added that concerned revellers should make sure they avoid such problems this Christmas.

"Regardless of where people are travelling to this Christmas we are urging holidaymakers to ensure the only baggage they return with is the luggage they are carrying and not unnecessary card charges," commented Gary Fitton, Post Office director of lending.

Meanwhile, research from MoneyExpert.com has found that children in the UK will pick up some £2.4 billion in cash gifts over the course of the Christmas period.

Stressed-out Britons hit net for Xmas shopping

Mon, 10 Dec 2007 16:35:36 GMT

People in the UK are using the internet in order to reduce the tension of high street shopping over the Christmas period, new research claims.

According to Abbey, 45 per cent of people complain about the stress of Christmas whether it be through organising family get-togethers or filling stockings for loved ones.

It added that the most stressed-out demographic are the 25 to 34-year-olds, but that this group is also the most likely to hit the internet shops.

Roger Lovering, managing director of Abbey Credit Cards, commented that companies are now doing their best to accommodate consumers fed up with the busy season.

"Reducing tension is paramount and consequently we're seeing retailers such as supermarkets making it easier to buy everything from puddings to presents under one roof or website," he said.

Shoppers may not welcome the fact that there are 14 shopping days left until Christmas.

Price increase in energy 'expected next year'

Tue, 4 Dec 2007 15:45:55 GMT

The price of energy is expected to rise sharply in the new year, according to a consumer switching company.

SimplySwitch.com believes that companies will begin to up charges at some point before the end of February 2008.

The company has commented that even a ten per cent hike could prove too much for homeowners, pushing them into what it has termed "fuel poverty".

But firm representative Karen Darby has commented that there are some policies on the market which allow a lot more flexibility for consumers.

"In the past, capped deals were expensive, with customers paying way over the odds for their added peace of mind. Now, however, some capped tariffs are nearly as cheap as the UK’s best non-capped deals," she said.

An increase in energy bills may prove costly to those recovering from Christmas spending early next year.

Indeed, money charity Credit Action has stated that personal debt in the UK has now exceeded £1.3 trillion.

It pays to be smart this Christmas, says Citizens Advice

Mon, 3 Dec 2007 15:32:45 GMT

Shoppers have been given tips on how to make the most of their finances this Christmas.

Citizens Advice has commented that those who plan in advance will leave themselves fewer problems to deal with in the new year.

In addition, shopping around on the high street and online can see people save money, although unauthorised traders and lenders are not advised.

Furthermore, the body stated that the paying of everyday bills such as rent should not be forgotten in the run-up to the big day.

According to Teresa Perchard, policy director for the group, it is "easy to get carried away" over the festive season.

"With a little forward planning, Christmas panic buying can be avoided. We hope that these top tips will help people take control of their money as Christmas approaches," she said.

Those who have yet to finish their shopping for the period may be panic-stricken to discover that 21 days remain until Christmas.

Consumer credit activity 'tight over Christmas'

Thu, 29 Nov 2007 15:32:04 GMT

This year's activity in the financial market will influence Britons to spend less this Christmas, a new survey has found.

Research from Cornhill Direct shows that 30 per cent of consumers are planning to spend less over the festive period.

Simon Coughlin from the firm commented that home insurance companies are also worried that an increase in burglaries will also put people out of pocket over Christmas.

He said: "The concern for insurers is the potential for crime over the Christmas period. Official recorded crime statistics reveal an increase in domestic burglaries during the coldest and darkest months of the year."

Over the past year, the Bank of England has seen fit to increase the base rate on a number of occasions, with it currently being 5.75 per cent.

As a result, the cost of credit card repayment plans and mortgage deals have gone up.

'Christmas shopping most popular in November'

Wed, 28 Nov 2007 15:43:36 GMT

The most popular month for consumers to begin Christmas shopping is November rather than December, new research has found.

According to Abbey, 32 per cent of people start hitting the high streets for festive gifts one month before the big day arrives.

October is the second most popular month, followed by December and then September, it added.

The company also commented that 2.9 million shoppers began to fill their stockings back in January - perhaps taking advantage of some new year bargains.

But a spokesperson for Abbey commented that homeowners may not be taking this early activity into account when purchasing home insurance.

"There is a risk that many people are unwittingly without the appropriate cover for the gifts they have been buying," said the source.

A number of Britons may be alarmed to read that there are 26 shopping days remaining until Christmas.

Over a quarter of Brits 'unhappy with net speed'

Tue, 27 Nov 2007 16:31:48 GMT

More than one in every four UK broadband users is unhappy with the speed at which they can surf the internet, according to new research.

A study from uSwitch.com found that close to four million consumers are unsatisfied with the coverage offered by their provider.

In terms of broadband speed, the UK ranks 17th in the world - 23 times slower than traffic in Japan.

Steve Weller, head of communications at the firm, commented that Ofcom should get involved and "force" firms to be more honest about the issue.

"It's like selling a Porsche that will only go as fast as a Reliant Robin," said the expert.

Mr Weller added that firms should not be advertising speeds that their service cannot match.

This comes as a study from US firm Nemertes Research has revealed that the internet may choke and slow down by 2010 due to the high levels of video content and interactivity.

Males 'should foot first date bill'

Mon, 26 Nov 2007 15:29:02 GMT

The battle of the sexes still wages on when it comes to who pays for what, new research has revealed.

According to Cater Allen Private Bank, 54 per cent of people think that men should pay for proceedings on a first date.

It added that people starting their relationships in the north are the mostly like to split the cost of an initial night out.

Sally Ann Watts, the company's head of marketing, commented that "communication is the key" to the issue.

"With over 44 per cent of couples arguing over the issue of finance; communication and setting simple ground rules and boundaries early on can help avoid pitfalls later in a relationship," she said.

Those who do end up paying for a first date may want to make sure they do not spend to much and end up in debt trying to impress a partner.

Research from money charity Credit Action shows that people in Britain are currently in a total of £1.3 trillion in arrears.

Bank of Grandparents 'saves mum and dad £900 annually'

Wed, 21 Nov 2007 16:05:53 GMT

Financial assistance from their own parents means that mums and dads in the UK save around £900 per year raising their children, it has been reported.

According to Birmingham Midshires, an average of £75 per month is spent by grandparents on toys, gifts and meals for the youngest generation of the family,

Director of savings operations at the group Jason Robinson commented that grandmas and grandpas are "reaping the benefits" of taking out a long-term savings plan.

He said: "Grandparents are contributing significant amounts of time, money and assistance to their offspring at the same time as adjusting to huge changes in their own lifestyle and income."

Earlier this month, Liverpool Victoria reported that the cost of raising a child totalled close to £166,000.

This factored in the time from when a baby is born to when they reach the age of 21.

Worth of inherited items tops £50m

Tue, 20 Nov 2007 16:09:13 GMT

People in the UK currently have £50 m worth of items inherited that they have stored away, according to a high street bank.

Abbey has reported that ornaments make up the bulk of the unwanted knick-knacks, followed by furniture, memorabilia and jewellery.

In addition, the money institution stated that 36 per cent dare not part with the possessions as they would feel guilty, while 52 per cent attach sentimental value to them.

According to head of insurance marketing at Abbey Prasad Shastri, some homeowners are unwilling to include the hand-me-downs in home insurance policies.

She said: "However, should something happen to your home and you only have a limited sum policy you may end up not recovering the full value of the items in your home."

This comes as research from money charity Credit Action has revealed that the UK currently harbours a personal debt mountain of £1.3 trillion.

Which? reveals charity card swindle

Mon, 19 Nov 2007 16:45:20 GMT

The British public may be being misled by the amount they donate when they purchase a charity Christmas card, according to a consumer company.

Which? has commented on research by the Charities Advisory Trust which found that between 4 and 50 per cent of the cost of the greeting actually goes to the designated fund.

It added that most people in the UK (84 per cent) think that more than 40 per cent should be donated.

The retailer and not the charity is picking up the proceeds, commented Which? editor Neil Fowler.

"If you really want to make a difference, buy directly from the charity or its own shops - or if you do buy from another retailer, make sure you check the small print," he said.

Meanwhile, shoppers late off the mark may be discouraged to hear that there are only 35 days left in which to pick up Christmas presents.

Third of Britons think 'financial chat is rude'

Fri, 16 Nov 2007 15:47:12 GMT

The majority of people in the UK believe that money is a personal subject that should not be discussed, new research shows.

According to The Motley Fool's Let's Talk About Money paper, Britons like to keep their mouths closed when it comes to their finances.

Some 16 per cent of people are embarrassed by their debt, while 13 per cent believe that they might be judged based on their level of wealth, the firm added.

Furthermore, 33 per cent of Britons feel uncomfortable when disclosing the size of their salary.

Head of Personal Finance at the company David Kuo commented that this is a "shame".

"Talking openly about money, especially with close friends and family has many benefits. Money matters can often spiral out of control if you don’t seek advice from others," said the expert.

Research from money charity Credit Action has revealed that the UK currently harbours a personal debt mountain of £1.3 trillion.

Christmas spending trends revealed by Apacs

Thu, 15 Nov 2007 15:52:44 GMT

Consumers are to spend a total of £53 billion over the festive period, it has been claimed.

According to payment firm Apacs, card use is on the rise and close to two-thirds of purchases will be put on plastic.

It added that card use is to reach £34.1 billion in December, 64.3 per cent of all money spent, up from the 61 per cent recorded a year earlier.

Cash and cheque purchases are expected to fall by 4.7 per cent this year from the £19.8 billion paid in 2006.

Sandra Quinn, Apacs director of communications, commented that more people are turning to plastic.

"Whether buying the turkey or stocking fillers, we're most likely to be using our debit card to pay for them this Christmas," she said.

This comes as research from money charity Credit Action has shown that the UK's combined personal debt mountain has reached more than £1.3 trillion.

More students taking jobs

Mon, 12 Nov 2007 16:03:37 GMT

Young people in the UK are taking jobs to accompany their studies, according to new research.

The Royal Bank of Scotland has revealed that 37 per cent more students are turning to career-related jobs while at university than in 2004.

Areas the bank recorded as popular were museum curating, civil engineering and local government work, although traditional vocations such as working behind a bar and shop work are still popular.

Head of student banking for the firm Mark Worthington commented that young people are beginning to recognise the benefit of work experience.

"Taking on term-time jobs which are relevant to their future careers provides excellent experience as well as much needed extra money," he said.

Mr Worthington added that a term-time job "helps ease the financial pressure of being a student".

This comes as the Institute for International Education has revealed that the UK is the leading destination worldwide for people looking to study abroad.

Balance transfer fee 'rake in £459 million'

Tue, 6 Nov 2007 16:23:31 GMT

Credit card companies are set to gain millions from balance transfer fees from consumers, it has been reported.

According to research from uSwitch.com, firms will be raking in £459 million in charges this year.

This will not be the only source of income for the companies, as they also stand to net £71 million on charges from those who withdraw money on their cards.

Mike Naylor, personal finance expert for the firm, commented that people who switch their debt from card to card may find themselves in trouble in the new year.

"The credit crunch could well become a harsh reality in January when two million balance transfer customers try to carry out their next switch," he said.

Research from money charity Credit Action has revealed that the UK is currently habouring a total combined personal debt mountain of more than £1.3 trillion.

Fraud cases 'on the up'

Fri, 26 Oct 2007 15:45:46 GMT

An increase in the number of fraud cases has been reported by a top industry body.

The Credit Industry Fraud Avoidance System (Cifas) has shown that there has been 23 per cent more cases of application fraud in 2007.

False insurance claims have also gone up by just under nine per cent over the course of the year, it added.

Cifas claimed that identity fraud was most prevalent in areas close to the M25, with 16 of the top 20 postcodes for the crime being located in the region.

Peter Hurst, Cifas chief executive, commented on this "worrying trend".

He said: "Fraudulent activity is at an all-time high. Fraudsters are becoming more sophisticated and fraud departments are working harder than ever to protect their organisations from the onslaught."

This comes as two brothers running a hotel in Newry have been fined over £2 million pounds for tax evasion.

According to the BBC, Patrick and John McParland picked up a £1.1 million penalty each.

First-time buyers 'prepared to pick up haunted house'

Wed, 24 Oct 2007 15:28:05 GMT

Most people looking to take a step onto the housing ladder would even buy a house said to be haunted, it has been claimed.

Research from Yorkshire Bank has found that more than half of first-time buyers would pick up a property despite it already having residents of a paranormal kind.

It added that two-fifths would try and get a smaller price for the property, while 30 per cent would prefer to take a house with skeletons in its closet.

However, it may be difficult for people to take out a home insurance policy by claiming that the house is haunted.

"It could prove a little trickier to spot a supernatural problem with your potential property. Doing your research in the local area can really pay off when it comes to negotiating a sale price," said Gary Lumby, head of retail for the bank.

Those with a love of all things spooky may be particularly excited at the moment as Halloween is now just one week away.

People 'more worried about burglary during winter'

Tue, 23 Oct 2007 16:18:14 GMT

Nearly half of the people in the UK believe that they are more likely to be burgled during the winter than at any other time of the year, it has been claimed.

Research from Abbey has found that 47 per cent of British adults prefer to stay in their houses rather than leave them empty and run the risk of being broken into.

Home Office statistics make their fears warranted, as 76,400 burglaries took place between October and December 2006 - an amount larger than those registered over the other quarters of the year.

As a result, home insurance companies may find that they receive a lot more claims during the winter months.

"There is a strong correlation between crime and the evenings getting darker," commented Abbey spokesman Prasad Shastri.

"We would ask people to stay on their guard," the source added.

The nights will get darker this weekend when the clocks go back on Saturday night.

Mortgage-paying families 'cutting back on borrowing'

Mon, 22 Oct 2007 16:25:22 GMT

Families in the UK with mortgages to pay are attempting to reduce the amount of money they are borrowing, according to a high street bank.

Alliance & Leicester has stated that this is down to the effect of recent rises in interest rates, which currently stands at 5.75 per cent.

The bank added that falling rates on unsecured loans over the last year have not been enough to "tempt" people into borrowing more.

Director of strategic planning at the firm Sean Murphy said that those with payments on their houses to make are being responsible with their income.

He said: "Families are cutting back on their borrowing and their saving to help ensure they can afford higher mortgage and other household bills."

Formerly a building society, Alliance & Leicester was founded in 1997.

Last year it saw an increased operating income of £585 million.

Travellers 'waste £350m through poor packing'

Thu, 11 Oct 2007 12:48:20 GMT

Forgetful holidaymakers spent a combined total of £350 million on items they already have at home but had not packed, it has been found.

Research from Abbey shows that 9.6 million people contributed to this amount, meaning 35 per cent of those going away had to double-up at airports.

Toiletries made up the most forgotten items (45 per cent), followed by travel plugs (34 per cent) and sun tan lotion (25 per cent).

It may be that those who forget to take out travel insurance also find themselves out of pocket if they have an accident during their trip.

Abbey’s head of banking Steve Shore was astonished by the results.

He said: "It's amazing the total amount wasted repurchasing items travellers already own. It seems that a little more forward planning could save the nation a collective fortune."

Research from Credit Action has found the UK’s total combined personal debt to be £1.3 trillion.

Disposable income 'at lowest level since 1997'

Mon, 8 Oct 2007 15:58:52 GMT

The amount of money Britons have to spend on what they please has reached its lowest level in ten years, it has been reported.

According to research from uSwitch.com, this has been caused by increases in tax and social contributions, which have gone up by 85 per cent and 77 per cent respectively.

It added that essential household costs have gone up in price by 42 per cent while 73 per cent of people in UK towns and cities have less to spend than the average national disposable income of £16,262.

"Our pay cheques may be getting fatter, but the chunk that we have to hand over to pay taxes, bills and other living costs is growing even faster," said Mike Naylor, personal finance expert at the firm.

This comes as research from money charity Credit Action has revealed that UK's personal debt mountain to be in excess of £1.3 trillion.

"Spend more on us," say moaning partners

Fri, 5 Oct 2007 12:06:52 GMT

A proportion of boyfriends, girlfriends, husbands on wives in the UK are not spending enough on their significant others, new research has indicated.

Findings from Abbey Current Accounts show that 5.9 million people think that their partner does not spend enough on them.

This is a serious issue for the 792,000 people who have actually split up with someone over it - 40 per cent of these being between 18 and 24.

It also found that the amount being spent peaks at 60, when people are spending £1,858 on average on their partners.

Steve Shore, head of banking at Abbey, commented that "love does not come cheap".

He said: "It costs over £1,500 a year to be in a relationship and love keeps on getting more expensive as you get older."

Spending on relationships may stay as it is over the next month, as the Bank of England's monetary policy committee has decided to hold the base rate of interest at 5.75 per cent.

Fraud losses 'up over first half of 2007'

Thu, 4 Oct 2007 16:22:38 GMT

The amount being lost by consumers in the UK to fraud has gone up over the first six months of the year, it has been announced.

According to uSwitch.com, there was a 26 per cent increase in such cases over the period, with a 126 per cent rise in incidents of British cards being used for such purposes abroad.

It would seem that fraudsters have found "another loophole in the system" - using cloned cards in other countries, commented personal finance expert at the firm, Mike Naylor.

He said: "Going forward, the solution is completely out of the hands of the consumer but simple rules can be followed to minimise opportunities for fraudsters."

Fraud is something people in the UK may find particularly crippling, considering recent debt statistics from money charity Credit Action.

The firm has estimated that Britain has an arrears mountain of over £1.3 trillion.

Newborns lead to new debt, research indicates

Wed, 3 Oct 2007 16:20:10 GMT

People who have just had babies typically run up debts of over £1,000 in the year after birth, new research has shown.

According to MoneyExpert, this is the average amount, although seven per cent rack up £2,500-worth while two per cent owes more than £7,000 by the end of the time period.

The research added that 39 per cent of parents together lose earnings following a child's birth, as many reduced their hours in order to accommodate the baby.

Sean Gardner, MoneyExpert.com chief executive, commented that there is often a negative impact to be had from the arrival of a newborn.

"For most of us worries about money go out of the window with the joy of having a baby. It's hard enough coping with the sleepless nights and new responsibilities without thinking about budgets," he said.

This comes as money charity Credit Action has revealed that the amount of personal debt racked up by Britons totals £1.3 trillion.

Abbey issues warning to uninsured students

Tue, 2 Oct 2007 16:06:55 GMT

Close to one in three students are uninsured, according to a recent estimation.

Abbey has revealed that 30 per cent of people at university are expected to be without cover.

This comes despite the fact that one in ten has personal possessions worth more than £5,000, bringing around £3,324 with them from home.

A computer is the most common expensive item students own, followed by televisions, books and a stereo, it added.

People should be looking to insure such goods not as a option, but by necessity, according to Abbey head of insurance marketing Prasad Shastri.

"Over 60,000 students believe the value of their belongings does not justify buying insurance, but we find many people are shocked with how much their belongings are actually worth.," said the expert.

Meanwhile, research from Halifax has found that 71 per cent of people at university will need the help of a student loan to get by, according to Fair Investment.

Britons 'keep £49bn for special purchase'

Mon, 1 Oct 2007 16:32:50 GMT

People in the UK are saving up in order to have money ready for a special expensive purchase, it has been reported.

According to research from Abbey, 14 million savers have amassed around £3,500 each and £49 billion in total.

Holidays top the bill when it comes to what they want to spend it on, although home improvements and car purchase also ranked highly.

Similarly, weddings and cosmetic surgery were also listed, the company commented.

Reza Attar-Zadeh, Abbey's head of savings, commented that the results of the research were "heartening".

"Nothing beats that feeling of being able to splash out on something you have saved long and hard to own," according to the expert.

Despite this, money charity Credit Action has revealed that extent to which Britons are in arrears.

The company commented that the UK has a personal debt mountain of £1.3 trillion.

East Midlands children 'get more spends'

Fri, 21 Sep 2007 16:03:32 GMT

New research has revealed the stingiest and most generous parents in the UK by region.

According to Engage Mutual Assurance, mums and dads in the East Midlands were most likely to give kids an allowance, with 55 per cent opening their wallets.

Next came the south-east and the north-east - tied with the north-west - 53 per cent and 52 per cent respectively giving their children something to spend.

However, bottom of the pile was London, where 33 per cent of people give their kids an allowance, although this may be for another reason, spokesman Karl Elliott has claimed.

"It is pleasing that so many parents are saving for their kid's future and those children in areas where parents are the tightest on pocket money will thank them in years to come," he said.

Children born after September 1st 2002 are automatically awarded a Child Trust Fund account, which parents can use to contribute to their future.

Britons will waste '£125m in CTFs in 2007'

Thu, 13 Sep 2007 15:46:28 GMT

People in Britain will not be taking advantage of over £100 million-worth of child trust funds (CTF) this year, it has been claimed.

According to Unbiased.co.uk, 71 per cent of parents have opened the accounts since the birth of their children, although £125 million will be wasted as some choose not to use them this year.

Chief executive of the company David Elms commented that the funds are a method of ensuring young people have a good financial standing in life.

"Our research has shown that parents are not making the most of this opportunity ... By not using their full funding allowance each year they may potentially be gifting the taxman more money than necessary," he said.

Child trust funds are savings accounts available to infants born on or after September 1st 2002.

Once they open an account, they receive a voucher for at least £250 from the government.

Personal finance classes given £11.5m boost

Mon, 10 Sep 2007 16:17:18 GMT

The government is to spend £11.5 million rolling out a new curriculum which teaches children about personal finance.

According to HM Treasury, children, schools and families secretary Ed Balls and treasury minister Kitty Ussher have announced the cash injection as a way to get children to think about the importance of managing money.

Mr Balls commented that it is important to give young people a head-start on monetary matters.

"It's never too early to encourage children to think about money and saving for the future," he said.

Ms Ussher added that such financial understanding represents a "key life skill".

Earlier this year, money charity Credit Action revealed that extent of the UK's personal debt mountain, made up of credit card bills, loans and other repayment programs.

The organisation claimed that Britain was in arrears by more than £3.1 trillion.

Some 6% of Brits happy to give back when wealthy

Fri, 7 Sep 2007 15:49:38 GMT

Only a handful of people in the UK would be willing to contribute something back to society in the event that their financial worries dry up, it has been reported.

According to the Motley Fool, six per cent have said that they would give money to charity and good causes if they were to become rich.

Nearly a third (31 per cent) of those surveyed would sooner travel, while 11 per cent would choose a quiet life instead.

Head of personal finance at the company David Kuo commented that for many, charity begins at home.

"This is not entirely unreasonable given that attaining financial objectives is never easy, especially if we set tough targets for ourselves. Consequently, there is nothing wrong with rewarding ourselves generously after we reach our financial targets," he said.

Back in reality, the UK's personal debt mountain is more than £3.1 trillion, according to Credit Action.

Nearly 4m Brits in debt denial

Thu, 6 Sep 2007 16:06:18 GMT

Close to four million people in the UK are denying that the debt in which they are living is a problem, it has been claimed.

Research from management specialist Chiltern has found that one in 16 Britons pays off their arrears using more than a quarter of their monthly wage packet.

The company added that people aged between 35 and 44 are the most indebted, with East Anglians the most common deniers.

Across the UK, one in 45 was found to be of the belief that their monetary situation was a problem or that their finances were being stretched.

"There are lots of people who are officially overindebted, but two-thirds of them don't think they have a problem," said Joanne Gill, spokesperson for the firm.

Nationwide there is a total combined personal debt mountain of over £1.3 trillion, according to money charity Credit Action.

Football fans 'may seek debt advice' after this season's live game

Wed, 5 Sep 2007 15:31:37 GMT

Around the UK, football fans are ready to give up going to see a live game in reaction to increasing ticket prices.

New research from Virgin Money has claimed that nine per cent of enthusiasts will give up the beautiful game for a more pleasing cash balance.

This may mean that those who simply cannot give up going end up in bad credit and seeking debt advice.

Chelsea fans were found to be the most apathetic by the firm, with close to a quarter admitting they will not be attending as many matches, while Blackburn Rovers' frozen ticket prices have had a positive result on fans.

"The ordinary football fan is up against it this year," said Virgin Money spokesman John Franklin.

"The overall cost of following your team continues to rise."

Meanwhile, money charity Credit Action has stated that the UK has a personal debt mountain of over £1.3 trillion.

Financial advice 'more valuable than pay-off'

Fri, 31 Aug 2007 11:55:50 GMT

Helping a person sort out their finances is more productive than paying the amount off for them, it has been claimed.

According to the Debt Advice Bureau (DAB), this may be the most effective way of ensuring people get to the root of their monetary worries.

This comes after research from DebtSmart.com claimed that under a third of the 59 per cent who lend cash to friends actually get it back.

When it comes to family, 70 per cent give cash but only 58 per cent reclaim it later on.

Stephen Rose, director of the DAB, stated that lending money is not a
solution to paying off debt.

"In no short space of time debts are being wracked up again. That can't go on ad infinitum, obviously the person getting in debt each time isn't learning anything from it," he said.

Meanwhile, Credit Action has estimated that the UK is in £1.3 trillion of personal debt.

Citizens Advice: Teach personal finance in schools

Thu, 30 Aug 2007 12:04:48 GMT

Children should be taught personal finance while they are at school, a consumer organisation has claimed.

According to Citizens Advice, the classes in economic wellbeing and financial capability announced in July 2007 are something which it supports.

The intention of the classes would be to help young people understand how to be responsible with their finances and avoid debt in the future.

A number of ways exist through which to get the message across, said a company spokesperson.

"There are a whole variety of ways of engaging young people of that age with the issues. There are many different methods, ranging from drama to a whole load of other things," the representative commented.

This comes as money charity Credit Action has claimed that the UK has now amassed a personal debt mountain of more than £1.3 trillion.

Most parents 'struggle with school costs'

Wed, 29 Aug 2007 15:17:54 GMT

Most parents find it difficult to pay for their children's school costs, according to new research.

Citizens Advice has stated that three out of every four families struggle to pay for school photographs, field trips and stationery in a survey which included over 1,000 people in June and July 2007.

Over half expected the cost of school uniforms to go up next term, whole 40 per cent were unaware of any financial assistance that may be available to them.

For a number of parents, basic education may be costly, stated David Harker, Citizens Advice chief executive.

"The government should take stronger action against schools to make uniform policies more realistic and affordable and should monitor schools to make sure they stick to the guidelines," he commented.

Meanwhile, research from the Sutton Trust has stated that boys are less likely to go on to higher education from school than girls.

Electricity firms 'still cashing in with regional rates'

Fri, 24 Aug 2007 15:13:15 GMT

Electricity companies are still making money out of the regional monopoly status they held in the past, it has been reported.

According to the uSwitch.com, suppliers are charging people in the areas in which they are based an extra ten per cent - £32 on average.

The price comparison site added that in nearly every region, competitors are cheaper than the local company.

Ann Robinson, director of consumer policy at uSwitch.com, criticised the firms guilty of doing this.

"Tactical regional pricing is a tax on loyalty. Electricity suppliers are treating local long-standing customers like cash cows, using them to subsidise the more competitive prices they are offering to new customers in other regions," she said.

Meanwhile, recent research from the company has suggested that electricity is not the only area in which consumers are missing out.

The firm has revealed that £1.8 billion in texts and calls are being left unused in contracts every year.