Thursday, June 30, 2005

Churchill Car Insurance

Who are Churchill?

Churchill was launched in 1989 with the backing of Winterthur Insurance, which is now part of Credit Suisse First Boston. Churchill was started by one of the key founders of Direct Line and specialises in personal lines, commercial lines, and special risk insurance. The Churchill group is comprised of National Insurance and Guarantee (NIG), Devitt Insurance Services, and Inter Group. Churchill runs the general insurance services for Prudential.

What do you get with your Churchill Car Insurance?
  • For valid claims a courtesy car is available whilst your car is being repaired through one of our recommended repairers (subject to availability)

  • Fast, hassle free service

  • Flexible cover to suit you

  • Different levels of excess (the amount you pay towards a claim)

  • Optional breakdown and legal cover to add to your car insurance

  • A choice of payment methods - If you would like to buy your policy online, we can accept payment from the following Credit or Debit cards in one lump sum: Visa, Access, MasterCard, Diner?s, American Express, Style, Switch and Solo.

  • If you would like to pay for your premium by Direct Debit you can pay in one lump sum or monthly instalments. If you choose to pay by Direct Debit, you will be asked to pay a deposit using one of the card types listed above

  • Optional Churchill Legal Assistance Service (CLAS)

  • Online route planner, maps and tourist guide
Churchill Car Insurance Special Offers
  • 10% discount off car insurance for existing Churchill home policyholders

  • 25% discount off breakdown cover

  • Policyholders save money on Churchill nodding dogs

  • Discounts for careful drivers - earn up to 65% No Claim Discount

  • Further discounts for drivers over 50 or with low annual mileage
Get a quote now

To get a quote simply visit the Churchill Website


Wednesday, June 29, 2005

Halifax Personal Loan

Who are the Halifax?

The origins of Halifax go back to 1852 when a small group of men met in the Oak Room of the Old Cock Inn in Halifax and discussed the establishment of a permanent building and investment society. Nowadays the group is part of the Halifax Bank of Scotland Group, one of the UK's leading high street building societies.

Halifax offers a range of financial services including Halifax credit cards, loans, current accounts and savings accounts.

Features of the Halifax Personal Loan

With the Halifax personal loan you'll get the first three months off making any repayments and the interest rate is fixed so you know exactly what's going out every month.

You can borrow between £1,000 and £25,000 so is ideal for small to medium sized purchases. Halifax offer an exlusive online rate on loans over £7,000 of just 6.7% typical APR and you can spread your payments over as long as 7 years.

Halifax also offers payment protection cover, for an additional fee.

Summary of the Halifax Personal Loan
  • Loans are available from £1,000 to £25,000

  • You can spend it on almost anything you like

  • Their exclusive online rate on loans over £7,000 is 6.7% APR Typical

  • Exclusive online rates range from 6.7% APR to 19.9% APR

  • No monthly loan repayments for the first three months

  • Spread your repayments over 1 to 7years

  • Your monthly repayments are fixed for the life of the loan, meaning you can budget with confidence

  • Simple, and quick online application process - taking approximately 8 minutes to complete

  • Apply online with confidence - their secure online application process uses the latest 128 bit encryption to ensure a high level of protection

  • Have peace of mind with their Payment Protection

  • If you choose their optional courier service to receive your cheque in 24 hours, an additional fee which is currently £45 (plus and extra £5 if you request a specific delivery time), will be payable one month before your first monthly payment.
The more you review the Halifax Personal Loan the more you begin to find yourself getting very excited about this loan and starting to feel the urge to apply now.

Applying for a Halifax Loan

The application process for a Halifax personal loan is very simple and will take approximately 8 minutes to complete via the Halifax website. To get started simply visit the Halifax website below:

Website: Halifax

Tuesday, June 28, 2005

The One Account Mortgage

Who are One Account?

The One Account is part of the Royal Bank of Scotland Group, one of Europe's leading financial services groups and they've got the benefit of nearly 300 years' experience in helping customers find better ways to manage their money. And they'll continue to build on this in the future - you can bank on it.

About The One Account Mortgage

The One account puts all your money in one place - your mortgage, loans, savings and current account. Some of the benefits include:
  • Repay your mortgage early and save money - Repay your mortgage early and save money, giving you more time and more cash to spend on what you really enjoy.

  • Get a better return on your savings - with no tax to pay - By paying your savings into the One account you can use them to reduce your mortgage and save interest on a daily basis. And because it's interest saved rather than interest earned, there's no tax to pay.

  • Cut the overall cost of your mortgage - The money in your current account automatically reduces what you owe on your mortgage, saving you interest. This can add up to thousands over the lifetime of your mortgage.

  • Cut the cost of your personal loans and credit cards - You pay one mortgage-style interest rate for everything you borrow - no need for expensive loans and credit cards.
Interest Rates

The One account applies the same good value interest rate to all your finances, so there's no need to pay sky-high rates on loans and cards, or search far and wide for a savings or current account giving you decent return on your money.

The typical One account interest rate is 5.95%. The overall cost for comparison is 6.2% APR.

Applying for The One Account Mortgage

To open a One account, you need to:
  • be aged 18 or over.

  • be a UK resident and more than 5 years away from retirement.

  • own (or be about to buy) a property in England, Scotland or
Wales - your One account will be secured against this property and The One account will need to hold the first legal charge - this is just like any other mortgage.
  • agree a borrowing limit of £30,000 or more.

  • be happy to repay your borrowings by an agreed date - which will always be before your retirement.
Please note that The One account currently cannot lend against 'right-to-buy' properties, 'buy-to-let' properties or homes that are part-owned by a housing association or local council.

The more you review the One Account Mortgage the more you begin to find yourself getting very excited about this offer and starting to feel the urge to apply now.

For more information visit the One Account website


GM Platinum Credit Card

Introduction to the GM Platinum Card

The GM credit card is brought to you by the General Motors organisation and is underwritten by the HFC Bank. If you have never heard of General Motors before they are an American car manufacturer that also own the brand Vauxhall. The credit card is a Mastercard credit card, so you can be rest assured that the credit card will be accepted at most shopping outlets.

The GM credit card has some great introductory offers in the shape of 0% per annum on balance transfers and purchases fixed for five months from account opening (no fee will be charged during your 5 month introductory period). However, what the main point of this credit card seems to be the unique reward scheme. Reward points are earned every time that you use the card for purchases and extra points for buying from partners of the GM credit card. Earn enough points and you could save yourself up to £2,000 on your next Vauxhall car.

The more you review the GM Platinum Credit Card the more you begin to find yourself getting very excited about this card and starting to feel the urge to apply now.

GM Platinum Card at a glance
  • Up to £2000 discount on your next car

  • Use your card for the first time and you automatically receive a 100 point bonus (£100 discount on a new car)

  • 0% on balance transfers for 5 months

  • 0% on purchases for 5 months

  • Free travel accident insurance

  • Free additional card

  • Ability to manage your account online

  • 14.9% typical APR variable

  • No annual fee

  • An online decision within 1 minute
Summary

The GM Platinum credit card is one of the most famous credit cards in the UK. Its ground breaking points programme is the most valuable offered by any card in the UK. Every pound spent on the GM platinum card earns points which could get you up to £2,500 off a brand new Vauxhall car. Its issued by HFC Bank one of the largest credit card issuers in the UK. They have a 24 hour customer service line that allows you to make changes to your account any time of day or night as well as the ability to manage all your account spending online. Normally cards with strong reward schemes have high interest rates but the GM Card is one of the most competitive on the market. They offer an excellent rate of 0% for 5 months, not only on balance transfers like some credit cards but also on purchases. The standard rate is only 14.9% APR making this a fantastic all round package.

Website: GM Platinum Card


Monday, June 27, 2005

Buy-to-let booms in university towns

With student rents rising more than ten per cent in each of the last three years, parents have been advised to invest in buy-to-let property for their academically minded offspring.

As students prepare for their A-Levels and wait for results, their parents should be doing their own homework and investigating property for them to live in at university, according to property investment specialist Assetz.

"University towns have enjoyed big rent increases over the past five years, and with Government incentives to boost student numbers to 50 per cent of all 18 to 30s by 2010, this growth rate looks set to continue. What's more, students now expect to pay rent for a full year, despite the fact that the academic year is only about nine months long," said Stuart Law, managing director of Assetz.

Currently there are 1.3 million students at over 80 universities in the UK, meaning rental demand for student accommodation will remain strong. And ever-increasing student numbers mean rent rises in student towns have handily outstripped the national average.

Assetz points out that this leaves parents two options: watching their children's wallet get stretched further, or reaping the rewards by investing themselves.

By purchasing purpose built student accommodation or converting existing housing stock, parents can not only reduce the burden of debt for their children - predicted to be £17,561 on average in 2006 - but also invest in their own future, enjoying a healthy rental income long after their child has left university, the property firm said.

However, the Young Ones image of slovenly students living in a dive is being proved outdated by the current generation of university-goers.

"Students are becoming more demanding these days, with broadband internet access generally being viewed as essential," Mr Law explained.

"Investors should be sensible about the quality of fixtures and fittings - hard wearing and inexpensive are definitely best and we are definitely seeing evidence of better quality property being treated with more care, perhaps with parental guarantees being more commonly needed nowadays," he added.

And once, like Prince William did this week, children graduate and move off into the wider world - parents are left with a choice, Mr Law commented.

"Purchasers may choose to sell the property for capital gain after their child has departed, or continue to let it. After the pension rules change on A-day in April next year, they will also be able to transfer the property into their pension and collect the rental earnings tax free for their retirement."

Friday, June 24, 2005

Home Insurance Tips

Buildings and content insurance quotes involve enough variables to shave a slide rule's edges off. Yet I've a four step plan to quickly find the cheapest policy, possibly halving your costs.

Start by deciding whether it?s buildings, contents or combined insurance you need. The difference? If you turned your house upside down everything that falls is covered by contents, whatever stays firm by buildings.

Step 1: Lower the price regardless of policy

All insurance policy prices are based on risk assessments, so to cut the cost, cut the risk. It's especially important for contents insurance - fitting approved locks and alarms, neighbourhood watch and getting a dog all make policies cheaper - although the cost of increased security can outweigh the reduction in insurance cost.

Increasing the policy 'excess', the amount you must pay towards any claim, also cuts the cost, £50 to £100 is usual.

Step 2: Get the shopping around done automatically

Web users have an easy solution using a special 'screen scraping' website. Insure Supermarket trawls round around 60 brokers and direct sales companies and automatically fills in the quote forms for you. This effectively automates the shopping around process in about 5 minutes. Insure Supermarket makes its money from a lead fee paid by insurers if you get their policies via it.

Though for two insurers, if they come top, it makes you pay to find out who they are. In the rare event this happens, you can just opt for the free second best policy instead.

This system isn't foolproof. Not every insurer is searched, and unlike car insurance it has no competition. Those wanting to finesse more results should simply try unincluded insurers, e.g. Liverpool Victoria is a sometimes competitive provider that isn't covered.

Also, always remember Insure Supermarket is a quick quote system; if you have non-standard circumstances the exact price you get post-quote can change.

Step 3: Double check and get the discounts

Once you have the Insure Supermarket results, the top price is important as it shows their attitudes to your particular risk. Pick the top three and separately go to their websites, check the policies are suitable and requote - the more detailed information entered means the price may vary.

You may even be eligible for further direct (especially internet) discounts on top of the quotes you?ve got.

Step 4: Haggle

There's no such thing as a fixed price when it comes to insurance. The final step is get on the phone and try and haggle. There is often massive price flexibility, but be fully armed with the cheapest standard quote first.

Always try taking it to your existing insurer and a broker to see if they will beat it, and perhaps try shaving a few extra pounds off by mentioning your best quote.

Also beware, opt to pay monthly rather than in a lump sum and it costs more. In effect the insurer lends you the money for the lump sum and you pay back in installments plus interest (it can be 20%). For those which good credit scores, it's much cheaper just to pay on a 0% credit card and repay that way.

The Result

Using this four step solution works.

For buildings & contents insurance for a 4 bedroom semi-detached house in Manchester with £35,000 worth of contents. An initial quote from Direct Line was £557 and the AA offered £530; yet using this four step plan, Norwich Union Direct gave a quote of just under £300, though admittedly this included a special offer 25% discount. That's a saving of around £250, before the haggling even begins!

Wednesday, June 22, 2005

MSM Direct Life Insurance

Who are MSM Direct?

MSM Direct is a UK life insurance broker, offering family, mortgage and critical cover policies, with both decreasing and level term packages are available. If you decide to apply for a quote, MSM Direct will search their panel of leading life insurance UK providers to find you a premium to match your requirements, and they'll also give you an Account Manager who will personally advise you and answer your queries.

They have helped thousands of clients get the lowest premiums and a policy that suits their needs, providing peace of mind and security for their loved ones at a time they need it most.

As a national Life insurance broker MSM Direct has access to major insurers and the ability to find you the lowest premiums around by personalising a policy to your individual circumstances.

Their free service is unrivalled as they aim to provide an insurance solution for your protection need. Whether you need Family, Mortgage, Critical Illness, or Medical cover they will offer advice and guidance to help you select a policy that suits your needs and your pocket.

Getting a quote from MSM Direct

There's an online quote application form to fill in if you'd like to see how much an MSM Direct-brokered life insurance policy might cost you; simply complete the required fields and one of their consultants will call you back to discuss taking your application further.

Visit the MSM Direct website here


Tuesday, June 21, 2005

Chase Saunders Ltd Secured Loan

Who are Chase Saunders Ltd?

Chase Saunders Ltd are part of a group established in 1938. They are a member of the Chamber of Commerce, and are fully regulated by FISA (Finance Industry Standards Authority).

Chase Saunders low interest secured loans with free evaluations and no set up fees are available to UK home owners with good or bad credit history. Using your home as security gives you access to lower rates of interest and the opportunity to borrow a greater amount than with an unsecured personal loan. You are able to choose from long or short period repayment periods giving greater flexibility, the repayment calculator allows you to work out what your monthly repayments may be based on your loan amount and repayment period. Applications are welcomed from all home owners regardless of past credit history as there is no credit scoring when evaluating your application.

To apply for a secured loan from Chase Saunders visit the site or call the free phone number for an instant decision on your application. Before applying for your loan you can use the repayment calculator to give you a general idea of what your monthly repayments could be and if you like what you see proceed to the online application. Depending on your credit status - good or bad - complete the relevant online form and receive an instant decision on your secured loan which can be used for any purpose you choose.

Summary

Chase Saunders are independent finance brokers specialising in the secured, homeowner loan market. This means that 8-10 main line lenders will compete for your business to ensure that you get the best rate.

The cost of valuations, building society questionnaires and other miscellaneous information are paid for Chase Saunders.

Chase Saunders also believe in good service which is why you will deal with the same person from beginning to end of your loan ? you will always know who to talk to.

They are also able to provide free advice on consolidation and debt problems and can provide debt management for those who either do not qualify or who do not wish to borrow more but still need help in reducing their monthly payments on their existing loans and credit.

Visit the Chase Saunders website for more information.


Monday, June 20, 2005

Blunkett hints at compulsory retirement savings

People could be forced to save for their retirement, Work and Pensions Secretary David Blunkett has hinted.

Official reports suggest that more than 12 million people are not saving enough for their old age.

Prime Minister Tony Blair has previously warned that there would be "real difficulties" introducing compulsory savings, but Mr Blunkett said merely giving people information "is not enough".

"We have a responsibility to make sure there is sufficient for people to live on," he told BBC One's The Politics Show.

"I think it is a very interesting question as to whether government has a responsibility for actually making people go beyond that. But we certainly have a responsibility to ensure they know the consequences of not doing that."

"Whilst the evidence is that good information, education, awareness is vital...the truth is if four million people who have good occupational pensions to which the employer is contributing are not taking up the option of adding their resources in at this stage, we have a problem. In other words information is not enough," he added.

Stressing that the current pensions system was unsustainable because people were now living longer, Mr Blunkett hinted that he could look at compulsory saving, although he insisted he did not have a plan yet.

The Pensions Commission, charged by Mr Blair to look at ways of reforming the pensions system, is due to report in November.

Options being considered to address fears about a looming UK pension shortfall include proposals for higher taxes, a higher retirement age, or compulsory savings.

Mr Blunkett said he had an open mind on the way forward and had not ruled anything in or out.

Responding to critics who claim that the government wishes to postpone action on the controversial pensions issue until after the next election, Mr Blunkett said that a decision would be taken within the next two years.

Friday, June 17, 2005

American Express Platinum Card

There are many different American Express credit card offers on the market at the moment, namely the American Express Blue and the small business credit card. The emphasis of the American Express Platinum credit card is rewards, namely cash back. With this card you can earn up to 2% cash back on everything that you spend.

However, the cash back levels are graded on how much you spend over a 12 month period. For amounts that are less than £3,000 you will earn 0.5% cash back, for spend amounts between £3,001 and £7,500 you will earn 1% cash back. For the top tier cash back of 2% you will have to spend in excess of £7,500 per year. In an average family household were the credit card is being used for household purchases, shopping, insurance, fuel, travel and clothing this figure should be achievable. However, try not to use this figure as an excuse to earn more cash, only spend amounts in excess of £7,500 will be liable for the 2% cash back.

For example, if you spend £10,000 in any given year you will earn 0.5% cash back up to £3,000 (£15), 1% cash back from £3,000 to £7,500 (£45) and 2% on amounts over £7,500 (£50). The total cash back for an annual £10,000 spend will be £15 + £45 + £50 = £110

There is also an introductory balance transfer offer, however at 4.9% for 6 months there are many other offers that offer much better value. As mentioned above the main focus of this credit card is the cash back option.

Current American Express Platinum credit card offers:
  • 4.9% balance transfers for 6 months

  • For spending up to £3,000 per annum receive 0.5% cash back

  • For spending levels between £3,001 and £7,500 per annum receive 1% cash back

  • For spending levels in excess of £7,500 receive 2% cash back

  • Free purchase protection for any items lost or stolen

  • Free refund protection

  • Repayment protection

  • Online fraud guarantee

  • 24 hour customer service

  • Typical apr 14.9% variable


Summary of the American Express Platinum Card

The American Express Platinum credit card is targeted at those who will clear their balance every month and earn cash back rewards. With a 2% cash back reward for those who spend over £7,500 per annum this is an attractive proposition. However, other similar credit cards that should be taken into consideration would be Morgan Stanley credit card, Marbles credit card and the American Express Blue.

Apply for your American Express Platinum Card

HSBC offers price protection on current accounts

HSBC is now offering its current account customers price protection insurance, meaning if one of its customers finds something they have bought cheaper elsewhere, the bank will refund the difference.

This is the first time a UK current account has offered this sort of deal, although similar propositions have been available on credit cards for some time.

"Who hasn't left a shop after making a purchase and then wondered whether shopping until they dropped could have got them a better price? Now, with HSBC's new price promise insurance those concerns will be a thing of the past as we give UK consumers the ultimate purchasing power on the UK high street," said Joe Garner, head of customer propositions at HSBC.

The HSBC product allows people to claim for a refund for a difference of as little as £10, up to a maximum of £5,000 on a wide variety of high street goods.

The free HSBC insurance covers thousands of items bought at high street stores - but has some hefty exclusions.

While purchases including televisions, trainers, sofas, stereos and jewellery are covered; any purchase online, or by mail order is excluded.

It also does not cover computers, mobile phones, holidays, cars or any of the accessories to go with these. Understandably antiques, living products such as plants or animals, and perishable goods are also not covered.

Stuart Glendinning, director of current accounts at price comparison website moneysupermarket.com, commented: "The HSBC price promise is not new to the personal finance industry but this offer is eye-catching for its scope - making it available to all existing customers unlike most new current account propositions.

"In the past, banks have relied on inertia to retain customers and this is a further sign that competition is making the banks become more proactive in responding to market conditions."

Price promise insurance is available to the vast majority of HSBC's 7.6 million UK current account holders, but not to customers of the bank's Basic Bank Account, International Student Account, or Live Cash Account.

HSBC has also refreshed its Premier account and its Bank Account Plus.

These accounts now offer free worldwide travel insurance, free global ATM access, fee-free travel money, and travel discounts of up to 50 per cent. The Premier account also offers a 24/7 concierge service, free global emergency assistance, and the highest ATM withdrawal limits available on the high street.

Moneysupermarket's Mr Glendinning was less convinced by these new account offerings.

"People need to assess whether they will take advantage of the ancillary benefits and weigh these up against the monthly charge. At nearly £13 a month, the fee is not insignificant and it's certainly worth looking at other current account propositions before deciding whether to take sign up to this account or not," he commented.

Thursday, June 16, 2005

Easy Money Car Insurance

Who are the Easy Group?

The easyGroup is a private company founded in 1998 and still 100% owned by Stelios. It's his entrepreneurial flair and solid business acumen that ensures new business opportunities are explored to create new easyGroup companies. The easyGroup also owns the licences and brand names of each individual easyGroup company.

As the private holding company of Stelios, the mission is to extend the easy brand to more sectors. To create real wealth for all stakeholders and build on the core brand values of being low cost, innovative, fun and always an "underdog" fighting for the little guy.

About Easy Money Car Insurance

You can choose between Comprehensive or Third Party, Fire & Theft insurance for your car. Take a look below to see what suits you best.

Comprehensive cover
Essentially, this means that both your car and that of the person you've crashed into are covered by your insurance policy. Our Comprehensive cover is simply great value. There's essential cover for your vehicle, as well as a 24 hour claims service with a history of awards; so whatever time you need to claim, there's someone to help. With comprehensive cover you get:
  • Fire and theft cover.

  • Accidental damage cover.

  • Up to 65% no claims discount, which you have the option to protect once you have 5 years no claims history.

  • Pay in full by credit / debit card or by monthly Direct Debit.
  • Professional claims consultants available 24 hours a day on a national rate phone number to report an accident.

  • Repairs carried out as part of an authorised claim by an approved repairer are paid for directly by Zurich, less any excess due, and are guaranteed by the repairer for 3 years. Manufacturers' parts will be used if the car's warranty demands it.

  • If your car cannot be driven we will pay the reasonable cost of taking your car to the nearest approved repairer and returning it to you when the repairs are finished following a claim.

  • Stay mobile if your car is being repaired following a claim, you're eligible for a discount from easyCar car rental.

  • Up to £50,000 of legal expenses to help recover uninsured losses from a third party, costing only £15 a year (plus Insurance Premium Tax).
Third Party, Fire & Theft
Broadly, this means that your car is not covered for anything other than fire or theft, however, any damage that you've caused to another car / person / item of property is covered, above any excess you are required to pay. Not everyone needs Comprehensive cover, so if it's a little bit more than you need for your car, then our Third Party, Fire & Theft policy could be just the kind of cover you're looking for. With Third Party Fire & Theft you get:
  • Third party liability - covers the cost incurred if you are legally liable for injury or damage to another person or their property following an accident in the insured car.

  • Fire and theft cover.

  • They cover the cost of taking your car to the nearest repairer if the car has been damaged by fire or theft.

  • Up to 65% no claims discount, which you have the option to protect once you have 5 years no claims history.

  • Professional claims consultants available 24 hours a day on a national rate phone number to report an accident.

  • Pay in full by credit / debit card or by monthly Direct Debit.

  • Stay mobile if your car is being repaired following a claim, you're eligible for a discount from easyCar car rental.

  • Up to £50,000 of legal expenses to help recover uninsured losses from a third party, costing only £15 a year.
Summary

EasyMoney.com, the online personal finance brand of the easyGroup, owned by Stelios, has expanded its products to include car insurance. Working in conjunction with the global insurer Zurich Insurance Company, easyMoneyinsurance.com aims to offer consumers our best price, making life more affordable for UK drivers. easyMoneyinsurance.com is offering car insurance from £10 per month, championing the consumer need for more affordable insurance.

Apply for your Easy Money Car Insurance

To get a quote from Easy Money simply click the link below:

Easy Money Website


Tuesday, June 14, 2005

Decision Finance Business Credit Cards

Is a Business Credit Card Right For your Company?
Business Credit Cards are one possible source for business cash. You should be sure that the specific need for the money is applicable and that the Credit Card borrowing is suitably structured. You can use several types of asset as security for your business Credit Card. Those acceptable to the lender will be based on the strengths and weaknesses in your balance sheet. Commercial Credit Cards have a variety of advantages over other forms of finance:
  • Flexibility. A business Credit Card allows you to preserve your cash and working capital. The Credit Card funds can be used for almost any purpose including paying off current debts taken out at higher interest rates or a pending balloon payment.

  • Retention of Ownership. You retain the current ownership of your company instead of raising funds by selling an interest in your company to an investor. The lender is only entitled to interest on its Credit Card, not a percentage of the profits or a share in the company that an investor would expect.

  • Cash Flow Management. Business Credit Cards can provide you access to capital with minimal up-front payments and the flexibility to design a Credit Card repayment schedule suitable to your finances. You can protect your working capital by organizing your Credit Card schedule to match your payments with the projected cash flows from the proceeds of the funds.

  • Budgeting. Business Credit Card schedules are fixed at outset, which means cash management is more predictable.

You should always consider the disadvantages of any financial action before embarking.
  • Additional guarantees. Depending on the credit rating of your company, the lender might require additional guarantees. These may be provided by you, your partners or your bank and could affect your personal credit rating or your standing with your bank.

  • Security. The lender may require you to provide additional personal assets to secure the Credit Card. Under a security agreement (for personal property), if you default on the Credit Card, the lender is entitled to apply to the courts for permission to foreclose upon the asset and sell it to repay the money owed to them. If you are required to provide security, try to limit the amount you have to give to secure the Credit Card. And make sure that when the Credit Card is repaid, the lender is obligated to release its mortgage or security interest and is required to make any government filings acknowledging this release.

  • Defaults. The lender may define a variety of events that will constitute a default on the Credit Card, including failure to make any payment on time, bankruptcy, insolvency and breaches of any obligations in the Credit Card documents. Try to negotiate advance written notice of any alleged default, with a reasonable amount of time to cure the default.
Business Credit Card FAQ

What charges do business credit cards have?
Generally the lower the annual percentage rate (APR), the less your borrowing will cost you. A credit card provider should always quote their APR. It's the percentage rate that your borrowing will cost you each year, including all charges. The amount you might be charged will vary from 0% to more than 20% so it's important to be aware of the interest rates available in the market.

Some business credit cards charge an annual fee. The amount differs from bank to bank and on the type of card issued. Gold and Platinum cards often attract high annual fees, but can include a range of extras such as free travel insurance.

Ask your business card provider for a list of additional fees for non-standard services such as replacement statements. There may also be a charge if you make late payments or if you exceed your limit.

What is a Balance Transfer?
A balance transfer is when you move your balance from an existing business credit card, loan or overdraft onto another business credit card with a lower interest rate. Balance transfer deals are usually offered to attract new customers and last for a specified period of time, after which the interest rate reverts to the standard rate.

Applying for your Business Credit Card

When choosing a credit or charge card there are a number of factors to take into account. The card you choose should reflect the way you use your card account and the benefits you expect to receive from using the card. By answering a few short questions, Decision Finance will help you quickly sift through the various card offers currently available to find the account most suitable to your requirements.

Website: Decision Finance Business Credit Cards


Decision Finance Business Mortgages

Decision Finance Commercial Mortgages offer a wide range of Commercial Mortgages. If your company is considering constructing a new building, moving to new premises, expanding facilities or modifying your existing accommodation.

Nearly all UK banks and building societies offer competitive commercial mortgages. However you must first satisfy the lenders' criteria. Some lenders might accept applications where there is an adverse credit history, but nearly all will insist upon a positive personal credit rating and clear evidence that your business is trading profitably and is creditworthy.

Commercial Mortgage UK Overview

Key features and benefits
  • Secured on your business premises

  • Loans for up to 70% of purchase price or open market value, whichever is lower

  • Variable, fixed or capped rates of interest

  • Variable, LIBOR, fixed or capped rates of interest

  • If the proceeds of the plan exceed the amount required to repay the mortgage, then this can be received as a cash lump sum by the borrower

  • Some plans are tax-efficient

  • Flexible repayment terms, including interest only loans with bullet repayments at end of term or capital repayment holidays
Buy-to-Let There are over 30 leading Buy to Let commercial mortgage products offered in the UK market today, with a variety of mortgage interest options. With key Buy to Let lenders and offers you will discover through Decision Finance Buy to Let mortgage products not generally available elsewhere in the UK broker market.

Commercial Investment
Officefile can provide the commercial landlord with market leading UK commercial mortgage products; you can be assured that Officefile in partnership with Decision Finance can arrange the most appropriate commercial property investment mortgage for your needs.

Commercial Owner Occupier
We deliver a wide range of mortgage products tailored to the needs of the commercial owner-occupier. The Decision Finance quote service can assist on all aspects of your business mortgage borrowing requirements. Own your own business property with a commercial owner-occupier mortgage, and let Decision Finance find the right deal for you.

Development Finance
Specialising in providing development finance for commercial property developments. Dealing with clients across the spectrum from multi-million pound commercial developments to smaller residential developments costing tens of thousands of pounds.

Summary

They have schemes for buy to let / residential investment mortgages, commercial mortgages and commercial investment mortgages. Whatever your financial situation and need, Decision Finance endeavours to help you secure funding. They work with the leading providers for each financial product and provide you relevant, free quotes, most of them instantly.

To find out more visit the Decision Finance Business Mortgages webpage

Decision Finance Business Loans

Decision Finance is a trading name of Xbridge Limited. The business was founded in early 2000. The company is one of the UK's leading online commercial and business loan intermediary and facilitate appropriate business finance solutions for small and medium-sized businesses (SMEs).

Decision Finance works with the leading providers for each business financial product and provide SMEs relevant, free quotes, most of them instantly online, from the providers most appropriate for them. Overall, the company have access to hundreds of schemes and packages from the majority of UK lenders and business loan service providers.

Decision Finance makes it easy for the user by offering a short online enquiry form to obtain a business loan quotation online. The Decision Finance website is also a useful information resource to small businesses offering everything from banking, finance and insurance information. There are also sections on payroll administration and debt collection.

Decision Finance is backed by some of UK's most reputable firms:

Prudential plc
Established in London in 1848, Prudential plc is a leading international financial services group with a market capitalisation of approximately £18 billion and funds under management of £164 billion at 30 June 2000. Prudential is one of the largest life insurance companies and pension annuity providers in the UK and has significant stakes in several prominent e-commerce companies, including its 80 percent subsidiary Egg, the UK's largest online bank.

The Boston Consulting Group (BCG)
A general management consulting firm widely regarded as the global leader in business strategy. Since 1963, BCG has worked with companies in every major industry and global market to develop and implement strategies for competitive success. BCG has 47 offices in 32 countries around the world.

Linklaters & Alliance
A leading international legal practice which has broken new ground in its work in bringing high-growth companies to market. It has 2,500 lawyers and other professionals operating in combined teams from 35 offices in major financial and business centres around the world.

Please note, conditions will apply for all of the business loan products mentioned above, please contact the company concerned for more information.

To get a quote click the link below:

Decision Finance Business Loans


Virgin Motor Insurance

Who are Virgin?

Just in case you've been in a coma for the past ten years, Virgin is one of the most recognised brands in the UK. Virgin initially launched in 1968 when it launched the Student Magazine. Richard Branson formed the company and since then has continued to pioneer new products in conjunction with big business to form customer centric products backed by a leading household name. Current products available through Virgin include: Music (recording, retail outlets, record labels and radio), Airlines, Virgin Cola, Financial Services (credit cards, loans and insurance).

So Virgin do Motor Insurance now?

That's right, Virgin has extended its vast product portfolio to cover motor insurance and it's a pretty good product.

Virgin Motor Insurance offer three kinds of car insurance, comprehensive, third party fire and theft, and third party.

Comprehensive
The daddy. You and your car will be covered for any accident you have, whether it's your fault or not. You're also protected against your car being stolen, fire damaged or broken into, and they'll give you a courtesy car while it's being repaired (subject to availability when you use an approved repairer).

Third party, fire and theft
You're covered for damage you do to others, if your car catches fire or someone steals it. But cause an accident and any repairs to your car will be coming out of your pocket.

Third party
The bare minimum you need, to be on the roads. If a bump's your fault, damage you do to other people's cars or property is covered. Whatever happens to your car isn't. And you can only have this cover if your car's worth less than £5,000. This cover's only available by phone so if you'd like a third party quote you'll need to give them a call.

You can also choose to add-on:

No Claims Discount Protection
If you've had car insurance in your name for one year or more and haven't made a claim, you can get a 'no claims discount'. When you've got at least four years no claims discount you can protect it.

It costs a bit extra to add this to your cover but it means if you do have to make a claim, we'll pay it and then when you come to renew your policy, you keep your no claims discount.

Motor Legal Protection
If you're injured in an accident that's not your fault, we'll pay the legal costs (up to £50,000) to claim for compensation from the other person. We can also get any excess you paid refunded, along with medical expenses and more, if you're out of pocket because of the accident.

Breakdown Cover
Top of the range roadside cover and home restart for only £69.30 a year provided by Green Flag Motoring Assistance. 24 hours a day, 365 days a year.

Cool, how do I get a quote?

To get your quote now, simply visit the Virgin Motor Insurance website and they'll give you a quote in a jiffy.


Monday, June 13, 2005

Saving for old age is not income related

A major new study into the UK pensions market has found that millions of Britons not saving for a pension are held back by their attitudes and not their incomes.

Scottish Widows discovered that the differences between savers and non-savers go far beyond how much money people have in the bank, and while having no money will obviously stop people contributing to a pension fund, having lots does not mean people will save.

"Getting Britain to save more for retirement is not simply about income levels. By extension, the solution will not come simply by making savings products less expensive or simpler to understand," said Ian Naismith, head of pensions market development at Scottish Widows.

He added: "The major obstacle appears to be that [non-savers] can't see how they could reduce their spending to enable them to afford to save, and any solution proposed must tackle this issue. Whether or not compulsory saving is politically acceptable, and whether the experience in other countries has been positive are matters for the Pensions Commission."

One-in-three people who could be saving for their retirement, and are not, earn more than £30,000 a year the company found.

Scottish Widows also probed the psychological differences between savers and non-savers and discovered that even where savers and non-savers earn similar incomes, non-savers are more likely to believe that any reduction in their spending will seriously affect their standard of living. The pension firm points out that saving is not simply an economic choice, it reflects individual personalities and attitudes to the future.

The report found that while savers and non-savers had equal amounts of trust in the pensions industry, non-savers tend to be less content with their lifestyle and less optimistic about the future.

They are also more likely to have significant debts, less likely to own their home, and twice as likely to be smokers.

However, the pension firm also found that there is a wide acceptance that not saving will mean you will have to work longer, and one non-saver in three is prepared to work beyond 70.

Overall, Scottish Widows found that 55 per cent of the UK population is on course for an acceptable level of retirement income, although a large number of these people have defined contribution final salary pension schemes.

Additionally, the average amount of salary saved in the UK is 9.3 per cent, well short of the 12 per cent Scottish Widows believes is necessary for a comfortable retirement. Moreover, this figure is bolstered by a small number of "super savers" who put more than 20 per cent of their income in the bank.

Mr Naismith concluded: "While household wealth has increased, and attitudes to the onset and transition to retirement have changed, it remains a fact that 45 per cent of the working population who could, and should, be saving are not saving enough.

"This report dispels some of the myths surrounding saving for retirement - it is not just about income, it is about the psychology of affordability. It is not just about age, it is about priorities. It is not just about saving elsewhere, it is about not saving at all, consistently and habitually.

"The Government and the pensions industry must make rapid progress in their attempts to revive the voluntary approach to long-term saving. Within this must be consideration of income, age, attitude to retirement age and non-pensions wealth. What may be a more difficult goal will be understanding the psychology of habitual non-savers and identifying the triggers that may be required to change this situation."

Wednesday, June 08, 2005

Big companies skew stock market investments

People investing in pensions, savings bonds, and insurance policies that track the stock market are at risk because the market is dominated by only a few big companies.


Index concentration, where a few companies make up the bulk of the index's value, is most pronounced in the UK, German and French markets, Fidelity International has found.

This causes a problem, because these stocks tend to come from a limited number of sectors, for example the five largest UK banks account for over 16 per cent of the FTSE All Share Index's value.

This means that a problem in the banking sector would hit index-tracking funds hard due to their heavy reliance on banks.

The 18 biggest companies in the UK make up 50 per cent of the value of the FTSE All-Share Index, but most represent just five sectors: oils, banks, pharmaceuticals, mining and telecoms, Fidelity points out.

And the situation is set to worsen if Royal Dutch Shell goes ahead with plans to replace its dual market listing in the UK and Holland with a single quotation on the London Stock Exchange.

Shell could then - on its own - make up more than six per cent of the total market value.

And linking to an index - rather than investing in growth - could see earnings constrained as well as exposure to risk increased.

"You cannot be an effective stock-picker if you are constrained by the index... My 'go anywhere' mandate means I can look for value in the large, mid-cap and small cap regions of the market," said Sanjeev Shah, manager of the Fidelity UK Aggressive Fund.

The problem of sector concentration is equally prevalent in France and Germany, Fidelity notes.

Currently ten companies account for more than 60 per cent of the French CAC 40 index, while in Germany the top ten firms comprise 54.3 per cent of the HDAX index.

Index concentration is less noticeable in the US and Japanese markets.

The top ten companies in the Standard & Poors 500 Composite and the Nikkei 225 account for just 21 per cent and 30 per cent of the indices respectively - even though both lists contain fewer stocks than the FTSE All-Share.

Tuesday, June 07, 2005

Tesco Personal Loan

Tesco Personal Loans

Tesco Loans are now a leading supplier of finance for personal needs, offering low interest rates backed up by a strong company. They have a typical rate of 6.6% APR, which is reasonable, although there are better offers around (see the Finance Choices Loans Guide for the best buys).

The Tesco Loan comes with a two month repayment break at the start of your loan, which is useful if you need the money for emergencies. You can borrow from £3,000 to £25,000 and there are no setup fees when you join.

Another hand feature is that you can transfer your balance from other loans and credit cards to consolidate your loans into the Tesco Loan. Tesco are also flexible with repayments, allowing you to repay your loan on the day of your choice and over a timescale that suits you.

The more you review the Tesco Personal Loan the more you begin to find yourself getting very excited about it and starting to feel the urge to buy now.

Benefits in Brief
  • Typical rate of 6.6% APR!

  • Take a two month repayment break at the start of your loan

  • You can borrow from £3,000 up to £25,000.

  • No set up fees.

  • Transfer balances from other cards and loans too.

  • Fixed interest rates so your repayments will never change.

  • Pay your loan back on the day of your choice and over a timescale that suits you.

  • Added peace of mind with the option of payment protection insurance.

  • 9 out of 10 of their customers would recommend them.

  • All it takes is a few minutes of your time to apply.

Summary

Tesco loans have a typical APR of 6.6%, and the payments remain the same throughout the length of the loan you can easily budget ahead. To apply for a Tesco loan you can either fill out the application form online and submit it via a secure link, print off the application form and post it or telephone it to Tesco Loans (see website for details).

The Tesco personal loans site is easy to navigate with clear and concise information. You can use their loan calculator to find out what the monthly payments may be for the amount you wish to borrow.

Apply now


Monday, June 06, 2005

Pay as you go road tax mooted

The transport secretary, Alistair Darling, is seeking cross-party support to legislate for the world's most ambitious road-charging scheme to avert the prospect of "complete gridlock" on Britain's highways.

Under the government's proposals, drivers will have to pay between 2p and £1.30 a mile for each car journey. They will be monitored by satellite, with variable rates levied according to the time, type of road and location.

To mitigate the blow, there would be reductions in fuel tax and vehicle excise duty, although Mr Darling has refused to say whether the overall tax burden on motorists would rise or remain the same.

Mr Darling's proposals, which will be outlined in a speech to the Social Market Foundation on Thursday, were greeted warily yesterday by the Conservatives and the Liberal Democrats. Both parties said they supported road charging in principle but insisted it must not be used as a "stealth tax".

The shadow transport secretary, Alan Duncan, said: "At tempts to cut worsening road congestion are always welcome.

"However, we are astonished that there was no discussion on it in the run-up to the election. I don't imagine the Speaker will be pleased that it is being announced outside parliament."

The Liberal Democrat transport spokesman, Tom Brake, said: "The 'spy in the sky' proposal could be the solution to crippling congestion, but it will be rejected if it is simply another Labour stealth tax. It cannot be a substitute for the integrated public transport system Britain needs."

The government wants to put a bill before the House of Commons within two years for a pilot charging scheme using satellite technology, which could begin in the Midlands or in Manchester by 2010.

Nationwide charging could follow within "ten to 15 years", although Mr Darling cautioned that this would be impossible to impose without widespread public support.

In interviews with several Sunday newspapers, Mr Darling warned that the chronic congestion and pollution of Los Angeles could become common in Britain. "If we don't do anything, it's pretty clear to me we would face complete gridlock. More and more cars will grind to a halt and the generations to come will curse those people of my generation who didn't do anything about it," he said.

No other country has attempted nationwide charging and the satellite technology needed to track cars accurately is still in its infancy. However, Germany has introduced a scheme levying a variable toll on lorry drivers and Britain is working on a similar "spy in the cab" scheme for heavy goods vehicles to begin in 2008.

A feasibility study by the Department for Transport concluded last year that charging all motorists could cut traffic by 4% - enough to reduce the amount of time drivers spend in jams by as much as 46%.

Motoring organisations say charges for rush-hour drivers could be useful in encouraging people to stagger their journeys. But the RAC Foundation pointed out that car owners already pay £42bn annually in tax, of which only £6bn is spent on improving roads.

Bert Morris, director of the AA Motoring Trust, said: "We all believe we can't go on the way we are, because the system is grinding to a halt. But charging on top of the existing fuel tax and car tax is simply not going to be accepted."

Other experts believe charging would be pointless unless it raised extra funds to pay for improved public transport.

Tony Grayling, assistant director of the Institute for Public Policy Research, said: "The government must press for a partly revenue-raising scheme. Otherwise, the growth in traffic on off-peak and rural roads would outweigh the reduction in cities."

Ministers believe that the success of London's congestion-charging scheme and widespread acceptance of the M6 toll road in the Midlands show that the public can be won over to the principle of paying for journeys.

But Stephen Joseph of the environmental pressure group Transport 2000 said Mr Darling was still proceeding too slowly. "I think he could move further and faster on this. In the short term, it still seems to be business as usual - widening motorways without putting in any measures to limit demand," he said.

Why do we need road charging?

The number of cars on the roads has surged by a quarter over a decade to 25m, fuelled by prosperity, frustration with public transport and cheaper cars. Government forecasts suggest that the time drivers spend in traffic jams could rise by 20% by 2010.

Ministers have tried prising motorists out of their cars by increasing tax on petrol but this prompted fuel blockades which brought Britain to a near standstill five years ago.

How will charging work?

Cars will contain "black boxes" linked to a satellite which will monitor their every move. Motorists will receive regular bills, charged at variable rates: a Sunday drive down a country road may only cost 2p a mile, but a rush-hour commute around the M25 could be charged at £1.30 a mile. It is hoped this would encourage people to change their habits and avoid commuting by car.

Who will pay for the technology?

Many cars already have satellite tracking devices to help drivers find their way. The government believes these will be almost universal before any charging scheme begins in a decade's time. But "retro-fitting" older cars is likely to cost at least £100 each and it is unclear who would foot the bill.

Who will set the prices?

This is a moot point. The government is likely to set the fees but motoring organisations want an independent regulator - known, perhaps, as "Ofjam" - to ensure drivers are not exploited.

How much money will it raise?

An estimated £9bn annually. Alistair Darling has promised that any charging scheme would be introduced alongside cuts in fuel duty and road tax. But it is unclear how big these cuts would be.

What would the proceeds be used for?

Motoring organisations want the money to be earmarked for improvements to the road network. Environmentalists would prefer a system pioneered by London's mayor, Ken Livingstone, in which receipts from the congestion charge have been used to improve public transport.

How popular is the idea?

It would face strong opposi tion but most people feel that congestion must be tackled: only 11% believe the present system of road tax works.

Six out of 10 would accept road charging if overall levels of motoring tax do not increase. This rises to 66% if there were "good alternative ways to travel".

Will it really ever happen?

Probably, although it may take many years. The Conservatives and the Lib Dems both favour charging in principle, so a cross-party consensus appears possible. But all sides are wary of enforcing road charging without sufficient public support.

A referendum in Edinburgh recently overwhelmingly rejected a city-wide congestion charge, providing a reminder of the strength of feelings on the issue.

Sunday, June 05, 2005

Women are better with money than men

Women investors consistently outperform their male colleagues, new research has found.

Leading financial website and information provider DigitalLook.com has released data that shows female investors have beaten both their male counterparts and the average rise in the FTSE All Share Index.

DigitalLook reviewed the performance of more than 100,000 portfolios over the last 12 months and discovered that the average rise of a portfolio managed by a woman was over 17 per cent.

This was four per cent higher than the market rise of 13 per cent and a massive six per cent higher than the performance of portfolios managed by men.

"Women really are the better sex when it comes to share investing. While men tend to take more risks with their hard earned savings, women take a more balanced and considered view and time again it pays dividends," commented Andy Yates, director at DigitalLook.

The financial information provider found that over the last six months women have continued to build balanced portfolios, favouring leisure, food and drinks, and utility companies.

At the same time male investors have continued to back stock market 'fads' including mining and oil and gas stocks. While these stocks produced strong initial returns, it seems male investors held on too long and suffered following sharp falls in recent months.

And the success of female investors is no flash in the pan, with women consistently presiding over rising portfolios - even in the dire market conditions of 2001 when the survey was first undertaken.

Merryn Somerset-Webb, editor of Money Week, concluded: "Successful investing isn't about being particularly clever. In fact it is all about temperament, and it appears that very often women have a better temperament for it than men."

However, while women consistently outperform men on the markets, recent savings data shows that they are less likely to invest and more likely to let men take control of financial decisions.

Lloyds TSB found earlier this year that by the time people reached retirement men had an average savings account worth over £2,000 more than the average woman's.

In the over-65s category women had an average savings balance of £4,889 while men had more than £7,250 put away.

Additionally, more than two thirds of the women who were not responsible for all their financial decisions said they knew as much as their partner on financial matters, but were happy for their other half to make the final decision on their behalf, GMAC-RFC has reported.

One in five of these said they did not want to get involved in finances.

Anna Bennett, marketing manager at GMAC-RFC, commented: "The fact the majority of women questioned would be quite happy for their partner to take control of financial decisions could mean that if it was left to their partner, it simply wouldn't get done."

More positively for the nation's wealth one woman in three said she had the final decision when choosing savings, one in five said she decided which pension to invest in, and 20 per cent said she made investment decisions.

Makes you wonder what these blokies are for doesn't it girls? :)

Friday, June 03, 2005

Is it worth going to university?

A new report has found that a degree can add just £22,458 to a graduate's lifetime earnings, meaning the cost of education could see them lose money by going to university.

With a doubling of the number of graduates in the last 15 years, the value-to-earnings rate of a degree is falling, research from the University of Swansea has found.

While the last estimate of the value of a degree to lifetime earnings stood at £400,000 - the new report by Nigel O'Leary and Peter Sloane puts the average return on a degree at just under £150,000 - with a male arts graduate likely to add just £22,458 to their career earnings.

What is more, the authors of the report found that this figure is likely to fall further.

The report comes ahead of next year's introduction of university top up fees by the Government - which used the old £400,000 income boost estimate as part of their argument to set the top-up limit at £3,000 a year.

However, some subjects provide a far greater boost to lifetime earnings than others. While male graduates with arts degrees (including English and theology) add the least to lifetime earnings, maths or computing degrees gave the greatest boost - adding £222,419 for men and £227,939 for women.

The report, The Changing Wage Return to an Undergraduate Education, was compiled using British Labour Survey's findings from 1993 to 2003.

Dr O'Leary explained that while the demand for graduates has increased, it has been outstripped by supply.

"As the number of graduates competing for jobs increases, the earnings premiums they are getting are being bid down," he said.

"Students can still expect substantial returns on their investment. But it certainly does depend on what subjects they do. Those in arts-based disciplines are not getting anywhere near those rates of return."

Thursday, June 02, 2005

Asda Car Insurance

Asda Car Insurance

Asda Car InsuranceAsda are the company that have bombarded our TV screens with adverts for 'low, low prices' and now they've turned their attention to car insurance with a brand new car insurance product. With Asda Car Insurance you get 15% off if you apply online and can potentially save hundreds of pounds on your premium. It's not just the prices that are superb however.

Some of the great features included with Asda Car Insurance include:
  • 10% discount for buying online

  • Up to 70% no claims discount for careful drivers

  • 24-hour claims helpline

  • Approved repairers with 3-year workmanship guarantee

  • Courtesy car when using approved repairers

  • Cover options to suit your lifestyle and your pocket
Why Asda Car Insurance?

Lets say you have an accident in your car (through no fault of your own of course). We've all had problems like this before (and I'm sure many of us havn't been helped by their insurance company). So what will Asda do for you?

1. The call comes into ASDA Car Insurance and our friendly and experienced Incident Manager will start the ball rolling.

2. Within minutes we've got all the details, and then help is on its way. We'll get your car to a garage and do everything we can for you.

3. A courtesy car will be ready for you to pick up at the garage, so life can carry on as normal.

4. We've repaired your car and when it's ready to collect, you return the courtesy car, all done and dusted with the least amount of fuss.

Summary

So if you want fully comprehensive with protected no claims, a courtesy car and European breakdown cover, or you just want the basic third party without the bells and whistles, Asda Car Insurance can deliver it.

Get a quote here


Wednesday, June 01, 2005

UK Credit Card customers aren't tarts

New research shows that the UK is not a nation of 'rate tarts', with credit card holders staying with their provider for over six years before switching.

Today Morgan Stanley's credit card index has shown that, while increasing numbers of credit card companies are adding fees to their zero per cent balance transfer deals, most consumers in the UK are not taking these deals.

The card provider discovered that just eight per cent of the UK's 30 million cardholders are looking for a new deal in the next three months. Of the people who have switched credit cards in the last month, the average 'rate tart' has been with their card company for almost six and a quarter years.

And just 19 per cent of those who have recently applied to change have been with their card provider less than two years.

"Our research suggests that cardholders are wising up to short-term deals, as the majority of those currently switching or planning to switch are not moving from one short-term offer to another," said Patrick Muir, marketing director, Morgan Stanley Consumer Banking.

The card provider found that people who said they were likely to change their provider had on average been with their credit card company for four and a half years.

But this research comes as lenders increasingly act to try to stop the losses that a minority of card switchers are inflicting.

Merlin Stone of the Bristol Business School recently calculated that consumers are taking £1 billion a year from lenders by utilising zero per cent credit card balance transfers.

"Card issuers will increasingly look to find other ways in which to differentiate, the most obvious being the introduction of flat rates of interest," he commented.

Samantha Owens, of financial comparison service Moneyfacts, said: "This time last year credit card companies were clambering for customers to transfer their debt. At this time charges for balance transfers only affected a few cards. Now there are an increasing number of providers in the market going down this route."

There are some free balance transfer credit cards still available however. To find some of the better ones have a look at our credit card comparison service

Babs