Watch out for bank accounts with hidden charge
The Financial Services Authority (FSA) warns that bank accounts which charge fees for extra benefits, such as insurance, may be mis-sold. Whilst packaged accounts might offer value for some customers, for others they may not benefit at all and even be disadvantaged by them. Yet around 15% of the adult population already have these accounts.
The conclusions come as part of the FSA’s Financial Risk Outlook for 2010, which maintains that the financial system, and the firms operating within it, will remain under immense pressure over the coming years by the effects of the credit crunch and the recession. In order to restore profits, some firms are trying to sell inappropriate policies and products to their customers, who might find the terms and conditions difficult to understand.
The FSA said, "Consumers could be better off purchasing products individually or not at all", adding, ‘And some may find where the add-ons are insurance products, they do not provide the expected level of cover’.
PRE-PAID CARDS
A prepaid card looks just like a normal credit or debit card, with a card number, signature strip and company branding. Prepaid cards are unlike credit cards, which provide you with a line of credit. They are also very different from debit cards that are linked to a bank account with an overdraft facility. This is because you cannot borrow money with a prepaid card – you can only spend the money you have loaded onto it.
GUARANTEED BANK ACCOUNT
Arranging new banking facilities for our clients sometimes becomes a priority. That is especially so when the bank is one of the creditors, or bankruptcy is being proposed which normally culminates in existing banking arrangements being closed. We are able to advise and assist with new banking arrangements.
MORTGAGES & LOANS
As part of a financial solution it may be required to re-finance a client. For such circumstances we have partnered with a number of loan and mortgage brokers enabling the raising of funds for a client.
Points to Ponder
386 people today will be declared insolvent or bankrupt. This is equivalent to 1 person every 3.72 minutes
1,000 people are seeking some form of formal debt rescheduling every working day.
2,000 Consumer County Court Judgements (CCJs) were issued every day in the first 3 months of 2009.
128 properties were repossessed every day during the last 3 months to end September 2009.
Unemployment increased by 1,400 people every day during 12 months to end November 2009.
1,995 people reported they had become redundant every day during 3 months to end November 2009.
267 mortgage possession claims will be issued and 188 mortgage possession orders will be made today
368 landlord possession claims will be issued and 253 landlord possession orders will be made today.
21.9m plastic card purchase transactions will be made today with a total value of £1.05bn.
8.1m cash withdrawals will be made today with a total value of £530m
Citizen Advice Bureaus dealt The average car will cost £15.13 to run today