Challenge to minimum credit card repayments
by Gill Montia
Story link: Challenge to minimum credit card repayments
A recent report by uSwitch.com, the price comparison website, suggests that a large number of consumers who pay off their credit card debts at the minimum rate could take 30 years to clear the loan.
According to uSwitch, the average credit card provider requires a minimum monthly repayment of 2.65% of the total balance.
Around 60 credit [...]
MPC minutes reveal rift
by Gill Montia
Story link: MPC minutes reveal rift
The recently published minutes of the July meeting of the Monetary Policy Committee (MPC) show signs of a rift between policymakers at the Bank of England, who are disagreeing about the economic outlook for the UK.
The MPC voted six to three in favour of the July rise in the base rate, from 5.5% to 5.75%, [...]
Credit card fraud increases for UK holidaymakers
by Gill Montia
Story link: Credit card fraud increases for UK holidaymakers
A growing number of UK holiday makers are becoming victims of credit card fraud, according to APACS, the payments services body.
Levels of credit card fraud have fallen to their lowest levels in the UK for three years, largely because of chip and PIN technology.
In the UK, the amount of money lost to card fraud [...]
August base rate rise looms
by Gill Montia
Story link: August base rate rise looms
Leading economists are expecting the cost of borrowing to increase by a quarter of a per cent in August.
If predictions are correct, it will be the sixth rise since August 2006, and will and take the Bank of England’s base rate from 5.75% to 6%, its highest level since February 2001.
Latest figures show that prices [...]
New FSA guidance on treating customers fairly
by Gill Montia
Story link: New FSA guidance on treating customers fairly
The Financial Services Authority (FSA) has published new guidance on the fair treatment of customers by providers and distributors of products and services.
The Guidance has been developed from the FSA’s Treating Customers Fairly initiative and is based on the regulator’s view that a customer should receive the same fair treatment regardless of whether their product [...]
RBS consortium revises ABN Armo bid
by Gill Montia
Story link: RBS consortium revises ABN Armo bid
The consortium headed by Royal Bank of Scotland (RBS) has revised its £48bn offer for ABN Amro, the Dutch bank.
RBS and its bid partners, Santander of Spain and Fortis of Belgium, have raised the cash element of their £48bn offer from 79% to 93%, in a renewed attempt to scupper Barclay’s agreed takeover of [...]
Missed credit card payments cost £50 million
by Gill Montia
Story link: Missed credit card payments cost £50 million
MoneyExpert, the price comparison website, has published research showing that UK credit card holders have been charged around £50 million in the last six months, in addition to interest payments.
The fees have been charged as a result of missed credit card payments; approximately 4.1 million payments were either missed completely or paid late during [...]
FSA appoints new chief executive
by Gill Montia
Story link: FSA appoints new chief executive
The Financial Services Authority (FSA) has appointed a new chief executive who will replace John Tiner, in late July.
The new regulator, Hector Sants, is currently Managing Director, Wholesale and Institutional Markets at the FSA.
As such he has responsibility for all regulated markets, the operation of the UK Listing rules and regulation of firms or groups [...]
Halifax hire Experian to trace dormant account holders
by Gill Montia
Story link: Halifax hire Experian to trace dormant account holders
Halifax will be the first UK bank to make use of Experian’s new Unclaimed Assets Register, which can help to locate the holders of dormant accounts.
Earlier this year members of the HBOS group including Halifax, Bank of Scotland and Birmingham Midshires, announced that they would be making renewed efforts to trace customers with accounts they [...]
Abbey has online glitch
by Gill Montia
Story link: Abbey has online glitch
In the latter part of last week, Abbey experienced some difficulties with its online banking, which meant that some of its account holders logged on to see details relating to other customers.
Site users were shown their own name but with the account details of an entirely different customer. Some reported that they could see details [...]
APACS delays new payments system
by Gill Montia
Story link: APACS delays new payments system
APACS, the UK trade association for payments and for those delivering payment services to customers, is not able to meet its deadline to introduce a new faster payments system for money transferred via the Internet and by telephone.
The new system, which will provide for same-day transfers, should be operational by the end of this year [...]
Nationwide launches 25-year fixed-rate mortgage
by Gill Montia
Story link: Nationwide launches 25-year fixed-rate mortgage
Following the Chancellor of the Exchequer’s recent pledge to encourage the provision of long-term fixed-rate mortgages, Nationwide has relaunched its 25-year fixed-rate mortgage.
The relaunch aims to provide a mixture of stability and flexibility for borrowers who will be able to fix their interest rate at 6.39% for the full 25-year term.
Currently short-term fixed-rate mortgages are [...]
Demise of end salary pension schemes
by Gill Montia
Story link: Demise of end salary pension schemes
The Association of Consulting Actuaries (ACA) has issued a report stating that at least eight out of 10 final salary pension schemes have closed to new joiners.
In addition, the number of schemes which are closed to contributions from members has increased 40%, since 2005.
Employers are closing the schemes because they are regarded as high risk [...]
Eco-friendly financial products need close scrutiny
by Gill Montia
Story link: Eco-friendly financial products need close scrutiny
The Ethical Investment Research Service (EIRS) is advising consumers to take care in assessing the details of the various eco-friendly financial products available.
Stephen Hine, head of international relations at the EIRS believes that consumers need to ensure that they have found a bona fide package and not one that is simply cashing in on so [...]
August may see further base rate rise
by Gill Montia
Story link: August may see further base rate rise
A member of the Bank of England’s Monetary Policy Committee (MPC) has made a speech which could indicate that interest rates will rise again in the near future.
Andrew Sentance, a leading member of the MPC and former chief economist to British Airways, has spoken of strong global demand putting upward pressure on a wide range [...]
Barclays and NatWest breach data protection rules
by Gill Montia
Story link: Barclays and NatWest breach data protection rules
The Information Commissioner’s Office (IC0), the independent public body set up to promote access to official information and protect personal information, has issued a report naming a number of High Street banks found to be in breach of data protection rules.
Barclays and NatWest are among those listed, along with retailers, Government departments, public bodies and [...]
NatWest launches Start-Up service for new business
by Gill Montia
Story link: NatWest launches Start-Up service for new business
NatWest is supporting new businesses with the launch of its Start-Up service which promises entrepreneurs free banking for two years, plus support from a network of over 1,700 locally based business managers, who will be advising clients face-to-face.
The offer is aimed at businesses that have begun trading within the last 12 months and the free [...]
Savers doubtful of benefiting from base rate rise
by Gill Montia
Story link: Savers doubtful of benefiting from base rate rise
According to research undertaken by Tesco Savings, millions of UK savers are experiencing a decline in confidence as a result of recent interest rate rises not having been passed on to savers.
Of those questioned in the Tesco survey, less than 30% reported an increase in rates on their savings accounts since the Bank of England [...]
Barclaycard launches OnePulse in conjunction with Oyster
by Gill Montia
Story link: Barclaycard launches OnePulse in conjunction with Oyster
Barclaycard is launching a combined Oyster and credit card in London, in September of this year.
Barclaycard, Visa and Transport for London have joined forces to link the capital’s Oyster card system, which is run by the TranSys consortium, to a bank card that will allow a contactless payment system.
Holders of the OnePulse card will be [...]
Lloyds’ Barometer Registers Decline in Business Confidence
by Gill Montia
Story link: Lloyds’ Barometer Registers Decline in Business Confidence
Lloyds TSB has published its Corporate Markets Barometer, which indicates that in June businesses in the UK were less confident about their trading prospects than at any time since February 2006.
The number of companies expecting their level of business activity to increase (rather than decrease) over the next 12 months fell 16% to 45%, representing [...]
