It's not all fixed rates
Posted by JSCFinancial on Tuesday 20th of December 2022
It's not all fixed rates
With over 10 years of record low interest rates, fixed rate mortgages offer borrowers the stability of knowing what the mortgage payment will be for a set period, which helps with budgeting.
Because of the way many lenders decide what rates to offer, we’re currently seeing tracker products priced a lot more competitively than fixed rate products.
Unlike a fixed rate, the monthly payment of a tracker mortgage fluctuates and the rate charged on the mortgage ‘tracks’ the Bank Rate usually for a set period. Whil...
The benefits of making overpayments on your mortgage
Posted by JSCFinancial on Tuesday 20th of December 2022
The benefits of making overpayments on your mortgage
Hardly a day goes by without the cost of living hitting the headlines. For many homeowners the increasing costs of owning and running a home is having a huge impact on household budgets. For those borrowers with a fixed rate mortgage, the recent increase in mortgage interest rates may not have an immediate impact. However, as mortgages are more expensive now than they were two years ago, you may see your mortgage payments rise when you next come to remortgage.
Overpaying on your mo...
Autumn statement 2022: what it means for you
Posted by JSCFinancial on Tuesday 22nd of November 2022
After several months of economic and political uncertainty the new chancellor, Jeremy Hunt, has delivered his autumn statement.
With announcements relating to energy bills, Income Tax, the State Pension, tax allowances, and Stamp Duty, there are plenty of ways your finances could be affected in 2023 and beyond.
Here are the key points of the autumn statement and what they mean for you.
You may pay more Income Tax in 2023/4 The chancellor’s announcements mean many millions of workers are likely to pay more Income Tax over the next few year...
Five practical reasons you should create a financial plan with your partner
Posted by JSCFinancial on Wednesday 16th of November 2022
Money and financial goals are still sometimes viewed as taboo subjects, even within relationships. If you’ve been putting off conversations about finances, creating a plan together could have many benefits.
Actively talking about money can be positive for both you and your loved ones, and research suggests it’s something younger generations are more likely to do. According to Royal London, 76% of 18 to 24-year-olds spoke to their parents about money matters when they were growing up. In contrast, this falls to 43% for those over 65.
If mon...
How might rising interest rates affect your mortgage?
Posted by JSCFinancial on Friday 28th of October 2022
How might rising interest rates affect your mortgage?
The Bank of England has raised interest rates and warned further hikes are likely in the coming months. This will mean bigger bills for some homeowners.
On 22 September 2022, the Bank of England raised interest rates from 1.75% to 2.25% - the seventh hike since December 2021 - in a bid to combat soaring inflation. And, the Bank’s Governor, Andrew Bailey, has warned people to expect further rises in the coming months.
It is now widely anticipated that rates will rise to over 5% by...
10 ways to reduce your energy bills
Posted by JSCFinancial on Friday 28th of October 2022
10 simple ways to cut your carbon footprint and reduce your energy bills
Reducing your energy consumption can be a great way to cut your carbon footprint, lessening your personal impact on the environment and potentially helping to limit the devastating effects of climate change.
As living costs and the price of energy are soaring, taking action to lessen your usage can also be an effective tool to save money on your bills.
1 in 8 UK consumers think they’re already doing enough
Interestingly, when compared globally, the UK has the hi...
What the recent Growth Plan and Government U-turns mean for you and your finances
Posted by JSCFinancial on Friday 21st of October 2022
What the recent Growth Plan and Government U-turns mean for you and your finances
Now that the dust has started to settle, what do the recent announcements, and U-turns, mean for you and your finances?
What is still happening
The National Insurance contribution rate will fall from 6 November 2022.
In April 2022, the National Insurance contribution (NIC) rate increased by 1.25 percentage points to pay for additional health and social care services. In April 2023, a new Health and Social Care Levy was set to replace this rise...
Pension lifetime allowance – how it affects you
Posted by JSCFinancial on Wednesday 19th of October 2022
Pension lifetime allowance – how it affects you
In his 2021 Budget, the Chancellor announced a five-year freeze on the lifetime pension allowance. What does this mean for you and your retirement fund?
What is the lifetime pension allowance?
The lifetime pension allowance sets a limit on how much you can save in your pension before you start paying tax on anything over the limit. For a few years before the 2021 announcement, the limit had been tied to inflation, meaning that it rose in line with the cost of living.
With the global pan...
‘The Growth Plan’ – a further update
Posted by JSCFinancial on Wednesday 19th of October 2022
At 6.00 am on Monday 17 October, the Treasury issued a press release announcing that the (new) Chancellor, Jeremy Hunt, would making a statement “bringing forward measures from the Medium-Term Fiscal Plan”. The timing of the press release suggested that the Treasury was concerned it had not done enough the previous Friday to calm markets ahead of the end of Bank of England gilt purchase support.
The Chancellor’s statement was in two parts: firstly, a pre-emptive media statement in the morning, then an official statement to the House of Comm...
What does the base-rate increase mean for you?
Posted by JSCFinancial on Tuesday 27th of September 2022
What does the base-rate increase mean for you?
In a bid to tackle rising inflation, the Bank of England has increased the base rate for the seventh time since December 2021. The 0.5% hike takes the interest rate to 2.25% - the highest since November 2008, when the banking system faced collapse. So, what does this mean for you?
Mortgages
If you’re on a fixed-rate mortgage, you’ll be protected from the latest rise until your current deal runs out. If that happens any time soon, you may well find the cost of a new fixed-rate mortgage has...
