Direct Debit insurance 'con'
The average charge each year levied against Britons choosing to pay for home contents insurance via Direct Debit is £31, a new survey shows.Abbey Home Insurance estimates that British households are paying a total of £290 million per year simply for the convenience of paying their home contents insurance premiums by Direct Debit.An estimated 9.3 million people pay for home insurance by Direct Debit and many are not aware that they are often charged for doing so, with 44 per cent of the 215 home contents policies on the market levying a fee for Direct Debit customers.Average APR on charges for payment by Direct Debit is 19.16 per cent per home insurance policy, with the highest rate charged set at 34.9 per cent. This means that, with the average annual premium for contents insurance at £160 a year, customers are paying an average of £31 a year extra for Direct Debit transactions.Prasad Shastri, Abbey head of insurance marketing, said: "Using Direct Debit to buy home insurance is not a service you should be paying for. There is no point using a competitively priced insurer if they then go and add to your annual bill using back-door methods."A recent study by financial website MoneyExpert discovered that car insurance customers pay as much as £182 extra in fees when they opt to pay their premiums monthly by Direct Debit.Consumers are advised to check that they have the appropriate level of home contents cover and are not being charged high additional amounts to pay their premiums by Direct Debit in order to ensure they have the best rate for the level of cover they require.
British banks propose small business fund
It is believed that the major banks in the UK are currently in talks about setting up a fund for UK small businesses to provide cash flow in the short to medium term. While details of the ongoing developments are fairly thin on the ground at the moment it is believed that each bank would contribute tens of millions of pounds to a centrally administered fund which would then effectively invest in a...Read More
Co-operative Bank launches talking ATMs
The Co-operative bank has followed in the footsteps of Barclays, by installing talking cash machines on the streets of the UK. The machines will be aimed at helping blind and partially sighted consumers operate the ATMs, by providing an automated service as well as clearer, high resolution screens. 400 of the units have initially been installed by The Co-operative, while a further 2000 are expe...Read More
Job satisfaction hits an all-time low
A report by the Chartered Institute of Personnel and Development has today highlighted concern in the UK employment market. The survey of 2,000 workers found that job satisfaction has hit an all-time low, especially amongst younger workers who appear to be more concerned about their prospects and their working conditions. It was also revealed that less than 10% of those surveyed have seen an incre...Read More
Goldman Sachs scrutinised by U.S. Senate
As the US authorities continue to chase Goldman Sachs, determined to bring the company into the court rooms of the US, yesterday saw a severe grilling for a team of four current and former employees of Goldman Sachs. Amid claims that the US authorities are using Goldman Sachs as something of a scapegoat there is no doubt that some of the barbed comments from Senate members were designed to grab th...Read More
FSA sees sense in liquidity adjustment delay
Thankfully the Financial Services Authority (FSA) has acted in a user-friendly manner in relation to liquidity changes which were first discussed back in October 2009. These changes will eventually see UK financial companies having to put aside more funding to back their operations at a time when business, while recovering, is nowhere near the levels seen in years gone by. There were fears that...Read More