PERSONAL FINANCE NEWS
STAYCATION IS STILL IN FAVOUR
Britons are feeling the pinch when it comes to holidays with almost 40 per cent of us actively trying to spend less money on our holidays this year. And of those looking to cut back, more than half have decided not to go abroad to cut costs. A survey by trade body R3 showed that 42 per cent of Londoners are trying to cut the cost of their holiday and, of those, 43 percent will be holidaying in the UK.
RATE CUT ON CO-OP’S ETHICAL CARD
The Co-operative Bank will be cutting rates on its “think” credit card on Monday to reward ethically-minded consumers. The ethical bank has teamed up with a number of companies such as IKEA, Trainline, Lush, Ecotricity and Raleigh. Interest rates will be cut to 0 per cent for three months on purchases made with selected partners. Balance transfer rates will be reduced to 3.9 per cent per annum from 7 per cent for six months with no fee.
TIED PRODUCTS SURGE IN 2010
The proportion of mortgages and regular savings accounts that are only available for people who have another product with the same provider has increased dramatically since the beginning of 2010, discouraging consumers from shopping around to get the best deals, research by Which? Money showed earlier this week. While the product itself might be a good deal, the product it is tied to might actually be very poor value.
LEEDS LAUNCHES CASHBACK MORTGAGE
Leeds Building Society has this week launched a 3 per cent cashback mortgage which is available throughout the UK. The maximum loan-to-value available is 80 per cent. There is no higher lending charge and an early repayment fee only applies for the first three years. The mortgage is also portable, which means you can take the product with you without penalty should you decide to move.