Bright Grey says more first-time buyers are falling into the protection gap due to rising monthly mortgage repayments.Product director Roger Edwards says he is concerned by deals such as Abbey’s new deal which allows borrowers to take out a mortgage of up to five times their income. He says people who take out bigger mortgages may not be able to afford to take out sufficient cover or will not prioritise the payment of protection policies. Edwards calls this a vicious circle because people who are not insured are less likely to have savings to fall back on in the event of ill-health which could leave them unable to keep up their mortgage repayments. Edwards says: “We are in danger of seeing a Catch-22 situation developing. People who are taking out a mortgage are taking out the biggest debt that is likely to occur in their lives. “Adding on a protection policy could be seen as an expense too far. At what point do people start deprioriti- sing protection?”
Farepak customers who paid the firm using a Visa debit card can get a full refund of lost savings by asking their bank to start a Visa chargeback against Farepak’s bank as a refund for services not received, thanks to a loophole exposed by Money-SavingExpert.com.
Axa’s bid for Thinc Group has finally gone through after more than 96.2 per cent of Thinc shareholders accepted the French insurance giant’s offer.Thinc will cost Axa up to £100m. The insurer placed a formal offer of £70m for Thinc based on its performance in 2009 and pledged a further £30m to refinance its debt […]
Global Special Situations Fund
FSA retail markets managing director Clive Briault told an FSA conference this week that identifying firms making slow progress with TCF by March and “bringing them to the stage” will be central to its supervisory work.
The UK is ending what has been its slowest economic recovery on record with a marked acceleration in growth. Neptune’s forecast for UK GDP growth in 2014 is 2.5 per cent, up from 2013 growth of 1.8 per cent as estimated by the Office for National Statistics. When considering the changing UK macro outlook, three important questions remain:
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The Children’s Investment Fund has asked the FCA and Bank of England to appoint a new chairman at the London Stock Exchange over fears corporate governance is not up to scratch. TCI, which holds a five per cent stake in the exchange, feels the forthcoming departure of LSE chief executive Xavier Rolet has not been […]
When the pension freedoms were first introduced, I could not help thinking it was a clever device to accelerate the income tax take. Instead of waiting many years to take income tax against modest annuity income payments, the government could grab a larger handful straightaway. After a couple of years of reflection, I still think […]
Money Marketing’s account of the curious goings-on in the world of financial services from our Wells Street offices