Some plumbers and gas supply companies advise that by turning on the heating all day on a lower temperature, it is usually cheaper than switching on the heating for short intervals. As this is a very curious subject and where money can be saved, I decided to look into this further.
As some boilers differ from others, the best way to find out the true cost of running your boiler is to monitor it for a week. Try having the heating on for short intervals one week and take the gas reading and change the heating to constant for another week and compare readings. Some people have said that there was a significant price difference between readings. If you try this, remember to lower the room thermostat and to keep elderly and young children in mind when regulating the temperature.
Why is leaving the boiler on all day cheaper?
Many say that by leaving the boiler on all day, the temperature is controlled and not a lot of energy is needed to heat water that is already hot. Whereas if you heat water on timer, the water tank will have completely cooled and then the water will be heated up slowly. This uses up more fuel and energy therefore costing more. There are still some discussions about whether or not this is true but there are a lot of people who thoroughly believe that it is cheaper to leave the boiler on all day than using a timer for short intervals of heating.
Is it cheaper to leave hot water on all day?
As many people would’ve noticed, there are many arguments surrounding this and the conclusion is no. Leaving the hot water or heating on all day is not cheaper than using only what you need. It costs more to keep water at a constant temperature rather than heating up a cold tank of water. This is also backed by The Energy Savings Trust who says to only heat up what you need and switch off the heating and hot water if there is nobody in. Like I said earlier, there are many people who do believe leaving the hot water and heating on all day is cheaper so if you don’t believe that this is not true then try an experiment and see for yourself.
So you’ve managed to scrape together some money for a deposit on your dream house but how much can you actually afford when it comes to mortgages? The best thing to do before you start looking at houses is to compare mortgage quotes. Don’t go with an estate agent because they can only compare a small handful of quotes compared to comparison websites and contacting the companies individually yourself.
When I got my deposit together the first thing I did was find out how much I could afford and what houses were available in my budget. Someone recommended a financial advisor from Bairstow Eves; the rates I was quoted were okay but I had a feeling I could have gotten better elsewhere.
I went on comparison websites to see what else was available and the first five results were actually better than what the financial advisor had quoted me on. I have a friend whose dad is a financial advisor and even the rates he quoted me on were not as good as doing my own research online.
A year ago you could easily borrow up 125% of the value of the home. This came in very handy for those who did not have money for a deposit let alone to furnish and decorate. What many younger buyers did not take into account was if the market crashed, they would owe the bank rather than making a profit when it comes to selling it.
To get the best quote possible for your circumstances, you should try recommended companies individually. It may take time and unnecessary input of information but you could potentially save yourself thousands. As the market for first time buyers is picking up again due to lenders relaxing criteria, shop around to find the best deal possible.
You may have to pay an arrangement fee or product fee; this will just be added on to the mortgage but if you can pay this fee, it is advisable as it will keep the repayments down. Remember if you have a product fee of £2500, you will still pay interest on this so if you want to pay off your mortgage quicker pay it off and don’t add it on to the mortgage.
If you have no choice than to go for a really high interest rate mortgage, make sure you can afford the monthly repayment fee because if you fall into arrears it may take time for finances to get back to normal. You may not be financially stable for up to a year whilst you repay all the arrears. Your home could also be reposed if you cannot keep up with repayments. If you are struggling financially, you should always consult your mortgage provider as they will be able to help you. They could offer you reduced repayments rates for a fixed period of time until you are back on your feet again. This will also prove useful if you have never defaulted on mortgage repayments as you will be seen as a loyal customer.
With all the financial doom and gloom, there are many people desperate enough to steal identities to fraudulently obtain money. Although there are things we can do to protect ourselves from becoming a fraud victim, it may be easier to pay a company for peace of mind so that they can do the checks themselves.
Who is ID theft protection for?
Anyone can get ID theft protection but usually people who have been victims before are those who are more wary and want to protect themselves for the future. Having bad credit that may not have even been your fault due to fraud can affect your future. For example you may be refused a mortgage or loan and in result could never own your own home even though you have the money. Some victims of theft have been left in the dark for months and by the time the banks realise the fraud, the damage is already done and it’s too late to discover the fraudsters.
Is ID theft protection worth it?
In a way yes it is but when you actually read all the terms and conditions regarding the theft protection, it doesn’t really cover much. For as little as £3.99 a month you could get ID theft protection that includes a monthly report to check your credit rating and who has been checking your report. In all fairness you can get that all free over the internet and unless you have had financial troubles, you don’t really need to have a monthly credit report. What the theft protection doesn’t cover is any loss you may incur should you be a victim of theft.
How to protect yourself for free
Nobody wants to be a victim of identity theft, so make sure you take all the necessary precautions to avoid it because sometimes the consequences can be catastrophic.
Starting a family can be very expensive but by planning ahead and agreeing with your partner on how you plan to raise your children, you can give them everything they need without breaking the bank. The first year is the hardest with so many things to buy and so much to prepare for the new arrival, it can get overwhelming and you can forget your financial commitments. From birth to three years, you only need to concentrate on nappies, clothes, food and transport and as the child grows there won’t be the added expense of things like nappies.
Planning
Sit down and take the time to discuss with your partner the things you will need when the baby is born. The basics are: Moses basket, crib or cot, car seat and pram, clothes & nappies and maybe some toys. Many places offer tips on starting a family by buying second hand goods or even borrowed goods – I don’t believe in this and you can have good quality new goods for your baby without spending a fortune.
Buying for baby
Buy a swinging crib instead of a Moses basket or cot for the first six months whilst you breast feed the baby as they should be close by. After six months, the baby can have his own room – if you already have an existing bed, you can buy a side guard saving you the additional cost of buying a cot and then a bed. Most people buy a Moses basket and then are forever bringing it up and down. Buy a play pen so that when you are down, the baby can lay quietly by himself. New playpens have a new born baby holder that looks like a hammock to cradle the baby. As the child grows this can be removed and the baby can learn to play and entertain himself.
If you have a car you will need a car seat – most prams come as a bundle and you can get a car seat, new born pram seat and older seat for the baby as it grows. There’s no need to keep buying new prams. A changing mat costs only a few pounds and for the first 6 months you won’t really need a feeding bottle unless you are going out. A steriliser is not needed as all you need is to place bottles into boiling water and some steriliser such as Milton which is safe for babies.
There are many things that are not needed but are available such as a nappy bin that individually wraps the dirty nappy in a bag; it’s not expensive at £18 for a starter set but some new mums may not see the reason to purchase it. The same goes for a baby bouncer and walker, young children could be placed in a play pen instead, it’ll teach them to get used to their own company as well leaving you to be free to cook, clean and tidy.
For as long as I can remember, gold is where the money is. As more people have been investing in homes and stocks and shares during the past decade or so, a minority of people have invested in gold bars and bullions. The cost of gold varies but the value increases steadily compared to other investments. The price of gold has more than doubled in just the last year, so as property values dwindled gold stuck at an all time high.
How does gold investment work?
There are different types of gold investments around from gold bars, coins, jewellery and even paper gold. When people invest in jewellery remember that only 21-24 carat gold has value, so don’t bother splashing out on cheap 9ct gold thinking you will double up when you sell. The higher the raw materials in gold the better the price so you may want to have some of your belongings valued.
They all vary in price but the most sought after is a gold bar; not only does it not lose value but it is easier to sell afterwards as well. You can even buy large amounts of gold from companies that will store them for you, so you won’t have to compromise on home insurance. The only down side to this is you will have to pay for monthly storage costs and insurance.
Just like everything else, there is a market price for gold and this changes. The value of gold can decrease but not as much as the variation in property over the last few years. If the price of gold is not as high this month compared to last month, you can be sure it will definitely pick up in the next two months. So this means that if you need to hold out to get a better price, you won’t have to wait long.
As more and more couples opt to get married abroad, it’s not hard to see why – with guaranteed sunshine and everything taken care of, it is a hassle free wedding. As there is usually no expense spared for weddings abroad or even in the UK, it is common sense to take out wedding insurance or is it? The average wedding costs a hefty £17000 and depending on how many people are attending and people you hire, the cost can soon mount up.
Depending on the level of cover you opt for, it can cover virtually everything.
Cake cover – if anything was to happen to the cake you could get your money back
Ring cover – if your rings are lost or stolen you’re covered
Catering cover – should anything go wrong with the caterer you would be reimbursed
Wedding dress cover – if your dress gets damaged in transit or by bad weather you would get your money back
If any companies you hire for your big day go bankrupt, you will be insured and if the photographer doesn’t turn up or the pictures are unsatisfactory you could get up to £3000 to have them scheduled for another time. Public liability can also be covered for should anyone be injured or property damaged on the big day. You can even get counselling if the wedding is proving too stressful to cope with. You would even get your money back for any deposits you have paid out for even if you cancel the wedding.
Wedding insurance can start from as little as £59 to £189; there are a few levels of cover so depending on how big your wedding is this would reflect the premium and value of cover insured.
There are clauses to the cover of the individually named cover above, so it’s worth checking and reading over the small print first but wedding insurance could save a small fortune from mishaps that can occur when planning to get married.
With so many important things to remember all throughout the year, many people don’t give personal finances a second thought. This is a very important factor to take into consideration as most of us choose to pay some bills annually rather that monthly or quarterly. By having a personal finance calendar, you can then plan holidays and extra expenditure efficiently without going into the red.
How to stay in the black?
The easiest way to keep track of finances is to use an excel spreadsheet to help calculate monthly expenses. This is a good idea if you are also planning a wedding, family or expensive holiday. Try and plan all major expenses in good time to avoid any unexpected surprises. If you can buy a separate calendar that states when all major bills are due this will aid you in future financial planning.
Set up an excel spreadsheet
Set up a financial year planner
You can also set up a financial year planner that will tell you month by month what you need to pay. This is handy for things that most people pay yearly such as water bills, road tax, MOT, car insurance, house insurance and council tax. As most of these bills will differ from time of the year, you may easily forget when to renew your home insurance or car insurance, so to prevent a shock from the mailman when he comes to deliver the renewal notice, it’s best to be prepared.
Some people have a separate wall planner or whiteboard and you just put in the month that major financial commitment falls in and not only does this help you plan your finances better but it will also come in handy when planning holidays. For example for people who have to renew car insurance in April they will also have council tax due the same month so by planning a holiday a little after this time it’ll give your finances time to recover.
Many people who come to the UK to settle eventually set up a home, pension and private insurance policies such as health here. What these people fail to realise is that if they have intentions to relocate to their country of origin, what happens to all these policies? In most cases if you have a private pension, you shouldn’t have too much trouble transferring the pension to the country you wish to retire in. All policies and banks have their own rules, as does HMRC so be sure to check about any tax that you may have to pay upon retirement in another country.
Can you transfer NHS pension to another country?
There are many health professionals who have relocated to the UK due to a better salary and because the NHS pension scheme is one of the best and sought after, they opt in for financial security when retiring. There are as many more foreign nationals in the NHS today than there were 20 years ago but many of them are now of retiring age.
A NHS pension can be paid to certain overseas countries and when the pension is transferred, the money paid is shown in the foreign currency of the country. There is usually no charge for this but with some banks they may levy a small handling fee and if you do decide to relocate to another country, you should contact the Pension Officer to discuss this. For those who cannot have their NHS pension paid directly to their bank account abroad, it is advisable to leave an account open in the UK and transfer the money through internet banking. You must be a UK citizen and pay taxes even if you are not really residing in the UK but with pension policies and fraud on the rise pension providers are tightening the rules.
If you are moving to an EU country, then the chances of receiving your NHS pension is more likely to be available. If not, there are a few options available. You could have a Nationwide account that the pension is paid into and withdraw it for free. This is very handy for many people as there are no penalties or transferring fees involved.