Learning About The Pros And Cons Of Shared Ownership Mortgages

Have you ever considered getting shared ownership mortgages? Not a lot of people know this kind of scheme. On the other hand, it is definitely something that is interesting enough for you to try. Others see it as something that will just take all their money away from them subtly, while there are people who believe that it is a scheme that will help them save a lot of money and start owning a home as early as possible. Whatever your doubts may be, here are the pros and cons of this scheme that can help you decide whether or not you should consider it.

The Pros 1: It Is More Affordable.

One of the advantages of shared ownership mortgages is that they are more affordable than most kinds of mortgage deals out there. They only require you to pay 5 percent for your first deposit. Also, here, you will no longer need to spend a lot of time working just to get started. With the help of your current earnings, no matter how small, you can already begin owning a house where you and your family can live comfortably.

The Pros 2: It Gives You The Right To Develop Your Unit.

Be it an apartment unit, a studio or house, you will have all the rights to develop your unit that is under shared ownership mortgages. You can treat it as something that you have bought fully. You can design it the way you want it to look like. You can live in it with all the people whom you want to live with. You can invite all the people you want to come over. You can hire a nanny or a gardener and just do anything that you want with your unit.

The Cons 1: You Don’t Get To Choose To Whom You Will Sell It To.

One of the negative sides of being in shared ownership mortgages is that you won’t have the power to choose whom you will sell it to. Since you are still in partnership with the government or with a private company in this, they will still get the right to choose to whom the property will go to. However, this is only the condition that will be applied if the government or the private company still has a share of your property.

The Cons 2: Your Job Is A Qualification.

Applying for this kind of mortgage is not as easy as you think. Normal types of mortgages allow just any person to avail of them as long as they have a job to financially support them. However, with this type of mortgage, “key workers” are prioritized.

A lot of people are already feeling interested about this kind of mortgage deal. However, not everyone is given the approval. Now, if you want to enjoy the benefits of this kind of mortgage deal, you have to make sure that your credit record is flawless, that your job is very stable and that you really deserve to get shared ownership mortgages.

What to Do With PPI on Car Finance

Have you been mis-sold a PPI on car finance? Payment protection insurance is a big issue across the United Kingdom today as more and more complaints have been filed to the Financial Ombudsman by people who had been mis-sold PPI for their car loans. To those who were unaware, this type of coverage is made to ‘help’ people in keeping up with their car loans during the event of death, illness, losing a job or unemployment, to name some reasons. However, PPI has been mis-sold to millions of people without them knowing.

Why Did You Have PPI On Car Finance?

This issue has brought out a lot of controversies as many people said that they were unaware of this loan when they filed a car loan or mortgage. By the time you took your loan or finance deal, you may have been mis-sold PPI as part of the loan term; the sad part is that many finance institutions like banks do not reveal such part of the agreement to their clients.

What’s The Idea Behind PPI?

As mentioned earlier, the main idea behind PPI is that it would cover for you in the case that you cannot pay for the car mortgage or loan. It would cover the monthly payment as part of your agreement with the finance institution.

However, many people who have had this PPI did not even help them when they needed it.  There were reports that these policies did not make payouts when consumers are in trouble. Another problem with PPI is that they were not explained properly by the time you were filing a loan; more often than not, consumers do not know that this type of coverage were part of the car deal at all.  One complaint is that bank staff does not explain the policy at all to consumers.

If You Were Mis-sold PPI On Car Finance, Could You File Compensation?

Yes, you can. If you think that you were one of the millions who happened to have this type of insurance sold, then you can make a claim just like how others did. Based from recent data, there is about 85 percent of people who had this PPI mis-sold has made a claim at an average of £3,000.

If you could recall a conversation about PPI, then you may have the chance to claim compensation for your mis-sold PPI. Even without realizing that you were mis-sold PPI, all you need to do is to look up for paper works and get help from a claim management firm if you can. Also, you can look into these terms in your loan agreement: protection plan, loan protection, payment cover, and others. If you cannot find your papers, it may still be advisable to file a claim if you could feel that you were mis-sold payment protection insurance.

There you have an overview of what you can expect if you were mis-sold PPI on car finance. You can file a claim to the finance institution. If you need help, you can also ask assistance from a claim management firm. Learn more about PPI on car finance today!

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PPI Claims and You: What’s in It for You?

Recently, PPI claims are very controversial because consumers are starting to make claims on their payment protection insurance. This type of coverage was sold to them the time that they have availed a mortgage, a loan or a credit card. It is designed to help people pay their loans if they were not able to pay due to unemployment, illness or disability, among other reasons that may inhibit them from paying back. The insurance is said to be covering for you in case you cannot pay.

What Does Payment Protection Insurance Do?

As said, it will cover for you in case you cannot pay your mortgage or loan during an accident or illness. It may also cover if you have been disabled or fired from your job. There are also some policies that can pay off your outstanding balance if you die.

Many consumers were mis-sold PPI when they get personal loans, car finance, credit cards and other types of loans. Many times, the type of coverage is sold at the same time you take out your loan. However, many people were reportedly unaware of this type of coverage. On the other hand, other people were undecided whether they will agree to take this coverage or not. Many PPIs are not cheap and so you may be paying higher than what you only owe.  In case you were asked to take out a PPI, then you can think of your options and consider other means of repayment to avoid PPI claims.

Why PPI Claims Take Place

For many consumers, they do not know that they were sold PPI and many do not realize that they are getting it with their loan. That is why in the long run, they file this claim so that they can get compensated. As many of them were uninformed about this coverage when they availed the loan, they were not able to use it as well. Needless to say, this type of protection insurance was not able to help them when they needed it.  From the beginning, the banking staff must have told you about the PPI and how much it cost. In many cases, however, it does not happen.

What You Have to Know

To avoid any frustrations and unpleasant surprises, you should know if your loan includes PPI and how much should you pay for it. If you discovered that your loan includes PPI, then you should read the written agreement clearly and thoroughly before signing it.  Beware if the agreement says that you won’t get paid or compensated if you would like to make PPI Claims. Therefore, you should read the agreement thoroughly or ask questions if you wish to clarify some things about it.

There you have some things you may want to know about these claims. Definitely you have the right to compensation if you think that you were mis-sold PPI as part of your loan. Look up for your documents and start filing your claim to the Financial Ombudsman. Alternatively, you can seek help from a claim management company if you wish to. Learn more about PPI claims today!

Starting Your Journey to Mis Sold Pensions Claims

Mis sold pensions can still be claimed. You only need to know the procedure that you need to undergo. This is needed so you can file a claim, have the case evaluated, and then receive the compensation that you deserve.

Determining If You Are Dealing With Mis Sold Pensions

The most typical type of this is the pension transfer. In this scenario, an individual is advised to have a company based pension plan transferred into a personal plan. How can you tell if your pension is missold?

  • You were forced by a financial adviser to have the pension funds transferred to a personal pension plan due to the belief that it will yield higher rates or returns.
  • You were not informed that the charges incurred during the pension transfer will be deducted from the pension plan.
  • You are incurring more loses and the value of the new pension plan is lesser than the original one.
  • You received a recommendation from a financial adviser that you are transferring the funds to get higher cash value. You were also told that bonuses are guaranteed and it will be tax free.

Did any of these situations apply to you? If they did, then there is a possibility that you can start the process of filing a claim. How can you do that in the easiest way possible?

How Can You Start A Claim For Mis Sold Pensions?

Some start by writing to their pension plan company. This is to request a review and evaluate if the pension is missold. The written request is also a means to find out the amount that they are entitled to as compensation.

Many hurried to provide this data back in 2000 but it does not mean that you no longer have a chance. If you missed filing for a claim in 2000, you can start by requesting a special pension’s review procedure. This request should be made to your pension plan provider to check if you are qualified for compensation.

How Will You Know The Amount Of Compensation You Will Receive From Missold Pensions?

This will be determined by the review procedure that you requested. Comparisons will be made in the procedure. The amount that a person may have possibly accrued if he kept an occupation pension to that amount he will get from a personal pension will be compared. If it is found that the amount you will get in an occupation pension is higher than that of a personal pension, the company where the personal pension is purchased will be required to produce the difference. To simplify, the amount is dependent on the calculations on whether you are at a financial disadvantage due to the transfer of pension plans that occurred.

Once the amount is finalized, the compensation will either be added to an existing pension plan or awarded as lump sum. This depends on whether you are already retired or still employed at the time that a decision is reached and the compensation is finalized. Either way, you are still at an advantage once you receive the compensation for mis sold pensions.

Mortgage Term Assurance: Why Is It In Demand?

A mortgage term assurance is a form of insurance created to lend protection to a person’s repayment mortgage. Some call this as the decreasing term assurance because the amount of the payout will reduce as the mortgage decreases. If the policyholder dies while the insurance is still in place, the policy will render a payout amount sufficient to pay the remaining mortgage balance.

The Pros Of Getting A Mortgage Term Assurance

It is not enough to just know what this assurance is all about. You should also search for how this assurance can protect you and your property to the fullest. Other than the most obvious reason of having protection on your mortgage, there are still other benefits that this form of assurance can bring.

  • Lower premium. The premium you will pay for this is considerably lower than others because the coverage is only for the mortgage. If you opted for a life insurance, you will have to pay for the same premium for the entire duration of the policy while in the mortgage term assurance, the amount usually decreases and becomes lighter in the pocket.
  • Flexible options for payment. Depending on your preference and payment capacity, this form of assurance provides you with varied payment options and schedules. The payment schedules often given are yearly, quarterly, and monthly. This all depends on your choosing and the agreement you will reach with the company.

What To Consider Before Purchasing A Mortgage Term Assurance

Before you get excited with the pros and agree with the terms set for this assurance, you need to think if this is the right option for you. Does it meet all of your needs? Will it be a blessing for you?

  • What is the mortgage repayment method? This will guide you whether or not this form of assurance will be efficient and the most effective in dealing with a mortgage. Evaluate the repayment method and see if the assurance terms are applicable.
  • Did you apply for any loans? Think about any tied loans that you applied for in connection with the mortgage. This form of assurance is most effective when the mortgage or the loans are in full capital and interest is added in the repayment method.
  • How much and how long do you need the coverage? This will depend on the remaining balance of your mortgage. If there are no loans tied to the mortgage then that it is all you have to handle. Is this balance payable in the next 5 or 20 years? Remember to get a policy that if not equal, at least a little more than the remaining mortgage term.

If you consider all these factors, you will not find it difficult to deal with an assurance  no matter how daunting the task sounds like. An assurance brings many benefits to you and gives a guarantee that your loved ones will still have a home should something bad happen. Think carefully when you decide for mortgage term assurance.

Understanding the Characteristics of the Whole of Life Insurance

People today are getting interested in applying whole of life insurance. This can be a great help to individuals in order to purchase an insurance that can be utilized as a preparation of something that might happen in the future. Before deciding on obtaining the insurance, one should understand what this insurance is all about.

Overview Of Whole Of Life Insurance

It is a form of insurance that offers coverage for a particular individual from the time he opens the policy until the death of the insured individual. The premiums that are paid on the policy insurance facilitate the build-up of its value. There are some policies that contain a maturity date wherein the policy may be paid out when the insured individual has not yet passed away at the particular time.

Basically the maturity date falls on the 100th birthday of the insured individual. The policy will be maintained throughout the insured individual’s life until its redemption. Listed below are some of the common characteristics about whole of life insurance:

  • Cash value. This characteristic under this form of life insurance states that a certain part of the premium will be going towards establishing the cash value of the policy. Then, the policy will pay during the death or the 100th birthday of the insured person with that cash value. A lot of insurance policies provide the option of taking out loans against the cash value. This could be a great characteristic of individuals who are experiencing financial strains and those who need a little help. After which, they can repay the loans at a fair interest rate in order to restore the cash value of the policy. If there are instances that the loan remains unpaid, the loan amount including the interest will be revealed of the payoff amount once the insured individual dies. The remaining balance will then be distributed to the beneficiaries of the policy.
  • Steady premiums. This is another characteristic of whole life insurance wherein the applicants can obtain steady premiums at the length of the term. However, those who want to renew the policy once the term expires. With term life insurance, insured individuals will deal with the significant increase of the amount of premium levels imposed by the insurance company. Nevertheless, with whole of life insurance, insured individuals will continue to pay the same amount of premiums from the time they take out their policies until their respective deaths. Although the figures of money could be a bit large at first, the premium will eventually become affordable in the long run since the prices of other commodities also continue to increase.
  • Tax benefits. This is one of the significant characteristics of whole life insurance to the insured individuals and its beneficiaries. The insured individuals will not be paying additional taxes on the accumulating cash value of the insurance policy. When the insured individual dies, their beneficiaries will receive the insurance policy proceeds without gaining income taxes in most of the circumstances.

These are just some of the best characteristics that this particular insurance provides to its clients. It is a known fact that whole of life policies will comprise the majority of the insurance policies sold in different countries worldwide.