British Families and Debt

Written by Nicola Bullimore

There is current concern fromrepparttar Bank of England that British families are getting deeper into debt, however, it has been said that lenders are putting themselves at risk because people are now more willing to make themselves bankrupt.

Despite people already having significant amounts of debt, credit card companies are still prepared to lend these people money. This is a combination of a creditor not knowingrepparttar 149777 full picture of a persons financial commitments and employees of credit card companies being under pressure to sell credit cards and insurances policies to earn bonuses.

People will receive random telephone calls from companies who will try to sellrepparttar 149778 benefits of their cards and userepparttar 149779 selling point of lower rates plusrepparttar 149780 option to transferrepparttar 149781 balance from their current credit card at a lower rate.

Many people who receive these calls may already be in some kind of debt. There possibly will be some who are currently looking for solutions to their debt problems, andrepparttar 149782 temptation of obtaining a new card thereby having more spending power could prove hard to resist.

The Bank of England has every right to be concerned aboutrepparttar 149783 financial state of this country, but possiblyrepparttar 149784 lending system needs to change to make it more difficult to obtain credit.

Lending companies blamerepparttar 149785 debtor, andrepparttar 149786 debtor blamesrepparttar 149787 lending companies but who will stand up and make a difference when it comes torepparttar 149788 huge family debtsrepparttar 149789 UK are currently experiencing?

We have already been made aware that borrowing inrepparttar 149790 UK has crashed throughrepparttar 149791 1 Trillion pound barrier, but surely this should provoke concern rather than just being a headline in a newspaper.

The Government are concerned with raising financial awareness, however, what restrictions dorepparttar 149792 lending companies have? We know that a new Bill is currently in motion, which was first mentioned inrepparttar 149793 Queens Speech back in November 2004 and is set to come into effect in mid-2006. This bill will give creditors more rights over debtors rather than placing any restrictions on how creditors lend money.

Yet another case of suicide due to debt is circlingrepparttar 149794 Internet. 43-year-old Mark McDonald’s body was found on a railway near his home, with him was his rucksack containing 80 letters from his creditors regarding monies he owed which mounted up to £65,000. Mr McDonald is nowrepparttar 149795 5th known person who has taken his life due to debt inrepparttar 149796 last 2 years. Others include a 21-year-old farm worker who owed £10,500 and a 65-year-old grandad who owed £135,000.

Finding a Cheap Secured Loan

Written by John Mussi

In a time when everything seems expensive, it might seem impossible to find a cheap secured loan. Interest rates continue to climb, and prices everywhere continue to go up… but with a little patience and decent collateral (which isrepparttar property that you offer to guarantee repayment ofrepparttar 149776 loan), it's relatively easy to findrepparttar 149777 cheap secured loan that you need.

Shop around If you're looking for a cheap secured loan, don't takerepparttar 149778 first offer that you get. Check with at least 3 or 4 lenders, comparing their interest rates and their requirements for repayment and collateral. What you're going to be looking for isrepparttar 149779 lender withrepparttar 149780 lowest interest rate andrepparttar 149781 most lenient policies on collateral and repayment… this means that you'll getrepparttar 149782 most value for your collateral, and you'll haverepparttar 149783 flexibility that you need to make sure that you pay off your cheap secured loan quickly.

Aim for less than your collateral is worth When shopping for a cheap secured loan, ask for less thanrepparttar 149784 value of your collateral. A lender isn't going to give yourepparttar 149785 total value of your collateral anyway, but if you're offering collateral that is worth quite a bit more thanrepparttar 149786 amount that you're requesting then they're much more likely to give you lower interest rates. A high collateral value in comparison torepparttar 149787 requested cheap secured loan amount all but guarantees thatrepparttar 149788 lender is going to get their money back… and they're likely to pass this on to you inrepparttar 149789 form of low interest rates and lower monthly payments.

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