UK Property Rental Internet Scam.

July 2nd, 2009

Prospective tenants are being conned out of thousands of pounds in an elaborate internet scam, a BBC London investigation has found.

Fraudsters pose as landlords and advertise exclusive properties at low rents on advertising websites such as  Gumtree and Craigslist. They then claim that they are out of the country and need to see proof that the prospective tenants can afford the rent before they show them the flat. They ask the potential tenant to transfer a payment to a trusted friend or relative through a money transfer agency such as Western Union or Moneygram as proof that they have the funds. The fraudster requests a photocopy of the transaction as proof but than “poses” as the friend or relative and makes off with all of the money.

Gumtree said it was working with the money transfer agency Western Union to prevent the fraud but a spokesperson for Western Union said that their service should only be used to send money to family and friends and not to pay for goods or services.

“Don’t give the receipt or details for a money transfer to any person other than the person who is going to pick it up,” she said. The fraudster would have to provide the control number as well as ID to receive the cash. However, if they managed to create fake ID they might slip the net. “Our staff are trained to recognise ID, but they are not the police,” said the spokesperson. Western Union said it could not offer refunds to the people who have been defrauded by it.

Sisters Alexandra, 19, and Zaire Sheppard, 18, from Holloway in north London, have been victims of the scam.

They saw an advert on Gumtree for a two-bedroom apartment in Belgrove Street in Camden advertised for  £650 a month, plus a deposit of £700.

They e-mailed the owner, who called himself “Lin Dong”.

He claimed he had had trouble with tenants before and wanted proof the sisters could afford the rent and deposit.

Lin Dong asked Alexandra to send a payment of £1,350 through Western Union, not to him, but to a trusted friend or relative of her choice.

He then requested a scanned copy of the transfer payment receipt so that he could verify that she had the available funds.

Some time afterwards, a fraudster using fake identification, pretending to be Zaire Sheppard, walked into a Western Union office with the scanned receipt and took the money.

Alexendra said: “I was put off my guard because I was not asked to send the money directly to Lin Dong - I sent the money to my sister.”

Similar scams have been reported in various areas of London

BBC London checked the origin of the e-mails and found they were all sent from Lagos, Nigeria.

Trading Standards is worried about the increasing number of such online scams, and has warned online listing and money transfer sites to be more vigilant in checking for potential fake listings before they are published.

How to find the cheapest UK Life Insurance Quotes

April 9th, 2009

How to save money on your Life Insurance Premiums

1. Price comparison site vs FSA Intermediary?

Both. The easiest way to save money is to shop around. Getting a quote from a price comparison website is the quickest way to get a feel for what you should be paying but then speak to an FSA Authorised Intermediary. They will be able to give you the best advice and make sure the cover is what you need. And they will be just as competitive as online quotes.

Get an online quote here!

Get a quote from an FSA Authorised Intermediary here!

2. Review your existing cover

If you already have cover, review it every few years to make sure it still fits your needs. As our lives change, so do our requirements for life insurance. Something you needed cover for 10 years ago might not be relevant anymore. Also, premiums have come down in recent years so even if you still need the same amount of cover, you may be able to get a more competitive quote. Again, speak to an FSA Authorised Intermediary for advice.

Get advice from an FSA Authorised Intermediary here!

3. Stop smoking

Easy to say when you are not a smoker, I know, but aside from the obvious benefits of quitting like better health and saving a fortune in cigarettes, giving up smoking can reduce your life insurance premiums significantly although you will usually need to be cigarette or tobacco free for at least 12 months.

4. Get healthy

Again, a bit obvious but if you are requested to take a medical by your insurance company, being in better shape and not overweight will have a huge affect on how much you pay.

5. Apply early

Although it’s rarely too late to take out life insurance, the younger you are the better. Premiums for an average 20 something male will be a fraction of a 40+ male, but remember health and smoking can play a massive part, so age alone isn’t the deciding factor.

Finally, remember the reason for taking out Life Insurance. It isn’t for you, it’s for your dependants, your family and loved ones so whatever you do, make sure they are adequately protected.

Bank of England hold interest rates at 0.5%

April 9th, 2009

The Bank of England have today announced, as widely predicted, that interest rates will remain at 0.5%, ending 6 months of consecutive interest rate cuts. April is now the first month since September 2008 that the Bank’s Monetary Policy Committee has decided not to drop the Base Rate. But what does it mean for us?

Are we seeing signs that the worst is behind us? 

It really is too early to say, but many believe that we are certainly at or nearing the bottom of the current ‘dip’. On the other hand, there are those who believe that further reductions in rates would actually harm the economy, rather than improve it. Whilst the initial interest rate cuts were welcomed by most, the latest cuts appear to have done little more than spread panic and fear amongst the financial markets. The Bank of England’s decision to leave interest rates on hold, is simply a message to say ‘we have now done our job, and things are now getting back on track’. Whether this is true remains to be seen but any move that even begins to restore the countries shattered confidence will be welcomed. 

Mortgage holders and savers will see no change following the latest decision, unless individual lenders and banks decide to alter their rates, but on the whole, it will be a sigh of relief that we are entering a more ‘normal‘ phase following months of turbulence.

What next for interest rates?

Again, opinion varies but we can certainly expect to see a period of stability, with economists agreeing that rates are unlikely to get any lower. The question is when, and it is a question of when and not if, will rates start to rise again?

“Looking further forward, we continue to anticipate rates remaining at 0.5% for an extended period of time - in our forecasts that means until early 2011,” said Malcolm Barr, an economist at JP Morgan.

“Rates are at the absolute bottom here,” David Page, economist at Investec Securities told MSN. “The next move is bound to be up and that could come in the first quarter of 2010,” he added.

There are signs that the economy might be improving again, with an increase in mortgage activity and house sales, certainly contributory factors in the Bank of England’s decision. And recent news that HSBC are allocating £1 billion to lend to homeowners and RBS/Natwest stating that they will make £10 billion available to small businesses are all signs of a growing confidence within the financial sectors.

Life Insurance - Necessity or Luxury

April 9th, 2009

Britons cancelling Life Insurance cover as credit crunch bites

Worrying stastics have revealed that over half a million Brits have cancelled their life insurance cover altogether in an attempt to save money as the credit crunch bites

The report by Sainsbury’s Finance has revealed that an estimated 500,000+ Britons have cancelled their life insurance cover in the last 12 months and  four percent of all life insurance holders have switched providers in the last year to obtain cheaper cover.

“Given the financial state we’re in it’s inevitable that people are going to be looking to make cut-backs, but it’s a real concern when those cut-backs leave them vulnerable to far greater expense down the line,” said Sainsbury’s home insurance manager Neil Laird.

However, life insurance premiums can vary greatly and in recent times premiums have actually fallen so it is always worth speaking with an Independent Financial Advisor to make sure that you are paying the correct premium for the cover you have.

For a free and impartial review of your life insurance cover CLICK HERE

American woman finds $357,959 cheque and hands it in!

April 9th, 2009

Imagine walking along the street, glancing down you see a cheque lying on the ground with an amount of $357,959.55 in big bold letters written on it. Surely, you would assume it was a fake, a joke or something similar and walk by, or would the curiosity take over and you bend down and ever so discretely pick it up.

As she walked from the post office, Talon Curtis from Los Angeles thought she had found a gimmicky sweepstake offer on the ground with the numbers $357,959.55 written across it, and like a good citizen she was just about to pick it up and bin it, when she noticed that it was actually a real cheque with a real signature.

What she did next was quite amazing. Read the full story here

 http://news.yahoo.com/s/ap/20090408/ap_on_fe_st/odd_big_check

What would you do????

Mortgage Payment Protection Insurance can ease repayment worries

April 7th, 2009

Why take out Mortgage Payment Protection Insurance (MPPI)?

No one knows what the future will hold and if you become unemployed or cannot work due to accident or illness, you may not be able to meet your financial commitments. Job security is now a thing of the past, with record numbers unemployed or facing the risk of unemployment, yet millions of people are potentially putting their homes at risk by ignoring the benefits of Mortgage Payment Protection Insurance (MPPI).

The mortgage on our homes is probably the biggest commitment most people will make in their lives but if you couldn’t make your mortgage or loan payments, could you rely on the “state” for help? Probably not! Over 70% of people will not qualify for Income Support and those who do will only receive a small percentage of their normal income.

Mortgage Payment Protection Insurance(MPPI) can cover the payments on your mortgage, your loans or even your rent if you become ill or unemployed. But what about the cost? Surprisingly affordable with premiums as low as £3.00 per month per £100 of mortgage payment. Whilst the average cost of a mortgage has dropped by more than 50% in recent months, the risk of facing unemployment, accident or illness hasn’t, so protecting your home has never been more important. To find out more and receive an instant online quote, click below

Mortgage Payment Protection Insurance - Peace of Mind for you, your family and your home.

Dear RBS, where has all our money gone?

April 6th, 2009

Have RBS Lombard Direct spent it all?

Lombard Direct are owned by Royal Bank of Scotland. Royal Bank of Scotland are owned by the British Taxpayer. The British government on behalf of the British Taxpayer has pumped countless millions into Royal Bank of Scotland in a bid to save the banking system and to get them to lend our money back to us. Sound confusing? 

Ok, so let’s accept that on some level all of this makes sense, after all we need to get the economy moving and the ability to borrow or lend money is a fundamental part of this. So why have Lombard Direct (Royal Bank of Scotland) now decided that they are going to stop lending money, and exactly where has all our money gone?

Unexpected Rise in House Prices

April 2nd, 2009

House prices rise by 0.9% in March

March saw a surprise rise in house prices, as buyers started to return to the market, figures showed.

According to the Nationwide, the increase of 0.9% was enough to push the average home back up above the £150,000 threshold to £150,946, but the group added caution to the statement saying that it was “far too soon” to take this as evidence that the bottom of the market had been reached.

The rise also led to a reduction in the annual rate at which house prices are falling, from 17.6% in February to 15.7% in March.

Fionnuala Earley, Nationwide’s chief economist, said: “The Bank of England has already taken strong measures to ease the tensions in economic and financial markets by cutting rates and commencing quantitative easing. However it will take time for these to work through into the housing market before we can expect a sustained recovery in house prices.”

The rise has followed recent positive news on the housing market, as only days earlier the Bank of England said the number of mortgages approved for house purchase jumped by 19% during February.

Estate Agents have been reporting an increase in interest from potential buyers during the last 3-4 months and it appears that this may now be translating into sales. There has been an increase in the number of ‘cash investors’ looking at property again, as interest rates on saving and other deposits continue to fall.

Predictably pessimistic, and dare we say gloomy, economists have greeted the recent run of good news cautiously, warning that, although the housing market may have turned a corner, a sustained recovery in prices was still likely to be some way off with the economy in recession and unemployment rising.

Tesco ‘Bank’ on Success

April 2nd, 2009

Tesco plan to open 30 bank branches in 2009

Tescos attempt at global domination seems set to continue with plans to open 30 bank branches within it’s stores by the end of 2009. Whilst the banking sector, as a whole is retracting and consolidating it’s position, Tesco once again seem to be bucking the trend.

A trial branch has already been running in Glasgow for some time now and the first new branches in Blackpool, Coventry and Bristol will be opened during the next month and Tesco plan to be offering current accounts within the next two years, with a wider range of services to follow.

The company already offer car, travel and home insurance, credit cards, loans and savings accounts under the Tesco Personal Finance brand with plans to possibly move into the mortgage market.

Last month, Tesco said the amount of money deposited in its savings accounts had nearly doubled in the previous six months, although the last few months have seen general industry growth in this sector, as consumers make provision for an uncertain economic period ahead.

Whether Tesco have the midas touch remains to be seen, but they certainly seem to possess one vital factor that is lacking in the country as a whole, consumer confidence, and this alone can make or break a company or country for that matter.

Tesco for government? Who knows!

British Homeowners make record mortgage repayments

April 2nd, 2009

 According to Bank of England figures published earlier this week, Britons paid off a record £8 billion in mortgage debt between October and December last year.

The figures suggest that homeowners, benefitting from low interest rates and reduced mortgage costs, are now cutting down on spending and putting any surplus funds into paying off their mortgage debt. As concerns of the recession and economic slowdown set in, anxious homeowners put more money into paying off their mortgages, with the largest net injection of equity since records began in 1970  

As house prices continued to rise, homeowners were drawing equity from their homes and by 2007, the amount of extra borrowing obtained through remortgaging reached £14.6 billion. However, the last 3 months has seen a reversal of this trend and homeowners are now drawing a ‘negative’ amount of equity from their homes.