Winning feels good.. Winning a Prize or Money feels even better.
In September 2016 it was reported that the average Brit blows a whopping £416.00 every year on lotteries and scratch cards but a staggering 52% of people have never won a penny on them.
The odds of winning? A one in fourteen million chance. Very little chance of success but still attractive enough to invest in it seems.
Would you buy more tickets if the odds were better?
Would you be more interested in a lottery where you had more chance of being a “winner”?
What about if the prizes were a little more grounded? How about the chance to “win” up to £12,660.00 over 5 years or £8,142.12 over 3 years? What if you could enter without even buying a ticket?
We do the lottery because we want that life changing big bucks win but most of us would readily accept any financial improvements. Do we devote any time to these options? Probably not. Suddenly a £416.00 investment for no return every year looks less attractive.
There has been a lot of talk lately about the lack of pay rises and the fact that many people are actually watching prices rise while their salaries and their income remains the same. In essence they are now worse off than before and the gap is increasing. What if you could give yourself a £12,660.00 pay rise payable over the next 5 years or £8,142.12 over the next three? In very simple terms that’s an extra £211.00 a month in the first instance. That would be a decent pay rise wouldn’t it?
Have you seen the lottery that’s based on your post code? This is obscurely similar. It’s your very own “lottery” but without the gamble and any funds it might raise are your own.
If you come to the end of a product with your existing lender you are given two options, you either remortgage to a new deal or you switch to the lenders Standard Variable Rate (SVR). Too many people opt for the SVR. This is because there isn’t enough information, people don’t really understand what it all means and there is no advice. In fact an estimated 1.1 million households waste around £2.78 billion every year by being on these sorts of deals.
Did you know that the average Standard Variable Rate (SVR) is 4.61% (source Moneyfacts 4 August 2017).
The savings quoted above are what could be saved if you had a £150,000.00 mortgage currently paying 4.61% and then remortgaged onto a 3 year fixed rate at 1.74% or 5 year fixed at 1.95%. If your mortgage is higher you’ll save more and vice versa of course. That above doesn’t take account of the lenders fees, legal fees, valuations and the like but that’s because there are thousands of mortgages available and each has its own set of criteria. To keep things simple just the headline details have been included.
Even with these other costs and fees factored in, is it worth seeing if you could be saving money?
When was the last time you checked your mortgage? What rate do you pay? How good is your existing mortgage? Could you be saving money? Or don’t you know?
Would an extra £1,000.00 or £5,000.00 be useful over the next 2- 5 years? Would reducing your mortgage costs each month be helpful right now? If you were paying around £843.00 a month for a £150,000.00 mortgage at 4.61% how beneficial would it be to reduce that monthly payment to £616.97? It’s an example. What we will do is review your circumstances, your finances, your mortgage and your requirements to find the best deal for you. It maybe that the deal you have is the right one. If that’s the case you’ve spent nothing and lost nothing to have the reassurance that you’ve got the best you can have at this time.
All of the above are simply examples. They don’t relate to specific mortgage cases, they are purely to give an indication of what could be achieved.
Why not take advantage of your own “(insert home address) lottery” and see what your home could do to help with your finances. Yes it’s a home but don’t miss out on making it work harder for you.
We have helped so many people review their mortgages and the results can be life changing. It might not just be about your mortgage. You may have long standing credit card debts or loans and finance on terms that are now unfavourable. You might want to improve your home but think it’s too expensive to fund.
Contact our Mortgage & Protection Adviser, Mark Alefounder on 01206 366700 or via email at [email protected] to arrange your appointment today so that we can start the process of reviewing your position.
There has never been a better time.
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