If you have owed money, because you taken a loan , you could find that the lender has obtained judgment against you without your knowledge. News Round-Up: Insurer's idea for NI saving By LORNA BOURKE REDUCTIONS in National Insurance contributions came into effect last week. Workers earning $115 a week or more will receive just over $3 extra in their weekly pay packets, while salaried staff will see an increase of more than $13 a month. The Pru says that Britain is becoming a nation of spendthrifts with less than $5 in every $100 of disposable income being saved last year -the lowest level for 30 years -- and is encouraging people to save the extra cash.
A 30-year-old man could use his extra $13 a month to buy $60,000 worth of 20-year term cover, says the Pru. Interest-free loan offer for new car buyers By LORNA BOURKE WITH interest rates going through the roof the offer of an interest-free loan for two years for buyers of new cars should be investigated. Anyone considering buying a new Metro 1.0L, Montego 1.6L or Rover 820 Fastback can obtain interest-free loans over two years from AA Financial Services, provided you are prepared to put down a 25 per cent deposit on the car. For example, a G-registered Metro costs $216.42 a month over 24 months with a deposit of $1,731.25.
The purchase price includes six months road tax and delivery. The total amount payable is $6,925.25. Repayments can also be spread over three years at an APR of 3.9 per cent, or four years at an APR of 6.9 per cent loan. However, car buyers should be aware that all kinds of discounts are available on new cars and that an interest-free loan for 75 per cent for two years might still work out more expensive than borrowing elsewhere and getting a large cash discount on the purchase price. You will have to do your sums. At today's overdraft rate of around 18 per cent the value of a two-year interest free loan of say, $5,000 is around $1,800.
You would therefore need to be able to buy the Metro for about $5,200 cash or less to be better off financing the deal yourself. High interest rates are good for savers: Lorna Bourke looks at the options for investing your money at a time of soaring loan rates By LORNA BOURKE HOMEBUYERS now know the worst. Halifax and Abbey National have announced their new home loan rates -- up 1 per cent to 14.5 per cent from 1 November - and most other large lenders are likely to follow suit. With demand for homeloans at a low ebb, few will want to go higher. For the average borrower with a $30,000 home loan over 25 years, monthly repayments after income tax relief on the interest, go up from $278.70 to $294.90.
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