Loans News

During the recent lockdowns many consumers were able to use their unexpected extra disposable income to repay credit card debt, but for others the boredom of being housebound resulted in them racking up credit card debt.

As the end of the year approaches, now is the perfect time for those who have seen their outstanding credit card balances increase over the past 20 months to take steps to clear their credit card debt. For many a personal loan can be a good way to pay off credit cards, but this option is not best for all borrowers. Here we take a look at the benefits of taking out a loan to pay off a credit card debt and the alternative options available.

Many finance experts are predicting that the Bank of England will increase base rate in the coming months to help tackle rising inflation, with some suggesting a rise could come as early as next month.

Base rate has a knock-on impact on the interest rates set on borrowing and savings accounts, with a low rate often helping to encourage consumer borrowing, while a higher rate usually results in consumers seeing better returns on savings accounts.

Right now, base rate stands at 0.1%, its lowest point since the first rate was set in 1694. It was cut by the Bank of England to this rate in March 2020 to help steer the UK economy through the pandemic. Now, however, the Bank of England has suggested that a base rate rise could be imminent as inflation remains above its target of 2%.

If base rate is increased it will likely have a direct impact on savings, mortgages and other types of borrowing. Here we look at how a base rate rise could impact consumers’ finances.

Every week we highlight some of the best personal finance deals currently available. These deals are selected based on their competitive rates and features that benefit consumers. We’ll include a selection of market leaders as well as new products entering the market.

This is only a selection of the financial products available, those looking for a new savings, mortgage, loan or credit card deal should use our charts to compare the best deals.

• Compare the best savings accounts
• Compare the best mortgage rates
• Compare the best loan rates
• Compare the best credit cards

House prices have increased year-on-year by 7.6% in July 2021 according to the Halifax House Price Index, resulting in an average increase of £18,500 compared to a year ago. And, with housing stock still depleted after the surge of demand caused by the stamp duty holiday, homeowners may want to use this additional equity to make improvements to or extend their home.