The news on the economic front still remains bleak. Day after day we reaad in the newspers, and hear on the television news the depreesing news about the Northern Rock being in a worse state than ever. Since it was nationalised in February 2008, the losses have risen by 24 and now stand at the staggering level of about £725,000,000 compared to a loss of about £585,000,000 at the end of June last year.
Only today the partially state owned bank of Lloys banking group which was a merger of HBOS, and LLoyds TSB has announced a loss of 4 billion pounds for the first part of the year. Their bad debt situation is becoming increasing worse and worse. The first six months of 2009,has shown their bad debts increasing five fold.
The record figure of 4 million unemployed is expected to be reached in the very near future. The construction industry is at it s very lowest ebb since 1948 which was only three years after the end of the second world war.
Construction workers and those in the manufacturing industry have been particularly affected by the credit crunch, and many have been made redundant.
However, not everyone has been affeced so far by the credit crunch, and if you are a homeowner, you would do well to consider cutting down on your monthly outgoings in case you actually do personally start to feel the effects of the recession in the future.The best way to acheive a saving is by arranging a homeowner loan to be used as a debt consolidation loan.
As the homeowner loan is a secured loan the interest rate will be good, and at present the starting rate is about 8 APR. You can make enormous savings every month by taking out a secured homeowner loan.
To give an example of exactly how substantial the savings can be is that if you have total outstanding balances of £40,000 on credit cards, you must make a minimum repayment of £1,200, and paying this minimum repayment of 3 of the outstanding balance does not go much of a way to decreasing the balance. Those experts in this field of finance say that by making only the minimum payment you will take in the region of twenty six years to pay off your credit cards. A homeowner loan used for debt consolidation for £40,000 would cost about five hundred pouds a month over ten years. Quite a saving, and remember you would be debt free after ten years.
Therefore during this recession you will really secure your financial future with the help of a homeowner loan.
If however you feel truly secure in your employment and want to fund a large purchase such as a car, a motorhome, a caravan or a boat a homeowner loan is an excellent way to go about this You can of course apply for a loan from the car, motorhome, caravan and boat dealership. The disadvantage with obtaining your loan in this way is that you require a deposit.By taking out a homeowner loan you can fund 100 of the purchase with this loan Another advantage of the homeowner loan is that you would have cash in hand to negotiate the best deal, and are also not tied to buying your vehicle or boat from a dealership.
Instead you could look in your local or ntional paper, and under the cars for sale section ,for example you will find contact details of private individuals with cars, motorhomes, etc. for sale and descriptions of vehicles which are for sale privately.Buying in this way can save you up 20 or more on the purchase price.
A homeowner loan can also be used to pay for your dream wedding. Why put off marrying the love of your life in a romantic setting such as on a sunny beautiful tropical beach? Use a homeowner loan to achieve your dreams.
Author Resource:-
Liz Moir is an experienced secured loan and remortgage underwriter with Champion Finance, a firm established since 1985 who arrange secured loans for all circumstances and whole of market remortgages and mortgages. Liz even arranges Debt Management plans, etc. http://www.championfinance.com
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