Don’t Let Your New Year Resolutions Leave You Worse Off!
Warwickshire County Council Trading Standards have identified some of the most common New Year Resolutions and are advising consumers how they can keep their resolutions and be wise with their money at the same time.
Get Fit Quick!: If you are thinking of joining a health club or gym in the New Year, shop around and compare deals. Before you sign on the dotted line, make sure you read any terms and conditions carefully. Will you have to pay up front for a year’s membership? Will you be entitled to any money back if your membership lapses along with your good intentions? Do you have to give notice of cancellation?
Shed the Pounds You Put On At Christmas!: Don’t be taken in by adverts that promise ‘miracle’ slimming cures and fantastic weight loss in weeks, simply by taking a tablet or using a patch. Many of these adverts are misleading. Take advice from organisations such as the Food Standards Agency, visit: http://www.warwickshire.gov.uk/tradingstandards for more information.
Double Your Income By Working From Home!: Many of us are short of cash after Christmas, and may be tempted by adverts that drop through our door offering fantastic earnings from home-working schemes, or pyramid recruitment plans. Be very sceptical about any work opportunities that ask you to pay up front, or that offer financial returns that seem too good to be true – they probably are!
Be Debt Free! Debt is a major problem for many people, particularly after Christmas when those who have paid for their festivities on credit are now faced with dealing with this in the New Year.
Beware of unscrupulous credit brokers and debt management companies. Credit brokers are only allowed to keep £5 of the commission fee if a credit agreement is not signed, but unfortunately, many customers do not realise this and some credit brokers are taking advantage and keeping the lot!
Be wary when using debt management companies as they also often charge fees, adding to a consumer’s debt and may simply suggest a consolidation loan – where all the consumers unsecured loans are paid off with a larger loan secured on property.
Although a consolidation loan might reduce a person’s monthly payments, it will almost certainly leave them with a greater level of debt overall to pay off over a longer period of time, and if the consumer fails to meet the repayments on a secured loan, they could lose their home. Consumers are advised to look closely at the duration of the consolidation loan, and the total amount payable.