Payday loans become even more popular

The number of people taking out a payday loan in the UK has quadrupled in the last four years.

According to research by watchdog Consumer Focus, 1.2 million people are taking out a payday loan every year, borrowing up to over £1 billion.

With the popularity of payday loans increasing, Brits are being advised to turn to these loans as a product of last resort as interest rates may not be as competitive and as consumer debt can increase rapidly if the loans are rolled over.

With some companies charging over 2,500 per cent a year on interest rates, Consumer Focus is urging the industry to introduce more protection for borrowers.

Sarah Brooks, head of financial services at Consumer Focus, said: ”Payday loans are a valid form of credit and it’s much better for people to take one out rather than go to a loan shark.

“But we do think there needs to be a limit on the number of loans people take out and how many loans they are able to roll over.”

One in three student loan applications not yet approved

The Student Loans Company (SLC) has admitted that one in three student loan applications have not yet been approved.

According to the SLC, 276,000 students have not yet been approved a student loan this year.

The move follows last year's disaster in loan installments by the SLC which left over 50 per cent of undergraduate students unable to purchase text books and pay rent after applications had not been processed until after the acedemic year began.

Figures from the SLC revealled that 583,000 of 859,000 live applications had been prepared for payment and SLC ensured that last year's delay would not be repeated regardless of the "uncomfortable" period it faced following this week's publication of A-level results.

Desipite stating that the SLC was not fast enough last year, Simon Fraser, the Permanent Secretary at the Department for Business, Innovation and Skills, stated that he was "confident that there will be a better service this year".

Young people face "uncertain future"

Students are battling for university placements as Britain witnesses another record-breaking year of results.

According to Ucas, 2010 will be the most competitive year for university placements for a decade with some 660,000 students having applied to university.

Despite an increase in the number of  high grades this year, the number of students accepted into the universities are capped leaving a percentage of A* students without an offer for university.

A three A* and three A grade student was left without a placement today after Oxford, London School of Economics, University College London, Bristol and Warwick were unable to confirm his offer after not having enough spaces avaliable.

More students are now force-fully being left on the unemployment line.

National Union of Students president Aaron Porter said: "With youth unemployment pushing one million, savage education funding cuts and arbitrary limits on places, the government is at risk of imposing poverty of opportunity on a generation of young people facing a very uncertain future."

Brits look towards payday loans for debt relief

The number of Brits turning to payday loans as a form of debt relief has increased.

According to a new report by Consumer Focus, the number of people opting for such loans for support has risen four-fold since 2006.

The organisation suggests that there will be almost a 50 per cent increase in the number of consumers signing up for payday loans within the next few years.

Financial services specialist at Consumer Focus, Marie Burton, warned of the move.

She said: “such expensive rates can leave consumers who defer payments or take out repeat loans coughed in a debt trap.”

Lawn services

Brits urged to haggle with car dealers

Strapped for cash motorists could be losing out by failing to haggle when it comes to purchasing a new car.

A recent survey from Sainsbury's Finance found that 41 per cent of British motorists searching for a new car do not haggle on the price of their vehicles. The research revealled that a saving of £163m could be made by British Motorists over the next six months if they negotiated with the sellers.

With 453,000 people expected to pay too much for their new vehicles over the next six months as a result of haggling too little or not haggling at all, Brits could be losing out on having an average of £1,699 discounted on a brand new car as a result.

Steven Baillie, Head of Sainsbury's Loans said: 'It's pleasing to see that more car buyers are prepared to haggle than previously.

'We have been encouraging people to haggle for years but it seems that these recessionary times have finally convinced many to try and get a better deal.'

Scotland launches energy saving campaign

A £10,000 campaign is to be launched in Scotland as a bid to encourage Scots to become more energy efficient, it has been revealed.

According to the Edinburgh Evening News, the launch of the "Save it" campaign will reduce the energy bills of many homeowners across the country by featuring advets on busses, billboards and bus shelters across the city.

It also aims to promote a number of schemes avaliable for those who have difficulties in heating their homes.  One of the schemes, offers Energy Saving Scotland interest-free "home loans."

The city's housing leader, Councillor Paul Edie said: "There are various grants out there available to homeowners, yet many probably don't know they exist.

"We hope this campaign will alert people to what is on offer and encourage them to actively seek out help.

"The grants available will help reduce energy consumption and help to tackle fuel poverty."

Top Tips to Cut Costs

They say the recession is over. They say banks will start lending again. They say there are more jobs out there. And yet, there you are, strapped for cash, trying to make ends meet with the very little amount that you hold.

But fear not, there are ways to cut back on costs, even if it is just a few pennies here and there, but as the old saying goes; "look after the pennies and the pounds will take care of themselves," - it's actually true, and here's how:

1. Weekly food shopping- You may not have time to shop around for bargains in this busy lifestyle, but if you do, then do it. If not, try shopping in the late evenings- supermarkets are likely to reduce the prices of items close to the sell by date. This does not mean the food is off, some people eat foods which have gone a few days over their use by date, and it is okay to do so in some cases. And another thing, shop on a full stomach; those who shop on an empty stomach tend to spend more than those who shop on a full stomach.

2. Buy what you need- Offers such as supermarket coupons and BOGOF's are tempting, but that's a supermarkets way to make you spend more money than you need to. When shoppers see something that's on offer, they're more likely to buy it even though it's neither a need or a want, they will purchase it "because it was on offer." If you don't need it, put it down, and keep walking.

3. Prada or Primark?- Are you likely to spend £40 on a designer item that you can get in a cheaper store for half the price except without the name? If so, then see if you can look around the sales for the designers instead of paying full price. Otherwise, try shopping around in other stores, they may not be designers, but they look just as good and at a more reasonable price. And again, think, do you NEED this item, or are you buying it because it's on offer? Either way, no matter how cheap the item is, only part with your cash if it's actually needed, rather than if it's worth it, because everything thats cheap is worth it when you're in the store, it's only till you get home and realise that it's no use to you when you see that you spend more than you needed to.

4. Student/staff discounts- We all have contacts. Students and staff can get up to 20% off at some stores, so keep that in mind and save.

5. Bills- Yes I know, this is the most annoyingest of all, but it needs to be done. If you can reduce your bills somehow, then do it. You can change your mobile phone contract by asking yourself how much are you paying each month for what services, and do you actually use all your services? Most people pay for a large number of free texts and minutes, and don't even use them. It would be cheaper if you changed your contract for a lower monthly bill? T-Mobile allows its customers to pick a Flex it tariff where once your minutes are over, it works as a Pay-as-you-go. So you know how much you're spending and are more likely to keep those conversations to a minimum.

6. Insurance- Are you paying extra cash to insure your laptop and mobile phone under a different policy? Well you'd better check your home insurance policy. Some home insurance policies cover laptops and phones, so carrying out your own separate insurance for them is really throwing your money away. Turn off your ears when you purchase a laptop or phone and the sales assistant is advising you to purchase insurance. Sales assistants are exactly what they are, SALES assistants- they will always try to sell you goods that are not actually needed.

7. Budget- Set yourself spending targets and stick to it. If you're planning to go out, take cash and leave your cards at home to avoid going over the top.

These are just a few of the many saving tips I know of. Try it out for a month and let me know how it goes! You'd be amazed.

Weather Warnings

As we all know from last years impact that the weather had to our pockets, home and vehicle owners are being advised to ensure they carry out suitable checks to their homes, vehicles and their insurance.

With weather warnings storming around the UK on more heavy snowfall yet to come, Brits are being urged to ensure they take appropriate precautions to ensure they don't suffer from the effects of frozen or burst pipes, road accidents, unsuitable tyres, etc.

Although Britain is in a better position regarding finances compared to last year, funding for grit is still low, and therefore, slippery roads, and road accidents are expected to rise.

Even more, with the summer predicted to be hotter than hot this year, more drivers will be out on the road heading for more UK based holidays, so even then, keep an eye out...Potholes, here they come!

Insurance warning for homeowners

Sainsbury's home insurance is warning homeowners who intend to carry out structural modifications to their home, to ensure they check to see if it will affect their home insurance premium.Hoanne Mallon, manager of home insurance at the firm said: "In the current housing climate, creating extra space in your home is another option for those who have maybe decided to put their plans to move on hold.Buildings insurance premiums are calculated based on a number of factors, such as the type of house or the number of bedrooms it has, so creating extra rooms can have an impact on your premium even if you have unlimited cover."

3 suffer personal injuries in road accident

A road accident in Cannock left three people hospitalised after suffering from seatbelt and whiplash injuries.

The accident occured earlier this week when a two car collision left two men and a woman requiring hospital treatment.

It is unknown whether any of the victims will be filing a compensation claim for their injuries.