With flowers in bloom, the weather alternating between snowfall and sunshine, it couldn't be any other time than Spring. For many Spring is seen as a time of rebirth and fresh starts, so maybe it time to re-evaluate the goals you set at the start of the year? Are your finances still on track or have your goals shifted?
If you're looking to refresh your finances and maybe you're even looking to find ways to save money on your monthly outgoings, get in touch today and we'll be there to help.
There are different types of power of attorney and you can set up more than one.
Ordinary power of attorney
This covers decisions about your financial affairs and is valid while you have mental capacity. It is suitable if you need cover for a temporary period (hospital stay or holiday) or if you find it hard to get out, or you want someone to act for you.
Important note: An ordinary power of attorney is only valid while you have the mental capacity to make your own decisions. If you want someone to be able to act on your behalf if there comes a time when you don’t have the mental capacity to make your own decisions you should consider setting up a lasting power of attorney.
Lasting power of attorney (LPA)
An LPA covers decisions about your financial affairs, or your health and care. It comes into effect if you lose mental capacity, or if you no longer want to make decisions for yourself. You would set up an LPA if you want to make sure you're covered in the future.
A lasting power of attorney (LPA) is a way of giving someone you trust, your attorney, the legal authority to make decisions on your behalf if you lose the mental capacity to do so in the future, or if you no longer want to make decisions for yourself.
There are two types of LPA:
- LPA for financial decisions
- LPA for health and care decisions.
LPA for financial decisions
An LPA for financial decisions can be used while you still have mental capacity or you can state that you only want it to come into force if you lose capacity.
An LPA for financial decisions can cover things such as:
- buying and selling property
- paying the mortgage
- investing money
- paying bills
- arranging repairs to property.
You can restrict the types of decisions your attorney can make, or let them make all decisions on your behalf.
If you’re setting up an LPA for financial decisions, your attorney must keep accounts and make sure their money is kept separate from yours. You can ask for regular details of how much is spent and how much money you have. These details can be sent to your solicitor or a family member if you lose mental capacity. This offers an extra layer of protection.
LPA for health and care decisions
This covers health and care decisions and can only be used once you have lost mental capacity. An attorney can generally make decisions about things such as:
- where you should live
- your medical care
- what you should eat
- who you should have contact with
- what kind of social activities you should take part in.
- You can also give special permission for your attorney to make decisions about life-saving treatment.
Get in touch and we’ll organise with our trusted referral partner to get you started
Wills, Estate Planning and Lasting Power of Attorney are not regulated by the Financial Conduct Authority.
One of the biggest challenges you may face when trying to capital raise when your lender may not give you a Further Advance (when you take on additional borrowing from your current mortgage lender) and large early repayment charges may stand in the way of re-mortgaging.
Whether the money required is for debt consolidation, home improvements, paying a tax bill, matrimonial settlements or for any other legal purpose, there is another solution.
With a second Charge Mortgage you could borrow money behind the first mortgage and would not have to pay a penny in terms of early repayment charges. Effectively you would have two Mortgages, similar to a further advance, though further advances tend to be with a different lender.
A common myth is that second charge mortgages are just for people with bad credit or those in debt however, over 90% of our secured loans are taken out by people who would qualify for a High Street Mortgage in respect of credit profile and affordability. The most popular reason people look to a second charge mortgage is to avoid paying the often-large Early Repayment Charges associated with their mortgages.
Another myth, is that the fees and interest rates are high on Second Charge Mortgages, when in fact rates start from around 3.5% and product fees from a little as £350, making it a suitable and befitting option for many looking to adjust their financial situations.
In short, a Second Charge Mortgage could provide a suitable choice when assessing financial options. Speaking to your adviser could help you adequately assess your options, but despite the myths surrounding Second Charge Mortgages, they could be a fitting option for your needs.
If you’d like to discuss your finances, get in touch today.
Think carefully before securing other debts against your home. Your home or property may be repossessed if you do not keep up repayments on your mortgage. You may be charged a fee for mortgage advice.
The cost-of-living crisis is not something that will have passed you by unnoticed. But for many of those in their retirement years, the phrase “eating or heating” is not a new one.
Many of us are seeking new ways to budget to afford the significant price hikes in energy bills, the rise in fuel costs and the increases on our food bills, but could releasing equity locked up in your home help you to tackle the upsurges?
If you’re over 55, own your own home and are seeking options to accommodate your changing financial demands, could equity release be a suitable fit?
Equity Release could allow you to reduce your monthly outgoings as many lenders do not require you to make monthly repayments (although you do have the option to in many cases)- the funds released could be used to pay off an outstanding mortgage thereby removing the need to make a monthly payment on that necessity, and you could also ensure you have disposable income to combat further financial demands.
If you think equity release could suit you and your needs, get in touch today for a no-obligation conversation.
This is a lifetime mortgage. To understand the features and risks, ask for a personalised illustration. Check that this mortgage will meet your needs if you want to move or sell your home or you want your family to inherit it. If you are in any doubt, seek independent advice.
If you're over state pension age, on a low income and live in the UK, you could be getting an extra £60/week in pension credit*. Here’s a summary and quick links on how to get started.
- Pension credit can be worth £3,000/year* on average. If you're over state pension age, live in the UK, and earn less than £182.60/week* as a single person, or £278.70/week* (including savings and pensions) as a couple, then the main element of pension credit tops up your income to those amounts. If you've additional income or you've saved for retirement you could get more via the 'savings credit' element.
- Pension credit is also a gateway to FREE TV licenses and MUCH MORE. Those who claim the main part of pension credit can get discounts on other bills such as council tax reduction – worth about £1,000/year typically, and the warm home discount – worth £140/year. See all the other extras you can get with pension credit.
- It is NOT automatic so you MUST claim - here's how. You can apply via Gov.uk if you've already claimed your state pension, but otherwise you'll need to phone the Pension Service on 0800 99 1234 (or the NI Pension Centre on 0808 100 6165). You can backdate it for three months, so the quicker you check, the quicker you'll benefit.
