Newcomer Dan Fry posed a tricky question on our Facebook group this week
So given that the interest rate is so low what are the best options for pensions and savings. Obviously I’m not expecting you to come up with a fool proof risk free option, it’s just that at the moment I have a cash ISA and a stakeholder pension and I’m sure I could probably be doing more with my savings.
Sorry, I am going to have to duck this one for legal reasons! You really need to get some proper advice from a regulated independent financial advisor who will assess your needs and, crucially in this marketplace, your appetite for risk! In addition to that, you will need to make some guesses as to the likely length of the recession and, therefore, how long interest rates are likely to stay at current levels. I think “guesses” is the operative work there, because very few experts agree on what the interest rate environment might look like in a couple of years time.
Ask Owen is about providing impartial financial advice for those concerned about managing their money. The country is suffering a serious economic decline and with people concerned about increasing costs of living and fuel bills, teamed with worries about job losses and house repossessions, it is a daunting time; so if you have a question to Owen fill in the comment box below and he will answer.
1 response so far ↓
James // March 26, 2009 at 12:10 pm |
I read in the news about that couple who’ve ended up paying 1p a month on their mortgage (and they only pay that because it’s the lowest number the bank’s computers can handle)….that sounds great but surely they needto be saving that money to pay it off the equity on the house.
I know we are meant to take the cash from all these rate cuts and go out and spend, spend, spend but surely getting your house paid off should be a priority.