Seven Financial Facts About Yourself You Should Know
Do you know all the facts about your finances? Could you reel off numbers if prompted? In personal finance ignorance is expensive as the wrong calculations can leave you paying far too much for insurance, utilities and expenses.
Here are the top ten financial facts you should know about yourself:
1. Your Credit Rating
Over 50% of Britons have no idea what their credit rating is or what is affecting it. In some cases a red mark could be easily wiped off with a small payment. Do you feel comfortable knowing your lenders know more about your credit history than you do?
2. Your Security
You may know that you have locks on doors and windows at home or in the workplace but do you know what specific type they are? Detailing the wrong locks in a policy could make any claim void which is an expensive mistake to make.
3. Your Value
If you took out insurance for your contents, your jewellery, your art or your buildings over a year ago it is time to look at it again. Inflation pushes the price of your valuables up meaning they’ll costs more to replace while the demand on services prompts builders to charge more for repairs. It’s also unlikely that you’ve brought nothing new into your home over the last twelve months and so insurance needs to adapt to cover it all.
4. Your Credit Card APR
You could save a lot of money right now by seeing what your APR is and finding a better deal.
5. Your Car Insurance Details
Have you told your insurer the correct mileage? Underestimating leads to void claims as the lower the miles the lower the premiums. Did you also know that if you add a named driver the cost of insurance decreases?
6. The Cost of Being Aboard
Credit cards cost more to use abroad than at home. You can also be charged for cash withdrawals as you bank converts the UK currency to wherever you are. Even if you don’t use your mobile phone abroad you can still find yourself with a hefty bill as some companies charge you, not the caller, when they call you on holiday.
7. The Cost of a Rebuild
As natural disasters in the UK increase, with high winds and floods you now need to know how much it would cost to build your home from scratch. Don’t confuse this with its market value, as the cost is usually less. As your buildings insurer works on this figure, the less it is the lower premiums you pay.