10 Ways to Beat Recession: Including Mortgage Tips on 100 Mortgages

After last week’s official announcement by both the governor of the Bank of England, Mervyn and Prime Minister, Gordon Brown, Britain is heading into a recession with the added statistics that were published on Friday showing that we have a shrinking economy. We now need to know how to survive the recession.

It will come as a shock for many people under forty to feel affluent one moment and then broke the next, due to the fact that many were too young to have serious careers at the end of the 1980’s when the last bubble burst.

Here is a ten ways you can try to improve your stability as we head toward recession.

One, protect your income with a income protection plan, because the government will only pay 13 weeks after you are made reduntant, and will only pay the interest on loans up to £175,000.

Two, make sure you are paying the lowest rate on your credit cards and if possible transfer your balance to a credit card offering interest free for a longer period of time.

Three, Look at your mortgage and see if you have a better deal, if your fixed rate is coming to a end it may be worth looking at a Tracker rate as its speculated we will receive several more interest rate cuts this year.

Four, protect your savings as the bank of England base rate drops so will the interest you earn on your saving, if you can lock into a high interest saving plan this could be advisable.

Five, take control of your pension, if you are younger than 50 the recent stock volatility will not affect you as much as there are plenty of years left for your pension to recover if it is an investment-linked pension.

Six, fix your retirement income, it may be time to buy an annuity.

Seven, keep a close eye on your final salary pension, if you have a government underwritten pension or strong employer then you do not need to worry.

Eight, shake up your portfolio, with interest rates dropping it may be time to re-look at your investments.

Nine, cut the cost of essential insurance, make sure you are getting the best deal on your car insurance and home insurance; tell your insurer to better the deal.

Last but not least, ten, boost your income, take in a lodger or take on a part time job to supplement your income.

Source: Telegraph

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