:00:00. > :00:00.The savers who want more for their money and borrowers who are worried
:00:00. > :00:15.that it will make their mortgages less affordable.
:00:16. > :00:16.Welcome to Your Money, your weekly guide to making the most of your
:00:17. > :00:20.cash. Interest rates on the way up `
:00:21. > :00:22.eventually. We'll tell you what to do now to
:00:23. > :00:25.boost your savings How to make sure you get what you
:00:26. > :00:29.expected for your money when you treat someone to
:00:30. > :00:31.the thrill of a lifetime. And making sure you've got
:00:32. > :00:34.the right insurance if you've got The Bank
:00:35. > :00:42.of England's interest rate was Well, now the Bank's governor has
:00:43. > :00:48.hinted it could be before the end But what does that mean if you've
:00:49. > :00:52.got a mortgage, or you're relying The interest rate we get or pay at
:00:53. > :00:57.the high street banks has for a long time paid very little attention to
:00:58. > :01:02.what the Bank of England charges. Two great experts to give lots
:01:03. > :01:06.of advice for savers Jane Symonds, financial expert from the
:01:07. > :01:09.independent Money Advice Service. For mortgage owners, Ray Boulger,
:01:10. > :01:13.voted Guru of the Year From the independent brokers
:01:14. > :01:35.John Charcol. We will talk about savers, if rates
:01:36. > :01:41.are going up, you might not want to have a fixed rate deal now?
:01:42. > :01:44.Locking it in now could see you losing out in the future. We would
:01:45. > :01:52.recommend that you keep your savings fluid, check out the tables.
:01:53. > :01:56.And the other reason for checking the best buy tables to make sure
:01:57. > :02:01.that you are getting the best deal, because interest rates might go up
:02:02. > :02:04.before they make a formal announcement, if the money markets
:02:05. > :02:10.seems to ring that it is going to happen?
:02:11. > :02:14.They might to, although there is a government initiative which is that
:02:15. > :02:17.they do not have to work as hard to get these savings. We might not see
:02:18. > :02:23.the impact until later in the year, but always keep an eye out for the
:02:24. > :02:26.best buys. At the moment, some of the current council giving you the
:02:27. > :02:33.best rates and flexibility that you need. Do not lock it in yet, there
:02:34. > :02:47.are better times ahead for savers. The point of the ice count is that
:02:48. > :02:53.it is checked. Here is the headline saying that
:02:54. > :03:00.some rates could be close to zero. There are some bad rates out there.
:03:01. > :03:10.Yes, the race is the first game. We have information on the `` the rates
:03:11. > :03:16.are the first day. We have information on the website. Keep
:03:17. > :03:21.your eye out, keep it flexible, be prepared to move quickly when there
:03:22. > :03:27.is a good rate. Do not expect them in the next couple of months, but it
:03:28. > :03:33.will happen. You and Ray have a long history of
:03:34. > :03:40.working together to help people. He was my men talk, he told me `` he
:03:41. > :03:47.mentored me and taught me everything that I know about mortgages.
:03:48. > :03:51.These rates have been falling because of the scheme to get the
:03:52. > :03:59.banks to lend more money. Are they still falling now?
:04:00. > :04:05.The fixed rates have been going up. They struck bottom five years ago.
:04:06. > :04:12.Now the best rates are around 3%. They have not gone up that much yet
:04:13. > :04:17.since the comments, so it is not too late to get a deal. There are good
:04:18. > :04:24.deals out there, some places are struggling to cope with the volume
:04:25. > :04:29.of business that they are going. Is it worth fixing now? Is the
:04:30. > :04:32.prospect of a rise in the rate going to lead to an increase in
:04:33. > :04:40.mortgages? There is no doubt that when we get
:04:41. > :04:44.the first rise, most lenders will put up between 4% and 6%. I think is
:04:45. > :04:51.that goes up, some of the lenders with bigger rates will not follow,
:04:52. > :04:55.but the fact remains that if you are paying standard variable rate, there
:04:56. > :05:00.are plenty of options to get cheaper fixed rates and locked in, providing
:05:01. > :05:06.that you have a reasonable amount and you can `` prove your income.
:05:07. > :05:10.The people who cannot do anything are the people who are on a fixed
:05:11. > :05:17.income. They need to wait for that to run out.
:05:18. > :05:22.Since the beginning of last year, many people have been taking fixed
:05:23. > :05:26.rates or five`year fixes. Just under two thirds of people have got
:05:27. > :05:31.variable rates. 60% of those who have fixed rates only have two`year
:05:32. > :05:38.fixes. So people with short`term fixed rates need to look at this as
:05:39. > :05:45.well. Some people who are on a two`year fix which might come to an
:05:46. > :05:50.end at the end of this year, it is early to start thinking about what
:05:51. > :05:56.is next. Many people have stretched their
:05:57. > :06:01.finances to afford their mortgage, even a small rise in interest rates
:06:02. > :06:06.could give them trouble? Yes, it is something that we are
:06:07. > :06:11.keen to address. Take a look at mortgage payment calculator is to
:06:12. > :06:16.look at what would be the effect on you and start living as if it had
:06:17. > :06:20.happened already. Make a budget, or the good money management things. If
:06:21. > :06:25.you think you will have a problem and you cannot deal with it, speak
:06:26. > :06:28.to your lender and creditors early. If you allow yourself to get behind
:06:29. > :06:34.on payments, it will affect your credit rating and your ability to
:06:35. > :06:40.get good deals in the future. If you have ever wanted to throw
:06:41. > :06:45.someone out of a moving plane, spent enough money on it and you could say
:06:46. > :06:51.that it is a gift. These gift experiences have become a
:06:52. > :06:55.fashionable present. But you have to do read the small print to get what
:06:56. > :07:01.you expected for your cash. Here is one way to celebrate 90th
:07:02. > :07:07.birthday. The former US president George Bush clearly wanted some
:07:08. > :07:12.peace and quiet. But you do not have to go over the
:07:13. > :07:19.pond to find adventure is pensioners. This ex`school secretary
:07:20. > :07:24.Barbara has not stopped until she `` since he retired.
:07:25. > :07:32.I have piloted and aircraft, I have walked down a building, jumped with
:07:33. > :07:35.a parachute, a wing`walk and I have walked around the sky Tower in New
:07:36. > :07:39.Zealand. Something inside me tells me to do it.
:07:40. > :07:43.What does it feel like when you are out there?
:07:44. > :07:49.It was like being up in heaven. The only thing that was not nice was the
:07:50. > :07:54.cold air up my nose, but apart from that, everything was wonderful.
:07:55. > :07:59.It is easy to find shops and websites selling experiences, a
:08:00. > :08:06.voucher for an unusual day out parcelled up as a present for a
:08:07. > :08:12.special day. There are many specialist firms. You can spend ?10
:08:13. > :08:20.for a spa treatment to hundreds of pounds for something extreme. The
:08:21. > :08:24.average spending according to the association is ?50. But you must
:08:25. > :08:28.look at the small print, because if you don't, availability may be tight
:08:29. > :08:31.and that special day might just drift away.
:08:32. > :08:37.Experts warned that the voucher might be valid for yes `` less than
:08:38. > :08:40.a year and that insurance might not be included. You need to do your
:08:41. > :08:43.research. You need to look through all the
:08:44. > :08:48.terms and conditions to find out what you will do on the day. If you
:08:49. > :08:53.are booking an experienced a racy because, you need to know how long
:08:54. > :08:59.you will be driving for, `` to drive a supercar, you need to know how
:09:00. > :09:04.long you will be driving for, whether or not you will have to pay
:09:05. > :09:10.for people who want to watch you. That is advised that Barbara's
:09:11. > :09:15.family will take on board as she makes her next adventure.
:09:16. > :09:23.I want to go to Silverstone. She has no intention of slowing down
:09:24. > :09:27.just yet. Our reporter learning never to work
:09:28. > :09:39.with balloons. The price of classic cars has gone
:09:40. > :09:46.up five times in the last ten years. Welcome to the programme. What is a
:09:47. > :09:51.classic car? It tends to be a car that is 15
:09:52. > :09:58.years old or older. It is a car that someone would love and cherish,
:09:59. > :10:03.rather than be an old car. Anything older than 15 years, but it is also
:10:04. > :10:09.happy view the car. It has to be well looked after, it
:10:10. > :10:15.cannot be a rusty heap on the street.
:10:16. > :10:20.No, but many of them are in garages and they could be worth a lot as
:10:21. > :10:24.well people do not realise. There is a concern in the industry
:10:25. > :10:29.that the price of them has risen so quickly and so much that people may
:10:30. > :10:36.not have the right amount of cover. Why that problem?
:10:37. > :10:40.With classic car insurance, people agreed the value with us. That may
:10:41. > :10:47.have been done many years ago. We had a client this week who had a car
:10:48. > :10:51.insured for ?35,000, and we have been writing to clients and asking
:10:52. > :10:56.them to review the value of their car. It is difficult for us to
:10:57. > :11:00.assume that the car is worth more. The client came back to us having
:11:01. > :11:07.had a professional evaluation and the car was with ?80,000. So what
:11:08. > :11:16.those that the car would be worth ?35,000, we might pay out more.
:11:17. > :11:21.If you need to get it replaced, then the insurance might not give the
:11:22. > :11:25.full amount. But these things are irreplaceable, aren't they? If you
:11:26. > :11:30.own one of these cars, it is not amount of money, it is the value of
:11:31. > :11:38.the car to them? Yes, it is what we are finding. It
:11:39. > :11:43.is the people who have got these cars and have had them for many
:11:44. > :11:48.years, who it means more than money to them who do not realise how much
:11:49. > :11:53.the car is worth. We wonder whether it is the
:11:54. > :12:01.insurance companies trying to pay more for premiums? I am in these
:12:02. > :12:06.last it about classic cars and I want them to be insured properly.
:12:07. > :12:13.The gentleman who had his car valued at ?80,000, she was only paying 15
:12:14. > :12:17.more pounds a month. If people have a claim, we want to make sure that
:12:18. > :12:22.they have something equivalent to what they had. It will not replace
:12:23. > :12:28.the car, but if they cannot find a car similar to what they had, it
:12:29. > :12:34.will be a real problem. That is all from the programme this
:12:35. > :12:40.week. The pages on the BBC website, all the news about the money in your
:12:41. > :12:47.wallet. And you can get updates by following our social media, on
:12:48. > :12:58.Twitter. We will have more next week, goodbye.