21/06/2014 Your Money

The savers who want more for their money and borrowers who are worried

that it will make their mortgages less affordable.

Welcome to Your Money, your weekly guide to making the most of your

cash. Interest rates on the way up `

eventually. We'll tell you what to do now to

boost your savings How to make sure you get what you

expected for your money when you treat someone to

the thrill of a lifetime. And making sure you've got

the right insurance if you've got The Bank

of England's interest rate was Well, now the Bank's governor has

hinted it could be before the end But what does that mean if you've

got a mortgage, or you're relying The interest rate we get or pay at

the high street banks has for a long time paid very little attention to

what the Bank of England charges. Two great experts to give lots

of advice for savers Jane Symonds, financial expert from the

independent Money Advice Service. For mortgage owners, Ray Boulger,

voted Guru of the Year From the independent brokers

John Charcol. We will talk about savers, if rates

are going up, you might not want to have a fixed rate deal now?

Locking it in now could see you losing out in the future. We would

recommend that you keep your savings fluid, check out the tables.

And the other reason for checking the best buy tables to make sure

that you are getting the best deal, because interest rates might go up

before they make a formal announcement, if the money markets

seems to ring that it is going to happen?

They might to, although there is a government initiative which is that

they do not have to work as hard to get these savings. We might not see

the impact until later in the year, but always keep an eye out for the

best buys. At the moment, some of the current council giving you the

best rates and flexibility that you need. Do not lock it in yet, there

are better times ahead for savers. The point of the ice count is that

it is checked. Here is the headline saying that

some rates could be close to zero. There are some bad rates out there.

Yes, the race is the first game. We have information on the `` the rates

are the first day. We have information on the website. Keep

your eye out, keep it flexible, be prepared to move quickly when there

is a good rate. Do not expect them in the next couple of months, but it

will happen. You and Ray have a long history of

working together to help people. He was my men talk, he told me `` he

mentored me and taught me everything that I know about mortgages.

These rates have been falling because of the scheme to get the

banks to lend more money. Are they still falling now?

The fixed rates have been going up. They struck bottom five years ago.

Now the best rates are around 3%. They have not gone up that much yet

since the comments, so it is not too late to get a deal. There are good

deals out there, some places are struggling to cope with the volume

of business that they are going. Is it worth fixing now? Is the

prospect of a rise in the rate going to lead to an increase in

mortgages? There is no doubt that when we get

the first rise, most lenders will put up between 4% and 6%. I think is

that goes up, some of the lenders with bigger rates will not follow,

but the fact remains that if you are paying standard variable rate, there

are plenty of options to get cheaper fixed rates and locked in, providing

that you have a reasonable amount and you can `` prove your income.

The people who cannot do anything are the people who are on a fixed

income. They need to wait for that to run out.

Since the beginning of last year, many people have been taking fixed

rates or five`year fixes. Just under two thirds of people have got

variable rates. 60% of those who have fixed rates only have two`year

fixes. So people with short`term fixed rates need to look at this as

well. Some people who are on a two`year fix which might come to an

end at the end of this year, it is early to start thinking about what

is next. Many people have stretched their

finances to afford their mortgage, even a small rise in interest rates

could give them trouble? Yes, it is something that we are

keen to address. Take a look at mortgage payment calculator is to

look at what would be the effect on you and start living as if it had

happened already. Make a budget, or the good money management things. If

you think you will have a problem and you cannot deal with it, speak

to your lender and creditors early. If you allow yourself to get behind

on payments, it will affect your credit rating and your ability to

get good deals in the future. If you have ever wanted to throw

someone out of a moving plane, spent enough money on it and you could say

that it is a gift. These gift experiences have become a

fashionable present. But you have to do read the small print to get what

you expected for your cash. Here is one way to celebrate 90th

birthday. The former US president George Bush clearly wanted some

peace and quiet. But you do not have to go over the

pond to find adventure is pensioners. This ex`school secretary

Barbara has not stopped until she `` since he retired.

I have piloted and aircraft, I have walked down a building, jumped with

a parachute, a wing`walk and I have walked around the sky Tower in New

Zealand. Something inside me tells me to do it.

What does it feel like when you are out there?

It was like being up in heaven. The only thing that was not nice was the

cold air up my nose, but apart from that, everything was wonderful.

It is easy to find shops and websites selling experiences, a

voucher for an unusual day out parcelled up as a present for a

special day. There are many specialist firms. You can spend ?10

for a spa treatment to hundreds of pounds for something extreme. The

average spending according to the association is ?50. But you must

look at the small print, because if you don't, availability may be tight

and that special day might just drift away.

Experts warned that the voucher might be valid for yes `` less than

a year and that insurance might not be included. You need to do your

research. You need to look through all the

terms and conditions to find out what you will do on the day. If you

are booking an experienced a racy because, you need to know how long

you will be driving for, `` to drive a supercar, you need to know how

long you will be driving for, whether or not you will have to pay

for people who want to watch you. That is advised that Barbara's

family will take on board as she makes her next adventure.

I want to go to Silverstone. She has no intention of slowing down

just yet. Our reporter learning never to work

with balloons. The price of classic cars has gone

up five times in the last ten years. Welcome to the programme. What is a

classic car? It tends to be a car that is 15

years old or older. It is a car that someone would love and cherish,

rather than be an old car. Anything older than 15 years, but it is also

happy view the car. It has to be well looked after, it

cannot be a rusty heap on the street.

No, but many of them are in garages and they could be worth a lot as

well people do not realise. There is a concern in the industry

that the price of them has risen so quickly and so much that people may

not have the right amount of cover. Why that problem?

With classic car insurance, people agreed the value with us. That may

have been done many years ago. We had a client this week who had a car

insured for ?35,000, and we have been writing to clients and asking

them to review the value of their car. It is difficult for us to

assume that the car is worth more. The client came back to us having

had a professional evaluation and the car was with ?80,000. So what

those that the car would be worth ?35,000, we might pay out more.

If you need to get it replaced, then the insurance might not give the

full amount. But these things are irreplaceable, aren't they? If you

own one of these cars, it is not amount of money, it is the value of

the car to them? Yes, it is what we are finding. It

is the people who have got these cars and have had them for many

years, who it means more than money to them who do not realise how much

the car is worth. We wonder whether it is the

insurance companies trying to pay more for premiums? I am in these

last it about classic cars and I want them to be insured properly.

The gentleman who had his car valued at ?80,000, she was only paying 15

more pounds a month. If people have a claim, we want to make sure that

they have something equivalent to what they had. It will not replace

the car, but if they cannot find a car similar to what they had, it

will be a real problem. That is all from the programme this

week. The pages on the BBC website, all the news about the money in your

wallet. And you can get updates by following our social media, on

Twitter. We will have more next week, goodbye.