As of now, regulation is divided into three departments:

1. The Bank of England,
2. The Financial Services Authority, and
3. The Treasury.

These three departments regulate various facets of British financial life, however they do not all hold the same amounts or types of power.

Chief among them is the Financial Services Authority (FSA) which has the legal form of a company and was incorporated in 1985. It is technically independent, pseudo-judicial and nongovernmental body, whose board is appointed in turn by the Treasury.

There are four main objectives which the FSA has imposed upon it by the great forces of the law.

1. Raising public awareness of financial issues,
2. Maintaining consumer confidence in the financial system,
3. Protecting the interests of consumers and companies,
4. Reducing financial crime through regulation.

The FSA was given their statutory powers over the United Kingdom’s financial regulation through the Financial Services and Markets Act 200, and the board of the FSA is appointed by the treasury.

The FSA has a wide scope of operations and according to their very own website, fsa.gov.uk , they regulate most of the markets, exchanges, and the firms. In fact, the London Stock Exchange has to abide by the regulations set by the FSA, since the LSE is seen as a “recognized investment exchange.” That is straight from the mouth of the LSE at londonstockexchange.

The FSA regulates other sectors of the financial world in the UK, including aspects of banking and much of consumer credit and insurance. They therefore regulate almost entirely every aspect of the UK’s finances, but must still answer to the higher powers of the Treasury and other government forces.

Things have changed though, and your bank account options have never been as plentiful as they are right now. With banks competing against one another for customers, the banks have begun to market their products and services to appeal to different individuals.

Popular Current Accounts

Some of the today’s most popular choices include overdraft protection accounts, which allow you to pull money from another more secure account in order to protect against taking out too much money. These are popular because they help customers avoid the fees associated with spending too much money and also the hassle of going overdraft on their main bank account.

Interest Paying Current Accounts

Most current accounts as an incentive to switch your account offer interest on the principal balance. Why shouldn’t you be able to make money if you are always in the black, its your money after all. The rates of interest can look good to start with, but check the small print as after a period of time your rate will probably be reduced. Interest rates on current accounts are typically very small, usually coming in at less than 1% in most cases.

Student Current Accounts

These accounts have taken off in popularity with the banks competing very competitively for student business. It has been shown that over 80% of people never switch their current account so if you start banking at college the bank is betting that you will say with them forever. These accounts have been designed to help students to learn the ropes of the banking and the personal finance industry. Most accounts will come with internet banking and automatic bill paying options accessible 24 hours a day, 7 days a week.

Offshore Current Bank Accounts

These have become very popular, not only do they have tax advantages; they are also available in foreign currencies these days like the Euro. They are subject to money laundering rules and regulations these days so expect to provide a lot of original documentation.

Do you really need a current account?

The answer is a simple yes. They make paying all your bills on time easy, they avoid carrying or hiding large sums of cash. You have a record of your finances receipts and payments and if you need to borrow money when looking to purchase your own home no financial institution would lend you money without seeing at least three months of bank statements.

There are many reasons to switch current accounts the main one will be that you feel you have been unfairly treated by your current bank or you can see that the overdraft or interest rates on offer would make changing accounts worthwhile. These days all your direct debits and standing orders are automatically moved across for you, so we would recommend finding a price comparison site seeing what is on offer if you have decided its time to switch.

We are looking for consumer experiences and no affiliate links will be allowed, but sites can be referenced without affiliate id’s. Contact us for Advertising and Marketing opportunities if that is your aim.

For example we think that in the area of reward credit cards the bmi credit card has a good offer:

“Apply online for the bmi credit card and if you spend £500 on bmi card purchases within 90 days of your account opening we’ll give you 20,000 destinations miles”

Find this offer at http://www.bmicreditcards.co.uk – This offer was valid as at July 2009.

If you know when a deal is going to expire then tell everyone. Please add as much detail as possible.

We will only publish genuine offers off brands that we can verify and are owned by large institutions and corporations.

Heating cover and boiler cover are the same thing and they provide protection against exigent circumstances that cause a home central heating system to break down. Heating cover helps to avoid high cost repairs of broken down boiler or central heating systems.

Getting Heating Cover

You have two choices how you go about getting cover. Use an online comparison site that compares prices and product features. Or you could simply take a policy on offer from the suppliers listed below, they will also feature on any good comparison site.

• Domestic & General
• E.ON
• HomeAssist
• Scottish & Southern

The cheapest option may not be the right policy for you, make your decision on what is important in terms of service to avoid disappointment.

Note though, you do not have an obligation to your current gas and electric suppliers to use their heating insurance cover.

Why you need heating cover?

Heating cover assures that a qualified engineer will fix whatever problem arises and assures that the entire service is already paid for by your heating cover. Hence parts and labour are covered.

Heating cover also grants peace of mind should your heating system break an awful time like the winter when being without heating and hot water is a dreaded circumstance.

Without heating cover, you risk a long wait for a qualified engineer and will no doubt end up with a much higher bill than the annual cost of a heating cover policy. Hence you have piece of mind on what your costs are.

What heating (boiler) cover will suit me?

Two main products are available:

• A service contract – Includes annual service and maintenance inspection. Service contracts are subject to VAT at 15%.
• An insurance product – An additional annual service and inspection could be added with extra charge. FSA regulated insurance products are subject to an insurance premium tax (IPT) at 5%.

An important step is deciding if you would like full heating system coverage or coverage for just the boiler and the controls. Boiler only products are usually cheaper but offer less cover.

When comparing prices, it is important to check what is covered. Heating cover products vary by price, exclusions and the extent of coverage.

Gas appliance care and maintenance

If you aren’t qualified to fix your own heating system, do not attempt to because you could endanger yourself and the life of your heating system. It is better to call someone registered with CORGI.

Purchasing a CO detector will make early detection possible and could save your life.

FSA Regulated Products

Heating and boiler insurance is deemed an insurance product and as all insurance policies are regulated by the FSA, your policy is.

Who are the FSA?

The Financial Services Authority is a non-governmental body with statutory powers awarded by the Financial Services and markets Act of 2000. One of their aims is to help ensure retail customers get a fair deal.

Single trip travel insurance

Single-trip insurance covers one holiday, while annual trip insurance covers any trips during the year. If you travel a lot, annual coverage can be a great deal as it is about two-and-a-half times the cost of a single week’s coverage. Read the fine print carefully: some policies limit the coverage to 21, 35, or 45 days at a time.

Annual travel insurance

Annual policy coverage starts at the date you choose. While it may seem logical to start on the first day of your trip, it doesn’t cover cancellations until that date: you may be better off starting coverage when you book your trip.

Family travel insurance

Family policies cover everyone in the family under one policy. Some companies offer varying rates depending on the number of children and parents covered, while others have a flat fee for families: this can be a great deal if you have a lot of kids.

Anyone under the age of 18 can be considered a child. Family coverage can cost as little as £50, which is about the same as coverage for adults alone. Make sure to check the terms of the policy carefully to make sure it suits the needs of you and your family.

Business travel insurance

Business insurance is typically sold as an annual policy, as it is assumed you will be traveling multiple times as part of the job. These policies will typically cover office equipment like laptops PDA’s, and sometimes sports equipment for times when you need to make a deal on the golf course. Some business travel insurance offer cover for a colleague’s trip expenses if you are ill.

Over 65s travel insurance

In the past, options have been limited because companies were not willing to insure “high risk” age categories; however, a price comparison tool lets you compare quotes for this age group, letting you shop for policies without visiting a travel agent or specialized provider.

Like business insurance, travel insurance for over 65s is tailored to its customers, with more coverage for medical expenses, which can be as high as £10 million instead of the typical £2 million.

Every Mum and Dad says the same thing when their child asks for a new pet: do you know how much responsibility pets call for? The funny thing is, most of us grow up and forget that very lesson when we get pets of our own.

Our cats, dogs, reptiles, birds or other pets become like parts of our families, and we care for them when they are sick, mourn for them when they pass. When these times come the costs can be devastating, and every day people put down pets they simply can’t afford to help anymore.

But now there is a better way out. Pet insurance offers the same protection and peace of mind more traditional kinds of insurance guarantee, only for our four or little two legged friends.

Pet insurance can cover veterinarian appointments, burial costs, liabilities incurred by damage your pet may do to another person or their property and even the reward if your pet runs away and is returned.

There are, like all insurances, a variety of options and a little bit of online shopping can help you find the best insurance policy for your pet.

Make sure to go over the fine print on this (or any) contract before you sign—too many fly by night companies offer cut-rate pet insurance, excluding important coverage. Also, if your pet has an existing health condition, most companies will not cover its associated costs with any new policies (though they will help for other expenses in the future).

Tesco, E&L, Sainsbury’s and M&S among other insurers all offer competitive rates for pet policies—check out their websites for full details and shop around. You can find a deal that will help you meet your responsibilities at a price you can afford.

Health insurance is insurance to cover health-related expenses, including dental and vision. Health insurance also can meet disability, custodial care, and long-term nursing care needs. It’s obtained either from private insurance companies or from government sponsored social insurance programs, such as Medicaid or Medicare in the United States.

Individuals in the United States can obtain insurance from whichever insurance company they choose, or participate in company-sponsored plans, which cover employees as a group.

The United States has a market-based type of health system, with both non-profit and for profit insurers offering services to customers, who are free to choose from among numerous providers.

Once they choose a plan, they then pay premiums, on a monthly basis or as an annual tax, for the coverage which they chose. Many companies offer coverage to their employees through a certain insurer, and portion is taken from the employee’s paycheck each time to pay for the insurance coverage.

Once a policy is chosen, the individual or the company enters into a contract, with obligations spelled out for both parties. The insurer specifies what kind of services and how much of the cost they cover.

The individual insured also has financial obligations, such as deductibles or co-payments -costs to cover out of pocket.

Health Insurance in the UK

In comparison, the system in the United Kingdom is very different. The National Health Service (NHS), which offers health coverage to all residents of the U.K, is publicly funded through general taxation.

Technically, the NHS it isn’t an insurance system, since there are no premiums, deductibles, or copayments. The organization provides a wide array of services, including long-term care need, dental, vision and hospitalization.

The NHS means free visits to your doctor for all, but there are prescription charges; however those on benefits or the elderly can get their prescription drugs for free. There are NHS dentists too where you can get free or subsidised treatment, again depending upon your financial circumstances.

Private health insurance is also available in the UK. Individuals may choose to have some form of private coverage as a fallback plan, to avoid lengthy waiting lists that the NHS is famous for, and for perceived better service and treatment.

However, private insurance doesn’t cover as many services as does the NHS.

When seeking out health insurance, it’s always good to research several insurers, the coverage plans they offer, and understand the total costs involved. Use an online comparison site. This will help you find the best, and most affordable, plan to meet your specific needs. ]]> http://www.financenet.org/health-insurance/feed/ 0 http://www.financenet.org/fund-management/ http://www.financenet.org/fund-management/#comments Sat, 27 Jun 2009 23:04:04 +0000 admin http://www.financenet.org/?p=84 What is Fund Management?

Fund management or investment management as it is more commonly called is a form of professional management of various securities such as shares, bonds, or other stocks as well as assets such a vehicles or real estate which meet the specific goals of the investors, which can be insurance companies, pension funds, individuals, or corporations among other things.

The term Asset Management often refers to investment management of collective investments whereas fund management refers more clearly too institutional investments such as real estate and other investment managements.

The actual encompassed area of investment and fund management is actual quite broad as it fund management refers to a large array of different financial aspects.
In simple terms, fund management simply means the maintaining and orchestration of items or properties, all of which have monetary or cash value. Though this is still quite broad, it is the best way to describe the broad number of things included in fund management.

Many individuals find that fund management is too complex because it deals with a wide variety of numbers, prices, interest rates, percentages, variables, and other financial jargon that is difficult to swallow for most common investors. In these cases, professionals or firms are often hired to manage the funds of an individual or company.

These funds managers are like accountants that deal only with the investments and how those investments are being effected and how those investments might be effected in the near future.

Funds managers must always be watching the news and the stock market for information on the economy, local businesses as well as the current state of politics because that can also affect the market where the money of assets or possessions is being kept.

The funds of all of these assets are monitored and modified by either the fund’s manager or the proprietor of the funds, depending on what the proprietor of the funds decides to do with his or her money.

Funds management is a complex practice that has a lot to do with numbers and statistics, all of which effect the property or possessions that an individual or company invests in. A portfolio approach to investment is the skills of the fund manager.

Off shore banking is a practiced used in finance in which an individual or company transfers or deposits cash into a company in a different country.

This is done for two reasons.

• Other country’s bank’s sometimes have special interest rate accounts for out of the country business.
• Most off shore accounts come with taxation advantages.

Some individuals or companies will transfer funds into an off shore account in order to avoid the taxes in their country because the country that is being used has lower or no tax rates on bank funds.

Off shore banking regulations

Many times, other countries will not allow out of the country businesses or individuals to set up these accounts because they do not want to be used as a financial shield against taxation.

However, apart from governmental regulations, off shore banking accounts have very few restrictions. One of these being a minimum amount in the account; often off shore companies do not allow banking to be done by companies or individuals from other countries if they do not meet a certain dollar amount.

But because it is so expensive to set up one of these accounts, money usually is not an issue and will meet the minimum requirement with relative ease. Apart from this, there are no serious regulations in place for most off shore banks.

An off shore bank may refuse to do business with a company or individual for personal reasons, but this is not commonplace.

Difference between Personal and Business Off shore banking

There is not much difference between personal off shore banking and business off shore banking. However, several subtle intricacies are worth mentioning. One of these intricacies has to do with reasoning. There are many reasons why an individual would deposit personal funds into an account off shore; perhaps for tax reasons, perhaps for domestic, or marital reasons, or perhaps for interest bearing reasons.

As long as the individual has a certain dollar amount, there are few off shore banks that will refuse the business. However, when a business attempts to conduct off shore banking, there are many legal restrictions that must take place to ensure that the banking is for lawful reasons.

A pension is an amount of money rewarded to an individual based on his or her working experience. These pensions are usually issued by companies in which the employee worked for during a specific period of time, though pensions can also be issued by insurance companies, trade unions, or the government depending on the state and terms of the individual’s working history.

Pensions having to do with retirement are referred to as Pension Schemes in the United Kingdom, but in the United States of America, they are referred to as retirement plans.

Pensions in the United Kingdom usually tend to have higher rates of interest and payoffs than those in the United States because workers in the United States tend to work fewer years than the average United Kingdom worker.

Pension Options

Normal pensions are paid by companies or third parties to the employee based on a predetermined retirement agreement. However, there are several other forms that a pension can take apart from this Employer Pension.

These include a state pension in which the government pays the pension if the individual is unable to work due to a disability incurred, and self-invested pensions in which the individual saves up personally for retirement in a special account, called a Self Invest Pension Plan (SIPP). With a SIPP you can invest in cash or shares or bonds, you are in control of your retirement portfolio.

Pensions Rules and Benefits

Pensions are based on a number of factors and equations that are combined to get the rate as well as the length of time in which the pension takes effect. Pensions are usually based on former annual income of the employee, amount of time spent working at the company, the age of the employee, and the rank of the employee at the company. Normally higher executives get a larger pension than a lower worker.

As with all financial products there is regualtion. In the UK The Pensions Regulator regulates worked based pension schemes.

The chief benefit of having a pensions is giving a employee the ability to live well once he or she is incapable or unable to work at a company any longer. Though, this does not have to be the case, as many companies pay pensions to individuals even if they can work. This is determined by the length of time in which the employee worked at the company.