Consumer Confidence In Banking Takes A Hit

340

One industry professional stated that consumer confidence in banking and finance was already fairly low, and added that the recent turmoil with Northern Rock has contributed to this lack of confidence.

Consumer Confidence In Banking Takes A Hit, homeowner loan

A recent survey has shown that consumers’ confidence in banks has taken a real hit, with one of the major causes of this decreasing confidence thought to be the recent situation with Northern Rock. According to the results of the survey close to 25% of Brits state that they do not trust lenders, and less than 50% thought that high street banks could be trusted. The turmoil and chaos that erupted after Northern Rock was found to have taken a loan from the Bank of England, fuelling rumors of a near collapse and resulting in many of the bank’s 1.5 million savers withdrawing billions of pounds worth of savings.

As a result of this situation the Bank of England has stepped up assurance over the guarantee of savings of Northern Rock customers, as well as the savings of customers with other banks that fall into a similar situation. However, it seems that these assurances have done nothing for consumer confidence in banking, with over fifty percent stating that they no longer trust high street banks.

The survey revealed that of the 2484 people interviewed only 46% now trust high street banks. Building societies fared a little better, with 48% expressing confidence in building societies. Online banking has also taken a knock, with experts stating that reduced access to online bank accounts by Northern Rock customers also affecting this area of banking. Only 25% of consumers now trust online banking according to the survey results.

One industry professional stated that consumer confidence in banking and finance was already fairly low, and added that the recent turmoil with Northern Rock has contributed to this lack of confidence. It is not just the banking industry that has taken a knock, however, according to professionals. Lenders across the whole financial sector have been affected by lower levels of consumer confidence. It is thought that this could be as the result of problems throughout the whole of the financial sector, which has stemmed from the credit crunch sparked in the sub-prime sector in the Unites States, which has resulted in global repercussions.

Building Residual Income

438

What is a residual income?

Residual income is a type of income that’s lasting. It means you don’t have to work all your life to earn money, with little effort; you can sit in the comfort of your own home and earn money.

The internet is one of the fastest growing markets for different kinds of businesses. Imagine you can target customers from almost anywhere in the world. There are also a lot of payment options online. No matter what country you are from there is always…

What is a residual income?

Residual income is a type of income that’s lasting. It means you don’t have to work all your life to earn money, with little effort; you can sit in the comfort of your own home and earn money.

The internet is one of the fastest growing markets for different kinds of businesses. Imagine you can target customers from almost anywhere in the world. There are also a lot of payment options online. No matter what country you are from there is always an opportunity for you.
Here are some ideas you can do to generate a good paying site.

1. Create ebooks. You can get more profits if you publish it yourself. However there are certain advantages if you let publishers market your book. Publishers know a lot of sites where they can place it because they have more experience. Ebooks are easy to download, you only have to create one and anyone can download it even when you’re not there as long as they pay for it or as long as they’re subscribed. Of course there are certain rules that you have to follow like getting a ISBN number for your book.

2. Create downloadable learning tools like CD. If you are an expert on something and you would like to use your expertise to educate people then creating downloadable tools is just perfect for you. You can make a class wherein people learn through listening to your voice and you can charge them to pay for it. If customers like you, they will just keep coming back.

3. Create a blog that is supported by paid advertisements. Write anything that interests you. You can also link your blogs to other programs that offers site traffic. An example is the google adsense. It is very easy to set-up an account. It is available worldwide. They pay for every click on your blogs?ads. Payments vary according to the type of advertisements that shows on your ads. However there are certain keywords that can attract advertisers to bid for a place in your blog. Just always bear in mind that, do not click your own ads because it is a violation. If they learn about it the adsense team will automatically terminate your account.

4. Participate in affiliate programs. Create a site that will help you campaign for your affiliates.You can visit different affiliate links and some of them don’t require membership fees.

5. Make an online magazine. You can get people to subscribe, participate in the forums and submit articles for you. You can publish it monthly, quarterly, whichever you like.

Financial Plans: What Are Americans Banking On?

396

Americans tend to have an optimistic view of retirement–but a recent poll found many people still have a lot of work ahead of them before they can leave their jobs.

Financial Plans: What Are Americans Banking On?

Americans tend to have an optimistic view of retirement-but a recent poll found many people still have a lot of work ahead of them before they can leave their jobs.

For instance, 47 percent of respondents said their retirement savings will last them 10 to 20 years. Those numbers seem promising until you consider that people should be actually planning for 30 years. Similarly, nearly half of all Generation X respondents said they expect to rely on pensions to help fund retirement. The plan may seem sound, but experts warn that many pension plans in the U.S. are at risk of going belly up. Plus, fewer than a third of all companies now offer pension plans.

The poll was sponsored by the American Institute of Certified Public Accountants (AICPA) in an effort to better understand the American public’s approach to savings and retirement. The group sponsors a Web site called 360 Degrees of Financial Literacy (www.360financialliteracy.org) to help people come to terms with financial issues at different life stages. Here’s a look at some additional polling results:

Paying For Retirement

Younger Americans do not plan to rely as heavily on Social Security for retirement as do older Americans. Close to six in 10 people age 55 and older plan to fund their retirement through Social Security. Only four in 10 (41 percent) of Americans under the age of 55 are counting on Social Security to fund their retirement. Instead of relying on Social Security, those under 55 are more likely to rely on their personal savings and investments.

College Costs

About three in 10 Americans have a child who is planning on going to college in the next five to 10 years. One quarter of these parents plan to pay for their child’s education with personal savings, another quarter intend for their child to earn scholarships to pay for tuition. Surprisingly, only 13 percent of respondents plan to use private student loans and just 12 percent plan to fund their child’s education with financial aid.

Financial Concerns

Rising energy and home-heating costs and uninsured medical expenses rank as the highest financial concerns for Americans (15 percent each). Retirement and the price of gas (13 percent each) follow closely behind. Education costs are also a concern as 9 percent of respondents worried about their child’s college education and 7 percent worried about their own college education.

Forty-one percent of Americans under age 55 say they plan to rely heavily on Social Security for retirement.