Herald - Issue 419

Page 56 • The HERALD • 17th February 2022 v THE HERALD - Proud to be part of your community v Looking for a Bookkeeper? Sole Trader - Limited Company Self Assessment, Accounts, Payroll Please call Johanna on 023 8089 9365 ASK A PROFESSIONAL by Admiral Loans As the New Year prompted many Brits to include a review of their nances in their resolutions, research by Admiral Loans has revealed that more than 23 million Brits struggle to recount personal nancial knowledge. Worryingly, this could leave many unaware of the serious implications they face by being unable to recall their own nancial information. While further research reveals the key piece of personal information that people are unaware of is the amount in their pension pot, with 63% of Brits admitting to not knowing it - crucial information to know how the future will stack up. e latest research from the loans provider asked UK adults if they knew key pieces of their own nancial information and found that many were struggling with this nancial and monetary aspect of adult life. Credit score was the second piece of personal nancial information most Brits do not know with more than half (57%) unable to recall their own credit status. While almost half (47%) of those who have it, revealed they don’t know their car nance balance. As mortgage rates reach an all-time low, shockingly 43% don’t know their mortgage rate, 42% don’t know their council band and more than two hs (41%) are unaware of their mortgage balance. Other ndings reveal that 62% of Brits have been asked for important information in the last year that they’ve been unable to remember. To add to this, one of the hardest details to recall was their National Insurance number – more than two hs (41%) revealed they don’t know this, whilst 38% said they don’t know their credit card balance and a third (30%) don’t know the amount in their savings. Following the research, Admiral Loans has created a ‘Know the Score’ guide to signpost customers on where to nd the information or face severe implications such as getting into nancial di culty or being unaware they have a low credit score, or even CCJs to their name. What personal information do Brits not know about themselves? Who say they don’t know this information: percentage of people Amount in pension pot – 63% Credit score - 57% Car nance balance - 47% Mortgage rate - 43% Council tax bracket - 42% Mortgage balance - 41% NI number - 41% Credit card balance - 38% Amount in savings - 30% What do consumers feel it’s important to know? When Admiral Loans explored how important consumers think it is to know their key nancial and lifestyle information, there were clearly some pieces of data people thought were less important to know. For nancial information, most people said council tax (35%) wasn’t important, followed by knowing their credit score (32%). Personal nance and consumer expert Sue Hayward comments: “ We all lead busy lives but knowing vital pieces of personal information is hugely important, especially with money matters. The research shows two in three of us don’t have a clue about the value of our pension pot, but not keeping tabs on this can have financial repercussions further down the line. Not knowing savings and pensions balances means you could end up facing a retirement without enough income. Ignoring or failing to regularly check the financial information on your credit report can have a serious negative impact on your finances. If you’ve shared bank accounts or mortgages with a partner, and split up, their financial habits can affect your chance to get credit in the future, unless you take action, like asking for a ‘notice of disassociation’ to go on your report. Knowing your numbers can save you money. If you’re not clued up on your credit score, you may miss out on the best deals on mortgages, loans and credit cards and it’s important to know those interest rates too. But there could be wider consequences if you don’t know your numbers. Not keeping track of what you owe different lenders, such as mortgage and car finance companies, could leave you at risk of missed payments and increased debt. If a lender applies to the court for a CCJ to reclaim money you owe, it will reduce your credit score and show up on your credit report for 6 years or more, which can make it difficult to open some bank accounts and apply for mortgages and loans.” Tips to remember key information and find out key information Sue Hayward has ve tips for remembering key pieces of nancial and lifestyle information: • We spend so much time on our phones so SOS: 23 Million Brits who Struggle to Recall Personal Finance Continued on page 57