Basic Bank Accounts Failing the Basic Needs of Consumers

The lists of bank and savings accounts that are available to most people are bewildering. A quick look at a comparison site like Moneynet or Moneyfacts will reveal thousands of different products. Unfortunately many of these accounts are not accessible for anyone with either a poor or even no credit history.

Research carried out for the National Consumer Council (NCC) reveals “that the poor pay more, or get less, for essential goods and services… having a bank account can be a gateway to other products and services, such as affordable credit and insurance”. To help counteract this problem of financial exclusion, the government has tried to initiate the introduction of basic bank accounts for the least well off. The NCC has however warned that, “the current model of basic bank accounts, introduced by government in 2000 in an attempt to enable all low-income consumers to access banking services, is not delivering.”

The new basic bank accounts were introduced as part of a wider push towards ‘universal banking’ and corresponded with the introduction of direct payment of social security benefits to bank accounts as well as the Post Office Card Account (POCA). The plan was that these accounts would also help their users by letting them set up direct debits to pay their utility bills, and so keep better track of their finances from week to week.

The accounts were originally designed to let people save and withdraw money, but in an effort to prevent extending any existing debts and stopping the accounts from becoming overdrawn, they don’t offer cheque books, overdrafts or other credit facilities. The accounts were intended for those with no credit history who might not meet the banks’ criteria for opening a standard current account. The accounts features typically include the ability for payments, for example pensions and benefits, to be credited direct to the account, withdrawals by plastic card through cash machines and the facility to pay bills by direct debit.

The problems experienced seem to be partly because the accounts do not always help those with a small weekly income to deal with the unpredictable gaps which can occur in wages, benefits or spending. Automated monthly direct debit payments for goods and services can prove of little use to many on low weekly based incomes. Those paid on a week by week basis, expressed a preference for weekly cash based, rather than monthly direct debit, budgeting options and felt that bank accounts with direct debit facilities would not provide them any advantages. By using cash instead of a bank account, they found they could juggle payments easier, and avoid punitive additional bank charges if they did not have the funds to hand, to cover an outgoing debit payment.

Another problem experienced was that the holders of these basic accounts are also liable to be those on low incomes, with low (if any) savings and are more likely to be in arrears paying their household bills than those without them. This vulnerable group are less likely than most to be able to deal with unexpected additional expenditure, such as an unforeseen bill for home repairs, but without recourse to any credit facilities, they may be forced into resorting to high interest loans to cover temporary setbacks.

The NCC found that “people on low incomes who use accounts to manage their money are more likely to be in arrears with household bills. They are also more likely to have outstanding credit commitments, partly because they have wider access to credit”, than those without accounts.

The government has set a target of halving the number of households which do not have access to a bank account by 2006. The banks state that they currently face a lack of demand, however more than two million applications, in excess of the government’s expected take-up, for the POCAs have been made. The banks are claiming that reaching the targets will be difficult, as they are being impeded by various barriers to opening basic bank accounts, such as the identification requirements in money laundering rules. Some of those on low incomes may not possess either a full driving license or full passport, and so find difficulties setting up new financial accounts. The banking industry has also been widely criticised for failing to actively promote basic bank accounts and, sometimes, for actually discouraging people from opening them.

The NCC proposed that basic bank accounts need to be more flexible. Suggestions to make the bank accounts meet the needs of consumers included offering weekly, rather than monthly, direct debit facilities where payments are only triggered if the money is available in the account, occasional payment holidays, and small free ‘buffer zone’ overdrafts.

Whether the lack of interest is due to the banks, the government, or the product itself, something needs to be done if there is to be an increase in the take-up rates. Half of those surveyed by the NCC felt they do not really need an account. An even more damning indictment of the current basic bank accounts was that a similar proportion of account holders preferred to withdraw all their income, rather than leave it in the account, and then manage it as cash. An inclusion policy may be a laudable idea, but it is no use if people do not want to be included, and it should not disadvantage those it is meant to help.

How to Invite Your Warm Market to a Business Presentation One on One!

I cant remember the one person who has joined a MLM or network marketing company and has not been told to work their warm market. Now that is absolutely fine but a lot of enrollers fail to train the newly sponsored the right way.

The most important thing for a person working their warm market is to learn how to invite properly. When introducing your opportunity to new prospects you should be giving them no information on products, services or your actual opportunity. I am not saying you want to lie to anyone, but you do not want them to prejudge your business before they have seen its entirety.

Imagine you receive a phone call from a friend and he says, you will not believe this I have found a business opportunity and its going to make us rich. I would say that most people would be thinking yeah okay, while they roll their eyes back into their head. The first time I was approached with an opportunity it was by a friend. He wanted me to come by his house and meet a guy who makes $40,000 dollars a month, the first thing to go through my head was, this sounds like a scam. Now that is the last thing you want going through anybody’s mind who you are about to introduce to you your business. Eventually I did go see the presentation but he called me four times over the next week to ask me to come. Come to find out it was not a scam. Now even though I did go see the presentation, who has time to call the same people over and over, let alone who wants to keep bothering there friends and family.

So lets get into the invite. When calling a prospect two very important things you want to happen when talking to them is excitement and urgency. Excitement is going to draw them in and make them really wonder what it is that you want to show them. Urgency is going to create the affect that there is a demand for it and if they don’t want to see it somebody else does and will.

Now what to say… You do not want to jump right into what you really called them for to talk about. Now before saying anything make sure you tell them you are on your way out the door and that you only have a few minutes to talk. This way they will know you don’t have time to talk all day and it will allow your conversation to be short and sweet. Allow some chit chat but keep it to a minimum. Try to keep the conversation in the 2-3 minute range. Once the chit chat is out of the way, explain to them how you just started a new project or business adventure. Which ever you prefer. Tell them when you saw the project you thought of them. The next thing you should say should sound like: Do you think you could meet me for a coffee? More then likely they are going to say yes. Now make sure you confirm a time and place and tell them you are going to put it into your appointment book. By doing this they will know your time is valuable and you are on a schedule. I know you are wondering what about objections. That is easy don’t worry. Explain to them by you telling them about it, it would do it any justice and you want them to see it the same way you did. More then likely they will understand. Don’t forget to use urgency and excitement. If they keep on asking say, look I would not waste your time if this was not something worth your while and mine.

Personalized Graduation Gifts – Ideas to Select Cheap Graduation Presents

I have talked about some of the personalized graduation gift ideas which you can give to any person that just graduated from law school, medical school, high school, nursing school, elementary school, military school, college, university, preschool, junior high, 8th grade, kindergarten. It can also be given to phd or masters recipients.

These gifts are unique, unusual, cool, nice, perfect, great, cheap, can be personalized, good, special, fun, appropriate, popular, funny, affordable. These are some of the words to describe these graduation gifts I am about to unveil to you. It can be given to any person regardless of whether they are your son, brother, sister, daughter, uncle, father, mother etc. It is for both the male and female gender, this implies that it can be given to a man, woman or children. They are gourmet gifts, so every person can take gourmet items.

1. Vineyard select wine basket

This gift can be personalized with up to 25 characters of your choice. The gift basket expresses fruit and characters. It contains Washington’s most excellent vineyard yields. It contains wines from Avery lane to make a nice gift for any person that love to take wine. The receiver of this present will benefit from taking the wine together with saraivanov parmesan, artichoke, cheese biscuits, bonbons au chocolate, smoked salmon, camembert cheese spread, rosemary and roasted garlic crackers, dolcetto tiramisu wafer rolls etc. There are two versions of this wine gift basket to select from; they are namely merlot and chardonnay. You can select from any of this bottle of wine to add to this gift basket. There is option to personalize the gift to suit the receiver while buying. You can select the preferred character of your choice to write on a satin ribbon placed on the gift. You can wish the person “happy graduation” through this means.

2. Macadams’ Congratulations Collection

If you need to show congratulations in an extraordinary way, this unique gift can aid you to utter it eight different times. The gift contains toffee peanuts, sugared peach slices, island mix, Jordan almonds, candy berries, Guadalajara mix, jelly beans and sour cherries. These items will taste delicious to the receiver. This will afford the receiver the chance to enjoy the delicious taste of their achievement.

3. Heartfelt Congratulations

When you need to commemorate their graduation, this gift pack is the perfect item to present. It contains blooms of success like solidago, asters, carnations and delphinium. On top of their graduation celebration, you will also see two mylar balloons to let them know that they are on top. The flowers used in this gift pack are the freshest available flowers.

Public Speaking Tip – How to Make the Best Use of Your Body Language During a Presentation

Public speaking is a topic many people don’t like to talk about. They feel uncomfortable to speak about it but also the act itself makes many people feel anxious.

It then comes as no surprise that public speaking is the number one fear in the U.S. Closely followed by death.

But what can you do to deliver a better presentation? How can you use your body language to appear more comfortable?

I hope to answer these questions in the following article.

Posture
Your posture is extremely important when speaking in public. You should appear to be confident and even if you aren’t confident at all then simply fake it, after a while it will feel natural.

The first step to a better posture is to stand straight up. Put your feet shoulder-wide apart. That will make you appear more confident since it’s harder to fall over for you.

Shoulders
Depending on where your shoulders are it can make you look very insecure or on the other hand very confident. So what is the best way to use your shoulders to great effect?

Naturally it’s what your dad probably told you when you were little. You should put your chest out and pull your shoulders back. This is the natural posture of an alpha male.

Head
How should you use your head? Generally it’s easy to say that you should behave like people who are comfortable speaking in public. That means that you should look straight, not down or up. Don’t look too long at a certain person or you will be seen as cold or mean. On the other hand don’t look at your audience just for a second, that’s the behaviour of an insecure person. Simply look at your audience from time to time while you speak.

Public speaking is important and there is nothing more important than learning from someone who has the experience and skills necessary to deliver a dazzling presentation.