Martin think before you talk!

dunstonh

Whenever the brokers and advisors do a bit of misselling and get into trouble, guess what, they blame the media.

Whenever something goes wrong the advisers take the brunt of it and the media get away scot free. Take Which? when they recommended endowments. You followed their advice to take out an endowment and you have no avenue for complaint. What about the mail when they encouraged pensioners to switch from corporate bonds to tech funds? No avenue to complain there either. To rub salt into the wound, the media (and Which?) then turn on the advisers but conveniently forget they ever recommended the same things.

In a 3 minute segment, even at the speed Martin talks, if he had to cover the same compliance warnings we did he would have around 10 seconds of chat and 170 seconds of risk warnings. And advisers know all too well that people would forget and ignore the 170 seconds of warnings they were given and deny knowledge of them later if the could complain

Its not practical to give all the warnings in a quick soundbite session on GMTV.

That said, I can also see Dan's views. He is correct that if someone was to approach him asking to do what Martin has suggested, then Dan would have to cost up the options, the implications and justify and document it and quite possibly tell the person that Martin is wrong in their case. Now, is the person going to believe that nice Mr Lewis on tv or a mortgage adviser they think is just trying to rip them off?

jamesd

Treadmill, that's four years after the original deal. Four years of pay increases that if they match inflation at 4% have increased take-home pay by 17%. Sometimes all you have to do is hang in there and wait for inflation to solve the problem.

At the moment it's likely to be a good idea for a fair number of people even to borrow to subsidise their mortgage payments for a year or two while the credit crunch is making life hard. Borrowing to subsidise a mortgage by 100 a month for a year or two is going to be far cheaper than the loss of selling. Better to cut expenses and have a savings reserve to use for the subsidy but if that won't do the job, borrowing can be appropriate.

None of this is desirable but for a fair number of people it'll be a time of least bad choices, not good choices.

Treadmill

It will be 2 years after the original loan James, it will be at the end of the 2 year fixed deal you've borrowed the 5 grand to secure that you may well find yourself in the same boat, the only differnce this time would be the remainder of the 5 grand (at least) you borrowed to get the original deal is eating into your affordability and adding to your monthly payments, The example also states the APR to be 7% on a loan of £5000, not many of those available to anybody without a spotless credit rating. My mate at work who followed Martins advice borrowed at 14.9 from Black Horse, stupid yes but desperate people hear what they want to hear.

I could go on for ages about why I think this is a bad idea but vive la difference I suppose.

owitemisermusa

Treadmill wrote: »

It will be 2 years after the original loan James, it will be at the end of the 2 year fixed deal you've borrowed the 5 grand to secure that you may well find yourself in the same boat, the only differnce this time would be the remainder of the 5 grand (at least) you borrowed to get the original deal is eating into your affordability and adding to your monthly payments, The example also states the APR to be 7% on a loan of £5000, not many of those available to anybody without a spotless credit rating. My mate at work who followed Martins advice borrowed at 14.9 from Black Horse, stupid yes but desperate people hear what they want to hear.

I could go on for ages about why I think this is a bad idea but vive la difference I suppose.

Truth is, take ALL advice with a pinch of salt especially unpaid advice.

It's pure folly to make financial decisions on a broad recommendation. For personalised advice see a professional.

I expect every adult to think things through and do some research b4 choosing. If unable to think then...... that's what the IFAs and MAs are there for.

PS: Maybe Martin should have a disclaimer as a running banner/feed whenever he is onscreen - we don't want him to get sued now do we?

OWM.

SWMBO

"PS: Maybe Martin should have a disclaimer as a running banner/feed whenever he is onscreen"

I'd suggest something plain and simple...."look, listen to what I'm saying - this is only a suggestion of what you can do - go and sort your particular situation for yourself as I am not offering specific financial advice - get off your backside and sort it out"

wacko911

Dan_Collins as a matter of interest and considering your an 'adviser', what would your advice be to someone with a 100% repayment mortgage for £100,000 at Northern Rock’s standard 7.6% and how does this compare with Martin's suggestion?

cheers
Gareth

Dan_Collins_2

Well Gareth

I think most client will have to leave the unsecured loan with NR. Its over a long term and will be cheaper per month. My advice would not be far off MArtins, but in the real world a personal loan would be more per month as not many of my clients can get a shed for 100k in the region I work!

My point is I am fed up with the media slowly taking my industry down the tube!

Also, MArtin I take your point, but 5.29% 2yr fix at 95% ??? PLease, most NR clients at 100% needed over 4.5X joint salary! ALso so many of them borrowed over the 100%

ANy I am leaving this one, maybe after a few emails today I may come back and vent my frustration!

TighterThanTwoCoatsOfPain

jamesd wrote: »

Four years of pay increases that if they match inflation at 4% have increased take-home pay by 17%. Sometimes all you have to do is hang in there and wait for inflation to solve the problem.

Hahaha, come back and tell me in 4 years time if the average pay increase in your place of work is 4%?? I think you're thinking of the official RPI figure, not Inflation. Guess which one your employer will use... The butchered CPI figure almost without doubt.

epsilondraconis

I didn't realise Martin had a regular slot on GMTV. Is it me, or do other people also find it difficult to watch Martin when he is on T.V - I'm refering to his 'It pays to watch' show.

I feel knackered by the end of the programme - he seems to jump about all over the place - rushing from one thing to another it seems. :j

Don't get me wrong its a great show :T - just a bit too 'jumpy jumpy' for me! :j:j

Sorry, I didn't mean to try to hijack the thread - please don't attack me anyone. I just got a bit bored with the work I'm trying to do and couldn't think of anything else interesting to say (not that this post is particularly interesting - just my rambling thoughts).

MSE_Martin

Hi folks,

What amuses me about the above discussion on my GM-TV slot. Is my main answer was "never go to your bank and building society for advice - do this through a broker" yet what's been picked up here is the reactionary bit about the loan example; which is a realistic and practical option for some people.

Perhaps you're right though - having read the above - if i've less time - i should cut out telling people to go to brokers! The reactionary nonesense I read above really is very silly!

Of course I'm being facetious, but really I find this whole conversation quite ridiculous and offputting. And think a few of you may want to pull back slightly on some of your comments.

Martin