During these tough times a large number of people are re-entering the job market. Stay-at-home mothers going back to work, part-time workers looking for a full time position, people who took time out to get qualifications are finding that economic conditions are forcing them back into the job market. Time out of the workforce for a while can make one anxious about entering the job market again. The key element during your job interview is to emphasize the skills and experience you now bring to the position, what constructive steps you have taken to stay up-to-date during your absence and the new and valuable skills you have learned during this time that can be transferred to the workplace.

Prepare for these interview questions about your re-entry into the workforce:

Your resume shows no work experience over the last few years. Can you tell me what you have been doing?

The interviewer is asking why you have not been working. It is important to be honest and straightforward about your reasons for deciding to take time out of the workplace.

For parents who have been at home raising kids this can be an frustrating question as you have most definitely been working! Use this as an opportunity to highlight the skills and behaviors you have learned during your time at home such as stress tolerance, planning, scheduling, time management and to confirm why you are ready and eager to return to employment. 

If the reason is more complicated such as an illness or having to look after a sick relative you can still use the same approach. You may feel tempted to play upon your interviewer’s sympathies and discuss the difficulties you have experienced but it is far wiser to provide a straightforward explanation of your time off. Explain why you decided to leave your job after careful evaluation of the situation. Detail what you learned from the experience. Assure the interviewer that the reasons have now resolved themselves and you are eager to be back at work and focused on your career. Steer the conversation back to your skills and experience and communicate clearly what you are able to offer to the position and the company 

The important thing to remember is that you do not have to defend your absence from the workforce, you only need to explain it. The employer wants to know and understand what your reasons were and why you are now looking to re-enter the job market. Address these concerns in a factual, non-defensive way and you can successfully move on to the next part of the job interview.

What did you gain during this time?

Remember that experience does not have to be paid to count as valuable and relevant. What new skills have you learned during your time away from the workforce? What steps did you take to keep current with industry news and happenings. Did you take any courses or programs?

In a confident and positive manner discuss your experiences and why they would make you a good employee. Refer to skills such as budgeting, planning and organizing, prioritizing that you learned while raising your family. These can all transfer to on-the-job skills. Doing community work or looking after a sick relative means learning to adjust to different demands and needs.

Be positive about how busy and active you have been, regardless of why you were not formally employed.

What makes you the right candidate for this position?

This is when you refer to your past employment history. Make sure that you highlight why this previous work experience is still relevant to the position you are interviewing for today and to the work environment you will be in. Focus on your own competencies, such as problem-solving, planning, organizing and communicating, that you bring to the position. Emphasize your maturity and adaptability, your re-commitment to your career and your willingness to work hard and learn quickly.

Re-entering the job market holds a number of  challenges, but with perseverance and preparation they shouldn’t hold you back in your job interview. Use this opportunity to show them you’re the best person for the job.

For good advice and help with dealing with tough interview questions read through How to Answer Difficult Interview Questions. Prepare for typical interview questions using these guidelines and sample answers.

Julia Penny

Over InvestmentOver investing can destroy a project or business completely. Before investing any time or money into your franchise, create a basic budget plan to keep yourself on track. If you do not want to purchase software, there are plenty of websites, like Mint.com, that offer free budgeting tools.Not Having a Business PlanYou never really know what is around the corner when you are starting your own business. Even so, having a basic business plan can help you a lot in the end. Where are you hoping to open your store? How many employees are you planning to hire? How much time, money, and patience are you willing to sacrifice? These are all questions you should be asking yourself when you develop your business plan.Not Understanding the Franchise AgreementThe agreement you sign with a franchisor – the Franchise Disclosure Document (FDD) – contains massive amounts of information, but as a franchisee, you must understand everything it contains. When you sign the document you are making a legal agreement with the franchisor, so do not be afraid to seek out help from a legal expert.Not Contacting Other FranchiseesWhen you are researching a potential franchise to invest in, you should always contact at least a few different franchisees. They can serve as good resources as they will likely give you blunt and honest answers.Picking a Location far from HomeAlthough it may seem like a small sacrifice at first, having a long commute to the location of your store can wear you thin after awhile. There may be times when you get home only to have to turn around and go back to the office. Remember that you have to consider your own time – not to mention high gas prices.Not Taking Training SeriouslyWhen you attend training, you will want to make sure that you are well prepared and pay plenty of attention. In the training classes, the franchisor will explain how to be successful at owning your franchise. If you are too tired or miss a day then it can hurt your chances of being successful.Forgetting to Balance TimeCommitting yourself to starting your own franchised business usually means new opportunities, exciting change, and long hours. If you have family or friends that you are used to seeing often, know that time with them will be cut shorter when you are just getting business started. Try planning to meet with your loved ones at scheduled times so that you can see them on a regular basis.Expecting Everything to be EasyWith all the talk of a looming economic recession, you need to realize that getting your business up and running will be a struggle. Prepare for tough times financially and emotionally. Remember that opening any business requires a lot of hard work, but the benefits of being your own boss can definitely make up for it.

Roni Deutch

In times like these it is almost necessary to live on a budget. Living on a budget should not be viewed as a bad thing for it gives you realistic expectations on how much you can and cannot spend. In order to manage your money effectively and responsibly, it is imperative to set up a budget for both your family and your business. In determining how to set up your budget you must determine how much money is going in and out during a month. In doing this you are being exposed to the realities of the inflows and out flows of your money so that you can put things into perspective. Your income is obviously going to be the main contributor to inflows, and expenses include rent or a mortgage payment, credit card bills, utility bills, loan payments, food, gas, clothing, and entertainment. Now, maybe that brand new expensive car does not look as appealing. Having the reality of actually seeing how much money you make, and how much goes to the necessities of living, many other material things to not seem important. This is a very important in the budgeting process, which must be done before anything else.

Now that you see how much goes in and out, you need to determine how much is allocating to different variable sources. These variable sources include entertainment, clothing, and other miscellaneous expenses, which can vary because they are not necessities. For example in the summer months you may spend more on entertainment such as a vacation instead of clothing. You must make sure that if you increase one part of your Budget you must decrease another. In doing this you are making sure that you are not going over you allotted spending. Another important thing to remember is to set up your budget so that you are not constantly starving yourself in a sense. If you spend no money on yourself and chalk it up to savings, you will probably have moments of weakness and spend more than you ever intended too. Going overboard with saving depletes the quality of your daily life making you a much unhappier person. Spending enough to ensure that you are taken care of while saving is the optimal situation. In order to ensure this to happen, the right amount of resources must be allocating to your different sectors of spending. If you do this step correctly will are setting yourself up to succeed.

Overall setting up a budget is imperative for anyone who wants to ensure that they are on track with their money. In determining how much you take in and put out you must ensure that your calculations are correct so that you know exactly what you are dealing with. In determining how to split up your resources, necessities come first. There are all sorts of ways to save that involves the use of online tools that manage your accounts and spending. Budgets are important factors to use when trying to manage your money efficiently.

Jeff Nelson

You’ve likely seen the ads and hoopla surrounding no credit check loans. However, you may still be curious to know exactly how they work. The truth is that there are many cheaper alternatives to these loans. A no credit check loan is perhaps the most expensive way of getting by until payday comes. You have undoubtedly seen the commercials that offer $100 or $1,000 in your account fast with nothing but a signature. Aggressively marketed to those who have no credit cards and perhaps bad credit, the lenders have found an eager market of those whose misfortunes force them to seek alternate ways of getting a bit of extra cash to meet dire emergencies or make up for lost pay. It is not a rarity to see single moms with a gaggle of kids at the payday loan places where a no credit check loan promises to keep on the utilities and put some food on the table until the next paycheck will be deposited. Unfortunately, by the time the next paycheck is indeed deposited there are other emergencies, other problems, and other bills that need to be paid. Add to this the fact that the average no credit check loan costs about $15 to $30 per $100 borrowed, and you can well imagine now expensive this short term loan really is.

If you find yourself short in between paydays, a no credit check loan should be avoided at all costs. There are a number of alternatives available which, even though practically they are not desirable as everyday financial budgeting tools, are better than signing your life away with a payday loan. Take for example the overdraft on your checking account. While it is most certainly not desirable to rely on the overdraft protection on your account, if you must float a check for five days, you will be able to do so. Inform yourself about the provisions of the overdraft protection on your particular account, how long you have to make good on the negative balance, and how much you will be charged. Best case scenario, you will be able to write yourself a check for $500 and only be charged $28 as opposed to the $125 you would have to pay in fees if you were to take out a no credit check loan.

If you do not have a bank account with overdraft protection, check your credit cards’ cash advance policy. Typically you will have to pay about 5% of the amount for which you write the check plus the interest. If you are able to pay off the loan when payday comes, then this cash advance will only cost you $25. Should you not have a credit card, speak to your employer about a payday advance. Some employers are willing to work with their associates, especially those that only pay once a month. Friends, family, and your church’s or synagogue’s emergency funds are another option for those who want to avoid the high fees of the no credit check loan.

James Copper

Learn to Budget Money and Take Back Control of Your Household Finances

There comes a point when the money you have going out seems to be more then the money you have coming in and if you don’t find out why your personal financial situation could go from bad to worse. This is a scenario that many people and families are facing these days and one of the best ways to get back on financial track is to learn to budget money.

Living paycheck to paycheck is not fun and those who do it find it gets increasingly hard to meet their financial obligations let alone find any extra to save or invest for the future. The problem most people are having when this happens is understanding how to stay within certain spending limits for their monthly budgeting needs. If you follow a few simple rules this can actually become quite easy.

The first thing to do is write down all your monthly expenses to get an idea of where the money is going. Once you do this compare your out go with your monthly income and that will tell you if you are spending more then you make. If this is the case then you can use your written budget to find areas to cut to free up money for more important bills and expenses.

The next thing to do while learning to budget is start paying for everything in cash. It’s a proven fact that when you use a credit or debit card you spend more then you originally intended. You’ll be more resistant to spending cash because there is an emotional factor attached to it, unlike with credit cards where you don’t see the damage until the bill arrives.

It is also important to think about what you have been spending your money on. This is where the written budget can help again. Do you go out to lunch everyday? How about that Starbucks double frappuccino you drink each morning? Or how many times do you take the family out to eat each week? It all ads up and until you see it written down you may not see exactly how much all the little expenditure are hurting your finances. Learning to budget money teaches you to change your poor money management habits.

Be sure to keep your budget balanced through out the month. It is important to keep track of expenses and income as they happen so you always know how much money you have in your checking and savings accounts. This keeps surprises like overdraft fees from occurring. How you do this depends on your personal preferences. Many people simply keep their budget written down in a notebook while others choose to use budgeting software for this task.

The hardest part for anyone who wants to learn to budget money is just getting started. Knowing that you may not like what you see once it’s all written down can be a daunting proposition. But if you want to take back control of your household finances it is time to get started.

Andrew Bicknell

As more and more Americans fall victim to rising bills and a slowing economy, a good number of ordinary citizens have been forced to investigate bankruptcy as a final solution to mounting debtloads. Nearly two million of us went bankrupt last year and the number continues to climb. For consumers who’ve never before fallen behind in their payments, too many simply lose hope and, after the first call from a collection agency, blindly reach out for bankruptcy protection without learning much about the program. In reality, modern bankruptcies aren’t nearly as easy as people have been led to believe, and the consequence for credit report and families’ financial stability can often be disastrous. Furthermore, several bankruptcy alternatives have emerged in recent years that, for the average borrowers, could make a good deal more sense. Bankruptcy’s certainly more widely discussed and may seem more convenient, but the repercussions of bankruptcy can be truly severe and, for a wide swath of borrowers, the program may not even be available. In this article, we hope to explain the bankruptcy process and illuminate some of the lesser-known pit-falls. For the genuinely desperate, bankruptcy protection may indeed be their last option, but, for the majority of consumers, it’s something to be avoided at all costs even for the few that qualify.

Some form of governmentally-sanctioned bankruptcy protection has been in existence for hundreds of years. Of course, until recently, the drawbacks were rather more severe – debtor’s prisons, thumbs branded with ‘T’ for thief, ears nailed to pillories (and, in Greek and Roman times, slavery). The term itself comes from the Italian banca rotta or broken bench and neatly signifies the often humiliating stigma of helpless debt-loads. It wasn’t until the late nineteenth century that the United States government first implemented legislation meant to help the borrower who, by means not of his control, had fallen behind on payments, and the first laws instituting bankruptcy as we now know it only came into being just over a hundred years ago.

Essentially, bankruptcy protection is intended to assist individuals and corporations in liquidating or re-structuring their debts under the oversight of court-mandated trustees. A number of different statutes and accompanying federal bankruptcy divisions have been erected over the years concerning various types of debtors. Chapter 11, the third most common bankruptcy, is intended for businesses to re-organize while maintaining control of their enterprise (and, perhaps, agreeing to repay funds owed through future earnings). Chapter 9, famously used by Orange County several years ago, extends protection to municipalities and governmental utilities. Chapter 12 is solely intended for family farms and fishermen while Chapter 15 is meant for foreign corporations doing business on American soil. In this post, we’ll just take a look at the bankruptcy options overwhelmingly used by individual consumers: Chapter 7 and Chapter 13.

Chapter 7 protection’s what most people think of when they hear the term bankruptcy. Under certain circumstances, Chapter 7 protection will eliminate most unsecured (leaving aside those loans pegged upon collateral that could be repossessed or foreclosed upon; vehicles and homes, most commonly) debts. Child and spousal support, recent tax liens, fines or penalties assessed from criminal actions, or most student loans would not be dischargeable under current law. 2005 legislation made it considerably more difficult for average borrowers to qualify for Chapter 7 protection. Applicants are now subjected to the so-called ‘means test’ which compares all filers’ incomes and living expenses to an arbitrarily defined state average in order to determine their degree of need, and, should income be too high or expenses too low, the court would instead switch those seeking to declare toward Chapter 13 bankruptcy.

   A Chapter 13 bankruptcy isn’t that different from the corporate re-organization plan, really, except it’s dramatically more difficult for families to follow strict and governmentally-created budgets. Essentially, a trustee will determine what each filer’s income should be (based upon one past stretch and ignoring changes of employment or seasonally-based work) and what expenses are needed (often forcing relocation and pulling children from private schools, for example). Using the same criteria as Chapter 7, up to fifty percent of that debt-load may be eliminated, but the remainder’s lumped together in a payment plan with monthly minimums often higher than the borrower was currently paying (or, as often the case, not paying) with severe repercussions should even a single month’s payment not arrive. 

In both cases, filers can expect their unsecured debts to be lessened if not entirely liquidated, but there are more serious disadvantages that aren’t mentioned as often. First of all, absolutely nothing is as damaging to the borrower’s credit report or FICO score. A bankruptcy will remain on a credit report for up to a decade and in court documents for twenty years. Any future financial transactions will be severely curtailed. Continuing education, home loans (even rentals), even many potential employment opportunities may be near impossible with a bankruptcy on one’s record. Security clearances or personal insurance will often be denied. And, if it needs mentioning, there’s an understandable social stigma surrounding bankruptcy. It’s considered the final option for a very good reason.

Beyond the ruinous effects upon credit and eventual life plans, though, there are the practical drawbacks immediately discernable. With Chapter 7 protection, the newly bankrupt have always faced the threat of property being seized by the government and auctioned for sale with proceeds going to repay creditors, but, in the past, such property was valued purely be re-sale amounts. Under the 2005 legislation, however, all property’s to be valued with regard to replacement costs. Obviously, this makes any total much higher and greatly increases the chance all possessions (including household goods, family heirlooms, toy and hobby equipment, even clothes) could wind up on the auction block. Would elimination of debts be worth the elimination of a life’s collected possessions?

With Chapter 13 bankruptcy, on the other hand, there’s the necessity of submitting the next five years’ existence to federal guidelines and the whims of a court-appointed trustee. Everything depends upon state averages and an arbitrarily-set list of day-to-day needs. Should your child require special schooling or your line of work require a certain type of vehicle (or, simply, should you live in an area of the state with considerably higher rents), none of this would matter. Remember: these new statues were implemented solely to make it less advantageous for the average consumer to declare bankruptcy. And few things could be less desirable than a life lived under IRS statistical dominion. 

Leaving aside the popular myth of bankruptcy offering a fresh start (even though, as we’ve shown, most debts aren’t even dischargeable under the current legislation), black-marks against credit reports last up to a decade. There’s a common misconception that, in Chapter 13 bankruptcies, debtors can choose certain credit lines to maintain. Upon threat of imprisonment, though, every single account must be included within the bankruptcy. .If borrowers are somehow able to manage credit card companies or mortgage lenders to again trust them, the interest rates would be sky-high. The very procedure of filing for bankruptcy, even with the well-paid assistance of bankruptcy attorneys – whose importance, as laws grow more complex, cannot be underestimated – has become an incredibly laborious undertaking; almost a second job even before considering the mandated (and borrower funded) debt management classes each filer must complete before discharge.

As unemployment worsens, credit cards become more available to all sorts of borrowers, and (a rarely-discussed but important reason for the rapid increase of filings) the rate of divorce spirals, it’s easy to see why so many Americans still feel the need to declare bankruptcy, but other alternatives do exist. The debt settlement programs combine much of what’s enticing about bankruptcy protection with safeguards against garnished wages or loss of property – and relatively minor credit repercussions compared to the FICO score carnage Chapters 7 and 13 may inflict. Essentially, negotiation professionals talk to each creditor on behalf of the debtor and, in exchange for an easily navigable monthly installment plan, attempt to reduce the overall debt-load toward something more manageable. The creditors themselves, reasonably, worry that persecuted borrowers may attempt a Chapter 7 as a last-ditch solution, and, however unlikely total liquidation of debt this current climate, they still would prefer not to risk the chance. Furthermore, the legal costs too often outweigh the debts they actually collect – and, once accounts go to collection agencies, those rare funds tracked down amount to pennies on the dollar.

For all concerned, it’s a better idea to work out some sort of mutually-beneficial arrangement. Depending on each borrower’s specific financial portfolio or debt-load, the debt settlement professional lowers both payments and balance in amounts exceeding forty percent. Credit reports take a hit, of course, but the effect upon FICO scores is nowhere near as extreme as what happens after a bankruptcy. Borrowers that have successfully followed the debt settlement program may regain top credit scores in only a matter of years. Beyond which, there’s no threat of governmentally-sanctioned budgeting or seized possession – and existing bill collectors must contact the borrowers’ debt settlement officer when attempting to collect monies owed.

Obviously, as with any serious financial issue, one should always consult professionals in the industry before making a final decision. There are more and more debt settlement counselors every day, as the economy continues to worsen and ordinary borrowers begin to understand (especially in light of recent legislative restrictions) the different alternatives available, and it only takes a moment for the professional to analyze a debtor’s credit report and offer advice as to the best option. Certainly, there’s a wide collective of Americans with debts no honest man could pay, and bankruptcy protection’s still needed to help the truly unfortunate. For most of us, though, the negative connotations of bankruptcy, particularly now, far outweigh the chance of debt liquidation. It’s best to investigate all possible scenarios, but the days of guilt-free debt liquidation are over.

John Chase
http://www.articlesbase.com/personal-finance-articles/bankruptcy-questions-720201.html

Once you know you want to start an eBay business you may know you are ready to go full speed ahead to get it running. The only problem is that you don’t have the money to move forward. You need a money plan to get your business going.

What Do You Need?

The first thing you need to know before you can even think about funding is what you need to fund. How much cash do you need to have on hand to make the purchases you need? You can’t answer this unless you know the cost of running your business.

The good part with an eBay business is that you mostly have to worry about inventory.  Other than a computer, you don’t need much else to get going.

So start shopping around. You should look up liquidation and wholesale sites that offer the goods you need for your business. A great way to do this is to use a liquidation and wholesale gateway website. These sites will literally help you find businesses that are selling the items you are looking for.

Next you need to see what the items you want will cost. If you are going to be buying wholesale, you will have to take minimum purchases into account when you consider what you will be paying for your goods. Most wholesalers insist that you purchase each item in bulk. When it comes to liquidation lots, you may be able to get a number of different items in one lot. Just make sure you get a detailed list of what is in the lot and the condition of the items so there are no surprises.

Once you find the types of items you want, you should be able to come up with a good idea of the amount of money you need to get going. Now it’s time to find that cash.

Saving

The first option is to save up the cash yourself. This takes some discipline and budgeting, but then you owe no one but yourself.

Family and Friends

If you have family or friends that always seem to have a lot of money put away, maybe they would lend you some of it to get your business going.

The Bank

While banks are a little more cautious about how they give money to these days, you may be able to get a loan or a business line of credit if you are able to convince the bank that you have a good business idea.

Stephen Sikes

Foreclosure is the process of the government taking control of a certain property. This is usually the situation when a person purchases a home and the financial lender a security interest in the house. Unfortunately, if the buyer is unable to make the mortgage payments in a timely manner, the lender is able to have the house auctioned off to make their money back on the house. If the money that is due to the lender is not recovered, the original purchaser of the home can have a deficiency judgment placed against them.

When purchasing a home many buyers do not expect to have a foreclosure but the unexpected can and does happen. You may endure a divorce, lengthy sickness, unemployment, a product of unwise financial spending, bad budgeting or a number of other reasons that can occur.

Emergencies often happen when you least expect them and most often when you are the least prepared for them. When you are facing large amounts of debt, having a foreclosure can seem like an easy way out of a difficult situation. Thinking of the future and your long term financial stability may not be what you are focusing on. Later on the foreclosure will appear on your credit record and can keep you from purchasing a house or car when you are more financially stable and ready to make a long term financial commitment. Foreclosure and a deficiency judgment can harm you in any future venture that requires your credit to be considered.

When you are close to having your home foreclosed on, you may be unsure of what options you have to help resolve the situation. First you must decide if your inability to pay is only a short term situation or if it is one that you are going to be experiencing for the remainder of your mortgage. If your inability to pay is a short term problem, you may be able to consider several options until you are more financially stable and have the ability to continue your payments in a timely manner. Being honest with yourself regarding your finances can help you to make an informed decision. When you are faced with a difficult situation, you can always call on your family and friends. If you are dealing with a short term money problem, you may want to consider whether you can ask your friends or family to help you with a loan.

If you are able to borrow from them, keep them well informed of your situation and when you will be able to pay them back. Another good idea is to speak with your lender. Explain to your lender why you are currently unable to make your payments and when you should be able to resume making your payments in full. Foreclosing on a house is costly and time consuming for lenders, so they are usually willing to try and work out an arrangement with the home buyer to work things out for smaller monthly payments or even suspend payments for a few months while the buyer gets back on their feet.

Legal Helpers
http://www.articlesbase.com/finance-articles/facing-a-foreclosure-and-your-options-314547.html

Times are hard whether at home or abroad. Across the globe, financial markets are reeling from the effects of recession in even the major economic powers. The butterfly effect is making us feel the crunch in China and elsewhere, and we worry if we are able to withstand economic downturns. Fear not; with a few common-sensical measures, you can be living lean by lowering expenses and stay financially sane and stable.

1. Live within your means.

Don’t borrow. Getting into debt is the biggest rock you can loop around on your neck to drown you. It is easy to be tempted to make those credit card purchases and worry about the payments later but that’s exactly the point – the payments later and will you be able to afford them.

Living within your means is easy as you maintain a clean and simple lifestyle. Don’t gloat and bloat. Budgeting is simple – revenues must equal if not be more than your expenses. When you do it the other way around, and spend more than what you earn, you’re in for a lot of trouble.

Prepare a budget and stick to it. Line up your regular expenses – meals, transportation, utilities, the children’s tuition, the occasional entertainment or entertaining. See where you can economize without sacrificing quality. Make sure the cost side will not be more than the revenue side. If you’re earning a thousand, don’t spend two thousand.

2. Lower expenses

Cost cutting is not for the corporations alone. You can do your share of cost cutting if you know some of the common-sense basics. Conserving water and electricity cut on your utilities bills. Cooking the right kind and amount of food saves you wastages and cost for medicines if you don’t get the right kind of nutrition. Walking instead of taking the car to the local grocery saves you fuel money. Buying pre-owned or second-hand items, like books or work clothes, saves you precious bucks.

3. Enjoin everyone’s help

Let your family take responsibility for living lean by lowering their expenses, too. Budget the kids’ time in front of the TV. Don’t allow them to waste food. Teach them to shut off the light when they leave the room, turn off the faucet and the shower when they’re through, turn off the air con when it’s already cool. Making them responsible even at an early age is a parents’ responsibility to the whole family. If it is only one member of a family of six who is conscious of cutting down on expenses, the effort is futile.

4. Plan for the future and save

Living lean by lowering expense can be complemented further by planning and saving. Budgeting is part of the planning. But you can budget your saving, too. The formula is really simple. Some people save what they have extra. Reverse the process: allot money to be saved at the onset. Then after you’ve set aside the money for your savings, now you live within the money that’s left, and be content with what you have now.

Joe Cline

As we sit in the midst of a recession period, many will be analysing their financial situations and searching for solutions as to how to free up funds. Everything from bills to high street prices is putting a strain on our wallets during this difficult time.

However, according to a recent survey, almost a quarter of Brits are putting themselves at risk by choosing to avoid some insurance policies in order to save money. Indeed, around 24% of those surveyed admitted to not having many of the most common, and vital, insurance policies on the market.

Insurance plays a large part in our financial and personal wellbeing. Everything from car insurance to life insurance offers some form of financial protection against situations when we might need some help in the event of accidents or disaster. Home insurance was shown as being the most commonly owned type, with over 60% of respondents having some form of cover secured against their property.

Worryingly enough, over 75% of respondents confessed to not having taken out travel insurance when they’ve been on holiday, whilst the most disposable type of insurance appears to be payment protection insurance (PPI), with only 12% of those surveyed having taken out such policies. When it comes to life insurance, there appears to be a degree of separation between different age groups, with many in the 51 to 55 year old bracket having taken out more policies than those in the 19 to 21 age group.

There are a variety of policies that cater for the younger saver, and budgeting to ensure you save towards a life insurance policy is an important step in ensuring that you are providing protection for your family should anything happen to you. In these tough financial times, you may find yourself analysing your finances in order to save money and free up some extra income.

But as we all know, life is never straight-forward, and it can be worth ensuring that you have insurance plans for a variety of factors. By budgeting to include payments on such policies, you can help protect yourself, your possessions and your family against any unforeseen circumstances. When searching for a policy, it’s best to shop around, with a variety of larger insurers offering policies on everything from motor insurance to travel insurance, as well as those who offer policies for specific groups – such as travel insurance for extreme sports enthusiasts and insurance for those with classic vehicles.

But whatever you do, don’t be tempted to put off applying for a policy, with a bit of careful planning and budgeting you can allow yourself that little degree of protection should the unexpected happen.

David Collins