In 2004-2005, the government and banks in the UK have set goals to shrink the number of adults with no bank accounts. Current evaluation confirms that the figures has increased more than half. The Financial Inclusion Task Force reports that the number of these household has increased nearly 60% as of 2008.
Finance news reports that the delighting news comes as a triumph for both UK public and private sectors. It shows how cooperation amongst the government, public and private sectors, and industries can make it possible for all to have financial backing for their everyday lives. Dropping the number of people with no bank accounts has been the plan of the UK Government to make different financial services be reachable to people all over the UK. It also plans for people to know what to carry out when financial pressure and money woes occur to them.
It also bring more people together under transactional banking to receive and make payments and safeguard their money more effectively. The Financial Inclusion Task Force still continues to decrease the number of unbanked people In the UK and have called on banks and the government to efficiently enforce banking regulations and services.
Investment Guarantees as Insurance
Latest research has shown that virtually half of investment savers declare that setting up a guarantee on their previous investment would give them surety on their next investment, whether it be on stocks or pensions. Metlife conducted a survey and reported that savers who has an existing protected investment feel more assured in investing cash on a different investment venture. Savers in the range of 47% confirm this study while the number of savers who are apathetic to the finding range only at 11%.
The popularity of guarantees has risen since the start of the year. Savers who have a warranty on their original cash investment feel more confident in investing than people who do not have guarantees. This is a common sense that I think everyone understand. The concern of losing money in an investment is one of the main risks and de-motivator for a lot of people, especially in today’s times.
Investment guarantee serves as the insurance for investors’ original investments, but the best way to obtain long term returns is by investing in stock markets. People who want to be cautious often invest lesser amounts so in the event of a stock crash the cost would not seem too profound or secure it with a guarantee if the money invested is of significant cost. Investment guarantees do not come free, of course, but it is safe to say that paying a small price to protect ones hard-earned investment is a price worth paying for.
