Scottish Quids in! 29

YOUR

FREE

GUIDE TO SMARTER MONEY SAVING

Quids in!

ISSUE 29: SCOTTISH EDITION, SUMMER 2019 / WWW.QUIDSINMAGAZINE.COM

PRIZE CROSSWOR D

Don’t despair.

There’s help out there!

E L P M A

S There's so muc you can h For freedo. !

E L P M A

We can bring down those bills.

You got this

Things change.

Plan ahead and you'll be fine

S RUNNING YOUR HOME ON A BUDGET

EXPERT ADVICE ON: ✔SPENDING ✔SAVING ✔BORROWING ✔INCOME

D THE N I H E B S WHAT’

S W E N

‘NEW NORMAL’IN PARTS OF UK

● As many as one in two children live below breadline

H

alf a million more kids than in 2010 are raised in families without enough to live on, according to a charity. In places, more than half of all children face hardship.

“In many areas growing up in poverty is not the exception, it’s the rule,” said Anna Feuchtwang, Chair of the End Child Poverty Alliance. “And more children are expected to get swept up in poverty in the coming years, with serious consequences for their life chances.”

She blamed benefit cuts and rising housing costs and called on the

Welcome As the world goes not so quietly crazy, I’m focusing on the comfort of home. It’s more than a nest. I need somewhere I can shut the curtains on the chaos.

I recently switched gas and electric supplier. I saved twenty quid a month. They insisted I took a smart meter and the display sits on the table. I can already see I’ll be due a rebate on what I’m paying so I’m kicking myself for not moving over sooner. I can also see the saving turning off the heating has made.

Quids in! now runs events and I’ve been meeting people desperate to save more and spend less. Doesn’t life just mess things up sometimes?

One guy’s mum passed away, leaving him without anyone to bail him out of tight money spots.

A woman had lost her job and was claiming benefits for the first time.

It’s traumatic enough without financial worries. We have to think ahead to how things can change.

What’s great is how much people know about the cheapest deals in their area. I had no idea some foodbanks have furniture banks too!

CHILD POVERTY

E L P M A

S

Jeff, Editor

s in! say Quids

ws to many This isn’t ne ers but it’s Quids in! read ng to e’re struggli good when w me t alone. It’s ti know we’re no ent woke up the governm ip in our to the hardsh ds rh neighbou oo

E L P M A

S

editor@quidsinmagazine.com

government to act.

Areas such as Tower Hamlets and Hackney in London, and Blackburn and Manchester in North West England, were hardest hit.

Wales was recently revealed to have the lowest earnings in the UK. One charity worker told ITN people come to their Blaenau Gwent project without shoes and hungry. “They eat a pack of Doritos to last them a day,” said Rachel Carter from StreetGames.

“There’s one in three children in Wales living in poverty. Something's not right, obviously.”

In this issue…

Dial it down:

Family fortunes:

Sofa, so good:

Fighting back against rocketing bills Page 7

Coping with the cost of change at home Page 8

Cheap ways to feather the nest Page 4

Quids in! magazine

◆ Address 3 Princes Street, Bath BA1 1HL Tel 0845 646 0469 ◆ Editor Jeff Mitchell Email editor@quidsinmagazine.com ◆ Comms Officer Dan Fineman Email dan@ socialpublishingproject.com ◆ Advertising Opportunities Lisa Woodman Email lisa@ socialpublishingproject.com ◆ Copy Sales Lisa Woodman, Rhiannon McNamara, Email lisa@ socialpublishingproject.com, rhiannon@socialpublishingproject.com ◆ Design Joe Burt ◆ Cartoon by Rachel Wotton www.harmfulraes.com ◆ Agony Aunt: Jayne Bellis at PennySmart © This magazine may not be reproduced in part or full without prior written permission Quids in! makes every effort to ensure content is correct at the time of going to print. Readers should take specialist advice where necessary. Quids in! has no political allegiances, and opinions expressed are not necessarily those of the publisher or editor. Any relationship with advertisers or sponsors is always on the understanding that we retain our editorial independence.

2 | Quids in!

"There’s one in three children in Wales living in poverty"

OUR PURPOSE Quids in! magazine is designed to help people understand and manage their money better. It is published quarterly by the Social Publishing Project, a social enterprise.

Quids in! is not for profit but all about creating a better life for each of us. Honest, trusted and independent, we make money easier to understand and offer practical advice to people on lower incomes. We believe we should all be considered in decisions that affect us and we oppose how it costs more to be poor.

NEWS

LIFTING THE LID ON… PENSION CREDIT CHANGES than £200 a week could be eligible. “If that’s you or someone you know, call the Pension Credit helpline,” he said.

T Contact: 0800 99 1234 (Textphone: 0800 169 0133) T Age UK offers advice free of charge on 0800 169 6565 or visit www.ageuk.org.uk

Changes to Pension Credit mean couples where one is over pension age and one is below could lose up to £7,000.

Changes came in on 14th May but claims can be back-dated by up to three months. Money saving expert Martin Lewis told This Morning viewers that, as a rule of thumb, couples bringing in less

AGONY AU NT TAKE COURAGE Dear Penny,

E L P M CRISIS SA CASHPOINT

Consumer champs campaign to y slow drive towards cashless societ

W

Three thousand cashpoints closed in the hich?, the consumer second half of 2018, although half of campaigners, have launched these were costly pay-to-use machines. the ‘Freedom to Pay. Our Way’ In March this year, 1,250 machines campaign to ensure cash remains the were converted from free-to-use and common currency. They fear people not started charging. able to live without cash will get left Many services disabled people rely behind. Yet over 100 cashpoints a week on are affected. For example, taxis in big closed in the last six months of 2018 cities now take card payments, fares across the UK. in remote areas could rocket as Which? say disabled cash gets harder to withdraw. people and those who are Quids in! says Many consumers find not yet online remain Whatever happened card payments, especially dependent on notes to customer service? Do contactless, convenient. and coins. People living these companies only look But Which? say we risk anywhere without strong out for us when forced to losing all means to pay broadband connections by law? As consumers, if we depend entirely on or robust mobile signals, we need to demand a digital systems. Visa and like many rural areas, better deal.

TSB have been hit by high could suffer too. profile systems failures that According to research, 25 caused misery to customers. million people still rely on cash.

I've struggled for 18 months since being made redundant. I can’t even afford enough to eat or spend time with my friends, so I pretend I'm ill. My debt is growing and I can't see this changing. What do I do?

Martin D, Notts

Penny says: Thank you for plucking up the courage to write, Martin. I can’t help thinking you might be missing out on lesser known benefits, so get a benefits check done. If you’re renting, your landlord might have a welfare officer or you could do it online, (eg, entitledto.co.uk).

Check you’re not paying too much council tax and ask your energy and water suppliers if you qualify for any help.

If you can’t manage your debts, visit Citizens Advice or call StepChange debt charity. They will be able to support you through and you’d be amazed how many options you have.

You also need to think about your wellbeing. Look for schemes for those on benefits to eat well on less.

It will help you stay positive when you are finding it tough to carry on.

S

E L P M A

Quids in! | 3

G N I R E FEATH w or it’s just time for a refresh, ne ce pla w ne a on g in tak ’re we er Wheth A new sofa can give us a real at. tre l rea a be n ca be ce pla e kit around th still go boing. And sometimes it’s gs rin sp e th e us ca be t jus t no d lift… an the bank along the way all the sweeter for not breaking

W

S

E L P M A RENTERS BENEFIT Housing association or council tenants might find their landlords have schemes in place to help. Start with their website or by talking to a housing officer to see what support they offer.

Some work in partnership with suppliers. They ensure tenants have access to great deals and decent terms on any finance required to purchase goods.

They also offer fair delivery costs, the right insurance advice and lower interest on loans.

e all know that feeling. We’ve just passed the shop and there in the sale is the prize purchase we shelled out for last week. If only we’d waited.

Bad luck (or bad timing) is annoying but we can’t always know when prices are about to be slashed. The sad truth, though, is that thousands of us miss out every week and when it comes to giving our homes a lift. Cheap and even free stuff is passed on all the time, including sofas, TVs and even carpets.

EEK: BARGAIN OF THE W

1 a week!

3-seater sofa, just £1

LEGAL SCAMS? The worse news is that many of us still pay through the nose when we think we’re bagging a bargain.

Take the ‘Bargain of the Week’. That’s just one example of how weekly payment stores (like Brighthouse) lure us in. Looks great, right? But wait a second. They say the sofa only costs £805 and those payments last 156 weeks. That’s £1,716.

The add-ons and cost of paying over three years more than doubles the price.

It’s totally legal but it feels like a scam. The goods are often way cheaper elsewhere. And they even come with finance on hugely better terms.

S

E L P M A

4 | Quids in!

THE NEST HOW TO FIND THE REAL STEALS?

1

E L P M 4 6 A

Want or Need

There is nothing wrong with anyone wanting to feather the nest a bit, no matter how tight the budget. It doesn’t need to cost the earth but be clear what’s a need and what’s a want. If it’s a true need, like a working fridge or cooker, a cost may be unavoidable. Don’t only compare prices, think about the cost of credit if you’re going to need to borrow or pay it off in instalments

a housing association or council. The help on offer varies. It even depends if we’re in England, Scotland or Wales.

Sometimes interest free advances or loans are available to claimants

2

S

Re-use Recycled

Ask Around

With climate change hitting the headlines, how much we waste is in the spotlight. Local furniture recycling firms do a great job keeping furniture out of landfill. They take in unwanted goods, do them up and offer them cheap to people on a tight budget. Contact The Reuse Network to find a store near you at reuse-network.org.uk or call 0800 085 8339

Tell everyone you see and everyone on Facebook what you’re looking for. You never know who’s upgrading their own place. Something pre-loved could be just the ticket, freeing up cash for something else

3

Grant Permission?

5

People on benefits or low incomes may qualify for a grant.

Turn2us.org.uk have a grants checker but it’s also worth speaking to a welfare officer for those of us who rent from

“They say the sofa only costs £805 and those payments last 156 weeks.

That’s £1,716.”

Free Yourself

Freecycle, and its rival Freegle, host online groups of local people offering up furniture and all other sorts of stuff for free. They want to save their neighbours money and save the planet at the same time. Quids in! did a quick local search for sofas like the one sold

by Brighthouse and found no less than twelve on offer. For free. One was worth

£2,500 when new and just needs a wash and some TLC. Go to freecycle.org or ilovefreegle.org

If Only New Will Do

Always shop around, which is easiest to do online, taking the legwork out of the legwork! If only new will do, try not-for-profits like fairforyou. co.uk or smarterbuys.org.uk, which is backed by some landlords. They offer weekly payment options but the goods are cheaper and the cost of credit can be lower than on the high street.

7

Insure to be Sure

Some sellers push customers into taking insurance just for the one product. This is usually unnecessary if home contents insurance is in place.

Sometimes it’s just as cheap (if not cheaper) to cover our whole home.

Some landlords have a deal in place that tenants can take advantage of, so it’s worth speaking to them or checking their website first.

S

E L P M A

Upcycling: The Expert A, B, C...

Here are some top tips for how to make sure you make the most of your money, from the experts at the Reuse Network: A. Upcycle! Head to Pinterest for inspiration and then grab your DIY tools - you’ll be amazed at how a quick lick of paint can transform items you already have.

B. When shopping, look for quality, not perfection. Older items might be less on-trend but they’ll stand the test of time, and with your new upcycling skills, will become the perfect pieces for your home.

C. Mix old and new. Treat yourself to some beautiful cushions and a scented candle and bring your space right up-to-date… for much less than a new sofa! Even better, some re-use shops sell new homewares at reduced high street rates, so keep your eye out for a bargain.

D. Find your local repair café. Many broken items are relatively easy to fix if you know how. At a repair café you’ll find people with the skills to mend household items, and they’ll even do it for free. Easy money saved!

Hannah Parsons, Reuse Network

Quids in! | 5

WIN! £50

Odds & Ends

PRIZE CROSSWORD

Win a chance at a fabulous £50. First correctly completed crossword out of the editor’s hat wins.

HOW TO ENTER

1

2

3

6

4

7

E L P M A

S

8

11

12

9 10

13

14

15

Fill out the form below (and the crossword), then post it to Quids in! Crossword, 3 Princes Street, Bath BA1 1HL, or photograph it and email it to editor@quidsinmagazine.com.

Closing date: 26th July 2019. See www.quidsinmagazine.com for terms & conditions.

5

16

17

18

19

20

✁ Name Address

Email I would like to receive Quids in! Readers Club emails yes ∫ no ∫

ACROSS 6 Settee (4) 7 Skin decoration (6) 8 Cowboy movie (7) 9 Rodent (3) 11 Perfume (5) 13 Draw, Stud or Hold’em (5) 15 Donkey (3) 16 Painters, for example (7) 19 Extremely clever person (6) 20 Big cat (4)

DOWN 1 Mislay (4) 2 Cocktail of spirits with vermouth (7) 3 Passage of heavy weather (5) 4 Pig-pen (3) 5 007 had a quantum of this (6) 10 Largest of the apes (7) 12 General killed at the Little Bighorn (6) 14 Rubbish (5) 17 Where the Trojans lived (4) 18 It’s nice with tonic (3)

E L P M A

✆ QUIDS IN! USEFUL NUMBERS

S

LOAN SHARKS The Illegal Money Lending Team tackles loan sharks. To repor t a loan shark anonymously you can call them on ✆ 0141 2876 655, or email loansharks @ glasgow.gov.uk.

CREDIT UNIONS Credit unions are not-forprofit organisations that provide bank accounts, loans and savings. They may help people the banks won’t. To fi nd your local credit union call ✆ 0161 832 3694 or visit w ww.fi ndyourcreditunion.co.uk.

BENEFITS • For unemployment and work-related benefi ts talk to Jobcentre Plus.

• People with disabilities or carers should contact the Disability Benefits Centre (✆ 0345 605 6055) and for Child Benefi t and tax credits call the Inland Revenue (✆ 0845 300 3900).

• Council Tax and Housing Benefi t is dealt

6 | Quids in!

with by your local council.

• Pensioners should call the Pensions Service (✆ 0800 99 12340).

• Free benefits calculator www.entitledto. co.uk

DEBT ADVICE Free help for anyone struggling with debt…

StepChange Debt Charity ✆ 0800 138 1111 www.stepchange.org Take control and repay your debts.

National Debtline ✆ 0808 808 4000 www.nationaldebtline.co.uk Support and advice.

Debt Arrangement Scheme ✆ 0300 200 2770 www.dasscotland.gov.uk Governmentbacked scheme to pay debts.

Citizens Advice Scotland www.cas.org.uk or contac t Citizen’s Advice Direct ✆ 0808 800 9060

Quids in!

Readers Club Pleased to receive your free Quids in! every three months? Now you can stay in touch all the time with our new Readers Club. Join the growing crowd of money-saving, savvy-shopping, debt-beating, cash-boosting Club members and receive freebies and top tips throughout the year.

Sign up here: qimag.uk/QIClubReg

TAKING BACK CONTROL When regulators increased what power companies could charge, most pushed their prices to the max. But we ca n fight back and start dialling do wn those costs

W

n “Comparisoke websites taout the legworking of shopp around”

hen we surveyed tenants about how money issues were affecting them, half (48%) said they were falling behind with bills and one in five (20%) had run up rent arrears. They told us their mental health was under attack so debts like these, and loans or credit cards, have to be addressed. Or better still, avoided.

The best advice, before it’s too late, is to keep costs down and ensure there’s enough coming in to cover them. (If not, we need specialist help from Citizens Advice or a debt charity.)

Below is the Quids in! Top 5 Tips for keeping those bills in check:

1

S

Dare to Compare

There are big differences between gas, electric, insurance, broadband and phone providers.

Comparison websites take the legwork out of shopping around. We need to have an idea of what we’d use, like minutes or data when buying a phone, but also energy units for gas and power. Then we can visit a comparison or switching site to do the rest for us. See our full advice here: qimag.uk/compare. People who are new to running a home might not know how much they’ll use but consumer champions Which? have a guide to how much it might be, visit qimag.uk/ energyuse.

2

Reduce Usage

Direct Debit

E L P M A

S

Any bills that are metered can usually be minimised by reducing usage. There are hundreds of tips on this online, including the Quids In! Bill Buster Guide here: qimag.uk/billbuster.

3

E L P M A

Energy companies are really keen to avoid the risk of people getting behind. As a result, they often offer discounts or their cheapest deals to customers who will pay by direct debit.

Even people with Basic Bank Accounts or some credit union accounts

can benefit from these, as they make automatic monthly payments. They offer peace of mind to both parties. By contrast, pre-payment meters often mean higher costs for customers as they are usually installed after someone runs up a big debt.

They’ve been known to overcharge tenants taking on a new place and it’s not easy to check how much we’re paying. Demand to get rid, if at all possible.

4

Banking Beware!

Canny budgeters know when their direct debits go out because, after finding the best deals, they don’t want bank charges for going overdrawn. We need to know when all our bills are going to be paid and do whatever we can to ensure there’s cash in the bank. One way to relax about this is to have an account just for bills, which could be a deposit, budgeting or jam jar account.

Jam jars are a good way to describe these accounts because we put into them what we need to cover all our charges in a month and only use them for that. Fill them up as soon as the money comes in and then have the direct debits drain the account throughout the month. Whatever’s left in the main account is what we have to live on.

5

Vulnerable Customers

Suppliers offer additional help to customers who might be at risk.

Pensioners, people who are ill, disabled or have additional needs, or families with children under five can ask to be put onto a priority register. Companies should then go the extra mile so we understand our bills and receive notice of any problems with our service. Extra security measures are organised for home visits and a friend or relative can be nominated to talk to them. Gas and electric companies run these but so do water, phone and transport firms. We have to contact them, so call the customer contact number on the bill.

Quids in! | 7

E G N A H C ALL OME

H T A S ’ O H W W HO E N I L M O T T O B E HITS TH

L

S

E L P M A

ife happens. When that means adding or losing someone from the family home, it can take some getting used to. There can even be some financial pitfalls.

Our homes watch our families come together, grow and move on. Every change has a price tag – some good, some bad, but usually a mix of both. Change can be hard but thinking ahead to the costs involved means one less thing to deal with.

HITCHED HITCHES

Our homes watch families come together, grow and move on.

Every change has a price tag

Moving in together starts an exciting new chapter. Sharing the cost of running a home is just one bonus. It doesn’t mean a doubling of benefits if we’re on them, though. It also means a ‘change of circumstances’ that could trigger a move onto Universal Credit (UC), if we’re not on it already. In Scotland, couples don’t always have to claim jointly like they do in the rest of the UK. Lone parents no longer alone should check their entitlement to help straight away.

NEW ARRIVALS

form of rent is no bad thing. We might not even need it but it’s a life lesson for them.

We can always set this income aside to help them out when they do move on. If we do have space, we could make a bit extra, taking in a lodger. We need to talk to the landlord first and take advice on benefits.

To maximise income, UC claimants could check if they’d be better off finding work, if they’re able. When earning and on UC, we don’t lose all our extra income pound for pound like we did on the old system.

When relationships go sour and someone moves out, costs can rocket.

This can impact our mental health and it’s worth talking to someone. Firstly, check more money is coming in than going out. Contact an ay Adult children m advice agency and check if y pa be expected to you’re now entitled to more d an their way help from welfare. Our is m oo their bedr d landlord might be able to te un co no longer offer guidance and if the d’ ie up cc as ‘o tenancy is in both names, they need to be notified.

If couples do jointly claim UC, new claims need to be made. What we’re entitled to will probably change but maybe not for the worse. Support with council tax might apply, as could, for lone parents, free school meals and other help. We might feel too proud but all that matters is avoiding debt. We can rebuild later.

Fast forward to when the kids get older.

If you no longer get Child Benefit for your teenage kids after they start work, for example, the UK government expects them to pay their way. Their bedroom is no longer counted as ‘occupied’, in terms of UC and the Bedroom Tax would apply.

The Bedroom Tax charges renters for having more space than they need, taking benefit back off them. But the good news is the Scottish government decided not to penalise renters this way. Instead they offset the deductions.

However, asking adult kids to pay some

E L P M A

S

Most new parents know a baby will have an impact on their wallet but for claimants, changes at home could prompt a move onto UC. On top of the other pressures, plan for over a month without benefit payments and avoiding the other pitfalls.

(See qimag.uk/ucbasics for key pointers.)

Child Benefit is separate from UC. When baby turns three, the main carer is expected to find work. All UC claimants sign a commitment to finding work when required. The agreement should account for hours freed up by childcare or school, less the travel time. Be realistic or DWP may issue a sanction and reduce payments.

Workers claiming UC can receive up to 85 per cent of childcare costs back.

Claimants, though, have struggled to pay up front and receive payments in arrears.

(More details here: qimag.uk/uckids)

8 | Quids in!

FLEEING THE NEST