consumer advice/information guidance Flashcards
citizens advice
offers free and impartial advice to individuals on legal, financial, consumer and other problems
advantages/disadvantages of citizens advice
advantages: helpful for low income citizens, useful first point of call, accessible (face to face, email, phone)
disadvantages: advice is generic, advisers are volunteers and therefore may not be able to deal with complex problems
independent financial advisors (IFA)
professions who provide independent advice + guidance on a range of financial products: mortgages, insurances, pensions, etc.
- need to be qualified and follow strict government regulations
advantages/disadvantages of independent financial advisors
advantages: not tied to any services do can offer a variety of options
disadvantages: charge for their services, not accessible to everyone
price comparison websites
websites that compare features and prices of different types of financial products provided by a range of suppliers
advantages/disadvantages of price comparison websites
advantages: allows customers to choose the product best suited to their needs/budgets, range of choice is large, free to access, interactive, time saving
disadvantages: requires internet access, not all suppliers may be identified, sometimes cheaper to buy directly from supplier
money advice service
government agency providing free and impartial money advice to help improve an individuals finances
advantages/disadvantages of money advice service
advantages: online tools, web chat facility, calculators help with budgeting
disadvantages: requires a computer with online access, some consumers might not feel confident using the tools
debt counsellors
specialist agencies or individuals that provide financial advice to individuals struggling with debt
advantages/disadvantages of debt counsellors
advantages: personalised advice on budgeting + dealing with creditors, some offer online budgeting as well as web chat services, authorised by the FCA, financially trained
disadvantages: some individual debt counsellors charge
individual voluntary arrangements (IVA)
one of the options available when a person is unable to pay all the money they owe to creditors
- government organisation
- an agreement that an individual undertakes with their creditors to pay off all it a part of their debt
bankruptcy
one of the options avamaximoff when a person is unable to pay all the money they owe to creditors.
- should be seen as a last resort as the consequences can be severe and long lasting
- will have to use some of their assets to pay off their debts
