With the health and economic impact of coronavirus, it’s a challenging time for many. Above all, it’s important to keep yourself safe.
However, if you’ve found that you’ve had to adjust your lifestyle or working conditions and are worried about how it could affect you in the short and long-term, it’s time to take stock of your financial situation.
This article is provided by Dental & Medical Financial Services.
Dental & Medical Financial Services is an appointed representative of Best Practice IFA Group Limited which is authorised and regulated by the Financial Conduct Authority.
While the government has taken strides to provide assistance where they can, the public is still concerned about the financial and overall economic effect. In fact, we’ve seen a noticeable increase over the last few months in clients requesting to review their finances.
So, if you need to get your finances in shape, here are a few things to consider – not just after a pandemic – but at any time of your life.
Wealth protection plans such as Income Protection, Critical Illness Cover, and Life Insurance are all an essential part of a robust financial plan. These policies have always been integral to financial security, but the pandemic has really driven home the importance of them this year. Don’t be caught out with no way to provide for your family in the event of illness, injury, or untimely death; ensure that wealth protection policies are a priority.
Wills allow you to decide how and to whom your assets are distributed. Keeping your will up to date is crucial — divorce, births, adoptions, and deaths are all grounds to reevaluate your will and in fact, when you get married, any existing will is effectively cancelled, so a new one is an absolute must. Make sure your wishes are respected and keep an updated will.
With rock-bottom interest rates, it could be an opportune time to remortgage. It’s a great way to use some of the equity you’ve built up in your property and use that money for whatever you might need. Alternatively, you can reduce your monthly payments or perhaps even make overpayments, too. Mainly Tracker or Standard Variable Rate mortgages are impacted but Fixed-Rate mortgages rates have been affected as well. If remortgaging might help your financial situation, seize the chance to do so.
While investing is usually a game of risk versus reward, in challenging times risk seems to be the victor. Experienced, savvy investors know that the best plan of action is to weather the storm. The market is constantly up and down, but tough times tend to keep it down more than up, so it’s crucial to keep a keen eye on the performance of your investments and shift strategy when appropriate. But remember that investing is about the long game and there are ways to protect your portfolio and build it with investments that you’re comfortable with. When it comes to investments, just keep calm and carry on.
It might seem overwhelming if you look at everything you need to consider in terms of your finances after an event such as the coronavirus pandemic. But planning for your future doesn’t need to to a daunting task, nor do you have to do it alone.
If you need a financial review, speak to an expert
It’s hugely beneficial to work with a financial planner to sort out your finances and build a solid financial plan, not only for a world post-COVID, but one that sets you up for life. It’s their business to stay abreast of financial news and economic updates so, financial advisers are armed with the knowledge to help you achieve your financial aspirations. If you’re ready to plan your financial future, reach out to an adviser today.
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This article does not constitute advice. Professional advice should be taken prior to acting on any part of it. Your home may be repossessed if you do not keep up repayments on your mortgage or any other debt secured on it.
AJN Accountants work with reputable IFAs such as Dental & Medical Financial Services to provide our clients with a rounded financial and tax service.