Latest news with #financialmanagement
Yahoo
7 hours ago
- Business
- Yahoo
Council tax bills in England could be split into 12 instalments by default
A consultation to make council tax collection in England fairer, including stamping out 'unacceptable, aggressive' practices, has been launched by the Government. It is seeking views over the next 12 weeks on the administration of council tax, including how council tax is billed and how payments are collected and enforced. To help households manage their finances, the Government is proposing changing council tax billing from 10 months to 12 months by default, while maintaining the ability for households to pay over 10 months where preferable. Council tax bills tend to be paid through 10 instalments (from April to January) and the majority of the 25 million council tax bills issued each year in England are paid by this method. But 12 month instalments could help households to spread the cost of their bills over a longer period. The average band D household would be paying around £38 less each month if they paid over 12 months because the total cost would be spread across more instalments, the consultation document said. Under the proposals, households would still have the right to request 10 monthly instalments if they wanted to, with the request being made by April 15 of the relevant year. The Government is also looking at enforcement processes, including 'a more appropriate and proportionate timeframe' before councils can demand a full bill from households. When someone fails to pay council tax, a reminder can be sent seven days after a missed payment. Following that, if the bill remains unpaid seven days after the reminder notice has been issued, the full amount due for the year becomes payable. The council may also seek a liability order to confirm the debt and start enforcement action. The Government is seeking views on when full liability should apply, following a reminder notice being issued, and whether there are any further steps councils should take before being able to charge for a full year's bill. The consultation document said: 'It is critical councils have the power to recover unpaid council tax and many councils do good work to support local people. However, the Government believes that aggressive recovery action has been applied too quickly and too intensely in some cases.' Feedback is also being sought on how council tax information could be made more transparent and accessible. In a foreword to the consultation document, local government minister Jim McMahon, said: 'We will make rapid progress in improving the experience of council tax for bill payers. 'This includes action to end unacceptable, aggressive collection practices that have seen vulnerable people who miss payments rapidly subjected to lump sum payments and liability orders, which can lead to bailiffs being sent in, without the offer of a payment plan or a welfare check. 'These practices do not benefit councils, who can incur costs seeking punitive measures without recovering the tax in question, or residents. This Government will deliver on a fairer and more efficient system for taxpayers and councils and which enables councils to fund vital public services.' Mr McMahon said: 'We believe we can be both firm on deliberate tax avoidance, and fair to those needing support with a common-sense approach that strikes the right balance.' The consultation is focused on the administration of council tax and does not seek views on overhauling the council tax system itself. At last a chance to fix Council Tax flaws (Eng). The govt has launched a consultation. Have your say on debt collection hell, SMI discounts, easier to challenge band, pay over 12 not 10mths and more. Do have your say: — Martin Lewis (@MartinSLewis) June 20, 2025 In a video posted on X, consumer champion Martin Lewis said the Government had 'listened'. The and Money and Mental Health Policy Institute founder said: 'Many parts of the council tax system are broken, and I've been calling for some fixes for getting on for 20 years.' Mr Lewis continued: 'Many of the things I've long been championing for change that can affect millions of people's lives are in that consultation. So we have the chance of getting things done.' He encouraged people to have their say, adding: 'Councils are allowed to collect debts in a rapid and aggressive manner that would make banks blush. 'Within three weeks of saying you can't make a monthly payment, they can tell you: 'Now you have to pay us for the whole year'. 'How someone who's missed a monthly payment is going to be able to pay for the year, I don't know. 'Within three weeks of that, they can go to court and get bailiffs to come and get your money with added costs on top. 'It is life destructive and mental health destructive for many people, who simply don't have the money. 'No commercial lender would be allowed to do that. They would have to treat you fairly, to look at signposting you towards getting help. And it would take, you know, getting on for a year before the bailiffs could be coming in.' Grace Brownfield, head of influencing and communications at Money Advice Trust, the charity that runs National Debtline, said: 'We've long campaigned for improvements to how people are treated when they fall behind on their council tax, which would benefit councils too. 'We're pleased the Government has recognised this and is looking at making changes. Extending the time period before councils can make people liable for their entire annual bill, as well as introducing new steps councils have to take to understand someone's situation and support them accordingly could make a big difference in reducing the harm council tax debt can cause.' Pete Marland, chairman of the Local Government Association's economy and resources board, said: 'Council tax income is an increasingly important funding stream for the local services millions rely on every day. Councils have a duty to residents to collect taxes so those services are not affected. 'Councils also know residents can be affected by debt and financial hardship and have implemented a wide range of measures to ensure that recovery practices are fair, and support is available for households who are struggling to pay their bills. 'All councils already allow residents to pay council tax over a 12-month period, but we look forward to working with government on an approach that enables councils to invest in council tax collection practices that effectively balance the collection of vital revenues with measures that help those struggling to pay.' The consultation closes on September 12 and people can respond to the consultation by completing an online survey.
The Independent
7 hours ago
- Business
- The Independent
Council tax bills in England could be split into 12 instalments by default
A consultation to make council tax collection in England fairer, including stamping out 'unacceptable, aggressive' practices, has been launched by the Government. It is seeking views over the next 12 weeks on the administration of council tax, including how council tax is billed and how payments are collected and enforced. To help households manage their finances, the Government is proposing changing council tax billing from 10 months to 12 months by default, while maintaining the ability for households to pay over 10 months where preferable. Council tax bills tend to be paid through 10 instalments (from April to January) and the majority of the 25 million council tax bills issued each year in England are paid by this method. But 12 month instalments could help households to spread the cost of their bills over a longer period. The average band D household would be paying around £38 less each month if they paid over 12 months because the total cost would be spread across more instalments, the consultation document said. Under the proposals, households would still have the right to request 10 monthly instalments if they wanted to, with the request being made by April 15 of the relevant year. The Government is also looking at enforcement processes, including 'a more appropriate and proportionate timeframe' before councils can demand a full bill from households. When someone fails to pay council tax, a reminder can be sent seven days after a missed payment. Following that, if the bill remains unpaid seven days after the reminder notice has been issued, the full amount due for the year becomes payable. The council may also seek a liability order to confirm the debt and start enforcement action. The Government is seeking views on when full liability should apply, following a reminder notice being issued, and whether there are any further steps councils should take before being able to charge for a full year's bill. The consultation document said: 'It is critical councils have the power to recover unpaid council tax and many councils do good work to support local people. However, the Government believes that aggressive recovery action has been applied too quickly and too intensely in some cases.' Feedback is also being sought on how council tax information could be made more transparent and accessible. In a foreword to the consultation document, local government minister Jim McMahon, said: 'We will make rapid progress in improving the experience of council tax for bill payers. 'This includes action to end unacceptable, aggressive collection practices that have seen vulnerable people who miss payments rapidly subjected to lump sum payments and liability orders, which can lead to bailiffs being sent in, without the offer of a payment plan or a welfare check. 'These practices do not benefit councils, who can incur costs seeking punitive measures without recovering the tax in question, or residents. This Government will deliver on a fairer and more efficient system for taxpayers and councils and which enables councils to fund vital public services.' Mr McMahon said: 'We believe we can be both firm on deliberate tax avoidance, and fair to those needing support with a common-sense approach that strikes the right balance.' The consultation is focused on the administration of council tax and does not seek views on overhauling the council tax system itself. In a video posted on X, consumer champion Martin Lewis said the Government had 'listened'. The and Money and Mental Health Policy Institute founder said: 'Many parts of the council tax system are broken, and I've been calling for some fixes for getting on for 20 years.' Mr Lewis continued: 'Many of the things I've long been championing for change that can affect millions of people's lives are in that consultation. So we have the chance of getting things done.' He encouraged people to have their say, adding: 'Councils are allowed to collect debts in a rapid and aggressive manner that would make banks blush. 'Within three weeks of saying you can't make a monthly payment, they can tell you: 'Now you have to pay us for the whole year'. 'How someone who's missed a monthly payment is going to be able to pay for the year, I don't know. 'Within three weeks of that, they can go to court and get bailiffs to come and get your money with added costs on top. 'It is life destructive and mental health destructive for many people, who simply don't have the money. 'No commercial lender would be allowed to do that. They would have to treat you fairly, to look at signposting you towards getting help. And it would take, you know, getting on for a year before the bailiffs could be coming in.' Grace Brownfield, head of influencing and communications at Money Advice Trust, the charity that runs National Debtline, said: 'We've long campaigned for improvements to how people are treated when they fall behind on their council tax, which would benefit councils too. 'We're pleased the Government has recognised this and is looking at making changes. Extending the time period before councils can make people liable for their entire annual bill, as well as introducing new steps councils have to take to understand someone's situation and support them accordingly could make a big difference in reducing the harm council tax debt can cause.' Pete Marland, chairman of the Local Government Association's economy and resources board, said: 'Council tax income is an increasingly important funding stream for the local services millions rely on every day. Councils have a duty to residents to collect taxes so those services are not affected. 'Councils also know residents can be affected by debt and financial hardship and have implemented a wide range of measures to ensure that recovery practices are fair, and support is available for households who are struggling to pay their bills. 'All councils already allow residents to pay council tax over a 12-month period, but we look forward to working with government on an approach that enables councils to invest in council tax collection practices that effectively balance the collection of vital revenues with measures that help those struggling to pay.' The consultation closes on September 12 and people can respond to the consultation by completing an online survey.
Yahoo
15 hours ago
- Business
- Yahoo
What is a checking account?
Checking accounts are commonly used for paying bills, writing checks, making debit card purchases and ATM cash withdrawals. A checking account can also serve as a place to receive your payroll direct deposit as well as to send money digitally to friends and family. Checking accounts are often covered by federal deposit insurance. Most checking accounts don't bear interest. A checking account is a bank account that's designed to be the hub of your financial life, making it easy to deposit money into these accounts and withdraw funds, as needed. Even though it's possible you don't write out checks often these days, a checking account still has many uses. A checking account can help you manage your money. Here are some common uses for a checking account: Bill payment (online, automatic or by check) Check writing Debit card transactions Electronic funds transfer to savings or investment accounts Payroll direct deposit Withdrawing cash at an ATM Sending wire transfers and person-to-person payments (e.g. Zelle and Venmo) Having money debited for a cashier's check or a money order Unlike savings accounts, checking accounts don't limit the number of transactions you can make or charge fees for excessive transactions. This makes checking accounts a good place for money you plan to use in the near future, such as for paying bills or making debit card transactions. Checking accounts have features that can help you manage daily transactions. Here are a few common features you'll typically find: Debit card access. A checking account provides a debit card linked to the account. This makes electronic purchases and ATM withdrawals possible. Online and mobile banking. Many bank accounts allow account management through the internet or mobile apps. This way, customers can check balances, transfer money, pay bills, and deposit checks. Overdraft protection. Overdraft protection helps bridge the gap by covering transactions that exceed the account balance. This isn't an automatic service, you have to opt in to this program because you might be on the hook for a fee if you do overdraft. Many banks allow you to link to another account to transfer funds to cover an overdraft transaction (and some banks have eliminated or reduced overdraft fees). Direct deposit. The direct deposit feature allows account holders to electronically deposit income directly into the checking account. Some financial institutions allow early access to funds through direct deposit. Check writing. Although checks aren't as popular as they used to be, many checking accounts still offer the ability to write physical checks. Some checking accounts are checkless, meaning that they .omit the ability for consumers to write checks against such an account. If you're planning to write checks with your new checking account, make sure it has check-writing privileges. Bankrate's take: Checkless checking accounts This type of checking account is a good option for minors, those who've been rejected for a traditional checking account or for someone looking to open an additional transaction account to be used for debit card transactions or other electronic payment types. Learn more about checkless checking and how it works. Checking accounts keep your money safe and accessible, and they make it easy to automate your money management. Using a checking account debit card for purchases can be safer than carrying around large amounts of cash, which can help protect your money should your wallet become lost or stolen. Consider using a credit card instead of a debit card because credit cards offer more protection. For example, if you lose your credit card and report the loss after an unauthorized person uses it, the maximum it might cost you is $50. But with a debit card, the amount it will cost you depends on how quickly you report the incident, according to the FTC. If your checking account is with a federally insured bank or credit union, your money is safe, even if your insured financial institution fails, as long as your balance is within the established limits and guidelines. Through the Federal Deposit Insurance (FDIC) or National Credit Union Share Insurance Fund (NCUSIF), funds are insured for up to $250,000 per depositor/share owner, per insured financial institution, per ownership category. A checking account makes it easy to access your money using a debit or ATM card, checks and online payment features. It can be used for everything from retail purchases to rent or mortgage payment to automated bill payments. If you need to pay your friends or family, many checking accounts feature a peer-to-peer transfer service, such as Zelle, that you can use from your smartphone or computer. You can also link your account to other services like Venmo to make quick transfers. Checking accounts make it easy to automate money management. You can set up direct deposit, for example, so paychecks are automatically credited to your account, eliminating the need to manually deposit your funds each time you get paid. You can also set up automatic payments so that money is deducted to pay your regular expenses, such as credit card, utilities and other bills on their due dates. Bankrate's take: Automation can also help you save. Consider having some of your paycheck deposited into a high-yield savings account and the rest deposited into your checking account. This is called split-deposit, also known as paying yourself first, and it can put your savings on autopilot. Overdrafts can occur when you withdraw more money from your account than you actually have in it and your balance dips below zero. The overdraft fees the bank charges you to cover your payment can be expensive. Many checking accounts offer overdraft protection, which automatically transfers funds from your savings account or a line of credit when your checking account is overdrawn. Overdraft protection can allow your payment or debit to go through and if your bank has forgiving policies, help you avoid the associated fees, too. A checking account is best for making day-to-day financial transactions, while a savings account is a good place for funds set aside for emergencies, or financial goals such as a vacation or a new car purchase. Feature Checking account Savings account Debit card Yes Not usually Check writing Yes No Interest rate Low or none Higher (with the best accounts) Minimum balance requirements Varies (often low or none) Varies (potentially higher than checking accounts) Typical use Daily transactions Saving money Primary useA checking account is typically used for money you'll spend, whereas a savings account holds money you're holding onto. InterestMany checking accounts earn no annual percentage yield (APY), while those that bear interest often pay a minimal rate or require you to jump through hoops to earn a higher one (such as making a certain number of debit card transactions per month). Savings accounts typically earn an APY, though the rate varies by bank. Limits on transfersWhile a checking account allows for an unlimited number of transactions, savings accounts limit transfers to six a month in some cases. In April 2020, the Federal Reserve amended Regulation D to remove the six-transfer limit requirement, but some banks still choose to impose this limit. Bankrate's take: It can be the best of both worlds having your checking account at a brick-and-mortar bank and a high-yield savings account at an online-only bank. This way, you're able to walk into a bank for checking issues or to make cash deposits while earning a competitive yield on your savings at the online bank. When shopping around for the right checking account, pay attention to what fees may be charged. While free checking accounts are widely available, many checking accounts do charge fees, and some common ones include: Monthly maintenance fees: Not all checking accounts have these, and those that do may waive them when you meet certain requirements, such as signing up for direct deposit, maintaining a minimum balance or making a set number of debit-card purchases. ATM fees: Your bank may provide its own ATMs or give you access to a network of fee-free ATMs like Allpoint or MoneyPass. Using ATMs outside the network could result in fees from your bank as well as the ATM owner. Some banks reimburse up to a set amount of these fees each month, and you can also avoid them by getting cash back from a debit card purchase instead of using an ATM. Overdraft fees: Withdrawing more money than you have in your checking account can result in an overdraft fee if you enroll in overdraft protection. The average overdraft fee is a hefty $27.08, according to a 2024 Bankrate study. You can avoid these automatic fees by opting out of them with your bank, whereby the bank will return payments as unpaid that overdraw the account. You can also choose to enroll in overdraft protection if your bank offers any free ways to use it – such as linking a savings account to cover transactions. Or choose a bank that doesn't charge overdraft fees, such as Capital One or Ally Bank. Here's a rundown of some of the different types of checking accounts: Best for: Everyday banking needsThese accounts normally provide checks, a debit or ATM card and online bill payment access. Some charge maintenance fees, which are often waivable by meeting set requirements. Overdraft protection may be provided to cover payments that would otherwise have overdrawn the account. Best for: Earning interest and everyday banking needsInterest-bearing checking accounts often allow you to earn an APY in exchange for having your paycheck directly deposited or making a minimum number of monthly debit card transactions (though some banks, such as Ally and Capital One, pay a little interest without any restrictions). The APYs earned by many interest checking accounts, however, are only a fraction of what the best high-yield savings accounts earn. Best for: Students in their teens or 20sOften available to students in their teens or 20s, the best student checking accounts offer perks to anyone learning to manage their money, such as overdraft forgiveness, free checks, no maintenance fees or the reimbursement of ATM fees. Best for: Individuals 55 and older looking for banking perksSenior checking accounts offer benefits attractive to those ages 55 or older, such as free checks and money orders, as well as fees that are easy to waive. If you're looking for these perks, however, you might find them in many traditional checking accounts as well. Best for: Those denied traditional checking accounts due to past banking issuesAnyone who has been denied a traditional checking account based on a history of excessive overdrafts or unpaid overdrawn balances might consider a second-chance checking account. These accounts often impose certain restrictions and fees, yet some allow customers to move to a traditional checking account after handling the second-chance account responsibly for a defined period. You can find second-chance accounts at banks like Wells Fargo and Varo. Best for: A person who's able to meet higher balance requirementsIn return for keeping a relatively large balance with a bank, you're offered perks such as a safe deposit box discount, fees waived or ATM-fee reimbursement. Banks that offer a free safe deposit box for premium checking customers usually offer this on their 3-inch x 5-inch boxes. This type of account might also help you earn some interest on your checking balance. Best for: People with businesses that need to keep business funds and transactions separate from their personal bankingHaving a business checking account is one way to have the ability to accept credit card payments from customers. Business banking also offers you limited personal liability protection, according to the U.S. Small Business Administration and the FDIC. A checking account allows frequent access to funds and is used for daily transactions, like purchases made with a debit card or electronic transfers. These accounts often permit unlimited transactions, making them a good choice for bill payments and purchases. Checking accounts don't usually offer high interest rates on balances, especially when you compare them with high-yield savings accounts. Instead, checking accounts tend to focus on convenience and liquidity. They may come with monthly fees, although many banks offer ways to waive these charges based on factors such as account balance. There are various factors to consider when shopping around for a checking account: These fees can eat away at your balance over time, but it's not hard to find a free checking account that doesn't charge these fees. Those that charge service fees often make them easy to avoid when you maintain a set minimum balance. See more: Best checking accounts The total average out-of-network ATM fee is $4.77, Bankrate's latest ATM Study found. This includes the average surcharge from the ATM's owner as well as one from a consumer's own bank. To avoid such fees, choose a bank that offers plenty of its own ATMs, one that belongs to a large ATM network or one that reimburses you ATM fees. If you prefer to do most or all of your banking online, it can pay to find a checking account at a bank that offers mobile check deposit, online bill pay and a peer-to-peer payment option. Compare: Best banks and credit unions for mobile banking Those who prefer in-person banking should open a checking account at a bank that ma Bankrate's take Online banks that have a checking account tend to offer accounts that don't have a monthly service fee. Consider these accounts if you're being charged fees. If a checking account charges a service fee, make sure it's one you can easily waive, such as by maintaining a set minimum balance or receiving direct deposit. Once you've shopped around and chosen a checking account, you can start the process of filling out an application, which typically involves providing some personal information and a government-issued ID, such as a driver's you're funding your new account from your old checking account, you'll also need both the routing number and account number for your old account. This information will enable your new bank to transfer funds from your old account to the new one. Your bank might also let you use a debit card to deposit money into your new checking account. If you're opening an account in person, you might be able to make your initial deposit with a check or cash. After your account is open and ready to use, take the time to understand its features. Sign up for online banking, download your bank's app, and set up automated payments and direct deposit. Review the latest statement from your old bank to ensure you haven't missed transferring any automated payments from the old account to the new one. Also, update your employer's payroll manager with your new account information to ensure your direct payroll deposit goes to the correct account. Human resources can usually help make that change. Once a couple of months have passed with no automatic bill payments from your old account, you should be ready to close it and continue on with only the new checking account. If your old account charges a monthly fee though, make sure you continue to meet the requirements to waive it while you wait to close the account. Many of the biggest moments in your life likely have one thing in common: a checking account was probably involved in the transaction. Be sure to find the right checking account for you, whether it's one that has a robust ATM network, charges no fees or offers the ability to earn interest. Once you find the account that suits your needs, you'll appreciate how a checking account enables you to handle your day-to-day finances. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Zawya
a day ago
- Business
- Zawya
Swypex introduces Egypt's 1st approval-based business card
Arab Finance: Swypex, a financial management platform based in Egypt, has launched the country's first Approval-Based Limits Card, a product designed to help businesses manage expenses more efficiently, as per a press release. Offered through the Swypex Premium subscription, the card applies dynamic spending limits that are activated only after transactions are reviewed and approved. This setup allows finance teams to maintain oversight and enforce spending policies in real time. Modeled on the structure of petty cash management, the card uses a rotating balance system to ensure employee spending does not exceed approved limits. It replaces manual processes with a streamlined mechanism to improve operational control. The launch comes as Egypt continues to develop its financial infrastructure. While over 74% of adults are now financially included and mobile wallet usage is growing, 94% of business payments are still processed manually. Swypex aims to address these challenges with localized products built to meet international standards. The Approval-Based Limits Card is part of a broader Premium subscription, which also includes cashback, spend controls, and customizable approval workflows. The company is supported by a $4 million seed round led by Accel—its first fintech investment in the MENA region—and is licensed by the Central Bank of Egypt. Swypex's platform integrates payments, invoicing, corporate cards, and financial workflows into a single system. Business accounts can be opened in under three minutes. © 2020-2023 Arab Finance For Information Technology. All Rights Reserved. Provided by SyndiGate Media Inc. (
Wamda
2 days ago
- Business
- Wamda
Swypex rolls out spend control card in Egypt
Swypex, Egypt's all-in-one financial management platform, has unveiled the country's first Approval-Based Limits Card, an innovative product designed to modernise how companies manage spending. Available exclusively through the new Swypex Premium subscription, the card introduces dynamic spend limits that unlock only after transactions are reviewed and approved, which gives finance teams real-time visibility and precise control. Mimicking the operational dynamics of petty cash management, the Approval-Based Limits Card acts like a rotating balance, ensuring that no employee's spending exceeds what's been approved. This approach replaces fragmented, manual processes with an automated, policy-enforced financial governance system that drives operational efficiency. 'Egyptian businesses want control without friction, and this card gives them exactly that,' said Ahmad Mokhtar, Co-Founder and CEO of Swypex. 'Approval-Based Limit Cards bring a new standard of precision and agility to business finance. It's the bridge between old-world cash management and seamless, secure corporate spending. This card empowers companies to shift from chasing expenses to controlling them with clarity, speed, and confidence,' he added. Swypex's launch comes as Egypt undergoes a rapid transformation in its financial infrastructure. While more than 74% of adults are now financially included and mobile wallet adoption continues to grow, 94% of business payments remain undigitised, leaving businesses exposed to risk and inefficiency. Swypex is addressing these challenges with local-first solutions that meet global fintech standards. The Approval-Based Limits Card is part of Swypex Premium, which helps businesses unlock their full potential with the most comprehensive financial management platform in the market. The subscription also includes unlimited cashback, dynamic spend controls, and custom approval workflows. 'We build products that specifically cater to the needs of the local market while pushing boundaries and spearheading innovation in the region,' said Tarek Mokhtar, Co-founder and Chief Product Officer. 'From fast-growing SMEs to complex enterprises, Egyptian businesses need financial infrastructure that's powerful, simple, and scalable. That's why we designed Swypex Premium as more than just a tool but rather a comprehensive financial operating system. With advanced spend controls and approval workflows developed to integrate with existing financial processes, we're not just digitising finance; we're fundamentally reshaping how it works in Egypt's evolving economic landscape,' he added. Backed by a $4 million seed round led by Accel, the VC firm's first fintech investment in MENA, and licensed by the Central Bank of Egypt, Swypex is setting a new benchmark for how businesses handle finance. Its all-in-one platform consolidates payments, invoice management, smart corporate cards, and financial workflows into a unified, intuitive system designed to scale with growing companies. Opening an account takes just three minutes.
