Thursday, October 19, 2006

It's Your Money

“IT’S time we admitted that there’s more to life than money, and it’s time we focused not just on GDP, but on GWB - general well-being.”

David Cameron said that. He’s the leader of the Conservative Party. He was educated at Eton College (the fees from September 2005 are £23,688 a year). He divides his time between homes in North Kensington, London, and Chipping Norton in Oxfordshire.

If ever short of a few quid to pay off his council tax, or if he wants to treat himself to a new pannier for his bicycle, Cameron can always tap his fifth cousin twice removed for a loan. She’s called Queen Elizabeth II and she has her face on more money than you will ever own.

Who needs money, eh? The answer is simple: you need money.

What Mr Cameron might not fully comprehend is that money – and most importantly what it can buy (food, clothes, water, shelter and more) - is inextricably linked to what he calls GWB.

We do not pursue money for money’s sake but for what it can buy.

Cameron’s statement of the obvious reminds us of Pablo Picasso’s comment: “I’d like to live as a poor man with lots of money.” See Cameron’s push bike.

And to make the most of what you have, we will be offering you tips. Here, you will read about how to minimise your outgoings and maximise your returns.

This need not be complicated. It won’t be. Much of our advice will simply involve shopping around. You should see everything you spend money on as a purchase.

Just as you buy bread and eggs, you buy electricity, gas and petrol.

And there are financial products. Your pension is not some mythical thing of esoteric complexity. It is real thing that you buy. Pensions can be complicated, but if you approach them with the idea that you are buying a product, you will be able to understand them better.

And helping you through all this is information. If you are reticent or downright shy about asking a bank or other financial institution for advice, the Internet is a great tool.

Over the web, you will not be sized up. On the web we are all eccentric millionaires, shabbily dressed and looking for a great deal. There are sites that help you find cheaper utilities, better credit rates and less expensive debt.

We will save you time and check them out for you.

And as we go, we will attempt to demystify the world of finance. It is not hard to understand money. We are not expecting you to manage the economy, just your wallet and bank account.

And if you don’t understand, do ask questions. If you prefer a new dress in blue to the green, you ask. If you want a different kind of mortgage, you should do the same.

So tell us what you want to know about and we will look into it.

Next week we will looking at credit cards. And how much we love them...

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