Blog – David McCarthy – Galway Talks, 30/01/2014

galway-bayfmIssue:   Pitfalls of paying insurance premiums without shopping around.

Comment:  It is surprising the number of people who pay their premiums for house/car/medical insurance without shopping around.  There is no doubt that considerable savings can be made, sometimes even by just phoning your insurer, you can get a reduction.

It’s been since proven that using a general insurance broker or a bit of savvy research online, can save you considerable sums on your premiums.

Question:    The only income I have is the contributory old age pension and I also rely on interest I receive from money on deposit.  As you know interest rates have dropped dramatically and I am concerned about how I can maintain my income, have you any suggestions?

Comment:  It is unfortunate that you find yourself in this position.  People like yourself, who are on a fixed income and reliant on deposit interest to supplement same, have been very badly hit.

Normally I would advise you to consider a secure Term Investment, as a means of increasing your return, however as you are completely reliant on these deposit monies for your day-to-day income and need full access to same, then there is no easy answer to your problem.

Unfortunately, with no interest increases likely for some years, your deposits will continue to be depleted.