March 21st, 2019 | Andrew Hagger | News

21 Mar 2019 Research carried out by financial advice website Moneycomms.co.uk and supported by credit experts TotallyMoney has revealed that credit card cash withdrawals cost UK consumers £219 million in fees and interest last year.

In the 12-month period, there were more than 36 million credit card cash transactions. The average amount withdrawn or spent was £125.

Every time a consumer makes a credit card cash transaction, they’re charged a withdrawal fee and (compared to standard credit card purchases) a higher interest rate applies. Some withdrawal fees cost up to £6.25 every time, and the average interest rate for cash purchases using a credit card is 25.04%.

The result of cash spending using a credit card between December 2017 and November 2018, meant British consumers gave credit card companies a total of £219 million in fees and interest.

Commenting on the findings, Alastair Douglas, CEO of credit experts TotallyMoney, said: “Credit cards are a vital part of our financial armoury. They give us flexibility and financial backup for covering emergencies and unexpected costs.

“However, withdrawing cash using your credit card is a very expensive habit that’s best avoided. It often costs people far more than they realise.

“The problem is that cardholders may not understand what their card provider classifies as ‘a cash transaction’. It’s not just ATM withdrawals. It can be gambling transactions and foreign currency purchases too.”

Douglas added: “In a recent TotallyMoney survey, less than 1 in 10 customers realised that gambling transactions are treated as cash transactions. You end up paying more than you think because of the extra interest and charges.

“Many consumers are also unaware that interest on cash transactions is charged at a higher rate compared to credit card purchases. What’s more, that interest will apply the moment the cash transaction takes place, whereas regular transactions often don’t incur interest until your statement arrives.”

But the cost goes beyond the initial charges and fees. Andrew Hagger, Personal Finance Expert from Moneycomms.co.uk, who carried out the research, explains: “If you withdraw cash on your credit card, it will show up your credit record and could be a danger sign to other lenders that may look at your record in the future.

“Prospective lenders may think you’re making cash withdrawals on your plastic because you have no money left in your current account.”

Paying over £6 to withdraw £125 is a high price to pay. Unfortunately too many people are oblivious to the damage a credit card ATM withdrawal does to both their wallet and their credit record.”

March 19th, 2019 | Andrew Hagger | News

19 Mar 2019 Today, Cifas, the UK’s leading fraud prevention service with over 450 members, has released new figures showing a marked increase in the number of individuals committing insurance fraud with false claims. Between 2017 and 2018, there has been a nationwide increase of 27% in fraudulent insurance claims.

The new figures reveal that Cifas members identified household insurance fraud and motor insurance fraud as the two biggest causes of false claims – with a 52% and 45% increase respectively.

Meanwhile, there is an overall decrease in another form of insurance fraud: fronting an insurance policy. Fronting is when a driver claims they are the main user of a vehicle that is actually driven by a young driver or other high-risk motorist in order to receive lower premiums: for example, by parents for their children. Cifas members reported over 300 cases of fronting in 2018, with the data showing an 18% increase in the proportion of 21-30 year olds conducting this type of fraudulent activity.

The release of these alarming statistics marks the launch of Cifas’ ‘Faces of Fraud’ campaign. The campaign sheds light on the daily temptations consumers face to commit fraud: the lies, exaggerations, deceptions and “seemingly” harmless opportunities to make some quick cash or get a better deal that are actually criminal acts.

Cifas is therefore urging people to stop, think and consider the consequences of making false insurance claims or fronting insurance policies – which can be far more serious than many imagine. Consequences can include non-payment of claims; cancellation of the insurance policy; individuals having to pay costs that arise from an accident; a record with Cifas and the Insurance Fraud Register (IFR), making it more difficult to obtain insurance and other financial services. The case could also be reported to the police for investigation: potentially leading to a criminal conviction and a prison sentence.

Chief Executive Officer of Cifas, Mike Haley, says:

“False insurance claim fraud and fronting insurance policies fraud are often seen as an easy way to make a bit of money without hurting anyone. Yet the idea that fraud is a victimless crime is completely false. First, false insurance claims and fronting insurance policies are illegal. They can impact your life and career, making it near-impossible to buy insurance in the future and can even lead to a criminal record.  Second, committing fraud hurts everyone: your neighbours, your friends, people in the area, and the UK as a whole. Insurers have to spend longer reviewing insurance claims and policy requests, premiums go up, and everyone loses out.”

“As the rise of false claims in household and motor insurance shows, many people are seemingly unaware of the risks they’re running and the consequences it can have by committing everyday fraud. While the overall downturn in fronting insurance policies is a positive sign, the fact that young people are increasingly more likely to commit that type of fraud highlights the need for continuing education. More needs to be done to raise awareness about the harm of fraud and financial crime.”

March 15th, 2019 | Andrew Hagger | News

15 Mar 2019 UK adults are being urged to spring clean their finances by using smart financial hacks the next time they buy a big ticket item or service. 

A new study by Sainsbury’s Bank Credit Cards found nearly a third of UK adults have bought a lower quality item and then regretted not paying more for a product that would last longer. With two thirds (67%) of people planning to buy a big ticket item in the near future, Sainsbury’s Bank Credit Cards reveals the UK’s ‘False Economies’ – the most common ways shoppers are unintentionally spending more money when trying to save on big purchases.

False Economies: Five financial decisions UK adults regret

Make do and mend?

UK adults admit they have often paid for costly repairs to fix old or broken items, spending more money in the long run than if they bought a new item upfront. Nearly one in 10 (9%) people have attempted a DIY project but were unsuccessful and had to pay a tradesperson to finish the job.  As a result people on average typically pay for fixing expensive items such as cars and boilers twice, before buying again.

Repairs can end up being costly, with an average patch-up job for a car standing at £214 and £150 for a boiler. More than a third (37%) of people regretted fixing an item as 44% thought it would be cheaper to fix than buy a new one.

Jerome Fernandez, Head of Credit Cards at Sainsbury’s Bank, said: “If you are considering significant outlays this year on items that need fixing, it is worthwhile weighing up the initial cost vs any ongoing costs. You could save more money in the long run by investing in a new item upfront.

“A 0% credit card, can enable you to pay an item up without having to find the initial lump sum, just make sure you clear the spend before the offer ends.”

Paying for significant purchases

In a separate study where the Bank asked its customers for their view, 53% said they choose to use  credit cards for big purchases. One in three also revealed that they would consider a new credit card deal that offers a 0% interest period for purchases. 

The data also identified that 30% of people are on the hunt for a new credit card in the next 12 months, either with a 0% purchase or balance transfer deal. More than half (54%) of 35-44 year olds are looking for a new credit card deal in 2019. The most popular reason for this age group to use credit cards is to purchase items such as cars,  furniture or white goods and therefore will want to take advantage of longer 0% deals⁽.

Customers making larger purchases need to make sure they have worked out the monthly repayments to make sure they can afford the regular outgoings, and remain disciplined to ensure they pay off the item within the offer period. If they decide to purchase a car they need to make sure that the car dealership they plan to buy from accepts credit cards.

For those savvy shoppers that are looking to get the most from their next purchase, the Sainsbury’s Bank Dual Offer Credit Card⁽³⁾ offers 0% interest on balance transfers and purchases for up to 28 months, as well as the opportunity to earn up to 7,500 bonus Nectar points.  Get 750 points by spending £35 or more on Sainsbury’s shopping using this card, up to 10 times in the first two months⁽⁴⁾.

Also, you can collect Nectar points wherever you shop. You can earn two Nectar points for every £1 you spend on Sainsbury’s shopping and fuel, and one Nectar point for every £5 spent elsewhere⁽⁵⁾. 

Financial expert and editor and founder of Moneymagpie.com, Jasmine Birtles, commented: “We all do it. We think we’re getting a bargain or being a bit clever with our purchase and then we find that we’ve bought something that was too cheap and it broke.  We can’t get it right all the time but if we’re able to take a breath, step back for long enough to think it through (often learning from former mistakes) we can usually work out if it could be better value in the long-run to buy something new.

“If you do end up buying new, usually the cheapest way to do that is with a credit card that offers 0% on purchases as long as you’re absolutely sure you can pay the item up within the offer period.” 

For people who are looking to apply for a new credit card, Sainsbury’s Bank offers a helpful guide. Find out more here https://www.sainsburysbank.co.uk/credit_cards/how-to-apply-for-a-credit-card

March 13th, 2019 | Andrew Hagger | News

13 Mar 2019 With the launch of Credit Awareness Week, credit experts TotallyMoney reveal exactly what goes into credit scores and how they’re calculated, allowing customers to understand better the reasons for any changes to them.

A YouGov survey of 2,000 commissioned by TotallyMoney also highlights the lack of understanding around the subject of credit reports.

• Hold the phone: 57% of people surveyed don’t realise mobile phone contracts are recorded on a credit report
• A need for education: 38% incorrectly believe student loans are included on a credit report
• Money doesn’t talk: one in three incorrectly believe their income is recorded on their credit report
• Misunderstanding: 28% don’t realise that missed credit payments are included on a credit report
• All for one and one for all: two in three incorrectly believe there’s a universal credit score

TotallyMoney generates credit scores and reports using data provided by credit reference agency TransUnion (formerly Callcredit). However, what goes into your credit score is largely been kept under wraps.

According to the research, payment behaviour comprises 48% of your credit score and is the biggest contributing factor overall.

It considers on-time payments, late and missed payments, and how recently the payments occurred across all credit accounts. Bad behaviour in this segment is therefore likely to have the biggest negative impact on credit scores.

Credit usage comprises 21% of a credit score, and considers a person’s total available credit and how close they are to their limits. It’s thought that keeping credit usage below 25% of an individual’s available credit can help keep a credit score healthy.

Credit experience comprises 21% of a credit score, and looks at a person’s credit accounts and how long they’ve been using them.

Sensibly using credit products over a longer period could increase credit scores, whereas those new to credit or those who have limited experience using it might find their scores are lower.

Desire for credit comprises 5% of a credit score. It looks at credit account openings and closures, and when these openings and closures took place. Closing a credit account suggests there’s less desire for credit and could increase a credit score, whereas opening new accounts suggests more eagerness for credit and could lower a score.

Lastly, credit types comprise 5% of a credit score. This refers to an individual’s experience of managing different types of credit, such as mortgages, loans, credit cards, and even gym memberships.

Sensibly handling a variety of credit products could improve a credit score.

The research has also debunked the myth that getting rejected for credit lowers your credit score, which is not true for credit scores provided by credit reference agency Callcredit.

However, this only applies to the number. Since lenders can see when you’ve been rejected for credit, it could lower your Borrowing Power, or your ability to get accepted for credit.

TotallyMoney CEO Alastair Douglas said: “There’s a lot of confusion around what goes into a credit report, and up until now many have had to rely on anecdotal advice on how credit scores are calculated.

“Knowing what goes into a credit score will help people address the behaviour types that might be holding them back.

“A good place to start is with TotallyMoney’s Free Credit Report. Once you find out what your score is, you’ll be in a better position to improve it from there.”

March 7th, 2019 | Andrew Hagger | News

07 Mar 2019 NS&I research has shown the enduring influence of our parents on building long term savings habits and the financial as well as emotional bonds between the generations.

50% of Britons had a savings account opened for them by their parent or guardian when they were a child, with just over half of over 16s (51%) saving regularly as a child, either by themselves or parents investing on their behalf and almost two thirds of over 16s saving regularly into adulthood.

Encouragingly, opening a savings account at birth has become more popular over the generations; only 15% of those aged 65+ had a savings account opened for them between the ages of 0 and 5, whilst nearly a third (31%) of 16-24 year olds have had a savings account since early childhood.

While just under a quarter of adult savers have decided to remain with the same savings provider as their parents, 23% have set up their first savings account with a different provider, and nearly one in five have decided to not slip into savings inertia by switching their account to a different provider from the same one as their parents or guardians.

Savings education

Of those who received financial education as a child, 91% received informal financial education from their parents, opposed to only 15% adults having received financial education from teachers.

78% of older children (aged 12-15), with questions about Premium Bonds would go to their parents. But, just under two-thirds of current parents with children under the age of 16 would actively talk to them about saving.

Children are also increasingly turning to alternative ways of learning about saving. When asked about Premium Bonds in particular, 41% of 12-15 year olds would search the internet or read/watch the news to find out about how the savings product works.

Ian Ackerley, NS&I Chief Executive, said:

“Saving is undoubtedly a family affair, with positive habits being built through the generations. Whilst it is encouraging that over three-quarters of older children would still ask their parents about Premium Bonds, we would appeal to all parents to have conversations about savings with their children. Talking openly about money can be linked to developing financial awareness and the capability of children to save.”

The average amount that adults save each month is £117, however almost a third (30%) of Britain’s savers are only able to put less than £50 into savings each month and just under a quarter do not have a savings account, either never having one or used to have one but no longer do. 

Encouragingly however, nearly three in four are able to add to their savings after covering their living expenses each month, with 29% regularly being able to save on their incomes after bills, while 43% say they are able to occasionally top up their savings pots each month.

Ian Ackerley continued:

“While the average amount that adults save each month is over £100, we are aware that this is not necessarily achievable for everyone. Encouraging as many people as possible to create a regular savings habit is easier when savings products are more accessible, NS&I has a number of products with a starting investment of just £1 and by lowering the minimum investment in Premium Bonds to £25, we are attempting to break down the barriers of saving by allowing everyone the chance of winning tax-free prizes each month, ranging from £25 to £1 million.

“Our customers love to share their experiences of owning and winning in Premium Bonds, and it’s particularly heart-warming to read stories of customers who have passed down their love for Premium Bonds to their children and grandchildren, after being inspired by their own parents.”

March 6th, 2019 | Andrew Hagger | News

06 Mar 2019 With new number plates arriving on garage forecourts at the beginning of March, more than a quarter (27%) of motorists will be considering changing their car, despite current economic uncertainty, according to a new study from Sainsbury’s Bank.

The research conducted by Sainsbury’s Bank found car buyers are planning to spend an average of £11,280 in 2019. The top three reasons for investing in a new car include having a more environmentally-friendly vehicle (39%), being cheaper to run (35%) and featuring more gadgets (25%).  

Sainsbury’s Bank has worked in partnership with AutoTrader to establish the most popular cars for motorists. AutoTrader’s data based on 55 million monthly searches found the Volkswagen Golf, BMW 3 Series and Mercedes-Benz C Class were the most popular models in the past year. Auto Trader stated that new electric and hybrid models launching this year, may affect searches at a mass level, showing that UK car buyers might be tempted to make the move to electric, reflecting the sustainability trend.

Top reasons for changing a car this year:

1.       Wanting a more environmentally-friendly car (39%)

2.       Wanting a more economical car (35%)

3.       Wanting more gadgets built-in the car (25%)

4.       Wanting a bigger car (17%)

5.       Wanting a faster car (15%)

When it comes to buying a car, over half of motorists in the market for a vehicle this year are planning to use savings (55%) to pay.  Other popular payment options are car leasing plans (12%), personal contract purchase (11%), personal loans (9%) and hire purchase (8%.)

Robert Oag, Head of Loans at Sainsbury’s Bank said: “Car buyers should spend time doing their sums before setting off to the garage forecourt. Work out the right car finance option by considering any deposit, monthly contributions and total interest which needs to be paid.

“Personal loans are a good way to part pay or pay in full for a car as you know your monthly repayments and the final repayment cost from the outset.

“Loans can also be a good option if you’re setting off to a car dealer or buying a second hand car as having a loan secured means that you’re a cash buyer, which could put you in a stronger bargaining position.”

Nick King, Market Research Director at AutoTrader said: “Car buying considerations look to be changing.  Over the last two years we’ve seen a notable increase in searches for alternatively fuelled vehicles (AFVs) from 3% to 7% of all searches.  Whilst this is still a small overall percentage it is a significant increase over a short amount of time, and the biggest share it has ever been on Auto Trader. 

“Our latest Market Report also shows that 71% of car buyers are now considering an AFV for their next car purchase. We all like to think we’re environmentally conscious but actually it’s the cost that plays a key part in our decision making; the overall running costs and the ability to finance the car.”  

Sainsbury’s Bank offers five top tips for buying a car

Timing is key and remember to haggle – car dealerships and garages relentlessly manage their stock, which means you can take advantage of deals on older models, updated models (those with a ‘facelift’) and on new cars with an old registration plate. It’s worth haggling for a discount 365 days of the year but especially just after new plates in March and September.

Do your research – if you are considering car finance, it’s important to do your research so you understand the difference between Car Leasing, Hire Purchase and Personal Contract Purchase (often known as PCP). That way you can find the right option for you and understand the terms and conditions that you are signing up to.

Calculate the cost – doing some sums will save you money in the long run. Work out the best car finance options for you by considering any deposit, monthly contributions and total interest paid. Personal loans can be a great way to part pay, or pay in full for a new car as you know your monthly payments and the final repayment cost from the outset. Sainsbury’s Bank offers a wide range of loan amounts and even better rates for customers with a Nectar card.⁽³⁾ It has a handy calculator tool online so that you can check the right loan amount for you.

Set a budget – there will be other costs to consider once you’ve agreed your loan and bought your new car. Set yourself a budget for costs such as insurance, fuel, road tax and toll payments to prevent you overspending.

Get set before you go – Make sure you sort out car insurance and vehicle tax before you drive off. You must have insurance in place as soon as you’ve become the legal owner of the car so if you get these sorted in advance they won’t hold you up.

March 5th, 2019 | Andrew Hagger | News, Uncategorized

05 Mar 2019 The FCA today announced a number of measures to stop vulnerable people paying way over the odds for rent to own purchases.

In future retailers won’t be able to charge more than 100% of the price of goods – a big improvement as in some cases people are paying up to 4 times the price of items once charges and insurance is taken into account.

Andrew Hagger, Personal Finance Expert from Moneycomms said:

It’s good to see the regulator stepping in to protect some of the most financially vulnerable in our society.

These people have been taken advantage of for far too long, mainly because the retailers know such customers often have nowhere else to turn.

The credit cap of 100% is a welcome move and it’s pleasing that the FCA won’t let these retailers recoup their money via the back door by increasing the cost of add on insurances.

The new rules come into force on 1st April 2019.

February 28th, 2019 | Andrew Hagger | News

28 Feb 2019 Ahead of Free Wills Month in March, research from Royal London reveals a quarter (26%) of people with a will do not discuss it as they do not want to think about dying. The research also found that one in four (27%) do not want to upset beneficiaries by discussing the contents of their will.

Talking about death can often be uncomfortable and difficult. By overcoming ‘death anxiety’, the natural fear of talking about death and the emotions associated with it, these important conversations can ensure your beneficiaries are aware of your wishes and understand them.

Royal London’s research found that nearly half (45%) of UK parents with adult children believe their will to be ‘no one’s business’ but their own or a partners.  Sharing the contents of a will makes the financial and practical consequences of death easier for those left behind. Losing someone can have a huge impact on finances for months or even years to come, so it is crucial for families to be prepared.

Mona Patel, Royal London’s consumer spokesperson, said:

“Talking about dying can be seen as ‘taboo’ and it is not always easy to bring it up. Discussing your will with beneficiaries means they are better prepared when the time comes. It is also hugely important for family members to be aware of vital decisions in your will, such as who will look after your children.”

Royal London has five top tips on how to approach the ‘When I’m gone’ conversation with your partner or family:

• Avoid talking to someone when they’re busy. Look for opportunities to broach the subject such as when you’re discussing the future or perhaps following the death of someone close to you.
• Consider beginning the conversation with a question such as, “Have you ever wondered what would happen…?”; “Do you think we should talk about…?”.
• Think about how you would manage financially should the worst happen. What impact would losing a partner or family member have on your household income and your expenses? Be aware that your financial situation may change in the future.
• Make sure you know where all important documents such as wills, bank details, insurance policies etc are kept, so that you have all the information you might need.
• Prepare in advance; would you know how to manage the day-to-day finances? If not, consider how you could start to learn about them now so this doesn’t come as a shock.

For more information on death and important money matters, Royal London has created a ‘When I’m gone’ booklet for an easy place to write everything down. This can be downloaded from the Royal London website.

February 26th, 2019 | Andrew Hagger | News

26 Feb 2019 An increasing number of people are choosing to borrow more money through their mortgage to improve their home rather than move home, according to new data released by Yorkshire Building Society.

Figures from the Yorkshire show there was a 12% increase in the number of homeowners choosing additional borrowing last year compared to 2017, and recent data from UK Finance reveals the number of home-movers has reduced 48% since 2006. This suggests that some homeowners are looking to use some of the value in their home to make their current property work better for them as an alternative to moving.

Borrowers in a position to refinance their property could consider raising money by remortgaging. Yorkshire Building Society recently increased its maximum remortgage loan amount to 95% of a property’s value, to give borrowers more choice when financing improvements.

Janice Barber, mortgage manager at Yorkshire Building Society, said: “It’s perhaps not surprising that we’re seeing homeowners borrow more on their mortgage or remortgage to raise funds for home improvements as people look to improve their home rather than move while Brexit is still uncertain and the housing market cools.

“Whether it’s building an extension to accommodate a growing family or a desire to renovate the kitchen, homeowners may naturally turn to personal loans or credit cards to finance home renovations. But our data shows an increasing number of borrowers could also be looking to the value in their property.

“Anyone considering a significant spend on home improvements that requires additional funds may want to discuss remortgaging or additional loans with a mortgage advisor. 

“That way they’ll have all the necessary details and facts to make an informed decision about the best way to fund their new project.”

The Yorkshire’s 95% remortgage options include a two-year fixed rate of 3.34%, which has no upfront fee, free standard valuation and free legal fees.

How can borrowers best unlock their home’s potential?

1.    Look up, down and out – there may be space for a loft or basement conversion, or perhaps a side extension? Look at underused space around your home to see if there are any areas that can be turned into a better use of space. Don’t forget though, if you plan to make significant home improvements you might need to seek approval from your mortgage lender.

2.    Garage full of junk? – have a clear out, sort and sell or donate your goods to make way for an alternative space. You might even make some money in the process to help contribute to the cost of the improvements.

3.    Don’t just get one quote – if you decide to go ahead with any improvements get a number of local builders round to give you a free, no obligation quote.

4.    Be creative, but original – you might not want to move now, but bear in mind that original house features can help with future selling potential. Creating a fresh, new space while keeping original doors, windows and fireplaces could maintain your property’s charm and personality.

5.    Sense check your plans – speak to your local estate agent about what you’re planning to do to make sure it has the potential to add, not lose, value in your home. That is unless you value making the space work for you and your family now, and aren’t worried about getting your money back at a later date. 

February 26th, 2019 | Andrew Hagger | News

21 Feb 2019 With the number of adult children sharing the family home with parents at an all-time high, new research from Charter Savings Bank¹ shows they are not always quite so good about sharing details on their finances.

The nationwide study found nearly 69% of parents are open about their finances with their adult children and a further 21% would be happy to discuss money with their adult children, but are never asked. Adult children mainly reciprocate with 69% saying their parents know how much they earn.

But when it comes to debts and savings the 26%² of 20 to 34-year-olds who live with parents – around 3.4 million people – are not as forthcoming. Nearly half (45%) have either debts, savings accounts or both, which their parents are unaware of.

Nearly one in five (18%) have both savings accounts and debts their parents do not know about, while some have secret savings accounts (15%) and others have secret debts (12%).

Adult children living at home are on a good deal, the research shows. Nearly half (47%) of parents do not charge rent for living with them, and the average rent charged by those who do is just £161 a month – a significant saving on average private sector rents.

This reduction in rent is highly beneficial to young adults, as three in ten (30%) admit they would not be able to save for a home if they did not live with their parents. It can, however, be difficult agreeing how much to contribute towards living costs between parents and their adult children, and there are vast differences between families.

Some parents ask for contributions towards food (31%), energy bills (23%), phone and broadband (17%), for example, but a third (33%) do not ask for any contributions at all.

This is at odds with what their children believe they are contributing towards, with 85% believing they put money towards food bills, and a high proportion saying they help parents towards TV and entertainment subscriptions (67%), maintenance (66%) and energy bills (62%).

Table one: What parents and adult children say

The study found that, on the whole, children are honest with their parents about general spending, although sometimes this is only because they are asked directly. Just over a third (35%) openly tell their parents how much they spend on gym or health club memberships, and a further 52% would do if asked.

The aspect of their spending that adult children are least forthcoming about with their parents is transport costs, with a sixth (15%) admitting they wouldn’t tell their parents how much they spend on their car, or taxis and Ubers.

Paul Whitlock, Executive Director, Charter Savings Bank, said: “Keeping debt a secret from close family may be tempting, but a problem shared can be a problem halved, as discussing finances may help alleviate stress.

“While living at home, young people have a fantastic opportunity to work towards clearing debt and start saving towards their goals, whether that be buying a property, travelling or further education.

“Saving as much as possible from an early age is a great habit to get into; even a small amount will soon grow. It also means people are used to setting aside some of their income each month, which is good practice for when they move out of the family home.”