Lottery players get another chance at a growing Mega Millions jackpot tonight. With no winners since Dec. 8, 2023, the national game’s grand prize has swelled to an estimated $687 million. That’s the sixth-largest Mega Millions jackpot in the game’s history.
You can buy Mega Millions tickets for $2 apiece in 45 U.S. states, as well as Washington, D.C., and the U.S. Virgin Islands. To play, pick five numbers between 1 and 70, and a sixth number between 1 and 25. If you don’t want to pick the numbers yourself, you can get a set of numbers generated for you.
How much is the Mega Millions jackpot?
The jackpot is estimated at $687 million.
Winners can opt to take their winnings in the form of an annuity or as a single lump sum, known as the cash option. The cash option for today’s jackpot is estimated at $332.3 million.
By taking the annuity option, the winner would get the full jackpot advertised by Mega Millions, but it would be spread out in payments over 30 years.
No matter how lucky you are, you won’t get around paying taxes on a lottery jackpot. After mandatory federal income tax withholding, you’d get roughly $252.5 million if you took the cash option. How much more you’d pay come tax time depends on where you bought the ticket — and where you live. To prepare, make sure you know the ins and outs of how the lottery works.
When is the next Mega Millions drawing?
The winning numbers will be drawn Friday, March 8, at 11 p.m. Eastern Time.
If there’s still no jackpot winner, the grand prize will continue to grow.
The odds of winning the jackpot are roughly 1 in 303 million.
The jackpot isn’t the only way to win. Mega Millions has prizes for ticket holders whose chosen numbers match the drawing in a variety of combinations. In the drawing on March 5, two tickets — one sold in California and the other in Michigan — matched five white balls, winning prizes of $1 million each.
10 largest Mega Millions jackpots
The current Mega Millions jackpot would be the sixth-largest in the game’s history. Here are the 10 largest Mega Millions jackpots:
$1.58 billion (Aug. 8, 2023 — one winning ticket).
$1.537 billion (Oct. 23, 2018 — one winning ticket).
$1.348 billion (Jan. 13, 2023 — one winning ticket).
$1.337 billion (July 29, 2022 — one winning ticket).
$1.05 billion (Jan. 22, 2021 — one winning ticket).
$687 million (pending).
$656 million (March 30, 2012 — three winning tickets).
$648 million (Dec. 17, 2013 — two winning tickets).
$543 million (July 4, 2018 — one winning ticket).
$536 million (July 8, 2016 — one winning ticket).
Photo by Justin Sullivan / Getty News via Getty Images.
The NCAA’s name, image and likeness policy, or NIL, is an interim rule that allows college athletes to earn money by lending their celebrity to endorse or promote products, services or brands. Since it took effect in 2021, NIL deals have exploded, increasing by 146% from 2022 to 2023 according to SponsorUnited, an online platform that tracks sponsorship data.
In addition to the impact on college athletics, the policy increases access for smaller businesses that couldn’t previously afford big university sponsorships, allowing them to align themselves with the school brands through smaller NIL deals.
“There are a lot of athletes who want to be part of this economy, at most schools, and not all of them are looking for million-dollar deals,” says Robert Boland, a sports law professor at Seton Hall University and attorney at Shumaker law firm with a specialization in collegiate and professional sports, including NIL sponsorship.
Here’s what small-business owners need to know before investing in this type of partnership.
NIL is similar to other types of marketing
The majority of NIL deals involve social media posts, according to Opendorse, an online athlete marketplace and NIL technology company. These types of deals work similarly to other types of influencer marketing, where popular social media personalities collaborate with businesses to promote their products.
NIL activities can also include print or TV ads, clinics or in-person meet-and-greets or autograph signings. While compensation can be cash, small-business owners can also offer free or discounted products or services to athletes in exchange for promotion, Boland says.
The NIL landscape is broader than it looks
Though big-name companies and star athletes get all the media attention, data from Opendorse indicate that the average NIL deal since the policy was implemented ranges from $228 to just over $10,000, depending on the athlete and collegiate division. Keep in mind, though, that those averages are inflated by high-dollar deals that only a handful of star athletes receive. Many NIL sponsorships are, as Boland describes, “small-dollar deals.”
Though NCAA football is by far the leading sport for NIL endorsements, sports like volleyball, track and field, baseball and softball make up nearly a quarter of NIL activity, and athletes who compete in less visible sports can also be great partners, according to Boland.
The leading industries for NIL deals are apparel and footwear, followed by local restaurants and technology companies — but those aren’t the only businesses that can see a return from NIL deals.
Brian Quigley, founder of Beacon Lending, a Colorado-based mortgage company, has collaborated with three college athletes in Boulder and Fort Collins to promote his business. He’s found that these sponsorships have grown brand recognition and trust, particularly among a younger demographic, and have also deepened his ties with the respective communities, which he sees as especially important for someone in his industry.
Collectives can help facilitate NIL deals
Small-business owners who aren’t comfortable reaching out to athletes directly can go through NIL collectives, which are school-specific, independent organizations that act as marketplaces for athletes to connect with interested companies and vice versa. Collectives function similarly to marketing or talent agencies and are intended to protect athletes and businesses by facilitating NIL transactions and handling the financials of the deals.
Currently, there are over 250 collectives in existence or on the way, and the majority of schools in the Power 5 conferences — The Atlantic Coast Conference (ACC), Big Ten Conference, Big 12 Conference, Pacific-12 Conference (Pac-12) and the Southeastern Conference (SEC) — have at least one collective.
NIL activity isn’t uniformly regulated
The NCAA’s policy doesn’t allow an athlete to be compensated for athletic performance and strictly prohibits deals that are contingent on enrollment at a particular university. For now, such deals are regulated at the state and university level, which means that schools and students bear the responsibility of monitoring and reporting activity and potential violations.
This has led to concerns that NIL deals lend themselves too closely to a “pay-for-play” model and encourage illegal recruiting activities. Currently, several pieces of bipartisan legislation have been introduced in Congress that could make regulations universal nationwide.
This means that the model for NIL sponsorships is still very “dynamic,” cautions Steven Baker, a mentor at the Coachella Valley, California, chapter of SCORE, a nonprofit that offers free resources for small-business owners. Small-business owners need to be intentional about each aspect of their approach, including their marketing strategy and plans for return on investment, according to Baker. Above all, avoid investing just because you’re a fan.
Small-business owners will need to do their research on whom they’re working with. Quigley’s recommendation is to prioritize authenticity. “Choose athletes who resonate with your brand values,” he said in an email. “It’s not just a transaction but a partnership.”
A few days before you’re scheduled to close on a mortgage, the lender will provide a Closing Disclosure. Review this document carefully and ask questions if there’s anything that you don’t understand.
What is a Closing Disclosure?
The Closing Disclosure is a five-page form that spells out the final terms and closing costs of a home loan.
Your lender must provide the Closing Disclosure at least three business days before the scheduled loan closing. This gives you time to review everything and ask questions before signing forms at the closing table.
Reviewing the Closing Disclosure
Go through the Closing Disclosure line by line. Compare the information on the Closing Disclosure with that on the Loan Estimate — the document the lender provided shortly after you applied for the mortgage.
Did you know…
The Loan Estimate is a document that gives estimated costs of a home loan. You should receive a Loan Estimate from the lender within three business days of applying for a mortgage.
If any information looks different from what you expected, contact the lender or settlement agent right away.
The first page of the Closing Disclosure gives the loan amount, interest rate, closing costs and the amount of cash needed at closing. The second page spells out the closing cost details.
Pay special attention to the third page, which features a comparison table showing the costs as reported by the Loan Estimate and the actual charges to be applied at closing. This section clearly shows whether the costs have changed since receiving your Loan Estimate.
At the bottom is the literal bottom line — the total amount you, as the borrower, will owe at closing. The image below is from a sample Closing Disclosure on the Consumer Financial Protection Bureau’s website, where you can click through each page of the form for more detail.
The fourth page shows how the cash-to-close is calculated and the summary of the transaction, and the fifth page provides additional information about the loan, such as escrow account details.
What can cause a 3-day closing delay?
Any substantial revision to the loan’s terms triggers a new three-day review. Minor changes such as modifications to the escrow or adjustments to prorated payments for taxes, utilities and the like don’t qualify.
These three things can reset the 72-hour clock:
The APR increases by more than one-eighth of a percentage point for fixed-rate loans or more than one-quarter of a percentage point for adjustable-rate mortgages.
A prepayment penalty is added to the loan terms.
The loan product changes, such as moving from a fixed-rate to an adjustable-rate loan or to an interest-only mortgage.
Report errors or ask questions ASAP
The Closing Disclosure may look official — and maybe a little intimidating at first. But don’t assume the document is correct, advises the Consumer Financial Protection Bureau. Mistakes can happen, which is why it’s critical that you review closing documents carefully and contact your lender or settlement agent if anything seems awry.
The South by Southwest (SXSW) festival in Austin, Texas, starts this weekend. The annual festival of panels, film screenings, parties and exhibitions across technology, film, media, education, comedy and music runs March 8-16.
According to organizers, over 340,000 people visited the festival in 2023. If you’re planning to attend SXSW in Austin this year, here’s what you need to know to get around efficiently and affordably.
What to expect at SXSW
SXSW has some events reserved for attendees and others are free for anyone to attend. The festival doesn’t have a single venue; all sessions and events (official and unofficial) are located in or around downtown Austin, with most of the larger tech-focused sessions at the Convention Center.
Due to its central location, walking is one of the easiest ways to get between sessions, shows, restaurants, coffee shops and Lady Bird Lake trails.
Heavy traffic and road closures can make navigating SXSW by car — and finding parking — challenging. Austin’s public transportation or the free SXSW shuttle route can help visitors avoid the hassle of driving.
Getting from the airport to downtown Austin
Austin-Bergstrom International Airport (AUS) is 7 miles from downtown Austin, offering SXSW attendees numerous options to get to downtown Austin and most hotels.
Rental car
For longer stays before or after SXSW, a rental car is a good option for exploring more of central Texas. The Austin airport hosts most major rental car companies on site, but Enterprise is an official partner of SXSW, so it offers deals for festival registrants.
Rideshare and taxis
If you’re not renting a car, you can use rideshare services or traditional cab companies to get to the airport. The Austin airport has a designated rideshare and taxi pickup zone across from the terminal, behind the Red Garage.
SXSW attendees can also use a special link to get a discounted shared ride from Carter Transportation Austin, which is part of the SuperShuttle network.
Bus
The MetroAirport Flyer is a convenient public transportation option to get to and from the Austin airport. Austin’s CapMetro Route 20 can get you from AUS to downtown in about 35 minutes. Buses run every 15 minutes from the neon guitar-shaped bus stopand cost $1.25 per ride or $2.50 for a day pass.
SXSW Austin transportation options
From downtown Austin, SXSW attendees without a rental car have plenty of alternate transportation options to venues.
SXSW shuttle
Attendees have access to a free SXSW shuttle service to get from the Convention Center to most venues. The shuttle departs from Trinity Street and runs from 9 a.m. to 2 or 2:30 a.m. most nights.
CapMetro bus and rail
Public transportation is another convenient and affordable option for Austin visitors.
As far as bus routes, CapMetro Rapid routes 801 and 803 will operate with high frequency for the duration of SXSW. Night Owl Routes will run regular service from midnight to 3 a.m. as well to help shuttle people from late-night events. A CapMetro Bus fare is $1.25 for a single ride, $2.50 for a day pass or $11.25 for a seven-day pass.
The CapMetro rail runs to and from downtown Austin, with a stop near the Austin Convention Center on East 4th Street. Rail service during SXSW will run extended hours daily until midnight. On Fridays and Saturdays, rail service will be extended to 2:30 a.m. The cost is $3.50 for a single ride, $7 for a day pass or $27.50 for a seven-day pass.
Rideshare and taxis
Uber, Lyft and taxis offer door-to-door convenience during SXSW. However, anticipate longer wait times and surge pricing throughout the week. If you want to book a taxi, zTrip Austin or ATX Co-op Taxi operate in the city.
🤓Nerdy Tip
Certain American Express cardholders and Chase Sapphire Reserve® cardholders get rideshare benefits that help cut Uber and Lyft costs.
Pedicabs
Licensed pedicabs operate in downtown Austin around 38th Street, Oltorf Street, MoPac and Pleasant Valley Road. They’re easy to hail down during SXSW and offer an eco-friendly way to get around the festival. Pedicab drivers charge a per-block fare or accept tips.
Bikes and electric scooters
Austin’s MetroBike bike-share program is a popular way to get around as well. According to the City of Austin Transportation and Public Works Department, there are currently more than 80 stations and 800 bicycles. About 43% of the bikes are electric, which makes pedaling even easier. There’s a pay-as-you-ride option, as well as a $13 Explorer day pass and a $20 three-day Weekender pass.
Electric scooter use also spikes during SXSW. Ride Report, a company that tracks mobility, reported 14,000 scooter rides in a single day during SXSW last year. The average number of rides per day in the first quarter of 2023 was 6,800.
Austin visitors can use Bird, Lime or Link to rent electric scooters on a pay-as-you-ride basis.
Saving on SXSW transportation
Traveling by car might be the slower and least cost-effective way to get around Austin during SXSW. To save time and money, festival attendees will want to consider taking free shuttles, public transportation or walking.
How to maximize your rewards
You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2024, including those best for:
Many or all of the products and brands we promote and feature including our ‘Partner Spotlights’ are from our partners who compensate us. However, this does not influence our editorial opinion found in articles, reviews and our ‘Best’ tables. Our opinion is our own. Read more on our methodology here.
Comparing mortgage rates is key to keeping your mortgage costs lower. It’s also why you should shop around if you’re looking for a new mortgage deal. Whether you’re ready to compare mortgages right now or want to keep tabs on the latest mortgage rates in the UK, everything you need is here.
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How to get the best mortgage rates and deals
Mortgage rates vary depending on the type of mortgage you’re looking for, your financial situation and your credit score. But when we talk about getting the best mortgage rate, it’s important to find the best rate among the mortgage deals that suit you and your circumstances.
Mortgage fees and the features you want in a mortgage should always be considered alongside the mortgage rate when making mortgage comparisons and shopping around for any mortgage deal.
If you’re in any way unsure or want help finding the best mortgage deal for you we recommend you seek mortgage advice.
Are mortgage rates going down?
Mortgage rates have mainly been rising in the past week, continuing the upward trend seen during much of February. The average rate on two-year fixed-rate mortgages increased to 5.15% in the week to 28 February, rising from 5.08% a week earlier, according to Rightmove. At the same time, the average rate on five-year fixed-rate mortgages increased to 4.80%, up from 4.72%.
Many of the big UK lenders have increased the cost of their fixed-rate mortgages in recent weeks. However, average rates remain lower than at the beginning of the year, due to the significant rate cuts seen during the mortgage rate price war in January.
Some experts are predicting that more mortgage rate rises may be on the way. This is mainly because of expectations that the Bank of England base rate may need to stay higher for longer, to get inflation down.
What are current UK mortgage rates?
The average two-year fixed-rate mortgage rate, if you have a 25% deposit or equity, increased to 4.99% over the past week, up from 4.90%, while the average rate on a similar five-year fixed-rate mortgage rose to 4.70%, from 4.61%. If you have a smaller deposit or equity of 5%, the average two-year fixed rate remained unchanged at 5.79%, while the average five-year rate increased to 5.38%, from 5.35%. All rates are according to Rightmove as at 28 February 2024.
Latest average two-year fixed-rate mortgage rates
Loan to value (LTV)
21 February 2024
28 February 2024
Week-on-week change
⇩ ⇧
60% LTV
4.50%
4.62%
+0.12%
⇧
75% LTV
4.90%
4.99%
+0.09%
⇧
85% LTV
5.08%
5.14%
+0.06%
⇧
90% LTV
5.31%
5.38%
+0.07%
⇧
95% LTV
5.79%
5.79%
No change
⇔
Latest average five-year fixed-rate mortgage rates
Loan to value (LTV)
21 February 2024
28 February 2024
Week-on-week change
⇩ ⇧
60% LTV
4.19%
4.30%
+0.11%
⇧
75% LTV
4.61%
4.70%
+0.09%
⇧
85% LTV
4.67%
4.73%
+0.06%
⇧
90% LTV
4.86%
4.93%
+0.07%
⇧
95% LTV
5.35%
5.38%
+0.03%
⇧
Data sourced from Rightmove/Podium. Correct as at 28 February 2024.
Average rates are based on 95% of the mortgage market and products with a fee of around £999.
What mortgage do I need?
If you’re looking for a mortgage, you’ll usually fall into one of the following categories of mortgage borrower.
If you’ve never owned a home before, you’ll usually need a first-time buyer mortgage. Knowing that you’re just starting out, the deposit requirements on most first-time buyer mortgages are generally small. You should also be able to find mortgage deals where upfront fees are kept to a minimum. However, mortgage rates for first-time buyers tend to be higher than if you’re already on the property ladder. This is because you’re likely to require a larger loan relative to the value of your property – so borrow at a higher loan-to-value (LTV) – making you a riskier proposition in the eyes of lenders. As it’s your first mortgage, lenders also have less to go on when trying to assess your reliability as a mortgage borrower.
If you already have a mortgage but want to switch to a new one, you are looking to remortgage. You may want to remortgage because your current fixed-rate or discounted term is at an end and you don’t want to move on to your lender’s standard variable rate (SVR), which may be higher. Other reasons you may remortgage include to raise funds to pay for home improvements, or because falling interest rates or a rise in the value of your home means remortgaging could save you money. If you’ve built equity in your property since taking out your current mortgage, it may be possible to borrow at a lower LTV for your new mortgage – and the lower your LTV, the lower mortgage rates tend to be.
If you already have a mortgage but are moving home, you may be able to take your current mortgage with you – this is called porting. Alternatively, you may want to arrange a new mortgage altogether, either with your current lender or a different one. Whichever option you’re considering, it’s important to weigh up the costs of either porting or exiting your existing deal, along with any potential fees you may need to pay on a new mortgage deal.
If you’re buying a property to rent out to tenants, you’ll be looking for a buy-to-let mortgage. You’ll normally need a larger deposit for a buy-to-let mortgage than you would for a residential mortgage, and buy-to-let mortgage rates tend to be higher too. Lenders will also want to see that the rental income you expect to receive will more than cover your monthly repayments.
How mortgage rates work
Mortgage rates are the interest rate you pay to a lender on the mortgage balance you have outstanding. The lower your mortgage rate, the lower your monthly mortgage repayments tend to be, and vice versa.
Different types of mortgage
The type of mortgage you take out can affect the mortgage rate you pay, and whether it may change going forward.
Fixed-rate mortgage
A fixed-rate mortgage guarantees that your mortgage rate, and therefore your monthly repayments, won’t change during the set fixed-rate period that you choose.
This can help with budgeting and means you are protected against a rise in mortgage costs if interest rates begin to increase. However, you’ll miss out if interest rates start to fall while you are locked into a fixed-rate mortgage.
Variable rate mortgages
With a variable rate mortgage, your mortgage rate has the potential to rise and fall and take your monthly repayments with it. This may work to your advantage if interest rates decrease, but means you’ll pay more if rates increase. Variable rate mortgages can take the form of:
a tracker mortgage, where the mortgage rate you pay is typically set at a specific margin above the Bank of England base rate, and will automatically change in line with movements in the base rate.
a standard variable rate, or SVR, which is a rate set by your lender that you’ll automatically move on to once an initial rate period, such as that on a fixed-rate mortgage, comes to an end. SVRs tend to be higher than the mortgage rates on other mortgages, which is why many people look to remortgage to a new deal when a fixed-rate mortgage ends.
a discount mortgage, where the rate you pay tracks a lender’s SVR at a discounted rate for a fixed period.
Offset mortgages
With an offset mortgage, your savings are ‘offset’ against your mortgage amount to reduce the interest you pay. You can still access your savings, but won’t receive interest on them. Offset mortgages are available on either a fixed or variable rate basis.
Interest-only mortgages
An interest-only mortgage allows you to make repayments that cover the interest you’re charged each month but won’t pay off any of your original mortgage loan amount. This helps to keep monthly repayments low but also requires that you have a repayment strategy in place to pay off the full loan amount when your mortgage term ends. Interest-only mortgages can be arranged on either a fixed or variable rate.
» MORE: Should I get an interest-only or repayment mortgage?
How rate changes could affect your mortgage payments
Depending on the type of mortgage you have, changes in mortgage rates have the potential to affect monthly mortgage repayments in different ways.
Fixed-rate mortgage
If you’re within your fixed-rate period, your monthly repayments will remain the same until that ends, regardless of what is happening to interest rates generally. It is only once the fixed term expires that your repayments could change, either because you’ve moved on to your lender’s SVR, which is usually higher, or because you’ve remortgaged to a new deal, potentially at a different rate.
Tracker mortgage
With a tracker mortgage, your monthly repayments usually fall if the base rate falls, but get more expensive if it rises. The change will usually reflect the full change in the base rate and happen automatically, but may not if you have a collar or a cap on your rate. A collar rate is one below which the rate you pay cannot fall, while a capped rate is one that your mortgage rate cannot go above.
Standard variable rate mortgage
With a standard variable rate mortgage, your mortgage payments could change each month, rising or falling depending on the rate. SVRs aren’t tied to the base rate in the same way as a tracker mortgage, as lenders decide whether to change their SVR and by how much. However, it is usually a strong influence that SVRs tend to follow, either partially or in full.
» MORE: How are fixed and variable rate mortgages different?
Mortgage Calculators
Playing around with mortgage calculators is always time well-spent. Get an estimate of how much your monthly mortgage repayments may be at different loan amounts, mortgage rates and terms using our mortgage repayment calculator. Or use our mortgage interest calculator to get an idea of how your monthly repayments might change if mortgage rates rise or fall.
Can I get a mortgage?
Mortgage lenders have rules about who they’ll lend to and must be certain you can afford the mortgage you want. Your finances and circumstances are taken into account when working this out.
The minimum age to apply for a mortgage is usually 18 years old (or 21 for a buy-to-let mortgage), while there may also be a maximum age you can be when your mortgage term is due to end – this varies from lender to lender. You’ll usually need to have been a UK resident for at least three years and have the right to live and work in the UK to get a mortgage.
Checks will be made on your finances to give lenders reassurance you can afford the mortgage repayments. You’ll need to provide proof of your earnings and bank statements so lenders can see how much you spend. Any debts you have will be considered too. If your outgoings each month are considered too high relative to your monthly pay, you may find it more difficult to get approved for a mortgage.
Lenders will also run a credit check to try and work out if you’re someone they can trust to repay what you owe. If you have a good track record when it comes to managing your finances, and a good credit score as a result, it may improve your chances of being offered a mortgage.
If you work for yourself, it’s possible to get a mortgage if you are self-employed. If you receive benefits, it can be possible to get a mortgage on benefits.
Mortgages for bad credit
It may be possible to get a mortgage if you have bad credit, but you’ll likely need to pay a higher mortgage interest rate to do so. Having a bad credit score suggests to lenders that you’ve experienced problems meeting your debt obligations in the past. To counter the risk of problems occurring again, lenders will charge you higher interest rates accordingly. You’re likely to need to source a specialist lender if you have a poor credit score or a broker that can source you an appropriate lender.
What mortgage can I afford?
Getting an agreement or decision in principle from a mortgage lender will give you an idea of how much you may be allowed to borrow before you properly apply. This can usually be done without affecting your credit score, although it’s not a definite promise from the lender that you will be offered a mortgage.
You’ll also get a good idea of how much mortgage you can afford to pay each month, and how much you would be comfortable spending on the property, by looking at your bank statements. What is your income – and your partner’s if it’s a joint mortgage – and what are your regular outgoings? What can you cut back on and what are non-negotiable expenses? And consider how much you would be able to put down as a house deposit. It may be possible to get a mortgage on a low income but much will depend on your wider circumstances.
» MORE: How much can I borrow for a mortgage?
Joint mortgages
Joint mortgages come with the same rates as those you’ll find on a single person mortgage. However, if you get a mortgage jointly with someone else, you may be able to access lower mortgage rates than if you applied on your own. This is because a combined deposit may mean you can borrow at a lower LTV where rates tend to be lower. Some lenders may also consider having two borrowers liable for repaying a mortgage as less risky than only one.
The importance of loan to value
Your loan-to-value (LTV) ratio is how much you want to borrow through a mortgage shown as a percentage of the value of your property. So if you’re buying a home worth £100,000 and have a £10,000 deposit, the mortgage amount you need is £90,000. This means you need a 90% LTV mortgage.
The LTV you’re borrowing at can affect the interest rate you’re charged. Mortgage rates are usually lower at the lowest LTVs when you have a larger deposit.
What other mortgage costs, fees and charges should you be aware of?
It’s important to take into account the other costs you’re likely to face when buying a home, and not just focus on the mortgage rate alone. These may include:
Stamp duty
Stamp duty is a tax you may have to pay to the government when buying property or land. At the time of publication, if you’re buying a residential home in England or Northern Ireland, stamp duty only becomes payable on properties worth over £250,000. Different thresholds and rates apply in Scotland and Wales, and if you’re buying a second home. You may qualify for first-time buyer stamp duty relief if you’re buying your first home.
» MORE: Stamp duty calculator
Mortgage deposit
Your mortgage deposit is the amount of money you have available to put down upfront when buying a property – the rest of the purchase price is then covered using a mortgage. Even a small deposit may need to be several thousands of pounds, though if you have a larger deposit this can potentially help you to access lower mortgage rate deals.
Mortgage fees
Among the charges and fees which are directly related to mortgages, and the process of taking one out, you may need to pay:
Sometimes also referred to as the completion or product fee, this is a charge paid to the lender for setting up the mortgage. It may be possible to add this on to your mortgage loan although increasing your debt will mean you will be charged interest on this extra amount, which will increase your mortgage costs overall.
This is essentially a charge made to reserve a mortgage while your application is being considered, though it may also be included in the arrangement fee. It’s usually non-refundable, meaning you won’t get it back if your application is turned down.
This pays for the checks that lenders need to make on the property you want to buy so that they can assess whether its value is in line with the mortgage amount you want to borrow. Some lenders offer free house valuations as part of their mortgage deals.
You may want to arrange a house survey so that you can check on the condition of the property and the extent of any repairs that may be needed. A survey should be conducted for your own reassurance, whereas a valuation is for the benefit of the lender and may not go into much detail, depending on the type requested by the lender.
Conveyancing fees cover the legal fees that are incurred when buying or selling a home, including the cost of search fees for your solicitor to check whether there are any potential problems you should be aware of, and land registry fees to register the property in your name.
Some lenders apply this charge if you have a small deposit and are borrowing at a higher LTV. Lenders use the funds to buy insurance that protects them against the risk your property is worth less than your mortgage balance should you fail to meet your repayments and they need to take possession of your home.
If you get advice or go through a broker when arranging your mortgage, you may need to pay a fee for their help and time. If there isn’t a fee, it’s likely they’ll receive commission from the lender you take the mortgage out with instead, which is not added to your costs.
These are fees you may have to pay if you want to pay some or all of your mortgage off within a deal period. Early repayment charges are usually a percentage of the amount you’re paying off early and tend to be higher the earlier you are into a mortgage deal.
Government schemes to help you buy a home
There are several government initiatives and schemes designed to help you buy a home or get a mortgage.
95% Mortgage Guarantee Scheme
The mortgage guarantee scheme aims to persuade mortgage lenders to make 95% LTV mortgages available to first-time buyers with a 5% deposit. It is currently due to finish at the end of June 2025.
Shared Ownership
The Shared Ownership scheme in England allows you to buy a share in a property rather than all of it and pay rent on the rest. Similar schemes are available in Scotland, Wales and Northern Ireland.
Help to Buy
The Help to Buy equity loan scheme, designed to help buyers with a smaller deposit, is still available in Wales, but not in England, Scotland and Northern Ireland.
Forces Help to Buy
The Forces Help to Buy Scheme offers eligible members of the Armed Forces an interest-free loan to help buy a home. The loan is repayable over 10 years.
First Homes Scheme
Eligible first-time buyers in England may be able to get a 30% to 50% discount on the market value of certain properties through the First Homes scheme.
Right to Buy
Under this scheme, eligible council tenants in England have the right to buy the property they live in at a discount of up to 70% of its market value. The exact discount depends on the length of time you’ve been a tenant and is subject to certain limits. Similar schemes are available in Wales, Scotland and Northern Ireland, while there is also a Right to Acquire scheme for housing association tenants.
Lifetime ISAs
To help you save for a deposit, a Lifetime ISA will see the government add a 25% bonus of up to £1,000 per year to the amount you put aside in the ISA.
How to apply for a mortgage
You may be able to apply for a mortgage directly with a bank, building society or lender, or you may need or prefer to apply through a mortgage broker. You’ll need to provide identification documents and proof of address, such as your passport, driving license or utility bills.
Lenders will also want to see proof of income and evidence of where your deposit is coming from, including recent bank statements and payslips. It will save time if you have these documents ready before you apply.
» MORE: Best mortgage lenders
Would you like mortgage advice?
Taking out a mortgage is one of the biggest financial decisions you’ll ever make so it’s important to get it right. Getting mortgage advice can help you find a mortgage that is suitable to you and your circumstances. It also has the potential to save you money.
If you think you need mortgage advice, we’ve partnered with online mortgage broker London & Country Mortgages Ltd (L&C) who can offer you fee-free advice.
Key mortgage terms explained
Loan to value (LTV)
Your loan-to-value ratio is the amount you wish to borrow through a mortgage expressed as a percentage of the value of the property you’re buying.
Initial interest rate
This is the interest rate you’ll pay when you’re still within the initial fixed-rate period of a mortgage deal.
Initial interest rate period
This is the period of time your initial interest rate will last, before your lender switches you over to its SVR.
Annual Percentage Rate of Charge (APRC)
The APRC is a single percentage figure designed to help you compare the annual cost of different mortgage deals.
Annual overpayment allowance (AOA)
This is the amount a lender will let you overpay on your mortgage each year without being charged a fee.
Early Repayment Charge (ERC)
This is a charge you may need to pay if you want to pay off some or all of your mortgage earlier than you agreed with your lender.
Mortgage term
A mortgage term is the full period of time over which the mortgage contract is taken out for – it should not be confused with the deal term. At the end of the term you will have paid off the full debt or all of the interest depending on what type of mortgage you took.
The current average rate on a five-year fixed-rate mortgage for a 10% deposit or equity is 4.93%, up from 4.86% a week earlier. For an equivalent two-year fixed-rate mortgage, the average rate of 5.38% has increased from 5.31%. If you have a 40% deposit/equity, the average five-year fixed rate is 4.30%, up from 4.19% a week earlier, while the average two-year fixed rate is 4.62%, rising from 4.50%. All rates are according to Rightmove as at 28 February 2024.
A mortgage rate is the interest rate a lender charges on the mortgage amount that you borrow. Mortgage interest rates may be fixed, guaranteeing that they will remain the same for a certain length of time, or variable, meaning it may fluctuate.
Mortgage providers regularly review the mortgage rates that they offer to take into account the costs involved with funding its lending activities, their latest priorities in terms of target borrowers, and wider conditions in the market. As a result, when searching for a new mortgage, it’s always a good idea to consider various lenders and take the time to compare different mortgages. Crucially, you need to bear in mind that a deal offering the best mortgage rate may not necessarily be the one that is most suitable for you. The mortgage rate is important, but at the same time, you need to consider other factors, such as the charges and fees attached to a mortgage, the type of mortgage that you need, and the mortgage term that you want.
While mortgage rates have been rising in recent weeks, many commentators still expect to see mortgage rates fall across 2024 as a whole.
The next move in the Bank of England base rate, which currently sits at 5.25%, is widely forecast to be down. But with inflation remaining unchanged in January, and wage growth easing by less than expected, some experts predict the first rate cut may not be made until September. Towards the end of 2023, some believed the rate could begin falling in March.
The uncertainty makes it even more difficult than usual to predict what may happen to mortgage rates next.
The interest rate is the percentage of a loan amount that a lender charges for borrowing money, whereas the APRC, or annual percentage rate of charge, is a calculation expressed as a percentage that takes into account both the interest rate and associated costs of a mortgage across its lifetime. The aim of the APRC is to help borrowers make meaningful comparisons between mortgage deals.
Taking the time to compare mortgage rates and deals, making sure your credit score is in good shape, saving for a larger deposit and paying off existing debts can all help improve your chances of getting a good mortgage deal.
When looking for a mortgage it is vital that you compare mortgage lenders and the rates and deals on offer. Taking the time to carry out a mortgage comparison can improve your chances of finding the best mortgage for your circumstances.
A mortgage is a loan you take out to help you buy a property you don’t have the money to pay for up front. You may be a first-time buyer, remortgaging, securing a buy to let, or moving to your next home. The amount you need to borrow will depend on the purchase price of the property, and how much you can put down as a deposit or already hold in equity in your current property. The mortgage is secured against the property, which means your home is at risk if you don’t meet the repayments.
With a capital repayment mortgage, your monthly repayments pay off your interest and some of your original loan amount each month, so that everything should be paid off by the time you reach the end of your mortgage term. The alternative to a repayment mortgage is an interest-only mortgage, where you will repay only the interest each month before needing to pay off your original loan amount in its entirety at the end of the mortgage term.
A mortgage term is the period of time you agree with a lender over which you intend to entirely pay off your mortgage and interest. A typical mortgage term in the UK is usually considered to be 25 years, but you may opt for a shorter period or a longer one, if allowed. Some lenders offer mortgage terms of up to 40 years. If you have a longer term, your monthly repayments will be lower, but you’ll pay more interest overall.
The cost of your mortgage will depend on many factors, including how much you borrow, the size of your deposit, the length of your mortgage term, the mortgage rate you’re paying, and whether you can afford to make overpayments. Your mortgage lender must provide you with the full cost of the mortgage before you apply.
» MORE: How much could your mortgage cost you?
Besides making sure your monthly repayments are affordable, there are many other costs associated with arranging a mortgage. These may include arrangement, survey, valuation and mortgage broker fees.
If you’ve previously owned a home and the property you’re buying is worth more than £250,000, stamp duty will be payable as well; if you’re a first-time buyer, stamp duty only becomes payable on properties worth over £425,000.
To get a mortgage as a first-time buyer you’ll usually need at least a 5% deposit and a regular income. Most lenders offer first-time buyer mortgages aimed primarily at those with smaller deposits. First-time buyers may also be able to secure a mortgage with the help of close relatives through a guarantor mortgage.
Some lenders offer buy-to-let mortgages that can be arranged on a property you want to rent out to a tenant, rather than live in yourself. You’ll usually need a larger deposit for a buy-to-let mortgage than for a residential mortgage, and interest rates are often higher. You may also need to already own your own home or have a residential mortgage on another property.
It may be possible to get a mortgage with bad credit but you’ll probably have fewer mortgage deals to choose from and need to pay higher mortgage rates.
You may want to consider remortgaging if your initial fixed-rate period is close to ending and you want to avoid moving on to your lender’s SVR. Choosing to remortgage has the potential to save you money if you find the right mortgage deal.
» MORE: How remortgaging works
It’s always important to think about your plans, particularly when it comes to choosing the type of mortgage that will suit you best. For instance, if you plan to move in perhaps two years, choosing a five-year fixed-rate mortgage may mean you have to pay early repayment charges if you need to get a new mortgage.
Getting an agreement in principle, or AIP, from a lender will give you an idea of how much you may be able to borrow for your mortgage without needing to formally apply. Getting an AIP usually involves a soft credit check, which shouldn’t affect your credit score. However, having an AIP does not guarantee that a lender will offer you a mortgage. An agreement in principle is also sometimes referred to as a decision in principle or a mortgage promise.
Yes, some providers offer halal or Islamic mortgages in the UK. These are compliant with Sharia law and allow people to borrow but not pay interest.
Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on a loan or any other debt secured on it.
Information on this page is a guide. It does not constitute advice, recommendation or suitability to your needs or financial circumstances. Seek qualified mortgage advice before proceeding with a mortgage product.
NerdWallet strives to keep its information accurate and up to date. This information may be different than what you see when you visit a financial institution, service provider or specific product’s site. All financial products and services are presented without warranty. When evaluating products, please review the financial institution’s Terms and Conditions.
La información de inversión proporcionada en esta página es con fines educativos únicamente. NerdWallet, Inc. no ofrece servicios de asesoría o corretaje, tampoco recomienda ni aconseja a los inversionistas comprar o vender acciones, valores u otras inversiones en particular.
Un reembolso de impuestos puede ser una oportunidad para avanzar en sus objetivos financieros, ya sea que necesite una pala para cavar su salida de la deuda como una plataforma de lanzamiento para generar más ingresos.
El Servicio de Impuestos Internos (IRS, por sus siglas en inglés) reportó que el reembolso de impuestos promedio en la temporada de impuestos de 2023 fue de $2,753, de acuerdo con las estadísticas de la temporada de presentación. Es una cantidad potencialmente sólida que puede marcar la diferencia si se le da prioridad de forma que tenga sentido para su situación. Y puede apartar una parte para divertirse o cuidarse, como sugieren algunos expertos.
Jessica Allen, asesora financiera acreditada con sede en Tennessee, dice: “Tome un poco, no más del 10%, y haga algo para usted, como disfrutar de una buena cena, quizá un traje nuevo o algo así”.
Tomar una parte pequeña para gastarla como quiera puede fomentar la disciplina y el enfoque durante décadas para mantener el rumbo de su plan financiero, según Yusuf Abugideiri, Director de Inversiones de Yeske Buie, una firma de planificación financiera con sede en Virginia. En cuanto a ese 90% o más, deje que sus objetivos sean los que dicten hacia dónde se dirige.
A continuación se muestran algunas formas de utilizar su reembolso de impuestos para salir adelante financieramente.
1. Construir el crédito
Si necesita construir el crédito o tener una segunda oportunidad para conseguirlo, considere la posibilidad de utilizar el reembolso de impuestos para hacer un depósito en una tarjeta de crédito asegurada (en inglés). No es raro que algunas de estas tarjetas soliciten un depósito inicial de varios cientos de dólares.
Cuando esté investigando tarjetas de crédito aseguradas, busque las que no tengan cuota anual; que ofrezca una posible ruta de mejora (en inglés) a una tarjeta de crédito tradicional no asegurada; y que informen de sus pagos a las tres principales agencias de crédito (Equifax, Experian y TransUnion). Con un buen historial de pagos, puede recuperar el depósito después de cerrar la tarjeta o cambiarse a una tarjeta mejor con el mismo emisor.
2. Pagar la deuda
Si tiene un saldo con intereses altos en una tarjeta de crédito, un reembolso de impuestos puede ayudarlo a deshacerse de esa deuda más rápido. Además, si puede reducir la tasa de interés de su tarjeta de crédito (en inglés), puede tener un impacto aún mayor.
Si tiene varias deudas, considere uno de estos dos enfoques: Aborde el que tenga el tipo de interés más alto, mediante el método de la avalancha de deudas (en inglés), o ataque primero el saldo más pequeño, con el método de la bola de nieve (en inglés). Cualquiera que sea la deuda a la que dé prioridad, recuerde que sigue siendo importante mantenerse al día con los pagos de todas las demás deudas.
Allen es un partidario del método bola de nieve porque incentiva a las personas y genera confianza a medida que avanzan hacia su objetivo.
Ella dice: “No sé usted, pero cuando logro muchas metas pequeñas me siento súper bien y eso me ayuda a alcanzar ese objetivo más grande”.
3. Ahorrar para una emergencia
También podría destinar su reembolso de impuestos a un fondo de emergencia, con el objetivo de que ese fondo alcance al menos $1,000, para evitar que acumule deudas cuando suceda lo inesperado. Aproveche al máximo el reembolso de impuestos colocándolo en una cuenta de ahorro de rendimiento alto (en inglés) en un banco en línea, lo ideal es que sea uno que ofrezca una tasa de rendimiento anual del 4% o más.
Si no tiene deudas, haga un esfuerzo para ahorrar los gastos básicos recomendados de tres a seis meses.
4. Invierta en su capacidad para generar más ingresos
Si está buscando avanzar profesionalmente, construir un negocio o generar ingresos adicionales, un reembolso de impuestos puede impulsar esos objetivos. Hágase más comercializable en una profesión obteniendo certificaciones o capacitación que le permitan obtener más oportunidades laborales o un aumento de salario. O utilice un reembolso de impuestos para comprar la capacitación o el equipo necesarios para iniciar un negocio o una actividad secundaria.
5. Invertir para la jubilación
Cuando la deuda no es el centro de atención, puede pensar en poner a trabajar el reembolso de impuestos en cuentas de jubilación. Si su compañía ofrece una, aproveche la contribución equivalente al 401(k) aumentando sus contribuciones o financie una cuenta IRA tradicional o Roth (en inglés). En 2024, puede ahorrar hasta $7,000 en una IRA ($8,000 si tiene 50 años o más) y hasta $23,000 en una 401(k) ($30,500 si tiene 50 años o más). Si ya está encaminado hacia estos objetivos, considere invertir en otra parte.
Abugideiri dice: “Si las cuentas IRA y 401(k) ya están contempladas en un plan de ahorro, puede considerar la posibilidad de ponerlo simplemente en una cuenta de corretaje (en inglés)”.
Una cuenta de corretaje es una cuenta de inversión a través de la cual puede comprar acciones, bonos y fondos de inversión.
6. Ahorrar para la educación de su niño
Con sus problemas financieros organizados, puede analizar si invertir su reembolso en una cuenta con ventajas tributarias como un plan 529 tiene sentido financiero para ahorrar para la educación universitaria de su niño (en inglés). Sin embargo, no dé prioridad a esta opción sobre otros objetivos financieros como la jubilación y piense detenidamente en los posibles inconvenientes.
Por ejemplo, su niño puede decidir no ir a la universidad y por eso se podrían aplicar penalizaciones si se retiran las ganancias para gastos no calificados. Abugideiri dice: “Brindar seguridad financiera a los niños puede ser una prioridad principal, pero una buena manera de hacerlo es cuidándose financieramente, para ayudarlos a evitar que tengan que hacerlo por usted más adelante”.
Él dice: “Puede pedir un préstamo para la universidad, pero no puede pedir un préstamo para cubrir [todos] los gastos de jubilación”.
Este artículo fue publicado originalmente en NerdWallet en inglés.
The Consumer Financial Protection Bureau issued a rule Tuesday to slash credit card late fees in a move the agency says should save millions of credit card users an average of $220 per year. The decision drew immediate objection from banking trade groups.
The government agency reduced the typical credit card late fee from $32 to $8, which should translate to more than $10 billion in annual savings among the roughly 45 million consumers who are charged late fees.
“For over a decade, credit card giants have been exploiting a loophole to harvest billions of dollars in junk fees from American consumers,” said CFPB Director Rohit Chopra in a statement, asserting that the new rule will end these practices.
The lower fees are expected to take effect within three months, which would give card issuers time to update their disclosures and systems. It’s unclear how possible challenges to the rule could affect the timing.
Rule halts late fees’ steady climb since 2010
The rule, which was proposed in 2023, closes a loophole in the Credit Card Accountability Responsibility and Disclosure Act of 2009.
The CARD Act banned credit card companies from charging higher late fees than needed to cover the companies’ costs associated with the late payment. But in 2010, the Federal Reserve Board of Governors voted to include a provision in the CARD Act that allowed banks to charge no more than $25 for the first late payment and $35 for subsequent late payments, with both of those figures being adjusted for inflation each year.
Today, those figures have swelled to $30 and $41, respectively, despite credit card companies having adopted cheaper business practices in recent years, the CFPB said in a statement. The average credit card late fee was $32 in 2022, up from $23 in 2010.
“Almost all of the credit card giants have been hiking these fees every year using automatic inflation adjustments as an excuse,” Chopra said in a call Monday announcing the CFPB’s new rule. “Today, the credit card industry hauls in more than $14 billion in late fee revenue, which our research shows is more than five times the companies’ associated costs.”
The rule applies to large credit card companies with more than 1 million open accounts. These companies hold more than 95% of open credit card balances, the CFPB said in the statement.
Find the right credit card for your wallet
Check out NerdWallet’s picks for the best credit cards across categories such as travel, cash back, and 0 APR.
Industry trade groups speak out against the rule
Banking industry executives slammed the new rule. Rob Nichols, president and CEO of the American Bankers Association (ABA) said in a statement that the new CFPB rule “relied on flawed assumptions and a mischaracterization of the important role late fees play in promoting responsible consumer behavior.”
Adding that the ABA will try to challenge the new policy, Nichols said, “This rule should not be allowed to go into effect.”
Lindsey Johnson, president and CEO of the Consumer Bankers Association, said in a statement that the new rule is “normalizing being late on credit card payments” and ultimately puts consumers’ financial health at risk.
A crackdown on junk fees
The CFPB’s latest announcement follows a similar move earlier in the year on overdraft fees, signaling a concerted crackdown on junk fees from federal officials and regulators.
In January, the agency proposed restrictions that could lower the average overdraft fee from $35 to $3 per transaction. Banking industry advocates spoke out fiercely against this proposal too. The restriction is currently expected to go into effect in October 2025.
The Biden administration will soon announce a “strike force” intended to “hold companies accountable when they engage in unfair and illegal practices that keep prices high,” Lael Brainard, director of the National Economic Council, said on the Monday call with Chopra.
The force is part of the administration’s efforts to lower the cost of groceries, prescription drugs and health care, banking, housing, airfare and basic utilities. It’ll be jointly led by the Federal Trade Commission and the Department of Justice.
In conjunction with those efforts, the Federal Communications Commission will also tackle “bulk billing,” in which people living or working in a building are charged by landlords or building owners for internet, cable or satellite service, whether they want the service or not.
If you’re in the market for at-home workout equipment, you’ve probably thought about Peloton. With its signature Peloton Bike and Bike+, the company promises a full-body cardio workout with motivating classes taught by instructors with big personalities and a sense of community.
But the Peloton experience comes with a steep price tag. If you buy directly from the company, a Peloton costs $1,445 for a new Bike while its upgraded counterpart, the Bike+, is $2,495.
Is Peloton worth it? Here’s what you need to know if you’re considering buying a bike as well as how it might fit in your budget.
What is a Peloton? The Bike vs. Bike+
When they say “Peloton,” most people mean a stationary exercise bike with a touch screen that makes it seem like you’re in the front row of cycling or other exercise classes. Peloton also makes treadmills and a rowing machine, but we’re focusing on the bikes, the company’s primary product.
Peloton bikes come in two models. The Bike is compact and features a large, 21.5-inch HD touch screen. You can pair your Apple Watch or heart rate monitor to get personalized stats.
The Bike+ adds a bigger, 23.8-inch rotating HD screen, which makes strength, yoga and other off-bike workouts convenient. The Bike screen tilts up and down only.
The resistance knob on the Bike+ automatically adjusts along with the instructor, so riders don’t have to take their hands off the handlebars. Riders have to manually adjust the resistance on the Bike.
How much does a Peloton bike cost? Buying vs. renting
Peloton offers the option to buy a new or refurbished bike as well as to rent a bike. Rental bikes are a mix of new and refurbished that have been “thoroughly inspected,” according to Peloton.
Here’s a cost breakdown by model if you buy directly from Peloton (prices may vary elsewhere):
Peloton Bike
Peloton Bike+
Buy new: $1,445.
Buy refurbished: $995.
Rent: $89 a month.
Buy new: $2,495.
Buy refurbished: $1,595.
Rent: $119 a month.
The buy price includes delivery and setup (renters pay a one-time $150 fee) along with a 12-month limited warranty. The rental price includes a Peloton membership ($44 value), a pair of cycling shoes ($125) and the option to cancel or buy out your bike at any time.
How much does a Peloton membership cost and do I need one?
A Peloton membership provides access to a large library of classes, including cycling as well as strength training, yoga and Pilates. The All-Access Membership requires a Peloton bike, while the app memberships can be used with any model of bike or no equipment at all.
All-Access Membership
At $44 a month, this is the top-tier Peloton membership typically purchased when you buy a Bike or Bike+. You can access unlimited content on your bike’s screen and through the Peloton app. It is meant for a household to share with up to 20 user profiles.
Peloton app memberships
For these memberships, designed for a single user, you’ll need to download the Peloton app.
Peloton App Free (no cost)is the most limited app option. Designed for “newbies,” it provides access to roughly 50 classes, including featured classes that rotate over time.
Peloton App One ($12.99 a month or $129 annually) offers a wider selection of classes, including programs, challenges and live classes.
Peloton App+ ($24 a month or $240 annually) takes what the other memberships offer and adds unlimited classes and cadence tracking.
After a free 30-day trial of the App One and App+, you’ll be automatically billed for the membership. You can upgrade (or downgrade) your membership or cancel at any time.
Is Peloton worth it? Pros and cons
Making a list of what’s important to you is a good way to figure out if the cost of a Peloton is worth it.
Pros of a Peloton Bike
Convenience: You don’t have to leave your home to work out, which means you could save time and money on a gym membership.
Space saving: The Peloton is popular for its low profile. The company says the 4×2 foot Bike is “smaller than your average yoga mat.”
Variety: There are many class options at various durations, and the mix of instructors and music genres could keep your workout routine fresh.
Metric tracking: You could get a good feel for how your body performed by connecting your Apple Watch or heart rate monitor.
Community: The live classes could help you feel like you’re working out with a group even though you’re at home.
Cons of a Peloton Bike
Cost: The Bike and Bike+ aren’t cheap, and you’ll likely need accessories such as shoes ($125), free weights ($25), a protective floor mat ($75) and a heart rate monitor ($34).
Customer service complaints and safety issues: The Better Business Bureau website notes a pattern of complaints about Peloton customer service and installation. There was also a voluntary recall issued by the company in May 2023 for a problem with the seat post.
Not built for every body. The weight limit for each Peloton bike is 297 pounds. If you live in a bigger body, there might be other inclusive equipment options for you.
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How Peloton might fit your budget and ways to cut the cost
Before purchasing a Peloton or any item, it’s important to consider your budget. Using the 50/30/20 framework, in which 50% goes to needs and debt minimum payments, 30% to wants, and 20% to savings and debt paydown beyond the minimums, a Peloton would fall into the “wants” category.
Budgets are flexible and represent your priorities. If you’d like to make room for a Peloton, take a look at other expenses in your “wants” to see how you might save money.
How to reduce the cost of a Peloton
There might be ways to offset the cost of the full Peloton experience.
Replace your gym membership with the free Peloton app membership.
See if you can use an employer stipend to offset the cost of the bike or membership fee.
Consider the rental option. Renting gives you the chance to try Peloton without the long-term financial commitment.
Check out Facebook Marketplace or neighborhood group for a secondhand Peloton. You might be able to negotiate for an even better deal.
Cheaper alternatives to Peloton
A Peloton isn’t the only way to get a challenging cycling workout. Here are some ideas to get you in motion:
Piece together a comparable workout experience by using a bike you already have paired with the Peloton app.
Look for cycling classes that you can pay for without a membership fee.
Dig out that old Schwinn from the garage. If the weather allows and you feel safe riding in your neighborhood, you might be able to work up a Peloton-level sweat.
If you’re considering booking a flight with Turkish Airlines or redeeming Miles&Smiles miles for a flight operated by a partner airline, it’s good to be aware of its cancellation and refund policies. If your plans aren’t firm, you can weigh the pros and cons of making the booking in the first place.
But even with the best laid plans, things might need to be changed at the last-minute. Below is what you need to know about Turkish Airlines’ cancellation policy for cash and award tickets.
Turkish Airlines 24-hour cancellation policy
The Turkish Airlines refund policy abides by the U.S. Department of Transportation 24-hour rule.
Free cancellations are available within 24 hours on flights to or from the United States booked at least seven days before departure. You may receive a full refund back to the payment card if you cancel a flight within this risk-free cancellation period.
Turkish Airlines flight cancellation policy
Turkish Airlines’ cancellation policy varies depending on your destination, ticket type and fare class.
The airline sells various tickets across two cabins, economy and business. For example, for domestic travel in economy class, you can book an EcoFly, ExtraFly or PrimeFly ticket.
Let’s break it down.
Turkish Airlines cancellation policy for domestic flights (within Turkey)
Cancellations made within one hour of departure
Not allowed.
Not allowed.
Not allowed.
Not allowed.
Cancellations made between one and 12 hours before departure
Not allowed.
Penalty of 560 Turkish lira ($18.35).
Penalty of 490 Turkish lira ($16.06).
Penalty of 820 Turkish lira ($26.87).
Cancellations made more than 12 hours before departure
Penalty of 525 Turkish lira ($17.20).
Penalty of 375 Turkish lira ($12.29).
No penalty.
No penalty.
Non-refundable fare classes
Q, T, L, V, P, W, U.
V, P, W, U.
The cancellation policy differs for Turkish Airlines flights between Turkey and Cyprus. You can find those fare policiesh here.
Turkish Airlines cancellation policy for international non-branded fares
Semi-flexible
Not allowed.
Permitted, subject to deductions.
Permitted, subject to deductions.
Not allowed.
Permitted, subject to deductions.
Permitted, subject to deductions.
Turkish Airlines cancellation policy for international branded fares
The following rules apply to economy tickets.
Not allowed.
$70 change fee. No refunds.
$0 change fee. $140 refund fee.
And the following rules apply to business class fares.
BusinessFly
BusinessPrime
$70 change fee. No refunds.
$0 change fee. $0 refund fee.
How to cancel a Turkish Airlines flight
You can cancel a Turkish Airlines flight by accessing your booking information from the Manage Booking page. Enter the record locator and the passenger’s last name, and your booking details will populate on the next page. From there, you’ll have the option to change or cancel your flight.
You also can cancel your flight by dialing the Turkish Airlines call center at 800-874-8875. Follow the prompts, and a customer service agent will be available shortly.
How to cancel a Miles&Smiles award flight
If you need to cancel a Turkish Airlines award flight booked with Miles&Smiles miles, you can do so online or by calling the Turkish Airlines U.S. call center at 800-874-8875.
To get your miles redeposited, you must pay a fee of:
150 Turkish lira ($4.91) for domestic flights.
$70 for international flights.
In case of a no-show, you can get your miles back as well for the following fee:
200 Turkish lira ($6.55) for domestic flights.
$150 for international flights.
Depending on how many Turkish Airlines miles you redeemed, the fees to get them back in your Miles&Smiles account aren’t terribly high.
Other ways to get your money back
Even if you’ve purchased a ticket that doesn’t allow refunds, you may still be able to get your money back, depending on how you booked and if you’re covered with travel insurance.
Cards with travel insurance benefits
Chase Sapphire Preferred® Card
on Chase’s website
Chase Sapphire Reserve®
on Chase’s website
The Platinum Card® from American Express
Ink Business Preferred® Credit Card
on Chase’s website
Annual fee
Travel protections (not a comprehensive list)
• Trip delay: Up to $500 per ticket for delays more than 12 hours.
• Trip cancellation: Up to $10,000 per person and $20,000 per trip. Maximum benefit of $40,000 per 12-month period.
• Trip interruption: Up to $10,000 per person and $20,000 per trip. Maximum benefit of $40,000 per 12-month period.
• Baggage delay: Up to $100 per day for five days.
• Lost luggage: Up to $3,000 per passenger.
• Trip delay: Up to $500 per ticket for delays more than 6 hours.
• Trip cancellation: Up to $10,000 per person and $20,000 per trip. Maximum benefit of $40,000 per 12-month period.
• Trip interruption: Up to $10,000 per person and $20,000 per trip. Maximum benefit of $40,000 per 12-month period.
• Baggage delay: Up to $100 per day for five days.
• Lost luggage: Up to $3,000 per passenger.
• Trip delay: Up to $500 per trip for delays more than 6 hours.
• Trip cancellation: Up to $10,000 per trip. Maximum benefit of $20,000 per 12-month period.
• Trip interruption: Up to $10,000 per trip. Maximum benefit of $20,000 per 12-month period.
• Lost luggage: Up to $3,000 per passenger.
Terms apply.
• Trip delay: Up to $500 per ticket for delays more than 12 hours.
• Trip cancellation: Up to $10,000 per trip. Maximum benefit of $20,000 per 12-month period.
• Trip interruption: Up to $10,000 per trip. Maximum benefit of $20,000 per 12-month period.
• Baggage delay: Up to $100 per day for five days.
• Lost luggage: Up to $3,000 per passenger.
Learn more
For The Platinum Card® from American Express, note the following disclaimers:
Trip delay:
Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply.
Underwritten by New Hampshire Insurance Company, an AIG Company.
Trip cancellation:
Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply.
Underwritten by New Hampshire Insurance Company, an AIG Company.
Trip interruption:
Eligibility and Benefit level varies by Card. Terms, Conditions and Limitations Apply.
Underwritten by New Hampshire Insurance Company, an AIG Company.
Loss luggage:
Assuming your reason for cancellation meets certain eligibility requirements, you can get a refund. Examples of covered reasons to cancel a trip include a qualifying illness or injury, severe weather, jury duty, quarantine and more.
It’s also possible to purchase travel insurance from a third party to ensure you’re covered for your trip.
🤓Nerdy Tip
If you’re not certain of your travel plans, purchase an upgrade called Cancel For Any Reason (CFAR) insurance, which allows you to cancel your bookings and receive up to 75% of your money back, regardless of why you cancel.
The bottom line
Depending on where you’re traveling and the fare you booked, Turkish Airlines flights can be eligible for refunds, but the less expensive fares tend to include a penalty clause for you to get your money back.
The Turkish Airlines 24-hour risk-free cancellation policy allows you to cancel a U.S.-bound or U.S.-departing flight for free as long as it departs more than seven days in the future.
As far as canceling award tickets, you’ll be charged up to $70 to get the miles redeposited into your Miles&Smiles account.
To view rates and fees of The Platinum Card® from American Express, see this page.
How to maximize your rewards
You want a travel credit card that prioritizes what’s important to you. Here are our picks for the best travel credit cards of 2024, including those best for:
As you’re growing up, you learn about money from the people who raise you. Their lessons are based on their life experiences, which means there’s likely some bias built in.
That’s not necessarily a bad thing — you may have a savvy aunt who taught herself to manage her own money after a divorce, or a parent who cautioned you about debt because they struggled to pay down theirs. Hearing their stories can spare you from making financial mistakes. Even with all that history, though, you’re likely to make some financial decisions that will cause your relatives to wince.
Credit cards in particular can be a touchy subject in families where older generations avoid them out of the fear of costly debt, while younger generations embrace them for their rewards and convenience. Managing credit cards when it feels like you’re being “bad” can be difficult. Still, it’s totally OK to forge your own financial path based partially on family lore, and partially on your own goals and experiences.
Approach credit cards with care
If you’re a first-generation credit card user, it’s essential to understand how they work — this includes learning about the types of credit cards available, how you’re billed and what happens if you get into debt. Beware of common credit card myths, like the idea that you should carry a small balance from month to month because it’s good for your credit score (there’s no need to pay interest for the sake of your credit score).
Start by using your first credit card for a basic expense or two each month, and be sure to pay the entire balance when it’s due. You can still use cash or a debit card for some expenses, and a credit card for others.
Gloria Garcia Cisneros, a certified financial planner in San Diego, recommends using technology to help you manage your card. Automate payments to avoid missing due dates, and take advantage of apps that track spending so you don’t have to do so manually in a spreadsheet, she says. Also, create the habit of checking your credit card statements each month to review your spending, and avoid saving your credit card information on merchant websites so you’re less tempted to make impulse purchases.
Credit cards are more than a way to spend — they can help you establish your credit history, provide extra protections on purchases and can earn rewards on your everyday spending. Used carefully, credit cards can be a tool that helps you move toward other financial goals.
Lea Landaverde, the founder of the Riqueza Collective, a bilingual financial education and media company, learned this at the age of 18, when she realized she first needed to build her credit history to qualify for a rental home. “I had to learn how a credit card could benefit me.”
Examine the origins of your credit card beliefs
The messages you tell yourself about credit cards were installed in your mind long ago by loved ones who modeled certain behaviors. Credit card-related misconceptions and beliefs get passed down in families, especially when previous generations lived through difficult times. “When parents say debt is bad, they’re coming from a place of fear or trauma,” Landaverde says.
Garcia Cisneros was raised by her grandparents, who had widely different attitudes toward credit. “My grandpa was so against credit cards. He was like, ‘Cash under the mattress, cash is king,’” she says. Meanwhile, her grandmother not only used cards, but also maxed them out. “I didn’t know which one was right or wrong. When I got my first credit card, it was an emotional, impulse decision.”
Even if you’ve been financially independent for years, it’s hard to turn off that voice in your head that repeats relatives’ money beliefs that don’t match your current lifestyle. You can recognize why certain loved ones are credit card-averse, and use that family fear of debt as motivation to manage your credit cards thoughtfully.
Set boundaries with loved ones
Beware of family members who see your credit card as their funding source because they don’t understand how their actions can affect your credit. Garcia Cisneros is willing to help her family financially, but she has learned to set limits after a relative used her card while on vacation. Now, she only provides money for emergencies in the form of a loan with interest.
Celebrate your progress
As you become more confident with your credit card use, keep an eye on your credit score and pat yourself on the back when you see it go up. After all, you’re not just managing your credit card wisely, you’re creating an entirely new money mindset.
If you make a mistake or have to deal with an emergency expense and get into debt, it doesn’t have to derail your money goals forever. “You can start over,” Garcia Cisneros says. “You always have tomorrow.”
This article was written by NerdWallet and was originally published by The Associated Press.