DEAR TRICIA

Need some practical financial advice? YOUR MONEY Editor Tricia Phillips and her team can help

Q My credit card firm contacted me to say it was suspending my card due to a persistent debt issue. It’s the first contact I’ve had from them about this. Can I do anything?

A

Call them to discuss it – they should have been in contact earlier to highlight the issue and encourage you to make higher debt repayments. But the Financial Conduct Authority has recently announced it is postponing the banks’ obligation to suspend credit cards for those in persistent debt – where a user

has paid more in interest and charges than they have paid off the debt over a 36 month period. The postponement is due to coronavirus.

Q I got a text from a firm offering to help me reduce my mortgage repayments during this tough time. They are not my lender but say they are registered. Is this a scam?

A

It sounds like it could be. Be wary of anyone contacting you out of the blue offering financial help. If you’re struggling with your mortgage you need

to contact your lender. Lenders are currently offering options to help borrowers, such as three-month mortgage holidays or extending terms over a longer period.

Q

I was about to start saving for our grandchildren but wonder if I should bother since interest rates are so low?

A It is always worth saving if you can afford to, giving yourself and your family a financial safety net. While it’s not ideal not to be getting decent interest, it’s the act of saving that is important.

Q

I’m working from home now and wondering where I stand with my home insurance as my firm hasn’t mentioned anything about this. Everything was a bit rushed.

A

The Financial Conduct Authority has set out expectations for general insurance firms during the coronavirus outbreak. This includes expecting motor and home insurers not to reject claims because of a consumer’s temporary change in how they use their vehicle and their home address.

Q

I have a stocks and shares ISA that seems to have taken a huge dive. Should I do anything or do I just have to sit tight?

A

According to investment firm Hargreaves Lansdown there are three golden rules to help you stay on track even when the investment world is turbulent. Make sure you have a diverse portfolio. Stick with it for the long term. And use your tax breaks so when there’s an upturn you’re in the best position to take advantage.