Sep

2022

Archive: MoneySavingExpert's Money Tips Email

Mortgage market turmoil help, £280 off Shark vacs, Martin's energy meter reading week actions, 15GB Sim '£4.70/month,' check new take-home pay, 2.5% easy-access savings, £106 beauty for £26, baby freebies, £150 disability payment delays and much more.

This info may be out of date. Read this week's emails

THE TOP TIPS IN THIS EMAIL

Mortgage market in turmoil - what you can and should do, including:
- How the base rate rise affects you
- 8 steps to switch your mortgage
- Should you ditch your fix?

Energy bills go up this week - key actions

Sim price war - 15GB data for '£4.67/mth'

Stamp duty cut, national insurance cut, income tax cut - Martin's video explainer

Updated. Find your NEW take-home pay from Nov AND Apr

Updated. Stamp Duty Calculator - how much you'll pay now

Up to £280 off Shark cordless vacuums

New. 2.5% 'easy access' savings

Martin's warning. Urgently try to cut credit card & loan interest NOW

Shell 38Mb fibre broadband '£13.88/mth'

SOLD OUT ~~£106 of beauty, skin & haircare for £26~~

Cost-of-living disability payment delay

New. Free £23 baby bundle when you spend £20 on baby kit at Amazon

'I got £4,000 council tax rebate after challenging my banding'

Student discounts: £10 off Ikea, 20% off H&M, Office, New Look and more

Real living wage up - due a pay rise?

SOLD OUT ~~24 alcohol-free Brulo beers for £16~~

Earn £30 Amazon voucher doing surveys

This week's best buys, including free £175 bank bribe, 34mths' 0% debt shift, MSE Car Insurance Compare+ tool

Should my friend pay his ex back for the phone she gifted him?

BEST BUYS & TOOLS

MSE Cheap Mobile Finder

Credit Club including free credit report

0% balance transfers

Compare broadband deals

MSE Car Insurance Compare+

Best bank accounts

Top savings accounts

Credit cards for bad credit

Credit Card Eligibility Calculator

Loans Eligibility Calculator

Mortgage comparison

Compare travel money

Cheap Energy Club, with Pick Me A Tariff

Best Sim-only deals

Mortgage holders alert

The mortgage market is in turmoil. Deals are being pulled by the hour, not all are being replaced, most that are, are at far higher rates
What you can and should do, if anything

We first planned to write this mortgage note last Thursday, after the Bank of England lifted the base rate by 0.5 percentage points to 2.25% - the highest rate since 2008. Since then, it's had to be redrafted a good few times.

The interest rate move was long flagged, as was the big increase in government borrowing to lower energy bills. But the money markets were spooked on Friday following the Chancellor's mini-budget, where the biggest tax cuts for half a century were announced (see our mini-budget summary).

The markets generally frown upon borrowing to cut taxes, far more than for emergency one-off spending, such as energy bills (while an analogy with a household has many flaws, it's a bit like the difference between building up an overdraft through constant spending, compared with a one-off, planned loan for a new boiler).

All this pushed Bank of England governor Andrew Bailey to say on Monday that more rate hikes are on the way. The markets are now working on the fact that the base rate could rise to nearly 6% by next spring.

For each 1 percentage point your mortgage rate increases, expect to pay roughly £50 more a month (£600/year) per £100,000 of mortgage debt.
Use our Mortgage Calculator to see your exact numbers.

If those rate predictions ring true (and the markets are not always right), without any further measures, that would likely push millions renewing when their fixes end into 'can't pay my mortgage' territory, with its own knock-on effects for the economy.

So, no surprise the mortgage market is in turmoil. Some big lenders - such as Virgin Money, Skipton, Halifax and Santander - have pulled deals completely from the market, meaning less choice for mortgage switchers. Others are being replaced by ones with more expensive rates (see our mortgage comparison for the latest).

The situation is nearly unprecedented, what's happening is changing very fast, and is extremely uncertain (not the first time we've written similar in recent years). We'll do our best to guide you through some sensible moves, but no one really knows what's coming next.

How last week's base rate rise affects mortgages

The base rate decision is a trigger for lenders to start increasing loan rates, but whether it affects you now - or later - depends on the type of mortgage you have.

Got a tracker rate or variable mortgage? Even before further rises, the latest 0.5 percentage-point increase will see tracker rates go up roughly £25/month per £100,000 of outstanding mortgage - or £300 a year.

It's likely to be similar for those on other variable rates, but see our lender-by-lender rate increases for the announced changes and use our Mortgage Calculator to work out your exact new cost. We'll update this whenever there's a future increase to the base rate.

Got a fixed rate mortgage? There's no change to what you pay until the fix ends. Then you'll be moved on to a standard variable rate - typically 5% to 6% (but if rates rise again that'll go up too).

Or you can fix again - which is still likely to be cheaper - but still far, far more expensive than your current fix - after so many years of low rates. Here are the cheapest rates at the time of writing, though they're moving constantly...

Cheapest fix	Today	One year ago
2 year	3.75%	0.84%
5 year	3.77%	0.97%
10 year	3.65%	1.95%

It's worth noting that 10-year fixed deals look much better value, because the current interest rate crisis is seen more as a short-to-medium term thing. So if you fancy a 10-year fix (in most cases that means you're pretty sure you won't move in that time), it's something to discuss with your broker (more on this later).

Should you act now? It's a tough call. Normally we'd caution against knee-jerk reactions on the back of what's happening in the financial markets. However, with rates being repriced constantly, if you are in the position where you are free to get a new mortgage (such as those coming to the end of a fix, or already on a standard variable rate), it's worth checking, and doing so immediately. Let's take you through what to do...

1. ON A VARIABLE OR TRACKER RATE? See if you can ditch, switch and save

Once you know your new mortgage rate following the base rate rise, check urgently to see if you can ditch, switch and save - and act quickly, as today's rates are currently being rapidly reviewed and increased. This is especially likely for those on standard variable rate (SVR) mortgages. Here's how:

How to check if you should switch mortgage

Full details are in our free 62-page PDF remortgage guide (there's also our free 53-page first-time buyers' guide) but in brief...

1. Benchmark what type of rates are out there. Our mortgage comparison tool will help you see what's available currently and compare it against what you're paying now. Remember, rates are changing quickly, so you may need to check them again if you're ready to switch.

(Our comparison is updated at least once a day but remember, this is a fast moving situation, so we can't promise mortgages listed there will still be available even minutes later.)

2. Dig out the details of your current mortgage. If a saving looks possible, then dig out the details of your current mortgage, as it's time to get serious...

- What's the rate? Plus monthly payments & outstanding debt.
- What type is it? Is it a fix, tracker or SVR? See fixes vs variables.
- When's the intro deal over? For example, when does your fix end?
- When must it all be repaid? In 10, 20 or 25 years?
- Will you be penalised to switch deals? Does your fix or tracker have an early repayment charge? It's highly unlikely you'll find a better rate than you're currently on, but you might consider paying the charge if securing today's rate is important to you.
- What's the loan to value (LTV)? This is the proportion of the home's current value you borrow - for example, £280,000 borrowing on a home currently worth £350,000 is 80% LTV. Rates get cheaper the lower your LTV. See LTV help.

3. Check out your existing lender's cheapest deal. Getting a new deal with your existing lender is known as a 'product transfer'. See what rate it's offering online - or speak to a broker - and use this as a benchmark to beat (so back to the mortgage comparison to note down how it compares). Brokers are telling us that product transfers are becoming much more common, as it can be easier to get accepted, and may have lower fees.

4. If you've savings, use them to bag a cheaper deal. If you still owe more than 60% of your home's value on a mortgage, the more you can do to drop an LTV band, the cheaper your remortgage will be. The main bands where interest rates really drop are at 90%, 80%, 75% and 60%. If you've a lump sum put away, and it's not going to leave you without an emergency fund, putting some of your own money in at the point of remortgaging is well worth doing - especially if you're really close to the next band.

5. Check out the size of any possible savings on our mortgage calculators. Stick your digits in here...

- Basic mortgage calculator - including what it'll cost
- Compare two mortgages
- Compare fixed rate mortgages
- 'How much can I borrow?' guesstimator

6. Consider whether you want a fix or a tracker. The more you value certainty and being able to stick to a budget, the more you should hedge for a fix, and for fixing longer. Yet, trackers are likely to be cheaper right now, but will go up if base rate does - and there's potential for your repayments to change frequently if we continue to get consecutive increases to the base rate. See our full fixes vs trackers analysis for help to decide.

7. If you're thinking of applying, it's all about whether you'll be accepted. There are two big factors at play here...

- Affordability check. Lenders must carry out strict checks to see if you can afford mortgage repayments on top of all your other expenses. For most people, living expenses are going up, meaning acceptance can be harder.

But lenders don't just assess if you can afford to repay at current rates... they also 'stress test' how you'd cope if interest rates went up, so you'll need to have extra leeway in your finances. So, consider being more frugal in the run-up to a mortgage application. For full info on what you can do to ease acceptance, see 17 ways to boost mortgage chances.

- Credit check. A poor credit history can torpedo a remortgage application, or at least mean you don't qualify for the cheapest deals. So check your credit file (for free) to ensure there are no errors, then minimise other credit applications, and pay down debts if you can. See 36 tips to boost your creditworthiness.

8. If you're serious, speak to a broker - they're currently more important than ever. Lenders' acceptance criteria differ from one to the next, plus they're subject to change - something that's been at short notice in reaction to the cost of living crisis. For example, one lender might include overtime or commission in your income assessment, and another might only count your base salary.

To navigate the maze, we strongly suggest you use a mortgage broker. They do the 'finding a deal' work for you and have details of most lenders' acceptance criteria, which aren't easily obtainable by the public, plus many deals (even some product transfers) that can only be accessed via brokers. See our full help on how to find a good broker.

PS: A note on mortgage prisoners. If this situation is bad for most mortgage holders, it is a nightmare for the up to 200,000 mortgage holders - many still suffering the fallout of the 2008 financial crash - that are stuck paying expensive mortgages to companies that don't issue new mortgages.

We've been campaigning on this desperate issue for a number of years, and will continue, though the latest interest rate rises make it far tougher. We do have a Mortgage prisoners help guide and while it's likely to be slim pickings at the moment, it is worth a look if you haven't already.

2. ON A FIXED RATE MORTGAGE? Check when it ends and remember to act 3 to 6 months ahead

Fixed rate deals typically last two, three or five years (a few may be longer). We're often surprised how many people don't know when theirs will end - and this isn't a good time for surprise. So make sure you know and note it down.

If you're coming towards the end of your deal, act NOW. Some lenders let you lock in a rate six months in advance - and many more let you lock in three months ahead. Full info in long lock-in mortgage help, but as a rule of thumb...

If your fix ends before March 2023, check deals now, as rates are likely to rise further, and today's rates may soon disappear.

Use the how to check if you should switch mortgage info above to go through what to do.

What if your fixed deal isn't ending soon, can you still switch? It's not surprising many are asking this question when rates are rocketing. The concept is 'should I ditch a little time on my current cheap fix, to lock in for longer and prevent hideous rises in future?'

On the surface it looks a sensible question, but there are a number of things to consider...

- Early repayment penalties: Ditching your fixed rate mortgage before it ends will normally result in an early repayment charge - something that can cost you £1,000s and, in normal times at least, make ditching a fix prohibitive.

- You're taking a bet on future rates: While it looks like they are going to be far, far higher in future, if there's anything the past few years has taught us, it's that unknown unknowns could flip that around at speed. There are no guarantees, and without a crystal ball, we don't know how much rates will rise by.

If this is something you're considering, we'd push you to speak to a mortgage broker, who'll can run you through the pros and cons to see if it's worth it.

3. CAN YOU OVERPAY YOUR MORTGAGE? If you can afford to, the savings may be huge

Most lenders allow those in the middle of a fixed or variable deal to make mortgage overpayments, though this is normally capped, typically at 10% of the outstanding balance each year.

Overpaying means you clear the mortgage quicker, which means you pay less interest in total - and savings can be huge. Use our Mortgage overpayment calculator to see.

Plus as you'll owe less, you may be able to get a cheaper deal when you come to remortgage. Yet there are some checks to make:

Is it better to save or overpay a mortgage?

The very simple answer is if your mortgage rate is higher than the after-tax rate you earn on savings interest, then mathematically you're better off to overpay the mortgage.

With mortgage rates rising faster than savings that's likely to be the case for more and more people. For a full explanation see our Should I save or overpay my mortgage? guide. But in brief, even if you can afford to do so, there are some important checks to make:

1. Are there any early repayment penalties? Most people will be allowed to overpay a certain amount. Yet always check the rules - any penalties will usually kibosh the gain.
2. Do you have a sufficient emergency fund? Martin's rule of thumb is keep three to six months' worth of bills money (enough to pay all bills) put aside in case of emergency. Don't assume the fact you've overpaid means lenders will let you off arrears-free in future.
3. Will the overpayments reduce the capital you owe? Ask your lender to ensure any overpayment reduces your mortgage term each time. Otherwise, an overpayment might just lower future mortgage repayments, which means there's no interest gain.

Do note, this isn't the same as you shortening your mortgage term. That'd lock you in to future repayments; you want each overpayment to count as a one-off and have the term reduced accordingly. See Martin's Overpaying vs shortening term blog for more details on why overpaying each month normally wins.

4. EVER THOUGHT OF DOWNSIZING? Some may balk at the idea, but it could rid you of your loan

Inflation is a funny thing. When we talk about food inflation, petrol inflation, energy inflation - we hate it. Yet often property price inflation is celebrated.

However, while homeowners may feel rising prices make them feel secure, it's a bit meaningless until you come to sell (or you remortgage to use the equity in your home - that just means bigger debt though).

And even then if you're selling to upgrade, rising property prices mean you'll need to find more money to jump that gap.

So with the huge rise in prices in many parts of the UK, and mortgages getting more expensive, it's worth thinking if you're in the position to downsize. It's likely this will especially suit any empty-nesters whose kids are now independent adults - with big houses for few people.

We know some will balk at the mere idea, but it's just a thought.

5. GET HELP IF YOU'RE STRUGGLING TO PAY. Avoid missing repayments without first speaking to your lender

With the cost of living increasing, many homeowners are struggling to meet their mortgage repayments. Missing a mortgage payment is known as falling into 'arrears'. You want to try to avoid this as best you can, as it'll have a serious impact on your ability to get credit in future.

Full info on what wider support is out there in our Mortgage arrears guide, but in brief:

Change the terms of your mortgage - you could agree with your lender to extend your mortgage term, so you have longer to pay off your debt, or switch to an interest-only mortgage to cut repayments. This might provide some relief, but will increase costs - full info in ways lenders can help.
Get help with your mortgage repayments - if you're on certain benefits, such as universal credit, you may be able to claim support for mortgage interest.
Get free, one-to-one debt-counselling help - the likes of Citizens Advice, StepChange or National Debtline can help you understand your options, and if you need emotional support, try CAP instead. You may also find the MSE Mental Health & Debt guide useful.

DON'T believe the fake 'Martin Lewis' or 'MSE' ads
Lots of scam ads litter social media and even newspaper websites - some of these lie that we or Martin promote Bitcoin, binary trading etc. See Fake ads warning.

It's meter reading week!
Almost all energy costs change this Saturday - most rise 27% (though some fixes fall). Here's your key actions list, incl how prepay customers can keep cheaper rates longer

Plus, the latest updates on energy bills support for heating oil and N Ireland and more

On Saturday the new energy price guarantee kicks in, meaning those households on capped tariffs - which is most (85%) in England, Scotland & Wales - will see their energy bills rise by an average 27%, though that's before the £400 winter all-homes electricity discount. To see how much you'll pay, use our Energy price guarantee CALCULATOR. On the same day, some on fixed rates may see costs fall.

For a full explanation, it's worth watching Martin's ITV energy price guarantee special, where he takes you through it. And, while he's off at the start of this week (for Rosh Hashanah), he pre-wrote this special, important message...

Martin: It's meter reading week. Your key need-to-knows

If you pay by direct debit, firms estimate your usage, and assign it to a certain period. So for those who normally submit readings, doing it close to the date prices are due to change means there's no estimate, so no discrepancies (though there's always a chance a discrepancy could end up in your favour). It's worth taking a picture of the meter for belt 'n' braces evidence too.

Let's turn 'meter reading day' into 'meter reading week'. The day before the last big price rise in April was referred to as 'meter reading day', and turned out to be far bigger than anyone expected (and yes, I'm probably to blame for that). The fact huge numbers did it on the same day meant energy firms' websites crashed and their phone lines went down. That led to huge frustration and time wasted for customers, and abuse for staff.

I'm also concerned if that happens again, the many vulnerable people who need to call firms at the moment for support because they're struggling won't get through. So let's think of it as meter reading week. After all...

- You can do it a few days before, or even a few days after and the difference will be tiny.
- You don't need to submit the reading on the day. Most firms let you backdate it, sometimes for up to a fortnight; see our firm-by-firm list of how long you have to put in a reading.

As well as those paying by direct debit, for those who pay 'on receipt of bills' it's also worth submitting a reading.
Those with working smart or prepay meters NEEDN'T do a reading. Though you might want to take a picture of the meter, just as backup. Nor do you need to bother if you're on one of the very cheap fixes, which means your rates won't be changing. See our what will happen to fixes guide.
On a PREPAY meter? You may be able to keep the current prices even after Saturday (1 Oct). With some prepayment meters you get the rate when you top up, and it lasts until you top up again. So if you've cash (and I know that's a struggle for many right now), you may be able to keep the current price way after 1 October, thus forestalling the rise.

This definitely WON'T work for gas meters, nor for smart electrical meters. Yet the most accurate info firms say they can give us is it will work for some firms' non-smart electricity prepayment meters. See our firm-by-firm 'who this prepay trick works with' guide, which also takes you through pros and cons.

PS: Some on direct debit ask me whether they can artificially inflate readings before the deadline so more is at the cheaper rate. That's fraud, I'm afraid.

Now back to us, the MSE energy team, to brief you on what else is going on...

£400 energy bills support payments start automatically in the next week or so - watch out for scammers. Households in England, Scotland & Wales with an electricity supplier should start to see the first instalment of the £400 energy support payment in the coming weeks (it's split into six payments over six months). Your supplier will do this automatically, so watch out for scammers who are, disgustingly, using this to try to exploit people. See how you'll receive the £400 from your supplier, as it varies by payment type and firm.
In Northern Ireland? You'll get the same amount off your bills as the rest of the UK. The NI energy price guarantee will offer households the same level of gas and electricity bill support as those in England, Scotland & Wales. Suppliers will reduce bills automatically by up to 17p a kilowatt hour for electricity and by up to 4.2p a kilowatt hour for gas.

It will apply from November and will be backdated to October. Full details of how this will work in practice aren't available yet (we're chasing), but we'll update our Northern Ireland energy guide when we know more.
People in park homes or heat networks should also see bills fall. As these households don't have direct relationships with a supplier, they are usually classed as a business energy connection, so they should see bills fall under the new energy support for businesses. Here, your park-home owner or whoever you pay for energy will see their bills discounted, and the Government has said it expects this to be passed on - see park homes and heat networks support. People in these homes will get the £400 grant, though how and when is yet to be confirmed. We'll update our how the £400 is paid info when we get it.
Heating oil and LPG homes will get an additional £100 in support. Households that use heating oil or LPG as fuel were promised equivalent support to the price guarantee. We'll leave you to decide whether the fact we now know that's an additional £100 in support does that (it is on top of the £400 electricity discount). See our Heating oil guide for what we know so far and updates as we get 'em.
Business energy will also be discounted. Businesses will also get government support this winter, under the Energy Bill Relief Scheme. Virtually all business tariffs will be discounted, except for fixed deals signed before 1 April 2022. The scheme gives a discount on wholesale gas and electricity prices until 31 March 2023.
Struggling now? Or want to cut your usage? See our full What to do if you're struggling to pay energy bills guide, energy saving tips, the Energy mythbusting guide for less clear-cut issues and our Heat the human, not the home guide.

PS: For more energy help, see... Martin's energy price guarantee need-to-knows | On a fixed energy deal? Will you pay less under the new price guarantee? | How suppliers set direct debits | Are solar panels worth it?

Mini-budget key resources

Martin's video explainer: Stamp duty, national insurance & income tax CUT - how that affects you. For what this means and how it'll work in practice, see Martin's mini-budget video explainer.

Updated. Income Tax Calculator - find your NEW take-home pay after the national insurance & tax cuts. On 6 Nov, national insurance drops 1.25 percentage points, then on 6 Apr, new income tax rates come in. Income Tax & National Insurance Calculator

Updated. Stamp Duty Calculator - how much will you pay now (Eng & NI)? The rate was cut last Friday - find out how much you'll pay now, with our updated UK Stamp Duty Calc.

Up to £280 off Shark cordless vacuums via code. MSE Blagged. Two models, both cost £250 (normally £500 to £530). 8,000 available. Shark

Now get 2.5% 'easy access' savings - highest in 10 YEARS. This Yorkshire Building Society savings account pays a whopping 2.5% AER interest on the first £5,000, 2% above (max £500,000) BUT you can only make two withdrawals a year. More info plus FULL OPTIONS and alternatives in Top savings.

Martin's warning. Urgently try to cut credit card & loan interest NOW. Last week Martin's urgent credit card & loan briefing showed why the safest route is to act now (and explains how to do it). So, if you've got cards and loans, read it ASAP. Karen did, and emailed: "A massive thanks to you, Martin, and your team. Times are frightening and who knows how bad things will get? I've just successfully applied for a 0% balance transfer. I've been paying approximately £48/month in interest as I never thought I'd be accepted for a transfer. I'll be saving approx £623. Wish I'd done it a year ago."

Ends 11.59pm Fri. Shell Energy 38Mb fibre broadband just '£13.88/month'. Newbies can get this Shell Energy 38Mb broadband & line deal for £4.95 upfront, then £21.99/month. But you'll get an automatic £65.97 bill credit within two weeks, which gives you three months free. Plus, you can claim (don't forget) an £85 Amazon voucher within four months - so if you'd spend there anyway, factor that in and it's equivalent to £13.88/month over the 18-month contract. Even better: Speedily compare all broadband deals.

NOW SOLD OUT ~~£106 of beauty, skin & haircare for £26 delivered.~~ MSE Blagged. Includes normally pricey brands such as Monuskin and Dr Eve Ryouth. 2,000 available. ~~Latest in Beauty~~

Government says delayed £150 cost of living disability payment will be paid to most 'by the start of Oct'. The Department for Work and Pensions has admitted that "operational issues" prevented payments going out when they were due to last week. See how to check if you qualify for it.

BLAGGED FOR MSE

- Shark cordless vacuums up to £280 off code 8,000 available
- £106 of beauty, skin & haircare for £26 2,000 available
- 24 alcohol-free Brulo beers £16 (normally £68) 1,000 available
- Earn £30 Amazon voucher doing online surveys Ongoing

DID YOU MISS?

- Ends Thu. TWO pairs of designer prescription specs from £25
- Get 'PAID' to recycle old clothes, make-up and more
- Do you pay for childcare? Thousands are missing out on 20% off
- Find if you qualify for a free flu jab - or where to get one for £10
- Grüum shampoo bar £3 delivered (normally £12)

Mobile Sim price war

New. Two firms now offer 15GB data Sims for under a fiver - we've not seen cheaper

If you're paying more than £5 a month for your mobile, now's the time to check you're not massively overpaying as there's a glut of hot short-lived deals around. So if you're one of the millions of people who are out of contract on their mobile, switching to a new Sim-only deal (the Sim is the chip in your phone that dictates your data, calls & texts allowance) can save £100s. Our Cheap Sim comparison has all the deals, here's a taster of what's available at different data levels...

Top Sim-only deals for new customers Find many more deals with our Cheap Mobile Finder
Provider (network)	Key info	Cost
Lebara (Vodafone) MSE Blagged Ends 11.59am Thu	- 3GB/month data - Unlimited minutes & texts - Free roaming in Europe	'£3.68/month': It's £2.45/month for six months, then £4.90/month, so an average of £3.68/month over a year. Though it's a rolling one-month contract, so you can cancel at any time.
Virgin Mobile (Vodafone) Ends 11.59pm Fri	- 5GB/month data - Unlimited minutes & texts - Free roaming in Europe	'£3.92/month': It's £6/month, but you can CLAIM a £25 Amazon voucher. Factor that in and it's equivalent to £3.92/month over the 12-month contract.
iD Mobile (Three)	- 15GB/month data - Unlimited minutes & texts - Free roaming in Europe	'£4.67/month': It's £8/month, but you can CLAIM a £40 Amazon, Uber Eats or Tesco voucher. Factor that in and it's equivalent to £4.67/month over the 12-month contract.
TalkMobile (Vodafone) Ends 11.59pm Thu	- 15GB/month data - Unlimited minutes & texts - Free roaming in Europe	'£4.67/month': It's £8/month, but you can CLAIM a £40 Amazon voucher. Factor that in and it's equivalent to £4.67/month over the 12-month contract.
O2	- 20GB/month data - Unlimited minutes & texts - Free roaming in Europe	£8/month over the 12-month contract.
Three	- 100GB/month data - Unlimited minutes & texts	'£10/month': It's £15/month, but you'll automatically get £60 cashback. Factor that in and it's equivalent to £10/month over the 12-month contract.

Want to keep your signal? You can still switch. Smaller networks 'piggyback' on the signals of the big four - Vodafone, Three, O2 and EE. So you can move to a cheaper provider and keep the same signal. Though do note not all smaller firms offer 5G, Wi-Fi calling or 4G calling, so do check what's included. Our Cheap Sims tool allows you to filter by network and flags up what services each provider offers.

Switching this way can save £100s, as MoneySaver Barry found: "I moved my Sim to Lebara (Vodafone network) with an amazing deal of 1p for six months then £4.90/month for a further six months - a total for the year of £29.46 compared to Vodafone's £156 a year. Thank you MSE."
Almost all of these deals give free EU roaming. While Vodafone, Three and EE have brought back roaming charges for most pay-monthly customers, O2, Lebara, TalkMobile, Virgin Mobile and iD Mobile (in table above) all still provide free roaming in Europe. So you can keep the signal coverage of the biggies and roam for no extra cost (though providers could always change this approach at any time). See more in Cheap mobile roaming.
More Sim-switching need-to-knows...

- Don't pay for more data than you need. Most say they use 3GB or less (but as the deals above show, paying a trivial amount extra can get you a buffer). Try our Data Calculator if you're not sure.
- You can easily keep your number. Just text your old provider and give the code it sends you to the new provider.
- Unlock your phone for free. If you're out of contract, your network must let you do this free. See Mobile unlocking.
- Don't want to switch? Haggle. Mobile firms are among the easiest to haggle with. Full info in Mobile haggling.

New. Free £23 baby bundle when you spend £20 on baby kit at Amazon with code. See how to get it and more freebies and discounts in our 48 baby MoneySaving tips guide.

'I got a £4,000 council tax rebate after challenging my banding.' Our success of the week comes from Ali, who reclaimed overpaid council tax after acting on tips in a previous MSE weekly email. She said: "I took your advice regarding checking that my house is in the correct council tax band and I discovered that when it was built, it was put in the wrong band. This means for 12 years I have been paying too much. Today I received a rebate of more than £4,000. Thank you." Send us your MoneySaving successes on this or owt else.

Student discounts: £10 off Ikea, 20% off H&M, Office, New Look & more. Retailers are boosting student deals for 'freshers' week'. Also see our Student checklist to make your finances go further (and if you're not a student, but know one, please send 'em it).

Real living wage increased by more than 10% for thousands of workers. People in London that this affects will see their hourly rate increase to £11.95 an hour, while those in the rest of the UK will get £10.90. The rise has been brought forward in recognition of the sharp rise in living costs.

NOW SOLD OUT ~~24 alcohol-free Brulo beers for £16 delivered (normally £68).~~ MSE Blagged. Via code. One-off box that's a good option for those doing 'Sober October'. 1,000 boxes available. ~~Brulo beers~~

Earn £30 Amazon voucher for doing quick online surveys. MSE Blagged. Free to join, and newbies who go via our blagged link can get an extra £20 Amazon voucher when they earn £10. Swagbucks

Tell your friends about us

They can get this email free every week

AT A GLANCE BEST BUYS

Longest 0%: Sainsbury's Bank (check eligibility / apply*) - up to 34 months 0%, 2.88% or 3.88% fee (21.9% rep APR interest)
No-fee 0%: Sainsbury's Bank (check eligibility / apply*) - up to 22 months 0%, no or 1% fee or NatWest - 22 months 0% if you're a NatWest/RBS customer (both 21.9% rep APR)

£175 to switch + TOP service: First Direct
£175 to switch + £3/month cashback: NatWest/RBS

Top easy-access: Yorkshire BS up to 2.5%, min £1
Top one-year fix: Oxbury Bank 3.91%, min £1,000

Try our new MSE Car Insurance Compare+ tool

Cheapest for £5,000 to £7,499: Cahoot (check eligibility / apply*) or Sainsbury's Bank (check eligibility / apply*), both 3.9% rep APR
Cheapest for £7,500 to £15,000: Cahoot 3.1% rep APR (check eligibility / apply*)

Fibre (30Mb+): Shell Energy '£13.88/month'
Superfast fibre (55Mb+): Shell Energy '£15.55/month'

On universal credit or similar? Check discounted social tariffs

Up to 3GB data: Lebara, '£3.68/month' for 3GB
4GB to 9GB data: Lebara, '£3.95/month' for 5GB
10GB+ data: iD Mobile, '£4.67/month' for 15GB

THIS WEEK'S POLL

What proportion of your income do you spend on your mortgage/rent? Take what you pay on your mortgage or rent (including any service charges or ground rent, but NOT council tax, insurance or other bills), and let us know roughly what percentage of your monthly take-home pay/income it is.

Almost 90% of MoneySavers pay their energy bills by monthly direct debit. Last week, we asked you how you pay for your energy, to help us with the campaigning work we're doing. Of the almost 8,000 people who responded, 88% said they pay by monthly direct debit - the cheapest way to pay. And while overall only 3% prepay for their energy, of those with a household income of under £20,000, over half prepay. See full poll results.

MSE NEWS

- Top story: Watch out for fake texts offering energy bill help
- Just days left to use paper £20 and £50 notes before they become unusable
- Asda Mobile to charge pay-as-you-go customers more from this week
- Universal credit changes could put you at risk of having benefits cut

MONEY MORAL DILEMMA

Should my friend pay his ex back for the phone she got him as a gift? A good friend of mine just broke up with his girlfriend. A few months back, she insisted on buying him a new smartphone for his birthday that cost almost £600. Now they've broken up, she's demanding he give her the money for it. He offered to give her the phone, but she says she wants cash. He says he's struggling to save up the money but is going to pay it back as he feels it's the right thing to do, but I think she's being unreasonable. Who's right? Enter the Money Moral Maze: Should my friend pay his ex back for her gifted phone? | Suggest a Money Moral Dilemma

Win all Booker Prize 2022 shortlisted books
Win a signed copy of The Way Back Almanac 2023
Win kids' Pip & Posy activity book

Win two vampire novels for young adults
Win the novel The Last Girl to Die (ends Sat)
Win a hardback kids' book about Malala (ends Sun)

MSE TEAM BLOG

- Lights, lodgers & Lidl trainers - last week's MSE Forum highlights

MARTIN'S APPEARANCES (WED 28 SEP ONWARDS)

Wed 28 Sep - This Morning, phone-in, ITV, 10.20am
Wed 28 Sep - Ask Martin Lewis, BBC Radio 5 Live, 1pm. Listen again
Thu 29 Sep - Good Morning Britain, ITV, 8.20am
Mon 3 Oct - Guest-presenting Good Morning Britain, ITV, from 6am, including Martin's Money Monday

MSE TEAM APPEARANCES (SUBJECTS TBC)

Tue 4 Oct - BBC Radio Cambridgeshire, Mid-morning with Jeremy Sallis, from 10.45am
Thu 6 Oct - BBC Radio Leicester, Mid-morning with Summaya Mughal, from 11.30am

PLASTERING, CHIMNEY-SWEEPING & HAIRCUTTING... WHAT SKILL HAS SAVED YOU THE MOST MONEY?

That's all for this week, but before we go... MSE Forumites have been discussing the skills they've learnt over the years that have saved them the most cash. One poster went on a plastering course which they reckon has saved them £100s, another has pocketed £550 over 12 years by cutting their own hair, while yet another says they save £100 a pop by cleaning their own chimney instead of sending in a pro. But one poster says brushing up on their math, spreadsheet and critical analysis skills has helped them to sort the deals from the duds and save cash - which we at MSE Towers agree should be part of everyone's MoneySaving arsenal. Add your own and read more in the What skill has saved you the most money? MSE Forum discussion.

We hope you save some money, stay safe,
The MSE team

Important. Please read how MoneySavingExpert.com works

We think it's important you understand the strengths and limitations of this email and the site. We're a journalistic website, and aim to provide the best MoneySaving guides, tips, tools and techniques - but can't promise to be perfect, so do note you use the information at your own risk and we can't accept liability if things go wrong.

What you need to know

This info does not constitute financial advice, always do your own research on top to ensure it's right for your specific circumstances - and remember we focus on rates not service.

We don't as a general policy investigate the solvency of companies mentioned, how likely they are to go bust, but there is a risk any company can struggle and it's rarely made public until it's too late (see the Section 75 guide for protection tips).

We often link to other websites, but can't be responsible for their content.

Always remember anyone can post on the MSE forums, so it can be very different from our opinion.

Please read the Full Terms & Conditions, Privacy Policy, How This Site is Financed and Editorial Code. Martin Lewis is a registered trade mark belonging to Martin S Lewis.

More about MoneySavingExpert and Martin Lewis

What is MoneySavingExpert.com?
Founded in February 2003, it is now the UK's biggest consumer help website, with more than 12 million users each month and about 8.5 million receiving this email. In September 2012 it became part of the MoneySupermarket Group PLC. Its focus is simple - saving cash and fighting for financial justice on anything and everything. The site has over 80 full-time staff, more than a third of whom are editorial - researching, analysing and writing to continually find ways to save money. More info: See About MSE.

Who is Martin Lewis?
Martin Lewis CBE is the founder and executive chair of MSE, as well as the founder of the MMHPI charity. He's an ultra-focused MoneySaving journalist and consumer campaigner with his own prime-time ITV programme The Martin Lewis Money Show, Radio 5 Live Wednesday show Ask Martin Lewis and weekly slot on This Morning, among others. More info: See Martin Lewis' biography.

What do the links with an * mean?

Any links with an * by them are affiliated, which means get a product via this link and a contribution may be made to MoneySavingExpert.com, which helps it stay free to use. You shouldn't notice any difference; the links don't impact the products at all and the editorial line (the things we write) isn't changed due to them. If it isn't possible to get an affiliate link for the best product, it's still included in the same way. More info: See How This Site is Financed.

As we believe transparency is important, we're including the following 'un-affiliated' web-addresses for content too:

Unaffiliated web-addresses for links in this email

Financial Conduct Authority (FCA) Note

MoneySupermarket.com Financial Group Limited is authorised and regulated by the Financial Conduct Authority (FRN: 303190). MoneySavingExpert.com Ltd is a company registered in England and Wales. Company Registration Number: 8021764. Registered office: One Dean Street, London, W1D 3RB. MoneySavingExpert.com Limited is an appointed representative of MoneySupermarket.com Financial Group Limited.

To change your email or stop receiving the weekly tips (unsubscribe): Go to: www.moneysavingexpert.com/tips.