With contract rates healthy and roles in plentiful supply, many contractors are falling into the short sighted trap of failing to put in place any contingency plans, according to one industry commentator.
Taj Kang, Business Development Director at specialist broker Contractor Mortgages Made Easy, says that when times are good, many contractors are neglecting to think about when times are bad.
“In many industries it remains as lucrative as ever to be a contractor” says Taj. “Many clients are telling us that they have never been put forward for so many roles before, and that day rates – particularly in London – remain high.”
“Whilst that’s undoubtedly good news for contractors, I would urge everyone to think for a second about what happens when times aren’t so good. Perhaps when the market isn’t so buoyant, or worse, if you were unable to work for a period of time.”
“We are seeing more and more contractors than ever before that require our specialist help with obtaining the desired funding for a house purchase or a remortgage. Many, however, are surprised when we want to discuss what happens if the worst happens.”
Few of us willingly want to spend money that we will never get back, but for many, a commitment to protect your financial circumstances can pay dividends; quite literally, should you ever need it.
“Of late, several of our clients have been in unfortunate circumstances whereby they’ve suffered serious illnesses and have been very unwell” adds Taj.
“Fortunately, our consultants go above and beyond when it comes to not just financing the property, but also protecting our clients in the event that things go wrong.”
A lot of people have some form of protection, but few review it regularly, and this can lead to a catastrophic outcome at an already horrendous time.
“In the situation whereby you are diagnosed with a critical, potentially life threatening condition, it will turn your world upside down as it is” continues Taj, formerly a consultant himself with a wealth of experience in different fields.
“Imagine then, you’ve had the foresight to protect a previous mortgage, and had forgotten about it for the new one when you moved house. You make your claim and you have a huge shortfall; what happens then?”
“Failing to review your protection strategy can cause financial disaster. Don’t be one of the many with regrets in this area. By the time you realise, it will be far too late to put right. Review your protection foundation with a specialist right away, and don’t forget that this is another area in which your status as a contractor can play a huge role in getting the right outcome.”
Article By: Mark McBurney, Senior Mortgage Consultant at Contractor Mortgages Made Easy
Media Contact: Raman Kaur, Public Relations Manager
Tel: 01489 555 080