Fixing may not be best
July 24, 2007 | Leave a Comment
It has been talked about before, but the time is coming nearer and nearer when more than two million homeowners will come to the end of their cheap two-year fixed rate deals. The will either slump onto the lender’s Standard Variable Rate (SVR) (although let’s hope they’re alert enough not to let that happen), or they will have to find a new deal. Even the latter will give them much more expensive borrowing that they had before.
Fixed rates are over priced
July 23, 2007 | Leave a Comment
Some leading banks have come in for criticism after they have sharply increased their fixed rate mortgages following the recent base rate rise. Last week base rates went up by 0.25% to 5.75%, but some lenders have announced rises of up to 0.4% in their fixed rates, and more are likely to follow suit as they all try to boost their profits.
Call for banks to assist poor with low interest
July 20, 2007 | Leave a Comment
The Government has been called upon to find a way of offering low interest loans for the poorest members of UK society. Kate Green is the chief executive of Child Poverty Action Group, and David Blunkett is the former work and pensions secretary. Together they urged Government ministers to work with banks and financial institutions from the private sector to assist three million people on low incomes who are unable to get credit from the mainstream.
Nationwide’s 25-year mortgage
July 19, 2007 | Leave a Comment
Nationwide has responded to calls from the Prime Minister and the Chancellor for longer term fixed rates. The building society is to relaunch its 25-year deal which it originally offered with limited funds earlier in the year, and which proved popular at the time.
Always avoid loan sharks
July 17, 2007 | Leave a Comment
In these days of rising interest rates, rising fuel and energy prices and a consumer spending boom, many people are getting caught in the credit trap. They may get into difficulties, default on payments and when in need of more credit, they are refused. In such circumstances they may be tempted to find lenders who are not on the high street. It’s a risky business to ask rogue lenders of loan sharks.