Interest Rates Down to 2%

[Django x2]

All I'm going to say is "Check your collars"

All these people saying "whoop look at me, +.47% above base rate" means squat if your lender invokes a collar written in to the small print.

You cant even use the missold excuse because its there in black and white.

Some of the big lenders collars start at 4% so an awful lot of people won't be smiling for long.

You've been warned.

 

[a1ex2001]

All I'm going to say is "Check your collars"

All these people saying "whoop look at me, +.47% above base rate" means squat if your lender invokes a collar written in to the small print.

You cant even use the missold excuse because its there in black and white.

Some of the big lenders collars start at 4% so an awful lot of people won't be smiling for long.

You've been warned.

If you bothered to keep up with the news a lot of the big players have already come out and said they won't be enforcing them, I would expect more to follow and the FSA have also hinted that the clause maybe illegal and therefore unenforcable.

Please read up before scaremongering, or get a job at the BBC.

 

[Django x2]

If you bothered to keep up with the news a lot of the big players have already come out and said they won't be enforcing them, I would expect more to follow and the FSA have also hinted that the clause maybe illegal and therefore unenforcable.

Please read up before scaremongering, or get a job at the BBC.

Your statement contradicts itself. Keep up with the news and get a job at the BBC.

The FSA will do nothing about it its an integral part of a signed mortgage agreement. Lenders *might* relax it but its unlikely given the extra work load it will invoke. Chances are you'll be sat at 3 or 4% and no lower unless the rate drops further.

 

[csmager]

Lenders *might* relax it but its unlikely given the extra work load it will invoke.

They already have. The UK's biggest mortgage provider (HBOS) has already said it's not enforcing collars.

 

[danza]

Before the interest rates decision, the Halifax said its customers with existing tracker mortgages, that follow moves in the Bank of England's Base Rate, would benefit in full from any cuts.

This was despite a clause in the Halifax's paperwork which would have allowed it to put a limit on the cuts it passed on to mortgage customers.

Which they have already said they won't be enforcing and they will be passing on the full cut, great for those that have borrowed loads and carp for us sensible savers.

W00T!!

I hadn't heard that, brilliant news. That means that in the last 6 months, my mortgage has dropped from £930 down to under £600.

I feel sorry for those with hefty savings though, not that I have much at the moment!

 

[Strife212]

The value of the pound will be nuked by this even more than it already is.

 

[Duke]

Sigh... my savings are going to earn even less now.

Yup

 

[scorza]

Yet manufacturing employs less than 10% of the total workforce (2.86 million), and thats lower than the public sector staff (the NHS is the largest overall employer in the UK, with 7% alone )...

Exports do not have to be manufactured!

 

[Rebelius]

They already have. The UK's biggest mortgage provider (HBOS) has already said it's not enforcing collars.

according to BBC they're only passing on .25% of the 1% cut to SVR customers though.

I'm with C&G - mortgage payments soon to be half what they were 2months ago

Just hope the value isn't dropping to quickly - don't think Edinburgh's doing too badly compared to a lot of places.

 

[meghatronic]

Great.

Thanks Labour, less incentive to have my savings.

******* incompetent this government.

 

[Rotty]

Are you taking about hedged mortgages?

nope standard stuff, I moved house there was £40k outstanding, new house was £70k , kept the old mortgage ( transferred to new house ) and added a second one for the extra

 

[Luseac]

Great.

Thanks Labour, less incentive to have my savings.

******* incompetent this government.

As much as I would rather my savings not be earning sod all, you do realise it's not the government that sets the interest rates?

 

[spoonz]

gone from 5.5% on a fixed to 2.79% now on a tracker.

Halfed my payments in 3 months.

Hmmmm, overpay or new car?

 

[meghatronic]

As much as I would rather my savings not be earning sod all, you do realise it's not the government that sets the interest rates?

The government (helped to) created the mess. And if you believe they have nothing to do with the economy/setting of interest rates, and it's all BoE, you are naive.

 

[megakid]

The value of the pound will be nuked by this even more than it already is.

It was already priced in - as you saw from the lack of movement at noon today.

 

[The_Abyss]

nope standard stuff, I moved house there was £40k outstanding, new house was £70k , kept the old mortgage ( transferred to new house ) and added a second one for the extra

If with the same lender, it is still a first charge on the property for both loans. If the additional mortgage is with another lender, it is a second charge (normally a bit more expensive).

 

[[TW]Fox]

gone from 5.5% on a fixed to 2.79% now on a tracker.

Halfed my payments in 3 months.

Hmmmm, overpay or new car?

Overpay.

 

[spoonz]

Overpay.

I know you're right but new cars are shiny (forget that they lose money like im ripping up fivers)

 

[Luseac]

The government (helped to) created the mess. And if you believe they have nothing to do with the economy/setting of interest rates, and it's all BoE, you are naive.

Yes they have created a lot of the mess but essentially the BOE is independant, and unless you are privilaged enough to be in a high position within the BOE or the government (which you can't be because you wouldn't be posting this on here) I don't think you can possibly say otherwise. Although I'm obviously well aware they have a lot to do with the economy.

 

[meghatronic]

unless you are privilaged enough to be in a high position within the BOE or the government I don't think you can possibly say otherwise.

It's common sense... surely?

Operational independence was given by Labour.... that doesn't mean GB/AD can't ring up Mervyn and say "do this".