You are here: Home - Uncategorized -

Mortgage rates up as lenders get into gear

0
Written by:
24/01/2007

Standard variable mortgage rates (SVRs) from many of the big lenders have risen in the past few days to shadow the 0.25% rise in Bank Rate made by the Monetary Policy Committee (MPC) at the Bank of England a few weeks ago.

Abbey, Royal Bank of Scotland (RBS), Alliance & Leicester (A&L) and Woolwich have all put up their rates, with A&L and RBS increasing theirs by more than the 0.25% levied by the MPC, making a difference to those who have made a UK investment in property.

Although the SVRs quoted by lenders are not actually paid by many borrowers, they are a valuable benchmark for comparing the costs of homeloans. A&L, for example, pointed out that only 11% of its total number of borrowers are paying the SVR.

Many lenders still have to make a decision about their rates, but Bernard Clarke of the Council of Mortgage Lenders (CML) said: “There is nothing unusual about some lenders being slower than others when it comes to changing their mortgage rates.

“There are a variety of factors holding them back. Their perception of where interest rates are going is one, where they want to position themselves commercially and the costs of managing the process.

“Some may just not have made the decision yet.”

 

Tagged:

Tag Box

Debt

Pension

Spending

Financial fitness

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Are you a first-time buyer looking for a mortgage?

Look no further, get the help you need by searching for your perfect mortgage

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

The essential Your Money guide to the April 2018 tax changes

As we head into the 2018/19 tax year, a number of key changes take place to existing policies while some new i...

A guide to switching energy provider

All you need to know about switching from one energy supplier to another.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

YourMoney.com Awards 2018

Now in their 21st year, our awards recognise the companies offering the best products and services to consumers

Money Tips of the Week

Read previous post:
Online fraud a growing worry for millions

The Internet is fast becoming the place for big-time fraudsters to operate and concern is growing rapidly about the proliferation...

Close