Base rate

Visitors can check out the Forum FAQ by clicking this link. You have to register before you can post: click the REGISTER link above to proceed. To start viewing messages, select the forum that you want to visit from the selection below. View our Forum Privacy Policy.
Want to receive the latest contracting news and advice straight to your inbox? Sign up to the ContractorUK newsletter here. Every sign up will also be entered into a draw to WIN £100 Amazon vouchers!

You are not logged in or you do not have permission to access this page. This could be due to one of several reasons:

You are not logged in. If you are already registered, fill in the form below to log in, or follow the "Sign Up" link to register a new account.
You may not have sufficient privileges to access this page. Are you trying to edit someone else's post, access administrative features or some other privileged system?
If you are trying to post, the administrator may have disabled your account, or it may be awaiting activation.

Cyberman replied

3 February 2009, 16:09
Originally posted by Mustang View Post

Good advice Cyberman. Not looking to fix at present - just thought it amusing that they thought both rates were good!! Not sure how they justify them when BoE rate is so low. I know they are based on libor rates but isn't that just set by the banks themselves?

The thing is that if you fix for a number of years they have to take into account what rates will be a few years into the future. They will obviously be higher than today's rates as you have a falling pound coupled with current low interest rates causing a possible consumer spending boom with the corresponding high inflation. So if you fix now you are paying a premium effectively as insurance to the banks.
Leave a comment:
Mustang replied

3 February 2009, 15:54
Originally posted by Cyberman View Post

Why fix when rates could be low and getting lower for the next year or so ? In fact the bank rate is expected to fall another half point very soon. Most people at the moment are going for Standard Variable Rates because these are falling. My advice would be to check the Mail on Sunday Best Buys section and forget fixed rates, but also consider an offset mortgage.

Good advice Cyberman. Not looking to fix at present - just thought it amusing that they thought both rates were good!! Not sure how they justify them when BoE rate is so low. I know they are based on libor rates but isn't that just set by the banks themselves?
Leave a comment:
Cyberman replied

3 February 2009, 15:36
Originally posted by Mustang View Post

Fixed rate mortgage runs out soon! eek

Rung the mortgage co just now - currently offering svr of 4.69% or a fixed rate "deal" of 4.59%!! Someone in the top brass is "...'Aving a laugh!!"

I did have a bit of fun with the guy on the phone and told him to call me when their rates got realistic!!

Why fix when rates could be low and getting lower for the next year or so ? In fact the bank rate is expected to fall another half point very soon. Most people at the moment are going for Standard Variable Rates because these are falling. My advice would be to check the Mail on Sunday Best Buys section and forget fixed rates, but also consider an offset mortgage.
Leave a comment:
BrilloPad replied

3 February 2009, 15:16
What sort of loan to value percentage are you looking at? How many times earnings?
Leave a comment:
Mustang started a topic Base rate

3 February 2009, 15:07
Base rate

Fixed rate mortgage runs out soon! eek

Rung the mortgage co just now - currently offering svr of 4.69% or a fixed rate "deal" of 4.59%!! Someone in the top brass is "...'Aving a laugh!!"

I did have a bit of fun with the guy on the phone and told him to call me when their rates got realistic!!
Tags: None