Interest rates by the end of '09

[Bernie-the-bolt]

Reading this thread here, where do you think interest rates will end up at the end of 2009......

[anonymous-user]

1% i think.

[Skipppy]

I don't think interest rates will rise throughout 2009 at all.

[Bernie-the-bolt]

I'm reflecting on the thoughts of others securing and recommending fixed rates.

Currently I'm with HSBC @ .29% ABR tracking as per it should....... but I wonder if at some point during '09 I should fix and take a risk..?

[scotal]

Bernie-the-bolt said:

I'm reflecting on the thoughts of others securing and recommending fixed rates.

Currently I'm with HSBC @ .29% ABR tracking as per it should....... but I wonder if at some point during '09 I should fix and take a risk..?

That is what an awful lot of my clients are looking to do. Try to find a rate somewhere near the bottom, then slap into a decent fixed rate (If you fix at 2.99% for 10 years that 2.79% of downside compared to your HSBC loan if rates go to 0 and stay there versus unlimited downside if you are fixed at 2.99% and rates go to 6-8-10%)

The problem at the moment is finding the decent deals. The lenders are watching for todays decision.
C&G have already pulled their trackers and Woolwich have said they will likely do the same.

[anonymous-user]

scotal said:

Bernie-the-bolt said:

I'm reflecting on the thoughts of others securing and recommending fixed rates.

Currently I'm with HSBC @ .29% ABR tracking as per it should....... but I wonder if at some point during '09 I should fix and take a risk..?

That is what an awful lot of my clients are looking to do. Try to find a rate somewhere near the bottom, then slap into a decent fixed rate (If you fix at 2.99% for 10 years that 2.79% of downside compared to your HSBC loan if rates go to 0 and stay there versus unlimited downside if you are fixed at 2.99% and rates go to 6-8-10%)

The problem at the moment is finding the decent deals. The lenders are watching for todays decision.
C&G have already pulled their trackers and Woolwich have said they will likely do the same.

Surprise surprise, but no doubt Lloyds will adjust their savings rates TODAY. I'm fking sick of this.

[tonyvid]

anonymous said:

[redacted]

That will happen when imported plasma tellys and other goodies go up 30% because of the falling pound...

[scotal]

Dave_ST220 said:

scotal said:

The problem at the moment is finding the decent deals. The lenders are watching for todays decision.
C&G have already pulled their trackers and Woolwich have said they will likely do the same.

Surprise surprise, but no doubt Lloyds will adjust their savings rates TODAY. I'm fking sick of this.

To be fair to them, they are the only lender who has confirmed that if rates go to zero, existing borrowers will see that benefit. Apart from that they're rubbish.

[anonymous-user]

scotal said:

Dave_ST220 said:

scotal said:

The problem at the moment is finding the decent deals. The lenders are watching for todays decision.
C&G have already pulled their trackers and Woolwich have said they will likely do the same.

Surprise surprise, but no doubt Lloyds will adjust their savings rates TODAY. I'm fking sick of this.

To be fair to them, they are the only lender who has confirmed that if rates go to zero, existing borrowers will see that benefit. Apart from that they're rubbish.

At the cost of savers no doubt? Jesus i heard they were thinking about NEGATIVE interest for savers!!!!

[Dunk76]

scotal said:

Dave_ST220 said:

scotal said:

The problem at the moment is finding the decent deals. The lenders are watching for todays decision.
C&G have already pulled their trackers and Woolwich have said they will likely do the same.

Surprise surprise, but no doubt Lloyds will adjust their savings rates TODAY. I'm fking sick of this.

To be fair to them, they are the only lender who has confirmed that if rates go to zero, existing borrowers will see that benefit. Apart from that they're rubbish.

My mortgage is with C&G, just come out of it's fixed discount period this month and dropped £150pcm

They were showing considerable enthusiasm at getting me onto a new fixed deal last month.

I was seriously considering it until they said that we now index link the value of your property and you're 76% LTV, so just outside the 75% needed for the best rate.

Funny that

[scotal]

Dunk76 said:

scotal said:

Dave_ST220 said:

scotal said:

The problem at the moment is finding the decent deals. The lenders are watching for todays decision.
C&G have already pulled their trackers and Woolwich have said they will likely do the same.

Surprise surprise, but no doubt Lloyds will adjust their savings rates TODAY. I'm fking sick of this.

To be fair to them, they are the only lender who has confirmed that if rates go to zero, existing borrowers will see that benefit. Apart from that they're rubbish.

My mortgage is with C&G, just come out of it's fixed discount period this month and dropped £150pcm

They were showing considerable enthusiasm at getting me onto a new fixed deal last month.

I was seriously considering it until they said that we now index link the value of your property and you're 76% LTV, so just outside the 75% needed for the best rate.

Funny that

Their fixes arent market leading either.

[Hedders]

Dave_ST220 said:

At the cost of savers no doubt? Jesus i heard they were thinking about NEGATIVE interest for savers!!!!

That would just be for us poor mugs in the UK though, surely? Could we get around that by banking with a foreign bank or something?

[scotal]

Hedders said:

Dave_ST220 said:

At the cost of savers no doubt? Jesus i heard they were thinking about NEGATIVE interest for savers!!!!

That would just be for us poor mugs in the UK though, surely? Could we get around that by banking with a foreign bank or something?

You mean converting your GBP to Euros (at cureent rates) then banging them in overseas? FX risk and rate risk all in one neat little package.
(You'd have to check what protection you'd get in the event of the foregin bank going under too)

[Hedders]

scotal said:

You mean converting your GBP to Euros (at cureent rates) then banging them in overseas? FX risk and rate risk all in one neat little package.
(You'd have to check what protection you'd get in the event of the foregin bank going under too)

TBH I hadn't got that far with the thought process! I figured you could just open a French (for example) savings account and punt your (already taxed in the UK) money over to it.

Not that simple anymore, eh?

[Welshbeef]

tonyvid said:

anonymous said:

[redacted]

That will happen when imported plasma tellys and other goodies go up 30% because of the falling pound...

But in a downturn the Plasma 50inch etc are no longer what the consumer is buying so it needs to be out of the basket to reflect what we are actually buying and therefore the "average" inflation.

As for their prices rising... well that would be if UK shops didnt have huge stock levels of them but they do hence Comet/Tesco/Costco all selling them off at such a low price. Actually if your current TV is 10-15 years old nd a bit tatty now is a great time to spend £500 on a 42inch LCD/Plasma and then run that for 10-15 years again.

[Welshbeef]

Remember in Europe everyone pays for their currnet accounts & thats not the "premium" ones just bog std accounts. We get them for free - for now at least and we used to pay for credit cards... we now get them for free how much longer though.

A friend has a BOR -x% tracker and he has received a letter stating that if there is the case that his rate would be negative then every month the bank would clear some of the capital from the mortgage balance - they wouldnt give him cash back (it runs for another 2-3 odd years too... lucky sod).