Johnnyboxer
Member
- Location
- Yorkshire
Down by 0.5%....,from 0.75% to 0.25%, as a result of the Coronavirus emergency
BoE drops bank interest rate
- Thread starter Johnnyboxer
- Start date
f**king hell.
- Location
- Lincolnshire
Not much wiggle room left now is there. Still, over 50 years HS2 won't be overly dear!
- Location
- Bedfordshire
The EU are negative and Carney rates the EU.
- Location
- Lincolnshire
I'd like to see my bank pass on a negative interest rate to me.
Magic money tree being shaken quite vigorously.
Magic money tree being shaken quite vigorously.
Steevo
Member
- Location
- Gloucestershire
.....and they want to suggest that the public have no reason to panic!
- Location
- Lincolnshire
They do need to panic. UK productivity is awful. Much of the stimulus has just pumped fairly unproductive assets like gold, houses etc. Then higher house prices have allowed consumer spending to be maintained, but in the form of imports. Our balance of payments shows just how long we have relied on house prices etc to cover our lack of worker output.
It's 90s Japan for us. But at least we are not Italy - the Germans must be fuming that the Italians with their debt to gdp have said they will spend their way out of it.
It's 90s Japan for us. But at least we are not Italy - the Germans must be fuming that the Italians with their debt to gdp have said they will spend their way out of it.
cattleman123
Member
- Location
- devon
Someones seems worried....is this the time to borrow and fix rates...could pay handsomely in the future
- Location
- South Molton
Fixed was under 3% anyway.
Going to ask what it is now as may fix some more
- Location
- Lincolnshire
Bank lending margins will just increase. I'd fix but not if they want 3 over base.
I was on the cusp of paying some back, but will ask the question what the margin on new borrowing is, and consider refinancing the lot.
Sounds like banks might be forced to pass the whole cut on.
- Location
- South Molton
Defeats the object of the cut then?
i would wait a bit longer - this is just the beginning
try getting your head around what a world with negative interest rates looks like !
yellow belly
Member
- Location
- south west lincolnshire
Next month or they may use a stimulas package
I cannot see how pumping money into assets will help
money will be needed for cash flow when no one is spending on anything other than essentials
hospitality businesses are going to get hit big time
- Location
- Lincolnshire
Yes. 2007 margin over base was 0.75 percent for interest only! 2014 was 2 percent for repayment, and 2.25 interest only. Just asked what I could get 250k on a 15 year repayment for. I'll put money on the banks margin being higher. So lower base rate to encourage lending but higher margin = no difference to me on the coal face so hasn't altered my perception of borrowing.
capfits
Member
Denmark is currently running this experiment if you wish to get a better grasp.
And hold on they also have a wealth tax.
Wonder if their peaks and troughs are smoother, have a higher GDP, and better social care systems....
Cutting interest rates for a health related crisis was absolutely pointless.
This is a cashflow issue not a borrowing issue.
There are several countries and historic examples of negative interest rates. Everything changes where it costs u=you NOT to spend money
It will be what makes the carbon bonds that we will all be selling in the future work ................... complex subject but we certainly live through interesting times