Borrowing rate

[aangus]

Cheers for all the replies, had a ring round yesterday, and 3.5% seems about the norm that I can find for a 10 year, variable rate, with no over payment penalties, tried amc and the main banks, is this about the bottom line or should I be trying somewhere else? Cheers

Seems a little high to me

 

[farmerm]

Wait till next friday when corbyn takes the reins

Corbyn will hit those of us in the middle, the mega rich will always find ways to out maneuver socialist policies.

 

[glasshouse]

Corbyn will hit those of us in the middle, the mega rich will always find ways to out maneuver socialist policies.

The mega rich didn't manage to out maneuvre the socialists 100 yrs ago

 

[Agrivator]

Cheers for all the replies, had a ring round yesterday, and 3.5% seems about the norm that I can find for a 10 year, variable rate, with no over payment penalties, tried amc and the main banks, is this about the bottom line or should I be trying somewhere else? Cheers

If AMC quote a fixed rate of 3.5% over a long period - say at least 10 years and possibly 20 years, it is much cheaper than a bank at the same apparent rate.

Unlike the bank, AMC will leave you alone and don't ask for annual reviews. But the bank, if the loan is on overdraft, will want annual accounts and charge an annual renewal fee of about 1%.

But the bank will give you a much quicker decision than AMC - a few days compared to at least 6 weeks.

 

[farmerm]

The mega rich didn't manage to out maneuvre the socialists 100 yrs ago

But then they didn’t have private jets and islands in the Bahamas in those days...

 

[glasshouse]

But then they didn’t have private jets and islands in the Bahamas in those days...

But they had large estates, far too large to fit in ones private plane!!

 

[Highland Mule]

But then they didn’t have private jets and islands in the Bahamas in those days...

Maybe not the jet, but about 100 years ago a Scotsman called Andrew Carnegie owned a fair chunk of a rather impressive island on the River Hudson....

 

[glasshouse]

Maybe not the jet, but about 100 years ago a Scotsman called Andrew Carnegie owned a fair chunk of a rather impressive island on the River Hudson....

What is the relevance?

 

[lazy farmer]

If AMC quote a fixed rate of 3.5% over a long period - say at least 10 years and possibly 20 years, it is much cheaper than a bank at the same apparent rate.

Unlike the bank, AMC will leave you alone and don't ask for annual reviews. But the bank, if the loan is on overdraft, will want annual accounts and charge an annual renewal fee of about 1%.

But the bank will give you a much quicker decision than AMC - a few days compared to at least 6 weeks.

That’s nonsense.if you take a loan out with a bank they will leave you alone just the same as the AMC.
Overdraft s are totally different short term lending.

 

[chipchap]

That’s nonsense.if you take a loan out with a bank they will leave you alone just the same as the AMC.
Overdraft s are totally different short term lending.

An overdraft is a very expensive and insecure way to borrow money for anything other than the very short term.

 

[Agrivator]

Why are you taking so long to pay back? Surely best to pay quickly I’d rate is that high. I’ve had same mortgage since 2006 at 0.17% over BoE base rate, so in no hurry, but if it was much higher I’d be shoving all I could into it.

Are you sure you haven't put the decimal point in the wrong place? 0.17% over base? You should have borrowed as much as you possibly could and bought a Highland Estate.

For many of us, a long-term loan is an asset rather than a liability. Provided one can meet the monthly repayments, it allows the acquisition of an appreciating asset which would otherwise have been out of reach.

 

[Highland Mule]

Are you sure you haven't put the decimal point in the wrong place? 0.17% over base? You should have borrowed as much as you possibly could and bought a Highland Estate.

For many of us, a long-term loan is an asset rather than a liability. Provided one can meet the monthly repayments, it allows the acquisition of an appreciating asset which would otherwise have been out of reach.

It’s exactly that, but a mortgage not a loan, and I loaded it as high as they would give me.