- Location
- Bury St Edmunds
US dropped their rate by .5% and Canada have done the same. When do BOE next meet, will ours drop? My guess is yes.
BB
BB
Interest rate
- Thread starter Banana Bar
- Start date
- Location
- Lincolnshire
Yes. Although probably only a quarter point at first.
Steevo
Member
- Location
- Gloucestershire
Agreed, I'd expect it to drop by quarter point to 0.5%
- Location
- Northern Ireland
I wonder how many decades it will take to see interest rate rise to even 5%
- Location
- Lincolnshire
I think we will be following the Japanese route of interest rates / productivity etc for a good while now.
John Slejpner
Member
- Location
- Brick clay near Bedford
- Location
- leics/warks border
That used to be the case when the base rate was higher. I think you will find it's much more now. The banks have been making their own rules since it dropped in 2008.
Pilatus
Member
Excuse me asking what range of interest rates are banks roughly charging for ongoing business ongoing overdrafts.
Is 10% high ?
Is 10% high ?
Many thanks, I will be on to our bank this afternoon.
- Location
- East Sussex
John Slejpner
Member
- Location
- Brick clay near Bedford
More than 3 if the current yield on 30 year Treasuries / Bonds is to be believed.
If is symptomatic our situation that the only logic to holding long dated bonds is that yields could go even lower.
No wonder gold is on the move.
John Slejpner
Member
- Location
- Brick clay near Bedford
Good luck but be careful.
Our ongoing business ongoing overdraft might also include a mortgage and a comfortable amount of tangible asset.
While we could go insolvent we probably cant go bankrupt (and it would be End of Days scenario if we did )
Our O/D is heavily used in part of the year and usually for 10 + months of the year it is in use to some extent. We are paying £1000 per 100k for the right.
I can imagine a scenario, which might be you, where NOT paying such an arrangement fee but paying much higher interest makes absolute sense.
But 10% interest even with no fee would not pencil out the way we use our O/D.
Northeastfarmer
Member
- Location
- Cleveland
How can you drop interest rates when they are already fudge all...you’ll have to start paying the bank to look after your money before long
ISCO
Member
- Location
- North East
- Location
- Northumberland
The banks will argue that insolvency is being bankrupt.Gone are the days when you thought you were safe when your assets always exceeded your liabilities by a decent amount.In any case it will never be allowed to be more than about 65% loan(all loans including overdraft,farm mortgage, hp, etc.) to value.If you run out of cash,and the bank will not support you anymore,you will be bust! Then you will have to sell assets,and probably will only have a 90 day time frame in which to do it.Once land agents and "consultants" know you are in trouble,you will become a target to get ripped off at every opportunity.
- Location
- Northumberland
There are plenty of interest rates paying a negative yield,believe it or not.Big big funds actually paying governments to hold their money.
The world has changed. Banks are no longer the place to grow your money.
- Location
- Wales UK
HSBC and others shoving arranged overdrafts fee's up to nearly 40% next week???
Mine is 2.8% over base this year and last year was 2.6% over. Very quietly they have been pushing it up over the past few years. Definitely used to be in the ones. If it gets to 3% next year I think it will be time to ask around again.
Which bank is that please Will?
- Tags
- interest rate lloyds yields