Interest rates on the Up.

[Hilly]

“bank want to”

I don’t think it’s negotiable I think they are just telling you what is going to happen. That’s how it seems to be with Barclays now

I’d look for another bank if I were you ! Any hint slightest wobble in economy they are first to call loans in , they destroyed many farmers in the 80s .

 

[midlandslad]

I’d look for another bank if I were you ! Any hint slightest wobble in economy they are first to call loans in , they destroyed many farmers in the 80s .

The trouble is they are all the same when it comes to their margins, suck you in with an attractive rate and then ramp it up over time as they know the cost of swapping.

 

[Surgery]

And probably trigger a huge recession as wages are already worth less and less each day

My thoughts too , really scratch my head when you look around at the amount of housing and industrial building flying up everywhere , never in my time has there been so much building and house prices have increased , who will be able to afford them soon , effectively its 1000’s extra a household just to stand still over two years ago and families earning 30k a year that’s massive if having a mortgage to pay that’s increasing too.

it will be messy if we do enter another recession.

 

[Courier]

I’d look for another bank if I were you ! Any hint slightest wobble in economy they are first to call loans in , they destroyed many farmers in the 80s .

Can they call a “loan” in ? - thought that was only on overdrafts.

 

[jendan]

Can they call a “loan” in ? - thought that was only on overdrafts.

Yes they can if you read the small print.Alternatively,all they need to do is pull the overdraft quickly.Then if you default on the loan,that is all the reason they need.

 

[Hilly]

Can they call a “loan” in ? - thought that was only on overdrafts.

Either or .

Can they call a “loan” in ? - thought that was only on overdrafts.

devil is in detail I just saying they are the worst of a bad bunch , play with them T your own peril .

 

[BRB John]

The bank of England interest rate is a joke the banks do as they please anyway. Virgin has increased its secure loan interest to 4.5% above base. So what's another 0.25% on top of the 1% rise we've already seen.

The current inflation we are seeing has nothing to do with spending but has everything to do with political decisions and global markets. Stopping people from spending money isn't going to stop covid or open the Russian gas lines or open borders so we have enough workers to deliver everything.

I can't see how we're going to avoid this incoming recession but I'm sure Boris will be the last man standing...

 

[midlandslad]

I see base rate is forecast to get to 2%. That will slowdown any increase in land values.

 

[Still Farming]

I see base rate is forecast to get to 2%. That will slowdown any increase in land values.

Doubt it. Try when 14% is ever again?

 

[Tarw Coch]

I see base rate is forecast to get to 2%. That will slowdown any increase in land values.

Having borrowed when base rates were in double digits, I’d view anything less than 5% as low

 

[Longlowdog]

The people who put money into banks need a fair chance, borrowers have had it easy for quite some time.
I attribute all the former rock stars making a comeback to the necessity to raise some money after living off of capital for a decade. It used to be you made 5 or 50 million and lived a reasonable lifestyle off of the interest now you just watch your balance going down. Time for savers to get a crack at the whip.

 

[Daddy Pig]

The people who put money into banks need a fair chance, borrowers have had it easy for quite some time.
I attribute all the former rock stars making a comeback to the necessity to raise some money after living off of capital for a decade. It used to be you made 5 or 50 million and lived a reasonable lifestyle off of the interest now you just watch your balance going down. Time for savers to get a crack at the whip.

2% interest is not much use when inflation is 25% money in the bank is nothing but a liability at the moment

 

[icanshootwell]

2% interest is not much use when inflation is 25% money in the bank is nothing but a liability at the moment

money in the bank is nothing but a liability at the moment

I have a mrs that knows how to keep that in check, never a problem here.

 

[jackrussell101]

I see base rate is forecast to get to 2%. That will slowdown any increase in land values.

Interests rates in free fall this morning...

 

[jackrussell101]

 

[Clive]

And there was some bright sparks on here predicting negative interest rates 10 months ago.

that was pre covid - I’m not sure anyone saw that coming !


i still don’t see rates rising much though - to much debt out there

 

[jendan]

Interests rates in free fall this morning...

Whats the logic behind this?

 

[jackrussell101]

Whats the logic behind this?

The bond markets are a safe haven in times of crisis.

As demand for bonds increase, their prices increase, and in turn their yields drop and rates fall.

The bond market is the ultimate market maker as professional investors bet which way interest rates will go, I would say what's happened in the last 24 hours, it's now looking as though base rates won't go as high as might have been thought a month or so ago.

 

[teslacoils]

Balancing act between inflation due to getting richer, and inflation due to a) outside factors like gas and b) rampant increase in money supply. You can't control the latter two with high interest rates - you've got to take the pain.

Now we have the fear factor of what a stop to russian basic resources will do to the European economy and the flight to capital safety of govt bonds.

 

[Clive]

gas rationing ? scheduled power cuts ?

possible ?