Worried about interest rate rises

mummy2aimee

I think Halifax is probably my only option. Our current fixed rate is 4.39% and with the increase in interest rates we are going to need to add our loan onto the mortgage as to lower our monthly payments. By doing this our mortgage is probably going to be at about 95% so dont think anyone else will give us a mortgage.

luckyfool

mummy2aimee wrote: »

I think Halifax is probably my only option. Our current fixed rate is 4.39% and with the increase in interest rates we are going to need to add our loan onto the mortgage as to lower our monthly payments. By doing this our mortgage is probably going to be at about 95% so dont think anyone else will give us a mortgage.

If your loan is unsecured and with someone else then there is no guarantee that Halifax will grant you the further advance to consolidate it.

Speak to someone asap, I would recommend a broker so they can look at all your options.

luckyfool

sarkin wrote: »

Had an email from RBS this morning and they are raiseing the 2 year fix by 0.2%

Can I ask why no one has thought about contacting a broker for quotes, you dont have to use them but they will source the whole market.

I'll be having words with my RBS bdm, haven't received any notification on that myself!

zorber

dunstonh wrote: »

Next move, when it comes should be downward. Nothing out there suggests rates will be going up, as far as Bank of England rate is concerned.

It really doesnt matter what the bank of england says about interest rates, the important rates are the interbank exchange rates, they are currently on the upward trend again due to the uncertainty in the financial market.

http://www.orange.co.uk/money/mortgage/25734.htm?linkfrom=hp4&link=hero_pos_1_link_subtitle&article=080924x1300x2heromoneymortgageratessettoclimb

not sure what to believe myself

jayoh

re rise in interest rates

I am a bit concerned about this as we are stuck on Northern Rock's SVR as we don't have enough equity to remortgage (probably about 95% - but that's our opinion not that of a valuator) & as we would incur a higher lending charge plus the product costs plus solicitior's costs, just wouldn't pay us to remortgage for yet a while. So because of this any interest rate increase would severely affect us - I feel really vunerable!

Anyone have any opinions on whether we are likely to see any increase in the near to mid term future?

beecher

jayoh wrote: »

re rise in interest rates

I am a bit concerned about this as we are stuck on Northern Rock's SVR as we don't have enough equity to remortgage (probably about 95% - but that's our opinion not that of a valuator) & as we would incur a higher lending charge plus the product costs plus solicitior's costs, just wouldn't pay us to remortgage for yet a while. So because of this any interest rate increase would severely affect us - I feel really vunerable!

Anyone have any opinions on whether we are likely to see any increase in the near to mid term future?

This thread is more about the rates which banks offer rather than the Bank of England's rates. Who knows what'll happen with BoE - it is my guess they'll stay where they are for now, with maybe a cut in November? I think next year they'll head upwards though. You should probably factor in a 0.5% increase and start putting that aside just in case - at least you'll be overpaying in the meantime.

jayoh

This thread is more about the rates which banks offer rather than the Bank of England's rates.

Sorry my mistake. Thank you though for the advise, I will heed it and prepare accordingly!

superbantam

Mummy2aimee, (& others)

Thanks, my mortgage with hbos expired at end of Dec too & I've just been onto them this morning and rearranged, which I wouldn't of thought possible without seeing your post.

By the way, the first person I spoke too thought it was only possible 2 months before but he put me through to someone else (in renewals?) who then went through it all with me.

mummy2aimee

hi superbantam, do you know what number you called? Everyone i speak to keeps saying i have to wait till 1st October? Thanks

beecher

Yeah, I've rearranged mine too - my payments will go up by less than £10/month which is quite a relief!! They do the full Mortgage Review online and mine took about 15 minutes. Glad to have it all sorted in these uncertain times.