BofE Base Rate - October 2008

mewbie_2

StevieJ wrote: »

It has been looking obvious for a couple of months, but say it quietly.

StevieJ you are wasted on here. I need an eternal optimist like you to come and see me, tell me how funny, clever and handsome I am, how I'm a winner with the Ladeez and will be a total success in whatever career path I choose. With your positive outlook you would make a helluva therapist.

StevieJ

mewbie wrote: »

StevieJ you are wasted on here. I need an eternal optimist like you to come and see me, tell me how funny, clever and handsome I am, how I'm a winner with the Ladeez and will be a total success in whatever career path I choose. With your positive outlook you would make a helluva therapist.

Unfortuntely I can only tell it as I see it.

Gorgeous_George

StevieJ wrote: »

Unfortuntely I can only tell it as I see it.

Can I have some of what you're on?

GG

StevieJ

Gorgeous_George wrote: »

Can I have some of what you're on?

GG

You sound like your on something a lot stronger.

Ian_Griffiths_Halifax

Ian_Griffiths_Halifax wrote: »

That's the whole point of the Key Facts Illustration and I recon that any lender who tried to use a 'small print' clause of a T & C booklet might get a quick slap from the FSA.

From Mortgage Introducer.......

FSA says tracker loan "collars" may be unenforceable

3 December, 2008

Speaking at the CML conference yesterday, Jon Pain, the FSA's retail market manager gave warning that minimum interest rates on tracker mortgages could prove to be unenforceable if the terms were not set out in the lenders Key Facts Illustration (KFI)


He said: "Whilst tracker interest floors can be a legitimate term of a mortgage, this can only be if it is clear and unambiguous to the consumer and is consistently and prominently spelt out in the initial KFI and offer document throughout the sales process. If it is not you run the real risk of both breaching our disclosure requirements and having an unfair contract term you can't enforce."

This could mean that the Halifax who removed details of its 3% collar from its KFI's in 2005 could have to pass on any future rate cut to the 550,000 customers who are on tracker mortgages.

Generali

StevieJ wrote: »

Unfortuntely I can only tell it as I see it.

Things are going to start getting interesting in the FX markets pretty soon IMO. It looks like everyone is trending interest rates to 0% or thereabouts. However, traditionally some countries have had to maintain a higher level of interest rates to stop their currency from collapsing. The UK is one of those countries.

So what happens? Does the MPC just slash rates and to hell with the currency or do they feel the need to support Sterling? After all there is nothing in their mandate that states that they need to consider the FX market particularly, just that they have a target CPI rate and that they need to support Government Policy. As far as I am aware, the Government has no explicit FX policy so in theory Sterling can go to hell. In practice I guess if the quid falls too far the Chancellor will announce his Sterling policy and the MPC will have to support that.

purch

start getting interesting in the FX markets pretty soon IMO. It looks like everyone is trending interest rates to 0% or thereabouts

Looks like the first one to actually get to 0% ends up with the strongest currency !!!

Come of Merv...........it's about time the U.K was first in something !!!!!