Is your bank passing on the cut?

Yorkshire_Bred

For anyone that wishes to ?? please follow the link to the Which website! fill in the form and send the template letter.

http://e-activist.com/ea-campaign/clientcampaign.do?ea.client.id=49&ea.campaign.id=1639

Jvic28

milanos wrote: »

You should receive a letter if you haven't already which will confirm for sure but I'd expect your payment at the end of December will be on the reduced rate, unless you have a fixed payment in place

Hi, I have to call to arrange lower payments as I'm on a yearly review scheme. I called last night and my payments are reducing by £88 from 28th December!! Woohoo! Thanks anyway.

michaels

jpatrick wrote: »

Standard Life's decision is particularly indefensible in my view since 3 month LIBOR has dropped sharply since the Bank of England 1.5% cut- it is now below 4%, which means that the BoE cut has been fully reflected by the LIBOR as it was over 5.5% at the beginning of this month.

Hmm - the key spread seems to be 3 month LIBOR over 3 month projected BoE base which remains at 220+ basis points cf pre crunch single digit basis points hence for banks to maintain the same profitability they need to widen their spread over base by the same ammount - ie an extra 2% approx thus if they were base rate +2% last year they are likely to be base rate plus 4% now

And that assumes the expected default rate and cost per default has not gone up - if these have risen then the spread over BoE should probably be even higher.

Tra77

Tra77 wrote: »

Heard nothing from Coventry BS as yet - but they generally take a while / are one of the last to pass on any rate cuts. :0(

Received letter from Coventry BS on Saturday - they've cut rate!:j

mortgageslayer

No letter from the One Account as yet...

Jvic28

Hi,

I have a Variable mortgage with Leeds. Does anyone have any idea if yesterdays 1% rate cuts will affect it. Have any other mortgage providers dropped rates already?

temba

Jvic28 wrote: »

Hi,

I have a Variable mortgage with Leeds. Does anyone have any idea if yesterdays 1% rate cuts will affect it. Have any other mortgage providers dropped rates already?

I was wondering the same thing about Halifax.

temba

Oh. I just heard on the news that Nationwide and Halifax AREN'T passing on the FULL cut (implication that they are passing on some cut) to their SVR customers

Alan_Cross

Those wondering about where in the 6% range their lender's rate is going to be, check this out:

http://forums.moneysavingexpert.com/showthread.html?p=16482207&posted=1#post16482207

Jvic28

Just had this from Leeds:

Thanks for your email,

Following the reduction in the Bank of England rate last week our Standard Variable rate is once again under review. Once an announcement has been made we will email you with the details.

Regards,

Direct Mortgages
Leeds Building Society
Tel: 08450 50 50 62