Is your bank passing on the cut?

Mozzaroo

Alliance and Leicester haven't dropped their interest rate as yet, and apparently it is under review. Whilst they have no obligation to do so, is there any recourse ie how can we as customers put pressure on them considering that many lenders have dropped their rates and there has been government pressure.

rayj973

Nope! well not much of it, I've just had my letter, my rate is dropping from 7.48% to 7.33% I don't know how I'm gonna spend the extra money all £11 of it

saffouri

Scarborough BS - their website still says their SVR is 7.24% :mad: - but when we rang them on Monday, they said they were going to take a decision at a board meeting on Tuesday. However they also said that things are 'more complicated' as decisions now need to be co-ordinated also with Skipton BS as the two are merging.

What's annoying is that in the hours after the 1.5% cut in base rate was announced, I managed to just get in there to open a fixed rate savings account through Saga - but we need to send everything in by 30 Nov. to get the pre-cut rate. If Scarborough don't pass on a cut, then it's probably not worth opening the Saga account (and instead we'd be better off putting more money towards the bloomin' mortgage)... but we may not know this before the end of the month.

saf

milanos

Nationwide tracker and recd a letter saying the full 1.5% was being passed on.

One thing that I'm unsure about though is whether their BMR is coming down as my discount period is ending early next year and thought their BMR had to be no more than 2% above the BoE Base Rate, yet I'm still seeing 6.19% being quoted on their website.

herbiesjp

Effective 1 December 2008, Chelsea Building Society standard variable rate will reduce to 6.94% with a further reduction to 5.79% effective 31 December 2008.

Hope this helps any Chelsea customers on SVR

Jennifer_Jane

martinman3 wrote: »

This is very odd, their website says that their SVR is 6.79% effective from 24th Nov. They have also just announced that their savings rates are dropping by 0.3% from 24th Nov.

Has the latest letter travelled back in time from the future ?

Edit: It seems that you won't be on the 5.29% rate until 24th Dec. It makes a good Xmas present though.:)

Their letter was received the day I posted and says 5.29% from 1st Dec (reduced from 6.79%). I didn't want to remortgage when I came off the discounted fixed rate because I want to pay it off next August, so didn't want the cost of remortgaging. The decrease is very welcome.

Why were you checking the web?

(Sorry to go off-thread.)

Jen
x

Aeshna

Britannia - cut rate in October, can't recall by how much, but got home to a letter today confirming reduction of SVR from 6.30% to 5.30% effective 1st December.

Aeshna

michaels

HSBC have gone from having historically competitive mortgage standard variable rate to one of the highest having only passed on 81 basis points of the combined 200 basis points cut. As this is how they treat their loyal customers, costing them thousands of pounds a year on average I would recomend not taking any financial products from them or First Direct if at all possible.

TighterThanTwoCoatsOfPain

michaels wrote: »

HSBC have gone from having historically competitive mortgage standard variable rate to one of the highest having only passed on 81 basis points of the combined 200 basis points cut. As this is how they treat their loyal customers, costing them thousands of pounds a year on average I would recomend not taking any financial products from them or First Direct if at all possible.

Interesting take... can you qualify this for me? I cant see how they are mistreating you in the slightest.. Would you not agree their SVR is one of (if not THE) best on the market EVEN if you ignore the added benefits that FD mortgages bring?

Perhaps if the Base rate goes down to 1% and the average market SVR is say 3% you will almost be wanted FD to pay you? :rolleyes:

michaels

OK - since the 200 point cut in base rates Nationwide have passed on 181 points cf 81 for hsbc

1 October svr - Nationwide 6.5%, Hsbc 6.25%
10 December Nationwide 4.69%, Hsbc 5.44%

Clear enough I think?

Forgot to mention for the previous 10 years HSBC had not been more than 1.25% above BOE and now they are 2.44% which sounds like screw loyal (and locked in) customers to me.