Why people want BoE rate to rise?

movilogo

Isn't it good that they stay low? In most developed countries (Japan, USA etc.) they are very low as well.

Disclaimer: I'm on a tracker mortgage. :cool:

inspector_monkfish

who has said they want them to rise?

Thrugelmir

movilogo wrote: »

Disclaimer: I'm on a tracker mortgage. :cool:

Good now but in the future ?

chucknorris

I certainly don't (tracker mortgages here too). I think the only ones who would want higher rates are those hoping for further property price falls and higher rates would tend to make that more of a possiblity (plus they would earn more on their capital waiting to be a deposit) or those dependant upon savings rates for income

davetrousers

People who have paid off their mortgages and have savings would like interest rate rises.

Cannon_Fodder

I want them to rise. I don't have a mortgage. ;-)

Its not good for the economy as a whole to have an imbalance like this.

Higher rates would encourage more saving, which would be good in the long-term.

Pensioners are having to eat into their small amounts of capital now that interest returns have been limited.

With low rates, deliberately to discourage saving in order to stimulate consumption, what happens when the savings run out...?

purch

People who have paid off their mortgages and have savings would like interest rate rises

I don't.

.....(extra dots for emphasis)

Barneysmom

I'm paying £100 a month less on my mortgage now, so I don't want it to go up.....things are hard enough for us.

1984ReturnsForReal_2

Cannon_Fodder wrote: »

Its not good for the economy as a whole to have an imbalance like this.

Higher rates would encourage more saving, which would be good in the long-term.

Higher rates would see hundreds of thousands of houses repossessed.

It would also mean hunderds of millions more paid in mortgage benefit by the taxpayer to the banks.

It also encourages people to save NOT spend therefore not keeping the money flowing.

If you want to cause a shed load of pain its a good idea to put rates up.

But it will do nothing but harm to the economy.

Really2

Thrugelmir wrote: »

Good now but in the future ?

If you overpay yes, as you hedge your rate.

mitchaa

Me, I do.

Do it in slow stages and the effects wont be felt, so no 2nd stage of crash. Do it in 1 big go, (Like the way they came down) and that may just tip things over the edge for some.

Saying that, and ive said it 100 times before. A 90% LTV mortgage is more expensive now with a 0.5% BR than a 100% LTV mortgage was in 2007 with a 5.5% BR so it makes no odds.

If i were in charge they'd be 1.5% by the year end and 3.5% by year end 2010.