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Mortgage lending in May

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Comments

  • de1amo
    de1amo Posts: 3,401 Forumite
    1,000 Posts Combo Breaker
    Guy from Charcoals on radio 2 at lunchtime couldnt draw any positive conclusions from these figures and his job is to sell mortgage products--i thought he was going to cry when the presenter mentioned that members of the monetry policy committee were voting for rises in interest rates-a sign of a seed change!!
    mfw'11 No68- 55k mortgage İO--little to nothing saved! i must do better.
  • Thrugelmir
    Thrugelmir Posts: 89,546 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Photogenic
    chucky wrote: »
    i know that may seem one dimensional but surely that means that new lending is increasing.

    Bank lending has to viewed in its entirety. For the past 6 months total lending has been contracting as demand/restrictions for business credit are constrained. So money has been available to lend in the mortgage market. Once the wider economy improves and demand for business borrowing increases. Then availability for funds for mortgage lending may well come under pressure. As business lending is far more profitable due to a far higher margin.
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