the 1 show tonight

cookie1003

hi, i've just been watching the 1 show on bbc 1 & that bald bloke off "working lunch" was on & said that interest rates will almost certainly rise & more than likely double within the next year or so.
the thing is i'm just about to go to remortgage my house on one of the hsbc or first direct 1.79% (60%) tracker mortgages.
should i stick with this offer or should i be looking for a fixed rate mortgage.
if so any good offers out there.
thanks.

GMS

cookie1003 wrote: »

hi, i've just been watching the 1 show on bbc 1 & that bald bloke off "working lunch" was on & said that interest rates will almost certainly rise & more than likely double within the next year or so.
the thing is i'm just about to go to remortgage my house on one of the hsbc or first direct 1.79% (60%) tracker mortgages.
should i stick with this offer or should i be looking for a fixed rate mortgage.
if so any good offers out there.
thanks.

Nobody knows what will happen, all guesswork. Although must admit I find it amusing when these people start talking nonsense.

If somebody said a 0.5% rise that seems to be acceptable.

When it is stated rates will DOUBLE there is panic!

0.5 at present so expected to double to 1%.

betmunch

Well if a "bald bloke" said it, we better all take notice!!!

Seriously though, the only people the KNOW when rates will go up are the people that actually make the decision, and even then they dont all agree!

If you are seriously worried that rates may go up then fix now. Doesnt matter what anyone else thinks, it only matter what you think

dunstonh

said that interest rates will almost certainly rise & more than likely double within the next year or so.

That is typical media spin. Words like "double" hint of bad news but in reality, a doubling of current rates is very little.

Other media scaremonger words to look out for; "since records began" - thats a good one when records only started in the last 10-15 years and have never included a recession. Plummet and Rocket; they are often used for decrease/increase to give greater emphasis. There are many others.

originalmiscellany

I saw it too, and as GMS said, doubling sounds terrible, but doubling 0.5 is still a record low! If we were on 5% and he said this would double and he had a crystal ball, then I'd be worried for sure!

Predicting interest rates is a bit like trying to knit fog - no-one can do it very well.

cookie1003

yep i suppose your all right on not to worry but i started my mortgage it was about 14.5 % interest rates & i 'd be well fk'd if it even got to half that.
i was just wondering how things are going in the mortgage world.

GMS

If you are concerned about rates rising then you really should be looking at a fixed rate. Nobody can tll you how long rates will take to rise, or to what level they will be.

If you fix your rate at least you will know your payments.

Work out which is best for you. Do not be pushed in to anything.

Only you know your attitude to risk.