5% Interest Rate

savvykaz

How will this latest hike in the interest rate affect all you guys? Hopefully, our mortgage will only rise by about £8 pcm, but that's just my guess:rolleyes:

Ali-OK

It all depends on the type of mortgage people have - I'm on fixed at 4.99% for 3 years, so it won't affect me that way. I heard on the radio this morning that people probably have a 1-2 week window to get a still decent fixed rate deal.

It won't affect my cc's as they're on LOB rates.

It will hopefully affect the monthly savings I make for annual bills, as that rate should rise too.

As someone who had a mortgage back in 1986, I do remember the days of high interest rates (10-15%) and the pinch of paying out an extra £7 each time it went up 0.25% and I feel for those who will get stung by it.

roswell

i guestimate your monthly mortgage increase is £9.75 a month the good news is you have a small mortgage though compaired to many but for many this could be and extra £30 a month or in a yearly scale £360 a year which will have a bigger impact.

savvykaz

Cheers for the maths, roswell;)

Broken_hearted

Mortgage will be fine as it's fixed rate. Capital one will be going in december so might lose a couple of £ there. Barclaycard will be a pain. hopefully we shouldn't be hit to bad.

chinagirl

My mortgage is for £86,000, repayment Tracker at 0.49% above the base rate, what will the monthly increase be please? Paying £550 a month at mo.

roswell

for a rough guesstimate its

Outstanding amount X 0.25 % = / 12 to get monthly

As i say this is a rough figure but for you Chinagirl its £17.91 this is assuming that the banks pass on the full 0.25% increase

jcr16

my parents mortgage will increase by 15 pounds.

Seaxwyn

Roswell, I can't understand that sum you posted. My outstanding mortgage is 153,315 - currently paying £703 monthly interest only. How much do you estimate it will go up?

Sorry but I have done it three times on the calculator and it comes out different each time.

roswell

£153,315 X 0.25% = £383.29 (extra a year)

£383.29 / 12 = £31.94 (Extra a month)

As i say it wont be exact but it should be close enough.

Seaxwyn

Thanks Roswell, I appreciate your taking the time to do that. I got roughly the right figures but was never sure where the decimal point should go. Now where will I find that £32....