LIBOR rate increasing

bigfatmonkey1

Hi guys, does anyone know what it happening with Libor, when i took out out mortgage in july 2007 i was self employed and they based it on LIBOR rather than BOE, we had a 3 year fixed rate of 6.2% that ended July last year, we then dropped to 2.45% above libor, obviously this dropped our payments substantially but it was lucky as i lost my business and had to take out an IVA.

now for the last 3 quarters i have had a letter from out provided (platform Home Loans) that as a result of the Quartile LIBOR review our rate is going up, this is 3rd quarter its gone up in a row


Is this a result of the EURO problems ? starting to get worried as we have no surplus as per the IVA

Farmerbob

Yes its the problems in the Eurozone among other issues, sadly the result is higher LIBOR rates, it's is already affecting mainstream mortgages with higher interest rates.

Thrugelmir

bigfatmonkey1 wrote: »

Is this a result of the EURO problems ? starting to get worried as we have no surplus as per the IVA

The days of cheap money are over. Banks in the Eurozone are lending less. In response to the call for them to strengthen their balance sheets.

poppy10_2

More here
http://www.thisismoney.co.uk/money/markets/article-1645325/LIBOR-Latest-inter-bank-lending-rate-charts.html