Sign this ePetition to get NRAM to reduce SVR

wraydavid

NRAMs SVR is currently set at 4.79% which is bordering on criminal when the taxpayer owns the bank and the BOE base rate is at 0.5%, by reducing this rate NRAM could release hundreds of pounds per mortgage per month back into the economy and help with the recovery, please sign the ePetition!

epetitions.direct.gov.uk/petitions/28227

Senior_Paper_Monitor

- or, on the other hand, it could increase it and improve the return (or just reduce the loss) to the majority of tax payers who are not benefitting from a northern rock mortgage (only 46,000 are - and I seeem to recall that might have reduced slightly with some NRAM contracts sold on to Virgin Money in addition to 'the good bank').

NRAM are not returning on the considerable public investment - merely paying off some items very very slowly.

Details are here .. http://www.n-ram.co.uk/~/media/Files/N/N-RAM/content/results-presentations/2011-annual-report-accounts.pdf

The_Road_Warrior

wraydavid wrote: »

NRAMs SVR is currently set at 4.79% which is bordering on criminal

Really? What law are they about to break?

betmunch

The_Road_Warrior wrote: »

Really? What law are they about to break?

Damn it I wanted to ask that! Could you please specify exactly what interest rate a lender goes from legal citizen to criminal?

If 4.79% is so bad, where was the OP's campaign to get other lenders with even highers SVRs to reduce theirs before NRAM's?

wraydavid

wow some serious hate to a newbie, thanks for the lovely welcome! I believe there are many such petitions for the other lenders so if you fancy looking those up then be my guest. I'm not the petition creator merely someone who believes that NRAM is likely to put a lot of people into serious financial difficulties and run the risk of arrears and default and then the taxpayer getting significantly less back then if the full loan is repaid at a sensible rate. FY2011 £258m loss from repossessed houses sold at less than loan value.

Apologies for using a common phrase, i admit no law is to be broken and indeed all the time Wonga etc are around touting 4000%+ loans for payday then an SVR of 4.79% is fantastic.

noddynoo

4.79 is historically low. bring it on I say and other banks follow suit

bigadaj

If you can't afford a mortgage at that rate, allowing extenuating circumstances, then you shouldn't have got a mortgage in teh first place, rates averaged over 8% throughout the eighties and nineties.

Thrugelmir

wraydavid wrote: »

NRAMs SVR is currently set at 4.79% which is bordering on criminal when the taxpayer owns the bank and the BOE base rate is at 0.5%,

Where can NRAM borrow funds at 0.5% from?

brit1234

wraydavid wrote: »

NRAMs SVR is currently set at 4.79% which is bordering on criminal when the taxpayer owns the bank and the BOE base rate is at 0.5%

What is criminal is savers are being robbed to give mortgage holders low rates like 4.79%.

meer53

Who in their right mind thinks a petition is going to get a mortgage lender to reduce rates ?

I once paid 15% for a mortgage. Many years ago !

grey_gym_sock

i once got 15.33% on a savings account. inflation was about 10%, though.

bank base rate is a bit of red herring now. both mortgage and savings rates are higher relative to bank base rate than they used to be. (perhaps the bank of england doesn't have quite the power to set interest rates that it's thought to have.)

4.79% is not a bad rate for an SVR. if ppl can remortgage to a better rate, they should. most of the lenders are playing the game of setting a relatively high SVR, so that ppl who can't remortgage are stuck on it. nram is doing that a bit, but not more than most - and arguably it should be doing that, in an attempt get more of this mortgage book, which the public sector doesn't really want to own, repaid.