MSE News: Santander to raise mortgage SVR in blow to borrowers

bigadaj

Still shows inherited wealth,a nd ideally a title or two, can get you a long way, certainly no brains with our Kirsty, or lady fartinsthorpe or whatever her title is.

AlSelley

As someone who knows Santander UK having worked in the City for very many years I can tell you this has been coming for a long time.

Santander UK are getting hammered in the treasury markets and have real issues securing cheap liquidity, especially GBP and USD. They are been squeezed and have to find the money from somewhere. In this case they go to their customers. This will be part of a trend where they will try to squeeze as much capital out of the business as possible. Expect to see stealth charges on current accounts and credit cards.

Rich66

Hi, I got the letter this morning, thanks Santander ! I reckon I will end up paying about £33 a month more. I can't see the UK govt being happy about this when BoE rates are the lowest ever and the hope is to get the economy moving, that will be £33 less I can spend on goods and services, so the big picture is that if most banks follow it will shrink uk spending on the 'high street' more.

noddynoo

Rich66 wrote: »

Hi, I got the letter this morning, thanks Santander ! I reckon I will end up paying about £33 a month more. I can't see the UK govt being happy about this when BoE rates are the lowest ever and the hope is to get the economy moving, that will be £33 less I can spend on goods and services, so the big picture is that if most banks follow it will shrink uk spending on the 'high street' more.

Nothing to do with Bank of England rate.
People should be made to read the small print when taking out a mortgage and then read it again!

suniil

Got the letter this morning. I just rang up and got offered 4.99% 3 year fixed mortgage. Now it's decision time!

The_Road_Warrior

Rich66 wrote: »

I can't see the UK govt being happy about this when BoE rates are the lowest ever

Err...they don't care!

Rich66 wrote: »

that will be £33 less I can spend on goods and services

Services from India, goods from China? Anyway, really makes no odds just so long as you keep paying your direct taxes!

Rich66 wrote: »

so the big picture is that if most banks follow it will shrink uk spending on the 'high street' more.

Correct, if you still live in the 1970s! But everything these days relies mostly on debt such as purchases based on Credit Cards, Overdrafts, HP and loans. Only your local newsagent is interested in cash!

The "big picture" is all about unsustainable growth which comes from debt! How on earth do you think Gordon Brown managed to get GDP to go into positive territory whilst everything else was going negative during 2009? Easy, it was done through borrow and spend!

brit1234

Mortgage rates are just going to keep going up with the Euro crisis. If we returned to a system where banks encouraged savers things would be different.

Anyway 5% is low so nothing really to complain about. I wish savers were getting 5% interest.

WibbleSnarf

brit1234 wrote: »

I wish savers were getting 5% interest.

That would be nice but nobody cares about savers as we aren't reckless, high-rollers who need rescuing from the consequences of our own actions. If interest rates rose just a couple of percent (both on savings rates and mortgage rates) to stop our savings from being eroded in value by inflation year-on-year, I wonder how many mortgagors would go crying to the state (tax payer) to save them from having to hand their house back to the lender?

Oh, and I thought I'd better point out that you appear to have made a little mistake in your signature - you appear to have your red and green colours the wrong way around!

littlegreenroundthings

In defence of Santander, their 123 credit card is superb - costs £24 per year but that's paid back within a 2-3 months if you use it for petrol and supermarket shopping and then they are essentially paying you for spending money you would have spent anyway

troyathlete

people,

so when will santander raise the svr again 6 months ? 1 year 2 years, whats your thoughts?:j