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Interest rates to stay low until January 2015

http://www.bbc.co.uk/news/business-22275344

Funding for lending scheme extended from January 2014 to 2015.

Banks don't need our money and therefore do not want to pay us any interest rate that is attractive.

I suppose some fixed deals might disappear or be lowered even further.

Comments

  • jimjames
    jimjames Posts: 18,143 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    I think you're being optimistic.

    I'd say 2017 until the base rate rises if not longer
    Remember the saying: if it looks too good to be true it almost certainly is.
  • talexuser
    talexuser Posts: 3,504 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    I also think that 1 year bonus deals are practically useless if you want cash available for the next few years. Each rate at bonus end will be less than the last. I cannot see all the fixed income voters queuing up for the coalition next election, but then what choice do we really have to get out of this mess?
  • bigfreddiel
    bigfreddiel Posts: 4,263 Forumite
    actually its going to be 2020 or later before there is even a glimmer of an increase in rates

    fj
  • RoxRoxBling
    RoxRoxBling Posts: 475 Forumite
    Conclusion.. don't bother saving, in fact don't bother working, and then the government will help you out.
    Save in 2013: #166: 9,122.51/[STRIKE]5,000[/STRIKE] 10,000
    Interest earned in 2014: £257.61 20/04/14
  • grey_gym_sock
    grey_gym_sock Posts: 4,508 Forumite
    Conclusion.. don't bother saving, in fact don't bother working, and then the government will help you out.

    humour? (i hope)
  • A great window of opportunity to overpay on the mortgage then, whilst the going is good. Then when the rise does kick in, it'll be less of a surprise!
    Mortgage at end 05/2007: £90200
    Mortgage at end 08/2018: £71646 paid £18354 (20.5%)
    MFD: :eek:Original:05/2042:eek:
    Car Finance: £8225 : £6392 (22.2% paid off)
    CC Debt (0% until 06/2020): £5640 : £4400 (21.7% paid off)

    Age of Money at 31/08/2018 = 23 days

    YNAB is changing the way I live my life....and spend my money!!
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