Interest rates cut to 0.25% from 0.5% discussion

AndyT678

Kit1 wrote: »

I remember having to work harder to pay my mortgage when it was 14/15/16% and there was no help then. Now l have paid of my mortgage and again l have to suffer, We are the generation who have been stuffed by the government every time. We have to work longer for our pension when will we get our break?

Would you rather have bought a house for £50,000 with a 15% interest mortgage in the '90s or have to buy the same house now for £500,000 with a 3% mortgage rate?

Kit1

AndyT678 wrote: »

Would you rather have bought a house for £50,000 with a 15% interest mortgage in the '90s or have to buy the same house now for £500,000 with a 3% mortgage rate?

Don't forget in those days wages were low too. I wasn't lucky enough to go to Uni free or otherwise l had to get a job which only paid about £500 a month less tax, ins etc and most of that paid my mortgage. Oh and l have to work at least an extra 7 years before l can get my pension as well (and it is now worth nothing anyway) - life just gets better NOT.

Yes house prices have gone up but so have wages.

marathonic

Kit1 wrote: »

Don't forget in those days wages were low too. I wasn't lucky enough to go to Uni free or otherwise l had to get a job which only paid about £500 a month less tax, ins etc and most of that paid my mortgage. Oh and l have to work at least an extra 7 years before l can get my pension as well (and it is now worth nothing anyway) - life just gets better NOT.

Yes house prices have gone up but so have wages.

But the young will have to work longer than this 7 extra years that you speak of - yet you think you are the generation that's being continuously stuffed?

Kit1

Ballard wrote: »

Surely you'd have benefitted from MIRAS.

I don't know what that was/is. We had an endowment mortgage which was also a waste of money but was sold as the best thing ever.

verntern

beecher2 wrote: »

I am sick of having to continually work out where to put my money, and having deals come to an end after a year.

Talk of another rate cut later in the year

Yes, agreed beecher2. You are sick about where to move your money and I am an old man and very weary of continually shifting my savings to get a few extra pounds. For me, time to try Premium Bonds with savings accounts becoming stagnant.

marathonic

Kit1 wrote: »

I don't know what that was/is. We had an endowment mortgage which was also a waste of money but was sold as the best thing ever.

MIRAS - Mortgage Interest Relief at Source

Kit1

marathonic wrote: »

MIRAS - Mortgage Interest Relief at Source

We didn't get any relief or help to pay our bills. We were lucky we didn't lose our home like so many others back then who couldn't afford to pay their mortgage.

enthusiasticsaver

I can see current account rates coming down over the next few years.

However my daughters who both have mortgages have just moved on to new fixed rates and are saving more than £100 per month.

My OH gets a substantial lump sum when he retires this year and I have most of my early retirement fund in current accounts and regular savers. If the rates go down further then I will need to think again. My stocks and shares isa is doing well so I may have to gradually move more and more into that and accept that 2% is the maximum I can get on the money I need to leave accessible.

Dird

Kit1 wrote: »

Don't forget in those days wages were low too. I wasn't lucky enough to go to Uni free or otherwise l had to get a job which only paid about £500 a month less tax,

Wages haven't gone up 10x. Many only just above £1k/month

Nick_C

Kit1 wrote: »

We didn't get any relief or help to pay our bills. We were lucky we didn't lose our home like so many others back then who couldn't afford to pay their mortgage.

Well MIRAS was available up until 2000. I'm surprised you didn't claim it. You possibly did without knowing about it, as your lender would have given you a MIRAS form as part of the mortgage paperwork. You would then have made a lower mortgage repayment, with the tax relief being claimed back from the Treasyry by the lender.