Borrower's joy as BoE cuts interest rates again

LandyAndy

aardvaak wrote: »

It sure is bad news for me when they are reduced I earn interest as my only form of income.

It does'nt help anyone to reduce them it just increases inflation for all of us and give the pr*ts that call for the reductions false hope.

You have enough capital to live solely off the interest. Can't say I feel too much sympathy

martinman3

aardvaak wrote: »

Nobody has to buy if people decide to take out such large mortgages/loans it is going to stretch their finances - that's their fault - they should 'nt whinge to the rest of us.

It's like people spend,spend,spend at Christmas then come January when the bills come in they whinge,whinge,whinge.

I'm with you on this but you have to forgive the last few posts. I can remember a few years ago when the media was full of statements made by economy 'experts' saying that low interest rates were here to stay. You can't blame some people for believing them.

Off topic but one of my hates is the difference in attitude by news presenters between when the FTSE100 falls and when it rises over the day. Smiling and cheery if it is up and full of hope that it will rise again tomorrow if not. It is a totally artificial value only supposed to reflect the state of the stock market and only if it falls by a large percentage should it matter. The actual calculations for the FTSE100 value are fudged as much as the CPI and are driven by the fortunes of the very largest companies.

aardvaak

LandyAndy wrote: »

You have enough capital to live solely off the interest. Can't say I feel too much sympathy

But if I start spending my capital to support the lower rates I overall get less interest.

Less capital = less interest earned

poppy10_2

aardvaak wrote: »

But if I start spending my capital to support the lower rates I overall get less interest.

Less capital = less interest earned

Don't spend the capital, spend the interest

KITCHEN1_2

aardvaak,
create a bond ladder.that way you're smoothing out rates available and accordingly are not too disturbed by the inevitable up's and down's.

aardvaak

poppy10 wrote: »

Don't spend the capital, spend the interest

That is what I want to do but with plo*kers calling for lower rates it makes it difficult - that why I say keep interest rates up.

PasturesNew

aardvaak wrote: »

That is what I want to do but with plo*kers calling for lower rates it makes it difficult - that why I say keep interest rates up.

Yes. Let's campaign for 10% interest on savings for those of us living off our interest.

ManAtHome

PasturesNew wrote: »

Yes. Let's campaign for 10% interest on savings for those of us living off our interest.

Maybe we should be joining the chorus for BoE cuts - as they only seem to be accelerating devaluation making cheap foreign dosh more expensive, quite likely domestic fixed rates will carry on moving upwards.

poppy10_2

PasturesNew wrote: »

Yes. Let's campaign for 10% interest on savings for those of us living off our interest.

It's better than campaigning for 4.25% interest rates for those of us living off our MEW. :money:

aardvaak

PasturesNew wrote: »

Yes. Let's campaign for 10% interest on savings for those of us living off our interest.

Lets start a campaign going remember the good days of 15% base rates