Monday, January 7, 2008
BoE rate cuts helping borrowers? I would not “bank” on that!
"The cost of the typical home loan has soared to a seven-year high with families facing mortgage bills more than 20 per cent higher than two years ago as the effects of the credit crunch take their toll." "policymakers at the Bank of England are having less and less influence on what rates home owners actually pay."Most lenders have failed to cut their fixed rate deals - taken out by two-thirds of new borrowers - since the last Bank of England cut in the base rate." But the Pound accrues heavy drops every quarter-point rate cut!