Loan News & Information
Understanding Car Insurance Discounts
Posted 2008-04-24
Trying to save money wherever you can is important to us all. Car insurance should be no different. Do not assume that your agent knows everything about you and your vehicle. Drivers should take advantage of all discounts that many...
Read Understanding Car Insurance Discounts
-
Delicious -
Digg -
Reddit -
Facebook -
Stumbleupon
Some Call for Larger Interest Rate Cut
Posted 2008-03-18
In reaction to the Bank of England’s recent decision to cut the interest rate to 5.25 per cent, mortgage lenders announced they will pass on the savings to borrowers. The Bank of England’s decision to cut the rate was based...
Read Some Call for Larger Interest Rate Cut
Offset Loans Can Save Consumers Money
Posted 2008-02-18
Intelligent Finance, a division of Bank of Scotland initiated in 2000, recently released research showing that if offset loans were as popular in the U.K. as they were in England, U.K. residents could collectively save £345 billion or nearly £70,000...
Read Offset Loans Can Save Consumers Money
Benefit of Fixed Rate Mortgages Seen
Posted 2008-02-17
With the majority of fixed rate mortgages offered only lasting for five years, Chancellor Alistair Darling recently made a call for 25 year fixed rate mortgages to increase in opportunity-and even become normal-in the future. Currently, Nationwide is the only major mortgage lending company in the U.K. that offers a 25 year fixed rate mortgage. Chancellor Darling’s reasoning behind his desire for wider availability of affordable long-term fixed rate mortgages is to bestow homeowners with added security in the current unstable financial conditions. Chancellor Darling explains, “For many households, particularly those on low incomes, fixing the level of mortgage repayments for several years makes real sense. It can also contribute to wider macroeconomic stability. The popularity of the fixed rate mortgage is apparent. After Nationwide initiated the offer of their 25 year fixed rate mortgage in March 2007, they announced that it sold out within only five weeks. ...
Read Benefit of Fixed Rate Mortgages Seen
Bank of England Cuts Interest Rate
Posted 2008-02-16
The Monetary Policy Committee (MPC), whose panel of nine members meet every month to discuss and set the interest rate for the U.K., recently decided to cut the interest rate by .25 per cent-down to 5.5 per cent. The Bank of England made the decision for a low cut to address slow economic growth while keeping an eye on inflation. John Charcol’s Ray Boulger reflected that most experts expected the cut. He explained, “With the MPC receiving significant criticism for not cutting the rate for a second consecutive month in January, after a unanimous vote for the December cut, together with discussion on whether a .5 per cent cut might be necessary to achieve economic stability, there was never any real doubt on the outcome of today’s meeting.” ...
Read Bank of England Cuts Interest Rate
Interest Rate Predicted to Fall Through 2008
Posted 2008-02-15
Financial experts, Global Insight, stated recently that they forecast interest rates to fall for 2008 and early 2009. Specifically, Global Insight predicts that by the end of 2008, the interest rate will have fallen to 4.5 per cent, and will continue to fall to 4.0 per cent in the beginning of 2009. Currently, the interest rate is at 5.5 per cent, with an expected cut by the Bank of England of at least a quarter per cent coming on Thursday. Chief European and U.K. economist at Global Insight, Howard Archer, explains that, “This [prediction] is based on out assumption that the U.K. will avoid recession, but will see extended below-trend growth.” In addition to the interest rate forecast, Global Insight set the gloomy prediction that the Gross Domestic Product growth will be “the equal weakest performance since 1992,” of approximately 1.8 per cent in 2008 and 2009. ...
Read Interest Rate Predicted to Fall Through 2008
CML Concerned Over Mortgage Fraud
Posted 2008-02-14
According to Council of Mortgage Lenders (CML), the trade association for the mortgage lending industry, U.K. mortgage lenders want increasingly tighter rules so that mortgage fraud is reduced. Specifically, the mortgage lenders are upset about sales of newly built city centre flats. Mortgage lenders are concerned that in the current unstable property market conditions, developers are offering deals of buyers that inflate the new home’s cost. Many of these deals include cash-back offers, free holidays, paid legal fees, and buying white goods. The CML publication states, “In recent years, discounts and incentives have had the effect of making the real value of new homes less than transparent. This is bad news for genuine buyers and for lenders. Buyers may find themselves with a mortgage worth more than the property’s value, while lenders may find themselves exposed to fraud and the risk of loss.” ...
Read CML Concerned Over Mortgage Fraud
Manchester’s Home Market is Affordable
Posted 2008-02-13
Manchester has a lot to offer its residents: affordable housing in a city centre with everything one would expect from city living. Exactly how affordable? Real estate provider Savills states that first-time home buyers can find plenty of options for around £100,000, while living in the city centre. Savills residential investment consultant, Tom Rogers, explains that in Manchester, “There is a lot on offer. The market is going through a little blip at the moment but as far as property prices go, I think they are quite fairly priced in Manchester. A one-bedroom apartment is still quite affordable and that’s city centre living .You wouldn’t get that in London.” Further extolling Manchester’s pluses, Mr. Rogers continues that Manchester has grown “significantly” in the past few years and is “still growing.” This observation is corroborated by Manchester’s website, manchesterfacts.com, which states that Manchester will commit £4.9 billion to construction projects over the next ten years. ...
Read Manchester’s Home Market is Affordable
Younger Consumers More Apt to Choose Debt Consolidation Loans
Posted 2008-02-12
According to new research from Halifax, younger consumers, in the 20-29 year old age group, are the most likely consumers to opt for a debt consolidation loan. Debt consolidation loans are the second most frequent option for the 30-39 year...
Read Younger Consumers More Apt to Choose Debt Consolidation Loans
Loans are Available for First-time Homebuyers
Posted 2008-02-11
First-time homebuyers should not be dismayed by the plethora of news reports and discussions expounding on the crisis in the mortgage industry. Although it is true that there are fewer loans available for 100 per cent of property value and that eleven mortgage companies have reduced their maximum loan amounts since December, 2007, Moneyfacts.co.uk wants first-time buyers to understand loans are still possibilities for them. Darren Cook, head of mortgages at Moneyfacts.co.uk, explains that though mortgage companies are tightening their lending practices, first time buyers can still receive appropriate loans. He explains, “It’s not all doom and gloom for first-time buyers, it’s just that in the current mortgage market, [mortgage lenders] are not sure what is going to happen so they are being a bit prudent.” ...