Lenders 'should pass rate cuts on' to secured loans holders - Loans - News - Moneyfacts


Moneyfacts.co.uk News brings you the latest financial & economic news & reviews of the best products in the UK by our team of money experts.

Lenders 'should pass rate cuts on' to secured loans holders

Lenders 'should pass rate cuts on' to secured loans holders

Category: Loans

Updated: 31/10/2008
First Published: 27/10/2008

This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Further calls have been made for lenders to pass on interest rate reductions to secured loans holders.

The Homeowners Advice Centre has stated that the government and the Bank of England have been taking the "right kinds" of steps, but consumers are yet to see the benefit.

Such steps include the Bank's decision to lower the official base rate of interest by 0.5 per cent to 4.5 per cent earlier this month.

Advisor at the body Al Elliot remarked that first-time buyers in particular would benefit from lower rates and that lenders should recognise that profits will not be as high over the next year.

But he added: "As it is ... I can't see them passing up profit opportunities and therefore will seek even more repossessions this coming year."

The Council of Mortgage Lenders recently predicted that around 45,000 properties will have been repossessed by the end of this year.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Blue Monday hits nation’s finances

Today has been dubbed Blue Monday – the most depressing day of the year – and considering how many people could be battling with their finances this month, it’s little wonder.

Calls to make the loans market clearer

At first glance the personal loans market may seem simple enough, but get into the nitty gritty and it can be anything but. As a result, some are calling for action to make the market clearer and fairer for all.

Get the cheapest ever personal loan!

Have you woken up with a financial hangover after the festivities? Perhaps you’ve got big plans for the year ahead, or maybe you need a new car? Well, whatever your reasons for needing a loan, you can now snap one up for the cheapest ever rate!