Interest Rate Cut?
Interest Rate Cut?
03 December 2008, 10:26 PM
#4
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Cookstar,
You will have a long wait then!
Pete,
If the interest rates drop to 0% it won't matter how much money you have in the bank..... it will be worthless in or out of the banking system! lol
You will have a long wait then!
Pete,
If the interest rates drop to 0% it won't matter how much money you have in the bank..... it will be worthless in or out of the banking system! lol
03 December 2008, 10:35 PM
#7
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03 December 2008, 10:37 PM
#8
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03 December 2008, 10:58 PM
#10
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Why...... it will still be worthless whether it is stuffed under your matress or stuck in a bank. When the currency collapses, it won't make any difference. 
£150k.... is that all! You have less to lose than some of us then!
£150k.... is that all!
You have less to lose than some of us then!
04 December 2008, 08:13 AM
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Is it really going to make any difference to our economy?
Seems they realise the whole thing revolves around the housing market but interest rate cuts don't mean anything if banks won't lend.
Reckon it will go down to 2.75%.We're still stuffed though
Seems they realise the whole thing revolves around the housing market but interest rate cuts don't mean anything if banks won't lend.
Reckon it will go down to 2.75%.We're still stuffed though
04 December 2008, 08:22 AM
#14
It's absolutely disgusting that they're going to cut the rate again (if they do).
Have they not looked at what's happened to bleeding sterling lately?! It's down a quarter against the dollar since early 2008. That's 25% less for your money, so they've essentially robbed everyone who holds sterling or assets in the UK of a quarter of the value since jan 2008. It's the same compared to the euro (but even worse).
I've just applied for a euro account, but sadly it's a bit too late (wont be open until tomorrow or monday)
I'm moving half my money into Euro's.. at least the europeans seem a *little* bit more sensible.
If this is what I get for working, then F you, Gordon, I'm out of here and I'm taking my house deposit with me
Have they not looked at what's happened to bleeding sterling lately?! It's down a quarter against the dollar since early 2008. That's 25% less for your money, so they've essentially robbed everyone who holds sterling or assets in the UK of a quarter of the value since jan 2008. It's the same compared to the euro (but even worse).
I've just applied for a euro account, but sadly it's a bit too late (wont be open until tomorrow or monday)
I'm moving half my money into Euro's.. at least the europeans seem a *little* bit more sensible.If this is what I get for working, then F you, Gordon, I'm out of here and I'm taking my house deposit with me
04 December 2008, 08:27 AM
#15
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Am I the only one thinking it's a bit soon after the previous cut?
I've not even made a mortgage payment at the current rate yet, so the total I've saved on interest payments is... erm.... zero
I've not even made a mortgage payment at the current rate yet, so the total I've saved on interest payments is... erm.... zero
04 December 2008, 08:32 AM
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The Bank of England won't just do 25bps. Trust me on this. If there are any betting sites where you can lay at 0.25, give it and give it again, i'll even lend you the money myself to do it.
That is where I want to move at some point 
04 December 2008, 08:56 AM
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Sterling down to $1.455 - ouch. And at a record low vs the Euro, 0.866.
And we have people on here thinking none of this will affect them. I admire the optimism.
And we have people on here thinking none of this will affect them. I admire the optimism.
04 December 2008, 09:05 AM
#22
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Again with the housing market its no good trying to make people think they can afford to move/borrow now as the interest rate is the lowest we will ever see in our life times and so the cost of any mortgage that is taken out now based on the new low rates is going to hike up massively in the coming years. In the long term it doesn't make it any more affordable to borrow it just means you get it cheap now and get it repossessed when rates go up and you can't afford the mortgage.
It's great for those who already have mortgages, this is the cheapest mortgage i've ever had and is by far the biggest and although it wont last at least I get to make good use of the saved money each month. If it goes down another 1% today my mortgage payment will be 1/3 of what it was when I took it out just over a year ago
It's great for those who already have mortgages, this is the cheapest mortgage i've ever had and is by far the biggest and although it wont last at least I get to make good use of the saved money each month. If it goes down another 1% today my mortgage payment will be 1/3 of what it was when I took it out just over a year ago
04 December 2008, 09:34 AM
#23
I will be inclined to get out spending if it drops one per cent today .
Woo Hooooooo !!!!!
And if it stays low ,then double woo hoooooooooooooo !!!!!!!!!
Money in the Bank is toooo risky !!
Woo Hooooooo !!!!!
And if it stays low ,then double woo hoooooooooooooo !!!!!!!!!
Money in the Bank is toooo risky !!
04 December 2008, 09:45 AM
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I think no matter how low the rates go, the mortgage lenders are going to be very wary of lending - a lot of the problem over the past few years ( huge house price increases, people 'releasing their equity' and spending like mad, thus making the economy look so healthy ) was caused by people taking advantage of cheap mortgages, and borrowing more than they could really afford.
Once the 2 year cheap introductory rate expired, they found their payments increasing hugely, and not being able to get such a cheap remortgage, either leading to them getting in serious trouble, or at the least tightening their belts and not spending, which causes a downturn in the economy.
If you look at a lot of the types of business that are now really suffering - house buying, building, car sales etc... these are mostly large expensive purchases that are paid for on credit of one type or another rather than paid for in cash.
Once the 2 year cheap introductory rate expired, they found their payments increasing hugely, and not being able to get such a cheap remortgage, either leading to them getting in serious trouble, or at the least tightening their belts and not spending, which causes a downturn in the economy.
If you look at a lot of the types of business that are now really suffering - house buying, building, car sales etc... these are mostly large expensive purchases that are paid for on credit of one type or another rather than paid for in cash.
04 December 2008, 09:47 AM
#30
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Because the term "own" is actually wrong. We have no say in how they are run, we will see no benefit from any profits and when it comes to "us" selling back "our" bit of the bank back to the bank its the government that will make the money and that money will maybe pay for all these hair brained ideas the government is coming up with to save the economy.
Frankly its bollox
Last edited by EddScott; 04 December 2008 at 09:49 AM.