RSS FeedsMortgage rates on the fall
09/12/2008
Those in the market looking for a new mortgage product or those who are currently on a standard variable mortgage could be in luck and see some financial savings coming there way. Around 33 per cent of the current mortgage providers will be reducing their mortgage interest rates as a result of the recent rate cut.
Mortgage owners could potentially see their monthly mortgage payments drop by as much as £40. These figures are based on a standard variable mortgage of £250,000 with a revised mortgage interest rate of 7.5 per cent
Majority of the lenders have shown that their variable mortgage products will see the reductions. Not all mortgage lenders have reacted quickly and keen to pass on the savings to their customers including Alliance and Leicester.
The quarter percent reduction by the Bank of England triggered a whole host of lenders to cut their standard variable mortgage rate with some committing to match any cuts even before they were made public.
Some mortgage borrowers will be fortunate to take advantage of the reductions straight away as lenders such as First Direct the internet bank have announced current customers will benefit right away.
Other mortgage lenders have announced that their new SVR rates will be in force from the 1st of March, however new borrowers to Lloyds TSB can expect them early as this Monday.