12/03/2023
You may have seen recently that the Bank of England have announced an increase of 0.5% to the base rate, a tenth consecutive rise, taking the base rate to 4%.
This move is yet more bad news for over 2 million people on a variable rate mortgage, who are also grappling with higher fuel and energy bills. Many now face paying hundreds of pounds extra a year.
For many borrowers on fixed rate deals which are due to expire soon, going on to their lender’s standard variable rate (SVR) will also have a huge impact on their finances.
However on a positive front, new fixed rate mortgage deals have started to come down. Although these rates remain higher than the lows of recent years, they are still better than a lender’s SVR. At the very least, if homeowners want to keep their options open, they could consider transferring to a tracker deal for the short to medium term and see if fixed rates continue to come down further.
For those homeowners on SVR’s or on fixed rate deals due to end soon, the cost of living pressures are clearly going to weigh more heavily in the coming months, so it is more important than ever to review options.
Contact us at Stone Fox for a friendly jargon free chat to help you understand your options better. We love helping customers, whether that’s help to give them information on current rates or educating them to make better decisions.
We can give advice for anyone worrying, struggling or at risk of missing mortgage payments. We can advise on how best to speak to your lender, or whether it is better to switch to another mortgage product.
We can help you compare different mortgage options and how it will affect you financially over the short, medium and longer term. We find that No question is a stupid question.
Moreover, if you know anyone else who could benefit from a chat with us, feel free to get them to contact us. We understand the financial pressures people are facing, and we are here to help💛🏡
Disclaimer: Your home is at risk if you fail to keep up payments on your mortgage or any other loans secured against it.
Stone Fox Financial Services Ltd (FCA Reg: 966920) is an Appointed Representative of New Leaf Distribution Ltd (FCA Reg: 460421) who are authorised and regulated by the Financial Conduct Authority Head Office 165-167 High Street, Rayleigh, Essex, SS6 7QA. Co registration Number 5520001.