Mortgages Direct says more borrowers are opting for fixed rate deals because they aren’t convinced the low level of base rate will hold.Research compiled by the financial arm of Spicerhaart shows 96% of borrowers opt for fixed rate deals of two to five years. Peter Gladdy, director of Mortgages Direct, says: “With many fixed rate deals being withdrawn and replaced with higher rate deals, albeit still competitive, borrowers are eager to snap up the remaining affordable deals. “Rates for fixed deals have generally increased by 0.2% to 0.3%. But there are still some competitive offers out there, with five-year fixed rate deals under 5% and two-year fixed rate deals under 3% still available. “An increasing number of borrowers are becoming cautious. They are not prepared to take the chance that base rate will remain at the current level and are therefore fixing their loans. Choosing a decent fixed rate is always a good option as borrowers can make substantial savings.” As well as demonstrating caution by opting for fixed rate deals, borrowers are showing a more responsible attitude to debt. The proportion of people opting for repayment deals over interest-only deals rose to 71% from 65% last month.
- Top trends
To coincide with Mortgage Expo, Goldsmith Williams has announced the launch of a sister company to work exclusively in the international market. The company which will be branded Goldsmith Williams Overseas is dedicated to all aspects of the international market and will offer exclusive services designed to benefit introducers and their clients. As well as […]
An estate agent in Liverpool has launched an offer to make city living more affordable. City Residential is offering to pay the 5% deposit, legal fees and even stamp duty (up to a total of 10,000) for anybody buying in the recently launched City Central scheme.Alternatively, buyers can opt to suspend mortgage repayments until January […]
500 registrations have been received for the The Institute of Financial Services Certificate in Regulated Customer Care. Ifs developed the single-module qualification earlier this year, after the Financial Services Authority made it clear that Treating Customers Fairly was going to be a key issue for their investigations. TCF was highlighted as a priority area for […]
Bank of Ireland has made changes to its senior management team. It has promoted Des Crowley from chief executive of retail financial services Ireland to chief executive of UK financial services. Richie Boucher, currently chief executive in corporate banking, will replace Crowley as chief executive of RFSI and will also join the executive committee.
Health cash plan provider Health Shield has joined the Association of Medical Insurance Intermediaries (AMII) as a corporate member. The non-profit-making Friendly Society is one of eight health cash plan providers to join the intermediary trade body, which is looking to establish working parties with intermediaries and providers on issues such as product innovation and regulation.
News and expert analysis straight to your inboxSign up