Not logged in [
Login
-
Register
]
You Are Not Registered Or Not Logged In
Corsa Sport
»
Message Board
»
Off Day
»
House Day
»
Mortgage for 1p a month...
» Post Reply
Post Reply
Who Can Post?
All users can post new topics and all users can reply.
Icon:
Formatting Mode:
Normal
Advanced
Help
Andale Mono
Arial
Arial Black
Book Antiqua
Century Gothic
Comic Sans MS
Courier New
Georgia
Impact
Tahoma
Times New Roman
Trebuchet MS
Script MT Bold
Stencil
Verdana
Lucida Console
-2
-1
1
2
3
4
5
6
White
Black
Red
Yellow
Pink
Green
Orange
Purple
Blue
Beige
Brown
Teal
Navy
Maroon
LimeGreen
Message:
HTML is Off
Smilies are On
BB Code is On
[img] Code is On
[quote][i]Originally posted by CorsAsh[/i] Lucky bastards tbh. [quote] A London couple are paying just 1p a month on their mortgage repayments, as part of a lucky minority that secured tracker deals below the bank rate prior to a series of rate cuts by the Bank of England. When Ben and Nicola Cameron signed up for an interest-only tracker deal in December 2007, it’s unlikely they envisaged paying as little as 1p a month on repayments. But that is the enviable position they now find themselves in after the Bank of England (BoE) made six consecutive interest rate cuts, beginning in October last year, to bring the bank rate down from 5% to a record low of 0.5%. The Camerons’ mortgage deal with building society Cheltenham & Gloucester tied their payments to 1.01% below bank rate, which at the time of the deal stood at 5.5%. Monthly repayments slashed With rates now at 0.5% their monthly repayments have plummeted from £1,500 to zero. They are being charged the nominal sum of 1p as the building society’s computer system is unable to process repayments of zero. “We feel incredibly lucky, we almost didn't go for it,” says Mr Cameron, whose wife is due to give birth to their first child in June. “We look at our mortgage statements now and they look ridiculous, it’s fantastic.” Their case highlights the tens of thousands of homeowners who have had their repayments slashed by the series of rate cuts imposed by the BoE in an attempt to stimulate lending. But while most people who took out tracker deals pegged below the bank rate are still spending hundreds of pounds a month to pay off the capital on their homes, the Camerons’ interest-only deal means they are enjoying a zero interest loan. Unfortunately for borrowers, below bank-rate tracker deals have since been removed from the market. [/quote] :lol: [Edited on 28-03-2009 by CorsAsh] [/quote]
Post Options:
Disable smileys?
Turn BBCode off?
Receive email notification of new replies?
This is a long topic, click
here
to review it.