New regulations from FSA spark comments from Cable

Spokesperson for the Liberal Democrats, Vince Cable, has recently commented on the changes that have been introduced by the Financial Service Authority with regards to mortgage lending. Read more

Tags: building societies association, Association, mortgage, FSA mortgage lending, something, fsa, Mortgages, economy

Now could be the time to get on the property ladder

According to the results of a recent survey that was carried out many Brits think that it is now a good time to purchase a property and get onto the property ladder. The Building Societies Association carried out the survey, and the results showed that whilst market conditions continued to be difficult in the mortgage sector many Brits were still convinced that this was a good time to buy due to various other factors. Read more

Tags: Royal Institute of Chartered Surveyors, the Brits, building societies association, Mortgages, economics, first time buyers, Business Finance

Interest rate cuts could mean free banking comes to an end

A recent report has suggested that the fact that the base interest rate in the UK is now at a record low, and could even fall further, means that the nation could see free banking services come to an end. Read more

Tags: free banking, building societies association, savings accounts, bank of england, interest rates

UK base interest rate falls to a new low

The base interest rate in the UK has fallen to a new low following the Monetary Policy Committee meeting in March. Following the meeting it was announced that the base interest rate was being cut once again, which was the sixth month in a row. Read more

Tags: Student Loans Company, building societies association, widespread glee, borrowers, glee, bank of england

Property falls out of favour with savers

After years of seeing property prices rocket, people are finally becoming weary of putting their hard-earned cash into homes and may begin to stash money away in savings accounts instead, an expert has indicated.

Donna Bradshaw, an IFA and financial planning strategist, has said that following a period when people became used to spending, there may now be “a turn around back to saving again”.

She said that in the past, the country’s “obsession with property” has meant that many people have used their houses as “a high street bank“.

However, with the credit crunch hitting hard, Ms Bradshaw said: “I think we’re going to see a shift back to saving.”

Some people already appear to be stashing their cash away in a safe pace to earn interest, as the Building Societies Association recently reported the highest ever monthly inflow to building society cash ISAs in April, bringing the total put in societies’ savings accounts to £1.8 billion.

Tags: financial planning, building societies association, obsession, indicated.donna bradshaw, saving."Some people, saving, Donna Bradshaw

Britannia: Beware headline-grabbing rates

Britannia building society has warned consumers to be wary of “headline-grabbing rates” on savings accounts as they may not be a good long-term option.

Jayne Dono, a spokesperson for Britannia, said that a number of organisations have been attracting new savers with high initial rates on their savings.

“There’s no doubt that there are some great deals available for savers at the moment, with organisations competing against each other for business,” said Ms Dono.

However, she warned that although people may benefit in the short term, “they should also be aware of the long-term prospects and whether these organisations really have their best interests at heart”.

Recent research from the Building Societies Association (BSA) shows that the majority of building society bosses are optimistic about the year ahead, despite the credit crunch.

Building societies have experienced record savings inflows over the last eight months and they expect the trend to continue as consumers seek safer saving options, according to the BSA.

Tags: year, Business and Economy, term, crunch, building societies association, number, record, new savers

Building society lending down

The number of loans being handed out by building societies has fallen, according to the Building Societies Association (BSA).

Adrian Coles, director-general of the BSA, said: “Lending at building societies was down year on year. This is partly due to building societies withdrawing products and increasing rates on new lending so that they do not become overly competitive.”

He added that some building societies have found themselves “inundated with applications” and were forced to limit their lending to preserve “high levels of service” as other lenders withdrew from the market.

Mr Coles also believes that the situation may be a product of the “greater level of uncertainty in the housing market” causing prospective buyers to wait.

The announcement comes as the Council of Mortgage Lenders (CML) praised HSBC’s recent offer to match the interest rate of any borrower coming to the end of a fixed rate deal as “a good example of market innovation”.

A spokesperson for the CML said that the offer highlighted that “there is still competition in the market despite obvious pressures”.

Tags: Mortgage loan, building societies association, market innovation, market, borrower, innovation, new lending, council of mortgage lenders