Job cuts will not necessarily mean recovery
June 3, 2009 by admin
Filed under News, News-Banking
It has recently been claimed that many of the financial companies, banks, and insurance firms that have been slashing jobs over recent months will not find that this necessarily puts them on course for a speedier recovery from the financial crisis. Read more
Tags: job cuts, core employees, recession, Business Finance, United States, bid, industry, recognise
Homeowners warned about fixed-rate deadline
June 7, 2007 by admin
Filed under News, News-Mortgages
Mortgage holders are being encouraged to plan ahead if they are due to reach the end of their fixed-rate deals in the coming months.
The Council of Mortgage Lenders (CML) says that around 1.3 million people took out a fixed-rate deal in 2005, while a further 1.5 million did the same in 2006.
Most would have had just a one or two-year period of paying a fixed rate and the CML is warning that borrowers must be prepared to start paying increased levels of interest.
According to the CML, the average borrower will face a rate increase of between 0.75 per cent and 1.5 per cent.
This could potentially have a devastating effect on many homeowners and, although the Bank of England has chosen to freeze interest rates at 5.5 per cent in June, rates are likely to increase further in the coming months.
“While today’s [June 7th's] decision not to raise rates is welcome, there is no cause for complacency. More than two million borrowers over the next year and a half will reach the end of fixed-rate deals, and will face the prospect of higher mortgage payments,” commented Michael Coogan, director general at the CML.
“For most people, the scale of the increase will be manageable. But it makes sense for borrowers whose fixed-rates will end soon to start planning ahead now and to recognise that their monthly costs will be higher in the future.
“Anyone who thinks they may face financial difficulties should talk to their lender at an early stage to see what steps can be taken to improve their situation,” he added.
