Cost of fixed rate mortgages climbs
Wed, 09 Sep 2009
Despite the rolling reductions in the interbank money lending, fixed rate mortgages costs have been rising steadily according to reports from the Bank of England. Lenders are not only failing to pass on any of the benefit from the rate reductions, but have in fact increased fixed mortgage costs.
The data has revealed the average interest rate charged on fixed-rate mortgages climbed over the course of August, despite swap rates see a significant fall. The new data comes as many are sighting lenders for passing on cost increases far quicker and in greater proportion than reductions.