Friday 22nd of May 2009
Building societies believe that mortgage rates could have to rise in the near future, a survey has revealed.
According to the Building Societies Association, the cost of the Financial Services Compensation Scheme will mean that consumers need to be charged more.
Indeed, a poll of chief executives indicated that 60 per cent expect mortgage rates will have to go up, with more than half predicting that savings rates will also fall.
An increase in rates could create problems for homeowners already struggling to meet repayments, but IVA advice is available to help borrowers identify the best solution.
They can lower the cost of unsecured loans and other debts and therefore enable debtors to keep on top of mortgages.
Earlier this week, Moneyfacts.co.uk revealed that consolidating debts is becoming increasingly difficult, as just three providers of secured loans remain in the market.
The price comparison site’s research showed that 14 have withdrawn their products since mid-2007.
- House price rise 'may not indicate recovery'
- Equity release 'needs to be increased'
- Need for IVA help could increase as expert predicts reduction in lending
- Government announces 'breathing space' for those needing IVA help
- Lack of subprime lending creating need for IVA help, expert suggests
- IVA advice could be needed as creditors 'negotiate less'
