Lenders urged to pass on interest rates

24-Oct-2008

Mortgage lenders are being urged by a leading expert to pass on the interest rate cut to customers.

According to Al Elliot, advisor at the Homeowners Advice Centre, lenders must consolidate their outstanding mortgage books.

"One immediate way that would help all homeowners, particularly first-time buyers, would be for all lenders to undertake to pass on interest rate decreases straight away," he adds.

In addition to this, enabling borrowers to benefit from a lower standard variable rate may also prove worthwhile, the expert believes.

Latest available figures from the Council of Mortgage Lenders (CML) revealed that 42,000 home loans were approved in August 2008 compared to 48,000 in the previous month.

There were 103,000 approved home loans in August last year, the CML estimates.

It also expects that 45,000 properties will be repossessed in 2008, the equivalent to 0.38 per cent of the 11.74 million mortgages in the UK.

FirstRungNow.com - how to buy a house, from finding your first flat or first house, first time buyer mortgages, shared ownership, buying with friends, gifted deposit, part buy part rent - all a first time buyer could possibly need.

FTBs in Scotland get rescue package FTBs 'crucial to property market' FTBs must snap up mortgage deals

2012: May | Apr | Mar | Feb | Jan

2011: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2010: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2009: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2008: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2007: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2006: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar | Feb | Jan

2005: Dec | Nov | Oct | Sep | Aug | Jul | Jun | May | Apr | Mar