Interest Rate Cut

[Kodiak]

Just on the Lunchtime News ......

The Bank of England have just cut their Interest Rates by 1.5%.

This is a large cut and I hope it will help you all out there.

[Gizmo]

I wouldn't get too excited, last time there was a cut 30% of lenders never passed on the saving to borrowers.

[Tristan]

You are right about how slow (to dead stop) some of the banks etc can be. Scottish Building Society still hasn't passed on the last cut and that was after arbitrarily raising rates a few months earlier. Very poor show IMHO.

However considering the size of cut something better happen with all lenders. At the very least the government could legislate cuts.

[wifie]

Something is bound to happen with the Banks that the govt has now got large junks of!

[Tristan]

Something has to happen but it may not be good. Seems Northern Rock is one of if not the worst for re-possessions, RBS took the money and is giving bonuses to its top brass - so much for our government guarantees.

[Penelope Pitstop]

I hope the banks do pass on the cut....but I doubt it will be the whole 1.5%. As some of you rightly say alot of them haven't passed on any of last months 0.5%:~(

I just hope the banks out there aren't going to use the Bank of England cut in base rate to fill their own purses and leave ours empty.