Japan sticks with 0.1% rate
by Richard Kilner
Story link: Japan sticks with 0.1% rate
The Policy Board of the Bank of Japan has chosen to retain the country’s interest rate at 0.1%.
The decision, which was made unanimously, comes as Japan’s economy continues a tentative recovery which is not yet strong enough to be maintained on a self-sustaining basis.
Exports and production are rising, as is private consumption, though public investment [...]
Lenders rallied to combat mortgage fraud
by Gill Montia
Story link: Lenders rallied to combat mortgage fraud
The National Fraud Authority (NFA) is calling on lenders to continue to combat mortgage fraud and ensure that they are ready to prevent the crime from returning to previous levels, as the economy recovers.
The body points out that almost £144 billion was loaned in mortgages in 2009, representing an attractive target for criminals.
It also estimates [...]
Nationwide offers new personal loan rate
by Richard Kilner
Story link: Nationwide offers new personal loan rate
Nationwide Building Society has introduced a new personal loan rate of 7.9% APR typical for sums between £7,500 and £14,999 over a five year period.
The new rate is accessible to its current account holders, and follows the withdrawal of a special low market leading personal loan rate available only to Nationwide’s current account customers.
The 7.9% [...]
Fairer deal for credit card customers
by Gill Montia
Story link: Fairer deal for credit card customers
The Government has announced new measures aimed at giving credit card customers a fairer deal.
The contentious issue of order of payments has been settled once and for all, with the most expensive debt on a card to be paid off first (currently few providers do this).
Customers will have 30 days in which to reject increases [...]
New Zealand keeps 2.5% interest rate
by Richard Kilner
Story link: New Zealand keeps 2.5% interest rate
The Reserve Bank of New Zealand has elected to retain the OCR (Official Cash Rate) at 2.5%.
Governor Alan Bollard has stated that the country’s economy is recovering in line with expectations, and is forecast to improve throughout 2010.
Bollard added that whilst 4% growth was expected in 2010 this was a lower rate than had been [...]
ECB keeps rates at 1%
by Richard Kilner
Story link: ECB keeps rates at 1%
The European Central Bank (ECB) has announced that it is keeping the eurozone interest rate at 1%.
The decision comes on the same day that the Bank of England chose to keep UK rates at 0.5%, the lowest in history, marking a full year of no changes in the United Kingdom.
The ECB has held rates steady [...]
Bank of England keeps rates at 0.5%
by Richard Kilner
Story link: Bank of England keeps rates at 0.5%
The MPC (Monetary Policy Committee) of the Bank of England has today elected to retain the interest rate at 0.5%.
In addition, the MPC has chosen to keep the scale of the quantitative easing asset purchase programme at £200bn, and not to expand it further.
The United Kingdom’s interest rate has now been unchanged for a year, [...]
Australia raises rates to 4%
by Richard Kilner
Story link: Australia raises rates to 4%
The Reserve Bank of Australia has chosen to increase interest rates by 25 basis points, to 4%.
Governor Glenn Stevens has indicated his belief that the global economy will continue growing this year and the next, but warned that growth would remain hesitant in some countries suffering the legacy of the financial crisis.
Australia was hit by [...]
Five million Britons permanently on overdraft
by Gill Montia
Story link: Five million Britons permanently on overdraft
The proportion of Britons living off their overdrafts has fallen to 10%, compared to 17% a year ago, according to research from Moneysupermarket.com.
However, the figure still leaves five million UK adults permanently overdrawn, and the study also suggest that 38% of bank customers have gone into the red in the past 12 months.
Fifteen per cent [...]
Lawyers challenge Skipton’s SVR hike
by Gill Montia
Story link: Lawyers challenge Skipton’s SVR hike
Lenders with “exceptional circumstances” clauses attached to their standard variable rate (SVR) mortgages should be aware of legal issues arising for Skipton Building Society.
In January, Skipton announced its intention to increase its SVR from 3.5% to 4.95%, having evoked “exceptional circumstances” clauses that allowed it to remove a cap of 3% above base rate.
The move [...]
Barclays hikes authorised overdraft charges
by Gill Montia
Story link: Barclays hikes authorised overdraft charges
Barclays is increasing overdraft interest rates for two million of its current account customers.
Graduate Account holders who go into the red will be hardest hit by the hikes, as their authorised overdraft rate increases from 9.9% to 14.9%.
At the same time, Additions Active and First Additions account holders face paying interest at 18.3% (up from [...]
Solicitors charged in £50m mortgage fraud
by Gill Montia
Story link: Solicitors charged in £50m mortgage fraud
Two solicitors appeared at City of London Magistrates Court last week, after being charged with offences in connection with a £50 million commercial mortgage fraud.
Mark Knights and Kamran Malik faced three counts of obtaining a money transfer by deception and have been committed to stand trial at Southwark Crown Court.
The two are allegedly involved with [...]
Japan keeps rates steady
by Richard Kilner
Story link: Japan keeps rates steady
The Bank of Japan’s Monetary Policy Board has chosen to keep the country’s interest rate steady at 0.1%.
The decision, which was made on an unanimous basis, comes as the Japanese economy continues to improve, though there is still not enough momentum for a self-sustaining domestic recovery in private demand.
Exports and production, both aided by improving [...]
Credit card rates at 12-year high
by Gill Montia
Story link: Credit card rates at 12-year high
Credit card interest rates have reached a 12-year high, according to moneyfacts.co.uk.
Research from the financial website shows rates for borrowers on plastic beginning to decline at the end of the 1990s when competition became keener, falling to their lowest levels in 2006.
However, thereon rates steadily increased, with the average hitting 18.8% in February 2010.
As [...]
Nationwide most responsible credit card lender
by Gill Montia
Story link: Nationwide most responsible credit card lender
Nationwide has been judged the winner of The Most Responsible Credit Card Lending Practices Award for the third year in a row, claiming a first for its unbroken record.
The lender also picked up The Best Achievement in Customer Service Award at The Card Awards.
The accolades recognise the building society’s “Working Together” responsible lending programme and [...]
MPs slam Lloyds and RBS on lending
by Gill Montia
Story link: MPs slam Lloyds and RBS on lending
Lloyds Banking Group and Royal Bank of Scotland (RBS) have received a blasting from MPs over the amounts they are lending.
The banks are committed to funding mortgage and business loans of £14 billion and £25 billion respectively by the end of this month, in return for taxpayer support.
However they will be falling short of targets [...]
Record company failures forecast for 2010
by Gill Montia
Story link: Record company failures forecast for 2010
Grant Thornton has warned “there is no light at the end of the tunnel for troubled companies that are relying on a fast economic recovery to help them repair their balance sheets”.
The accountancy and recovery specialist is predicting record company administrations in England and Wales in 2010, following on from a 2009 total of 4,161, [...]
Cattles closes Welcome Financial to new lending
by Gill Montia
Story link: Cattles closes Welcome Financial to new lending
Cattles has warned of job losses following changes at its Welcome Financial personal finance business.
The troubled sub-prime lender says it is closing the unit to new lending following an extensive strategic review and discussions with its creditors.
The group will therefore focus on collecting out Welcome’s existing customer loans over the next two to three [...]
Individual insolvencies at record high
by Gill Montia
Story link: Individual insolvencies at record high
New figures from the Insolvency Service show the number of people going bust in England and Wales rising to a record 134,142 in 2009.
Individual bankruptcies numbered 74,670 (up 10.7% on 2008), while those entering Individual Voluntary Arrangements totalled 47,641 (up 21.8% on 2008).
Debt Relief Orders (DROs), which can be used to write of debts of [...]
ECB keeps rates at 1%
by Richard Kilner
Story link: ECB keeps rates at 1%
The European Central Bank’s (ECB) Governing Council has chosen to keep the eurozone’s interest rate steady at 1%.
The move echoes that of the Bank of England’s Monetary Policy Committee, which also selected to hold rates steady (at the historic low of 0.5%).
Despite the end to the global recession, with all major economies having returned to [...]
