Moody’s remarks on interest rates

Moody’s who provide credit ratings and research covering debt instruments and securities said  that the majority of British homeowners would be little affected by a moderate rise in interest rates, a rise of 1% would only affect about 1% of borrowers in that they would find it difficult to meet their mortgage repayments and living expenses, even if the rate rose by 3% that only 4% of borrowers would be affected.

It was only in the last week that the Bank of England governor Mark Carney gave the strongest indication yet that interest rates could very well rise around the end of the year, unable to say whether before or after year end 2015, of course he mentioned that it was dependent on factors prevailing at the time.

The are some experts who believe rates could start rising  this year while Moody’s has forecast the base rate will start to rise very gradually from the end of the first quarter of 2016, to around 0.9 per cent by the end of the first half.

 

 

 

 

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy