Interest Rate Rises

[Sarah]

Some further confirmation for existing accounts:

We're getting in touch to let you know we're increasing the interest rate on your Regular Saver.

As you know, the terms of the Regular Saver account state the interest rate is fixed for 12 months. However, as a special thank you for continuing to save with us, we've taken the decision to increase the rate mid-term to 7% AER/Gross from 1 December 2022.

And even better - you don't need to do anything

We'll automatically increase the interest rate on 1 December 2022, so you don't need to do anything. Any balance in your Regular Saver account up to this date will receive interest at the rate agreed at account opening, but balances from 1 December 2022 for the remainder of your term will receive interest at the new rate.

[Sarah]

The Bank of England has raised UK interest rates to their highest level for 14 years as it battles to stem soaring prices.

It lifted interest rates for the ninth time in a row, increasing them by half a percentage point to 3.5%.

https://www.bbc.co.uk/news/business-63977963

[blythburgh]

I know a lady online. She used her savings to buy a few properties as she was self employed with no pension. She is now worried sick that the bank will foreclose not only on the buy to lets but her own house.

If the banks foreclose on buy to lets then the owner loses everything, the tenant will probably be evicted and the property ends up being sold cheaply in an auction. Nobody wins and the Govt. needs to step in before people end up homeless through no fault of their own as well as others losing out on their "pension"

[planteria]

why is she worried sick that the bank will foreclose?
if the tenants are paying the rent she is making the mortgage payments?

[blythburgh]

why is she worried sick that the bank will foreclose?
if the tenants are paying the rent she is making the mortgage payments?

She has a mortgage on the property she lives in, unable to work due to health problems so money is extremely tight and every interest rate increase makes her finances tighter. Remember this will not be the first time buy to let owners will lose everything

[pabenny]

Taking possession of mortgaged properties is very much a last resort for lenders, especially if the owner would be considered 'vulnerable'.

Rather that worrying, your friend should get some advice - Step Change, Christians Against Poverty can both assist. Or Citizens Advice maybe able to signpost her to a debt specialist (her case is probably too complex for most Citizens Advice offices).

And get help and advice sooner rather than later. There's always big demand in January - maybe start now.

[Sarah]

Ford Money

In line with Our Best Rate Guarantee we’re increasing the interest rate on our Flexible Saver effective 21st December 2022 as follows:

Current rate New higher rate
2.47% Gross 2.62% Gross

https://www.fordmoney.co.uk/savings-pro ... ible-saver

[Sarah]

Virgin M Plus Account stays at 2.02% AER

Virgin M Plus Saver increases to 2.52% AER from today

[planteria]

Some further confirmation for existing accounts:

We're getting in touch to let you know we're increasing the interest rate on your Regular Saver.

As you know, the terms of the Regular Saver account state the interest rate is fixed for 12 months. However, as a special thank you for continuing to save with us, we've taken the decision to increase the rate mid-term to 7% AER/Gross from 1 December 2022.

And even better - you don't need to do anything

We'll automatically increase the interest rate on 1 December 2022, so you don't need to do anything. Any balance in your Regular Saver account up to this date will receive interest at the rate agreed at account opening, but balances from 1 December 2022 for the remainder of your term will receive interest at the new rate.

First Direct?

[Sarah]

Yes.