# Interest Rates



## jowwy (22 Sep 2022)

I cant see a thread in this, but with the rates increased again by another 0.50% i though it was time we had one. 

How will it effect you guys....im still fixed until 1st Feb 2023


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## ianrauk (22 Sep 2022)

Fixed until end of next year and by then mortgage should be paid off.
More hopeful that savings rise.


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## fossyant (22 Sep 2022)

No effect as such as I've no mortgage now. Paid off a few years back (very fortunately). Do worry about sister and brother with huge feck off mortgages. Brother has a business one also (dentist).


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## Regular.Cyclist (22 Sep 2022)

I’m fixed until 2032.

Getting better return on my savings now.


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## jowwy (22 Sep 2022)

Regular.Cyclist said:


> I’m fixed until 2032.
> 
> Getting better return on my savings now.



Thats a long fix......


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## Regular.Cyclist (22 Sep 2022)

jowwy said:


> Thats a long fix......



I got an excellent rate for fixing for that length of time so was a no-brainer.


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## MontyVeda (22 Sep 2022)

I haven't got a mortgage


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## Jenkins (22 Sep 2022)

Like @fossyant I'm mortgage free as I paid it off about 10 years ago. One interesting side effect of the interest rate rise is that my instant access Maturity Saver with Saga Savings now pays a higher interest rate than the 1 year savings bond I have with them.


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## ebikeerwidnes (22 Sep 2022)

I would be better off if the saving rates increased
They have gone upa bit recently - saw 3% for 3 year fixed recently

Funny how they always lag by a long time and then go up but half the increase???

But we are worried about my wife's son and his partner - they seem OK for money but with 3 kids I can;t see they are not having problems
I have noticed they have gone from Alta Rica coffee to normal Nescafe!


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## presta (23 Sep 2022)

I'm looking forward to 10% interest rates. That'll do nicely.


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## gbb (23 Sep 2022)

Told this one before but during the mid 2000s when interest rates were high, a colleague had a new build. As the rates fell I said to him...that must be saving you some cash ? He said you can't imagine from the worst of it to where it is now, I'm saving nearly £1k a MONTH .
No mortgage for me, all paid off and have fairly significant savings. I remember the interest we got years ago was a really nice bonus...that was on fairly modest savings at that time. Looking forward to seeing some of that again.


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## figbat (23 Sep 2022)

We totally fluked it by fixing in a 5-year deal earlier this year so interest rate rises only mean increases in savings account rates with no extra outgoings. The 5-year deal will just about see us out of the mortgage, or close enough to pay it off if a new deal is not forthcoming.


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## shep (23 Sep 2022)

Paid off a while ago so not really bothered, might get a bit more interest on savings I suppose. 

Kids will struggle but that's where we come in.


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## Regular.Cyclist (23 Sep 2022)

We were close to paying off our mortgage but then made a move a few years ago into a significantly higher value property. Got a good fixed rate on the first 3 years and then secured a 10 year fixed at very close to the previous year rate. Mortgage is well within our household income and we will be overpaying for the next 10 years so it will be payed off at the end of it. 

At the moment there isn’t a significant enough difference between keeping money in savings bs paying off the mortgage much quicker and , as rates increase, we may be more likely to keep more funds in savings for a bit longer. Excel being used heavily and will determine how we handle things.


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## fossyant (23 Sep 2022)

One of the things we did when we took out our mortgage in the mid 90's was to model interest rates going up to 12% or 14% to see if we could mange. We could have just managed it eating beans. Fortunately it never went that high again, but it's those 'younger' than most of us on here with £300k plus mortgages that will really suffer.


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## kipster (23 Sep 2022)

Not directly affected as fortunately paid off the mortgage a few years back and I don't have any loans. Most of my savings are in stocks and shares ISAs, although my wife has some savings accounts.

I do worry for the kids but we can help out if needed.

I recall my first mortgage fixed at 15% but clearly on much smaller amounts of borrowing.


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## Milkfloat (23 Sep 2022)

Rising interest rates should curb inflation, but also could tip us into recession, something we are probably already in although it has not been officially declared yet. Rising interest rates are not always that great for savers because of this, be careful what you wish for.


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## Cycleops (23 Sep 2022)

presta said:


> I'm looking forward to 10% interest rates. That'll do nicely.


Nice idea but all your outgoings and goods will be that much more so gains will be minimal unfortunately.


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## PaulSB (26 Sep 2022)

presta said:


> I'm looking forward to 10% interest rates. That'll do nicely.



I can't really see how this is something to look forward to. I would need a net return on cash savings of £1300 to cover the increase in my energy costs. I guess this would mean £150,000 in a savings account of some sort. My youngest has just bought a house and thank the Lord got a five year fix a couple of months ago. My eldest is trying to buy and a combination of factors outside of his control simply snatch the chance from his hands every time he gets close.

Inflation is rampant. The pound is crashing. The government are busy mortgaging the country and our kids' futures at an alarming rate. The rich are getting richer and the poor poorer.

What is there to celebrate in 10% interest rates? You won't see any tangible benefit.


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## PaulSB (26 Sep 2022)

Cycleops said:


> Nice idea but all your outgoings and goods will be that much more so gains will be minimal unfortunately.



Spot on.


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## Chislenko (26 Sep 2022)

I'm in the same position as some others, not had a mortgage for decades but have an amount of cash in savings etc.

Obviously over recent years the interest has been a pittance so have not been worried about locking in until the end of the investment.

What I would like now that interest rates are going up is a pay away monthly bond to use the monthly interest for living on but most companies only offer fixed full term interest at the end bonds.

As was stated up thread if you can put 150k into a 3% it would give a nice monthly income to top up your other income. It's just finding one!!


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## Bonefish Blues (26 Sep 2022)

jowwy said:


> I cant see a thread in this, but with the rates increased again by another 0.50% i though it was time we had one.
> 
> How will it effect you guys....im still fixed until 1st Feb 2023



Do the math on surrendering and remortgaging because interest rates are only going North 'twixt now and when you unfix


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## jowwy (26 Sep 2022)

Bonefish Blues said:


> Do the math on surrendering and remortgaging because interest rates are only going North 'twixt now and when you unfix



i wish i could do a simple remortgage, but not that easy with multiple properties


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## icowden (26 Sep 2022)

I'm just going into the last year of my current 5 year fixed. I'm talking to mortgage lenders now as I'm planning to forfeit the £2400 early repayment charge to get a new 5 year fixed now and release some additional cash to pay for school fees, home improvement etc.

I'll probably have to go back up to a 20 year term instead of the remaining 15 though.

I want to get locked into a new deal ASAP as I have 0% faith in Trussonomics.


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## gbb (26 Sep 2022)

PaulSB said:


> I can't really see how this is something to look forward to. I would need a net return on cash savings of £1300 to cover the increase in my energy costs. I guess this would mean £150,000 in a savings account of some sort. My youngest has just bought a house and thank the Lord got a five year fix a couple of months ago. My eldest is trying to buy and a combination of factors outside of his control simply snatch the chance from his hands every time he gets close.
> 
> Inflation is rampant. The pound is crashing. The government are busy mortgaging the country and our kids' futures at an alarming rate. The rich are getting richer and the poor poorer.
> *
> What is there to celebrate in 10% interest rates? You won't see any tangible benefit.*



In essense you're right but...
If you have reasonable saving, you WILL see something back instead of lose lose lose.
At just 2% i'd be expecting circa £1k if i worked at getting my money into the right accounts, its not peanuts.
Of course everything else will diminish the actual value of it but you'll still be £1k ahead of where you were


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## Bonefish Blues (26 Sep 2022)

icowden said:


> I'm just going into the last year of my current 5 year fixed. I'm talking to mortgage lenders now as I'm planning to forfeit the £2400 early repayment charge to get a new 5 year fixed now and release some additional cash to pay for school fees, home improvement etc.
> 
> I'll probably have to go back up to a 20 year term instead of the remaining 15 though.
> 
> I want to get locked into a new deal ASAP as *I have 0% faith in Trussonomics.*


You're almost a True Believer at zero


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## jowwy (26 Sep 2022)

rumours of an emergency bank of england meeting, to raise rates again this week after fridays mini bidget


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## SpokeyDokey (26 Sep 2022)

About time they went up (we are savers not borrowers) and the crash of 2008 hammered our long-term investment return projections.

Artificially low rates coupled with, and fueled by, quantative easing have over-stimulated housing prices as well as affecting savings/investment returns.

5-6% base rate always seemed to work fine ime.

And yes, I've lived through the 15% mortgage rate nonsense in the early 90's.

Some people used to the artificially low rates have some real shocks coming.


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## SpokeyDokey (26 Sep 2022)

jowwy said:


> rumours of an emergency bank of england meeting, to raise rates again this week after fridays mini bidget
> 
> View attachment 662445



If it doesn't happen now then it will almost certainly happen at the next BoE meeting which I think is 3 Nov off the top of my head.


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## jowwy (26 Sep 2022)

SpokeyDokey said:


> If it doesn't happen now then it will almost certainly happen at the next BoE meeting which I think is 3 Nov off the top of my head.



3 nov is better for me, cause i will have new deal by then


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## Bonefish Blues (26 Sep 2022)

BofE raising rates in quick succession and rampant inflation. If that doesn't squeeze the b*ll*cks out of the economy, then nowt will.


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## Jameshow (26 Sep 2022)

Bonefish Blues said:


> BofE raiding rates in quick succession and rampant inflation. If that doesn't squeeze the b*ll*cks out of the economy, then nowt will.



They must have been swearing at the chancellor on Friday undoing all theire steady as she goes helming whilst kwag gives it full power on the starboard engine! 

Why he thinks that cutting taxes for the rich in the light of the fuel crisis and waiting lists in the NHS baffles me! Let's see what this lever does economics!!


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## gbb (26 Sep 2022)

SpokeyDokey said:


> About time they went up (we are savers not borrowers) and the crash of 2008 hammered our long-term investment return projections.
> 
> Artificially low rates coupled with, and fueled by, quantative easing have over-stimulated housing prices as well as affecting savings/investment returns.
> 
> ...



Its the same with many things, housing market bubbles/ crashes, same with finance, interest rates, almost anything and everything, if you've been around a while and actually learned anything as you went, todays economic woes are no surprise. The mistake lots of people make is not to even be aware that cycles like this are almost inevitable


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## Regular.Cyclist (27 Sep 2022)

Mortgage lenders halting some deals.

https://www.bbc.co.uk/news/business-63041679


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## figbat (27 Sep 2022)

jowwy said:


> 3 nov is better for me, cause i will have new deal by then



You don't think the lenders are watching the news? As we've seen, some are already pulling out ahead of any new rate rises.

In a feat of unimaginable foresight (or good luck) we locked into a 7-year deal in November last year at 1.19%. I can't tell you how relieved I am about it. At the time we took it the rate was on the high side but we did consider that rates were only going in one direction, although we never quite saw this coming.


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## jowwy (27 Sep 2022)

figbat said:


> You don't think the lenders are watching the news? As we've seen, some are already pulling out ahead of any new rate rises.
> 
> In a feat of unimaginable foresight (or good luck) we locked into a 7-year deal in November last year at 1.19%. I can't tell you how relieved I am about it. At the time we took it the rate was on the high side but we did consider that rates were only going in one direction, although we never quite saw this coming.



i tied in 5yrs ago and its coming to an end in feb....my rate was 2.69% back then, so it may not go up that much and my mortgage is prob quite small compared to some and i have an LTV of around 40%


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## SpokeyDokey (27 Sep 2022)

This journey back in time illustrates the ridiculously out of kilter rates that have been in effect since the financial crash. 

No wonder house prices have gone through the roof. 

Sadly, my guess is that many mortgagees have not realised that artificially low rates must eventually go up and/or have buried their head in the sand to fund Disney trips and fancy new cars whilst chewing up any equity they have.

I can't see this situation ie very low interest rates happening again - the 'experiment' has failed. 

Even mortgagees with long-term fixes are going to come face to face with a cliff edge when their term ends imo. 

https://www.bankofengland.co.uk/boeapps/database/Bank-Rate.asp


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## presta (27 Sep 2022)

SpokeyDokey said:


> This journey back in time illustrates the ridiculously out of kilter rates that have been in effect since the financial crash.
> 
> *No wonder house prices have gone through the roof.*
> 
> ...



Exactly. People complain about not being able to get on the housing ladder, but that's because of a housing shortage, make it easier to buy in a seller's market, and you fuel rampant inflation. Raising ineterest rates reduces inflation by creating an incentive to save and a disincentive to borrow.


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## Ian H (27 Sep 2022)

We're okay. No mortgages. Daughter is in the middle of re-arranging hers, so crossing my fingers about that.


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## Bonefish Blues (27 Sep 2022)

figbat said:


> You don't think the lenders are watching the news? As we've seen, some are already pulling out ahead of any new rate rises.
> 
> In a feat of unimaginable foresight (or good luck) we locked into a 7-year deal in November last year at 1.19%. I can't tell you how relieved I am about it. At the time we took it the rate was on the high side but we did consider that rates were only going in one direction, although we never quite saw this coming.



We missed the absolute bottom so are just over 2, but I had the foresight to go with an offset product against which I have been sticking our cash savings and saving interest, so the balance has been fair ripping down (well, a bit ). As soon as I can get a rate better than the offset I'll pull my cash and chase a better rate outside the offset.


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## SpokeyDokey (29 Sep 2022)

GBP vs Dollar recovering:

https://uk.investing.com/currencies/gbp-usd-historical-data

Gilts almost back to 4%:

https://uk.investing.com/rates-bonds/uk-30-year-bond-yield-historical-data

Bith virtually the same as last Friday.


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## Chislenko (29 Sep 2022)

SpokeyDokey said:


> GBP vs Dollar recovering:
> 
> https://uk.investing.com/currencies/gbp-usd-historical-data
> 
> ...



My shares have lost 10p a share though, which may not seem much but I do have a lot of them and I always calculate my current wealth on the last trading day of the month.... tomorrow!!


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## SpokeyDokey (29 Sep 2022)

Chislenko said:


> My shares have lost 10p a share though, which may not seem much but I do have a lot of them and I always calculate my current wealth on the last trading day of the month.... tomorrow!!



Re wealth: ditto here as part of our monthly reconciliation process.

Mrs SD runs the numbers and we either cheer or boo. 😁


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## SpokeyDokey (30 Sep 2022)

Germany; inflation rate for September - expecting to be 10%+.

EU-wide rate expected to be 10.2%.

😒


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## shep (30 Sep 2022)

Chislenko said:


> My shares have lost 10p a share though, which may not seem much but I do have a lot of them and I always calculate my current wealth on the last trading day of the month.... tomorrow!!


Only lose if you sell them, still getting your divvy?

I've got shares I paid £5 for 6 yrs ago and during Covid they went down to 90p and haven't gone above £2 since, I also bought them at 90p so hopefully they'll even out at some point.


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## Chislenko (30 Sep 2022)

shep said:


> Only lose if you sell them, still getting your divvy?
> 
> I've got shares I paid £5 for 6 yrs ago and during Covid they went down to 90p and haven't gone above £2 since, I also bought them at 90p so hopefully they'll even out at some point.



Yes, you are quite correct Shep, it will just have a massive negative effect on my month end balance sheet, one hundred and twenty thousand multiplied by 10p!!


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## shep (30 Sep 2022)

Chislenko said:


> Yes, you are quite correct Shep, it will just have a massive negative effect on my month end balance sheet, one hundred and twenty thousand multiplied by 10p!!



Paper money that's all, don't fret.

I doubt you need worry, with that many shares of anything your divvy must be impressive and I would imagine you can afford to wait until they come back up.

3rd world problems and all that.


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## figbat (30 Sep 2022)

Chislenko said:


> Yes, you are quite correct Shep, it will just have a massive negative effect on my month end balance sheet, one hundred and twenty thousand multiplied by 10p!!



But the impact of this depends on the absolute share price. Sure, £1,200 seems like a lot to "lose", and if the shares went from £0.20 to £0.10 your portfolio has halved and you're right to be concerned. If the hare price has drifted from £10.00 to £9.90 though, it's less of a worry.


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## Mo1959 (30 Sep 2022)

Chislenko said:


> As was stated up thread if you can put 150k into a 3% it would give a nice monthly income to top up your other income. It's just finding one!!



3.62% with a 5 year bond with Tesco if you don’t mind not getting access to your money.


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## shep (30 Sep 2022)

figbat said:


> But the impact of this depends on the absolute share price. Sure, £1,200 seems like a lot to "lose", and if the shares went from £0.20 to £0.10 your portfolio has halved and you're right to be concerned. If the hare price has drifted from £10.00 to £9.90 though, it's less of a worry.



Exactly this, and he knows it.

'Monthly spreadsheet ' what's that all about?


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## Chislenko (30 Sep 2022)

shep said:


> Exactly this, and he knows it.
> 
> 'Monthly spreadsheet ' what's that all about?



I keep it going so that if I pop my clogs Mrs. C knows exactly where everything is, account numbers etc as she does not get involved in household finances.

And yes I have tried to get her involved.


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## shep (30 Sep 2022)

Chislenko said:


> I keep it going so that if I pop my clogs Mrs. C knows exactly where everything is, account numbers etc as she does not get involved in household finances.
> 
> And yes I have tried to get her involved.



Fair play, never gave that a thought really.


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## Tom... (30 Sep 2022)

It's also £12k, not £1200


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## Chislenko (30 Sep 2022)

Tom... said:


> It's also £12k, not £1200



Yes, Tom, hence my disappointment 😟


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## SpokeyDokey (30 Sep 2022)

shep said:


> Exactly this, and he knows it.
> 
> 'Monthly spreadsheet ' what's that all about?



I think he runs a similar thing to us here.

We have a 20 year cash flow forecast. A pretty complex beast but one that is, nonetheless, very easy and quick to update each month. Took a while to build though and it evolved over time.

Each month we know exactly what we have in terms of cash/investments and know our 'wealth' position ex' (mortgage free) house.

We originally built the spreadsheet to enable us to have confidence that switching off our corporate careers and downshifting would work. Bear in mind that we were downshifting our annual net income by 80% - the numbers eased a lot of the scariness!

Takes very little time for Mrs SD to run the month end numbers but, whilst we are both retired and will never run out of money, it is a habit we both do not wish to break. It's quite good fun really.

In December we spend an hour together planning the next year - likely investment returns, inflation rate, major purchases etc. This is a really useful exercise too.

We don't really budget as such we just use historical data to estimate income and expenditure - we are able to buy what we want and when we want it, and then use this as a guide for the year ahead and subsequent years.

Some people think we are crazy but in all honesty I am of the opinion that if more people actually 'managed' their finances they would be able to make better monetary decisions and be less stressed about their long-term financial wellbeing.


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## jowwy (30 Sep 2022)

SpokeyDokey said:


> I think he runs a similar thing to us here.
> 
> We have a 20 year cash flow forecast. A pretty complex beast but one that is, nonetheless, very easy and quick to update each month. Took a while to build though and it evolved over time.
> 
> ...



amen to all that.......


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## figbat (30 Sep 2022)

Tom... said:


> It's also £12k, not £1200



OK, but my point still stands. £12k missing from a £24k portfolio is a kick in the nuts. £12k missing from a £1.2m portfolio is a tickle under the chin.


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## SpokeyDokey (30 Sep 2022)

Chislenko said:


> I keep it going so that if I pop my clogs Mrs. C knows exactly where everything is, account numbers etc as she does not get involved in household finances.
> 
> And yes I have tried to get her involved.



That is a very good point.

My wife wasn't overly interested in the early stages of us properly managing the domestic finances apart from the 'is it okay to downshift?' angle.

Then, shortly after we started running our new process she said "look we have all this money scattered about but I don't know where exactly it is" - we obviously solved that issue.

We have some friends in couples where one person (usually male) is very precious about holding the financial reins with their partner not having a clue re their financial position and tbh they would be up a creek without a paddle should the 'rein-holder' die.

Another reason why we strongly believe in shared finances; within marriage at least.

Can't understand married couples who do not share their finances. Each to their own of course.


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## Chislenko (30 Sep 2022)

SpokeyDokey said:


> That is a very good point.
> 
> My wife wasn't overly interested in the early stages of us properly managing the domestic finances apart from the 'is it okay to downshift?' angle.
> 
> ...



Totally agree Spokey, you only have to witness all the dormant accounts sitting in Banks, Building Societies etc that people are unaware their relations had.


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## gbb (30 Sep 2022)

SpokeyDokey said:


> Some people think we are crazy but in all honesty I am of the opinion that if more people actually 'managed' their finances they would be able to make better monetary decisions and be less stressed about their long-term financial wellbeing.


Ive said before, take responsibility, take care, it's one of the very best things you can ever do.
We married young, that puts a financial burden on you. I had a very modest paid job for 23 years while we were bringing up the kids, my wife occasionally worked part time, pin money kind of thing. It was ALWAYS a struggle making ends meet.
But we budgeted relentlessly, where we took loans, we paid them off asap, we saved whatever we could. Brought our modest house at 40
Slowly slowly, you get topside. I did get a well paid job for the next 10 years and the upshot is..
At 64, i have no mortgage, virtually no credit card use or debt, anything and everything we have on the never never could be cleared if i lost my job tomorrow
On paper, we can scarcely believe our worth. I never earned big big money, but we budgeted and lived as much as possible within our means, sensible cheap cars, never waste money. It really is amazing what you can achieve.


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## SpokeyDokey (30 Sep 2022)

gbb said:


> Ive said before, take responsibility, take care, it's one of the very best things you can ever do.
> We married young, that puts a financial burden on you. I had a very modest paid job for 23 years while we were bringing up the kids, my wife occasionally worked part time, pin money kind of thing. It was ALWAYS a struggle making ends meet.
> But we budgeted relentlessly, where we took loans, we paid them off asap, we saved whatever we could. Brought our modest house at 40
> Slowly slowly, you get topside. I did get a well paid job for the next 10 years and the upshot is..
> ...



Nice one and well done!

Many people simply do not understand that they need to live within their means.

Even if it means not having the latest and greatest whatever...


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## shep (30 Sep 2022)

SpokeyDokey said:


> I think he runs a similar thing to us here.
> 
> We have a 20 year cash flow forecast. A pretty complex beast but one that is, nonetheless, very easy and quick to update each month. Took a while to build though and it evolved over time.
> 
> ...



Wow, sounds complicated and a bit too business like for me but each to their own. 

I've always just made sure I earned more than I spent and put some away for the proverbial 'rainy day ' along with ensuring I pumped as much as I could into my pension. 

We don't really have an exuberant lifestyle compared to some and any 'toys' I do have are of the classic variety so cost next to nothing to run and don't really depreciate, I doubt we would ever spend much more than 5k on a car (well the missus as I have a work van) so not hard for us to plan ahead really. 

Now, helping the kids out with mortgage deposits will be another story but we have that covered.


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## Arrowfoot (30 Sep 2022)

Wow, just read that mortgage offered at 4.5% has been withdrawn and 10.5% offered. Never seen anything like this in my life time. Seen slow rise to 17% in 1979 but not like this. 

I feel sorry for those who are in the midst of securing a mortgage or those on variable rate.


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## Tom... (30 Sep 2022)

Arrowfoot said:


> Wow, just read that mortgage offered at 4.5% has been withdrawn and 10.5% offered.



Have you got a link, please? Sound's improbable, even in extraordinary circumstances.


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## fossyant (30 Sep 2022)

Arrowfoot said:


> Wow, just read that mortgage offered at 4.5% has been withdrawn and 10.5% offered. Never seen anything like this in my life time. Seen slow rise to 17% in 1979 but not like this.
> 
> I feel sorry for those who are in the midst of securing a mortgage or those on variable rate.



We're selling MIL's house, so hoping our buyer's don't pull out and their deal is 'secure'. Otherwise we might be screwed ! The council is after it's care home money.


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## shep (30 Sep 2022)

SpokeyDokey said:


> Can't understand married couples who do not share their finances. Each to their own of course.



I can see both sides to this and have discussed it with work colleagues many times.

When I first met my Wife she had her own flat (rented) and had just qualified as a Nurse so fully self sufficient, this was in 1990 mind you.

As we got to know each other I would stop over more and more and eventually moved in, at this point all the household bills were in her name as you would expect so I simply 'bunged her a bit' towards them.

As time went on we decided to get Married and buy a house together (1996) so off we went and the rest is history as they say.

Now this is where the paying of 'joint' bills raised it's head, we obviously had a joint mortgage but all the utility bills were in her name and coming out of her bank from the previous flat so when we moved into the house she just carried on paying them and I set up a standing order for a set amount each month to cover my 'share'.

As time went by my contribution changed to reflect circumstances as she went from full time to part time to full time again to Sister as the kids came and grew and needed less of her time, never once having a joint account in all this time and things working perfectly.

I put this working down to being on an equal, give or take, financial standing to one another and both people having lived alone whereas the lads I work with are all the main wage earners so want to know where every penny of their wages are going.

I remember one conversation with a fella who reckoned my missus was probably 'squirreling away' all the money I gave her and not paying the bills and would one day leave me with a massive debt, I asked him how much his bills were each month and he replied " well, about £1200 and the wife buys the food" we had a similar mortgage at the time and both had 2 kids "I give my missus £600 per month so I doubt 
she's making much".

As already said, whatever works for you.


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## Arrowfoot (30 Sep 2022)

Tom... said:


> Have you got a link, please? Sound's improbable, even in extraordinary circumstances.



https://www.dailymail.co.uk/news/ar...eals-mortgage-lender-told-best-deal-10-5.html


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## Arrowfoot (30 Sep 2022)

fossyant said:


> We're selling MIL's house, so hoping our buyer's don't pull out and their deal is 'secure'. Otherwise we might be screwed ! The council is after it's care home money.



The issue for lenders is uncertainty so they will quote ridiculous amount. It will insane for the fiscal watchdog to wait until Nov to release their report.


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## Tom... (30 Sep 2022)

Arrowfoot said:


> https://www.dailymail.co.uk/news/ar...eals-mortgage-lender-told-best-deal-10-5.html
> View attachment 662827



Daily Mail 

She didn't actually have an offer, she'd simply seen a product she was interested in at 4.5%


----------



## Chislenko (30 Sep 2022)

I suppose the "bonus" for the government will be if savings interest rates climb as hoped / expected it will put a lot of us back into paying tax on our interest, something we haven't really done for a while.


----------



## jowwy (30 Sep 2022)

Tom... said:


> Daily Mail
> 
> She didn't actually have an offer, she'd simply seen a product she was interested in at 4.5%



no, she had an offer, just not in writing


----------



## Tom... (30 Sep 2022)

jowwy said:


> no, she had an offer, just not in writing



She didn't have an offer.

"I was told my initial interest rate would be 4.5 percent. I was told today that the lender has pulled that offer"

Regardless, something doesn't ring true, no ones getting offered over 10% (yet)


----------



## SpokeyDokey (30 Sep 2022)

shep said:


> I can see both sides to this and have discussed it with work colleagues many times.
> 
> When I first met my Wife she had her own flat (rented) and had just qualified as a Nurse so fully self sufficient, this was in 1990 mind you.
> 
> ...



We have two couples that we know who are married and both the girls have no job and hate having to ask for money.

How sad is that?

We have joint bank accounts, joint investments and where we have named investments eg when we used to use up both our full allowances for eg Isa's we have full access by our shared passwords etc.

Never even think about our money as my money or her money.

Bizzarely my BiL & SIL lend each other money.

Still... we are all very different.


----------



## SpokeyDokey (30 Sep 2022)

I note that the economy grew last quarter and that we are not in redecession.

Not quite as the doomster media predicted.


----------



## The Crofted Crest (30 Sep 2022)

SpokeyDokey said:


> Bizzarely my BiL & SIL lend each other money.



An ex-colleague to his wife:

-- "Do you fancy going out to dinner tonight?"
-- "Oh yes, but I don't have any money."
-- "That's OK I'll go by myself."

And he does. 
By all accounts they are bizarrely still married.


----------



## Alex321 (30 Sep 2022)

SpokeyDokey said:


> We have two couples that we know who are married and both the girls have no job and hate having to ask for money.
> 
> How sad is that?
> 
> ...


Yes, that is the way we have managed for over 40 years now.

As you say, the only things we have in individual names are ISAs, which have to be.


----------



## jowwy (30 Sep 2022)

Tom... said:


> She didn't have an offer.
> 
> "I was told my initial interest rate would be 4.5 percent. I was told today that the lender has pulled that offer"
> 
> Regardless, something doesn't ring true, no ones getting offered over 10% (yet)



So who told her the initial interest rate would be 4.5%, if as you say “she didnt have an offer”……

because your quoted response above doesnt make sense and do you have proof that no lenders are offereing 10%+ interest rates yet???


----------



## Tom... (30 Sep 2022)

jowwy said:


> So who told her the initial interest rate would be 4.5%, if as you say “she didnt have an offer”……
> 
> because your quoted response above doesnt make sense and do you have proof that no lenders are offereing 10%+ interest rates yet???



Maybe told by a friend, a family member, a colleague, an initial consultation with a mortgage adviser or her bank, or a rate she'd found online? 

You're right, it doesn't make sense, because the Daily Mail headline is clickbait.


----------



## FishFright (30 Sep 2022)

Contains the clips from Question Time where the story came from


----------



## CharlesF (30 Sep 2022)

@SpokeyDokey, you think like me! Control of the money gives you freedom. I would love to “steal with pride” an anonymised copy of the forecast.


----------



## oldwheels (30 Sep 2022)

shep said:


> I can see both sides to this and have discussed it with work colleagues many times.
> 
> When I first met my Wife she had her own flat (rented) and had just qualified as a Nurse so fully self sufficient, this was in 1990 mind you.
> 
> ...


----------



## neil_merseyside (30 Sep 2022)

Each partner having separate accounts is very stone age, I suppose it might help hiding a 'bike' addiction (swap word bike for alcohol/Hornby/control freakery/whatever) and that realisation explains all the neanderthal blokes I know/knew who still have! it that way (my dad definitely a control freak, but also of an age when it was 'normal'). I don't know any major wage earners/sole breadwinner (insert excuse here) that approaches 50% of the work of a family unit.


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## Chislenko (30 Sep 2022)

neil_merseyside said:


> Each partner having separate accounts is very stone age, I suppose it might help hiding a 'bike' addiction (swap word bike for alcohol/Hornby/control freakery/whatever) and that realisation explains all the neanderthal blokes I know/knew who still have! it that way (my dad definitely a control freak, but also of an age when it was 'normal'). I don't know any major wage earners/sole breadwinner (insert excuse here) that approaches 50% of the work of a family unit.



To be fair Neil, me and Mrs C , together 30 plus years have always had separate accounts. No one is trying to hide anything, just the way it is.


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## ebikeerwidnes (30 Sep 2022)

Chislenko said:


> I keep it going so that if I pop my clogs Mrs. C knows exactly where everything is, account numbers etc as she does not get involved in household finances.
> 
> And yes I have tried to get her involved.



I have the same problem with SWMBO
I keep meaning to write it all down and put it in a sealed envelope with my will
and important things like how to get onto the online bank account and such like

Probably along with information about where the kettle is and how to make tea
after all - if I have just died she can't kill me!!!!!
(although if I carry that note on too long she might just dig me up and try!)


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## icowden (30 Sep 2022)

Chislenko said:


> To be fair Neil, me and Mrs C , together 30 plus years have always had separate accounts. No one is trying to hide anything, just the way it is.



Same here. We did have a joint account when we were first married, but we just found it didn't work well for us.


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## Jameshow (30 Sep 2022)

Opposite here she has more than one acc on top of the joint acc. 

I wouldn't know where to start if she popped her cloggs I probably leave to the kids to sort out and put saddle bag on the tourer! 

I'm certainly not remarrying an accountant to sort it out! She's not but gives them a good run for the money!!!


----------



## PaulSB (1 Oct 2022)

neil_merseyside said:


> *Each partner having separate accounts is very stone age,* I suppose it might help hiding a 'bike' addiction (swap word bike for alcohol/Hornby/control freakery/whatever) and that realisation explains all the neanderthal blokes I know/knew who still have! it that way (my dad definitely a control freak, but also of an age when it was 'normal'). I *don't know any major wage earners/sole breadwinner (insert excuse here) that approaches 50% of the work of a family unit*.



Why? We have a joint account but I know plenty of people who have separate accounts. These people are far from "Stoneage."

Before retirement Mrs P and I both worked full time, nominally 40 hours/week. Roughly speaking net incomes were Mrs P 45%, me 55%. Today in retirement the ratio is 54/46% if I chose to take my full pension.


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## neil_merseyside (1 Oct 2022)

PaulSB said:


> Why? We have a joint account but I know plenty of people who have separate accounts. These people are far from "Stoneage."
> 
> Before retirement Mrs P and I both worked full time, nominally 40 hours/week. Roughly speaking net incomes were Mrs P 45%, me 55%. Today in retirement the ratio is 54/46% if I chose to take my full pension.



Stone age because people clearly think (you included) that it's "my/her" money?


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## Bonefish Blues (1 Oct 2022)

Whatever works for the people involved. Different strokes and so on. Joint here, always.


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## PaulSB (1 Oct 2022)

neil_merseyside said:


> Stone age because people clearly think (you included) that it's "my/her" money?



Where did I say it's "my/her" money? Show me that and you can call me stone age otherwise apologise. I know plenty of very forward thinking, articulate, intelligent couples who choose to operate separate bank accounts. This does not mean they don't share the financial responsibility but simply wish to run their accounts separately.

To my mind individuals who insist on all monies being in a joint account are distrustful and controlling of their partner by not allowing the partner the freedom to be involved in choosing how a contribution household finances is managed.


----------



## ClichéGuevara (1 Oct 2022)

Arrowfoot said:


> https://www.dailymail.co.uk/news/ar...eals-mortgage-lender-told-best-deal-10-5.html
> View attachment 662827



That has been shown to be a very false claim on her part by a variety of separate mortgage experts and companies.


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## neil_merseyside (1 Oct 2022)

PaulSB said:


> Where did I say it's "my/her" money? Show me that and you can call me stone age otherwise apologise. I know plenty of very forward thinking, articulate, intelligent couples who choose to operate separate bank accounts. This does not mean they don't share the financial responsibility but simply wish to run their accounts separately.
> 
> To my mind individuals who insist on all monies being in a joint account are distrustful and controlling of their partner by not allowing the partner the freedom to be involved in choosing how a contribution household finances is managed.



Erm this bit:- Mrs P 45%, me 55%. Today in retirement the ratio is 54/46%


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## Mo1959 (1 Oct 2022)

neil_merseyside said:


> Erm this bit:- Mrs P 45%, me 55%. Today in retirement the ratio is 54/46%



I think there’s a subtle difference between contributing and owning, but please don’t start an argument in what is an interesting thread.


----------



## PaulSB (1 Oct 2022)

neil_merseyside said:


> Each partner having separate accounts is very stone age, I suppose it might help hiding a 'bike' addiction (swap word bike for alcohol/Hornby/control freakery/whatever) and that realisation explains all the neanderthal blokes I know/knew who still have! it that way (my dad definitely a control freak, but also of an age when it was 'normal'). *I don't know any major wage earners/sole breadwinner (insert excuse here) that approaches 50% of the work of a family unit.*





neil_merseyside said:


> Erm this bit:- Mrs P 45%, me 55%. Today in retirement the ratio is 54/46%


 I wasn't entirely sure what the bolded sentence meant but interpreted this to be you don't know any households or couples where work, earnings etc. are roughly equal. I've done nothing other than state we run a joint bank account and our financial contributions while working and now in retirement are very close to 50% each. I don't see how you reach the conclusion I'm stone age?


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## neil_merseyside (1 Oct 2022)

PaulSB said:


> I wasn't entirely sure what the bolded sentence meant but interpreted this to be you don't know any households or couples where work, earnings etc. are roughly equal. I've done nothing other than state we run a joint bank account and our financial contributions while working and now in retirement are very close to 50% each. I don't see how you reach the conclusion I'm stone age?



Because you know the percentage, it shouldn't matter if it is/was 75/25 (either way).


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## SpokeyDokey (1 Oct 2022)

PaulSB said:


> To my mind individuals who insist on all monies being in a joint account are distrustful and controlling of their partner by not allowing the partner the freedom to be involved in choosing how a contribution household finances is managed.



As an aside I think the original post re Stone Age was merely ilo 'old fashioned' and referred back to times when, generally, men were the sole or principle income earner and usually kept hold of the financial reins. 

The original poster can correct me if I am wrong. 

***

Re your partial post above. 

Obviously I respect your opinion but it does sound a bit, to my mind, strong to use the words distrustful and controlling re joint accounts. 

That is not the case for us. 

We entered our marriage on the, unspoken at the time, understanding that we were both equals in all respects and that is the way it has remained. 

We never discussed finance sharing per se and it was just assumed that that was the way it would be. 

When we were first married the earnings ratio was 2:1 later rising to 5:1 in my favour and never once have I ever thought that our money/wealth is ever 'owned' any differently than on a 50:50 split basis. 

There is nothing controlling or distrustful about our relationship I can assure you - not in any aspect of it and including finances. 

We both spend what we want and when we want and both are not answerable to each other. 

We do make joint decisions on major purchases and major financial decisions which seems a sensible approach to us. 

Ultimately, I would say that shared 'everything' is an honest and transparent basis for a relationship without any 'power' imbalance - but, as ever, each to their own. 

NB: I am not implying the obverse of the above paragraph either - although the obvious opportunity is greater. 

As an amusing finale; our financial set-up does make it difficult to buy surprise birthday and Xmas presents for each other. 🙂


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## shep (1 Oct 2022)

neil_merseyside said:


> Each partner having separate accounts is very stone age, I suppose it might help hiding a 'bike' addiction (swap word bike for alcohol/Hornby/control freakery/whatever) and that realisation explains all the neanderthal blokes I know/knew who still have! it that way (my dad definitely a control freak, but also of an age when it was 'normal'). I don't know any major wage earners/sole breadwinner (insert excuse here) that approaches 50% of the work of a family unit.


Stone age, says who, you?

What's controlling about it in your opinion, my missus earns (before retirement) her own money and I earn mine and we both pay a share of household bills. 

I never need to ask what she spends her money on nor she me, can't see a problem myself. 

Not sure what the last bit meant?


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## midlife (1 Oct 2022)

In gross pay terms in our house the income split is about 90/10 and are paid into our own accounts. 

Mortgage, food, energy, etc comes out of one account and Laura buys what she wants from either


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## shep (1 Oct 2022)

neil_merseyside said:


> Stone age because people clearly think (you included) that it's "my/her" money?



What's your issue?

As already said what works for some doesn't work for others, who are you to criticise how people run their finances?

My Wife would never dream of having a joint account because there's no need for one, I'm of the same opinion so don't see a problem.


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## Chislenko (1 Oct 2022)

Mo1959 said:


> but please don’t start an argument in what is an interesting thread.



Nice one Mo. Let's get back on track(er) so to speak.


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## shep (1 Oct 2022)

neil_merseyside said:


> Because you know the percentage, it shouldn't matter if it is/was 75/25 (either way).



I guess you've had a bad experience in the past, referring to your comment about your Father, but knowing roughly how much each of you earn isn't really a bad thing is it?

Over the years our earnings have been pretty much equal but when the kids were young the missus dropped to 2 days per week so I obviously paid more of the bills but when she went back full time she put more into the pot and that's how we do it.

As for who's money it is, mine is mine and hers is hers but obviously if the kids or the house needs anything between us we sort it.

It's worked for over 30yrs.


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## neil_merseyside (1 Oct 2022)

shep said:


> I guess you've had a bad experience in the past, referring to your comment about your Father, but knowing roughly how much each of you earn isn't really a bad thing is it?
> 
> Over the years our earnings have been pretty much equal but when the kids were young the missus dropped to 2 days per week so I obviously paid more of the bills but when she went back full time she put more into the pot and that's how we do it.
> 
> ...



Well it was a bit odd my Dad lending Mum money so they could go on holiday together 

So anyone who says "mine and hers" or quote percentages seem to me to be monitoring family money rather too much.


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## SpokeyDokey (1 Oct 2022)

The OBR announcement on 23 Nov should give us a steer and will hopefully give us a fix on where interest rates are heading.

For investors; fingers crossed that the markets react favourably.

https://obr.uk/november-2022-forecast-date-announced/

Without getting political it was a bit naive not to involve the OBR prior to the financial announcement last week. 😒

Maybe a timing issue with the change of PM and HM's death.


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## Jameshow (1 Oct 2022)

SpokeyDokey said:


> As an aside I think the original post re Stone Age was merely ilo 'old fashioned' and referred back to times when, generally, men were the sole or principle income earner and usually kept hold of the financial reins.
> 
> The original poster can correct me if I am wrong.
> 
> ...



Makes it awkward buying n+1 bikes too!🤣🤣🤣


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## Jameshow (1 Oct 2022)

neil_merseyside said:


> Well it was a bit odd my Dad lending Mum money so they could go on holiday together
> 
> So anyone who says "mine and hers" or quote percentages seem to me to be monitoring family money rather too much.



I think it was referring to earning.... 

My earnings would hardly cover my Mrs tax bill!!


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## SpokeyDokey (1 Oct 2022)

Jameshow said:


> Makes it awkward buying n+1 bikes too!🤣🤣🤣



We are very tolerant of each others spending foibles. 😁


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## Mo1959 (1 Oct 2022)

SpokeyDokey said:


> We are very tolerant of each others spending foibles. 😁



Thankfully the cat 🐈 doesn’t mind how much I spend!  She has a new bed coming this afternoon so she better not complain.


----------



## shep (1 Oct 2022)

neil_merseyside said:


> Well it was a bit odd my Dad lending Mum money so they could go on holiday together
> 
> So anyone who says "mine and hers" or quote percentages seem to me to be monitoring family money rather too much.



That's where we'll have to agree to differ I'm afraid because what me and the wife earns is our own but then a portion of it goes towards the running of 'our ' home.

There's no 'monitoring ' as you call it because we have no view of each others accounts, what your saying doesn't make sense?

Surely having a joint account makes it more open to monitoring?


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## jowwy (1 Oct 2022)

Any chance we can get back to the topic of interest rates. I dont think anyone cares about whether people share accounts or not


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## Alex321 (1 Oct 2022)

PaulSB said:


> Where did I say it's "my/her" money? Show me that and you can call me stone age otherwise apologise. I know plenty of very forward thinking, articulate, intelligent couples who choose to operate separate bank accounts. This does not mean they don't share the financial responsibility but simply wish to run their accounts separately.
> 
> To my mind individuals who insist on all monies being in a joint account are distrustful and controlling of their partner by not allowing the partner the freedom to be involved in choosing how a contribution household finances is managed.



I genuinely cannot imagine any possibility that could cause you to think that.

In fact it is (at least in our case) the exact opposite. We have completely joint accounts because we DO trust each other. Any significant financial decisions are always taken jointly.

I think it more likely that wanting to keep separate accounts is a sign of distrust than wanting joint accounts. That doesn't mean it necessarily means that though, and I certainly agree there is nothing "Stone Age" about wanting that.


----------



## Alex321 (1 Oct 2022)

neil_merseyside said:


> I don't know any major wage earners/sole breadwinner (insert excuse here) that approaches 50% of the work of a family unit.





shep said:


> Not sure what the last bit meant?



I read it as meaning that working for a salary does not involve as much work as keeping the home up does, so when one person is sole breadwinner, the other is doing the bulk of that, then they are probably actually putting more work in.


----------



## Alex321 (1 Oct 2022)

jowwy said:


> Any chance we can get back to the topic of interest rates. I dont think anyone cares about whether people share accounts or not



You clearly think wrong.

Otherwise there wouldn't be all these posts about it


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## jowwy (2 Oct 2022)

Alex321 said:


> You clearly think wrong.
> 
> Otherwise there wouldn't be all these posts about it



You mean the same 3 members arguing over it.


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## Bonefish Blues (2 Oct 2022)

jowwy said:


> Any chance we can get back to the topic of interest rates. I dont think anyone cares about whether people share accounts or not



They've gone up more quickly than would otherwise have been the case. It's a problem. They'll go up more before they come down. It'll likely cause a house price reversal. That's about it.

There you go 😊


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## SpokeyDokey (2 Oct 2022)

Bonefish Blues said:


> They've gone up more quickly than would otherwise have been the case. It's a problem. They'll go up more before they come down. It'll likely cause a house price reversal. That's about it.
> 
> There you go 😊



And it will all be lead by the Fed Reserve and the mighty dollar.

No quick fix after whenever it peaks - they are not going to come tumbling down anytime soon.

Maybe the mortgage market will need an overhaul?

Much longer term mortgages may be the order if the day.

Would it be possible to swap equity ilo of repayments or part of the repayment - with an option to buy back when possible? Maybe the Gov' could take a stake? 

^^^^ Might be a load of cobblers but in truth I haven't got many ideas on the subject. 

Not an expert on mortgages but clearly many home owners who have ever known these crazy low rates will probably be in serious trouble in the not too distant future and some form of support will be required.

As an aside, somewhere along the line we need to get off of the 'home as an investment' way of life - whether it is primary owners or the BTL brigade.


----------



## Chislenko (2 Oct 2022)

SpokeyDokey said:


> And it will all be lead by the Fed Reserve and the mighty dollar.
> 
> No quick fix after whenever it peaks - they are not going to come tumbling down anytime soon.
> 
> ...



Some will prosper as always, cash rich investors will be just waiting for the bank repossessions / fire sale.

Just looking locally it would appear to be bringing prices down already. A house that sold last year a couple of streets away for 550 is back on the market for 475.


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## classic33 (2 Oct 2022)

SpokeyDokey said:


> And it will all be lead by the Fed Reserve and the mighty dollar.
> 
> No quick fix after whenever it peaks - they are not going to come tumbling down anytime soon.
> 
> ...


Wasn't there a prediction, in the second half of last week, of a 20% drop in house prices.


----------



## Bonefish Blues (2 Oct 2022)

SpokeyDokey said:


> And it will all be lead by the Fed Reserve and the mighty dollar.
> 
> No quick fix after whenever it peaks - they are not going to come tumbling down anytime soon.
> 
> ...



The same homeowners that have new cars sitting on their drives on PCP. I fear it'll be ugly. It is/was a time to batten 'em down, not p*ss money at those who have plenty - it's not an intellectual game, it's real life.


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## Bonefish Blues (2 Oct 2022)

classic33 said:


> Wasn't there a prediction, in the second half of last week, of a 20% drop in house prices.



Yep


----------



## Arrowfoot (2 Oct 2022)

Things have moved on significantly since the old days. Ask any banker and he will tell you that joint accounts which was a given up to 30 years ago is no longer favoured. If there is a joint account, it is usually is a secondary account for both and used for utilities and expense account.

Women are on equal terms and married surname is either no longer in vogue or they just retain their original birth surname at the workplace as they intend to have an identity of their own even when happily married.

There is also an expectation of privacy amongst established relationships in the newer generation. 

The thing to do is have a decent lawyer and clear will and a copy to be exchanged between partners.


----------



## SpokeyDokey (2 Oct 2022)

classic33 said:


> Wasn't there a prediction, in the second half of last week, of a 20% drop in house prices.



I missed that. Thanks.


----------



## SpokeyDokey (3 Oct 2022)

Potential issues in NI - did this happen in the rest of the UK? 

BBC News - Mortgages timebomb for Northern Ireland homeowners, says expert
https://www.bbc.co.uk/news/uk-northern-ireland-63059111


----------



## Alex321 (3 Oct 2022)

SpokeyDokey said:


> Potential issues in NI - did this happen in the rest of the UK?
> 
> BBC News - Mortgages timebomb for Northern Ireland homeowners, says expert
> https://www.bbc.co.uk/news/uk-northern-ireland-63059111



I believe it is the case across the UK. Not sure why they have specifically mentioned Northern Ireland, unless that was just because it was a BBC Ulster programme.


----------



## SpokeyDokey (3 Oct 2022)

Average 2 year fixes now c6%:

BBC News - Mortgage rates rise sharply as squeeze tightens
https://www.bbc.co.uk/news/business-63119047


----------



## jowwy (3 Oct 2022)

SpokeyDokey said:


> Average 2 year fixes now c6%:
> 
> BBC News - Mortgage rates rise sharply as squeeze tightens
> https://www.bbc.co.uk/news/business-63119047



I was offered a 2yr at 4.1%, 5yr 4.0% and a 10yr at 3.73% last friday from halifax…….i‘m wondering if some of these figures being thrown around in the press are true


----------



## Bonefish Blues (3 Oct 2022)

jowwy said:


> I was offered a 2yr at 4.1%, 5yr 4.0% and a 10yr at 3.73% last friday from halifax…….i‘m wondering if some of these figures being thrown around in the press are true



People with higher LTV are being gouged, I expect...


----------



## jowwy (3 Oct 2022)

Bonefish Blues said:


> People with higher LTV are being gouged, I expect...



That could well be true…….or maybe new lenders are not getting a fair deal


----------



## Bonefish Blues (3 Oct 2022)

jowwy said:


> That could well be true…….or maybe new lenders are not getting a fair deal



Risk dear boy, risk - it's always those who can least afford to pay who have to pay the most!

Not saying it's right, but it's just the way it is.


----------



## jowwy (3 Oct 2022)

Bonefish Blues said:


> Risk dear boy, risk *- it's always those who can least afford to pay who have to pay the most!*
> 
> Not saying it's right, but it's just the way it is.



Who is saying they cant pay…..thats a bit of a general statement really


----------



## Bonefish Blues (3 Oct 2022)

jowwy said:


> Who is saying they cant pay…..thats a bit of a general statement really



Simple logic really - more highly geared, typically younger, lower earning power and so on as compared to old farts like me with lower LTV, who get the better rates. it's why they pay more - because a more risky loan.


----------



## jowwy (3 Oct 2022)

Bonefish Blues said:


> Simple logic really - more highly geared, typically younger, lower earning power and so on as compared to old farts like me with lower LTV, who get the better rates. it's why they pay more - because a more risky loan.



Again, i think thats too generic a statement, to say every new lender is in that position and therefore more risk to the bank….


----------



## FishFright (3 Oct 2022)

jowwy said:


> Again, i think thats too generic a statement, to say everyone new lender is in that position and therefore more risk to the bank….



He's correct though because that's how interest rates are scaled. New lenders are always paying more precisely because they are new.


----------



## Bonefish Blues (3 Oct 2022)

jowwy said:


> Again, i think thats too generic a statement, to say every new lender is in that position and therefore more risk to the bank….



You will notice my use of 'typically' (well you didn't, so let me point it out). That means not everybody is in that position.

Yours, explaining the nuances of language 😊


----------



## jowwy (3 Oct 2022)

FishFright said:


> He's correct though because that's how interest rates are scaled. New lenders are always paying more precisely because they are new.



Correct new lenders pay more, but not because they are more highley geared or lower earners…….


----------



## Bonefish Blues (3 Oct 2022)

jowwy said:


> Correct new lenders pay more, but not because they are more highley geared or lower earners…….



The higher geared the higher the risk - that's simple actuarial truth jowwy.


----------



## jowwy (3 Oct 2022)

Bonefish Blues said:


> The higher geared the higher the risk - that's simple actuarial truth jowwy.



What im saying is, that your statement is not the same for everyone, but you wanted to tar all new lenders with the same brush……its not the case. Whether you state “typical” lender or not.


----------



## classic33 (3 Oct 2022)

jowwy said:


> What im saying is, that your statement is not the same for everyone, but you wanted to tar all new lenders with the same brush……its not the case. Whether you state “typical” lender or not.


Are there any new lenders in/on the market these days. Most lenders have been around a few years now.


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## Bonefish Blues (3 Oct 2022)

jowwy said:


> What im saying is, that your statement is not the same for everyone, but you wanted to tar all new lenders with the same brush……its not the case. Whether you state “typical” lender or not.



I'm tarring nobody with anything - please try to understand what I am writing 

I am saying that the market operates this way. It is what it is. It isn't sensitive enough to produce a 'jowwy rate' because of factors X, Y, or Z any more than it is able to determine that this specific individual who has a high LTV is actually a great individual who is very low risk. They get aggregated together, because that's what happens.


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## Bonefish Blues (3 Oct 2022)

classic33 said:


> Are there any new lenders in/on the market these days. Most lenders have been around a few years now.



Let's not get into lenders and borrowers - i glossed over that because life's too short 😊


----------



## jowwy (3 Oct 2022)

Bonefish Blues said:


> I'm tarring nobody with anything - please try to understand what I am writing
> 
> I am saying that the market operates this way. It is what it is. It isn't sensitive enough to produce a 'jowwy rate' because of factors X, Y, or Z any more than it is able to determine that this specific individual who has a high LTV is actually a great individual who is very low risk. They get aggregated together, because that's what happens.



Why use my name as if its significant to my post…..im not asking for a jowwy rate or anything else. Im just doing as you are and stating my opinion. Stop using my username as a way of suggesting im asking for or expecting to be treated differently.


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## Chislenko (3 Oct 2022)

What does LTV stand for please?


----------



## SpokeyDokey (3 Oct 2022)

Chislenko said:


> What does LTV stand for please?



Loan To Value (ratio):

https://moneyfacts.co.uk/mortgages/... Loan-to-value,you start your mortgage search.


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## jowwy (3 Oct 2022)

Chislenko said:


> What does LTV stand for please?



Basically the more you put down upfront, the less your LTV would be, as you wouldnt be borrowing as much from the “Lender"


----------



## Bonefish Blues (3 Oct 2022)

jowwy said:


> Why use my name as if its significant to my post…..im not asking for a jowwy rate or anything else. Im just doing as you are and stating my opinion. Stop using my username as a way of suggesting im asking for or expecting to be treated differently.



I'm using it in an illustrative way, you know, metaphorically I am sorry if you didn't appreciate that. Nowhere did you ask for a special rate or anything of the kind, I'm happy to confirm. Hope that clarifies things - you see I was seeking to illustrate the fact that the market makes broad-brush determinations, based on risk - a point I re-stated - and where I was accused of 'tarring everyone with the same brush' wasn't it? You can see this on any, but any, mortgage comparison website where one is asked what the value of the property is and based on the determined LTV, you can get a higher or lower rate.

Your stated opinions are flawed because you are serially failing to understand the points I am making, and arguing against something that wasn't stated - and directly attributing statements to me that I very clearly didn't make - as I am sure others will have noticed.


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## jowwy (3 Oct 2022)

Bonefish Blues said:


> I'm using it in an illustrative way, you know, metaphorically I am sorry if you didn't appreciate that. Nowhere did you ask for a special rate or anything of the kind, I'm happy to confirm. Hope that clarifies things - you see I was seeking to illustrate the fact that the market makes broad-brush determinations, based on risk - a point I re-stated - and where I was accused of 'tarring everyone with the same brush' wasn't it? You can see this on any, but any, mortgage comparison website where one is asked what the value of the property is and based on the determined LTV, you can get a higher or lower rate.
> 
> Your stated opinions are flawed because you are serially failing to understand the points I am making, and arguing against something that wasn't stated - and directly attributing statements to me that I very clearly didn't make - as I am sure others will have noticed.



I dont care what others may have noticed, if your seeking assurance from other members.

My opinion isnt flawed, because like i stated….not everyone is high risk, highly geared, lowley paid. If you cant accept that, then your also flawed In your opinion.

have a nice day.


----------



## Bonefish Blues (3 Oct 2022)

jowwy said:


> I dont care what others may have noticed, if your seeking assurance from other members.
> 
> My opinion isnt flawed, because like i stated….not everyone is high risk, highly geared, lowley paid. If you cant accept that, then your also flawed In your opinion.
> 
> have a nice day.



I didn't say that though. See my posts where I have tried very hard to correct your misunderstandings.

I try to use language in a precise way - however I cannot always legislate for an imprecise understanding, try as I might 😊


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## Chislenko (3 Oct 2022)

I don't own a mortgage!

(Shamefully stolen from the I don't own a TV people)


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## Alex321 (3 Oct 2022)

jowwy said:


> I dont care what others may have noticed, if your seeking assurance from other members.
> 
> My opinion isnt flawed, because like i stated….not everyone is high risk, highly geared, lowley paid. If you cant accept that, then your also flawed In your opinion.


He has never suggested everyone is. So your argument is a straw man.

What he is saying is that mortgage rates offered are based on a statistical analysis of which borrowers are *on average* higher risk.

Which tends to mean those with higher LTV get higher mortgage rates, regardless of whether any particular borrower is individually high risk. And those with a high multiple of earnings will also tend to get offered higher rates.


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## icowden (3 Oct 2022)

jowwy said:


> I was offered a 2yr at 4.1%, 5yr 4.0% and a 10yr at 3.73% last friday from halifax…….i‘m wondering if some of these figures being thrown around in the press are true



That was last Friday. I was offered a 10 year with Barclays last Thursday at 3.65%. Immediately sent in documents etc. By Saturday the offer had been withdrawn. The best rate I can get today is 4.09% on a 10 year with TSB (and now in hot pursuit of that deal) and that's with 45% LTV. A five year would be 4.5%. Three or 4 weeks ago I was looking at 2-3%. 

That 0.5% doesn't sound a lot but it's the difference between £1886 a month and £2066. SO £180 a month more in the space of a few days.

The rate is heavily dependent on your LTV, The rates you were getting suggest a very low LTV. They are definitely quickly increasing however.


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## Chislenko (4 Oct 2022)

Reading this thread I'm just glad I pay cash for everything.


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## icowden (4 Oct 2022)

Chislenko said:


> Reading this thread I'm just glad I pay cash for everything.



Hard to do that for a house unless you have a fabulous inheritance...


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## Chislenko (4 Oct 2022)

icowden said:


> Hard to do that for a house unless you have a fabulous inheritance...



Worked hard all my life and now have a healthy bank balance.

Never had an inheritance, just got on with life and didn't do the "feel sorry for me" garbage.


----------



## Alex321 (4 Oct 2022)

icowden said:


> Hard to do that for a house unless you have a fabulous inheritance...



Or (as in our case) have paid a mortgage for many years and paid it off before selling and buying another.


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## PaulSB (4 Oct 2022)

jowwy said:


> You mean the same 3 members arguing over it.



I read this and ignored it. Then I read the next three pages. 🤣


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## PaulSB (4 Oct 2022)

I was chatting to my eldest son at the weekend who, with his partner, is looking to buy in Manchester. They dont have an offer in place. He didn't quote precise figures but said their anticipated repayments have moved from +/-£800 to +/- £2000. I suspect he was exaggerating to an extent.

Fearing taking on a high rate mortgage, buying in what has been a rapidly increasing priced market and then followed by a substantial drop in house prices they've taken the decision not to buy.

His partner owns their flat, they will stay put, the planned family is on hold etc. Just one example but I'd wager many similar decisions are being taken.


----------



## shep (4 Oct 2022)

icowden said:


> That was last Friday. I was offered a 10 year with Barclays last Thursday at 3.65%. Immediately sent in documents etc. By Saturday the offer had been withdrawn. The best rate I can get today is 4.09% on a 10 year with TSB (and now in hot pursuit of that deal) and that's with 45% LTV. A five year would be 4.5%. Three or 4 weeks ago I was looking at 2-3%.
> 
> That 0.5% doesn't sound a lot but it's the difference between £1886 a month and £2066. SO £180 a month more in the space of a few days.
> 
> The rate is heavily dependent on your LTV, The rates you were getting suggest a very low LTV. They are definitely quickly increasing however.



2k per month!

Jesus some of you must have decent jobs, fair play to ya.


----------



## shep (4 Oct 2022)

Chislenko said:


> Reading this thread I'm just glad I pay cash for everything.



Me too but buying my house was a bit beyond what I had.


----------



## icowden (4 Oct 2022)

shep said:


> 2k per month!
> Jesus some of you must have decent jobs, fair play to ya.


Yep, I'm lucky enough to be taking home a decent wage, as is my wife. I am extending my existing £230,000 mortgage by £100,000 so it's an additional £500 a month now and an additional 5 years. When I was first looking, I was able to get the additional for about £100 more a month just by extending for 5 years.

To be honest I'm not that worried whether it's 15 or 20 years as we will likely sell the house before then, but the extra makes things tight with the increase in food and electricity costs. It's also concerning that if people like me are worried and feeling the pinch, switching from M&S to Aldi and trying to cut back on expenses, it must be absolutely devastating for people on lower incomes, first time buyers etc.


----------



## Chislenko (4 Oct 2022)

shep said:


> Me too but buying my house was a bit beyond what I had.



Yes mate, that was the exception. Borrowed the really large sum of £14000 back in the day. Scrimped and saved, second hand furniture, no car, second job in a bar at night, had it paid off in six years.

Those were the days when there were no penalties for paying off sums on a repayment mortgage so every time I had amassed a few hundred quid would go into the Halifax and pay it off the mortgage.

I am by my nature, debt averse, so have never borrowed a penny since!


----------



## shep (4 Oct 2022)

icowden said:


> Yep, I'm lucky enough to be taking home a decent wage, as is my wife. I am extending my existing £230,000 mortgage by £100,000 so it's an additional £500 a month now and an additional 5 years. When I was first looking, I was able to get the additional for about £100 more a month just by extending for 5 years.
> 
> To be honest I'm not that worried whether it's 15 or 20 years as we will likely sell the house before then (unless Liz kills the house prices as well as the economy), but the extra makes things tight with the increase in food and electricity costs. It's also concerning that if people like me are worried and feeling the pinch, switching from M&S to Aldi and trying to cut back on expenses, it must be absolutely devastating for people on lower incomes, first time buyers etc.



M&S to Aldi, you poor thing.


----------



## Chislenko (4 Oct 2022)

icowden said:


> Yep, I'm lucky enough to be taking home a decent wage, as is my wife. I am extending my existing £230,000 mortgage by £100,000 so it's an additional £500 a month now and an additional 5 years. When I was first looking, I was able to get the additional for about £100 more a month just by extending for 5 years.



Fair play to you, I would be absolutely cr-pping myself if I owed that much money regardless of income.

Just shows we all handle things differently.


----------



## PK99 (4 Oct 2022)

jowwy said:


> Correct new lenders pay more, but not because they are more highley geared or lower earners…….



Don't you mean new borrowers pay more?

D1, high earner, 50%LTV, first time buyer got a GREAT deal


----------



## icowden (4 Oct 2022)

Chislenko said:


> Fair play to you, I would be absolutely cr-pping myself if I owed that much money regardless of income.
> Just shows we all handle things differently.


I think we all have our thresholds. As the mortgage will still be less than 50% of the property value, I'm a little reassured - I can always sell the house (and probably will somewhere down the line). I was chatting to a friend the other night and she was a little worried about the mortgage she and her husband have, but theirs is somewhere between £500,000 and £750,000. But then I suppose if you can afford a house that's valued in the millions, you can afford the scary mortgage repayments!


----------



## Alex321 (4 Oct 2022)

PK99 said:


> Don't you mean new borrowers pay more?
> 
> D1, high earner, 50%LTV, first time buyer got a GREAT deal



There were a bunch of posts, by several different people, where they used "lenders" when they actually meant "borrowers", but I think we all knew what was meant. And only one person before you actually commented on it.


----------



## Buck (4 Oct 2022)

Article in the Times this weekend was suggesting that interest rates may be lower over the 5 year term

_So while many two-year fixes are approaching 6 per cent, five-year deals are still available at 3.73 per cent. Banks are telling you that they think rates will start to fall in a couple of years._


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## SpokeyDokey (5 Oct 2022)

Savings rates shooting up as well which is about time imo. 

In itself this will reduce inflation too - people saving more equals less to spend equals less demand etc.


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## SpokeyDokey (6 Oct 2022)

A lot of posters with the mulligrubs in this thread.


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## midlife (6 Oct 2022)

mulligrubs ?


----------



## SpokeyDokey (6 Oct 2022)

midlife said:


> mulligrubs ?



Yup!


----------



## Alex321 (6 Oct 2022)

midlife said:


> mulligrubs ?



I had to look it up as well
https://www.merriam-webster.com/dictionary/mulligrubs


----------



## Chislenko (6 Oct 2022)

midlife said:


> mulligrubs ?



I had to Google it, not a word I have heard before. I would like to say I have learnt something new but the way my brain works I will have forgotten it by tomorrow!!


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## Mo1959 (6 Oct 2022)

Chislenko said:


> I had to Google it, not a word I have heard before. I would like to say I have learnt something new but the way my brain works I will have forgotten it by tomorrow!!



It’s a bit like being scunnered up here by the sound of it.


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## All uphill (6 Oct 2022)

I've just put a bit into a one year fixed savings account with Investec.
4.15%
Time will tell if I should have waited a month or two for 7%!


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## Chislenko (6 Oct 2022)

All uphill said:


> I've just put a bit into a one fixed savings account with Investec.
> 4.15%
> Time will tell if I should have waited a month or two for 7%!



It's just so hard to tell sometimes. I have three one year bonds ( bought end of last year / beginning of this at rubbish rates) which I am waiting to mature so I just hope the rates stay relatively high for a few months.


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## SpokeyDokey (6 Oct 2022)

Chislenko said:


> It's just so hard to tell sometimes. I have three one year bonds ( bought end of last year / beginning of this at rubbish rates) which I am waiting to mature so I just hope the rates stay relatively high for a few months.



They're not going down any time soon.


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## Low Gear Guy (6 Oct 2022)

I am getting 12% on my Index Linked National Savings Certificates 

No longer available, before you all rush.


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## Jenkins (6 Oct 2022)

SpokeyDokey said:


> They're not going down any time soon.



Getting the timing right to take out a longer term fixed bond if you can afford to tie your money up for a while could be quite useful if you can take one out just before they do start to go down (if they ever do).


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## SpokeyDokey (6 Oct 2022)

Jenkins said:


> Getting the timing right to take out a longer term fixed bond if you can afford to tie your money up for a while could be quite useful if you can take one out just before they do start to go down (if they ever do).



Definitely a timing issue!

We have big decisions to make later this year and twice next year.

An educated roll of the dice will be the order of the day. 🙂


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## slowmotion (7 Oct 2022)

All uphill said:


> I've just put a bit into a one year fixed savings account with Investec.
> 4.15%
> Time will tell if I should have waited a month or two for 7%!



I'm doing the same but finding them really difficult to communicate with. How long did they take to set your account up after you completed your application?

Their "Live Chat" is a complete joke, they don't like email, and they won't use a phone. It's tricky.


----------



## All uphill (7 Oct 2022)

slowmotion said:


> I'm doing the same but finding them really difficult to communicate with. How long did they take to set your account up after you completed your application?
> 
> Their "Live Chat" is a complete joke, they don't like email, and they won't use a phone. It's tricky.



That doesn't sound good!

It took me about 20 minutes to complete the application and the account was created immediately.


----------



## potsy (7 Oct 2022)

slowmotion said:


> I'm doing the same but finding them really difficult to communicate with. How long did they take to set your account up after you completed your application?
> 
> Their "Live Chat" is a complete joke, they don't like email, and they won't use a phone. It's tricky.



Interesting... 
I have thought about moving my premium bonds to this kind of account instead, I notice Nationwide have a 4% one year bond, they may be a little better in terms of communication? 
Will see if they increase again over the next few weeks before deciding.


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## Chislenko (7 Oct 2022)

potsy said:


> Interesting...
> I have thought about moving my premium bonds to this kind of account instead, I notice Nationwide have a 4% one year bond, they may be a little better in terms of communication?
> Will see if they increase again over the next few weeks before deciding.



Must admit I am more a fan of face to face in branch transactions when handing over a lump of my hard earned!


----------



## SpokeyDokey (7 Oct 2022)

All uphill said:


> That doesn't sound good!
> 
> It took me about 20 minutes to complete the application and the account was created immediately.



We use Investec and it has worked fine to set up etc.


----------



## chris-suffolk (7 Oct 2022)

SpokeyDokey said:


> We use Investec and it has worked fine to set up etc.



Charter savings are offering 4.31% fixed for a year. Rates are rising fast, so don't fix much, or for long as a better deal will be along next week. Still better than easy access by some margin though.

Also noticed last week that Virgin money are doing a 1 year loan, up to £15000, for 2.79%, and a 1 year fixed bond for 4%, so paying you to borrow!


----------



## slowmotion (7 Oct 2022)

chris-suffolk said:


> Charter savings are offering 4.31% fixed for a year. Rates are rising fast, so don't fix much, or for long as a better deal will be along next week. Still better than easy access by some margin though.
> 
> Also noticed last week that Virgin money are doing a 1 year loan, up to £15000, for 2.79%, and a 1 year fixed bond for 4%, so paying you to borrow!



I just opened a Charter account. Way, way easier then Investec.


----------



## Tom... (12 Oct 2022)

2.75% instant access now available;

https://www.santander.co.uk/personal/savings-and-investments/savings/esaver


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## Jenkins (12 Oct 2022)

And why didn't us Santander current account holders get any notification of this?


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## Bonefish Blues (12 Oct 2022)

Jenkins said:


> And why didn't us Santander current account holders get any notification of this?



Because more interested in new sign-ups, as always, sadly


----------



## chris-suffolk (12 Oct 2022)

Jenkins said:


> And why didn't us Santander current account holders get any notification of this?



Just applied for 2 accounts, wife and I. Doubt it will be long before it all gets moved again though, since rates are rising so fast it's hard to keep money in the best accounts.


----------



## gbb (12 Oct 2022)

Bonefish Blues said:


> Because more interested in new sign-ups, as always, sadly



I can't remember the provider but a colleague has just found out....as they increase interest rates, existing savers don't get the new rate unless they apply.


----------



## chris-suffolk (12 Oct 2022)

gbb said:


> I can't remember the provider but a colleague has just found out....as they increase interest rates, existing savers don't get the new rate unless they apply.



Just keep checking moneysavingexpert.com - Martin is pretty good at being bang up to date with rates.


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## ebikeerwidnes (12 Oct 2022)

Just checked on Santander and existsing account holder can get it

However the access route is hidden in a basement behind a locked door in a filing cabinet labelled "Beware of the Leopard"


They could be more pro-active and tell people about it if they might be interested

Funnily enough I was asked to take a survey today - by a reputable company - and the questions were about whether or not you think your bank does all it can to help people

Huh!!


----------



## Jenkins (12 Oct 2022)

That'll teach them for not telling existing customers about it - I've opened an account and consolidated the funds from a couple of instant access savings accounts with other banks which were paying lower rates into it.

It took all of 30 seconds from the time of submitting the application to the account showing in the Santander app. One thing to be aware of is that in 1 year's time it becomes an Everyday Saver account which currently pays a massive 0.2% unless you move the money elsewhere.


----------



## vickster (13 Oct 2022)

Some decent rates from Coventry Building Society, eg 4.4% on a one year (ish) bond
https://www.coventrybuildingsociety.co.uk/member/savings/fixed-rates.html
and apparently can have interest paid out monthly


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## Chislenko (13 Oct 2022)

vickster said:


> Some decent rates from Coventry Building Society, eg 4.4% on a one year (ish) bond
> https://www.coventrybuildingsociety.co.uk/member/savings/fixed-rates.html
> and apparently can have interest paid out monthly



That's appealing, thanks for posting.


----------



## midlife (13 Oct 2022)

vickster said:


> Some decent rates from Coventry Building Society, eg 4.4% on a one year (ish) bond
> https://www.coventrybuildingsociety.co.uk/member/savings/fixed-rates.html
> and apparently can have interest paid out monthly



Thank goodness I have no savings so don't have to worry about this sort of thing.....


----------



## SpokeyDokey (13 Oct 2022)

Chislenko said:


> Must admit I am more a fan of face to face in branch transactions when handing over a lump of my hard earned!



Genuine question - what's the logic there?


----------



## gbb (13 Oct 2022)

SpokeyDokey said:


> Genuine question - what's the logic there?


In my case, trying to stem the gradual loss of face to face transactions In many facets of our lives.
There is no logic IMO, just a preference, a clinging on to what we like or know, its comforting in a small way, sometimes its just awkwardness (passed several empty self service tills in a shop today to take my place in a small queue so I could be served by someone, anyone)


----------



## chris-suffolk (13 Oct 2022)

Cynergy bank just e-mailed me to say their easy access savings account now paying 2.75% - so matches the Santander one that I'm still waiting a 'passcode' for, so that will be redundant now. Just TOO time consuming to keep moving money around for the best rates, but have to do it. I guess they assume most are too lethargic to bother, hence why so many people are getting next to nothing on their savings, as per news item today.


----------



## Chislenko (13 Oct 2022)

SpokeyDokey said:


> Genuine question - what's the logic there?



I think @gbb sums it up perfectly so I don't need to type it all out!!

Thanks @gbb 😊


----------



## nickyboy (14 Oct 2022)

chris-suffolk said:


> Cynergy bank just e-mailed me to say their easy access savings account now paying 2.75% - so matches the Santander one that I'm still waiting a 'passcode' for, so that will be redundant now. Just TOO time consuming to keep moving money around for the best rates, but have to do it. I guess they assume most are too lethargic to bother, hence why so many people are getting next to nothing on their savings, as per news item today.



That's exactly what happens. In effect, the lethargic are paying the active with the bank being the conduit for the flow of this money


----------



## chris-suffolk (14 Oct 2022)

nickyboy said:


> That's exactly what happens. In effect, the lethargic are paying the active with the bank being the conduit for the flow of this money



Makes me wonder whether savers are influencing the rates though.

If loads of people flock to get the latest high rate, then that lender has loads of money to lend out, and thus they make a good profit. Along comes another lender, at a higher rate, and most people move their money again (they moved it to start, so will continue moving each time). Thus the first lender now has a shortfall of disposable cash to meet liabilities, and may have to increase their rates to get people to move their money back again. Or is this too simplistic?

The trick is going to be predicting peak, so that instead of easy access accounts, the money (or at least some of it) can be moved to a fixed rate one. There's little point right now with rates rising so fast, but that will eventually stop.


----------



## Buck (14 Oct 2022)

Higher rate savings products are usually linked to a total value i.e. £23,000,000 which has been linked to the amount of lending the financial institution is due to lend. 

The savings deposited service this loan amount (“book”) and the interest paid to savers is higher as a mechanic of the lending rate being offered itself being higher.


----------



## vickster (14 Oct 2022)

I’ve signed up for the Santander deal for now so thanks for flagging, will consolidate the funds from a couple of lower interest paying savings accounts.
I’ve also suggested to a friend who basically has too much money sitting in her current account!


----------



## chris-suffolk (14 Oct 2022)

vickster said:


> I’ve signed up for the Santander deal for now so thanks for flagging, will consolidate the funds from a couple of lower interest paying savings accounts.
> I’ve also suggested to a friend who basically has too much money sitting in her current account!



Problem is, there are far too many people (such as my parents) who just leave money in accounts paying paltry amounts of interest. At least in part because they've never heard of banks like 'Cynergy' or 'Tandem' or whatever, so just don't bother. It's people like that, that the lenders rely upon. 

For me, it's getting to be a full time job trying to keep up with the latest rises. 

Going to be worth paying particular attention now that Truss has sacked Kwasi and reversed the corporation tax cuts, as that might stabalise things and cause rates to start to fall again. Then again, it might not.


----------



## Buck (14 Oct 2022)

I opened the Santander e-saver account earlier in the week and (probably due to already having a Santander account) it was set up in less than 5 minutes. 
Monies transferred and at least it will get some interest now!


----------



## SpokeyDokey (27 Oct 2022)

European Central Bank has raised rates by 0.75% today. 

USA will almost certainly raise their's next Weds and BoE ours the day after. 

Good for some and grim for others.


----------



## BoldonLad (27 Oct 2022)

neil_merseyside said:


> Each partner having separate accounts is very stone age, I suppose it might help hiding a 'bike' addiction (swap word bike for alcohol/Hornby/control freakery/whatever) and that realisation explains all the neanderthal blokes I know/knew who still have! it that way (my dad definitely a control freak, but also of an age when it was 'normal'). I don't know any major wage earners/sole breadwinner (insert excuse here) that approaches 50% of the work of a family unit.



We have separate accounts, with a joint account for bills. No secrecy involved. It works perfectly well for us. If other people wish to have totally joint finances, so, be it, no business of mine.


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## Jenkins (27 Oct 2022)

Isn't there a limit on the amount of interest you can get on savings before it becomes liable to tax? I seem to remember a £1000 figure which (for some) may quite easily be exceeded with the higher rates available now.


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## Jameshow (27 Oct 2022)

BoldonLad said:


> We have separate accounts, with a joint account for bills. No secrecy involved. It works perfectly well for us. If other people wish to have totally joint finances, so, be it, no business of mine.



Is this debate still going!!🤣🤣🤣🤣

If have separate ACC then must be something dodgy going on!!🔥🔥🔥🔥


----------



## BoldonLad (27 Oct 2022)

Jameshow said:


> Is this debate still going!!🤣🤣🤣🤣
> 
> If have separate ACC then must be something dodgy going on!!🔥🔥🔥🔥



If you say so.


----------



## Jameshow (27 Oct 2022)

BoldonLad said:


> If you say so.



I'm joking!!


----------



## shep (27 Oct 2022)

Jenkins said:


> Isn't there a limit on the amount of interest you can get on savings before it becomes liable to tax? I seem to remember a £1000 figure which (for some) may quite easily be exceeded with the higher rates avkailable now.



Wouldn't £1000 interest equate to about 40k in savings not accounting for the ISA allowance which is another 20k. I'm sure plenty on here do have that much.


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## SpokeyDokey (27 Oct 2022)

Jenkins said:


> Isn't there a limit on the amount of interest you can get on savings before it becomes liable to tax? I seem to remember a £1000 figure which (for some) may quite easily be exceeded with the higher rates available now.



Tax allowances:

£12570 pa personal allowance - if not used by employment/pension can be offset against interest. So, if one marital partner has neither employment or pension they can hold a lot of a couple's investments - not in joint names though, before tax becomes payable. 

Up to £5000 pa Starting Rate For Savings. Boosts the above figure by a maximum of £5000. Simply take any earnings/pensions below £17570 (£12570 + £5000) away from £17570 and the resulting figure can be offset against tax. So... If you have no income you have £17570 to use as offset and at the other end of the scale if you have income greater than or equal to £17570 then you have nothing to offset against tax - and all points in between. Spouses can be very handy! 

£1000 pa Personal Savings Allowance - self-explanatory; £1000 of interest can be soaked up by this for persons paying max' of 20% income tax. 40% payers get £500 pa. 

Isa's ~ all interest completely tax free. 

Gets trickier to manage as you get older and your wealth accumulates and at some point if you have accumulated enough you will have to pay some tax on interest. 

Fixed Rate Isa's are your friends - other investments eg Fixed Rate Bonds can be soaked up by a lower/no earning spouse (who can also have Isa's) and the pair of Personal Savings Allowances.


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## shep (27 Oct 2022)

On top of all the above isn't it down to the individual to declare any tax owing?

I doubt the HMRC are interested In the average bod and his savings.


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## Chislenko (27 Oct 2022)

SpokeyDokey said:


> Tax allowances:
> 
> £12570 pa personal allowance - if not used by employment/pension can be offset against interest. So, if one marital partner has neither employment or pension they can hold a lot of a couple's investments - not in joint names though, before tax becomes payable.
> 
> ...



Yes, the problem comes when you are both maxed out on ISA's and both parties income is above the £12750 which has not been raised for a couple of years so effectively bringing more people into taxation.

I suppose after years of low interest rates for savers the problem of paying tax on savings at least means there is some interest to be had.

Just going off at a tangent do other savers adhere to the FSCS reimbursement limit of 170k per couple or just take a chance on your bank / building society etc not going bust.


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## Chislenko (27 Oct 2022)

shep said:


> On top of all the above isn't it down to the individual to declare any tax owing?
> 
> I doubt the HMRC are interested In the average bod and his savings.



Not in my experiences Shep, as for a couple of years running I actually had a tax rebate from HMRC as my actual interest earned did not match the guesstimate they built into my tax code. So it is my assumption they do monitor these things and certainly when you take out savings bonds etc with banks etc you from memory do have to give them your NI number.


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## shep (27 Oct 2022)

Chislenko said:


> Yes, the problem comes when you are both maxed out on ISA's and both parties income is above the £12750 which has not been raised for a couple of years so effectively bringing more people into taxation.
> 
> I suppose after years of low interest rates for savers the problem of paying tax on savings at least means there is some interest to be had.
> 
> Just going off at a tangent do other savers adhere to the FSCS reimbursement limit of 170k per couple or just take a chance on your bank / building society etc not going bust.



Once 'maxed' out you still have around 40k each before you hit a £1000 interest and if I had £100k savings between me and the missus I wouldn't really be worrying about paying a bit of tax on the interest above that.


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## shep (27 Oct 2022)

Chislenko said:


> Not in my experiences Shep, as for a couple of years running I actually had a tax rebate from HMRC as my actual interest earned did not match the guesstimate they built into my tax code. So it is my assumption they do monitor these things and certainly when you take out savings bonds etc with banks etc you from memory do have to give them your NI number.



Fair enough, I say this only because some yrs ago my company had a save share scheme mature where many lads cleared around 60k profit and very few declared the capital gains tax and not one of them ever got found out.


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## SpokeyDokey (27 Oct 2022)

Chislenko said:


> Yes, the problem comes when you are both maxed out on ISA's and both parties income is above the £12750 which has not been raised for a couple of years so effectively bringing more people into taxation.
> 
> I suppose after years of low interest rates for savers the problem of paying tax on savings at least means there is some interest to be had.
> 
> Just going off at a tangent do other savers adhere to the FSCS reimbursement limit of 170k per couple or just take a chance on your bank / building society etc not going bust.



Yes, we are hot on the fscs indemnity limit and use the Financial Services Register to check that we are not potentially exposed by aggregated groupings of banks etc.


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## SpokeyDokey (27 Oct 2022)

Chislenko said:


> Not in my experiences Shep, as for a couple of years running I actually had a tax rebate from HMRC as my actual interest earned did not match the guesstimate they built into my tax code. So it is my assumption they do monitor these things and certainly when you take out savings bonds etc with banks etc you from memory do have to give them your NI number.



HMRC pull data directly from all financial institutions and look for a corresponding match on Self Assessment forms. 

I think that you get Invited to complete SA each year if you start to go over the various limits. 

How they manage this complexity is beyond me.


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## shep (27 Oct 2022)

Chislenko said:


> Yes, the problem comes when you are both maxed out on ISA's and both parties income is above the £12750 which has not been raised for a couple of years so effectively bringing more people into taxation.



Must be a real struggle!


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## SpokeyDokey (27 Oct 2022)

shep said:


> Once 'maxed' out you still have around 40k each before you hit a £1000 interest and if I had £100k savings between me and the missus I wouldn't really be worrying about paying a bit of tax on the interest above that.



You might well change your mind if you had paid punitive amounts of income tax over the years as you generated £100k+ savings.


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## shep (28 Oct 2022)

SpokeyDokey said:


> You might well change your mind if you had paid punitive amounts of income tax over the years as you generated £100k+ savings.



I may well do but I can genuinely say if I had over 100k in my bank and eventually started earning a bit of interest I wouldn't lose too much sleep over paying a bit of tax on it.

I don’t really worry about much but if this keeps you up a night you might want to re assess your priorities a bit.


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## SpokeyDokey (28 Oct 2022)

shep said:


> I may well do but I can genuinely say if I had over 100k in my bank and eventually started earning a bit of interest I wouldn't lose too much sleep over paying a bit of tax on it.
> 
> I don’t really worry about much but if this keeps you up a night you might want to re assess your priorities a bit.



Calm down Shep. I don't need, or appreciate, a lecture on priority reassessment from you. 👍

Who said it keeps me up at night anyway?


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## Jenkins (28 Oct 2022)

Thanks for confirming my thoughts about the tax on savings. Thanks to a bit of frugality & a pension lump sum, I've got about £80,000 in three accounts with a predicted total interest of around £1300. The good news (for me) is that two of the fixed rate accounts should pay out in different tax years and the other one pays the interest monthly which should keep me below the threshold for 2022/23.


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## Chislenko (28 Oct 2022)

shep said:


> I may well do but I can genuinely say if I had over 100k in my bank and eventually started earning a bit of interest I wouldn't lose too much sleep over paying a bit of tax on it.
> 
> I don’t really worry about much but if this keeps you up a night you might want to re assess your priorities a bit.



I slept really well last night 🙂


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## shep (28 Oct 2022)

SpokeyDokey said:


> Calm down Shep. I don't need, or appreciate, a lecture on priority reassessment from you. 👍
> 
> Who said it keeps me up at night anyway?



No one needs or wants 'a lecture ' on any subject whatsoever on these type of forums but unfortunately you'll receive 'comments ' from people if they choose to reply to someone telling them what they 'may' feel like if they had 'over 100k' in the bank.


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## shep (28 Oct 2022)

Chislenko said:


> I slept really well last night 🙂



Well done.


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## SpokeyDokey (28 Oct 2022)

Jenkins said:


> Thanks for confirming my thoughts about the tax on savings. Thanks to a bit of frugality & a pension lump sum, I've got about £80,000 in three accounts with a predicted total interest of around £1300. The good news (for me) is that two of the fixed rate accounts should pay out in different tax years and the other one pays the interest monthly which should keep me below the threshold for 2022/23.



With that amount, and depending on how/if you need to dip into those funds, then £3200+ pa is easily achievable as interest.


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## Mo1959 (28 Oct 2022)

SpokeyDokey said:


> With that amount, and depending on how/if you need to dip into those funds, then £3200+ pa is easily achievable as interest.



I’m regretting reinvesting my £50,000 when I did with Tesco. Bloody rate has doubled now.


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## SpokeyDokey (28 Oct 2022)

Mo1959 said:


> I’m regretting reinvesting my £50,000 when I did with Tesco. Bloody rate has doubled now.



ISA? 

If so, check the early termination penalty clause and some fag packet maths should let you know if they are worth moving. 

We have a couple of fixed rate Isa's due to finish in Nov 2023 with 180 day interest penalty clauses. 

We aim to double the current interest rate earned (possibly more after next week's BoE rate review) so paying the get out money is a no-brainer.


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## potsy (28 Oct 2022)

With a One year fixed bond paying 4.5% now, it would only take a 22k investment to get you around 1k of interest, any more and you'll be paying tax. 
I'm thinking of doing that and keeping any extra in the PBs.


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## Mo1959 (28 Oct 2022)

SpokeyDokey said:


> ISA?
> 
> If so, check the early termination penalty clause and some fag packet maths should let you know if they are worth moving.
> 
> ...



No a fixed term bond sadly. Never mind, it’s £95 a month so better than nothing.


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## SpokeyDokey (28 Oct 2022)

Mo1959 said:


> No a fixed term bond sadly. Never mind, it’s £95 a month so better than nothing.



That's a bugger; we have a fair chunk of money in a FRB with a Middle Eastern Bank. 5 year lock with 3 to run at 1.7%.☹️ 

Was a good rate a couple of years back.


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## SpokeyDokey (2 Nov 2022)

Hefty rise coming tomorrow at midday from BoE following the US +0.75% increase today.


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## jowwy (2 Nov 2022)

SpokeyDokey said:


> Hefty rise coming tomorrow at midday from BoE following the US +0.75% increase today.



I got mine sorted on tuesday before this rise comes in…..still cost me an extra 50 bucks a month though, fixed for 3yrs


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## Jenkins (2 Nov 2022)

Wonder if savings rates will head up again? With a lot of mine being tied up in a couple of one year bonds for al least another 5 & 8 months (the interest rates were very good at the time) it may be time to liquidate some or all of the Premium Bonds if the fixed rate bonds go up to near 6% for a 2 year term. It's a guess as to how much more the interest rates can keep rising or whether they will start to come down again soon.


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## potsy (2 Nov 2022)

Jenkins said:


> Wonder if savings rates will head up again? With a lot of mine being tied up in a couple of one year bonds for al least another 5 & 8 months (the interest rates were very good at the time) it may be time to liquidate some or all of the Premium Bonds if the fixed rate bonds go up to near 6% for a 2 year term. It's a guess as to how much more the interest rates can keep rising or whether they will start to come down again soon.



I'm doing the same, probably just a one year bond though, don't want to tie it up for too long.


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## SpokeyDokey (2 Nov 2022)

Savings rates will definitely rise again after tomorrow. 

Best 5 year ISA rates today 4.65% and FRB"s 5.1%.

We have 3 ISA's finishing end of this month to reinvest and 2 in Nov 23 that we are possibly going to dump and reinvest at a cost of 180 days lost interest. 

Not made any decisions yet about reinvestment term lengths. Our general philosophy has been to grab the best rate available over the longest time available. Slightly unsure if that applies right now. 

Predictions are that interest rates will peak mid-2023. Key number to watch is when inflation rate (CPI) starts to fall thereby cooling interest rates.


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## vickster (2 Nov 2022)

potsy said:


> I'm doing the same, probably just a one year bond though, don't want to tie it up for too long.



Ditto. I’ve got a chunk sitting in instant access savings to be locked away. Probably a short bond/better instant access savings once things have gone up a bit.
I’ll stick with the PBs, as doing ok at the mo


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## SpokeyDokey (3 Nov 2022)

I'll depoliticise this by saying that one Party is calling for the Chancellor to address the HoC about how he intends to support people with mortgages facing interest rate rises.

Seriously?

If people have not factored in rate rises then how is that a State responsibility.

Furlough has unleashed a swathe of expectations...

Imo mortgage suppliers need to be looking at much longer terms to reduce monthly payments.


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## wafter (3 Nov 2022)

SpokeyDokey said:


> I'll depoliticise this by saying that one Party is calling for the Chancellor to address the Hoc about how he intends to support people with mortgages facing interest rate rises.
> 
> Seriously?
> 
> ...



Problem is, our overlords have painted themselved into a corner through their gross mis-management of the economy over the past two decades. They kicked the can down the road in 2007 to avoid the unpopularity of the necessary recession by printing money, slashing rates and bailing out those responsible; which has led to asset bubbles and now the inevitable rampant inflation.

So now they're faced with the choice of pushing rates up to curb the ridiculous inflation and stabilise the value of the pound, or bailing out all those who've massively over-borrowed against over-valued assets (namely housing). 

Typically governement policy always favours the home "owner", however I think it's getting to the point now where any more props will represent an existential threat to the entire economy (which is already-circling-the-drain) while thanks to the prevailing conditions home owners / the proportion of the population with any significant wealth is shrinking - and along with it their core voting demographic.

You can see how they're dragging their heels on this already - inflation at what, 10% published, probably double this in reality and rates are still dragging along at ballpark 2%. The country is in so much debt (both privately and publicly) that it seems their intention is to keep inflation as high as they can stomach to inflate this debt away.. rewarding those who've irrisponisbly borrowed (including themselves) while yet again punishing those who've been pragmatic and saved. 

As someone who's been saving forever for a property while being consistantly priced out of the housing market (as well as being able to see how socially damaging all this house price inflation is) I'm hoping for rates get raised to values that at least are appropriate to reign in the inflation (at least 6-8%) and we get a significant house price correction that brings them back into line with historic earnings multiples, and hence allows the little man to have somewhere to live again without having to take on staggering amounts of debt or be subject to a lifetime's toil to pay for someone else's retirement. 

Proper collapse-of-empires / end-stage capitalism stuff going on currently I think - interesting if highly anxiety-fuelling times.


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## SpokeyDokey (3 Nov 2022)

And +0.75% to 3% it is.

@wafter you talk some good sense there.

QE was a bad move imo - at least they are not creating any more money at the moment. At least they have finally just started unwinding it.

I too think interest rates of around 6% seemed to maintain a reasonable equilibrium.

On the mortgage repayment front the mortgage lenders must take responsibility for any possible 'over-lending' - they cannot possibly say that they do not understand the long-term ebbs and flows of interest rates.

Maybe some people need to be shutting down some of the crazy amounts they pay for contract phones, Broadband/streaming services and car PCP's to fund the mortgage hikes.


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## wafter (3 Nov 2022)

SpokeyDokey said:


> And +0.75% to 3% it is.
> 
> @wafter you talk some good sense there.
> 
> ...



Thanks - IMO that's great news about the interest rate, although I suspect many who've unquestioningly bought into the establishment's "all the debt for everyone" narrative might feel differently..

IMO the way the entire thing was handles was unforgiveable; maybe some short-term cutting of rates to take the edge off, but once they'd started they obviously decided to leave them there to allow the housing market to run away with itself and make their core voting demographic feel rich while pushing up the value of the assets they / their cronies owned. 

It's certainly good news that they're unwiding the QE somewhat; although I suspect it's reached such ridiculous levels that there will be no way of painlessly restoring the balance - the only way the system will correct being a massive crash.

I agree to an extent about the mortgages, however again the government ultimately sets the framework within which the lenders have to operate. The 2007 crisis was partially due to irresponsible lending (100% + mortgages, self-certification etc) so affordability criteria were tightened afterwards. Since then the government have undone all of this regulation, as well as introducing a host of other crap like "help to buy" (help to funnel taxpayers' money into the pockets of property billionaires; banrupting FTBs in the process); allowing people to "afford" ridiculously inflated properties when of course the core issue is that prices were simply too high.. fuelled largely by the cheap cost of credit.

You make a good point about phones etc - we've passed through that "golden age" of consumption, to a point where the only way people will keep spending is if you provide them with the ability to spend beyond their means. As such everything is on credit now; a sad indication of how unsustainable our consumption-led economy has become. 

Personally I find it all abhorrent and welcome the day it all collapses and we return to some sense of "normality"..


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## Buck (3 Nov 2022)

If “it” collapses then we won’t have normality for many years/decades. 

A big part of the current issue is that some people have not known anything but cheap borrowing and now, the new reality is very difficult. 

People have borrowed beyond their true means as they have been brainwashed by the false narrative of big house / new cars / expensive holidays as they believe this is what success looks like. 

A few years of higher interest rates are ahead of us although the BofE today said they expect the peak to be 4.5% base rate.


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## Bonefish Blues (3 Nov 2022)

Buck said:


> If “it” collapses then we won’t have normality for many years/decades.
> 
> A big part of the current issue is that some people have not known anything but cheap borrowing and now, the new reality is very difficult.
> 
> ...



Context is contextual 😠

Miserable times are here again. I think we peaked at mid-teens in the 80s, but there again our mortgage then was £4.50 and a bag of...

Cheerfully ours etc


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## wafter (3 Nov 2022)

Buck said:


> If “it” collapses then we won’t have normality for many years/decades.
> 
> A big part of the current issue is that some people have not known anything but cheap borrowing and now, the new reality is very difficult.
> 
> ...



Indeed, however it's not been "normal" for the past two decades either; looking at interest rates, house prices as a function of wages etc. It's all been distorted by irresponsible / corrupt / politically motivated fiscal policy and it needs to stop.. for some that's going to be a hard pill to swallow.

It's weird to think, but a totally legitimate point that for some (maybe in their '30s now) all they've known in their adult lives is cheap credit and debt-led consumption.

You say "higher" interest rates, but of course until recently the rates have been historically low, with a typical mean being circa 6% I believe. It's a sad state of affairs, however ultimately there's no such thing as a free lunch and the music has to stop some time.

While it's going to be miserable for many with a lot of debt, equally the past 15 years have been utterly miserable for those of us who refused to embrace this irresponsible and unsustainable model; I think it's about time we got a bite of the pie.


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## BoldonLad (3 Nov 2022)

wafter said:


> Problem is, our overlords have painted themselved into a corner through their gross mis-management of the economy over the past two decades. They kicked the can down the road in 2007 to avoid the unpopularity of the necessary recession by printing money, slashing rates and bailing out those responsible; which has led to asset bubbles and now the inevitable rampant inflation.
> 
> So now they're faced with the choice of pushing rates up to curb the ridiculous inflation and stabilise the value of the pound, or bailing out all those who've massively over-borrowed against over-valued assets (namely housing).
> 
> ...



Was the current Government in power in 2007?, I know my memory is not what it was, but, I thought “Prudent Gordon” was in power then, and, responsible for saving the Financial System single-handed?


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## Alex321 (3 Nov 2022)

wafter said:


> Personally I find it all abhorrent and welcome the day it all collapses and we return to some sense of "normality"..


If it all collapses, most of us will not see anything like "normality" in our lifetimes.

With millions in this country plunged into poverty and homelessness (and I mean real poverty, not the artificial "poverty" as used when talking about people being below the "poverty line"), and many more millions across the world.

You really won't welcome that happening.


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## BoldonLad (3 Nov 2022)

Bonefish Blues said:


> Context is contextual 😠
> 
> Miserable times are here again. I think we peaked at mid-teens in the 80s, but there again our mortgage then was £4.50 and a bag of...
> 
> Cheerfully ours etc



It is all relative. Your mortgage may have been £4.50 and a bag of…., but, relatively speaking, no doubt, so was your income.


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## Bonefish Blues (3 Nov 2022)

BoldonLad said:


> It is all relative. Your mortgage may have been £4.50 and a bag of…., but, relatively speaking, no doubt, so was your income.



Pretty much that, but we got through it - because mortgages with big % rates were the norm, of course.


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## Alex321 (3 Nov 2022)

BoldonLad said:


> It is all relative. Your mortgage may have been £4.50 and a bag of…., but, relatively speaking, no doubt, so was your income.



But in those days, you wouldn't get a mortgage which was more than 3+1 (three times the main earner's salary plus 1 times the second earner), whereas in more recent times, it has been possible to get up to 5+5.

At interest rates as the were in the 80's, a 3+1 mortgage would eat up about half the household take home pay. If we return to those interest rates, the people on 5+5 mortgages will have no take home pay left at all.


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## Jameshow (3 Nov 2022)

Alex321 said:


> But in those days, you wouldn't get a mortgage which was more than 3+1 (three times the main earner's salary plus 1 times the second earner), whereas in more recent times, it has been possible to get up to 5+5.
> 
> At interest rates as the were in the 80's, a 3+1 mortgage would eat up about half the household take home pay. If we return to those interest rates, the people on 5+5 mortgages will have no take home pay left at all.



5+5 not recently??


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## BoldonLad (3 Nov 2022)

Alex321 said:


> But in those days, you wouldn't get a mortgage which was more than 3+1 (three times the main earner's salary plus 1 times the second earner), whereas in more recent times, it has been possible to get up to 5+5.
> 
> At interest rates as the were in the 80's, a 3+1 mortgage would eat up about half the household take home pay. If we return to those interest rates, the people on 5+5 mortgages will have no take home pay left at all.



Yes, I was there (in the 70's, and 80's etc etc).


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## SpokeyDokey (3 Nov 2022)

wafter said:


> While it's going to be miserable for many with a lot of debt, equally the past 15 years have been utterly miserable for those of us who refused to embrace this irresponsible and unsustainable model; I think it's about time we got a bite of the pie.



I agree. The artificially low interest rates have cost us a huge amount of lost interest over the past almost 14 years. 

Apart from working hard and saving hard we have always refrained from excessive spending for the sake of impressing other people or having the latest or greatest whatever. Some of our friends think we are nuts! Doesn't seem to be the done thing with some people.


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## gbb (3 Nov 2022)

SpokeyDokey said:


> I'll depoliticise this by saying that one Party is calling for the Chancellor to address the Hoc about how he intends to support people with mortgages facing interest rate rises.
> 
> Seriously?
> 
> ...



Bang on im afraid, it seems like everyone has come to think they should have a leg up or a heping hand when things get tough, rather than live life with some ..caution perhaps?


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## gbb (9 Nov 2022)

Buck said:


> If “it” collapses then we won’t have normality for many years/decades.
> 
> A big part of the current issue is that some people have not known anything but cheap borrowing and now, the new reality is very difficult.
> 
> ...



You could argue we have been here before...and worse. Some will fall by the wayside, unable to meet payments etc but I think people are very resilient and adapt quite quickly, usually by forced neccessity, survival of the fittest you might say.
Its part of lifes financial circle. Those that didn't plan fall off, those with some slack will survive.

Whats different this time is previous rates like these came at a time when the average guy and gal was in a more stable financial state...but we have had decades long squeezes on pay, that may well tip far more people over the edge. What did I read the other day ?...millions of people with less than £100 in saving atm 

QE got a mention up above . Why is it, when they first started QE, it occurred to me, they're not really solving the problem. Its akin to being in debt at home...and going out to borrow more to solve the problem. Its a very simple analogy but for Chrissakes, how dumb are these people not to think it won't come back and haunt you at some stage in the future.


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## Broadside (9 Nov 2022)

Jenkins said:


> And why didn't us Santander current account holders get any notification of this?



I’ve just checked, they only offer that rate when you pay in £200/month for a year, so no good for moving a larger sum in as far as I can tell. They shove you on the Everday Saver account at under 0.5% then….


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## BoldonLad (9 Nov 2022)

Jenkins said:


> And why didn't us Santander current account holders get any notification of this?



They did, or, at least I did, it was on their website, and, I saw it whilst logging in to use my account.


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## BoldonLad (9 Nov 2022)

Broadside said:


> I’ve just checked, they only offer that rate when you pay in £200/month for a year, so no good for moving a larger sum in as far as I can tell. They shove you on the Everday Saver account at under 0.5% then….



There is an Instant Access Savings Account at 1.98% (monthly interest), you can opt for annual interest at a higher rate, also, an eSaver at 1,5%. 

Yes, I agree, still to low.


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## Jenkins (9 Nov 2022)

Broadside said:


> I’ve just checked, they only offer that rate when you pay in £200/month for a year, so no good for moving a larger sum in as far as I can tell. They shove you on the Everday Saver account at under 0.5% then….



I think that one is the 'Regular Saver' account and has to be funded from your Santander Current account with the £200 per month being the maximum allowed. The account @Tom... linked to and I was commenting about was an instant access eSaver account with something like a maximum £1,000,000 maximum investment at 2.75% interest which now (as noted above) is about 2% for new accounts.


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## Broadside (9 Nov 2022)

Thanks, I’ve just opened an eSaver one that gives 1.49%, better than nothing and easy to do while I look around for something better.


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## chris-suffolk (9 Nov 2022)

Broadside said:


> Thanks, I’ve just opened an eSaver one that gives 1.49%, better than nothing and easy to do while I look around for something better.



Check here, plenty well above 1.49%. In fact, that rate is so far down, it's not on the table


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## SpokeyDokey (12 Nov 2022)

Another easy site to check on savings or mortgage deals:

https://moneyfacts.co.uk/savings-ac...=dotdigital email&utm_source=moneyfacts.co.uk

5 year FRB's over 5% now and fixed term ISA's closing in on 5 %.


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## Chislenko (12 Nov 2022)

I went into our local branch of a well known building society yesterday to book an appointment to open a Term Bond with them.

All appointments for the next two weeks are taken, it then works like the doctor's surgery, ring in the morning and see if you can get an appointment for two weeks and a day.

Who knew it would be so hard to give an institution a wad of money 😟


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## chris-suffolk (12 Nov 2022)

Chislenko said:


> I went into our local branch of a well known building society yesterday to book an appointment to open a Term Bond with them.
> 
> All appointments for the next two weeks are taken, it then works like the doctor's surgery, ring in the morning and see if you can get an appointment for two weeks and a day.
> 
> Who knew it would be so hard to give an institution a wad of money 😟



Can you not do it online? Pretty much all banks / building societies you can now, especially the ones paying the higher rates.


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