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The Bank of England Base Rate is the United Kingdom's official rate of interest and is decided on a monthly basis by the Bank of England's Monetary Policy Committee.
Read on for an explanation and more information on the Bank of England Base Rate (BoEBR) and the effect it has on mortgage borrowing, along with details of how we can help with a mortgage or remortgage even in the trickiest of circumstances.
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So, as we hit upon briefly during the introductory paragraphs, the Bank of England Base Rate is the UK's official rate of interest. The rate is decided upon on a monthly basis by the Monetary Policy Committee of the Bank of England.
When the Monetary Policy Committee changes the official interest rate, they are attempting to control the nation's rate of inflation by influencing the overall level of expenditure in the economy.
The entire UK economic system is very intricately woven, and is principally regulated by the Bank of England Base Rate (BoEBR), the setting of which is extremely delicately balanced. It is this rate to which all the major high street banks and building societies use to calculate their rates for deposits and borrowings by setting their own Bank Base Rates in line with the Bank of England Base Rate. And so the Bank of England Base Rate will influence the exchange rate, the stock market, the value of goods we export, and the cost of the country's imports.
To find out the current Bank of England Base Rate, why not visit the home page of the official website of the Bank of England. The current Bank of England Base Rate is published on their home page in the bottom left-hand corner.
You can also view decisions and minutes of the Bank of England's Monetary Policy Committee regarding interest rate changes.
Another interesting feature on the official Bank of England website is the option to view historical data concerning interest rate changes in years gone by.
'All very interesting, but how does the Bank of England Base Rate affect me?' we hear you cry! Well affect you it certainly will!
Because the Bank of England Base Rate is so pivotal on the country's economy, the effects will undoubtedly filter through the economy to consumer prices, and not least the cost of mortgage borrowing, and ultimately the value of your home!
As we have seen the Bank of England Base Rate (BoEBR) is the rate at which it supplies money to the commercial banks. Bank Base Rates (BBR) follow the Bank of England Base Rate, and generally will use their Base Rate as a benchmark on to which it will add a "margin".
The level of margin charged in addition to the Bank Base Rate will depend upon various factors including the loan to valuation of the transaction, creditworthiness, and employment status.
For a detailed explanation as to how the Bank Base Rate tracker and similar mortgages work, please check our Bank Base Rate page.
Usually, yes! A quick call to one of our qualified Mortgage Advisors will put you in the picture as to the options available to you, together with a rapid in-principle decision.
We pride ourselves in providing you with a service that is professional yet friendly. We will of course carefully assess your circumstances, needs, requirements and aspirations and come up with what we feel is the most appropriate solution for you. So please don't hesitate to Contact Us if you would like to discuss your requirements, naturally without obligation! Our mortgage advisors are available on Freephone 08000 282 281 up to 10pm everyday (including the weekends), you can also enquire online at anytime, so why not get in touch, you'll be glad you did!
So in a nutshell that's the Bank of England Base Rate. Hopefully we've been able to answer any questions you had regarding it and have managed to provide some insight into the effect the Bank of England Base Rate has on mortgage borrowing. Remember, there is plenty of other useful mortgage and remortgage related information throughout the many pages of this website. If you do feel we could be of assistance with a mortgage or remortgage, we're only a free phone call or a few mouse clicks away, we'd love to hear from you!
The overall cost for comparison is 9.8% APR.
The actual rate available will depend upon your circumstances. Ask for a personalised illustration. APR variable and based on a usual case. Most customers are likely to receive a lower rate or the same rate as our overall cost for comparison rate - learn more about APR.
There are no upfront broker fees.
However, a fee may be charged on successful completion. An indication is that on conforming cases (straightforward applications with no or minimal adverse credit) a fee may be charged of up to 1% of the amount advanced, typically £795 and will depend on your circumstances.
For non-conforming cases (where case research and processing may be more complex due to adverse credit or unusual circumstances), a fee may be charged of up to 3% of the amount advanced, typically £1,995.
THINK CAREFULLY BEFORE
SECURING OTHER DEBTS AGAINST YOUR HOME.
YOUR HOME MAY BE REPOSSESSED
IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Adding existing debt to your mortgage will increase the repayment term and overall cost.
Are you worried and becoming stressed because you are having problems getting a mortgage or remortgage? Worry and stress no more! Here at Shire Direct we provide tailor made mortgage solutions to suit you, and can usually help with all kinds of circumstances including...
Remember, we're here to help, and would love to hear from you!
Shire Direct and Shire Direct Mortgages are trading styles of Shire Processing Centre Limited which is
Authorised and regulated by the Financial Services Authority in respect of regulated mortgage products and general insurances.
Registered No: 302389. Commercial funding and Secured Loans are not regulated by the FSA.
Licensed Credit Brokers. Consumer Credit Licence Number: 349999.
Shire Processing Centre Limited is registered under the provisions of the Data Protection Act by the Information Commissioners Office: Registration No: Z6795249. Registered in England & Wales. Company number: 2732202. Telephone calls may be recorded for training, monitoring and security purposes. All applicants must be aged 18-years or over.
