# 2016 money



## cabby (May 14, 2005)

When the interest rate increases next year, as it will, I wonder who will be shouting the most, those with mortgages or those with savings.

cabby


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## nicholsong (May 26, 2009)

On the basis that higher rates in UK will proceed higher rates in Europe, and therefore tilt the exchange rate in the £'s favour those of us who spend most of our money out of UK will benefit.

In the 4 years I have been spending time in Poland the rate which was just under PLN 5/£ just hit PLN6/£ a few minutes ago. Similar with Euro

Increasing my spending power 20% in 4 years - very nice thank you.

Geoff


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## cabby (May 14, 2005)

Unfortunately I might not benefit from all this as will not be abroad this year now.But if the price is right may update my van with a French or German one this year.Waiting to see the prices.:surprise::surprise:

cabby


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## Landyman (Apr 3, 2010)

When rates increase a little you can bet that there'll be much wailing and gnashing of teeth, particularly from opposition politicians.
I bet many on here can remember the 'good old days' when we were paying 15% + for our mortgages.
Now it's time we got a little bit of a return on those hard earned savings. :smile2:

Richard.


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## nicholsong (May 26, 2009)

Richard

15% interest - remember it well. I bought a flat in Barnes in Summer 1988(probably top of market) and I was living on my boat in Greece, with almost no income. Interest went to 15% - £1,000 pm.(1989?) I was sh*tting myself. Fortunately got out clean, after we had bought the freehold to the block, in Jan 1990. Stayed out of property market till 1997, but have done alright since then - trebled my money and now get good income from my house.

These sort of experiences do concentrate the mind and hone one's decision-making.

I like to think that Politicians and Central bankers have now learned their lessons and that we will not see such wild swings in rates again. However it might be a good thing if the current generation, experiencing current very low interest rates, do get a (gradual) lesson of what a return to more long-term rates means for their spending decisions.

Geoff


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## Pudsey_Bear (Sep 25, 2008)

Landyman said:


> When rates increase a little you can bet that there'll be much wailing and gnashing of teeth, particularly from opposition politicians.
> I bet many on here can remember the 'good old days' when we were paying 15% + for our mortgages.
> Now it's time we got a little bit of a return on those hard earned savings. :smile2:
> 
> Richard.


I bought my first house in 94, 15% then, but on a £27k mortgage, god knows what the monthly would be at todays house prices if the interest rates were to back that high again.


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## halls60 (Aug 5, 2015)

In my opinion both will shout :-D


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## blondel (Jun 12, 2005)

Pleased for us - with savings

Worried for kids - with mortgages


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## Sprinta (Sep 15, 2010)

er, no savings, no mortgage, staying working, no worries - yet


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## 747 (Oct 2, 2009)

As long as the FTSE stays high I don't care what the Banks do.


I only use them to pay my Direct Debits and move my money between Accounts. It's very decent of them ........ considering I don't keep any money in their Bank. :grin2:


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## aldra (Jul 2, 2009)

blondel said:


> Pleased for us - with savings
> 
> Worried for kids - with mortgages


Same here 
Grandkids soon on the verge of needing houses

Will definitely cost us much more than the interest on our savings

It always does

Grandkids one has just finished uni,

That should save us 3 + grand a year

Off to Switzerland as a family help for a gap year???

That will definitely save us, as she spends more time here than at home, likes to shop with her grandad and plan her own menu

Then wants to do a Masters

You can take out an indefinite loan from us I said

She can't afford it she says ????

How times change

Aldra


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