The Bank of England has raised interest rates for the second time in 10 years. The rate has gone up a quarter of one percent (0.25%) to 0.75%).
Four Oaks Financial Services MD, Martin Ward says “We have been seeing indications that interest rates were likely to rise, but only slowly. This has been borne out by this rise in interest rates to 0.75%. Although this is only a small increase it is good news for savers and investors, but you still need to make sure that your savings and investments are in the accounts or investments where you can maximise the return on your capital, specific to your personal circumstances. If you’ve got a mortgage then unless you are on a fixed rate you will see your monthly payments to your lender rise.”
The value of pensions and investments and the income they produce can fall as well as rise. You may get back less than you invested.
Your home or property may be repossessed if you do not keep up repayments on the mortgage.
This is a great time to contact your Four Oaks Financial Services Adviser in the Lichfield area for a savings and investments review, or if you have a mortgage and are concerned about this interest rate increase in any way, we are here to help you.