5.35% svr is this high

Article here.

http://www.guardian.co.uk/money/2010/feb/03/norwich-peterborough-raises-mortgage-costs

This is on the back of the Skipton. It looks like the mutuals are having to raise money from savers, they do not appear to have access to the 'mythical' 0.5% that is touted. The SVR you are being asked to pay is probably a reflection of the 'real' cost of money.

The society, which has 388,434 savers and 52,968 mortgage customers, said that although it was well funded and had a low incidence of arrears among its customers, competitive pressures had forced it to increase rates.

Don't competitive prices force a decrease in rates??

This is a change we are making reluctantly

Hmm, I'm sure all businesses are reluctant about making more money. It would have been hilarious if Betfair had made this statement about the Premium Charge :D

competitive prices = competitive pressures

Don't competitive prices force a decrease in rates??

I think it's implied that the competition is for savers. The mutuals are having to edge rates up in order to attract deposits.

Northern Rock used to lend out a lot more than it had in its Coffers, thats when it was not shoveling £Millions to Newcastle Rugby and Football teams.

Very High

If you like e mail me at chris@your-mortgagecentre.com with your contact details and I will send you some ideas. If you have equity in your home of 25% you will get a deal under 3% for a Tracker with no fees or under 4 if you want a Fixed rate. If you owe more than 75% , you may as well stay where you are and wait for banks to start lending again.

5.35 is a DISGRACE. Get away from them now