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More than 4 million fear they`ll be made redundant Consumers took on more mortgage debt in July Debts called in by parents Teenagers `scared of debt` Rising household costs could pressure people in debt Pensions debt may impact workers` retirement funds Welsh young adults `at highest risk of debt problems` Over 50s can`t afford to enjoy retirement because of debts Budget: tackling the nation`s debt Short-term debt: `no need for price control` The cost of clearing debt Education debt Tackling the national debt Number of mortgage deals on offer exceeds 3,000 Almost 5 million take on debt to pay household bills OECD: household debt more than 120% of disposable income Petrol price falls help people in debt Amount of mortgage debt taken on at lowest level in ten years Northern Ireland sees significant IVA rise Overdraft debt `becoming more expensive`

1.5% base rate – an historic low

08/01/2009

Today’s base rate cut by the Bank of England’s Monetary Policy Committee takes the rate to an all-time low of 1.5%.

A cut had been almost universally expected, but there had been some debate about its size. Most economists expected a cut of either 0.5% or 0.75%, but a cut of either 0.25% or 1% was also seen as a possibility.

“As far as borrowers are concerned, of course, what really matters is whether lenders pass on the cut – and if so, whether they pass it on in its entirety,” said a spokesperson for Debt Advisers Direct. “As the Council of Mortgage Lenders had already pointed out, lenders don’t automatically benefit from base rate cuts – the three-month London Interbank Offered Rate (LIBOR) is ‘far more important’ in determining lenders’ funding costs.

“Even so, a couple of mortgage providers have already stated they will pass on the base rate cut in full to customers on their standard variable rate (SVR) mortgages. Others, meanwhile, may decide to pass on just some (or none) of the base rate cut.

“People on tracker mortgages, however, are guaranteed to see their monthly mortgage payments fall, unless their mortgage comes with a collar / floor – a minimum interest rate.”

More than 4 million fear they`ll be made redundant 16/12/2010 - According to R3`s quarterly personal debt tracker, more than 4 Consumers took on more mortgage debt in July 26/08/2010 - Consumers took on £2bn more mortgage debt than they repaid Debts called in by parents 26/08/2010 - According to research, `the bank of Mum and Dad` is Teenagers `scared of debt` 19/08/2010 - Nearly two thirds of teenagers are `scared` of debt, according