Mark Carney, Governor of the Bank of England, suggests interest rates set to rise by the end of 2015. What does that mean for borrowers?

July 21, 2015

First, Carney suggested base rate would edge up in small increments over the mid-term, so barring any massive hiccups to the system we don’t expect rampant rate rises. Second, as a borrower it depends if your loan is fixed or variable.

So if you have a fixed rate term loan, Like a LendFair Guarantor loan, then the good news is your rate is fixed and won’t go up even if bank base rate does. If your loan is variable then you can expect to pay more if your agreement is tied to bank base rate and this increases as predicted.

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