What is a good interest rate on equity release?
Equity release plans often offer the option to protect a portion of the property’s value as an inheritance for loved ones.
Interest Rate Guides
How much interest is tax-free?
While you may need to pay tax on interest if you go over your PSA, you don’t pay any tax on interest with Individual Savings Accounts (ISAs). They’re tax-efficient savings or investment accounts available to UK residents.
Fixed vs. variable interest rates
At first glance, understanding variable versus fixed interest rates looks like a no-brainer. Commonly associated with loan finance, one of the rates will vary over time, while the other is permanently set. However, there’s much more to understanding variable and fixed interest rates and how to use them to your benefit. Financial instruments which use …
What is interest rate risk?
Interest rate risk is the concept of risk relating to changes in interest rates. The risk presented with fluctuations in interest rates is particularly relevant to fixed-income investments such as corporate or government bonds.
What is compound interest?
When looking at some financial products from lenders, you will come across many terms such as annual percentage rate, accumulated interest, APR, APY, and more. You will also hear the terms simple interest and compound interest.
Do credit card interest rates matter?
Credit card interest rates can dictate your financial well-being. While most people will take out their first credit card with the
APR vs. APY
When looking at financial packages, you will often come across the terms “annual percentage yield” and “annual percentage rate”. At first glance, they may appear similar, if not identical, but they relate to different types of financial packages: Annual percentage yield (APY) is more commonly associated with savings and investment accounts. Annual percentage rate (APR) …
BoE chief warns further rate rises are coming
The Governor of the Bank of England has warned that there could be more rate hikes to come due to a tight labour market.
Banks to shift away from ‘jumbo’ rate hikes
Following a spate of jumbo rate hikes over recent months, economists are predicting that central banks will now adopt a gentler strategy with smaller rate hikes as inflation starts to cool.
Warnings that interest rates yet to peak
Despite the risk of a deep recession and mounting pressure on UK households, a senior official from the Bank of England has warned that the pain of interest rate hikes is not yet over.