Interest Rate Changes
When taking out a mortgage it is important to remember that interest rates can rise and fall and this in turn can have an impact on your monthly mortgage payments.
We would advise all mortgage applicants to consider the effect that a rise in interest rates could have on your payments and ensure you are prepared for what this increase will mean for your personal finances.
The Society's current standard variable rate is 5.49%. If you had a mortgage of £100,000 over a 25 year term and interest rates rose by 1% your monthly payment would increase by approximately £61.91 if your mortgage is on a capital repayment basis and by approximately £83.33 if your mortgage is on an interest only basis.
Please note that these figures are estimates only.
If you have any queries or concerns regarding your monthly payments please contact one of our experienced mortgage advisers who will be happy to provide you with further information.
