Mortgages you can fix for 30 years expected ‘within months’

No Comments » | Posted by Joseph Carr-Boyd
Sep 10 2014


Lenders could introduce 30-year fixed-rate mortgages in the next few months, according to experts, offering millions of borrowers the chance to lock in their rate for the length of the loan.

Long-term mortgage funding has become cheap for lenders on the wholesale markets. Experts expect the launch of fixed deals that run for up to 30 years, with reduced early repayment charges to attract borrowers.

Ray Boulger, of broker John Charcol, said that while these products had not been popular in the past, it was more viable than ever for lenders to offer longer-term fixes.

“There is every likelihood that we will see some lenders offering 20, 25 or 30-year deals by the end of the year,” he said.

Long-term fixes are common in other countries but have never taken off in Britain because they were expensive for lenders to offer and lumbered borrowers with heavy early repayment penalties. These are usually a percentage of the loan and can run as high as 6pc.

The longest deals available today are 10-year fixes, although two and five-year deals are the most popular.

The pricing of fixed-rate mortgages depends mainly on whether banks can access cheap money to lend. They usually get it by borrowing from other banks on wholesale money markets, buying money at a certain rate – the “swap” rate – for a certain period of time. These swap rates react to expectations of future interest rates.


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Ad watch – NatWest’s 0%uch ad is dangerously misleading

No Comments » | Posted by Mark Edwards
Sep 09 2014

The semi-publicly owned bank has funded a huge ad campaign to declare to people the danger of 0% cards. From full page newspaper ads to viral videos, its trying to persuade people its stance is in their favour. So I wanted to bash out a quick blog to put that to the test.

Its newspaper ad screams out at you…

“No to 0% credit card deals because they have rates that jump up and sting you once the rates end”.

It then goes on to promote its deals

“We offer credit cards with no sting in the tail. Theyre fair. Theyre transparent.”

And it even has a propaganda video:

So lets compare NatWests self-vaunted fair offering with what the nasty, boo-hiss 0% stingy cards are offering.

What the NatWest credit cards offers

Its big deal is its NatWest Clear Rate card, a simple low rate card of 6.9% annual interest on all balance transfers and purchases. All sounds nice but as its ads are very concerned about stings in the tail, I thought I should warn you of, yes you guessed it, a couple of stings in the tail.

  • Theres a £24 annual fee. This is thankfully a rarity for mainstream non-rewards credit cards. Incorporate this into its interest rate and its 11.1% representative APR.
  • You may be accepted but pay a higher rate. As NatWest is campaigning for transparency, lets be very clear. Th

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Safe hands in the air – and in the surf

No Comments » | Posted by Jacob ONeill
Sep 05 2014

Safe hands in the air and in the surf Media statement For immediate release 9 September 2014Safe hands in the air and in the surf
Media statement
For immediate release
9 September 2014

Many 24-year-olds dream of spending all day at the beach. For Gisborne surf lifesaver Connor O’Loughlin, this is his reality as he completes his training for the Life Saving World Championships in Montpellier, France.

Connor trains 10 times a week to achieve his ambition of taking gold in the Beach Flags competition at the world championships later this month, an event in which he has been largely undefeated nationally.

There are not many jobs which allow the time for that sort of commitment outside of the workplace, and Connor says his choice of a career as an air traffic controller is a perfect fit for his drive and dedication to reach his goal.

“I’ve worked for Airways for a couple of years and it’s perfect for me. It would be almost impossible to do the level of training I need if I was working a normal working week, so in that respect it’s great,” he says.

“There are also some real synergies between the drive needed to get me training at the level I am, and the intensive training and focus needed on the job,” says Connor.

Hadley Cave is Chief Controller at Gisborne Tower. He says that th

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Links Jan 16

No Comments » | Posted by Kiara Withers
Sep 05 2014

The time is now: European Parliament to vote on the Anti-Money Laundering Directive Eurodad
See also: Member states split on proposed transparency for trusts legislation IFC Review / European Voice

Finance lobbies OECD for flexibility in tax regulation The Sydney Morning Herald

Israel: PM’s Office: No wrongdoing in Netanyahu’s offshore bank account The Jerusalem Post
“Netanyahu used tax haven while overseeing agency responsible for reducing use of such accounts by Israelis.See also: Netanyahu held tax haven bank account Globes

Greece: Offshore Companies and Huge Bank Accounts for Golden Dawn’s Members Greek Reporter

Australia’s going for the foxes in charge of the henhouse approach to corporate tax collection Tax Research UK

Head of Swiss financial regulator steps down swissinfo
… to be succeeded by former UBS senior executive who testified before the U.S Senate on the bank’s role in aiding US tax evaders, and headed the Japanese securities unit involved in Libor rate rigging.

Switzerland probing banker who is helping U.S. tax investigations Politico
“The Swiss contend they’re merely upholding their privacy laws, but some say the investigation sends a message to bankers: Keep quiet or else.”

Even U.S. Banks Must Aid IRS Hunt For Offshore Accounts Forbes
Reciprocity seen as critical to implementing FATCA. See also: US Court Dismisses Challenge To IRS Reporting Rule Tax-News, and US banks’ challenge to tax info exchange fails Compass Cayman

Indian High Court Pressed On Vodafone Transfer Pricing Case Tax-News,

Latest update: Release Of Offshore Records Draws Worldwide Response ICIJ

Argentina to clamp down on taxpayers with undeclared assets in Panama STEP
See Spanish language version here.

Argentina Imposes Withholding Tax On Exports Tax-News
Measures adopted by the Argentinian government to tackle transfer pricing abuse

Mexico scrutinizes multinationals for tax evasion Thomson Reuters

Resource Blessing, Revenue Curse? Domestic Revenue Effort in Resource-Rich Countries IMF

Finland: President critiques corporate tax evasion, public sector growth Yle

Canada: Tax Evasion Hotline Offers Bounty For Cheaters Huffington Post

Analysts divided on impact of Qianhai-BVI move on Hong Kong South China Morning Post

An eye-opening message about the culture of denial in the tax industry David Quentin’s tax & law blog

Double taxation agreements – one-sided profit? TJN Germany Blog (In German)

Taxing the Behemoths TaxProf

U.S.: Obamacare Website Fixer Has Thing for Tax Havens Bloomberg

New York Times Letter to the Editor: End the Corporate Tax? Citizens for Tax Justice
See also our recent blog Time to abolish the corporate tax? Part 2: Only fools or shills would agree

Cayman: Tempura lawyer reinstated Cayman News Service
Latest twist in the corruption case highlighting alleged misgovernance between Britain and its offshore financial centres

An indictment of financial crime enforcement Thomson Reuters

Beanie Babies creator Ty Warner won’t serve prison time for tax evasion CNN

Bernie Ecclestone ‘will face criminal charges’ as position at head of Formula One comes under serious threat The Telegraph

Mo Farah Applies to Become Tax Exile from the UK Runner’s World

Revenue scouring Facebook and Twitter for tax cheats Irish Independent

Monday Marketing Reading

No Comments » | Posted by Joseph Carr-Boyd
Sep 03 2014

We wanted to make things a bit easier for you, so rather than wading through a huge amount of content, we wanted to highlight a few pieces each week that we feel will help grow your business.  If there is something you would like us to share please feel free to get in touch.

Email Listing Building Ideas

This really useful article gives 17 tips on how to organically build your email list – thereby attracting more subscribers and business opportunities. Even for those who consider themselves internet marketing savvy, you will still read some of the tips and have light bulb moment thinking: “why haven’t I done that before?”

Knowing the right sizes to brand your social media presence

How many times have you read an interesting piece online, only to feel disappointed by the way the accompanying image looks? Many social media sites have really readable articles that are spoilt by images that look stretched or badly cropped, etc.  This piece by Sendible is one you need to keep safe. Consider this a cheat’s guide to the correct sizing of your images on all of the main social media platforms!

B2B Lead Generation with Facebook or LinkedIn?

How do you know which of these two social media platforms works best for you and your business in terms of B2B lead generation, especially when deciding on a new campaign? You can of course look at previous campaigns and analyse clicks etc. But is this

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House price predictions: up 9pc this year, 6pc in 2015 – if rates don’t rise too quickly

No Comments » | Posted by Jacob ONeill
Sep 02 2014

Homebuyers should prepare for further sharp increases in house prices over the next three years, according to a survey of property market specialists.

They predict a rise 9pc for 2014 followed by 6pc next year and 4pc in 2016, slightly stronger than the previous poll conducted in May.

Prices in London are expected to climb even quicker, up 12pc this year, 6pc next year and 5pc in 2016, the poll of 20 experts by Reuters found. This was down slightly from May when the forecasts for each year were 12pc, 7.5pc and 6.5pc.

The predictions, taken in the past week, come despite signs of a slowdown in the market, evident in slower growth in mortgage lending and a sharp fall in asking prices for property.

The experts asked said the heady gains could be curbed if the Bank of England raises rates.

“Given that (interest) rates have been at 0.5pc for so long, many households will have to significantly adjust spending when rates go up,” said James Kingdon at property consultancy GVA.

“There are, however, a large number of households who have taken long-term fixed-mortgage options to protect against this scenario, suggesting any negative effect will be felt further down the line.”

The Bank Rate was cut to a record low 0.5pc in March 2009. Many assume it will be the first major central bank to raise rates – probably in the first three months of next year – and that it will follow up with regular increases.

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