The few tenent loans that are still offered by banks usually feature high interest rates and it does not appear as though that is going to change any time soon. Interest rates for tenent loans and other loans will remain at their current rate for this time, but there is hope that later in the year the MPC will change their mind. For now however, consumers can expect to pay a premium price for tenent loans and other loan products, especially if they are considered to be higher risk.
Michael Coogan at the Council of Mortgage Lenders, said: “The MPC faced a difficult decision today in the face of rising inflationary pressures and a slowing economic outlook.
“Holding the Bank rate is better than raising rates, as one MPC member suggested last month, but a reduction would have been a welcome recognition of the current financial strains on households already struggling with hikes in other living costs. As a result of recent Bank rate reductions, mortgage rates are below their peak at the end of 2007 but many consumers will be looking to the MPC to respond soon to the slowing economy and reducing inflationary pressures.”
Related reading: Tenent Loan
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