Interest rates are going to remain at their historical low level of 0.5 per cent.  The Bank of England’s Monetary Policy Committee (MPC) gathered for their March meeting and voted to hold the standard base interest rate set.  This marks the third year the rate has been left untouched and the movement into the fourth year.

Just because the MPC has voted to leave the base rate unchanged doesn’t mean that homeowners can relax.  It is time to sit up and take notice.  In the last few weeks lenders have been notifying borrowers that they can expect an increase in the lender’s standard variable rate or SVR.  For those that have had their current mortgage deal end and are paying on their lender’s SVR it may be time to get a remortgage.  Homeowners need to pay attention to the remortgage offerings and be aware of how quickly the cheaper remortgage deals are being pulled or replaced. 

Even a slight increase in the SVR can mean an increase in the expenses of a tight household budget.  Those that are dealing with financial stresses will find that an increase could be detrimental.  The SVR is a risky interest rate and experts have warned for years that a remortgage fixed rate deal or a tracker is a safer situation.  Those that have lenders that have not sent a notice should be put on notice it will likely happen with all lenders. 

Cheap remortgage deals are still available for those willing to shop around and for those using the services of remortgage brokers who know where the best deals are to found with low interest rates.