Clydesdale and Halifax Increase Residential, Buy-to-Let and Remortgage Rates

Clydesdale and Halifax Increase Residential, Buy-to-Let and Remortgage Rates

Clydesdale and Halifax, two of the UK’s leading banks, have recently announced an increase in their residential, buy-to-let and remortgage rates. This move is likely to affect thousands of homeowners and landlords across the country, as it could lead to higher monthly payments for those with mortgages.

The new rates will come into effect from the 4th of August 2020 and will apply to both new and existing customers. Clydesdale and Halifax have cited the current economic climate as the reason for the increase, citing the need to protect their customers from potential risks.

For residential mortgages, the new rates will range from 2.19% to 2.99%, depending on the type of loan and the amount borrowed. Buy-to-let mortgages will range from 2.79% to 3.59%, and remortgages will range from 2.39% to 3.29%.

It’s important to note that these new rates are still lower than the average rate for mortgages in the UK, which currently stands at 3.5%. However, this increase could still have a significant impact on homeowners and landlords, as it could lead to higher monthly payments.

Those who are affected by the rate increase should consider speaking to their lender to discuss their options. They may be able to switch to a different mortgage product with a more favourable rate or extend their current loan term to reduce their monthly payments.

It’s also important to remember that this rate increase is only temporary and could be reversed if the economic climate improves. In the meantime, it’s important for homeowners and landlords to review their finances and make sure they can afford any potential increases in their mortgage payments.

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