Credit Crisis Measure Libor Nears ‘Normality’
Friday, August 14, 2009 20:49
The financial crisis has caused the disappearance of many high street banking names including Bradford & Bingley and Alliance & Leicester. According to critics, it is said that the lenders are taking advantage of the lack of competition in the lending markets to boost profits.
With the further sharp falls of ten basis points from 0.87% to 0.77% in the three-month sterling Libor rate, which is a key lending rate between banks influencing the price of some types of mortgage deals, banks and building societies are to come under increasing pressure to cut their rates on mortgages. However, the banks have been criticized for failing to pass on in full the reductions in the bank rate and the lower costs of borrowing via Libor.
The British Bankers’ Association argues that its members now face higher costs such as the costs with banks required to hold more capital.
Related posts:
- Lenders Facing Credit Re-ratings
Moody’s, the top credit rating agency is poised to re-rate... - The Rental Market Reaches Crisis Point
In the Britain, millions of potential first-time buyers have... - Struggling MF Global Nears Sale
The broker-dealer–MF Global was struggling to avert a collapse.... - Debt Management during Financial Crisis
These days are exactly worrying times for savings and investments... - Credit Crunch Exposes Mortgage Fraudsters
The value of mortgage fraud in 2007 reached 700 million...
