Reported 3 days ago
According to research by the Bank of England, British homeowners faced increased financial strain from rising interest rates due to mortgage brokers encouraging them to opt for shorter-term loans. The study revealed that the use of brokers surged in the 2010s, leading many borrowers to select fixed-rate mortgages for only two to five years, making them more vulnerable to the impacts of rate hikes implemented to curb inflation. This trend has heightened the sensitivity of household finances to changes in monetary policy.
Source: YAHOO