RBS, HSBC, Nationwide and Abbey: Interest rate cut update

As homeowners wait in anticipation to see if their bank will pass on the Bank of England interest rate cut we see no movement from Royal Bank of Scotland (RBS) or HSBC who are the UKs biggest lender, Abbey who are the second biggest lender in the UK have not announced any cuts and neither has Nationwide the biggest building society in the UK.

However they have said that they are reviewing their Standard Variable Rates (SVR) although it is highly unlikely that any of the banks will announce if their decision on passing on the 1.5 percent rate cut today. HSBC reporting that they may not announce their decision until Monday.

Lenders Lloyds TSB, Cheltenham & Gloucester, Abbey, Northern Rock and Barclays Woolwich division have all been climbing over each other to prevent struggling borrowers from taking advantage of the BOE cut in interest rates by pulling their existing Tracker mortgage rate products that are linked to the base rate. According to the financial website moneyfacts.co.uk there has been 24 lenders who have pulled their tracker mortgages from the market.

Source: timesonline