Base rate rises on the horizon – experts say grab the best borrowing deals while you can

8 Feb, 2018

08 Feb 2018  Although the Bank of England kept the base rate at 0.50% at it’s monthly meeting today, it intimated that rates may rise again soon and more quickly than previously predicted.

Some analysts are suggesting that the base rate will increase from today’s level of 0.50% to as much as 1.75% by 2020.

Personal finance expert Andrew Hagger of Moneycomms said: “There are still some excellent credit card and personal loan deals available, but with the next rate rise getting ever closer they won’t be around much longer, so grab them while you can.”

Hagger points out some of the top products currently on offer as follows:

  • 0% purchases credit card for 31 months from Sainsbury’s Bank
  • 4.9% APR Credit Card with rate fixed for up to 5 years from MBNA 5
  • Credit card offering up to 30 months 0% on both purchases and balance transfers from Nuba
  • Personal loan from M&S Bank at 2.8% APR representative for £7,500 to £15,000

He added: “You will need a good credit record to be accepted for these products as they are amongst the best in market and will be in great demand.”

“Borrowers have had it good over the last decade, but it looks as if the tide is about to turn and the cost of borrowing whether by mortgage, personal loan or credit card is likely to become more costly in the not too distant future.”