0% the new Y2K? - Page 4

jmc41 · 05-02-2009, 19:32

Argentina or somewhere went to -0.25 for a short time in the 70s.

It's happened before :-(

Admiral Huddy · 05-03-2009, 13:06

Rates down to .5%.. It's looking more likely that 0% will be with us before the summer, and possibly lower.

BoE and the Goverment are running out of headroom.. The next step is likely to bring more cash into circulation.. Germany did this in the 1930s.. Mmm What happended next.

leowyatt · 05-03-2009, 13:08

was on the news earlier an injection is on the way. Great news for all the variable rate customers.

Jhadur · 05-03-2009, 13:14

Our mortgage is unfortunately fixed at 6.15% I think it is.

Would cost over £3k to get out of it too.

leowyatt · 05-03-2009, 13:15

I don't think anyone is offering variable anymore Mic. Most people I know are in fixed rate.

Briggykins · 05-03-2009, 13:23

Quote:

Originally Posted by Admiral Huddy

BoE and the Goverment are running out of headroom.. The next step is likely to bring more cash into circulation.. Germany did this in the 1930s.. Mmm What happended next.

Yeah, I don't get why a cash injection is being considered. Germany, Yugoslavia, latterly Zimbabwe, in all cases it led to hyperinflation. I don't know much about economics but has simply printing more money ever worked?

Matblack · 05-03-2009, 13:37

This is getting silly now, we've droped the rates a few times and the market hasn't really reacted, another tack needs to be tried, I really feel for those who are trying to live off their savings and are quickly eroding their capital, not good. Of course we're quite happy, as always I'll keep over paying the mortgage at the same rate and more cash will come off the capital which would have gone on paying off the interest, the difference however is small enough for me to afford to be altruistic.

MB

Glaucus · 05-03-2009, 13:47

Quote:

Originally Posted by Jhadur

Our mortgage is unfortunately fixed at 6.15% I think it is.

Would cost over £3k to get out of it too.

Still not bad though. 6%is still very low in the scheme of things.
Annoying, but I really don't get all thus ho har about people saying you need 25% to get a mortgage. 10% equates to around a 6% mortgage which is still very good. not the best deal you can get but not to be sniffed at either.

bam · 05-03-2009, 17:06

Quote:

Originally Posted by Briggykins

Yeah, I don't get why a cash injection is being considered. Germany, Yugoslavia, latterly Zimbabwe, in all cases it led to hyperinflation. I don't know much about economics but has simply printing more money ever worked?

I don't think the current plan is technically printing money as such, as I understand it the BoE will buy bonds and other such assets from government, companies etc with "money" they have just created. So while the money in circulation increases in theory you've taken assets out of the economy of an equivalent value, then when they're finished they can redeem the bonds/sell the assets and take the money back out of the system.

LeperousDust · 05-03-2009, 17:11

But surely its still money from nowhere whichever way you play that card. I don't know what will happen, neither do they. But its happening so i guess we'll see.

05-03-2009, 13:06	#32
Admiral Huddy HOMO-Sapien Join Date: Jun 2006 Location: Chelmsford Posts: 6,692	Rates down to .5%.. It's looking more likely that 0% will be with us before the summer, and possibly lower. BoE and the Goverment are running out of headroom.. The next step is likely to bring more cash into circulation.. Germany did this in the 1930s.. Mmm What happended next. __________________ I just got lost in thought.. It was very unfamiliar territory. Techie Talk \| My gaming Blog \| PC spec \| The Admirals log

05-03-2009, 13:08	#33
leowyatt Chef extraordinaire Join Date: Jul 2006 Location: Infinite Loop Posts: 11,143	was on the news earlier an injection is on the way. Great news for all the variable rate customers. __________________ "Dr Sheldon Cooper FTW!"

05-03-2009, 13:14	#34
Jhadur Peter Pan Join Date: Jul 2006 Location: Lost Inside My Head Posts: 1,068	Our mortgage is unfortunately fixed at 6.15% I think it is. Would cost over £3k to get out of it too. __________________ "Life moves pretty fast. If you don't stop and look around once in awhile, you could miss it."

05-03-2009, 13:15	#35
leowyatt Chef extraordinaire Join Date: Jul 2006 Location: Infinite Loop Posts: 11,143	I don't think anyone is offering variable anymore Mic. Most people I know are in fixed rate. __________________ "Dr Sheldon Cooper FTW!"

05-03-2009, 13:37	#37
Matblack Baby Bore Join Date: Jun 2006 Location: Svalbard Posts: 9,770	This is getting silly now, we've droped the rates a few times and the market hasn't really reacted, another tack needs to be tried, I really feel for those who are trying to live off their savings and are quickly eroding their capital, not good. Of course we're quite happy, as always I'll keep over paying the mortgage at the same rate and more cash will come off the capital which would have gone on paying off the interest, the difference however is small enough for me to afford to be altruistic. MB __________________ "we had roots that grew towards each other underground, and when all the pretty blossom had fallen from our branches we found that we were one tree and not two"

05-02-2009, 19:32	#31
jmc41 Absinthe Join Date: Mar 2007 Posts: 1,070	Argentina or somewhere went to -0.25 for a short time in the 70s. It's happened before :-(

05-03-2009, 17:11	#40
LeperousDust Bananaman Join Date: Jul 2006 Location: Liverpool/Edinburgh Posts: 4,817	But surely its still money from nowhere whichever way you play that card. I don't know what will happen, neither do they. But its happening so i guess we'll see. __________________