Borrowers face higher interest rate shock

According to an article on bbc.co.uk, borrowers could find they will be charged higher than the advertised rate of interest for a personal loan under new rules.

At present, at least two thirds of successful applicants for loans should get the advertised rate following a promotion.  However, under European rules which came into force in the UK on the 1st of February, this will fall to 51% of successful applicants.

The change of rules comes from the incorporation of the European Consumer Credit Directive into UK law.

Read the full article.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s