A little bit of advice

[John m]

If you have a Mortgage try and get a fixed rate ...A member of the European Central Bank told CNBC Wednesday that there’s plenty of runway to hike interest rates, following the two planned raises for July and September.Plenty of room means there will be more increases after September

All eyes are on the ECB with a critical meeting next month. The euro zone’s central bank has said it will be raising interest rates for the first time in 11 years, but investors are more interested on whether President Christine Lagarde’s team will be able to further tighten monetary policy over the medium term.

The ECB has said there will be another hike in September, but doubts currently rest on the period after that — given that the economic prospects of the bloc are darkening. Raising interest rates could slow down economic growth further.USA 10 year bond rate is 3.9 % our rates are normally 1.2% above US Treasury .That means average Mortgage Interest rates will reach 5%

11 Years ago 5% interest rates were considered average .Lot of money to be saved if you can fix under 3,3% if you owe 200k or more .

[Octavia1]

https://www.rte.ie/news/2022/0629/1307441-clarity-needed-on-roles-for-army-at-airport-pdforra/
In the immediate term ...
More chaos ....

[John m]

Occi its more smoke .While Ballyfermot Joseph and the Plank were talking taxi Paggo sold half a billions worth of Bank of Ireland shares and nobody noticed .Strange how he waited until after BOI were fined hundreds of Millions for sculduggery with Mortgage Rates and the price dropped .if you sell something that means you found a buyer .Why would you buy bank shares ? You know they are going to hike up the rate they charge to borrow as that is how they make their coin .FF/FG /Cabbages know they are fucked and are looking after their supporters before they are voted out .Fleeced NAMA and the Banks .When the Shinners get in the Cupboard will be bare .

[Belker]

Did the cost of that Sliced Pan ever actually go up ?

[John m]

Did the cost of that Sliced Pan ever actually go up ?

YES 40c on average .

[mercenary for hire]

Some of the fixed rates are fairly reasonable.I fixed mine last month at 2.35%.My variable rate was 2.75% with AIB.I've only locked it for three years but will keep putting the overpayment into a separate account until see what way things go.

[John m]

Some of the fixed rates are fairly reasonable.I fixed mine last month at 2.35%.My variable rate was 2.75% with AIB.I've only locked it for three years but will keep putting the overpayment into a separate account until see what way things go.

Nice .Our Kid was with KBC they are acting the bollox saying they cannot do anything until they transfer the loan to BOI then they say they cannot do anything until they actually own the loan .You can be sure they will look for full settlement of a bail out payment when you go to move .Expect about 2k in fees .

[mercenary for hire]

All the banks are fairly shit.Glad I didn't touch KBC when I moved gaff.They gave me loan offer as well but AIB usually had the better rates and were just a bit more helpful with the switch.Three or four more years and I'll be mortgage-free wondering why I bothered paying it off early!One less thing to think about.

Just thinking I had the chance to get half my mortgage back on a tracker a few years ago as part of the compensation offer from BOI.Never took the offer as AIB had such a competitive variable rate.And I really didn't wanna go back to the bank that tried to screw me over.

My advice to your kid is keep all the documentation so they can keep moving banks when the cash backs expire.The longer you stay with them the more they get outta ya.Keep moving a make them keen.

[Rat Catcher]

Overpayments are generally wise, MfH. For somewhat simple reassurance calculate how much you saved by overpaying and compare it to how much the same amount invested in an approved PRSA (pension) fund would have earned. Of course, the extent of utilisation of relevant tax credits is worthy of inclusion in said equation.

[mercenary for hire]

Yeah RC I'm all over the place but I (we)was overpaying about 8 ton every month until I locked in the rate.So the plan is just to divert that overpayment into the new car fund then use it if needed as a free loan.Then I must ensure that the overpayment back in the house account when the lower fixed rate expires in three years.My taxi accounts will be very sloppy but at least I won't be under any mad pressure with a bit of luck.

I'm really uncomfortable with the price of my new car.I don't like owing more for the car than I'll owe on the gaff.Bizzare situation and it's never happened before.

On a separate issue investing the money at this point in the downturn in the markets might be too early so for now it stays in cash even if inflation is devaluing it by the day.I'll just put my head back in the sand for a few months..

[Rat Catcher]

You can, of course, make lump sum payments between each fixed rate term.

How much are you spending on a motor? The price of second hand cars has gone through the roof. Folk literally have appreciating assets parked on their driveways... fucking madness!

[mercenary for hire]

If I wasn't gambling on the stock market I wouldn't need to do all the financial gymnastics...

My first taxi was €1800 lasted three years.Got rid of it earlier to avail of the 15 year rule on the next one.

The Prius was about €6000 and I have it 10 years.

The next one will be at least €16000 (4k a year)for something decent but I am tempted to go new and get one of them Toyota Corolla estates for €30000 (3k a year)that will last me a full ten years without issues I expect.

Then I could buy a Dacia for cheaper and have a hobby for the weekends keeping it on the road.

The numbers are a bit scary for a part-timer like me even though I'd have at least half of the corolla money in cash by April 23.Maybe..

[C5]

Don't be buying a new car if your part-time, I'm full-time and buy second hand high mileage Citroens' my last one had 156,000 kms on it, and its going strong I'm at 552,000km now with 8 months before I change.

[mercenary for hire]

Unfortunately C5 the second hand prices are so high it's working out almost as cheap to buy new over the years.Second hand potentially clocked Priuses are 16k for 6 year old motors.

I'd easily get ten years from a new Toyota.Although I'm not as active as some of yis this is my only job so it's not like I've got other easier options.

@RC what's your plan for another motor?Electric still?

[John m]

What do you recon Merch .How much will interest rates rise in September .......My guess .75% and another .5% in December ...Ireland’s inflation reached 9.6% in June, according to the latest figures from Eurostat.

That latest grim news regarding the cost of living comes after the Central Statistics Office’s consumer price index for May showed inflation then at 7.8%, the largest increase in almost 38 years.

If this latest estimate from Europe is borne out in the CSO statistics for June, set to be published later this month, it’ll be the highest inflation rate recorded in Ireland since the early 1980s.

Euro area annual inflation is expected to be 8.6% in June 2022, up from 8.1% in May according to the flash estimate from Eurostat released this morning.

Like I posted there wont be any shortage of taxis after September .