Borrowing money is slightly more expensive and competition continues to fall
Again, two lenders raise interest rates. This makes borrowing money more expensive and the competition continues to fall. Bad news for the consumer.
Borrowing money has become more expensive
In July, two lenders again raised their interest rates. Good Finance, borrowing money has become more expensive this month. For Good Finance it is the second time this year that the rates are going up.
This means that the trend break that we noted earlier is continuing. For a long time, the trend for borrowing rates was falling. Since this year, interest rates for consumer loans have risen again.
Competition between lenders continues to decline
These interest rate increases not only make borrowing money more expensive, competition between lenders is also declining.
- For the personal loan, the difference between numbers 1 and 2 has risen to 0.4%. With this popular form of borrowing, ‘interest-frontrunner’ FREO has little to fear from the Good Finance contender.
- With a revolving credit of € 10,000, Good Finance must now also tolerate FREO above itself. The lender is still in the lead with a revolving credit of € 25,000.
Tip: if you are not yet taking advantage of the low interest rate with his or her current loan (s), you can transfer it.
Striking interest rate development when borrowing money
It is striking that borrowing money becomes more expensive. The European Central Bank has announced new measures to make borrowing cheaper. Banks can get cheap money to borrow. This should boost spending (and therefore the economy) in the Eurozone.
With mortgages, we see that the interest rate follows the policy of the ECB. The mortgage interest is low and continues to fall. The competition between banks has also intensified this month.