Rba says banks lifted rates to boost profits – but the effect is that those businesses are now paying more.
Banks face higher costs for their products and they can no longer afford to offer products that pay better profits, says Rba.
He says a lot of banks now find their margins are so low that they are selling lower end products.
Banks are now buying lower cost products. They are paying so much to be able to offer these products, he says.
Image copyright Reuters Image caption Banks were previously more willing to lend money because of lower costs
He says those who want a loan can now afford to get one at all, which is the result.
And, he says, if it doesn’t work out for you, your credit history can be difficult to get rid of.
Finance and 바카라사이트financial adviser John Parnell says this is an issue for everyone who owns a home or property.
“What we are seeing are companies that cannot manage the loan, that are unable to invest and therefore have difficulty dealing with a default,” says John Parnell.
He says many banks have taken steps to address the problems, such as offering a better rate of interest for its own products, and increasing marketing costs.
The Bank of England says it i더킹카지노s looking at whether it should also lower the interest rate.
‘No way to tell the difference’
A spokesman for the Bank of England says: “The rate can’t tell the difference – even within a certain range it won’t tell the difference.”
He says it would be “a shame” to see banks pay a larger percentage rate for loans they currently cannot pay as they do not think they have enough money to put to good use.
In addition, banks are working hard with their customers – “particularly young people,” and will work to promote low cost goods to them.
“It is a bit of a gamble,” says Mr Rba.
But he says in recent years banks have been trying to change the behaviour of customers.
The “no credit” principle was introduced in 1987 in the US and the banks have tried to move their customer base away from th우리카지노eir high-interest rates, which put them in debt.