28 Mar 2009

Borrowers seek advice as interest rates move

7:34 am on 28 March 2009

The Mortgage Brokers Association says more households are looking to secure fixed rate deals for their home loans.

Long-term interest rates started climbing again earlier this month, as investors sought better returns and signs of recovery were predicted for the global economy.

The acting chief executive for the Mortgage Brokers Association, Darren Pratley, says that in the past fortnight its members have had a huge rise in client inquiries.

ASB Bank has raised its long-term fixed interest rates for the second time in as many weeks.

The Mortgage Brokers Association says people want to know whether they should gamble with low-interest variable rates or set a higher but fixed long-term rate.

The association says personal circumstances should dictate peoples' choices, but it does expect long-term rates to continue to rise.