Cumbria’s biggest mortgage lender has pledged it will do all it can to help people struggling with the cost of living crisis.
The Bank of England has raised interest rates by 0.75 per cent to three per cent – the biggest rise since 1989 and has forecast that the UK faces a two-year recession.
The interest rate rise will have an impact on people with mortgages as borrowers coming to the end of fixed-rate deals may find they cannot afford the higher payments.
But The Cumberland, which, unlike banks, is owned by its members, the savers and borrowers, is determined to help those in difficulties. It is Cumbria’s largest financial institution with £2.2 billion of mortgage lending.
Claire Deekes, the society’s chief customer officer, said: “Many lenders offer their best rates to new customers to tempt them in. We’ve pledged not to do that.
“We’ve made a conscious decision to protect our customers by offering them preferential rates where possible when they come to the end of their current mortgage deal. We have professionally trained mortgage advisers and we have upskilled and increased our team that supports customers in difficulties.
“If someone is coming to the end of a fixed-rate deal the advisers can look at how we can support our customers dependant on their circumstances. These decisions are taken by real people, not a computer algorithm.
“We’d encourage anyone experiencing financial difficulties to speak to us. We’re here to help. We want people to stay in their homes.”
The Cumberland is based in Carlisle and operates 34 branches across Cumbria, south west Scotland, Northumberland and Lancashire.
