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Libor rate query


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I received a ltter today from my lovely fluffy mortgage company telling me that my rate had increased to 2.25%

 

Now, I'm a little curious about this as its based on Libor + 1.5% and the rates are supposed to be based on the rates as at:

 

1st March

1st June

1st Sept

1st Dec

 

So, as this one is based on 1st March rates, the Libor rates at 1st March were:

 

1 month: 0.228%

3 month: 0.252%

Overnight: 0.175%

 

and none of the above + 1.5% would result in 2.25%?

 

Anyone care to shed any light on how their calculation might have been reached?

 

Also, having gone over the agreement, it seems they dont actually state WHICH libor rate applies, and whilst I am of the impression the norm is 3 month, I seem to remember when you have a statement that is unclear the clarity must alwways go in favour of the consumer?

 

Be glad of any input!

 

Cheers

 

NcF

omnia praesumuntur legitime facta donec probetur in contrarium

 

 

Please note: I am not a member of the legal profession, all advice given is purely my opinion, if in doubt consult a professional

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Actually scratch that, buried in there is "3 month libor"

 

Though its still wrong..................

omnia praesumuntur legitime facta donec probetur in contrarium

 

 

Please note: I am not a member of the legal profession, all advice given is purely my opinion, if in doubt consult a professional

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