Bailed Out Banks Criticised For Short-Changing Help to Buy Home Buyers

Britain's two big taxpayer backed banks have been accused of cashing in on the Government's Help to Buy scheme as it emerged the mortgage rates they are preparing to unveil are likely to be more expensive than other loans on the market. Sources claimed both Halifax and Royal Bank of Scotland/NatWest were likely to price Help to Buy mortgages for buyers borrowing up to 90 per cent of the value of the house a rate of more than 4.5 per cent for a two-year fix.  Loans with a 95 per cent loan-to-value could be charged at a rate of more than 5 per cent for the same term. In both cases the borrowing rates would be more expensive than other mortgages available outside of the Help to Buy scheme. Read more on the Daily Telegraph website.