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NHT Considers Mortgage Rate Increase
Published: Thursday February 21, 2013 | 9:33 am0 Comments
There could be an increase in some interest rates for National Housing Trust (NHT) mortgages, as the entity seeks to accommodate the over $11 billion per year drawdown by the government.
The Government is to take $45 billion from the Trust over the next four years for budgetary support as it seeks to deal with the country’s $1.7 trillion dollar debt.
The Government has insisted that the drawdown will not affect the benefits of contributors.
However, NHT board member, Lambert Brown has noted that the Trust will now have to look at ways to ensure it can continue meeting its mandate while contributing to the consolidated fund.
NHT interest rates run from a high of seven per cent to zero per cent for some beneficiaries.
And while insisting no decision has yet been taken about whether to increase the rates, Brown notes that some of the current rates are definitely in need of a revision.
He says Jamaicans will know the details of the initiatives to be undertaken as soon as the NHT’s management makes a decision.
The group, Citzens Action for Principle and Integrity (CAPI) has retained attorney Hugh Wildman to mount a legal challenge of the draw down of NHT funds.
Wildman has said based on the laws governing the Trust, only contributors can authorise a withdrawal.
He says he will be filing a challenge as soon as the decision is gazetted by the government.
However Attorney General, Patrick Atkinson, insists the government’s actions are legal.
NHT Considers Mortgage Rate Increase
Published: Thursday February 21, 2013 | 9:33 am0 Comments
There could be an increase in some interest rates for National Housing Trust (NHT) mortgages, as the entity seeks to accommodate the over $11 billion per year drawdown by the government.
The Government is to take $45 billion from the Trust over the next four years for budgetary support as it seeks to deal with the country’s $1.7 trillion dollar debt.
The Government has insisted that the drawdown will not affect the benefits of contributors.
However, NHT board member, Lambert Brown has noted that the Trust will now have to look at ways to ensure it can continue meeting its mandate while contributing to the consolidated fund.
NHT interest rates run from a high of seven per cent to zero per cent for some beneficiaries.
And while insisting no decision has yet been taken about whether to increase the rates, Brown notes that some of the current rates are definitely in need of a revision.
He says Jamaicans will know the details of the initiatives to be undertaken as soon as the NHT’s management makes a decision.
The group, Citzens Action for Principle and Integrity (CAPI) has retained attorney Hugh Wildman to mount a legal challenge of the draw down of NHT funds.
Wildman has said based on the laws governing the Trust, only contributors can authorise a withdrawal.
He says he will be filing a challenge as soon as the decision is gazetted by the government.
However Attorney General, Patrick Atkinson, insists the government’s actions are legal.
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