The Euribor again to go up and mortgages more expensive at 700 euros a year

Euribor, the kind that are awarded most mortgages in Spain, has resumed its upward climb in September and letter of the mortgage in 58 euros and 704 euros per month per year for half a loan of 150,000 euros to 25 years.

In the absence of a working day for the end of the month, the monthly rate of the indicator is in the 5379%, which takes up the uptrend that he left in August, closing at 5323% compared to 5393% July.

The Euribor

Has placed this Monday its daily rate% in 5477, having given a reprieve last Friday and accelerate their upward climb in the days prior to marking four consecutive daily highs in the past week. His record dates back to the newspaper last Thursday, when it rose to 5484%.

Analysts have explained the movement of the indicator by the high interest rates in the euro zone, currently at 4.25% as the liquidity crisis, which accentuated the fears of banks to lend money to each other .

The indicator is at maximum levels since the bankruptcy of the fourth until recently investment bank in the United States, Lehman Brothers, and is not expected to drop to the financial system to regain its confidence, thus contributing to the approval of Financial rescue plan by the Bush Administration, which will be approved on Monday by Congress, predictably.

Although the indicator broke in August, the uptrend of the last five months, continued at maximum levels for the third consecutive month in June as it surpassed the barrier higher so far in August marked the year 2000 (5248%), the % to close at 5361, and in July 5393%.

Increase in delinquencies

The Spanish government has asked several times to the European Central Bank (ECB) to its flexible monetary policy and lower interest rates to mitigate the effects of the crisis in Spain and to facilitate the payment of mortgages. The economic

Vice president, Pedro Solbes, acknowledges that the rise in delinquencies in Spain is "really worrying", but reiterated the need to enter it in the current context, since the rate is rebounding around the world, with a non-payment of over 5% in the U.S..

For his part, the governor of the Bank of Spain, Miguel Angel Fernandez Ordonez believes that the rise in delinquencies "is still far from reaching alarming levels," although he makes an appeal to financial institutions to continue to take steps to address the increasingly complex financial arena.

According to the Spanish Mortgage Association (AHE), the slowness of households will continue to grow until mid-2009 and will be looking particularly to the loans contracted between 2003 and 2006, if the ECB does not lower the price of money.

Late payment of credit extended by banks, savings banks and cooperative banks to individuals and companies rose in July to 2.15%, the highest rate since September 1998 when it stood at 2.17 %.