Bad news for families with home mortgages as Libor spiked sharply as turmoil in the credit market continues. Libor is the European based benchmark that is used for resets for subprime mortgage rate and other forms of borrowing in the United and States.
Homeowners should check their mortgages and see if the interest rate is based on Libor. The best move is to refinance the mortgage with fixed rated loans to avoid foreclosures
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