How much is too much for a mortgage rate?

Many home loan borrowers are paying very high interest rates and need to shop around, compare rates and be prepared to switch loans.

Some mortgages are charging borrowers as much as seven, eight and even 9.85 per cent p.a. Often these loans are for customers who have a bad credit rating. Even some good borrowers are being charged too much – in the high five, six and seven per cent range.

Source: The Daily Telegraph