Call on mortgage borrowers on rates

Eamon Quinn

Irish banks still have some way to go to match the low levels of mortgages in the rest of the eurozone after KBC Bank followed Ulster Bank in reducing its fixed-rate home loans, according to campaigner Brendan Burgess.

Mr Burgess of the Fair Mortgage Rates Campaign said that existing borrowers should immediately contact their lenders to tap huge monthly savings as mortgage lenders reduce their fixed rates for both new and existing customers.

He said that current borrowers will miss out on huge savings because their lenders are under little obligation to contact them over the new rates.

KBC cut its fixed rates for up to five-year terms across the full range of loan-to-value mortgages, to around 2.5% and 2.8%.

It follows a decision by Ulster Bank last month to cut its fixed rate mortgage loans.

Other lenders will be under pressure to respond to maintain or grow shares of the new mortgage business.

KBC is leaving its variable rate mortgages unchanged.

KBC said: “The new rates will provide further choice for a broader range of consumers with many customers now choosing fixed rates that provide even greater value and certainty over the long term.”

Mr Burgess of the Fair Fair Mortgage Rates Campaign said he was heartened that existing customers, and not only new customers as was the case in the past, could avail of the lower mortgage rates by banks.

But he predicted that mortgage rates would fall further because official surveys show Irish lenders charge the most for home loans in the eurozone.

More in this Section

Munster rugby star turned luxury watchmaker launches instore collection

Shannon Airport predicting high passenger numbers over Christmas

Cork Airport expected to have 150,000 passengers over Christmas period

Rolls-Royce to shift UK design approval to Germany amid Brexit fears


Unmasking Limerick's newest masked rapper

How to stop tensions boiling over this festive season

Decorating your house for Christmas? Here's some advice from three Irish interior designers

A look back at the 10 big stories form the year in music

More From The Irish Examiner