€65-a-month mortgage hike looms

CONSUMERS are facing further interest rate hikes this week with analysts predicting a 0.5% rate increase at the Bank of Ireland and EBS – a move that equates to an extra €65-a-month on a typical €250,000 standard variable mortgage.

AIB and Permanent TSB have already hiked interest rates by 0.5% and analysts believe Bank of Ireland, which has 199,000 mortgages in Ireland, and EBS will follow suit in the coming days.

The expected increases come as the director of the Irish Mortgage Corporation, Frank Conway, warned how increases in mortgage repayments of €250 or more a month would create a serious financial difficulty for many households.