PTSB cuts mortgage and deposit interest rates

"From today, the mortgage rate will decrease by 0.15pc to 0.2pc on a number of products that are fixed for periods of between two and seven years. The rate decreases will apply to mortgages where the Loan to Value ratio is between 80pc and 90pc, including 'green' mortgages and so-called 'high-value' mortgages. PTSB said the new rates for the 2-year, 3-year, 5-year and 7-year fixed terms in this band - which range from 3.7pc to 4.4pc - are available to both new and existing customers."

"Meanwhile the deposit rate changes take effect from October 1, and apply to the bank's 6-month, 1-year, 3-year and 5-year fixed-term deposit products. PTSB's five-year fixed-term deposit will increase by 0.5pc to 2pc, and the 3-year fixed-term deposit will increase by 0.40pc to 2pc. However the bank's 1-year and 6-month fixed-term deposit accounts will both decrease by 0.25pc, to 2pc and 1.25pc respectively."

"Irish banks have been coming under pressure to pass on some of the benefits of ECB rate cuts to mortgage holders. While the governing council of the bank has held interest rates steady at its last two meetings, this followed a year of progressive reductions totalling 200 basis points. Sinn Fe9in finance spokesman Pearse Doherty said last week that the Government should call in the banks to demand that they stop withholding the benefit of lower rates. He accused the Government of "standing by and letting banks rip people". "Despite four rate cuts this year, the banks have not passed on the full benefit of even one of those rate cuts yet," Mr Doherty said. "It is a scandalous cash grab that is hurting households and first-time buyers.""

PTSB will lower fixed mortgage rates by 0.15–0.2 percentage points for products fixed between two and seven years in the 80–90% Loan to Value band. New 2-, 3-, 5- and 7-year rates range from 3.7% to 4.4% and are available to new and existing customers, while a 4-year fixed rate of 3.65% is offered only to new customers. The 80–90% LTV band includes many first-time buyers as well as customers switching lenders or moving home. Deposit rate adjustments from October 1 raise the 3- and 5-year rates to 2%, while the 1-year and 6-month rates fall.

Read at Irish Independent