Three banks charging significantly more than ECB rates

Three banks charging significantly more than ECB rates

Permanent TSB are one of three banks charging their variable rate customers significantly more than the ECB rate

THREE banks are charging their variable customers way over the ECB rate, new research has revealed.

The Irish Independent has reported today that Permanent TSB, Ulster Bank and EBS are charging significantly more than the European Central Bank rate of 1%.

The variable rates charged by Permanent TSB are more than 4% above the ECB rat, Frank Conway of personal finance website MoneyCoach.ie told the Independent.

Since 2009, several mortgage lenders have increased the rates they charge their standard variable rate customers.

These rises came well before the ECB began increasing its rates earlier last year, only to reduce them in the November and December rate cuts, he added.

“While it is important that banks get back to a stable financial footing, it is also important that they do not risk the repayment capacity of individual mortgage customers who hold standard variable rate loans,” said Mr Conway.

The ECB are expected to lower their rates again, possibly as soon as next Thursday.

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