PTSB said on Thursday it is hiking the rate on its 40-day notice deposit account from 0.01 per cent to 1 per cent as lenders come under growing pressure to pass on a portion of European Central Bank (ECB) rate increases to savers.
The bank highlighted that it has increased deposit rates six times since November 2022, with customers being offered rates of up to 3 per cent on certain deposit products. However, the vast bulk of households’ cash in Irish banks is in on-demand or current accounts, where they are earning little or nothing.
The ECB has lifted its deposit rate from minus 0.5 per cent to 4 per cent since July last year, while its main lending rate has increased at the same pace to now stand at 4.5 per cent.
PTSB also said that it is reducing the new business rates on its four-year fixed-term mortgages by 0.4 of a percentage point, effective from December 6th. This will, for example, leave its rate on its four-year product with a loan-to-value (LTV) ratio of 60-80 per cent at 4.1 per cent.
File being prepared for DPP over insider trading
Christmas tech for kids: great gift ideas with safety features for parental peace of mind
MenoPal app offers proactive support to women going through menopause
Ezviz RE4 Plus review: Efficient budget robot cleaner but can suffer from wanderlust under the wrong conditions
The bank’s fixed rates range from 3.95 per cent to 5.2 per cent, depending on the fixed rate term, the customer’s LTV and the energy rating of the property.
PTSB is also increasing its standard variable rate by 0.4 of a point to 4.7 per cent from January 17th, it said.
It will also, from that date, increase rates on its so-called managed variable rates products, which are linked to each customer’s LTV, by 0.4-0.6 of a point, to 4.4-4.7 per cent.
