Ian Guider: Why the banks don’t want rate cuts

Ian Guider: Why the banks don’t want rate cuts
Fianna Fáil wants to give the Central Bank the power to cap rates

Agreeing to a voluntary reduction now might stave off legislation, writes Ian Guider

The campaign for lower borrowing costs for mortgage holders on variable rates is understandable.

Why is it that some banks still have variable rates above four per cent when their cost of funds is much lower? There's no simple, and honestly, easy answer. Sure the banks can access wholesale funding at very cheap rates. They can also borrow almost limitless amounts from the European Central Bank at...

Subscribe from just 1€

Exclusive offers

Choose the subscription that is right for you

Monthly Subscription

€1

For the first month

€19.99 Monthly Thereafter

Subscribe today

Cancel anytime

Annual Subscription

€200€149

For the first year

€199.99 annually thereafter

Subscribe today

Cancel anytime

Quarterly Subscription

€55€42

For the first 90 days

€55.00 quarterly Thereafter

Subscribe today

Cancel anytime

These offers are not available for current subscribers. Offers and pricing are subject to change without notice.

Terms & Conditions Apply

Please Subscribe or Log in to continue

Subscribe Login

Related Articles

More from The Business Post