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Are IIB/KBC Homeloans passing on interest rate cut for variable mortgages

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  • 17-01-2009 2:00am
    #1
    d4lc
    Registered Users Posts: 20 ✭


    cannot see anything about this in the news? Thanks


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    #2
    kenco
    Registered Users Posts: 1,080 ✭✭✭kenco


    They normally do but are never the first to announce it. If they didnt follow the market here they would be in trouble so just because its not out there yet does not mean it is coming.


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    #3
    Ogham
    Registered Users Posts: 1,844 ✭✭✭Ogham


    I saw a thread aboy this over on askaboutmoney. Someone said they phoned IIb and was told variable rates would only drop by 0.25% not the full 0.5%.
    Might be time to look at moving to Halifax or AIB?


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    #4
    d4lc
    Registered Users Posts: 20 ✭d4lc


    KBC/IIB Homeloans have confirmed it is only 0.25%, definetly time to move


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    #5
    droh
    Closed Accounts Posts: 1 ✭droh


    I heard something about KBC still being in a bit of bother even after a bailout by the Belgian Government.

    But their variable rate is 1.99% above or double the ECB rate. AIB's is 1.25% above and they are in as much bother. With interbank rates falling at a much higher rate than ECB rate reductions, I think KBC should nearly be cutting more than 0.5% never mind only giving 0.25% :mad:


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    #6
    kenco
    Registered Users Posts: 1,080 ✭✭✭kenco


    Very surprised if thats the case as the publicity will be very bad in light of all the other major lenders passing the cut on. Also as their business is mostly broker based this is not a great move....


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    #7
    Auvers
    Closed Accounts Posts: 2,987 ✭✭✭Auvers


    what the process involved in moving away from IIB/KBC


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    #8
    Ogham
    Registered Users Posts: 1,844 ✭✭✭Ogham


    The rate at KBC is currently 4.24% - whch will become 3.99 when they drop it. If AIB and Halifax stick to their promise to cut variable rates by 0.5% - the AIB rate will be 3.25% and Halifax rates will be from 3.15 to 3.45%. (depends on LTV)
    On a 250k mortgage thats a saving of about 115 a month. (on the 3.25%)
    Halifax will pay 1K towards legal fees - which could come to anywhere between 1k and 1.8K. AIB do not have such an offer - so you will need to pay solicitor costs and valuation fee yourself.
    To see if they will take you on - just go into your nearest Halifax or AIB and talk to them - the worse that can happen is they say no. (It could be that the value of your house has gone down so they may not be willing to lend the full mortgage amount.
    You will also need to get a balance statement off KBC to see the exact amount outstanding on your mortgage.
    There is nothing to stop AIB or HAlifax putting rates up again in the future of course even if ECB rates don't go up. (Same applies to any lender with variable rate mortgage)


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