AIB, EBS and Haven Reduce Mortgage Interest Rates
05 May 2015
Posted in: Mortgages
• Reduction of 0.25% in AIB and 0.38% in EBS and Haven standard variable rates
• Standard Variable Rates now 3.90% (AIB), 3.95% (EBS) and 3.97% (Haven)
• Lower standard variable rates for new and existing customers from early June
• Lower Loan To Value (LTV) and Fixed rates for new and existing customers from early May
AIB Group announced on Friday May 1st a number of reductions to its mortgage rates for owner occupier and buy-to-let mortgages. These include a cut of 0.25% for AIB Standard Variable Rate (SVR) customers and 0.38% for EBS and Haven SVR customers. The Bank also announces reductions in Loan to Value (LTV) and Fixed Rate mortgages across AIB, EBS and Haven.
These rate reductions will apply to both new and existing customers.
The lower SVR rates come in to effect from early June, while the revised fixed rates will be introduced next week.
This is the second time in the past six months that AIB Group has reduced its mortgage rates for new and existing customers.
AIB’s Director of Retail and Business Banking, Bernard Byrne said: “AIB’s second reduction in mortgage interest rates in six months reflects the Bank’s improved financial performance. We committed to keeping mortgage rates under review and to reduce these rates for both new and existing customers as soon as our funding conditions allowed. We now have a clearer view of our financial position and we are able to pass on the benefits.’’
The latest move significantly benefits approx. 158,000 mortgage account holders. For example, AIB customers with a €200,000 mortgage will save an additional €329 per annum, based on a 25 year term, whilst EBS/Haven SVR customers will save €508 per annum.
Existing SVR Customers who choose to move to a three year fixed rate option (3.65%) can achieve savings of €654 per annum with AIB, and €900 per annum with EBS. The Bank will now offer 3.65% for a three year fixed and 3.80% for a five year fixed rate.
New and existing customers will also benefit from reduced pricing across all LTV rates as AIB, EBS and Haven cut these rates by 0.25%.
Customer impact of AIB SVR reduction per 100K mortgage |
||||
|
20 yrs. |
25 yrs. |
30 yrs. |
35 yrs. |
Monthly Difference |
€13.10 |
€13.72 |
€14.32 |
€14.90 |
(Monthly repayments sum over term of the mortgage) |
||||
Customer impact of EBS / Haven SVR reduction per 100K mortgage |
||||
|
20 yrs. |
25 yrs. |
30 yrs. |
35 yrs. |
Monthly Difference |
€20.16 |
€21.15 |
€22.10 |
€23.00 |
(Monthly repayments sum over term of the mortgage) |
||||
Summary of variable changes announced:
VARIABLE RATES |
AIB |
HAVEN |
EBS |
||||||||
Owner Occupier |
Current |
New |
Reduction |
Current |
New |
Reduction |
Current |
New |
Reduction |
||
Standard Variable Rate |
4.15% |
3.90% |
0.25% |
4.35% |
3.97% |
0.38% |
4.33% |
3.95% |
0.38% |
||
LTV Variable: |
|||||||||||
LTV <=50% |
3.85% |
3.60% |
0.25% |
3.85% |
3.60% |
0.25% |
3.80% |
3.55% |
0.25% |
||
LTV>50%<=80% |
4.05% |
3.80% |
0.25% |
4.05% |
3.80% |
0.25% |
4.00% |
3.75% |
0.25% |
||
LTV >80% |
4.25% |
4.00% |
0.25% |
4.25% |
4.00% |
0.25% |
4.20% |
3.95% |
0.25% |
||
|
|
|
|
||||||||
Buy-to-Let |
Current |
New |
Reduction |
||||||||
Standard Variable Rate |
5.35% |
5.10% |
0.25% |
||||||||
Summary of Fixed Changes announced:
FIXED RATES |
AIB |
HAVEN |
EBS |
|||
|
Current |
New |
Current |
New |
Current |
New |
1 Year (New Bus.) |
3.50% |
No change |
3.50% |
No change |
3.50% |
No change |
1 Year (Exist Bus.) |
4.15% |
3.50% |
N/A |
N/A |
N/A |
N/A |
2 Year (New Bus.) |
3.80%
|
3.60%
|
3.80%
|
3.60%
|
3.80%
|
3.60%
|
2 Year (Exist Bus.) |
||||||
3 Year (New Bus.) |
3.80%
|
3.65% |
3.80%
|
3.65%
|
3.80%
|
3.65%
|
3 Year (Exist Bus.) |
||||||
4 Year (New Bus.) |
3.90%
|
3.75%
|
3.90%
|
3.75%
|
3.90%
|
3.75%
|
4 Year (Exist Bus.) |
||||||
5 Year (New Bus.) |
3.90%
|
3.80%
|
3.90%
|
3.80%
|
3.90%
|
3.80%
|
5 Year (Exist Bus.) |
||||||
