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Handelsbanken and Nordea lower the rates of variable mortgage ratesFriday, 23 December 2011
Handelsbanken has lowered its rate on variable mortgages by 0.36 percentage points, going from most expensive to the cheapest among the major banks.
But that does not mean that the real interest rates will change, according to CEO Per Beckman writes Swedish business daily, Dagens Industri.
AdvertisementOn Thursday, it was reported that Handelsbanken is the bank where the difference between the advertised three-month rate and the repo rate was by far the biggest. Drop rate was at 4.79 percent and the gap was 0.17 percentage points to the nearest competitor SEB.
But now Handelsbanken is about to lower variable rate by 0.36 percentage points down to 4.43 percent. Thus, the Bank has the lowest rate of the major Swedish banks.
But according to Per Beckman, president of Handelsbanken's mortgage lenders Stadshypotek, the large reduction is not really a cut.
In related development and as if facing t the growing competition, Nordea also reported lowering the three-month interest rate.
Nordea on Friday sank its three-month interest rate on mortgage loans, by 0.10 percentage points to 4.50 percent.
"We've actually lowered the interest rate. This is due to changes in market interest rates. We said when the repo rate was lowered, we will see what happens in the market, and interest rates have now fallen back, and then we have adapted our mortgage rate, "says Jan Larsson, Director of Communications at Nordea.
By Scancomark.se Team
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