Irish Mortgage Brokers predict ptsb will reduce SVR

[Jkrnax]

1st time poster, daily reader on this forum.

As part of [broken link removed], AIB are expected to increase their variable rates, whilst PTSB are to reduce theirs (again ???).

Some encouraging news from page 4 of the report. ​

"The disparity in rates at present will end, at the lowest end you have AIB at the highest you have Ptsb, both will see significant pricing change this year, the former up the latter down."
​

On a less positive note. the report also suggests that by 2014, most variable mortgages will be 3-4% above the ECB rate. Pity that PTSB jumped the gun 4 to 5 years too soon.

 

[Brendan Burgess]

Hi J

An interesting report and I have edited your post to slot in a link to the report.

It is just speculation by Karl Deeter. I hope he is right, and this ridiculous anomaly should not last. Here is the actual quote:

The disparity in rates at present will end, at the lowest end you have AIB at the highest you have Ptsb, both will see significant pricing change this year, the former up the latter down.

The quality of applicant who can afford to purchase property at this point is very high, they represent an opportunity to banks who lend prudently at good margins if cheap central bank liquidity is available.

I don't think that PTSB wants to lend to new business at all. They have to deleverage. People would be crazy to borrow from PTSB who have admitted using those on SVRs to fund the losses on their cheap trackers.

 

[random2011]

Is there Substance to this,

Can PTSB svr customers really expect this to happen.

Great news if true.