Pepper reduce interest rates

Interesting that Pepper are matching AIB with the lowest variable rate on the market at 3.1% for PDH loans with a loan-to-value ratio below 50%.
 
I wonder will 3.1% be the magic number that the cartel has agreed upon, never to be outdone
 
They are not quite matching AIB.

AIB pays some costs up front while Pepper charges an arrangement fee of of 0.5% up to a maximum of €1,800.

I have some mistrust of Pepper, but I am not sure why. They reduced the rates by 0.45% - but they could simply increase them by that amount tomorrow. Of course, AIB could do the same and, if Frank gets going, they could do the same.

I am wary of any lender which does not publicly advertise its lending rates and charges. It's very hard to make a comparison.

AIB is embedded in the Irish market. They will presumably try to stay competitive. Pepper, or Frank for that matter, might not care that much about it.

In particular, I would be wary of taking out one of Pepper's sub-prime loans. But I suppose that those borrowers won't have any other option in the present market.

Brendan
 
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