We need your help now

Support from readers like you keeps The Journal open.

You are visiting us because we have something you value. Independent, unbiased news that tells the truth. Advertising revenue goes some way to support our mission, but this year it has not been enough.

If you've seen value in our reporting, please contribute what you can, so we can continue to produce accurate and meaningful journalism. For everyone who needs it.

File photo. DPA/PA Images

AIB cuts its standard variable mortgage rates

The bank said that it was cutting its standard variable rate (SVR) by 0.25%.

AIB HAS CUT its standard variable mortgage rate for customers.

The bank said that it was cutting its standard variable rate (SVR) by 0.25%.

It said that this would result in an annual repayment saving of €315 on a €200,000 mortgage over 25 years.

This is the fifth time the bank has cut its rates in the past three years.

“Our strategy, when conditions allow, is to pass on variable rate reductions to both new and existing customers and we continue to do that,” said managing director of retail and commercial banking in Ireland Robert Mulhall.

Therefore existing SVR customers will automatically benefit from these new variable rates. We have cut our rates over the last three years by 1.25% for SVR customers.

The bank also introduced a seven year fixed rate of 3.5% for mortgages.

The Irish government had owned 99.9% of AIB but recently sold off a large portion of its shares in the bank in June. The bank’s Initial Public Offering (IPO) put its value at €12 billion.

The state sold off 28.75% of its shares in AIB for €3.4 billion

Davy Stockbrokers said that the bank’s cut in its rates “marks a continuation of the competitive environment evident in the market for some time, albeit the magnitude (and so soon after the IPO) is earlier than expected”.

Read: Missing AIB customer details found after bag handed into Galway business

Read: The government confirms it sold around 28.75% of AIB for €3.4 billion

Readers like you are keeping these stories free for everyone...
A mix of advertising and supporting contributions helps keep paywalls away from valuable information like this article. Over 5,000 readers like you have already stepped up and support us with a monthly payment or a once-off donation.

Your Voice
Readers Comments
This is YOUR comments community. Stay civil, stay constructive, stay on topic. Please familiarise yourself with our comments policy here before taking part.
Leave a Comment
    Submit a report
    Please help us understand how this comment violates our community guidelines.
    Thank you for the feedback
    Your feedback has been sent to our team for review.

    Leave a commentcancel