Business Irish

Tuesday 20 March 2018

Permanent TSB reduces standard variable mortgage rate by 0.35pc

PERMANENT TSB announced today that it is reducing its standard variable mortgage rate by 0.35pc – more than the 0.25pc cut by the European Central Bank yesterday.

The lender had maintained the highest interest rates for homeowners until a 0.5pc reduction in the rate ten weeks ago.

All tracker mortgage holders immediately benefit from the ECB interest rate cut, but standard rate cuts are at the discretion of the bank.

Outraged PTSB mortgage holders gave the bank's bosses a roasting at the annual general meeting in May.

Describing the bank as "morally bankrupt", they lambasted management for their "extortionate" interest rates and described the hardship inflicted on their families as a result of the high charges.

The first 20 minutes of the AGM were dominated by tale after tale from put-upon mortgage holders, who described themselves as "prisoners" of the bank and urged fellow customers to pull their savings out of the "morally bankrupt" institution.

Chairman Alan Cook said he'd invited them to air their grievances at the start of the meeting, after learning some homeowners had been buying shares in the bank "just so they could come along and protest".

"I knew we'd take a bit of a beating," he told reporters after the meeting.

"If we're going to be a customer-led bank, this demonstrates that we're interested in what customers are saying."

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