Irish savers losing €120m a month as banks fail to raise deposit interest rates, analysts warn

noted that despite multiple ECB rate increases there had been “almost no movement” in Ireland excluding tracker holders.

“The generosity of the main banks in not passing on ECB rate increases appears out of character,” he said. “Cynics may suggest that by not increasing variable rates the banks are more able to justify not increasing deposit rates. By holding deposit rates at near zero the banks can pocket juicy returns for themselves by maximising the spread between the rate they pay savers and the rate they charge lenders, known as their net margin.

An AIB spokeswoman said the bank had “insulated the vast majority of our deposit customers during a sustained period of European negative interest rates over eight years”. She added that it had increased deposit rates in recent months and, in “light of the evolving interest rate environment, we constantly keep all our rates under review”.

Bank of Ireland said it had been “very measured in the application of mortgage rate increases over the past year” and had made no change to variable mortgage rates but increased fixed rates by up to 1.5 per cent. “Along with a range of other deposit increases, we recently announced a new savings product offering a rate of 1.5 per cent. We will continue to take a measured approach into the future.”

A spokeswoman for Permanent TSB said it keeps rates “under review on an ongoing basis”, adding that no ECB rate increases have been passed on to variable-rate customers. It said it has “increased our deposit rates three times since November 2022 by up to 1.5 per cent”.

Source: Loan Digest (loandigest.net)

Ireland Latest News, Ireland Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Guinness to roll out Guinness 0.0 on draught in Irish pubs 'in months'Diageo representatives have been lobbying pubs to take the 0.0 brand on draught.
Source: IrishMirror - 🏆 4. / 98 Read more »

Irish Britain's Got Talent star shares secret to staying calm ahead of finalThe 13-year-old blew the audience away with his semi final act which climaxed with him disappearing leaving just a flurry of confetti where he had stood on stage.
Source: IrishMirror - 🏆 4. / 98 Read more »

Lifeguard shortages: Recruitment problems to limit patrols at Irish beachesA number of local authorities have had difficulty recruiting sufficient lifeguards to patrol beaches across the country this summer.
Source: IrishTimes - 🏆 3. / 98 Read more »

Irish cricket’s newest star ready to make waves abroadThe sport’s huge popularity, particularly in South Asia and Britain, means that 23-year-old Dubliner Harry Tector could be in line to earn millions of euro throughout his career
Source: businessposthq - 🏆 8. / 71 Read more »

Irish nude beaches named as Ireland AM star admits going topless'With men, as soon as the sun comes out, the tops come off and the t-shirt goes in the back pocket and off you go, they’re just nipples.'
Source: IrishMirror - 🏆 4. / 98 Read more »

Two people rescued from speedboat after incident on Irish lakePeter Kennedy, Deputy Launching Authority at Lough Derg RNLI advises boat users 'to remain with the navigation channel, and in warm weather remember to take plenty of water for your journey.'
Source: IrishMirror - 🏆 4. / 98 Read more »