After Norges raised its key rate by 0.5 percentage points for the second time in a row, the big DNB is now raising its lending rates.
The DNB is increasing interest rates on its mortgages by up to 0.5 percentage points, according to a notice.
Interest on deposits has also been increased by up to 0.5 percentage points for BSU customers and those saving in a savings account plus between NOK 500,000 and NOK 2 million in the account, E24 will be informed.
Young people with a BSU account get an interest rate of 4.05 percent, communications director Vibeki Hansen Lewin tells E24.
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This makes the mortgage more expensive
Online bank information
The new interest rates will apply from August 23 to new mortgages and deposits, and from October 6 to existing mortgages and deposits.
All customers who receive a change in interest rates will receive information in the online bank or receive a message in the post about how it affects them, writes DNB.
– It says interest rates will rise by up to 0.5 percentage points. What determines the interest rate you get?
We give a price to each customer individually based on serviceability and risk. You’ll be told which adjustment will apply to you at the online bank, says Lewin.
The bank states that it wants to help young people enter the housing market and thus give first-time buyers the bank’s best floating rate of 2.89 per cent.
Lewin says those who qualify for a so-called green mortgage get the same interest rate.
More increases
A few minutes before the DNB announced its rate hike, Fana Sparebank same message.
Sparebanken reports that lending and deposit rates were raised by 0.5 percentage points.
So does the Sparebanken jacket, Bank Reports Monday.
SpareBank 1 Østlandet and Sparebanken Sør . are also under construction Interest rates on loans and deposits by up to 0.5 percentage points.
SpareBank 1 SR-Bank warns that they Increases the interest rate on mortgages by up to 0.5 percentage points.
On Friday last week, Nordea, as the first bank, raised interest rates on mortgages and deposits by as much as 0.5 percentage points. Then many savings banks followed suit.
New double height
The interest rate increase in banks comes on the heels of the central bank’s rate hike last week.
A clearly higher interest rate is needed to relieve pressure in the Norwegian economy and lower inflation towards the target, Central Bank Governor Ida Walden Bach.
During Thursday’s rate meeting, the Norges Bank raised its key rate by half a percentage point to 1.75 percent and announced another increase in September as well.
Nordea Markets and DNB Markets are expecting a new double rate hike at the meeting in September as well.
– Kjersti Haugland, chief economist at DNB Markets told E24: – Norges Bank has no time to wait and is on the cautious side.
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Nordea is the first bank to raise the lending rate
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