13/02/2015 14:45
The Cooperatives announced on Friday an interest rate cut on mortgage loans by 1%.
This will apply from March 1, 2015 and will cover mortgage loans that are properly serviced.
According to the announcement, the decision affects positively 34 thousand Cypriot households that keep a mortgage loan in the Cooperatives, which have a market share of over 40% in this category.
“This reduction follows recent significant rate cuts in student and agricultural loans and falls under the wider planning of the Cooperatives for gradual decline in lending rates in order to facilitate customers to repay their obligations and to contribute to the recovery of the economy”, it stressed.
As regards to mortgages in arrears, today's decision provides that there will be a cut of 0.5% in the interest rate once the arrangement is agreed and an additional 0.5% cut once the loan becomes serviced. As in the cases of student and agricultural loans, the incentive is granted in an effort to encourage customers to settle their non-performing loans.
This will apply from March 1, 2015 and will cover mortgage loans that are properly serviced.
According to the announcement, the decision affects positively 34 thousand Cypriot households that keep a mortgage loan in the Cooperatives, which have a market share of over 40% in this category.
“This reduction follows recent significant rate cuts in student and agricultural loans and falls under the wider planning of the Cooperatives for gradual decline in lending rates in order to facilitate customers to repay their obligations and to contribute to the recovery of the economy”, it stressed.
As regards to mortgages in arrears, today's decision provides that there will be a cut of 0.5% in the interest rate once the arrangement is agreed and an additional 0.5% cut once the loan becomes serviced. As in the cases of student and agricultural loans, the incentive is granted in an effort to encourage customers to settle their non-performing loans.
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