The bank is raising the interest rate by as much as 0.25 percentage points, justifying this with the latest rate hikes from the Bank of Norway.
The interest rate change applies from March 1 for existing customers and January 17 for new customers.
After the rate increase, we will still have low interest rates, and the best effective interest rate will be 1.84 percent on mortgages and 1.74 percent on overdrafts, says Spankin’s Managing Director Ovind Thomassen.
The interest rate on deposits will be raised at the same time by up to 0.15 percentage points from March 1, 2022.
The deposit rate does not necessarily follow the lending rate – neither when it is up nor down. We and other banks lowered our mortgage rate more than our deposit rate in 2020 to support our customers at the start of the coronavirus pandemic, Thomassen wrote in a statement to E24.
The rate adjustments come after Norges raised its key rate in September and December of last year. At the time, Sbanken had already promised its customers not to raise mortgage rates in 2021.
The promise came after several Sbanken customers spoke out against DNB’s takeover of the bank. DNB announced the offer last spring, and several customers staged a bid to stop the takeover.
In November, the Norwegian Competition Authority decided to halt the acquisition of DNB. The big bank has since complained about this. It will be considered by the Competition Appeals Board, which is expected to make a decision by March 18 this year.
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