KBC Bank has cut its three and five-year fixed mortgage rates by 0.2% and 0.3% respectively, starting the three-year range from 2.25% and the five-year from 2.4%.

These lowest rates will apply where the loan to value ratio is 60% or less, with higher rates where the LTV exceeds 60%.

The bank says the savings can be substantial. For example, a customer with a €250,000 mortgage and a LTV of 85% who selects the five-year fixed rate of 2.5% will make an interest saving of €2,210 over the five years, around €43 per month.

Head of mortgages Conor McGowan said: “We recorded new mortgage lending of €1,122m in 2019, the highest since 2013. In addition to this our market share increased to 11.8% in 2019 and our mortgage applications are up 11%, so we know that our competitive offering is resonating with consumers.”

The bank has also extended its switcher offer for customers moving their mortgage to KBC. Switchers can avail of €3,000 to help with costs associated with switching, should they move their mortgage to KBC before June 30. In addition, new mortgage customers can get a 25% discount off KBC Home Insurance for one year.

In Association with

There is also a discount of 0.2% off the lending rate where customers mandate their salary be paid into their KBC current account from which their mortgage is also repaid.