KBC Bank enhances mortgage offering for New and Existing Customers

6/29/15

KBC will now offer the lowest variable, 1, 2 and 3 year fixed rates available in the market for new mortgage customers.

KBC Bank Ireland today announced further changes to its current range of competitive mortgage product options for new and existing customers – resulting in significant savings for mortgage holders.  
 
Existing Mortgage Customer Savings 1
Existing KBC mortgage customers on variable rates, regardless of their loan to value, can now choose from a suite of competitive new 2, 3 and 5 year fixed rate options. This follows a move in February by the Bank to offer a 0.20% lifetime discount on all mortgage rates to existing customers, who hold a Current Account with the Bank.
 
This latest move by KBC provides existing mortgage customers with more options to reduce their mortgage interest rate. Customers can opt for a 0.20% lifetime discount on their existing variable rate and can also move to a new suite of competitive fixed rates, with rates as low as 3.90% (with a KBC current account).
 
An existing mortgage customer on a variable rate of 4.50% can save €1,736 in Year 1, and €10,093 over the term of 20 years on a €300,000 mortgage by availing of KBC’s new 2 year fixed rate of 3.90% (with a KBC Current Account).
 
New Mortgage Customer Savings 2
The Bank is also enhancing its overall value proposition for new mortgage customers through introducing a new, reduced suite of variable and fixed rate options, available to all new residential mortgage customers. These new reduced rates provide the best value in the market today, with fixed and variable rates from as low as 3.30% and 3.50% respectively (current account discount included).
 
A new mortgage customer who opts for a variable rate of 3.50% can save €1,041 in Year 1, and €11,334 over a 20 year term  on a €300,000 mortgage by availing of KBCs  new <60% LTV variable rate of 3.50% (with a KBC Current Account).
 
Additionally, customers switching their mortgage to KBC can avail of an increased cash contribution of €2,000 (up from €1,000) for completions to December 2015.
 
Eddie Dillon, Director of Product, KBC Bank Ireland said: “In line with KBCs overall commitment to offer customers real value and choice for their retail banking needs, we have introduced a new enhanced mortgage offering for both our existing and new customers.”
 
“For existing KBC variable rate mortgage customers, KBC is offering choice and flexibility to manage their own interest rate, with options to achieve greater savings on their existing mortgage repayments.”
 
“KBC will now offer the lowest variable, 1, 2 and 3 year fixed rates available in the market for new mortgage customers. We would encourage any customer looking for a mortgage to assess the overall value being offered over the term of their mortgage and ensure they are making real savings. Choosing the right mortgage option will mean customers could save thousands over the life of their mortgage – KBC offers real value in terms of both upfront and lifetime value for customers.”
 
Existing customer and new business rates, and €2,000 offer for new Switchers comes into effect on 1st July, 2015.
 
First Time BuyersMovers and Switchers can also avail of 50% off KBC Home Insurance in year one - this could be worth a saving of €150. 3
 
ENDS
 
For further information contact:
 
Gibney Communications              01 661 0402
Karen Jones                                       086 866 4501
 
Note to Editors:
 
1. Existing Mortgage Customer Savings Illustration:

  • Based on an existing customer variable rate of 4.50% (SVR)
  • Moving to the 2 year fixed rate of 3.90% (with a KBC Current Account)
  • Rolling off to 4.30% variable rate
  • €300,000 mortgage
  • 20 year term remaining

 
€2,000 upfront cash contribution towards legal fees is available to new Mortgage Switchers to KBC only (from 1st July, 2015).
 
2. New Mortgage Customer Savings Illustration:

  • Compared against a variable rate of 3.80% (based on review of market variable rates <60% LTV as at 25th June, 2015)
  • KBC <60% Variable Rate of 3.50% (with a KBC Current Account)
  • €300,000 mortgage
  • 20 year term
  • Include 50% off KBC Home Insurance in Year 1.

 
3. 50% off KBC Home insurance in Year 1 Savings.

  • 150 saving is based on average premium of €300 KBC Home Insurance taken with KBC.