Butterfield Adjusts Rates On Deposits & Loans
The Bank of Butterfield announced that, in step with today’s 25 basis point increase in the US Federal Funds Rate, the Bank is adjusting its interest rates on fixed-term deposits and loans.
Deposit Rates
“To provide customers with the opportunity to earn higher returns on Bermuda dollar and US dollar deposits, rates paid on fixed-term deposits with terms of 90 days or more will increase by 0.25%. Changes will be effective 1 October 2018, and detailed deposit rate information will be available online and at Butterfield Banking Centres shortly,” a spokesperson said.
Loans and Mortgages
“The base rate for Bermuda dollar residential mortgages and consumer loans will increase by 0.25% to 5.25%. The base rate for Bermuda dollar corporate loans and USD loans will increase by 0.25% to 5.75%.
“The rate increase on loans takes effect 1 October 2018. The rate increase on Bermuda residential mortgages will take effect on 28 December 2018.
“Butterfield offers both fixed rate mortgages, under which rates can be locked in for specified terms, and floating rate mortgages on which payment amounts may change in step with base rate adjustments.
“With respect to the rate adjustments announced today, qualifying floating rate mortgage holders may opt to maintain current payment amounts by extending mortgage terms up to seven years beyond the current maturity date. For information regarding rates and payment terms, customers should contact the Bank’s Consumer Credit department on [441] 298 4799 or their relationship managers.”
That one was long over due .
The borowing public was having it far too good for a long time , seen all the new cars lately .
Seniors have to pay cash, even with having a truck load of collateral.
Some seniors will get a slight boost to their income that is untill the retailers and utilities get their hands on it.
Equally the lending depositors that is you and I were getting the rough end of the stick , even with
0.25 % you will not be “Dancing with the Stars”.
I am still waiting for something wonderfull to happen to this island.
Burt said he’s going to make things cheaper!! Ha ha ha!!!
I’m waiting to hear Premier Burt’s solution.
Why are the banks still charging the +2%?
Why are my expat coworkers given a housing allowance due to the high cost of living here, but are still able to buy properties in their homeland and take advantage of very low interest rates?
In Canada they can get a fixed rate of less than 4% or variable around 3%.
These increasing rates are crushing many locals who haven’t seen pay raises in 5 or 6 years.
The US is using higher rates to cool down their economy….. we need the exact opposite.
Bntb should be ashamed at the deposit rates they offer. There is too much of a spread in rates between deposit and borrowing. Deposit rates are not yet high enough to attract my money!!