Variable interest rates on non-indexed housing mortgages increase by 0.50 percentage points (pp) to 4.70%. There are no changes to fixed rates on non-indexed housing mortgages. No changes are made to interest rates on indexed housing mortgages, either variable or fixed.
Prime rates on non-indexed lending increase by 0.50 pp while prime rates on indexed lending are unchanged. Variable rates on non-indexed vehicle and equipment financing loans increase by 0.50 pp. Overdraft rates increase by 0.75 pp.
Interest on non-indexed savings accounts increase by up to 0.75 pp, interest on fixed rate accounts increase by up to 0.60 pp and interest on general current accounts increase by 0.10 pp.
This interest rate decision of Landsbankinn follows the rate hike of the Central Bank of Iceland on 9 February, when the CBI raised rates by 0.75 pp. Interest rate changes also have regard for market rates and other financing terms of the Bank.
Landsbankinn's new interest rate tariff enters into effect on Thursday, 17 February 2022. Changes to interest on loans governed by the Act on Consumer Loans or the Act on Mortgage Lending to Consumers enter into effect in accordance with notifications sent to customers in online banking.
