Variable interest rates on non-indexed housing mortgages increase by 0.75 percentage points (pp), to 7.00%. Variable interest rates on inflation-indexed housing mortgages increase by 0.20 pp. Fixed interest rates on new non-indexed and indexed housing mortgages are unchanged.
Premium rates on non-indexed loans increase by 0.75 pp and premium rates on inflation-indexed loans increase by 0.20 pp. Overdraft rates increase by 0.75 pp.
Interest on non-indexed savings accounts increase by up to 0.75 pp and interest on general current accounts increase by 0.15 pp.
This interest rate decision follows the interest rate decision of the Central Bank of Iceland from 24 August, when the CBI raised rates by 0.75 pp. Interest rate changes also have regard for market rates and other financing terms of Landsbankinn.
The new interest rate tariff enters into effect on Thursday, 1 September 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.