Variable interest rates on non-indexed housing mortgages increase by 0.25 percentage points (pp), to 7.25%. Variable interest rates on inflation-indexed housing mortgages increase by 0.25 pp. Fixed interest rates on new, non-indexed housing mortgages are unchanged while fixed interest rates on inflation-indexed housing mortgages increase by 0.30 pp.
Premium rates on non-indexed and indexed loans increase by 0.25 pp and overdraft rates increase by 0.25 pp.
Interest on non-indexed savings accounts generally increase by 0.25 pp and interest on general current accounts increase by 0.05 pp.
This interest rate decision follows the interest rate decision of the Central Bank of Iceland from 5 October, when the CBI raised rates by 0.25 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 Wednesday, 12 October 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.
The new interest rate tariff enters into effect on Wednesday, 12 October 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. If a loan (consumer loan or real estate loan to consumers) carries a variable interest rate, the change enters into effect 30 days after the interest rate notification. Interest on loans that carry a fixed rate do not change during the fixed rate period.
