Bank of Ireland increase mortgage rates

Bank of Ireland will be increasing their mortgage interest rates from the 16th of April (Indo article by Charlie Weston here).

We have been advising people for longer than we care to remember to opt for a long term fixed rate if they are on a standard variable (people on trackers should not take the same decision lightly). The move comes as part of an overall shift towards repricing risk and ensuring that margins on loans are appropriate versus the market, the need for operational profit and to act as a buffer towards impairments which are arising as other borrowers who cannot pay fail to meet their mortgage obligations.

The increase will affect both existing and new customers, our guide and opinion is contained in a release we have prepared (click on the image to the left).

The only option presently available in our opinion for people on a variable rate mortgage with Bank of Ireland is to call the bank this week and enquire about getting a fixed rate immediately, the changes only come into effect on the 16th of April, so the window of opportunity is closing rapidly.

New customers are in a bind as the offered rate is based on your closing date, however, for existing customers there are some definite ideas – your variable rate will be going to 3.2% you can lock into a 2yr fixed at 3.15% right now (meaning you’ll be better of instantly), if you choose to opt for longer lasting protection there is still good value in the 5 year price. Bear in mind that this is the ‘first’ and not the ‘last’ margin rate hike you can expect, so don’t be turned off by the short term increase, it may well prove to be the cheapest choice of all!


  1. Danny

    Sorry for the last glitch, hit return key before finished.

    The gist of my question is regarding EBS Fixed Rates, and the announcement from EBS made no ref to a rise in Fixed Rates.

    Is it advisable now to opt for a fixed rate, at current rates, from EBS?

    How long does a fixed rate offer last, in relation to a future drawdown date?

    Hopefully there will not be too long of a delay with drawdown.

    Thanks, Danny

  2. Danny

    Sorry, my first comment is actually lost, apologies.

    It was about my son, who has been offered a 35-yr, 156k mortgage from EBS, which only shows SVR rate.

    Can this be changed to a fixed rate at drawdown?

    Is there any ifno regarding how EBS fixed are going?

    Like we know it’s up, but since there was no mention, can we hope that we will be able to avail of the current 3-yr fixed, which is 3.49%(2.90% apr).

    Regards and thanks,


  3. Rob Maguire

    Best of Luck Karl…

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