When the Swedish Central Bank lowered the interest rate in May, the major banks immediately followed. After Tuesday's interest rate cut, the situation is different – at least for now.
By 4 pm, none of the largest mortgage banks had reacted to the interest rate cut. TT has been in contact with the banks to get a statement on how they intend to act.
"When we have further changes to our interest rates, we will communicate them," is the message from Swedbank's press department.
One that lowers
Some medium-sized mortgage banks have, however, managed to react. Danske Bank has lowered its variable mortgage interest rate by 0.20 percentage points and Nordea by 0.10 percentage points.
Nordea was one of several mortgage banks – including Swedbank – that chose to lower their variable mortgage interest rates last week before Tuesday's expected cut from the Swedish Central Bank.
Christina Sahlberg, savings economist at the comparison site Compricer, believes that the banks will make further cuts:
In May, they made an average cut of 0.23 percentage points. In a week, I think we will have seen a cut in average interest rates.
The fact that today's message was so expected made many banks dare to go ahead of the Swedish Central Bank, she notes, and perhaps thereby get extra media attention. For the banks' part, there is also reason to "divide" the cut into two parts.
It is very expensive for the major banks to lower the interest rate, so every day they can wait, they earn money, because we have such enormous loans with them.
Worse terms
One interest rate change was announced by Swedbank shortly after the Swedish Central Bank's message, namely that their interest rates will be lowered by 0.25 percentage points on savings accounts and 0.10 percentage points on private accounts.
The fact that the banks have previously been quick to raise loan interest rates but slow to raise savings interest rates has been met with criticism. Now, the consumer organization Sveriges Konsumenter wants to see a reversed pattern.
"Now we want the mortgage interest rates to be lowered quickly – and the savings interest rate to remain. Consumers have paid the banks' excessive profits for far too long," says Johanna Hållén, Secretary-General of Sveriges Konsumenter, in a press release.
Christina Sahlberg advises households with mortgages to take the opportunity and play the banks against each other.
It's always good to pit them against each other, but when it's moving this much, it's a good opportunity. The banks are on their toes and they don't want to lose customers.
