AIB announces mortgage interest rate cuts

AIB has cut the interest rate it offers on some fixed-rate mortgage products by 0.25 per cent.

The changes apply to the bank's five-year green fixed mortgage rate and its four-year fixed mortgage rate for all customers borrowing €250,000 or more.

The cut, which follows the decision by the European Central Bank to cut rates earlier this month, brings the interest rate on the green mortgage to 3.2 per cent, and the four-year fixed rate to 3.7 per cent.

Green mortgages can be applied to properties that have a BER rating of A1 to B3, and can also be applied to self-build properties with more than five years left on the mortgage term.

The new rates come into effect from Friday, September 27th. It is the third time AIB has cut interest rates this year.

AIB also said it has extended its Approval in Principle period from six to 12 months to give customers more time to find and buy their new home.