Bank of Ireland offers lower rates for ‘green’ customers

Discounts of up to two percentage points available for loans and mortgages used for green purposes

Bank of Ireland will offer discounts of up to two percentage points on green loans. Photograph: Aidan Crawley/Bloomberg

Bank of Ireland will offer discounts of up to two percentage points on green loans. Photograph: Aidan Crawley/Bloomberg

 

Prospective borrowers seeking a mortgage on an A-rated home, those looking to upgrade the energy rating of their property or a businesses planning on implementing energy-saving initiatives will all benefit from lower rates at Bank of Ireland under a new “green loans” scheme.

The State’s largest domestic bank by assets has introduced a suite of products that include interest rate discounts for borrowers buying or building energy efficient homes and a green home improvement loan for energy efficient retrofits.

Businesses, including farmers, will also benefit from reduced rates for investment in energy saving improvements.

Borrowers can receive a 0.2 per cent discount on any of the bank’s fixed interest rate mortgage options. On the green home improvement loan, the bank is offering discounts of between 0.3 per cent and 2 per cent, depending on the loan amount.

And for businesses, the bank’s loan gives a 0.5 per cent discount off the margin the bank applies to the small business rate up to a maximum of €300,000.

“The Sustainable Finance Fund and the first of its new products announced today are designed to practically support our customers’ transition to a more energy efficient and sustainable future,” said Gavin Kelly, chief executive of retail Ireland at Bank of Ireland.

The green mortgage interest rate and the green home improvement loan will be available from Thursday while the Green business loan will be available from July 24th.