Santa Clarita Living » ECB Rate http://santa-clarita-living.com Loan And Mortgage Information Fri, 03 Sep 2010 01:04:13 +0000 http://wordpress.org/?v=2.9.2 en hourly 1 ING proposes mutual tied to the cost of money http://santa-clarita-living.com/banks/ing-proposes-mutual-tied-to-the-cost-of-money http://santa-clarita-living.com/banks/ing-proposes-mutual-tied-to-the-cost-of-money#comments Sun, 12 Oct 2008 16:29:47 +0000 admin http://www.santa-clarita-living.com/?p=16 Ing has created a new product for those who need to purchase a home.
The loan will be linked to changes of no more Euribor, but at the cost of money dictated by the ECB.

Since 1 January with the new legislation Tremonti all banks will have to adapt and create a product that is based on this rate.

Unfortunately for the banks, the risk is greater and consequently the spread salt.

This is the case of Poste Italiane and on mutual bce apply a spread equal to 2.25%, compared with 1 .25% of loans linked to euribor. The same fate with Intesa-Sanpaolo, which revealed a spread of 2.15% on loan bce, against an average spread of 1.5% on loan euribor.

As often happens, the situation does not change much.
Also finished this period of low interest rates, the cost of borrowing will start the ascent.
So where is the convenience?
The rate stability.
While the Euribor interest is quite volatile, which has rapid ups and downs, the ECB rate is more balanced.
We choose the rate to go by.

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