IdesofMarch
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A rate of 3.28% is 1.48% higher than 1.8%.
1.48% is 82/100 of 1.8%
In other words the Irish average rate is 82% higher than the Eurozone average rate.
Yes , this is correct, the banks would tell you that this extortionate interest rate is due to NPL's and associated costs, but the NPL's would, at a maximum, only account for a 15% higher Irish interest rate than the Eurozone average rate. The rest of the money goes into a black hole. In Ireland, the banks also issued a large proportion of covered bonds in respect of these mortgage loans, so the Irish banks were merely the loan originator and servicer and not the beneficial owner of the mortgage loan (whether these mortgages be profit or loss making), so these loans would not impact on profit and loss, the mind boggles!