Yellow Belly
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Are lenders passing on ECB cuts on commercial loans? I have a €850k commercial loan with PTSB (mortgage on my business) & the loan repayments increased signifigantly in the last few years with interest rate increases naturally enough. The problem is now that interest rates have tumpled again my repayment havent moved down?
I am aware that most commercial loans are priced off the 90 day Euribor rate, and not the ECB base rate, but even the 90 day rate has fallen signifigantly in recent months & I havent seen any benefit to me. I think I am currently paying approx. 6.5% rate.
Anyone else in similar situation? I feel like I am being squeezed to allow the bank to pass on cuts on residential loans. If the repayments don't come down soon I will be forced to lay off staff, as my expenses are still at their peak, while business is down over 25%- an unsustainable situation.
Any guide re my interest rates would be appreciated.
I am aware that most commercial loans are priced off the 90 day Euribor rate, and not the ECB base rate, but even the 90 day rate has fallen signifigantly in recent months & I havent seen any benefit to me. I think I am currently paying approx. 6.5% rate.
Anyone else in similar situation? I feel like I am being squeezed to allow the bank to pass on cuts on residential loans. If the repayments don't come down soon I will be forced to lay off staff, as my expenses are still at their peak, while business is down over 25%- an unsustainable situation.
Any guide re my interest rates would be appreciated.