HSBC cuts interest rates

HSBC Bank Malta plc will be reducing its home loan base rate (HMLR) from 4.25 per cent to 3.75 per cent as from Monday as a result of the European Central Bank's rate change.

The HMLR is the base for the bank's variable mortgage lending.

Reflecting the current market conditions, HSBC has also adjusted its base rate for all other lending to 3.95 per cent.

The bank has reduced savings rates in line with the ECB rate cut, with the exception of the HSBC online savings account, which has been retained at three per cent per annum. This is in line with bank policy to encourage use of electronic banking and automated channels.