Image ICS Mortgages announces increase to fixed rates for new customers

The announcement from ICS Mortgages will see some of the lowest fixed rates in Ireland go up.

ICS Mortgages announced last Monday that its fixed mortgage interest rates for owner-occupier loans are increasing. 

The new rates came into effect immediately, with the increases emerging as a result of the surge in global inflation.

Before we review the changes occurring, let’s have a reminder of who ICS is.

About ICS Mortgages

ICS Mortgages, originally known as the Irish Civil Service Building Society, is a non-bank lender operating in Ireland. The company has been in operation since 1864 but was acquired by Dilosk, an Irish financial services company, in 2014.

ICS Mortgages is known for having some of the lowest interest rates on the market and specialises in residential mortgages and buy-to-let lending. 

New fixed rates on offer

Last Monday, ICS announced increases to a range of fixed interest rates, which are applicable to new applicants. Rates impacted will be 3 and 5-year fixed rates, and changes can be seen in the table below.

Those who are currently on a fixed rate with ICS won’t be impacted by this change, and variable rates on offer, which start at 2.45%, are set to stay the same. 

The changes also won’t affect those who have an existing loan offer under agreed terms from the lender. 

New rates available from 14th March

Loan-to-Value (LTV)

Variable

3-year fixed

5-year fixed

<60% 

2.45%

1.95% 2.25%

1.95% 2.40%

<70%

2.45%

2.10% 2.30% 

2.10% 2.45%

<80%

2.70%

2.20% 2.45%

2.20% 2.60%

<90%

2.70%

2.35% 2.55%

2.50% 2.69%

The global mortgage market

Speaking of the increases Ray McMahon, Chief Commercial Officer at ICS Mortgages, said: 

These fixed-rate increases reflect the significant upward pressure on the cost of financing fixed interest rate products in the international markets.

This is a result of considerable rate movements in capital markets due to inflationary pressures being felt across Europe and globally.

McMahon also stated that ICS Mortgages remains committed to offering competitive mortgages in the Irish market, and will continue to review its position on fixed interest rates regularly. 

The European Central Bank 

With inflation on the rise, there’s been much talk of interest rates increasing. 

Financial markets are predicting an increase in rates by the European Central Bank (ECB) from the middle of this year. However, in reality, interest rate increases are likely to be small and gradual. 

In fact, some lenders are defying the odds. Just last week, Bank of Ireland announced that it was lowering its 4-year high value fixed-rate green mortgage rate

You can learn all about the prospect of rising interest rates in this blog, which delves into potential implications for Irish households

Compare mortgage rates on bonkers.ie

Whether you’re a first-time buyer or a mortgage holder looking to switch to avail of a better rate, we’re here to help.

Our mortgage comparison service allows you to compare and review the best interest rates on the market for your particular circumstance from all of Ireland’s mortgage lenders, including ICS Mortgages. 

When you’re ready to apply for your mortgage, you can submit an online enquiry through our free mortgage broker service. One of our qualified financial advisors will be in touch to get your application started.

Our mortgage service is just one of many comparison services we offer at bonkers.ie. We’ve made it easy for you to compare deals and prices for energy, broadband, banking products and insurance types

Helpful mortgage articles

We have a range of helpful mortgage articles that will aid you on your mortgage journey: 

Don’t forget to check out our mortgage blogs and guides, which will help you make an informed decision.

Get in touch with us

Do you have any questions about the changes announced by ICS Mortgages? If so, let us know and we’d be happy to help! You can contact us on  Facebook, Twitter and Instagram.