SpareBank 1 SMN to raise interest rates by up to 0.25 percentage point

In line with Norges Bank's decision to raise the base rate, SpareBank 1 SMN is to raise its interest rates on mortgages and deposits by up to 0.25 percentage point. Green first-home mortgages will be the bank's cheapest ordinary loan at 1.60 per cent.

The background for the interest rate change is the decision by Norges Bank (Norway's central bank), taken at its interest rate meeting on 16 December, to raise the base rate. This affects the cost of the money that the banks borrow in order to lend to their customers.

"It was expected that Norges Bank would increase the base rate again in December, from a historically low level. Despite the increase in Covid19-cases, the interest hike is a sign that the Norwegian economy is doing well", says Nelly Maske, executive director at Retail Banking, SpareBank 1 SMN.

SpareBank 1 SMN will raise the rate in line with the change from Norges Bank, but will simultaneously facilitate with god help and advice to those who experience a tougher economic situation due to the restrictions in the national guidelines in relation to the pandemic.

"We have advisors that are ready to aid and advice customers across our region. We have also reinstated the advance payments of unemployment benefits and offer instalment free mortgage payments to those temporarily laid-off. These are measures we know are important for customers in a vulnerable situation”, says Maske.

All customers whose interest rates are now changing will next week receive information on what this means for their mortgages. For existing borrowers the rate change will become effective on 2 February 2022, and for new borrowers on 22 December 2021.

Trondheim, 17 December 2021

Contact persons at SpareBank 1 SMN:

• Executive Director, Retail Banking, Nelly Maske on +47 901 38 380 / nelly.maske@smn.no
• Head of Corporate Communications, Eirin Sørensen Røkke on +47 452 58 536 / eirin.sorensen.rokke@smn.no

Press photos: https://www.flickr.com/photos/sparebank1smn/albums

This information is subject to the disclosure requirements pursuant to Section 5-12 the Norwegian Securities Trading Act