Tesco Bank to Increase Interest Rates for Savings and Mortgage Customers

Tesco Bank is to increase its underlying standard interest rates for savings and it’s Standard Variable Rate (SVR) for mortgages by 0.15%.  The Bank’s decision to apply the increase to both savings and mortgage products reflects its desire to treat customers equitably and fairly.

Benny Higgins, Chief Executive of Tesco Bank said:

“We have consistently offered savings and mortgage customers some of the most competitive rates on the market. Following the Bank of England’s decision last week, we know savings customers expect us to help them by increasing interest rates.

“It is, however, critically important that we balance the needs of our savers with those of our borrowers and we have carefully considered how this change will affect our mortgage customers. We believe our approach of increasing rates for both savers and mortgage holders is equitable and fair in balancing the interests of customers.”

Tesco Bank’s underlying standard interest rate for savings products will increase by 0.15%, offering customers one of the most competitive underlying rates available. The Bank’s Standard Variable mortgage rate will increase to 4.04%, 0.27% below the market average rate of 4.31%*.

Tesco Bank savings customers’ interest rates will increase on 1st December, with mortgage customers being notified in advance of their rate increasing on 1st February.

For more information on Tesco Bank please visit: http://www.tescobank.com.