Audio By Carbonatix
Commercial banks seem to have stepped up their efforts to appeal to borrowers as the most attractive lenders.
So much so, that none of the 26 banks emerged as the overall most attractive lender in the latest Annual Percentage Rates released by the Bank of Ghana.
The APRs, released regularly by the Central Bank can be likened to a beauty contest of the actual interest rates banks charge on loans, including some of the hidden charges that would not be so obvious to a borrower.
Joy Business News Editor Israel Laryea who has been analysing the latest APRs applicable as at the end of January, says although Ecobank, offered the best rate of 24.52 to businesses into agriculture, manufacturing and construction, Standard Chartered Bank at 25 percent, gave the cheapest rate to those into commerce.
Both banks were however not so attractive with individual borrowers as they were beaten to it by others. With personal loans, individuals seeking mortgages are better off at UBA where the rate is 24.63 percent.
Vehicle loans are best contracted at Access Bank where the rate is 25.55 percent whilst Guaranty Trust Bank offered the cheapest consumer credit loan at 26 percent.
The latest APRs however reveal interest rates are still quite high despite the apparent keen competition. Average interest rates are still around 30 percent even though the banks are paying an average of just about 8 percent on deposits.
The National Investment Bank paid the highest interest on deposits at 11.97 percent, making it the best bank for both individuals and businesses to keep their monies.
The Bank of Ghana sees the regular publication of the APRs as a tool to inform borrowers about prevailing rates as a way of putting pressure on the commercial banks to reduce their interest charges.
The rates stated in the report are however not cast in stone and individuals are likely to get even better rates depending on their profile and their ability to negotiate their way with the banks. So go out there and get yourself a good deal using these rates as a guide.
Source: Joy Business/Ghana
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Tags:
DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.
Latest Stories
-
All Big Push contractors paid, projects on track – Roads Minister
1 minute -
Photos: Mahama meets CSOs on accountability, anti-corruption and governance
6 minutes -
Big Push prioritises precision, quality and value – Roads Minister Agbodza
13 minutes -
Big Push agenda targets local contractor development – Agbodza
19 minutes -
Between memory and partnership: Ghana’s moral test on reparatory justice
23 minutes -
“OSP has always lacked the opportunity to speak” – Samuel Appiah-Darko
23 minutes -
Local experts unlock pension capital as Ci Gaba Fund raises GH¢380m to finance SMEs
26 minutes -
US gas price tops $4 for first time since 2022
29 minutes -
I won’t answer for bypassed transactions—Interior Minister warns security heads amid GNFS probe
30 minutes -
48-hour curfew imposed after attack on bar in Nigerian city
32 minutes -
OSP has performed creditably despite constraints – Edem Senanu
34 minutes -
Trump tells the UK and other countries ‘go get your own oil’ from Strait of Hormuz
55 minutes -
Black Stars and the Art of Sacking: When the Coach Must Always Go First
1 hour -
Ghana to roll out digital maps under new land sector reforms
1 hour -
Ghana not fully ready for World Cup – Sports Minister
1 hour
