Ban banks' list rates on mortgages

The Social Democrats want to increase the pressure on the banks to lower their mortgage rates. Among other things, they want to ban the banks' so-called list rates on home loans.

» Published:

Ban banks' list rates on mortgages
Photo: Jonas Ekströmer/TT

Share this article

Today, the banks are trying to make it unnecessarily complicated for households to understand why they are getting a certain interest rate, says Mikael Damberg, economic policy spokesperson for the Social Democrats.

This would put customers in a completely different negotiating situation, he says about the proposal.

The list rate is the interest rate that banks market, but in practice, it often lies far above what the average customer actually pays, since many negotiate a lower rate.

For the bank customer, it is often difficult to understand how the list rate is actually calculated and how good a discount they may have received. If banks instead work from average rates, it will be clearer for the customer, according to the Social Democrats.

Earlier this fall, the Swedish Consumers' Association and the Swedish Homeowners' Association also demanded that list rates be prohibited. Their argument was that the only purpose of list rates is to make customers believe they have received a good discount. They referred to the fact that constant sales are prohibited in retail and that the same should apply to banks.

The Social Democrats also want to make greater use of state-owned SBAB to put pressure on the banking market. For example, by giving the bank the opportunity to provide payroll accounts, which would increase competition on the banking market, believes the Social Democrats.

Tags

Author

TTT
By TTEnglish edition by Sweden Herald, adapted for local and international readers

More news

China Urges Tech Giants to Halt Nvidia AI Chip Purchases

China Urges Tech Giants to Halt Nvidia AI Chip Purchases

Jerry Greenfield Departs Ben & Jerry's, Citing Silencing by Unilever

Jerry Greenfield Departs Ben & Jerry's, Citing Silencing by Unilever

Avanza Introduces Digital Trading on London Stock Exchange

Avanza Introduces Digital Trading on London Stock Exchange

Uber Introduces Safari Tours in Kenya's Nairobi National Park

Uber Introduces Safari Tours in Kenya's Nairobi National Park

Swedish Inflation Expectations Rise Slightly in Latest Survey

Swedish Inflation Expectations Rise Slightly in Latest Survey

Sweden's Unemployment Rate Stays High in August

Sweden's Unemployment Rate Stays High in August

Stockholm Stock Exchange Sees Cautious Rise

Stockholm Stock Exchange Sees Cautious Rise

Verisure Returns to Stockholm Stock Exchange with Major Listing

Verisure Returns to Stockholm Stock Exchange with Major Listing

Oracle and Partners to Acquire TikTok's US Operations

Oracle and Partners to Acquire TikTok's US Operations

Taco Bell to Open First Sweden Location in Stockholm Winter 2025

Taco Bell to Open First Sweden Location in Stockholm Winter 2025

Retail Outlook Brightens as Consumer Spending Set to Boost Economy

Retail Outlook Brightens as Consumer Spending Set to Boost Economy

SBAB Predicts Stable Housing Prices Despite Autumn Interest Rate Cut

SBAB Predicts Stable Housing Prices Despite Autumn Interest Rate Cut

Asian Stock Markets Open Mixed Amid Fed Rate Cut Speculation

Asian Stock Markets Open Mixed Amid Fed Rate Cut Speculation

Microsoft Announces $30 Billion Investment in UK Cloud and AI Infrastructure

Microsoft Announces $30 Billion Investment in UK Cloud and AI Infrastructure

US Stock Market Sees Slight Decline Amid Retail Sales Data

US Stock Market Sees Slight Decline Amid Retail Sales Data

Trump Extends TikTok Deal Deadline to December 16

Trump Extends TikTok Deal Deadline to December 16

NHTSA Investigates 174,000 Tesla Cars Over Door Handle Issues

NHTSA Investigates 174,000 Tesla Cars Over Door Handle Issues

Ford Cuts 1,000 Jobs at Cologne Factory Amid Weak Electric Car Demand

Ford Cuts 1,000 Jobs at Cologne Factory Amid Weak Electric Car Demand

Swedish Households Shift from Borrowing to Diverse Savings Strategies

Swedish Households Shift from Borrowing to Diverse Savings Strategies

German Investor Confidence Surges Unexpectedly in September

German Investor Confidence Surges Unexpectedly in September