The Bank of Cyprus has made significant progress in implementing measures designed to alleviate financial pressures on its customers, particularly through reduced charges and lower interest rates.
According to the bank, nearly all the commitments announced have been fulfilled, with additional initiatives underway.
As of January 10, the bank has introduced a series of subsidies and grants aimed at various customer groups.
Among the measures is a one per cent interest rate subsidy for housing loans under the government’s housing subsidy scheme for young couples and young people up to the age of 41.
This subsidy applies to fixed-rate loans for three years, reducing rates from 3.60 per cent to 2.60 per cent for contributions exceeding 30 per cent and from 3.65 per cent to 2.65 per cent for contributions below that threshold.
Beyond the three-year period, the agreed terms at the time of loan approval will apply.
Additionally, the same one per cent subsidy is available for housing loans under the government’s mountainous, remote, and disadvantaged areas revitalisation scheme, with identical rate reductions and conditions.
The bank has also allocated €100 million for housing loans aimed at first-time buyers acquiring properties valued up to €350,000.
These loans feature a fixed interest rate of 2.85 to 2.90 per cent for three years, depending on the borrower’s contribution.
Beyond this period, the bank continued, agreed terms at the time of loan approval will again take effect.
For small businesses, 5,000 loans of up to €5,000 are being offered with a preferential fixed interest rate of three per cent over five years, specifically for energy or digital upgrades.
Similarly, 5,000 personal loans of up to €5,000 at the same rate are available for homeowners seeking energy upgrades, such as installing photovoltaic systems.
This initiative is targeted at existing, up-to-date borrowers with housing loans from the Bank of Cyprus.
In terms of charges and fees, the bank has implemented measures to support older customers aged 65 and above.
These include free opening of standing orders, cash withdrawals at bank counters for basic payment accounts, and zero fees for utility bill payments, whether conducted electronically or in person.
Meanwhile, the Bank of Cyprus is also preparing to roll out a borrower reward scheme by late January or early February.
The scheme will benefit responsible borrowers with variable-rate housing loans linked either to the European Central Bank (ECB) Base Rate or to Euribor, provided these loans were issued before September 30, 2022.
The bank said that this reward will provide a 0.5 per cent interest rate reduction for the period from June 30, 2024, to December 31, 2024.
In addition, customers will have the option to receive their reward as either loyalty points or a direct cash credit to their bank accounts, with a 15-day selection period available via the bank’s mobile app.
Elsewhere, the bank said that the installation of new ATMs is another priority, with implementation set to be completed by the first quarter of 2025.
The bank has prepared plans for ten community locations, ensuring the necessary infrastructure and security measures are in place.
These ATMs, provided by JCC, will serve customers of all banks without fees for retirees over 65, aligning with previously announced support measures.
