Nordea logotype

Printed by user 2012.05.21

Nordea Prime-interest (base interest)

Nordea Prime-interest (base interest) shall be as follows:

  • the level of prime-interest is determined by the Management Board decision of Nordea Bank
  • the Management Board determines separately the EUR-prime and the EEK-prime for loans taken in euros and in kroons, respectively
  • the EUR-prime is determined giving as much consideration as possible to the EUR-prime interest level and the moment of changing the rate at Nordea Finland
  • the EEK-prime is determined according to the principle that if there is no reason for setting a different rate, the kroon and euro loan primes will be on the same level
  • the value of prime-interest is affected by the current level of short-term and long-term money market interest rates, regulatory environment and interest level expectations, inflation projections and the overall economic development trends
  • the bank gives at least 14 days prior notice of the increase of the prime-interest rates
  • the prime-interest rates are primarily meant to be the base interest rates for private long-term loans (e.g. housing loans)
  • the prime-interest follows the market situation at moderate pace, offering a more stable interest rate fluctuation compared to that of the money market interest rates; the prime-interest also allows loan schedules to be changed more flexibly and premature repayments to be made