Demerara Bank cuts loan rate, slashes fees

Demerara Bank has announced a major reduction in its Home Loan interest rate, now offering a competitive five per cent rate for loan amounts up to G$30 million.

The bank, in a Facebook post, said that this initiative is part of its commitment to making homeownership more accessible and affordable for families across Guyana.

Along with the reduced interest rate, the bank is also providing several added benefits to ease the financial burden on borrowers.

These include a 50 per cent discount on attorney fees, the elimination of processing fees, and a full waiver of site inspection fees.

“These measures are aimed at reducing the overall cost of securing a home loan and providing meaningful financial relief to prospective homeowners,” the bank said.

The announcement by Demerara Bank came days after a similar announcement by President Ali, while speaking at a labour brunch at State House on Sunday.

The President indicated that he instructed that the New Building Society (NBS) mortgage lending limit be increased from $20M to $30M, while maintaining a low interest rate of five per cent to ensure easier access to homeownership.

In 2021, the mortgage ceiling for the NBS was moved up to $15 million after the approval was made in that year’s budget. The limit before then was $12 million.

President Ali had stated at the time the government’s firm conviction that homeownership is perhaps the single most important achievement for almost every family, and that acquiring one’s own home will perhaps for many be the single most important investment made in their entire life.