Swiss authorities reveal costs of Credit Suisse lifeline

[superadmin]

ZURICH: Switzerland’s 250 billion Swiss franc lifeline thrown to Credit Suisse and UBS could cost them more than 10 billion francs (US$10.95 billion) in interest if used in full, Reuters calculations based on official data showed.

Credit Suisse will pay an interest rate equal to the current Swiss National Bank’s policy rate of 1.5% plus 0.5% for access to the emergency liquidity assistance (ELA) scheme, the central bank said today.

The facility requires loans to be covered by collateral in the form of mortgages and pledged securities.

- More -

[JeemVL]

Thanks for sharing

[WeyanGe]

Wow, those are some significant costs for Credit Suisse and UBS. It's important for banks to have access to emergency liquidity assistance, but the interest rates can add up. It's fascinating to see how collateral in the form of mortgages and pledged securities is required for loans. It's a complex financial landscape. Thanks for sharing this information!  Also, if you are considering getting a mortgage, I suggest contacting Mortgage Broker in Brough to find the best option. Good luck!