CIBC First Caribbean International Bank has launched a new mortgage package which offers a 5.99 percent interest rate for first time home owners.
This promotion which will run from September 18, 2012 to November 30, 2012 was launched on Tuesday morning at a CIBC First Caribbean International Bank press conference.
The interest rate is fixed for three years for new construction or construction already in progress. The loan will attract a rate of 6.99 percent during the construction phase which is limited to 12 months. Customers will also receive 50 percent off the commitment fee, a pre-approved CIBC First Caribbean International Bank Visa credit card or debit card and free mobile telephone and internet banking. It is valid only on new construction or construction already in progress.
Operations and Retail Manager at CIBC Marie-Therese Winston- Charles described the package as exciting and competitive.
“We expect that with this offer we will play our part in efforts across various sectors of our country at stimulating the economy through providing a boost to the construction sector,” she said.
According to her, the bank hopes to stimulate the construction industry and provide assistance to land developers. It also aims to facilitate those citizens thinking of an investment in a home for the first time particularly those who would not have qualified for a mortgage before. “We are also thrilled about what this initiative means particularly for the considerable workforce within the construction sector,” Winston-Charles said.
Country Manager Paul Frampton said he hopes that this mortgage campaign will boost the number of mortgages at the bank. He revealed that the number of mortgages in comparison to last year has dwindled and mortgages account for 45 percent of the bank’s revenue.
Frampton said he hopes that this offer will encourage persons to move their mortgages to CIBC First Caribbean.
This is good news indeed! In addition, this is an opportunity for those who are planning of buying a house to fulfill their desire.
so my comments are deleted and all i said was that this initiative is also in the other OECS territories?
Hurray CIBC Shame on NBD. NBD don’t care about it’s poor customers They are about who voting who and who sleeping in Bed with who.When my Bopeh started that Bank it was for the poor Now I wonder ????????/ FCIB I just hope that you all keep your promises and continue to work with the poor In D/ac it is all about serious and strong comepition where only the strong survive May God bless the commonwealth of Domininica.
Hurray NBD is one Bank that doesn’t care shit about it’s poor customers when my bopeh started that bank it was for the poor.NBD and a few other banks is for who voting who, who in bed with who.
All we need in D/ca is serious strong competition.. I just hope that this bank delivers on its promises.God bless the commonwealth of D/ca
Note that the reduced rate is only for 3 years! And this is how the foreign banks catch unsuspecting customers. Scotia Bank has been doing this for years. Ask CIBC what the interest rate will increase to after the first 3 years are up??? Dominicans open your eyes and your minds and don’t fall for these marketing gimmicks. Isnt it better to get a mortgage for 20 years at 7.25% as opposed to getting one with the first 3 years at 6% and the remaining 17 years at 8%???!!!
That’s my question as well. Having said this I can say from experience that NBD customer service is zilch despite what their surveys show. They do not care about customers. This is one of the reasons our people rather gravitate to these other institution where they obtain better customer service and are made to feel valued.
You make a very valid point. Indeed, it would better to get a mortgage for 20 years at 7.25% as opposed to getting one with the first 3 years at 5% and the remaining 17 years at 8%.but this is only an assumption you are making. You are not sure what the future rate will be under the arrangement of CIBC.
Secondly, it may well be a marketing ploy by CIBC but that is what businesses do in a competitive business environment. Do you also consider that one could save a lot of money on a difference of 3.5% on a mortgage over a three year period- after which one may elect to move to another bank where the interest rate is lower over the rest of the life of the loan?
This does not take away from your point however. I also do not think that it takes away from mine that NBD can do a lot more as the national bank to stimulate spending and investment in the economy. It could consider reducing its prime interest on loans across the board by 05-2% for example, particularly for loans to the business community and the productive sector in order to assist them in their job creating efforts.
Respectfully
Roseau Valley
It is a good thing for Da’s who reside there but what about the natinals abroad who would also like to purchase property in DA.
Unfortunately, the banks do not consider Dominicans living abroad as nationals. They demand much more stringent conditions for nationals living abroad than those residing in Dominica when a request for a loan to purchase property. This seems very unfair and counter productive.
If you are in the first world, use should be able to take second mortgages in your country of residence to build in Dominica. The Rates in Dominica as high. 5.99% is still almost double the rates n the USA currently.
I say save your money in Dominica, and take your loans abroad if you can.
Offcourse only Dominicans with second citizenships or permanent residencies else where could do this.
We know that the business of banks is to make money off of your money or loans. You have to have the income to back it up.
Correction:
Interest rate is fixed for only 3 years, which means it could sky rocket to 9 percent from the 4th year and this is what a customer signs to. This is reality.
5.99% for thefirst three years. what’s the rate after that? additionally, this initiative isn’t limited to Dominica. It is all across the OECS
Congratulations to CIBC…Shame on NBD
When I first heard of this news, I shivered. I was so proud of the management of CIBC for being so progressive in its thinking as a good corporate citizen in Dominica. But immediately a dark cloud of disappointment slowly came over me as I realized that such an initiative could not and did not originate from our own indigenous National Bank.
Every year we hear reports of the tremendous profits of NBD, which are not shared with the shareholders. We hear of debt of large companies that are written off – no questions asked.
We listened and analyzed the last budget presentation by the Prime Minister and some of us questioned the extent to which the banks would be willing to do something to help stimulate more economic activity in the current economic situation. We heard nothing from NBD.
Sometime last year, a Dominican Manager at Scotia Bank, allegedly awarded a business loan or mortgage to one of the government’s supporter in Portsmouth at a significantly reduced rate and Mr. Lennox Linton called on the bank to do the same for everyone. He asked NBD to consider doing the same and nothing was done.
During the 3 day Shop-Dominica initiative of the DAIC, many people begged our local banks to participate in some fashion in order to help stimulate spending in the economy but NBD did not come forward.
All we hear of NBD is its heavy investment in all sorts of foreign schemes, huge profit making on the backs of the people, great liquidity and large reserves to facilitate increased lending, recovery of the poor peoples property used as collateral, and the firing of workers etc but no one wonders why such good news do not come from the NBD.
This initiative will have a rippling effect in our economy. It is such initiatives that kick in the multiplier effect in the economy and will stimulate not only the construction sector but all other industries that form part of the economic linkage.
Roseau Valley is very proud of the management and staff of CIBC for being a good corporate citizen. Shame on the Board and management of NBD! The DIAC must speak about this and present CIBC with an award.
Respectfully
Roseau valley
wait a minute, to me the news piece was on FCIB, why NBD getting all the blows?? Are they the only bank?? Stop commenting on what you don’t know about
Why do donkeys like choose to enter horse race. Don’t you realize the brillance of the comparison that Roseau Valley is making.
RV is too smart and analytical for you. Understand what the person is saying.
Hmmmm, I respect your point of view, albeit you appear to be clueless. Luckily for me, when I submit comments on DNO, I always make allowance for those who are intellectually challenged and understand the need to be tolerant to ignorance.
I assume that Hmmmm was just thinking aloud for help in trying to make sense of something that is way above her simple mind and submitted her comment in error.
Nevertheless, I thank hmmmm for letting us know of her limitation in grasping simple concepts.
Of course, the article is about CIBC First Caribbean International Bank. I did not miss that fact. I congratulated F/CIBC but in so doing it was also my intention to chide NBD- our own indigenous bank for what I thought has been a lack of ingenuity and resourcefulness in coming up with similar initiates to help stimulate the economy.
Why is it that you all only want to read what those with Bsc, BA, Msc, MBA, LLB, LLM etc. and think that those of us without these symbols behind our names do not know what we are taking about? At least I am proud of my commonsense.
I hope you understand Hmmmmmm.
Respectfully
Roseau Valley
if you are a shareholder and the NBD makes “tremendous profits”. How is it not shared with the shareholders. you do know that the Board is elected by the shareholders right? you do know that this Board determines dividend payouts right? you do know that shareholders can simply vote the directors out at the AGM right? once again talk is cheap and free.
Not so simple budman…gov’t has a a lot of influence on who is elected to the board and what role they play on the board. Yes, the board is elected by the shareholders but who has the majority interest has a more powerful say and influence on the management of the bank. It is not so easy to vote the board out, especially if the gov’t wants to keep them. Some of us small shareholders can hardly put in a word at these AGMs. Come on, you ought to know better.
But I respect your views buddy
You may need to check your facts on this part of your submission: “Every year we hear reports of the tremendous profits of NBD, which are not shared with the shareholders. We hear of debt of large companies that are written”. I don’t think this has been the case…relatively speaking, over the past five years.
Noted, but tell me what percentage of the profits do the shareholders get? The rate is very low in any case. But Hmmmm, it is not my intention to be unnecessarily critical of NBD. I am simply very disappointed that NBD as the national bank of Dominica has not been doing more to stimulate the economy in these hard economic times
Apologies if the truth offends.
Roseau Valley you are very much on point with your submissions. NBD makes allowances for who they want and they turn around and are stringent with others under the guise of policy. They continue to improve physical structure while customer care is lagging.
Upon further reflection, I realized that one must be careful with the words “Profit” and “Loss”. Whereas the NBD may not be reporting huge profits of late, we must realize that there is “Operating profits, “Profits before and after taxes” etc.
I firmly believe that NDB is making a lot of “operating profit” on the back of poor Dominicans. However, part of the reason for not reporting these profits may be because of unwise manage decisions such as the large provisions made for wiping away so called bad debts of certain, selected, friendly individuals and companies, and questionable, unwise foreign investments. So yes, the bank is making a lot of money but does not have the foresight to stimulate the economy with its policies and its management practices.
Sorry, if I offend anyone.
Respectfully
Roseau Valley
Now I do not know for sure that this is so but these things usually sound so attractive on mouth and when u go in the number of things they ask u for, sometimes u wish u had just gone with the 7.9 or 9% offered by the banks. They seem to have less stress there.
Hope so… when I come don’t tell me that I have to have half of the money in downpayment….a lot more should be explained..
Why is NBD allowing this to happen in light of historical low mortgage rates.
NBD allows it to happen???? Is is FCIB fault NBD is still leaving in whatever prehistoric era and they do not have the foresight to look out for us the customers? So long our people crying they cannot afford loans at the bank and no one is doing a thing. Each bank waiting to see what they other one is doing. Now I am sure FCIB loosing mortgage customers daily so they need to do something fast….
sounds good..but this isnt a bank one can trust…too many hidden charges. and from the sounds of it, this bank seems to have lost alot of customers over the years because of that.
This is an excellent initiative by CIBC FCIB. I trust that 1st time homeowners will jump at that opportunity and hopefully the other banks will follow suit as well. I note that the interest rate is fixed for 3 years. Are we to assume that it will revert to 7.5% or whatever the mortgage rate is after that period?
that is a good assumption to make.