BUTTERFIELD ADJUSTS LOAN RATES IN RESPONSE TO FED FUNDS INCREASE, HOLDS MONTHLY LOAN PAYMENTS STEADY
Hamilton, Bermuda—14 December 2016: The Bank of N.T. Butterfield & Son Limited (“Butterfield” or the “Bank”) (NYSE: NTB | BSX: NTB.BH) announced that, in step with today’s 25 basis point increase in the US Federal Funds Rate, the Bank has adjusted its Bermuda Dollar Base Rates on Bermuda Dollar loans.
The Bermuda Dollar Base Rate for residential mortgages and consumer loans will increase from 3.75% to 4.00%, Butterfield’s first rate increase on mortgages and consumer loans in over eight years.
The Bermuda Dollar Base Rate for corporate loans will increase from 4.00% to 4.25%.
The rate increase on consumer and corporate loans takes effect immediately. The rate increase on residential mortgages will take effect on 6 March 2017.
The dollar amount of borrowers’ monthly loan and mortgage payments will not increase, as Butterfield is automatically extending the terms of loans and mortgages to assist customers with the rate adjustment.
Customers who wish to increase monthly payments to maintain the current term of their loans or mortgages should contact the Bank. Personal/Premium Banking customers should contact Consumer Credit on (441) 298 4799. Corporate Banking and Private Banking customers should contact their relationship managers.
Butterfield is not adjusting deposit rates at this time.
No Offer or Solicitation
This news release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
Butterfield is specialist provider of international financial services. The Butterfield Group offers a full range of community banking services in Bermuda, and the Cayman Islands, encompassing retail and corporate banking and treasury activities. The Group variously provides private banking, asset management, investment advisory, residential property lending and personal trust services from its headquarters in Bermuda and subsidiary offices in The Bahamas, the Cayman Islands, Guernsey, Switzerland and the United Kingdom. Butterfield also provides services to corporate and institutional clients from offices in Bermuda, The Bahamas, the Cayman Islands and Guernsey, which include asset management and trust services. Butterfield is publicly traded on the New York Stock Exchange. Butterfield’s share price on the New York Stock Exchange is available on Bloomberg Financial Markets (symbol: NTB). Butterfield is also publicly traded in Bermuda, and its shares are listed on the Bermuda Stock Exchange. Butterfield’s share price in Bermuda is published daily in The Royal Gazette (www.theroyalgazette.com) and is also available on Bloomberg Financial Markets (symbol: NTB BH) and the Bermuda Stock Exchange website (www.bsx.com). Further details on the Butterfield Group can be obtained from our website at: www.butterfieldgroup.com.