important change.  Are you paying off a mortgage, are you planning to get a loan at interest with WIBOR?  Now it will be replaced by WIRON, and since when [13.12.2022]

WIRON, or Overnight Interest Rate (formerly WIRD), is set to become one of the most important factors determining the interest rate on loans in Poland. It is an alternative to the widely criticized WIBOR. What exactly is WIRON? who sets? How will it affect loan installments? Will it become more convenient and more transparent from the point of view of Polish borrowers than WIBOR?

Contents

Let us remind you that WIBOR (Warsaw Interbank Offer Rate) is essentially the interest rate on the interbank market in Poland. When banks lend money to each other, the ratio is used to calculate the final repayment amount that consists of the loan and its interest.

LIBOR is not a static indicator. We know its rise every business day at 11.00 based on the data provided by the banks. However, since banks operating recently in Poland are usually characterized by excessive liquidity and do not have to resort to loans, there have been voices of criticism that WIBOR has become a dummy indicator. In a certain simplification built on the basis of a digression: Bank X contacts Bank Y, and asks “If we want to borrow money from you, what are your terms and interest rate?”.

Leave a Reply

Your email address will not be published. Required fields are marked *

You May Also Like

Trading ban on Sunday. Will stores be open on April 28?

On Sunday, April 28, stores will be open. This is one of…

Inflation will be 17.2% on an annual basis at the end of 2022, and 9.5% at the end of 2023.

The bank’s economists stress that “from the second quarter of 2023, core…

A big change for mortgage offices is taking effect. Customers will be more protected

Based on the law adopted on April 14, 2023. Lombard Consumer Loan…

Bad news for borrowers! Stick to your wallets

Regulated prices cannot be maintained indefinitely “It's going to be a quite…