HSBC Malta last week “inadvertently” doubled its minimum down payment for home loans on its website, the bank admitted on Monday.

Times of Malta reported last Friday that the bank had slashed its maximum loan-to-value offered to 80 per cent from the previous 90 per cent.

HSBC later issued a statement to the market to assure investors that it continues to offer home loans with a maximum of 90 per cent loan-to-value and that the website was updated to that effect.

At the time, it gave no explanation for its backtracking.

A spokesperson said on Monday: “The 80 per cent figure was inadvertently entered into our website and has since been corrected.

“There has been no change in decision. The percentage was incorrect as we are still offering home loans at 90 per cent loan-to-value.

“Like any other business, and in line with standard procedure, all credit decisions are made on a case-by-case basis taking into consideration our internal lending criteria and risk appetite.”

The loan-to-value figure represents the percentage of a property’s value that a mortgage lender is willing to provide, with the buyer required to make up the balance through a down payment.

Times of Malta also reported that the bank had raised its interest rates for home loans by 40 basis points, moving the annual percentage change rate to 3.1 per cent from the previous 2.7 per cent.

The spokesperson explained that interest rates on both loans and deposits were raised last month to “better align with current economic conditions”.