Capital G's deposit company (Gibbons Deposit Company) has lowered both its lending and deposit rates in response to recent events in the US and as a result of rate changes imposed by the Federal Reserve to help curb the slowdown in the US economy.

As of September 24, Capital G has reduced lending rates by 50 basis points in Bermuda dollars. Loans that are less than 15 years will now have a maximum rate of 7.25 percent and for loans over 15 years, the maximum rate will be 7.5 percent.

Existing customers will receive three months notice of the change and will receive official notice of these changes by mail. Capital G says that both Bermuda Dollar and US Dollar Deposit rates have decreased, and in come cases by similar amounts.

For example, Capital G's Daily Savings Accounts (in Bermuda Dollars) with less than $25,000 will now receive a rate of 3.25 percent compounded on a daily basis.