26 Jun 2012

Moody's cuts credit rating on 28 Spanish banks

6:11 pm on 26 June 2012

The ratings agency Moody's has cut the credit rating of 28 Spanish banks, including the largest one, Santander - a day after the country asked for money to support them.

A cut in a bank's credit rating usually makes it more expensive for it to borrow money.

Spain formally asked for money to help support its banks after an independent audit found they need more than €100 billion in extra funding.

Earlier this month Moody's cut the Spanish government's own credit rating to just above junk status.