The Roundup - Feb 17 2020

This previous week has seen several changes to rates mainly in the fixed space.

Although CBA did make a bold move though cutting many rates by up to 50 basis points. They have in reality just brought these into line with what is the competition out there.

Fixed rates are still cheap with more and more clients opting to split their loans part variable part fixed. I think we will see a bit more competition in the fixed space in coming months.

Reports from the ABS stating that First home buyers demand has surged, any wonder really with the First Home Loan Deposit scheme coming on line.

In the last week I have been working with several clients looking at refinancing their loans. It’s interesting to note that some banks are much better at this than others especially when it comes to retention pricing.

I can often achieve a much better price on rate than what is usually offered over the phone.

If you want to price check your current loans let me know, I am always happy to go into bat!

What a week it was between us finally getting rain and lots of it in some areas, which had some of us putting jumpers back on! Last week we saw new legislation passed on best interest duty.

In reality there is nothing unexpected in the legislation. Many things in my world in the last year or so have been around improving the processes and keeping greater detail in records. Making sure that I remain compliant.

The ACCC also released the official Consumer Data Right Rules (CDR) This will hopefully make it easier for clients who have been declined to understand the reasons why better. CDR’s intention is to make things clearer and more transparent for borrowers and lenders alike.

The week has also seen further lenders venture into the below 3% fixed rate world. Fixed rates for 2 and 3 year fixed rates have several lenders at 2.79% for under 80% Loan to Value Ratio loans.

Under 90% see’s - ING at 2.84% with an orange advantage combination loan. ING’s Orange advantage banking products means fee free banking with a deposits over $2k PM including free ATMS worldwide. They do have an annual fee though too of $299

2.85% 3yr fixed with Plan lend

2.89% 3yr fixed with Newcastle permanent and I could get any of these done within reasonable timeframes.

I am always here if you want to rate check ANYONE!

Have a great week.

JC

Scenarios and interest rates quoted above are suggestions and constitute general advice only.

Justin