Non-major adjusts fixed and variable rates


In line with the recent industry trend, a non-major bank announced several rate changes for new customers that will take effect today, March 27.

As of this morning at ING Australia, new variable rate homeowner loans with P&I repayments fell 0.08%, while those with interest-only repayments rose 0.11%.

New variable rate investment loans with P&I and interest only repayments will decrease to 0.40%, while new fixed rate loans at 3, 4 and 5 years will decrease by 0.10%

“As with many other lenders, the biggest drops are in new loans to investors, confirming how deep the drop in demand for investment loans has been,” noted Steve Mickenbecker, Canstar Group Chief Financial Officer. .

For new owner-occupied borrowers with 80% LVR, the rate cut would amount to approximately $ 4,931 in savings over the life of a $ 300,000 30-year loan.

For new investment borrowers, the rate change could save up to $ 25,274 over the life of a $ 300,000 30-year loan.

“ING has joined with lenders in reducing rates on new loans, while rates for existing borrowers remain unchanged,” Mickenbecker said.

In recent weeks, non-majors Suncorp, Macquarie and ME Bank have been just a few of the many lenders to implement their own rate cuts.


Comments are closed.