Anyloan Australia :: Articles

One rise too much...?

One rise too much...?

Despite the Reserve Bank’s decision to put on hold plans to raise interest rates in April, Australian Mortgage Options managing director Robert Projeski believes the decision is one rise too late.

“We shouldn’t have had the last increase in March, on the back of a rate rise in February - the Reserve Bank didn’t let the effects of the first rise kick in.

It was impossible to gauge the real effects of the first rise on inflation and consumer confidence in February before they introduced the next one in March.

And with the actions of lenders in recent weeks, it is little wonder people are wary of investing in property. ”

In recent weeks 86 different Australian lenders, including the four major banks, either increased their rates or withdrew loan products out of the market, according to Mr Projeski.

“Cannex announced recently that lenders had increased their rates by up to 0.76%.

“We believe consumers are concerned about what is going on so we have introduced a new type of loan to counteract a drop in consumer confidence.”

Using a unique methodology, AMO have added up the combined 3 year fixed rates of the four major banks, come up with an average rate between the four and taken off a further quarter of a per cent from that figure.

“In short, what the banks have taken away, we have given back to the customer. We have also fixed the rate of the loan for peace of mind, particularly in light of predictions we will see another rate rise in May.”

The three year fixed loan offers up to $100 million at this 3 year rate, which is up to 0.37% off some of the majors, to coincide with AMO’s 10 year anniversary.

Designed to offset the reserve bank increase, it is simply the lowest fixed rate on the market.

This website is owned and operated by Clark Family Pty Ltd (as Trustee for the Clark Family Trust) 43 Larch Street Tallebudgera QLD 4228, A.C.N. 010281008, authorised credit representative of Saccasan Pty Ltd, Australian Credit License 386297. Visit the ASIC website for additional licensing information.

powered by Financial Services Online   |   � Copyright Clark Family Pty Ltd - all rights reserved

IMPORTANT: We are neither authorised nor licensed to provide finance or finance products. We do not recommend any specific financial products and we do not offer any form of credit or other financial advice. All product enquiries and requests for financial and/or other advice on this website are referred to third party, qualified intermediaries with whom you can deal directly. We may receive a fee or commission from these third parties in consideration for the referral. Before any action is taken to obtain a product or service referred to by this website, advice should be obtained (from either the third part to whom we refer you or from another qualified intermediary) as to the appropriateness of obtaining those products having regard to your objectives, financial situation and needs.