The Reserve Bank of Australia (RBA) announced yesterday a .25% increase which brings the official cash rate to 2.60%.
This is the sixth consecutive Rate increase implemented by the RBA and is putting a lot of strain on household incomes.
The ‘Big 4’ have all announced that they are passing on the increase with NAB, CBA and ANZ moving on the 14th of October and Westpac on the 18th.
Most of the second tier lenders are yet to make an announcement, but we can assume that they will all follow suit.
When was your loan last reviewed?
If you have not had a loan review in the past 6 months, now is the time to make sure your loan is as competitive as it can be. Unfortunately, loyalty only goes one way with the banks and we have seen first hand the difference between interest rates on existing loans and new loans – don’t pay the price because for brand loyalty.
The team at TTO Finance have recently reviewed a home loan for a Client, and even with a modest loan amount ($100,000), were able to refinance the facility for an interest rate saving of 0.65%.
On a $500,000 loan, this could save you as much as $270 per month!
The banks are still offering competitive cashback offers so if you do move, not only will you be saving money on interest and improving your cash flow, but you could score yourself some extra cash!
Current Cashback offers from the big banks :
Cashback offers aren’t limited to these banks so contact the team today to see if its worth the switch!
