Forums / Getting Technical / Finance / Wespac screwing over investors by jacking up rates 0.28%

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  • Profile photo of DeanCollinsDeanCollins
    Participant
    @deancollins
    Join Date: 2015
    Post Count: 376

    Time to shop around with other lenders folks.

    Anyone staying with @Westpac deserves to get shafted after they raise investor rates 0.28% to pump up profits.

    There was NO corresponding RBA move, this is just profit driven. and the RBA wanting to put a cap on “investor driven property prices” are too gutless to say anything.

    http://www.theage.com.au//breaking-news-business/westpac-raises-its-variable-mortgage-rates-20170317-4rujg.html

    I’ve just moved cash from St George offset into Westpac offset so screw Westpac and their profits.

    0.28 is ridiculous, I’ve got 70% of the loan locked in for 5 years at 3.99% so wont be moving until 2022 but wont be touching the offset so they wont be getting a dime from us.

    Profile photo of Jamie MooreJamie Moore
    Participant
    @jamie-m
    Join Date: 2010
    Post Count: 5,069

    Time to shop around with other lenders folks.

    I would sit tight for a month or two. The rest of the herd will follow soon and announce their increases. We’ll have a better idea of how all lenders are positioned in a month or two.

    Cheers

    Jamie

    Jamie Moore | Pass Go Home Loans Pty Ltd
    http://www.passgo.com.au
    Email Me | Phone Me

    Mortgage Broker assisting clients Australia wide Email: [email protected]

    Profile photo of Jason StaggersJason Staggers
    Participant
    @jason_staggers
    Join Date: 2006
    Post Count: 61

    They are all looking for ways to shore up capital to meet new APRA requirements that are just around the corner.

    Jason Staggers | PropertyInvesting.com
    http://propertyinvesting.com
    Email Me

    Profile photo of Richard TaylorRichard Taylor
    Participant
    @qlds007
    Join Date: 2003
    Post Count: 12,010

    It is actually worse than that with some Westpac fixed loans going up by 110bps for investors especially in the SMSF space.

    We are getting hammered in demand on our Nodoc SMSF product as more and more investors find they can’t invest in Super when they want to.

    Cheers

    Yours in Finance

    Richard Taylor | Mortgage Broker helping investors build their wealth thru property
    http://www.mortgagecapitalaustralia.com.au
    Email Me | Phone Me

    0-40 Properties in a decade with a unencumbered portfolio value in excess of $40M. Ask me for a copy of my API Interview.

    Profile photo of Corey BattCorey Batt
    Participant
    @cjaysa
    Join Date: 2012
    Post Count: 1,010

    This isn’t just Westpac – all the lenders are increasing their interest rates significantly to bolster their funds to meet the BASEL requirements. I wouldn’t suggest jumping ship to another lender just because of your existing lender increasing rates right at this moment – you may find by the time you settle your loan the new lender might hit you with a comparable increase sending you back to square one.

    The alternative which is worth considering is whether your existing lender has a competitive fixed option, OR another lender offering long term competitive fixed rates + IO terms.

    Corey Batt | Precision Funding
    http://www.precisionfunding.com.au
    Email Me | Phone Me

    Investment Focused Finance Strategist - servicing Australia-wide

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