Major Banks Will Raise Interest Rates Regardless!

Despite the Reserve Bank leaving the cash rate on hold today, CBA, National Australia Bank and Westpac have all announced they will raise mortgage interest rates.

The rate hike comes amid uncertainty on global debt markets after the US election, which is increasing international funding costs.

NAB revealed yesterday, as of Monday 12th December it will increase its variable rates on new and existing residential investor home loans by 0.15% per annum. However, there will be no change to NAB’s variable rate for owner occupiers, which is currently 5.25%.

Westpac was the first of the big four to begin lifting rates, raising “interest-only” rates for investors and owner-occupiers by eight basis points. The bank said “prudent lending practices” are behind the move. CBA quickly followed suit, raising rates on its fixed-rate mortgages.

NAB’s online subsidiary UBank has also lifted variable rates by 10 basis points, and ME has raised rates for new customers by up to 15 basis points. For the best rates in the market and those who suit your circumstances, call me for my recommendations… Robbie 0412 124 516.