ANZ joins CommBank and Westpac, increases fixed home loan rates

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on October 22, 2021
ANZ joins CommBank and Westpac, increases fixed home loan rates

ANZ has increased fixed rates on home loans, leaving NAB holding the bag as the only big four bank to not have increased rates lately.

CommBank increased fixed rates last Friday, while Westpac followed earlier this week.

ANZ's increases applied to owner occupier and investment loans, fixed for between two and five years.

For owner occupiers, some of the more noteworthy increases were:

  • Breakfree Fixed 2 Years 80%: 15 basis point increase to 2.09% p.a. (3.26% p.a. comparison rate*)
  • Breakfree Fixed 3 Years 80%: 35 basis point increase to 2.39% p.a. (3.27% p.a. comparison rate*)

And for investors:

  • Breakfree Fixed 3 Years 80%: 25 basis point increase to 2.69% p.a. (3.78% p.a. comparison rate*)
  • Breakfree Fixed 5 Years 80%: 20 basis point increase to 3.14% p.a. (3.83% p.a. comparison rate*)

A number of other packaged and non-packaged home loans across a variety of loan-to-value ratios (LVRs) were increased by between 15 and 35 basis points.

That said, one-year fixed home loan rates were decreased by between 5 and 15 basis points.

86 400 increases fixed rates as NAB acqusition takes flight

PhilippaWatson1.jpg

UBank CEO and 86 400 CEO-to-be, Philippa Watson. Image supplied.

On Thursday, neobank 86 400 made a number of changes to its fixed home loans for owner occupiers and investors.

For owner occupiers, the rate changes were:

  • Fixed P&I 2 Years 80%: 10 basis point increase to 1.99% p.a. (2.53% p.a. comparison rate*)
  • Fixed P&I 3 Years 80%: 34 basis point increase to 2.29% p.a. (2.58% p.a. comparison rate*)
  • Fixed P&I 5 Years 80%: 29 basis point increase to 2.79% p.a. (2.77% p.a. comparison rate*)

The neobank also increased rates on its 85% LVR loans, which waive lenders mortgage insurance:

  • Fixed P&I 2 Years 85%: 10 basis point increase to 2.19% p.a. (2.93% p.a. comparison rate*)
  • Fixed P&I 3 Years 85%: 30 basis point increase to 2.49% p.a. (2.96% p.a. comparison rate*)
  • Fixed P&I 5 Years 85%: 29 basis point increase to 2.99% p.a. (3.12% p.a. comparison rate*)

For investors, the rate increases were:

  • Fixed P&I 3 Years: 25 basis point increase to 2.39% p.a. (2.82% p.a. comparison rate*)
  • Fixed P&I 5 Years: 15 basis point increase to 2.99% p.a. (3.03% p.a. comparison rate*)

Earlier this year, NAB announced it will acquire 86 400 in a $220 million deal, making it a stablemate of UBank.

With ACCC and Federal Treasury approval, NAB has wasted no time in making changes.

Earlier this month, 86 400 founder and CEO Rob Bell announced he would leave the company.

UBank CEO Philippa Watson will become CEO of both brands.

"Philippa and Rob will manage the transition over the coming months to coincide with 86 400's banking licence transfer to NAB," said Les Matheson, NAB's chief operating officer.


Image from Wikimedia Commons.

In text image supplied.

Disclaimers

The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered. Some providers' products may not be available in all states. To be considered, the product and rate must be clearly published on the product provider's web site. Savings.com.au, yourmortgage.com.au, yourinvestmentpropertymag.com.au, and Performance Drive are part of the Savings Media group. In the interests of full disclosure, the Savings Media Group are associated with the Firstmac Group. To read about how Savings Media Group manages potential conflicts of interest, along with how we get paid, please click through onto the web site links.

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Harrison is Savings.com.au's Assistant Editor. Prior to joining Savings in January 2020, he worked for some of Australia's largest comparison sites and media organisations. With a keen interest in the economy, housing policy, and personal finance, Harrison is passionate about breaking down complex financial topics for the everyday consumer.

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