From AMP:
We are managing our portfolio in a very active market and our decisions on rates are never taken lightly.
We have held off passing this cost on to customers for as long as we can and in fact have not increased interest rates for existing customers since June last year.
With any change, we are focussed on balancing the interests of our customers, the regulator and our business.
- 8 basis points for owner occupied principal and interest
- 17 basis points for owner occupied interest only
- 17 basis points for investment principal and interest
- 17 basis points for investment interest only
17 fat bps.
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Daily iron ore price update (buy the trade war?)
Iron ore prices for July 11,
Ouch – my only question is why do this today? Why not tomorrow afternoon at 5:59pm EST?
Fridays are reserved for the big 4.
LOL.. Mega Bank doesn’t like it when you encroach on their space. š
Call me old-fashioned, but I want a dump to be as memorable as it is devastating
You don’t need to wait for an election, plebiscite, or referendem to object to mass immigration. You can have your vote whenever you want.
Banks leverage depositors funds by 20x to loan out to idiot house flippers that bid against you in auctions and force prices up generally.
Banks benefit the most from mass immigration forcing up prices and creating major infrastructure projects. It is in the banksā interests to clog the streets with immigrants and force land prices up on ever smaller high density allotments.
The easy credit from banks supports a whole industry of immigration and construction parasites that lobby and corrupt government, forcing you to pay $1mil for a tiny dog box on no land living in asian style conditions.
The banksā property bubble makes land unaffordable for small manufacturers, and flows through to wages making industry unviable.
If you want to kill off the property bubble, mass immigration, want better jobs, cheaper houses, and generally go back to the āaustralianā way of life, put your money into assets you legally own instead of losing it in a bank bail-in.
Remeber this: Weāre still on Keatingsā and Laborsā āAsianization of Australiaā
You are being āasianizedā into the asian lifestyle of dogbox apartments, cramped living/schools/hospitals, endemic corruption, and all that multicultural goodness that goes with it, as dished out by the likes of Laborsā Rudd and Wong, not to mention Greens open borders.
Banks dont leverage deposits to create loans
Loans create deposits
and there is no reserve requirement in australia
Where do you find this separation of depositors funds from loan activity? Isn’t that Glass-Steagall?
https://www.macrobusiness.com.au/2011/02/macro-101-bank-operations/
It’s all hearsay there.
There’s no reference to actual written rules that say a bank can’t back loans using depositors’ funds.
With a bit of cash and a banking licence, i could do leveraged money lending too, and make profit on loan repayments interest spread above the general rate of inflation, without involving the RBA.
Seems the Libs have the same vision as Labor
I don’t think Peachy will agree with the fat part of “17 fat bps”.
āBank of mum and dadā foreshadows a divided housing market
https://www.realestateview.com.au/blog/2018/07/bank-mum-dad-housing-market
Digital Finance Analytics says the ābank of mum and dadā is now the 10th-largest lender in Australia, with an estimated 55 per cent of first-time buyers getting help from their parents.
One imagines we will soon see ‘BoMaD’s announcement hiking interest rates and tightening lending criteria.
Haha! Yes, bound to happen. Perhaps “Mortgagee in Possession” signs popping up here and there. š
yeborsky – yes, but the banks won’t sell into a falling market. They’re not mad.
Besides, the rule book on “what to do in case of a credit crunch” explicitly says for banks to collect houses and sit on them, reporting their value at whatever it was when the last pile of debt was attached to it, to keep their masters happy to preserve ratings, and to minimise forced interest rate rises on the “good” debt.
https://www.theage.com.au/politics/federal/treasury-secretary-john-fraser-resigns-20180712-p4zr3o.html
John Fraser resigns
Reading between the lines of that article. Which “China-Australia economic glorious foundation” will John Fraser become chairmen of? Place your bets here kids!
John Fraser doesnāt need the Chinese to make mega bucks. Any big bank will pay him $$$$$$$$$$$$$$$$$$
You’d think that only giving 2 weeks notice for a mandarin suggests either a health issue or that he was pushed. I guess the other possibility is that the timing fits in with the budget or perhaps legislative cycle. Nothing to see here?
Edit: never mind, wrong apparatchik
The centre has employed 22 Greek aged care workers so far and has been granted an extra 60 special visas ā known as the TSS (Temporary Skill Shortage) visa ā to hire more bilingual staff.
Looks like they read somewhere that 0.15 would send a million into default so either called that bluff or thought it would be fun to watch – 0.17 it is gents.
westpac and macquarie are still playing fast and loose with lending, they’re probably hoping their highest-risk punters find a new home before those two get dragged kicking and screaming into the (slightly more) responsible lending era
when will rba cut
Rates or wrists?
First one, then the other…
lol
cutting makes no difference at this point so they probably won’t, if nothing else but to save face.
Imagine the RBA cutting rates and the banks continue to hike. It wouldn’t look good.
Banks have obviously bolted and are being controlled by stronger forces than the RBA’s IR control lever.
.
Great – someone’s got their period againā¦ I guess better than a comma ā¦ š
I love how Macquarie made a change a few years ago to allow them access to the cash held in their Macy wrap facility, for their own use? As I understand. Not guaranteed like a normal bank deposit.
17 is starting to get a bit serious… but on closer inspection, unsurprisingly it is only for IO and investment because they want to reduce their exposure to investors’ “chain equity” and move IO onto P&I – for the lost decade (or likely 3) they’re obviously setting up for.