Australian banks

The week ahead for banks is big, via the AFR: A highly anticipated interim bank earnings seasons this week will be kicked off by ANZ Banking Group, which is expected to unveil a slightly higher $3.5 billion cash profit on Tuesday.

From Chris Joye today: Westpac demolished Mott’s allegations on loan quality, revealing that of the 420 loans in the sample file just one borrower (0.2 per cent of the total) was three months or more in arrears, which is “well below [Westpac’s] portfolio average for delinquencies”.

Via The Australian and an FOI comes the lowest public figure in Australia today: The documents, obtained by The Australian today, showed a list of issues raised by the ABA in the days after a royal commission was announced by the Turnbull government in November.

Gettin’ ugly now: The royal commission into banking misconduct has recommended AMP should face criminal prosecution for misleading the corporate regulator.

Where do I sign up?

Domainfax accidentally printed its own obituary today.

Via the ABC comes more debt: The emergence of instant cash loan machines across parts of New South Wales has sparked fears about low-income families being potentially caught in a debt trap.

Not unreasonable stuff from Bob Katter: Need for this bill It is obvious that Australia’s Big Four banks and Macquarie are devoted solely to their own usurious profits at the expense of the population as a whole.

Weoo, weeoo, weeoo: What happened to the fair go for clients and customers?

Via Christopher Kent, Assistant Governor (Financial Markets): Introduction I’d like to thank the Housing Industry Association for the opportunity to speak to you about the role of interest-only loans.

Via Sarah Dankert today, one of the few that can hold her head up at Domainfax: A rogue AMP planner ran a secret property advocacy business while advising clients to source investment properties from his firm, the banking royal commission has heard.

Via the AFR: ANZ, the nation’s third largest mortgage lender, is boosting scrutiny of clients’ personal identity, income, qualifications and capacity to repay loans amid evidence of wide-scale identity theft.

Via Ian Rogers at Banking Day: The Australian finance crisis of 2018 is roaring, producing an immediate and lasting credit crunch.

Via Bill Evans at Westpac: The minutes of the Reserve Bank’s Board meeting on April 3 contained a surprise in the final paragraph – “it was more likely that the next move in the cash rate would be up, rather than down”.

Too late from the Australian Banker’s Association: The issues raised have been unacceptable and do not meet the high standards the community rightly expects of banks.

Via the ABC: AMP’s chief executive officer Craig Meller has quit his job with immediate effect after a series of scandals were revealed at the banking royal commission.

From Lyndsay David today: I guess we can all thank god that ASIC and APRA don’t regulate the aviation industry.

Karen Maley is livid: Commissioner Kenneth Hayne will need the wisdom of Solomon as he tackles what is fast becoming the most critical issue in the financial sector: how to prevent the $1.6 trillion that Australians have salted away in superannuation savings from being pillaged by unscrupulous financial advisers.

It began this morning with Kelly O-Dwyer: Financial Services Minister Kelly O’Dwyer said the government had been vindicated in its decision to establish a financial services royal commission — despite being strongly against the probe and begrudgingly establishing it because of a revolt from the Nationals.

There are so many issues coming out of the Royal Commission into banking that its hard to maintain the outrage.

Breaking from ME Bank ME’s standard variable rate for existing owner-occupier principal-and-interest borrowers with an LVR of 80% or less, will increase by 6 basis points to 5.09% p.a. (comparison rate 5.11% p.a.^).

And via the ABC: Senior counsel assisting the commission Michael Hodge QC appears to have finally and completely lost patience with CBA witness Marianne Perkovic.