Interest Rates, What Do They Mean For Us ?

They’re something you can’t avoid. They’re everywhere and for the most part they affect everything we do. No, i’m not talking about the missus, i’m simply referring to the elephant in the room.

Whats happening at the moment ?

After reaching a record low of just 1.5% in August this year, the reserve bank has remained faithful […]

By |November 8th, 2016|Categories: Debt Consolidation, Interest Rates, Personal Loans, Refinance/Refinancing||Comments Off on Interest Rates, What Do They Mean For Us ?

Are You a Victim of High Mortgage Interest Rates?

In recent years, many of us became victims of high mortgage interest rates without even realising. This problem affects mostly the home loans because their term is the longest. But how can you know if you are in such a situation, too?
High Mortgage Interest Rates – Are you a victim?
Verify your current loan

In the case […]

By |February 26th, 2016|Categories: Home Loans, Interest Rates|Tags: , , , |Comments Off on Are You a Victim of High Mortgage Interest Rates?

Do Rentals Mean Losing Money?

The general, common saying that living in rentals equals to throwing money away is certainly not new, is it? And at first, it would seem this way. Rental means you don’t buy the house you live in, compared with purchasing a house that, in time, becomes yours eventually. Still, various aspects are often overlooked concerning […]

By |December 29th, 2015|Categories: Home Loans, Interest Rates, Refinance/Refinancing|Tags: , , , , , |Comments Off on Do Rentals Mean Losing Money?

4 Reasons Why the Australian Reserve Bank has not Cut Interest Rates Last Time

Australian Reserve Bank has not Cut Interest Rates
The Reserve Bank of Australia (RBA) has slashed interest rates to 3%, a record low, in November 2011. For the last 15 months, it has refused to increase or further cut it. The central bank has decided to leave the rates unchanged during its first policy meeting for this year, which was held in the first week of February. As it seems, the monetary policy of the country keeps the mode on a wait-and-see program.

Interest rates were last trimmed down to help spur possible growth after the then decade-long mining boom had indicated clear signs of losing its momentum. The economy somehow slowed in the entire 2012 because export demand for raw materials coming from the country eased.

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By |February 27th, 2013|Categories: Interest Rates|Tags: , , , , |Comments Off on 4 Reasons Why the Australian Reserve Bank has not Cut Interest Rates Last Time

7 Things which Contribute to Interest Rate Cuts

Interest rate is the amount charged by lenders or loan providers against the borrowed money of consumers/borrowers. As a consumer, you probably are always monitoring it. When rates are low, it can be ideal to apply for and obtain loans. It is the time when borrowing will not be that expensive.
Interest rates usually go up, especially these days when global economies and finances turn volatile. But at times, governments and central banks also cut such rates. Here are seven factors that usually lead to reduced or lowered borrowing rates. […]

By |May 23rd, 2012|Categories: Interest Rates|Tags: , |Comments Off on 7 Things which Contribute to Interest Rate Cuts

Australian Economy is Growing – Interest Rate Impact

The Australian economy grew 1.2% in the second quarter of fiscal year 2011. That growth exceeded expectations of a 1% economic expansion. This surprised numerous economic analysts and market observers, who mostly predicted a slower growth in the period. According to some experts, the economic boost could be attributed to stronger performance of several sectors aside from mining, which for quite some time has been solely driving growth of national economy.

Investors look at this news as an additional positive development. A better performing Australian economy could translate to better profitability. Most company shares in the market have been rising following the announcement of the better-than-expected economic growth. The local currency is also gaining strength against the dollar, which is ideal for many businesses, especially those that require importation of raw materials. But what is the impact of this news to consumers, particularly to the interest rates? […]

By |September 24th, 2011|Categories: Interest Rates|Tags: , , , |Comments Off on Australian Economy is Growing – Interest Rate Impact

First Interest Rate Cut in 7 Years

Australians have welcomed with open arms the Reserve Bank’s first official drop of interest rates in 7 years. The RBA on September 2nd, dropped its cash rate by 0.25 to 7%, its first cut since December 2001.
While this comes as a certain relief to many families struggling under the pressure of mortgages, many are still cautious. As Prime Minister Rudd announced “Interest rates took a long time to rise and they will take a long time to come back down. And the road will be a very uneven one on the way through.” However many remain optimistic, especially those struggling to make ends meet, and spiralling into debt. […]

By |May 24th, 2011|Categories: Interest Rates|Tags: , , , , |Comments Off on First Interest Rate Cut in 7 Years

Fake Cards Skimmed As Part of Scams in Melbourne

The Australian Lending Centre – a specialist in debt consolidation likes to provide their clients with useful information. Following is an example of some helpful info – which will relate to any person that uses an ATM.
Recently more than 5,000 ATM cards have been skimmed in just four weeks as part of an elaborate $500,000 scam.

The devices allegedly recorded details from swiped cards while a small camera filmed customers entering their personal identification numbers (PIN).

[…]

By |May 23rd, 2011|Categories: Interest Rates|Tags: , , , |Comments Off on Fake Cards Skimmed As Part of Scams in Melbourne

Rising Interest Rates Increases Debt Worries

Rising interest rates by the Banks are worrying consumers when it comes to their financial commitments.

Although the rise in the stock market is attracting more margin lending on shares, the latest official lending figures show there is anxiety about taking on more debt in the wake of the global financial crisis.

Spending on home renovation has been descending since March 2009, with the $465 million borrowed for that purpose in November down by 13.9%. Spending on new blocks of land has fallen by 12.7% since it peaked in June of last year.
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By |May 20th, 2011|Categories: Interest Rates|Tags: , , |Comments Off on Rising Interest Rates Increases Debt Worries

Interest Rates on the Rise Again

After raising interest rates three times in quick succession in late 2009, the Reserve Bank of Australia (RBA) increased interest rates again in March – the first rate hike for 2010.
According to the Australian Bureau of Statistics (ABS), retail sales rose a higher-than-expected 1.2% to $20.14 billion in January – up from $19.91 billion in December. After the ABS announced strong growth in retail sales, the Reserve Bank decided to raise the official cash rate to 4.00%, marking the fourth rate rise in five RBA meetings. […]

By |May 20th, 2011|Categories: Interest Rates|Tags: , , |Comments Off on Interest Rates on the Rise Again

Likely Interest Rates Increase for Christmas

Interest rates are said to rise again before the holiday season begins, according to industry experts.  In the previous 12 months, inflation has risen by 3.2% which is greater than the Reserve Bank of Australia’s inflation band.

The expectation is that if the RBA does increase the rate by a 25 basis point (which is 0.25%) then the commercial banks will most likely take their lead and raise the rates on mortgages considerably more than the 25 basis point.  The 25 basis point rise will increase a monthly repayment on the average $300,000 mortgage by $50.

[…]

By |May 20th, 2011|Categories: Interest Rates||Comments Off on Likely Interest Rates Increase for Christmas

Flood Crisis May Cause Interest Rates to Rise

As 2010 has just come to a close and the forecasts for the upcoming year are being released and scrutinised, there is a lot of speculation swirling around interest rates. The flood crisis we are experiencing at the moment in both
Queensland and Victoria are making an increase in the interest rates by the Reserve Bank of Australia (RBA) nearly inevitable.
 Many argue that with our current strong dollar, the prices of imported goods should be keeping the inflation balanced, but in actuality the price of the goods are declining at a slow rate. This slow degradation is not enough to prevent the internal pressures that cause inflation.

[…]

By |May 20th, 2011|Categories: Interest Rates|Tags: |Comments Off on Flood Crisis May Cause Interest Rates to Rise

Great News for Mortgage Holders – No Rate Rise

In its first meeting of the year on Tuesday, the Reserve Bank opted to keep rates on hold for February.
The decision comes on the back of economic data released last week, showing inflation was running lower than the experts expected.
However it’s important to note that industry specialists anticipate that we will experience interest rate rises in the coming months. Therefore mortgage holders are presented with a window of opportunity to opt for a better home loan
while rates remain low.
[…]

By |May 20th, 2011|Categories: Interest Rates|Tags: |Comments Off on Great News for Mortgage Holders – No Rate Rise

Interest rates the lesser evil, study finds

HIGH interest rates and property prices are only part of the story behind home-loan defaults, a mortgage insurance company has found. In a study on the contentious question of mortgage stress, the Genworth Financial report found that of the 1 million borrowers it insures, fewer than 5000 had fallen three months behind on their repayments.

Genworth’s country executive, Peter Hall, said this rate of default was within the historical trend of mortgage default rates, reflecting Reserve Bank assessments of mortgage stress.

Although interest rate rises are largely blamed for mortgage stress, Mr Hall said the research showed that unexpected events in borrowers’ lives were more important causes of failures to meet debt repayments. […]

By |May 12th, 2011|Categories: Interest Rates|Tags: , , |Comments Off on Interest rates the lesser evil, study finds

Budget Aims to Tame Inflation: Will Interest Rates…

16 May 2008
Many analysts have praised the new 2008 Rudd Government Budget for its spending cuts in an amiable move to stop the rising problem of inflation, however will it be enough?

The aim to put downward pressure on the inflation crisis has seen slashes to high income earner benefits, with the media responses generally positive towards the Budget’s target. However there has also been speculation about how far the budget can go in entirely tackling the monstrous inflation, “the Reserve Bank of Australia is not out of the woods yet” warned Bank economist Riki Polygenis. […]

By |May 12th, 2011|Categories: Interest Rates|Tags: , |Comments Off on Budget Aims to Tame Inflation: Will Interest Rates…

Homeowners Sigh Breath of Relief as Interest Rate Rises Halt

Homeowners Australia wide have sighed a breath of relief this month, as the Reserve Bank did not raise interest rates. There has been an ongoing climb in interest rates, with 12 steady rate hikes since 2002. This month signals the first time the RBA has remained static in 6 years.

As Icap senior economist Matthew Johnson […]

By |May 12th, 2011|Categories: Interest Rates|Tags: , , |Comments Off on Homeowners Sigh Breath of Relief as Interest Rate Rises Halt

Interest Rates On Hold For One More Month

More good news for the consumers of Australia as we move into the third month of the year! The Reserve Bank of Australia (RBA) met yesterday to discuss the interest rates in their monthly board meeting.

In the early afternoon, a statement was released stating for the rates would stay firm at the current cash rate […]

By |March 2nd, 2011|Categories: Interest Rates|Tags: |Comments Off on Interest Rates On Hold For One More Month

Flood Crisis Leading to Interest Rates Increase

As the rain has ceased and the flood waters have begun receding, we as a country are starting to feel some of the affects from the flood crisis. At your local market you may have noticed prices in the produce section are beginning to rise and are becoming scarce. For example, mangoes are nearly impossible […]

By |January 24th, 2011|Categories: Interest Rates|Tags: , |Comments Off on Flood Crisis Leading to Interest Rates Increase