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. So why do interest rates increase for Christmas?
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.
With the interest rates rising once again in 2010, many people will struggle to make their monthly mortgage payments, especially coming into the holiday season. If you are struggling, fearful of a financial struggle or just don’t want to pay higher interest rates, Australian Lending Centre could assist you with reducing your debt.
Australian Lending Centre is a specialist in refinancing which can assist you in reducing your current interest rate or reduce your monthly payments. At Australian Lending Centre, we can offer low, competitive rates for a refinance or debt consolidation.
Refinancing essentially reduces the amount of interest you pay and often allows you to pay off other debts simultaneously to your home loan, such as personal loans or credit card debt. This is done by switching to a loan with a lower interest rate when you refinance and consolidating your other debts into you new home loan.
In order to take advantage now of the debt consolidation and refinancing options Australian Lending Centre offers, please call 1300 138 188 to speak with a refinancing consultant or fill out the express enquiry to your right and a refinancing consultant will contact you shortly.
