banks

IMF Declares Australian Banks Won’t Collapse Under Subprime

Fears of Australia’s economy going into recession as a result of the US housing price collapse may be unfounded.
According to the International Monetary Fund (IMF), banks are not in danger of going belly-up, with Australian house prices only “moderately” overvalued.

As the IMF says “The results do not produce evidence of a significant over evaluation of house prices”.

Australians can sigh a breathe of relief over the news that puts our economy in relative safety, given the current global credit crisis. […]

By |May 24th, 2011|Categories: News|Tags: , , , , , |Comments Off on IMF Declares Australian Banks Won’t Collapse Under Subprime

Banks Funding Costs Hurt Borrowers

There are claims that Australia’s banks funding costs are imposing obstacles on borrowers that prevent them from getting a loan.  A non-bank financial group has suggested that money sourced from global credit markets is now priced
considerably higher than it was a few years ago, which means that banks can be very selective as to who they lend to.
If this is the case then essentially banks are cherry-picking potential customers with the best capacity to repay their debt, and are imposing obstacles to prevent those with a bad credit history from securing a loan.
Being rejected for a loan could adversely affect a borrower’s credit rating, and in turn this could also affect them the next time they go to a financial institution to borrow money.
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By |May 20th, 2011|Categories: Debt Management|Tags: , , , |Comments Off on Banks Funding Costs Hurt Borrowers

Brokers Beat Banks on Customer Satisfaction

Recent research has found that borrowers who use mortgage brokers to source their loan are more satisfied with the service provided and their end loan product than those who source their home loan through the banks.

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By |May 19th, 2011|Categories: Home Loans|Tags: , , , |Comments Off on Brokers Beat Banks on Customer Satisfaction