ANZ: 3 year fixed 6.44%
- Thread starter simo74
- Start date
It depends on how and at what rate the money was funded, and the cost of the money on the day you want to break the fixed contract. The time to run on the fixed term is also factored in.
In other words, there's no way for you to tell, as the bank doesn't disclose any of this information on a day to day basis.
I've often noticed that if you're wanting to break a fixed rate to save money, the cost of breaking is about double the savings you'd make over the remaining loan term.
Essentially, you need to consider your future needs when you take a fixed rate. If you believe you'll want to shift lender or sell the property within the fixed period, stay with variable.
Additionally you shouldn't fix with a view to saving money. Your attitude to the fixed rate should be that you know what you'll be paying for a set period and you don't care if rates go up or down.
Depends on a number of things. If we are talking economic cost then:
The Lender
Interest type i.e In advance/Arrears etc
Fixed Term remaining
Cost of funds at commencement of fixed rate period
Cost of funds for remainder of fixed rate period.
Current Loan Balance.
In very simple terms its generally the current loan balance X the change in cost of funds X fixed term remaining. Please note that this does not take into account the reduction of the loan balance over the remainder of the fixed rate period or discounting of future payments.
No probs with this lot until you need to extract a title.
dont be like that !
May I add, wait till you get to the end of your IO period ..................
ta
rolf
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hi i think im quite interested with anz offering but im just wondering if breakfree annual fee (which is 375 dollar) covers the admin fee?
i checked their website and found out for fixed account the admin fee is 10 dollar and for variable it's 5 dollar
it seems excessive if on top of 375 dollar a year we are being charged monthly fee too
i checked their website and found out for fixed account the admin fee is 10 dollar and for variable it's 5 dollar
it seems excessive if on top of 375 dollar a year we are being charged monthly fee too
ING fixed rate ------- 3 years ---- 6.39%!
1 Year Fixed 6.39% p.a.
2 Year Fixed 6.39% p.a.
3 Year Fixed 6.39% p.a.
4 Year Fixed 6.89% p.a.
5 Year Fixed 6.99% p.a
I didn;t want to start a new trend, because i know this will be a NEVER ending battle ---EVERY DAY i get a new email from the bank's about them reducing their fix rates.......
I got words from Bankwest that they will consider going down to 6.25% in a weeks time or so.....
Regards
Michael
1 Year Fixed 6.39% p.a.
2 Year Fixed 6.39% p.a.
3 Year Fixed 6.39% p.a.
4 Year Fixed 6.89% p.a.
5 Year Fixed 6.99% p.a
I didn;t want to start a new trend, because i know this will be a NEVER ending battle ---EVERY DAY i get a new email from the bank's about them reducing their fix rates.......
I got words from Bankwest that they will consider going down to 6.25% in a weeks time or so.....
Regards
Michael
WOOTTTTING fixed rate ------- 3 years ---- 6.39%!
1 Year Fixed 6.39% p.a.
2 Year Fixed 6.39% p.a.
3 Year Fixed 6.39% p.a.
4 Year Fixed 6.89% p.a.
5 Year Fixed 6.99% p.a
I didn;t want to start a new trend, because i know this will be a NEVER ending battle ---EVERY DAY i get a new email from the bank's about them reducing their fix rates.......
I got words from Bankwest that they will consider going down to 6.25% in a weeks time or so.....
Regards
Michael
this is crazy i am now totally confused
As with most lenders professional packages, ANZ only charge the annual fee. Monthly and upfront fees are waived.
Bank rates
Hiya
This is why rates are falling....
http://www.theage.com.au/business/deposit-rates-fall-amid-global-jitters-20110818-1iz6f.html
Hiya
This is why rates are falling....
http://www.theage.com.au/business/deposit-rates-fall-amid-global-jitters-20110818-1iz6f.html
citi are into fun as well
• 3 Years – 6.45%
ta
rolf
• 3 Years – 6.45%
ta
rolf
symptom in my view, but I could be wrong
fixed rates are coming down because institutional investment fund managers can no longer ignore the obvious............
XYZ tax or not, the OZ economy isnt as solid as all the brave faces have made out.
Now all the fund managers are looking to lock in some form of decent returns before the likely correction to rates and all that comes with it
No skin off the banks nose, their margins are locked in either way.
ta
rolf
My feeling is different Rolf. I think the money markets have over-estimated the chances of large interest rate reductions. I think the stock market volatility has spooked the money markets. My bet is fixed rates will be higher next month. 6.40% for 3 years is very optimistic (or pessimistic - whichever way you want to look at it). Interestingly, the best time to fix rates is when no one wants to. I recall recommending fixing at St George for 5 years at 5.64% (or whatever it was). Not many clients listened but the ones that did love me now. I guess it’s a bit of a gamble.
