Best discount from commonwealth bank 0.94 off variable rate

Some pretty good fixed rates around at the moment for anyone who's looking...
6.39% for 1,2 or 3 years at ING. Reverting to 7.12% variable
6.44% for 3 years at ANZ 6.29% -reverting to whatever your relevant variable discount is (for most people its 0.7-0.8%, so about 7-7.1%, or 6.8% for the lucky few getting 1% discounts)
6.29% for 2 years at loans.com.au - reverting to 6.69% variable

They all represent quite a discount on existing variable rates. Looks like these lenders bought a tranche of funds while 2 and 3 year money was pretty cheap last week. That's good news for investors looking to lock in some pretty cheap rates for a couple of years or three but funding costs have already jumped back up a little bit so depending on how much they bought and how quickly people jump on it, I would think these offers will only be around for 3 or 4 weeks.
 
The retention team at ANZ just got back to me and gave me 6.8% variable, which means 1% off the standard variable for the life of the loans.

They offered me 6.44% fixed for 2-3 years which I don't think I will take.
 
Resurrecting an old thread :)

So we have 1% discount on our ~$700k worth of debt with Commbank currently at 6.41% variable (inc discount). With the announced .4% variable move (to come in on May 11th :/ ) it will come to 6.01% variable (inc discount).

Has anyone got recent tales of pushing the other 3 banks or commbank lower on their discounted variable rates?
 
Resurrecting an old thread :)

So we have 1% discount on our ~$700k worth of debt with Commbank currently at 6.41% variable (inc discount). With the announced .4% variable move (to come in on May 11th :/ ) it will come to 6.01% variable (inc discount).

Has anyone got recent tales of pushing the other 3 banks or commbank lower on their discounted variable rates?

Did so with StG to match ANZ (before ANZ bumped up their rates).

Had the professional discount and threatened to walk and they matched.

We were in the process of settling a new property with this new rate set, they stuffed up and dragged their feet and they ended up compensating us $2000K!!! How's that for a change. A bank paying its customer for a mistake!
 
We were in the process of settling a new property with this new rate set, they stuffed up and dragged their feet and they ended up compensating us $2000K!!! How's that for a change. A bank paying its customer for a mistake!

$2000K = $2 million

Must be a nice feeling I reckon :)

Cheers,
Oracle.
 
Resurrecting an old thread :)
So we have 1% discount on our ~$700k worth of debt with Commbank currently at 6.41% variable (inc discount). With the announced .4% variable move (to come in on May 11th :/ ) it will come to 6.01% variable (inc discount).

CBA offered me over the phone 6.16% variable with further discounting to 6.01% as well

Sounds like their customer team is in force in preparation for the new SVR rates effective next Friday.
 
Yeah gotta agree on the MISA...bugger of a thing with min $500 internal transfers etc but at least you can pay straight into them with rents/wages etc.

And yes servicability was difficult a couple years ago, hate to think what it's like now. Thanks for the reply.
 
Resurrecting an old thread :)

So we have 1% discount on our ~$700k worth of debt with Commbank currently at 6.41% variable (inc discount). With the announced .4% variable move (to come in on May 11th :/ ) it will come to 6.01% variable (inc discount).

Has anyone got recent tales of pushing the other 3 banks or commbank lower on their discounted variable rates?

I gave CommBank a bit of a push on my mere $275K loan with 10% LVR and they gave me an extra 0.15% discount to make it a total 0.75% discount and with the new drop, my rate now comes to 6.26%.
 
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In a first, ANZ has stuffed up and Im on 6.47% var atm, until whatever anz drops their rates by.

The reason why they have stuffed up.. i got loan 1 in dec 2008 with a .6% discount off var rate. I just got loan 2 which came into effect from march and because i got in on their 0.95% deal off var rate at the time. Up until a few weeks ago loan 1 was still at 0.6% disc and it seems with the rate change i where they upped the rate 0.06% i am now on 0.95% discount for both loan 1 and 2! However cause my loan is about 580K total I dare say the discount should of applied to loan 1 but as loan 1 was not a 'new' loan they may use that as a excuse not to apply it. Anyhow its a Win for me! :)
 
In a first, ANZ has stuffed up and Im on 6.47% var atm, until whatever anz drops their rates by.

The reason why they have stuffed up.. i got loan 1 in dec 2008 with a .6% discount off var rate. I just got loan 2 which came into effect from march and because i got in on their 0.95% deal off var rate at the time. Up until a few weeks ago loan 1 was still at 0.6% disc and it seems with the rate change i where they upped the rate 0.06% i am now on 0.95% discount for both loan 1 and 2! However cause my loan is about 580K total I dare say the discount should of applied to loan 1 but as loan 1 was not a 'new' loan they may use that as a excuse not to apply it. Anyhow its a Win for me! :)

sshhhhhhhhhhhhhhh


you are the favoured child :)


The rumour is that 1 in 10 bank errors goes in the favour of the borrower

ta

rolf
 
MISA isn't a true offset account like the other lenders'. Plus their serviceability is terrible so it really limits portfolio growth.

Hi Aaron,

When you say not a true of set account, what do you mean? Does this impact the tax situation. Have just encountered their Servicability issues. Not overly impressed.
 
Hi Aaron,
Have just encountered their Servicability issues. Not overly impressed.

I will leave Aaron to the MISA bit.

CBA serviceability is what it is.........it isnt great especially above 80 % lvr.

But my primary comment not so much to you directly, because I know ZIP of your circumstances, but to investors with "big goals" generally, servicing due to lender issues are a challenge you should NOT be running into.


Working out what lender you are to be using and at what LVR, and at what stage of your portfolio growth, is almost as essential as choosing to buy the right property for you.


On a regular basis, we inherit " orphan clients" from various banks' branch managers / lenders/ private bankers ( and sadly just as many from brokers that should NOT be licensed to provide credit advice to anyone but for a Ma n PA PPOR loan), where the borrowers still have huge resources, either in equity, serviceability, risk tolerance or knowledge (and often in all 4 ) but their lending structure forbids further portfolio growth.


In most cases, the existing credit structuring needs a full unravel ( at considerable financial and CRAA file cost) or worse still, the investor needs to let the portfolio lie fallow for a few years : ( .................

Learn about structured financing / mortgage planning if you are looking to increase or plan your portfolio. The basics arent that hard to grasp, but does require a bunch of detail work to finesse.

Do u "need" a broker to do this ? You sure dont, one can put a basic framework of financing plan together on a DIY basis if you have the time and inclination, but its one area of your investing that could be worth farming out.

ta
rolf
 
When you say not a true of set account, what do you mean? Does this impact the tax situation. Have just encountered their Servicability issues. Not overly impressed.

What I mean is a true offset account (offered by the other 3 majors) allows you to use it as a transaction account. So you can pay bills from there, pay other people, deposit cheques in there etc. With the CBA MISA account there is a minimum drawdown of $500, which is unsuitable if you want to use it as a transaction account for paying bills or withdrawing money from the ATM. You still get the tax benefits but it's very cumbersome.
 
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