Another 0.2% in addition to the RBA increase of 0.25%.
I know the media run alarmist stories about rate rises but a 0.45% interest rate rise in one hit may hurt a few borrowers (those who have borrowed at lower variable rates and are now close to max. serviceability and have not yet fixed).
Borrowers with an 80% lvr loan on say a 600k property in Sydney who owe 480 at variable rates will be paying an additional $180/month ($2160/year).
From Commbank's internet banking site:-
"Home Loan Rate Change
We announced today that following the Reserve Bank's decision to increase the cash rate by 0.25% pa and continued increases in our funding costs, we are lifting our variable rate home loan interest rates by 0.45% pa, effective Friday 5 November 2010.
Please check the 'Account Information' tab from Saturday 6 November and select your home loan to confirm your new interest rate including any interest rate concession.
Visit www.commbank.com.au/rates for more information.
If your repayments need to increase, we'll send you a home loan statement with a letter outlining the new minimum repayment and the date this takes effect with at least one month's notice.
If you would like to review your own repayments before then, you can now use the Home Loan calculator on the 'Account Information' tab. You can also amend your repayment amount, frequency and date via the 'Manage Accounts' tab."
I know the media run alarmist stories about rate rises but a 0.45% interest rate rise in one hit may hurt a few borrowers (those who have borrowed at lower variable rates and are now close to max. serviceability and have not yet fixed).
Borrowers with an 80% lvr loan on say a 600k property in Sydney who owe 480 at variable rates will be paying an additional $180/month ($2160/year).
From Commbank's internet banking site:-
"Home Loan Rate Change
We announced today that following the Reserve Bank's decision to increase the cash rate by 0.25% pa and continued increases in our funding costs, we are lifting our variable rate home loan interest rates by 0.45% pa, effective Friday 5 November 2010.
Please check the 'Account Information' tab from Saturday 6 November and select your home loan to confirm your new interest rate including any interest rate concession.
Visit www.commbank.com.au/rates for more information.
If your repayments need to increase, we'll send you a home loan statement with a letter outlining the new minimum repayment and the date this takes effect with at least one month's notice.
If you would like to review your own repayments before then, you can now use the Home Loan calculator on the 'Account Information' tab. You can also amend your repayment amount, frequency and date via the 'Manage Accounts' tab."