what else are they going to do? the big 4 are the laughing stok of the world and called 'moron banks' because all they do is lend for housing and cars. Of course the joke is on the aussie public because we are the ones that can't get real access to capital and get royally done over thru lack of competition
Todays RBA Decision for the Month of November.
- Thread starter Rixter
- Start date
what else are they going to do? the big 4 are the laughing stok of the world and called 'moron banks' because all they do is lend for housing and cars. Of course the joke is on the aussie public because we are the ones that can't get real access to capital and get royally done over thru lack of competition
Would love to see that, but that's not what happens. If what I said is right regarding true collusion, then all 4 will move and there will be no competitive difference still, and so the roar of anger quietens to a whimper.
EDIT: Or all 4 move because the costs of lending have indeed increased ...... Or whatever we get fed..... Intersting to see, I think it will play out as predicted though. They protect each other as they are all getting the bonus.
Haha but when they try and diversify more into say wealth management, they get done over for competition reasons (eg NAB / AXA).
how about the fact that we're getting ripped off?
Only the quality loans would be able to move, CBA would be left with a higher concentration of poor loans.
They are not interested in any more business.
I was talking to them a few weeks back and they did not seem keen to negotiate their standard variable rate.
Even the 0.7% discount they wanted to start it at $750K so I told them I am not interested in their loans.
A few months ago people were complaining about Westpac not giving them enough discounts, now CBA has moved up too much.
The big 4 banks' SVR's will constantly be up and down relative to one another, so I wouldn't change banks based just on a 0.45% rise...
NAB may be cheap today, but tommorrow may be another story...
The big 4 banks' SVR's will constantly be up and down relative to one another, so I wouldn't change banks based just on a 0.45% rise...
NAB may be cheap today, but tommorrow may be another story...
I don't normally engage in bank bashing, so let me qualify this post with 2 statements:
1. I own CBA shares
2. I don't have a mortgage with CBA
After announcing their $5.6bn profit, hiding behind "increased funding costs" is wearing a bit thin....I'm glad I don't have a mortgage with them anymore.
These guys are filth. I have friends who are CBA employees, and despite the mega profits of over $30bn the last decade, they all got a paltry $800 pay rise for the YEAR, this year.
The money's going somewhere; yes, some are going to dividends, but not all of it, and differential funding costs are back to PRE-gfc times.
Aside from that, I'm sick of Wayne Swan's indignation for the 45th time. Do something about, or shut up.
If you've got a mortgage with CBA, and you've been with them for longer than 3 years, switch.
If you have an interest bearing account with the CBA, ask when you're going to get your .45% on your savings, and if you don't get it, switch.
If you have a non-interest bearing account with the CBA, move to a credit union, fast.
There's talk on the posts about interest rates dropping soon (ish). There will not be any interest rate drops any time soon.....
There are people out there with real financial hardship, and I'm talking below the bread line. Very few people on these forums can say they are below the bread line, let alone the "working poor"...
__________________
"Think you can, think you can't...either way you'll be right"
1. I own CBA shares
2. I don't have a mortgage with CBA
After announcing their $5.6bn profit, hiding behind "increased funding costs" is wearing a bit thin....I'm glad I don't have a mortgage with them anymore.
These guys are filth. I have friends who are CBA employees, and despite the mega profits of over $30bn the last decade, they all got a paltry $800 pay rise for the YEAR, this year.
The money's going somewhere; yes, some are going to dividends, but not all of it, and differential funding costs are back to PRE-gfc times.
Aside from that, I'm sick of Wayne Swan's indignation for the 45th time. Do something about, or shut up.
If you've got a mortgage with CBA, and you've been with them for longer than 3 years, switch.
If you have an interest bearing account with the CBA, ask when you're going to get your .45% on your savings, and if you don't get it, switch.
If you have a non-interest bearing account with the CBA, move to a credit union, fast.
There's talk on the posts about interest rates dropping soon (ish). There will not be any interest rate drops any time soon.....
There are people out there with real financial hardship, and I'm talking below the bread line. Very few people on these forums can say they are below the bread line, let alone the "working poor"...
__________________
"Think you can, think you can't...either way you'll be right"
this is part if the challenge............fielded more than a dozen email and calls already today over "get me away from this"..........possible fring pan into fire stuff though.
If we look at a lenders resi mortgage book silo, lenders like cba have "no option" but to raise rates to maintain margins.
There is profit in other areas of the bank that could be brought across to subsidise a slack mortgage area........but the shareholders dont like that.
Most resi mortgage backed loans with an ROI of less than 20 % arent worth writing for most lenders.
ta
rolf
ta
rolf
I think the NAB may just increase in line with the reserve bank. Westpac will increase by .35 (they already have done the .45% increase) and ANZ will either increase between .35-.45%.
If the NAB increase there rate by .25 they will probably get a fair bit of the mortgage business (they are at the moment the smallest of the big 4 after being the biggest company in Australia 12-13 years ago).
NAB are claiming to be trying to give there customers a fair go, if they increase in line with the reserve bank or only marginally (.3%) increase there rates, they'll have a huge marketing coup. I can see the ads now. "We at NAB give our customers a fair go while the others rip you off."
Then in 1-2 years NAB will have too many loans and will probably start increasing rates by a lot more than the other big 4. (assuming they behave the same as the others).
I'll keep an eye on RAMS (who we are with) and NAB. If I feel RAMS are taking us for a ride (anything more than .35% I'll consider my options) and the NAB can offer a much cheaper rate, I might get the next mortgage with them and refinance the current mortgage.
If the NAB increase there rate by .25 they will probably get a fair bit of the mortgage business (they are at the moment the smallest of the big 4 after being the biggest company in Australia 12-13 years ago).
NAB are claiming to be trying to give there customers a fair go, if they increase in line with the reserve bank or only marginally (.3%) increase there rates, they'll have a huge marketing coup. I can see the ads now. "We at NAB give our customers a fair go while the others rip you off."
Then in 1-2 years NAB will have too many loans and will probably start increasing rates by a lot more than the other big 4. (assuming they behave the same as the others).
I'll keep an eye on RAMS (who we are with) and NAB. If I feel RAMS are taking us for a ride (anything more than .35% I'll consider my options) and the NAB can offer a much cheaper rate, I might get the next mortgage with them and refinance the current mortgage.
I have only a few thousand in Super, only as I had no choice when I worked for someone else. The Government forces you to take Super which is not bad but if I had a choice I would have not taken it so there!
This is not about penalising wealthy retirees but about the banks taking advantage of the relaxed attitude of our system. Obviously you don't give a damn that many Aussie families will lose everything they have worked for now because of the greed of banks. They just posted extremely high profits and now they want to push the average Aussie even further by taking more from them and giving it to the lucky shareholders and the HUGE FAT wallet of the CEO of the Com bank.
Besides that it is hurting exporting by pushing the dollar to record highs and people like me who are just making our investments manageable, putting up our mortgage payments is going to hurt a lot more people mush worse than myself which will just be a few hundred a year more per property. But I have every damn right to be annoyed so DON't Tell me in your Q&A method that I'm not entitled to complain, thank you very much !
Edit: and for the record I have no mortgage with this dirty bank
This is not about penalising wealthy retirees but about the banks taking advantage of the relaxed attitude of our system. Obviously you don't give a damn that many Aussie families will lose everything they have worked for now because of the greed of banks. They just posted extremely high profits and now they want to push the average Aussie even further by taking more from them and giving it to the lucky shareholders and the HUGE FAT wallet of the CEO of the Com bank.
Besides that it is hurting exporting by pushing the dollar to record highs and people like me who are just making our investments manageable, putting up our mortgage payments is going to hurt a lot more people mush worse than myself which will just be a few hundred a year more per property. But I have every damn right to be annoyed so DON't Tell me in your Q&A method that I'm not entitled to complain, thank you very much !
Edit: and for the record I have no mortgage with this dirty bank
ah rachels of course you are entitled to complain, you are even entitled to express your entitlement through voting in our great political system
But its a democracy, the banks also have an entitlement to generate an adequate return on their investment, you dont like it, excersise your entitlement not to borrow.
Me i am just focussing on my democratic entitlement to analyse how i can profit from it.
no what will harm their long term profits is writing loans with insufficient margins. In this environment loan growth is slowing.
Personally i couldnt care less if banks face higher regulation, i also dont care if the government steps in an fixes interest rate margins.
This form of market interference will decrease supply of loans available.
This also doesnt worry me in the least, i dont rely on a generous lending environment to subsidise my investments.
The investments must stand on their own two feet first, i just use debt as a facilitator.
I have only a few thousand in Super, only as I had no choice when I worked for someone else. The Government forces you to take Super which is not bad but if I had a choice I would have not taken it so there!
This is not about penalising wealthy retirees but about the banks taking advantage of the relaxed attitude of our system. Obviously you don't give a damn that many Aussie families will lose everything they have worked for now because of the greed of banks. They just posted extremely high profits and now they want to push the average Aussie even further by taking more from them and giving it to the lucky shareholders and the HUGE FAT wallet of the CEO of the Com bank.
Besides that it is hurting exporting by pushing the dollar to record highs and people like me who are just making our investments manageable, putting up our mortgage payments is going to hurt a lot more people mush worse than myself which will just be a few hundred a year more per property. But I have every damn right to be annoyed so DON't Tell me in your Q&A method that I'm not entitled to complain, thank you very much !
What the banks are doing will not effect the dollar. They are not increasing the deposit rate by more than .25%.
As for the RBA's move, I agree with it. It looks like inflation will be a problem next year so they are making a pre-emptive strike in the hope they don't have to increase rates more in the future.
12 months time we might be facing an opposite problem.
I am a shareholder of CBA.
I have a mortgage with CBA.
Oh dear.
I seemed to have screwed myself!
I have a mortgage with CBA.
Oh dear.
I seemed to have screwed myself!
And when they have higher government regulation, it will effect there margins. You may think you don't rely on generous lending environment, but your capital growth on your properties will be effected negatively if it changes.
Well..I would envisage thsat they (CBA) are doing okay.....
I am not complaining at the moment as I locked in most of my loans with a 5 in front. But they do come off mid to late next year.
I am pondering what my next steps will be.....their $700 exit fee does not worry me.
Last time I called up and asked for payout figures on all my loans...got a call from their retention arm and they got me a good deal and I stayed.
Will be interesting how they respond...for the moment....CBA is losing money on me.
If rates remain high...I will look at moving about 700k loans across at the same time. If I can get a good rate (preferably fixed) i might move all my loans, accounts, etc to the NAB.
I am not complaining at the moment as I locked in most of my loans with a 5 in front. But they do come off mid to late next year.
I am pondering what my next steps will be.....their $700 exit fee does not worry me.
Last time I called up and asked for payout figures on all my loans...got a call from their retention arm and they got me a good deal and I stayed.
Will be interesting how they respond...for the moment....CBA is losing money on me.
If rates remain high...I will look at moving about 700k loans across at the same time. If I can get a good rate (preferably fixed) i might move all my loans, accounts, etc to the NAB.
