Westpac has lowered their Fixed Rates significantly.

[triton07]

Westpac has lowered their Fixed Rates significantly.


The following Home and IPL fixed interest rates will be effective from 26 August 2008:
Term Current rate New rate Movement
1 year - Guaranteed 8.89% 8.59% - 0.30%
1 year 9.29% 8.69% - 0.60%
2 year 9.29% 8.59% - 0.70%
3 year 8.89% 8.39% - 0.50%
4 year 9.19% 8.39% - 0.80%
5 year 9.09% 8.39% - 0.70%
6 year (Fixed Rate IPL only) 9.09% 8.39% - 0.70%
7 year 9.09% 8.39% - 0.70%
9 year (Fixed Rate IPL only) 9.09% 8.39% - 0.70%
10 year 9.09% 8.39% - 0.70%
12 year (Fixed Rate IPL only) 9.09% 8.39% - 0.70%

Premier Advantage product for a further 0.20% p.a. discount on the above rates.

They are on the moove!

Cheers
George

 

[Bandita]

Sorry - what's "IPL only" stand for??

Thanks!

Cheers,
Jen

 

[jagmcmanus]

Sorry - what's "IPL only" stand for??

Thanks!

Cheers,
Jen

I assume investment property loan only...


In 2002-2003 I worked at one of the big 4 banks and I got the following loans:

6.54 5 yr fixed
6.74 7 yr fixed
7.09 10 yr fixed

I got a staff discount of .25 I think which was what a customer borrowing over 500k or on a professional package could negotiate anyway so the discount wasn't too special.

There is no way I could have managed to get through the last 2 years if I had variable rates. I have seen plenty of charts that show over a 20 yr period you are better off going variable the whole time but the rba minutes provide an insight into where interest rates are going. I guess I'll go variable for the next few years at any rate as each fixed rate expires.

 

[Bandita]

I assume investment property loan only...


In 2002-2003 I worked at one of the big 4 banks and I got the following loans:

6.54 5 yr fixed
6.74 7 yr fixed
7.09 10 yr fixed

I got a staff discount of .25 I think which was what a customer borrowing over 500k or on a professional package could negotiate anyway so the discount wasn't too special.

There is no way I could have managed to get through the last 2 years if I had variable rates. I have seen plenty of charts that show over a 20 yr period you are better off going variable the whole time but the rba minutes provide an insight into where interest rates are going. I guess I'll go variable for the next few years at any rate as each fixed rate expires.

Interesting, thanks! Do you mean you can get .25 off the fixed rate for borrowings over $500k?? I guess I've always considered it to be a variable rate discount.....

Thanks,
Jen

 

[ArJay]

6 year (Fixed Rate IPL only) 9.09% 8.39% - 0.70%
7 year 9.09% 8.39% - 0.70%
9 year (Fixed Rate IPL only) 9.09% 8.39% - 0.70%
10 year 9.09% 8.39% - 0.70%
12 year (Fixed Rate IPL only) 9.09% 8.39% - 0.70%

Premier Advantage product for a further 0.20% p.a. discount on the above rates.

Cheers triton...those are very significant drops for one of the big four.
They must be seeing a pretty significant downturn on the horizon....

R

 

[LynnH]

Interesting - but now low enough to tempt me to fix at present.

Cheers
LynnH

 

[MichaelW]

Cheers triton...those are very significant drops for one of the big four.
They must be seeing a pretty significant downturn on the horizon....

Or a much more competitive lending environment as the non-bank lenders get back in the game. They're milking the current market for all its worth but they realise that its a short term profit taking opportunity that can't last indefinately.

Rates are coming down and have a fair way to come off yet. 150bp over the next 1-2 years is probably about right.

Cheers,
Michael

 

[ianvestor]

Interesting, thanks! Do you mean you can get .25 off the fixed rate for borrowings over $500k?? I guess I've always considered it to be a variable rate discount.....

Thanks,
Jen

Jen, I get discounts on fixed also (about 0.25). I pay $300 p.a. to be on what the CBA call a 'Wealth Package' which works out to be good value because I have several loans / credit cards / savings accounts / insurance accounts with them, most of which have discounts or bonuses because of the wealth package.