The Reserve Bank of Australia has cut official interest rates to a record low of 0.25%.
Your move, banks and other lenders!
Reserve Bank Cuts Rates to Record Lows (0.25%). (March 19 2020)
dust on 19/03/2020 - 14:43
Last edited 19/03/2020 - 15:14 by 1 other user
Last edited 19/03/2020 - 15:14 by 1 other user
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And the standard cash rate on a credit card is still 20%…
What does the cash rate have to do with credit cards?
doubt any large lender is going to pass on less than 25 points.
Wrong on that one.
"What does the cash rate have to do with credit cards?"
It's an example of banks charging what the market will bear regardless of the actual costs for the bank.
will bear regardless of the actual costs for the bank.
and would should unsecured easily obtainable credit be for an interest rate ;)
Well CBA just announced that they're not passing on any of that cut on any of their variable mortgage rates. Just reducing rates on some business loans and fixed rate mortgages to lock new customers in
They can do whatever they want and most Australians will still happily keep their banking with them, as if they give a toss about negative publicity when they are by far the biggest player
I left CBA in 2014 and am very glad that I did. It has saved me many thousands of dollars. Apart from some specific lending requirements, such as new construction home loans, I see little reason to stick with the big four banks.
Australians have partially themselves to blame for the big four behaving the way they do. Don't like the bank? Leave! It's not hard, but you have to put a little effort in to save a lot of money. For many people this is just too much hassle.
I doubt any large lender is going to pass on less than 25 points. The amount of hate, negative publicity, and political pressure they'll receive is immense.
CBA: Hold my beer
The US Federal Reserve announced on Sunday it would drop interest rates to zero and buy at least $700 billion in government and mortgage-related bonds as part of a wide-ranging emergency action to protect the economy from the impact of the coronavirus outbreak.
The last time there was a rate drop Citibank increased their credit card interest rate by 0.5% to 21.49%. Recommendation: AVOID
Just pay off the full balance every month.
Just pay off the full balance every month.
this..
I'd sign up to a CC with 100% interest rate if it gave me better bonuses :)
I just heard the Commonwealth Bank are going to drop their rates by .75 percent I don't know if this is correct but it be good change
Not for home loans. Only business loans.
https://www.theage.com.au/business/banking-and-finance/cba-l…
that seems like bad form.
Apparently dropping their fixed to 2.29% for 1, 2 or 3 year terms though:https://twitter.com/Peter_F_Ryan/status/1240495792399372288?…
EDIT: yep commbank official:
https://twitter.com/CBAnewsroom/status/1240481803225296896?s…
Agreed that it's poor form, and for some looking for a more competitive rate this may be the final nail in the coffin
gee the AUD has tanked!
yep i will leave this country soon, time to earn usd again
Tell me about it. I could without effort get a job paying $75k USD/year overseas with cheaper COL. Equivalent of a $130k salary here. It's ridiculous.
well see what the other banks do
Just another incremental step towards the dystopian cashless society and guaranteeing bank bail-ins when the the financial system implodes. Cash transactions over $10,000 are already illegal (and the law specifically has the provision to allow that limit to be altered by the Finance Minister at will, in the future).
You're no use to Fractional Reserve Banking/Fiat Currency Cult if you're being a responsible adult, living within your means and saving money; you must be enslaved to the banks and drowning in debt for the rest of your life in order for them to have their pound of flesh.
Ol' Tommy J. said it best: "The modern theory of the perpetuation of debt, has drenched the earth with blood, and crushed its inhabitants under burthens ever accumulating."
Right, but it passed in the Lower House by a landslide and the Senate Inquiry is all in favour, so I assume as per the usual legislative operating procedure in this country, the vote will be quietly slipped under the radar during a holiday period or some other diversionary crisis; i.e. the one we're experiencing right now, then incrementally modified and expanded in scope until we're like the EU, where some member states have already gone as far as limiting cash transactions to a maximum of €1000.
I doubt any large lender is going to pass on less than 25 points. The amount of hate, negative publicity, and political pressure they'll receive is immense.
The key here though, is to see whether lenders will bump up fees and rates after the crisis is over to compensate for lower short term profits.
And the standard cash rate on a credit card is still 20%…