2.29% Fixed Home Loan Rate (for 1, 2 or 3 Year) at CBA
A new lowest ever fixed rate for a big 4 bank.
Disclaimer: I posted this deal on a CBA IP address so it has marked me as associated but I have no connection, input or any other knowledge of this deal apart from what has been made public. (So please don't PM me questions because I don't know the answer!)
Make no mistake folks, I believe what Paul Keating believed in 1990, “This is the recession we had to have”
Not passing any of the rate is bullocks.
This fixed rate is even more of a rat move by the bank as they know the worst is to come.
Not only have they enjoyed profiting billions off a 20 million population, they continue to talk rubbish that they're looking after the people.
And for that bullocks they can eat poo.
No change to variable rates so a bit of an F U to existing customers. ALSO and I can't stress this enough - check the revert rate at the end of the fixed period as they generally revert to a really expensive rate which you are stuck with for the remaining 27-29 years of the loan term. You can always refinance at the end of the fixed term but most won't.
No change to variable rate = a negative vote from me.
You should always negotiate both fixed and variable rate at the time of signing up even if you are going for 100% fixed loan ( a mistake) The loan contract clearly states the discount you would get on the variable rate POST the fixed term is over (CBA does). It’s not hard to make out if you are getting a bad variable rate (NOW) it will be worse when you actually come off the fixed period. Also commonsense says you should always ask for a review once you come off the fixed rate loan cause the discounts may have gone up.
Yes, people will refinance for the cheaper fixed rate but will then sit on a more expensive rate for 27-29 years after the fixed period ends. Sound logic.
You are assuming most people are logical
Pay attention to the RBA announcement. The RBA is lending to authorised deposit-taking institutions (ADIs) at 0.25% (25bps) as a fixed rate over a 3 year term. CBA is still taking a high margin of 2.04% so this will be beaten by ADI's who can access the funding. I think someone will be quick to grab headlines with a 1 handle and effectively take a lower margin.
rolls eyes - please refrain from posting when you have absolutely no idea of how banks borrow the money they lend to you. +60% of the funds you are borrowing for a home loan for example, are actually coming from term deposits and cash that other people have in their account with that bank. With term deposit rates of 1.70% for 12 months (check the CBA website). The 2.04% you are quoting is a lot more like 0.50%.
The RBA website for some further education - check the attached graph for the full breakdown…
https://www.rba.gov.au/publications/bulletin/2019/mar/develo…
Thank you.
Anyone know what the exit fee/% is for CBA fixed loan?
90% of house value + 3 dim sims
Yeah ok buddy.
Managed to find it anyway and for anyone else wanting to boot, formula is in the doc:
https://www.commbank.com.au/content/dam/commbank/personal/ho…
Great so not pass on the rate decrease but make up some other phony deal
CBA out early to set the way for not passing on the cuts. hope other don't follow
Lot of inappropriate uses of the neg button going on here.
Wow lots of idiots negging in here.
Basically none of the banks have announced any rate cuts yet after the RBA's announcement (except this fixed rate change)).
Expect the bank announcments to variabale rate cuts to flow through today and into next week.
Lots of idiots still rewarding the big 4 with there business even after the findings from the royal commission.
Can’t believe they didn’t pass the rate cut on variable rates.
From CBA Facebook page.
In the current uncertainty surrounding coronavirus, the wellbeing of our customers and the community remains our priority.
Following today’s announcement by the RBA, we have expanded our support for businesses, households and savers.
For our business customers, we’re reducing interest rates by 1.00% p.a. on business loans where rates are based on the current cash rate. This is in addition to the 0.25% p.a. reduction announced on 3rd March, and will come into effect on 3rd April.
For savers, we’re increasing the interest rate on our 12 month term deposit by 0.60% p.a. to 1.70% p.a., available 20th March.
For households, we’re dropping some interest rates by 0.70% p.a. to our lowest advertised rate ever: 2.29% p.a. This rate is available for new and existing customers for new or switched one, two and three year fixed home loan rates for owner occupiers on the Wealth Package, paying principal and interest.
For more information please visit https://www.commbank.com.au/news/rate-announcement.html
Pretty sure the actuarists have done their calculations that the bank will be the winner in this. Rates normally go down after a fix rate offer, it's their way of locking in profit/protecting themselves from further rate reductions.
I just went into to CBA and they offered be a 3 year fixed rate of 2.19%!!!
This is on a loan of $630k with 10% deposit…unbelievable!!!
Which branch did you go to?
Brisbane Adelaide street. I see that ANZ have announced 2.19% fixed but only for 2 years.
Please post a realistic comparison rate, in this case 3.6% right?
their lines are busy. Keep complaining to CBA guys
How long does CBA take to grant pre-approval these days? ANZ are taking FOREVER!!!!!! Not really happy with their service already, and we don't even have the home loan yet..
I know they dont NEED to pass anything on, I am just calling bullshit on their chest beating of how they are wanting to help all their customers when that clearly isnt what they are doing