Browse Forums Home Finance 1 May 26, 2009 12:44 pm Living in Caloundra Thread****** Lovin my house all finished!!! Now tackling the HUGE task of the Garden- viewtopic.php?f=31&t=14782 Re: Rates going up tomorrow 4May 27, 2009 2:57 pm Living in Caloundra Thread****** Lovin my house all finished!!! Now tackling the HUGE task of the Garden- viewtopic.php?f=31&t=14782 Re: Rates going up tomorrow 6May 27, 2009 4:23 pm Living in Caloundra Thread****** Lovin my house all finished!!! Now tackling the HUGE task of the Garden- viewtopic.php?f=31&t=14782 Re: Rates going up tomorrow 8May 27, 2009 4:31 pm Living in Caloundra Thread****** Lovin my house all finished!!! Now tackling the HUGE task of the Garden- viewtopic.php?f=31&t=14782 Re: Rates going up tomorrow 12May 27, 2009 4:44 pm ![]() ![]() Problem is, I doubt the banks will pass on any further cuts. they cant afford it!! "The fact that none of the big banks passed on the full effect of the last RBA rate cut was brought into sharp focus at the Sydney NAB Broker roundtable when its regional general manager, Matt Lawler, told brokers that the bank had been "taking back margin". Lawler was responding to questions posed by brokers about 'cost of funds' explanation given by banks for not passing on RBA rate cuts. He tempered his response by saying the bank was not taking back as much as it did in the 1990s when he said margins were as high as 4%." Source: Australian Broker Given the state of financial services and the lack of competition to the majors in 1990 that's not a very palatable response as it's a completely different environment now... .. but I guess he had to say something and the old "you may not like what we're doing now but remember how much worse we used to be" statement probably seemed a good idea at the time Re: Rates going up tomorrow 13May 27, 2009 10:04 pm There are big problems with the world wide debt markets at the moment. Nearly every government in the world is issuing treasury bonds at a rate that is unprecendented to cover their mounting stimulus spending. Unfortunately for home owners banks also compete in this market for debt and all this extra government debt is pushing the cost of capital or funding up. Re: Rates going up tomorrow 14May 28, 2009 1:35 pm ![]() ![]() ![]() Problem is, I doubt the banks will pass on any further cuts. they cant afford it!! "The fact that none of the big banks passed on the full effect of the last RBA rate cut was brought into sharp focus at the Sydney NAB Broker roundtable when its regional general manager, Matt Lawler, told brokers that the bank had been "taking back margin". Lawler was responding to questions posed by brokers about 'cost of funds' explanation given by banks for not passing on RBA rate cuts. He tempered his response by saying the bank was not taking back as much as it did in the 1990s when he said margins were as high as 4%." Source: Australian Broker Given the state of financial services and the lack of competition to the majors in 1990 that's not a very palatable response as it's a completely different environment now... .. but I guess he had to say something and the old "you may not like what we're doing now but remember how much worse we used to be" statement probably seemed a good idea at the time It's good to hear the honest truth every now and again, isn't it? I take my hat off to Matt Lawler for speaking the truth! Re: Rates going up tomorrow 15Jun 01, 2009 1:39 pm This is a very interesting thread, I'm looking at locking in my home loan at the moment and really unsure if the rates will drop or go up but either way it looks like the fixed rate... very hard to know what too do at the moment. |