ANZ increasing interest only loans August 12th!

Discussion in 'Loans & Mortgage Brokers' started by Natedog, 4th Jul, 2017.

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  1. Natedog

    Natedog Well-Known Member

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    Got these 4 wonderful letters in the mail today from ANZ...

    3 x IP investor variable Interest only loans increasing by 46 pts as of August 12th

    1 x PPOR variable interest only loan increasing by 55 pts August 12th!!

    Jeeezuz!
     
    Natedog, 4th Jul, 2017
    #1
  2. sash

    sash Well-Known Member

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    ND...you ain't seen nutin yet...this contagion will spread like cancer.

    People have over the last 5 years focused on growing their portfolio..this is the easy bit...now it is a question of how will one hold their hard gained portfolio.

    If you aren't building the arc now...be prepared to be washed away in the floods. Lot of people might get arrogant and say I can always sell...what will happen if the market is not as liquid?

    Interesting times indeed....
     
    sash, 4th Jul, 2017
    #2
  3. Hodge

    Hodge Well-Known Member

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    Suprised the ppor rate is higher than the investor rate?
     
    Hodge, 4th Jul, 2017
    #3
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  4. Tattler

    Tattler Well-Known Member

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    What interest rate are you on now though? Did you get a significant discount?

    What about fixing your loans? I have been madly fixing loans since late last year and all the way up to last month ....
     
    Tattler, 4th Jul, 2017
    #4
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  5. Natedog

    Natedog Well-Known Member

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    Sold 2 properties to clear some debt and have a big chunk in cash in the offset currently, so we have a bit of a war chest stored up for the rainy days
     
    Natedog, 4th Jul, 2017
    #5
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  6. Natedog

    Natedog Well-Known Member

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    IP rate currently 4.54% PPOR rate currently 3.9.

    So they will jump to 5% and 4.45% respectively

    It's not a financial stress for us, just a surprise (unwelcome one)
     
    Natedog, 4th Jul, 2017
    #6
  7. Tattler

    Tattler Well-Known Member

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    The PPOR rate looks pretty good actually from ANZ. You must have negotiated well. Maybe that's how ANZ "claw back" from their super discounts?
     
    Tattler, 4th Jul, 2017
    #7
  8. Tom Simpson

    Tom Simpson Well-Known Member

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    Yes there's definitely a witch hunt against IO loans!

    Unfortunately those who have over extended with IO loans have damaged the reputation of them so that even those who use them responsibly and for good reason are going to feel the pain, i.e. investors.
     
    Tom Simpson, 4th Jul, 2017
    #8
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  9. drg86

    drg86 Well-Known Member

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    Got my FU investor letter today. It will take it up to 4.81% IO Inv for us.

    Bye bye ANZ another mil off to another FI. If we all refinanced and wiped out a few hundred mil in the same week would it even make a blip in their business? Just a thought...
     
    drg86, 5th Jul, 2017
    #9
  10. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Where would you refinance to?
     
    Terry_w, 5th Jul, 2017
    #10
  11. S1mon

    S1mon Well-Known Member

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    same, up to 4.54 (from 3.99)
    *sigh* time to do some P&I calcs
     
    S1mon, 5th Jul, 2017
    #11
  12. Natedog

    Natedog Well-Known Member

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    Is that IP or PPOR?
     
    Natedog, 5th Jul, 2017
    #12
  13. Natedog

    Natedog Well-Known Member

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    Any suggestions Terry?
     
    Natedog, 5th Jul, 2017
    #13
  14. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

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    Legislation prevents me from giving out rates on a public forum but ING have some low 5 year fixed rates IO at the moment. Both for owner occup an invest
     
    Terry_w, 5th Jul, 2017
    #14
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  15. teetotal

    teetotal Well-Known Member

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    or Fixing it may be another option...some good fixed rates out there too
     
    teetotal, 5th Jul, 2017
    #15
  16. RetireRich101

    RetireRich101 Well-Known Member

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    I believe NAB/Westpac (on package) fixed P&I Investment Loan 2 years 3.88%

    A difference of 1.12 if compared to ANZ 5.0%
    Just checked ING, 5 Yr fixed IO is 4.49% which is damn good.
     
    RetireRich101, 5th Jul, 2017
    #16
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  17. Watson1

    Watson1 Well-Known Member

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    I thought ANZ increased IO by .30% in June. Why the 0.46%?
     
    Watson1, 6th Jul, 2017
    #17
  18. drg86

    drg86 Well-Known Member

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    Well we have other IP loans at 3.89% so there will be a start... LVR is bit over 50% so hoping that will assist us in the change over.

    Yes I am aware all FI's will increase but if we can drop almost a full percent back now it should get us a head start. Much rather a few rises from 3.89 than from 4.81. It was only a few months ago my ANZ rate was 4.07%. 0.74 rise over last few months... has any other bank raised this much?
     
    drg86, 6th Jul, 2017
    #18
  19. tobe

    tobe Well-Known Member

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    They all have, and they would be happy to see you leave or change to P&I as they are mandated by gov to have their IO book to 30% of their total.
     
    tobe, 6th Jul, 2017
    #19
  20. Bill Williamson

    Bill Williamson Well-Known Member

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    IO has a reputation for risk, its the overall percentage of them compared to P&I that is the reason.
     
    Bill Williamson, 7th Jul, 2017
    #20
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