Get notifications in real-time for staying up to date with content that matters to you.
ANZ chief executive Mike Smith has signalled that borrowers are unlikely to see much reduction in home loan rates should the RBA cut the official cash rate again.
"Every little bit of stress that we can remove from our borrower, that's got to be good for us – it will reduce the potential bad debt level," Mr Smith said during an interview on the ABC's Inside Business program, The Australian reported today.
"However, we also have to realise that the official rate from the RBA has absolutely no correlation to our funding rate and where we get our funding," he said.
Mr Smith’s comments echo remarks from NAB chief Cameron Clyne last week that the official cash rate represented only “a very small component” of its funding costs.
Who do you aggregate through?
Thank you for your vote, you can see the results here.
Brokers reveal which lenders are leading the way
The results are in for the Third-Party Lending Report 2020, revea...
SMEs showing greater resilience to COVID-19
Businesses with an annual turnover of less than $200,000 have far...
The number one magazine for mortgage brokers
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
As Australia tries to keep pace with a rapidly changing business and social landscape in the wake of COVID-19, Momentum Media is leading the way delivering essential content to our communities, writes Alex Whitlock, director of The Adviser.
Receive breaking news direct to your inbox each day
