Powered by MOMENTUM MEDIA
the adviser logo
Lender

Lender changes rates and reinstates new P&I investor refinances

by Reporter4 minute read
Bankwest

A major bank subsidiary has made a raft of rate changes and announced that it will once again accept applications for P&I refinances from non-bank customers.

Bankwest has announced that, following a hiatus on the acceptance of applications from new customers seeking to refinance their standalone investment lending (from other financial institutions), it will once again be accepting investor P&I loan refinance applications from brokers.

Further to this, various pricing changes will apply to some P&I loans, including new Complete Variable, Complete Fixed, Premium Select and Fixed Rate Home Loans.

For example, the three-year Complete Fixed Home Loan rate for owner-occupied P&I lending will reduce by 31 basis points to 3.78 per cent p.a. (4.36 per cent p.a. comparison rate).

Advertisement
Advertisement

The Complete Variable Home Loan rate for investment P&I lending of $500,000 or more and up to 90 per cent loan-to-value (LVR) — including LMI — will reduce by 0.40 basis points p.a. to 4.54 per cent p.a. (4.95 per cent p.a. comparison rate).

Should a customer wish to cap a fixed interest rate, a Fixed Rate Cap Fee will also now be payable.

Changes have also been made to the basic Fixed Rate Home Loan for both investors and owner-occupiers, with the majority of the year terms being subject to a rate increase of 0.20 per cent.

The bank also tweaked its policy for interest-only (IO) loans. For new IO lending, the maximum LVR will reduce to 80 per cent, including the Complete Equity and Equity Access Home Loans.

The Complete Fixed Home Loan will no longer be available for IO lending, including home loan transfers.

All the changes were made effective on Friday (16 June).

Applications submitted for full approval (including fully assessed pre-approvals) prior to 16 June will not be impacted.

Announcing the changes, the bank said: "Bankwest aims to balance the needs of its customers, shareholders, regulators and the community and is mindful of its broader obligations as a responsible lender when reviewing its products and pricing."

[Related: Bank hits borrowers with 0.76% rate hike]

bankwest

JOIN THE DISCUSSION

You need to be a member to post comments. Register for free today

MORE FROM THE ADVISER

Stephen Hale ta

MFAA launches near-prime, specialist loan resource

Coined Finance for when your customer doesn’t fit the mould: A broker’s guide to near-prime and...

READ MORE
Daniel Newell Gedda

Specialist lender LoanU rebrands to Gedda

The personal and auto loan provider LoanU, which specialises in helping Australians with impaired credit histories...

READ MORE
tech tools

CBA introduces AI technology to combat scams

New figures released by the competition watchdog this week have revealed that Australians lost more than $2 billion...

READ MORE
magazine
Read the latest issue of The Adviser magazine!
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
Read more