The non-major has repriced its variable rate commercial loans, increasing rates by up to 30 basis points.
ING has announced commercial variable rate increases for both new and existing customers, effective from 1 May 2019.
Variable rates have increased by 15 bps for all existing borrowers with commercial loans.
For new business, the lender has announced the following changes:
- Commercial loans with a value of less than $500,0000 have increased by 30bps to 5.59 per cent
- Commercial loans with a value of between $500,000 and $750,000 have increased by 30bps to 5.35 per cent
- Commercial loans with a value of between $750,000 and $1 million have increased by 20bps to 5.09 per cent
- Commercial loans with a value of between $1 million and $3 million have increased by 10bps to 4.79 per cent
When asked what motivated the changes, an ING spokesperson told The Adviser: “The nature of a variable rate is that it is subject to change.
“We review our rates regularly to ensure we can continue to be best placed to provide our customers with simple, effective banking products.”
ING’s rate changes are the latest among a suite of updates to its product suite.
Last month, ING also announced that it would accept residential property as security against a business loan to a maximum loan-to-value ratio (LVR) of up to 75 per cent, up from 20 per cent.
This followed its decision to no longer accept residential property as security for residential loan applications being used for business purposes.
Additionally, the non-major recently cut its fixed mortgage rates by up to 19 bps across both owner-occupied and investment loans.
The fixed rate reductions came a month after ING dropped variable mortgage rates by up to 40bps across its Mortgage Simplifier products.