Australia’s non-majors are taking market share from the big banks with a sharp spike in business going to the smaller lenders, according to one aggregator.
Speaking to The Adviser, AFG's NSW state manager Chris Slater said Suncorp Bank, Citibank, ING DIRECT and AMP Bank had all dramatically increased their volumes over the past month.
“Macquarie has literally doubled their volumes with us over the past month. Similarly, Suncorp’s numbers are now really strong as are AMP’s,” he said.
“Citibank has had a really strong couple of months also.”
Mr Slater said ANZ’s decision to move out of cycle from the Reserve Bank had definitely prompted borrowers to check out the alternatives available to them.
“Consumers are starting to look for alternatives. The majors have copped a lot of flack in the media and the non-majors are benefiting,” he said.
“In addition, I think a lot of the discounting that the majors were doing has slowed down, which is helping to make the non-majors rates more competitive.
“They are definitely helping to keep competition alive.”
Last month, Australia’s non-majors accounted for 23.9 per cent of all loans written – far higher than the 17 per cent recorded half way through 2011.