Mozo Rates to Riches blog – April 2016

Mozo Rates to Riches blog – April 2016

Every month the Mozo Rate Chasers help you find the biggest bonuses, special offers and the best rates, so you can keep more money in your pocket not the banks!

This blog is a summary of rates in April and some may have changed since the time of writing. To check on today’s rates click on the highlighted product.

Home Loans:

Even though the RBA left the official cash rate unchanged at its April meeting, a handful of lenders increased all of their variable rates during the month. 

Variable rates

First to increase variable rates was Bank of Queensland which lifted rates for owner occupiers by 0.12% and for investors by 0.25%. Since then Arab Bank Australia increased its variable rates by 0.25%, while P&N Bank added 0.14% to its rates.

There were some great new rates launched during the month. Australian Unity introduced its Kick Starter Home Loan with a rate of 3.96% and no ongoing fees. For those who need to borrow more than 80% of the value of the property loans.com.au reduced the rate for loans up to 90% by 0.15% to 4.14%. Loans.com.au also introduced a new rate of 3.88% for loans under $500,000, but it attracts a $375 annual fee.

The best variable rates for owner occupiers borrowing up to 80% are:

Fixed rates

More lenders made cuts to fixed rates than increased them during April with some sharp new deals around, many just under 4.00%.

Bank of Sydney cut its 3 year rate under its ‘Expect More Package’ to 3.98%, down from 4.29%. Bankwest also cut its 3 year rate, down 0.20% to 3.99%. QT Mutual Bank also now has a 3 year special rate of 3.99%. For shorter terms we saw Gateway Credit Union take its 1 year rate down from 4.09% to 3.89% and BankVic dropped its 2 year rate by 0.42% to 3.87%.

The best fixed rates are:

Free sweeteners

Defence Bank boosted its $1,500 cashback to $2,000, available for loans over $250,000. Hume Bank has a new offer of up to $1,500 of loan set-up costs covered, and Heritage Bank is waiving the $600 application fee on its loans.

Check out Mozo’s Home Loan Compare tool that will help you find the lowest rates for your loan amount, property value and purpose.

Credit Cards:

Interest rates

Only minor changes to interest rates on cards this month. Bank of Queensland increased the 0% balance transfer period on its Low rate Visa from 6 months to 12 months and Citibank increased the purchase rate on its Prestige card by 0.25% to 20.99%.

Rewards and cashback offers

Coles is now offering $100 off a single Coles supermarket shop when you make a purchase on the card within the first 30 days, available on the Rewards and No Annual Fee MasterCards. 


Bankwest has a special deal on its Breeze cards where you can get 5% cashback on eligible purchases for the first 3 months (capped at $100 per month). All Breeze cards have a low purchase rate of 12.99%, and the Platinum card doesn’t have any fees for foreign transactions.

The Commonwealth Bank began offering $250 cashback after spending $500 on eligible purchases for its Low Rate and Low Rate Gold Cards 


The best bonus point offers at the time of writing are:

See all the great credit card offers along with the important fees and rates here to find a deal that suits you.

Personal Loans:

Personal loan rates and fees generally increased in April, and a few special offers ended.

Victoria Teachers Mutual Bank 3.00% rate discount on its range of Car Loans came to an end. Green Car Loans are now at 8.29%, New Car Loans are at 8.79% and Used Car Loans at 9.79%.

ANZ increased its Online Secured car Loan from 7.60% to 7.85%, and Sydney Credit Union has reintroduced its $100 application fee.

Auswide Bank is celebrating its 50th birthday and has discounted all personal and car loan rates by 0.50%, and is only charging a $0.50 application fee. The Variable New Vehicle Loan now starts from 6.49% and its Unsecured Personal Loan from 12.49%.

The top 3 rates for secured loans are:

Find the best deals you can get right now with Mozo’s Personal Loans comparison.

Term Deposits:

In previous months we saw some term deposit rates increase, however the best rates were not improving. That changed in April with a number of institutions announcing new top rates, particularly for terms up to 1 year.

Bank of Queensland increased its 3 and 6 month rates, making both now best for their terms. The 3 month rate is up 0.35% to 3.10% and the 6 month rates is up 0.25% to 3.15%.

Arab Bank Australia now has the top 5 and 9 month rates at 3.10% after an increase of 0.40% and 0.45% respectively. Maitland Mutual increased its 9 month rate by 0.10%, matching Arab Bank’s 3.10%.

CUA’s 3.15% for 10 months is the best for that term, following an increase of 0.15%.

QPCU is offering the top rate for 1 year of 3.10%, up 0.10%, as well as the best for 2 years at 3.40%, up 0.40%.

ME has the best 7 month rate at 3.20%, up 0.40%.

Find the best rates for a term that suits you using Mozo’s Term Deposit Compare tool.

Savings accounts:

Several banks improved their rates for short term introductory bonuses, but no increases for ongoing interest rates.

ANZ increased its 3 month introductory rate by 0.05% to 3.15%, Bank of Queensland increased its 4 month introductory rate from 3.00% to 3.25%, and Maitland Mutual lifted its introductory rate by 0.50% to 3.10%, paid until the end of July.

Citibank increased the 4 month introductory rate on its Online Saver by 0.25% to 3.40%, now the second highest introductory rate.

The top ongoing bonus rate is ME’s Online Savings Account at 3.60%, followed by ING Direct’s Savings Maximiser at 3.50%. The best short – term bonus rate is RaboDirect’s High Interest Savings Account on 3.50% for 4 months.

Find the best at call savings rates including any hoops that must be jumped through to qualify for them using Mozo’s Savings Account Compare tool.

Detailed information about changes to bank pricing, offers, incentives, product launches, changes and price leaders can be obtained by subscribing to the Mozo Banking Roundup, a monthly newsletter. See here for more information, or email roundup@mozo.com.au.

Mozo Rates to Riches blog – April 2016 was last modified: June 2, 2016 by Peter Marshall

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