Mozo Rates to Riches blog – September 2016

Mozo Rates to Riches blog – September 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 rather than the banks!

This blog is a summary of offers in September and some may have changed since the time of writing. To check the latest information click on the highlighted product.

Home Loans:

Many lenders are still reducing home loan rates, but Westpac and the St.George (and Bank of Melbourne/BankSA) group bucked the trend by increasing rates on packaged loans by 0.10%.

For some up-front savings Heritage Bank is waiving the usual $600 application fee on its home loans as a special offer until the end of October.

Variable rates

There are a few new variable rates worth highlighting this month. HSBC took both its Home Smart and Variable Home Loan down from 3.73% and its Home Value Loan from 3.73% to 3.55%. Bank Australia cut its Basic Home Loan rate from 3.85% to 3.73% and Beyond Bank reduced its Basic Home Loan rate from 3.83% to 3.73%.

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

Reduce Home Loans – 3.35%

loans.com.au – 3.39%

Fixed rates

Commonwealth Bank made changes to several fixed terms but the biggest was a cut of 0.60% to take its 5 year fixed rate down to 3.99%. Westpac also sharpened its 5 year rate, down 0.14% to 3.85%.

QT Mutual Bank cut its fixed rates and at 3.59% they now have the equal best 1 year rate and the best two year rate.

The best fixed rates are:

1 year – 3.59% from Greater Bank and QT Mutual Bank

2 years – 3.59% from QT Mutual Bank

3 years – 3.59% from Bank of Queensland, Police Credit

4 years – 3.74% from Greater Bank

5 years – 3.74% from Greater Bank

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:

ME’s frank Credit Card is no longer one of the lowest rate cards on the market. While it’s still a great deal with no annual fee, the interest rate applying to purchases and cash advances has increased from 9.99% to 11.99%.

Bank of Queensland’s Platinum Visa Card has had its annual fee increased from $99 to $199 (discounted back to $99 in the first year) but its 0% balance transfer period has been extended from 12 to 18 months.

The Coles No Annual Fee MasterCard is offering 10,000 bonus rewards points after the first spend within 30 days. HSBC increased the number of bonus points available on its Platinum Qantas Credit Card from 40,000 to 60,000, paid when at least $3,000 is spent on the card in the first three months.

The lowest credit card purchase rate is 8.99% on Bankwest’s Breeze range of cards, and Community First’s McGrath Pink Visa. The longest 0% balance transfer period is 24 months on Citibank’s Platinum card and the American Express Explorer card is offering the most bonus points at 100,000.

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

Personal Loans:

The biggest change this month was from the Bank of Queensland which dropped its Car Loan rate from 10.99% to 7.39%. Illawarra Credit Union and Catalyst Money cut their New Car Loan rates by 0.15% to 6.34%, and BCU cut all of its personal and car loan rates by 0.10%.

Bankwest cut the rate on its Unsecured Personal Loan from 12.99% to 11.99%.

There were also a few rate increases with Gateway Credit Union lifting its New Car Loan from 6.99% to 7.04% and Heritage Bank increasing its Car Loan rate from 7.99% to 8.99%. SCU added an up-front fee of $100 to its New Car Loan.

The top 3 rates for secured loans are:

loans.com.au – Car Loan – 4.69%

Police Credit Union – Fixed Car Loan 4.99%

loans.com.au – Used Car Loan – 5.19%

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

Term Deposits:

A few changes to term deposit rates worth noting, however this month most of the changes were cuts after seeing a large number of increases in August.

Similarly, the top rate for 6 months last month was ME’s 3.00%, but that’s now down at 2.85% leaving Arab bank’s 2.90% the best for the term.

At the ‘big 4’ banks, Commonwealth cut its 1 year rate from 3.00% to 2.40% and its 2 year rate from 3.10% to 2.45%. ANZ increased a couple of shorter term rates with its 6 month rate up 0.15% to 2.40% and its 3 month rate up 0.10% to 2.10%.

The best rate for terms of less than one year is 3.00% available from Bankwest for 11 months, Credit Union SA for 9 months, and People’s Choice Credit Union for 5 months.

The best 1 year rate last month was Gateway Credit Union’s 3.11%, but that was dropped to 2.71% leaving the top rate for the term at 3.05% available from QT Mutual Bank and Big Sky.

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

Savings accounts:

Most of the changes here were cuts. The only rate increase we saw for at call deposits during the month was RaboDirect’s 4 month introductory rate which went up from 3.00% to 3.20%, now the equal best introductory rate. After the first four months the rate is 2.05%.

The top ongoing bonus rate from a ‘big 4’ bank is NAB’s Reward Saver at 2.70%. For introductory rates the best they offer is 2.75% for 3 months from ANZ, or 2.71% for 5 months from Westpac.

The best no-strings attached ongoing rate is 2.30% from Queenslanders Credit Union, followed by 2.10% from AMP.

Best ongoing bonus rates at the time of writing are RAMS at 3.15% and ME at 3.10%. For a short term bonus the top rate is RaboDirect’s 3.20% mentioned above, which is matched by Australian Unity.

Find the best 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 – September 2016 was last modified: October 4, 2016 by Peter Marshall

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