Home loans customers opting for NAB
Article by Mozo
The National Australia Bank (NAB) is enjoying a boom in the number of home loans customers it is attracting.
Figures from Credit Suisse analysts revealed that in May this year, mortgage lending by the financial institution was up 15.8 per cent compared with the same month in 2010.
However, Mark Nathan of Arnhem Investment Management, told the Herald Sun that it is not yet clear if the increase in lending has translated to a rise in profits.
"They're clearly gaining market share and the stock price is reflecting a strong improvement relative to peers," he asserted.
However, since the global financial crisis, the NAB under chief Cameron Clyne has cut loan rates and got rid of fees, which may have impacted on the profitability of the bank.
Last month, figures from the Australian Bureau of Statistics revealed that in the first four months of 2011, there was a 1.8 per cent increase in home loan approvals in Melbourne compared with the same period the preceding year.
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