Fixed mortgage rate hikes, RBA, low rate business loans: This week’s best banking news
- Are home loan fixed rates on their way back up?
- Economy continues to claw back as RBA’s official cash rate remains the same in April
- The big four banks offer up low rate business loans under the SME Recovery Scheme
- ‘Green Central Banking’ report: RBA and APRA score low
- Victorian Treasurer calls for credit card rates to be slashed
- Looking for a top credit card bonus points offer? Here’s where to looking
All in this week’s best banking news recap: editor’s pick.
Home loan fixed rates start creeping back up
Low fixed mortgage rates have caused many home buyers to jump into the property market, hiking up the cost of homes.
But some banks have started increasing their home loan fixed rates, including CommBank, Bank of Queensland and Teachers Mutual Bank. These changes indicate that the market may be set to slow down in the near future.
Plus, in the second half of this year the RBA’s term funding facility will end, which may cause more long-term fixed rates to increase.
Read full article: Home loan check-in: Are fixed rates on their way back up? To find out where to get some of the lowest fixed rates right now.
RBA leaves cash rate unchanged as economy recovers
In its April meeting, the Reserve Bank of Australia (RBA) kept the official cash rate at 0.1% as Australia’s economy continues to recover.
RBA governor Philip Lower explained that the current policy is helping boost employment and demand, however there are still some uncertainties.
“GDP increased by a strong 3.1% in the December quarter, boosted by a further lift in household consumption as the health situation improved. The recovery is expected to continue, with above-trend growth this year and next,” he said.
“Nevertheless, wage and price pressures are subdued and are expected to remain so for some years. The economy is operating with considerable spare capacity and unemployment is still too high.”
On top of that, the yield on the 3-year Australian Government bonds, and the parameters of the Board’s QE program and term funding facility also haven’t changed this month.
Read full article: RBA leaves cash rate unchanged in April as economy continues to claw back for more from the RBA’s April meeting.
SME Recovery Scheme: Australia’s big four banks offer up low rate business loans
As of April 1, all of Australia’s big four banks introduced low rate business loans of up to $5 million to customers.
This is part of the SME Recovery Scheme which was introduced in March last year and has been expanded and extended since then.
Currently, the scheme is available to businesses who received the JobKeeper government supplement bet 4 January and 28 March 2021 (and have a turnover of less than $250 million), as well as those affected by the recent Queensland and NSW floods.
CommBank, Westpac, ANZ and NAb are all participating in the scheme.
Read full article: CommBank, Westpac, ANZ, NAB release low rate business loans under SME Recovery Scheme: are you eligible? for a breakdown of what’s on offer from each of the big four.
RBA and APRA don’t score well in ‘Green Central Banking’ report
Australia isn't performing well when it comes to its central bank environmental policies, according to the new ‘Green Central Banking’ report from Positive Money.
In fact, the RBA and Australian Prudential Regulation Authority (APRA) have scored a combined low grade of D minus.
The report looks over the central bank policies from the G20 countries.
With the environment in mind, Positive Money considers the following categories: Research and Advocacy, Monetary Policy, Financial Police and Leading by Example. They award points based on what relevant policies exist, whether they are impactful and if they are implemented (or have just simply been discussed).
This is what the RBA and APRA scored:
- Research and Advocacy: 10/10
- Monetary Policy: 0/50
- Financial Policy: 4/50
- Leading by Example: 1/20
Read full article: RBA and APRA score low in new ‘Green Central Banking’ report for a deeper look into the results.
Drop credit card rates, says Victorian Treasurer
Last week, Victorian Treasurer Tim Pallas called for credit card interest rates to be dropped.
Directed at Federal Treasurer Josh Frydenberg, Pallas pointed out that while the cost of borrowing has decreased significantly in recent years, credit card rates have remained essentially unchanged.
“That is unfair, it is unreasonable, and it’s unconscionable, and it has to stop,” he said.“The Commonwealth needs to step up.”
Mozo research from last year shows that credit card providers are benefiting from keeping rates high, despite the RBA official cash rate being slashed to 0.1%.
Numbers revealed that by not passing the 4.40% in RBA rate cuts over the last eight years, providers have profited a massive $6.4 billion.
Read full article: Let's give credit card rates the chop, says VIC Treasurer for ways to switch and cut down the cost of your credit card.
Love rewards points? Check out these credit card bonus offers!
This week, rewards credit card giant American Express launched two bonus points offers.
Now on it's Explorer Credit Card, new customers can earn 90,000 bonus Qantas Points and $300 cashback. This is as long as they spend $3,000 on eligible purchases within the first three months from approval and apply online by 31 May 2021.
The second offer is attached to Amex’s Qantas Ultimate Card. New customers can earn 55,000 bonus points when they apply, are approved and spend $3,00 on eligible purchases in the first 3 months.
Keep in mind both cards come with an interest rate of 20.74%. The Explorer Card comes with an annual fee of $395, while the Qantas Ultimate Card has a $450 annual fee.
There are plenty of other bonus points offers out there too. In fact over 60 providers on the Mozo database currently offer bonus points, up to 200,000 points.
Read full article: Where to find a top credit card bonus points offer to find out what other options are out there.
Want to compare rewards credit cards right now? Check out these top cards below!
Compare rewards credit cards - rates updated daily
American Express Qantas Ultimate Card
Receive 60,000 Bonus Qantas Rewards Points when you apply online by 28 May 2024, are approved, and spend $3,000 on your new Card within the first 3 months. T&Cs apply. Available for New American Express Card Members only.
Rewards program
Annual fee
Bonus points
Earn rate per $1
Qantas Frequent Flyer$45060,0001.25 points up to 100,000 points/year, then
1 point uncappedQantas Ultimate Card
Receive 60,000 Bonus Qantas Rewards Points when you apply online by 28 May 2024, are approved, and spend $3,000 on your new Card within the first 3 months. T&Cs apply. Available for New American Express Card Members only.
- Intro rate
- -
- Ongoing Purchase rate
- 23.99% p.a.
- Balance transfer rate
- No current offer
- Cash advance
- -
- Interest free days on purchases
- 44
- Foreign exchange
- 3.00%
- Late payment
- $30.00
- Points earning
- 1.25 points per dollar on Amex, up to 100000 points per year, then
1 point per dollar on Amex, uncapped
- Reward point expiry
- Never
- Bonus points
- 60,000
- Rewards
- Points
- 8,000 points (excluding taxes and charges)
- 110,400 points (excluding taxes and charges)
- 20,010 points
- Card Benefits
- Account alerts by SMS,
Card Purchase Cover ,
Travel Inconvenience Cover - Rewards Bonus Points 1.25 points per dollar on everyday purchases. Earn 0.5 Qantas Points per $1 spent at government bodies, earn 2.25 Qantas Points per $1 spend on selected Qantas products and services.Exclusions apply. After a total of 100,000 Qantas Points is earned in a calendar year, the everyday earn rate will change from 1.25 to 1 Qantas Points per $1 spent.* For Card Members who applied for the Card between 1 July 2023 – 9 January 2024, this change will come into effect from 10 July 2024.
Read our Mozo Review to learn more about the Qantas Ultimate Card
American Express Qantas Premium Card
Receive 20,000 bonus Qantas Points when you apply, are approved, and spend $3,000 on eligible purchases on your new Qantas American Express Premium Card within 3 months of Card Membership. T&C’s apply. Available to new American Express Card Members only.
Rewards program
Annual fee
Bonus points
Earn rate per $1
Qantas Frequent Flyer$24920,0001 point uncappedQantas Premium Card
Receive 20,000 bonus Qantas Points when you apply, are approved, and spend $3,000 on eligible purchases on your new Qantas American Express Premium Card within 3 months of Card Membership. T&C’s apply. Available to new American Express Card Members only.
- Intro rate
- -
- Ongoing Purchase rate
- 23.99% p.a.
- Balance transfer rate
- No current offer
- Cash advance
- -
- Interest free days on purchases
- 44
- Foreign exchange
- 3.00%
- Late payment
- $30.00
- Points earning
- 1 point per dollar on Amex, uncapped
- Reward point expiry
- Never
- Bonus points
- 20,000
- Rewards
- Points
- 8,000 points (excluding taxes and charges)
- 110,400 points (excluding taxes and charges)
- 20,010 points
- Card Benefits
- Account alerts by SMS,
Card Purchase Cover ,
Travel Inconvenience Cover - Rewards Bonus Points Earn 0.5 Qantas Points per $1 spent at government bodies, earn 2 Qantas Points per $1 spend on selected Qantas products and services.
Read our Mozo Review to learn more about the Qantas Premium Card
NAB Qantas Rewards Premium Card
70,000 Bonus Qantas Points. Offer applies to a new NAB Qantas Rewards Premium Card when you spend $2,000 on everyday purchases within 60 days.
Rewards program
Annual fee
Bonus points
Earn rate per $1
Qantas Frequent Flyer$250 $150 in the first year70,0000.66 points up to $3,000/month, then
0.33 points up to $6,000/monthQantas Rewards Premium Card
70,000 Bonus Qantas Points. Offer applies to a new NAB Qantas Rewards Premium Card when you spend $2,000 on everyday purchases within 60 days.
- Intro rate
- -
- Ongoing Purchase rate
- 20.99% p.a.
- Balance transfer rate
- 0% p.a. for 12 months and then 21.74% p.a. (3.00% balance transfer fee)
- Cash advance
- 21.74% p.a.
- Interest free days on purchases
- 44
- Foreign exchange
- 3.00%
- Late payment
- $15.00
- Points earning
- 0.66 points per dollar on Visa, up to $3,000 per month, then
0.33 points per dollar on Visa, up to $6,000 per month
- Reward point expiry
- Never
- Bonus points
- 70,000
- Rewards
- Points
- 8,000 points (excluding taxes and charges)
- 110,400 points (excluding taxes and charges)
- 20,010 points
- Card Benefits
- Concierge,
Extended Warranty,
Purchase Protection,
Travel Insurance,
Interstate Flight Inconvenience Insurance,
Rental Vehicle Excess in Australia Insurance - Rewards Bonus Points Bonus points on selected Qantas products and services, including eligible Qantas flights.
Read our Mozo Review to learn more about the Qantas Rewards Premium Card
American Express Velocity Escape Card
Earn 1.75 Velocity Points on eligible purchases within Virgin Australia per $1 spent (T&Cs apply). Enjoy $0 Annual Card fee. Get the security of Card Refund and Purchase Cover. Up to 55 days interest free on purchases. Up to four additional Cards at no extra fee.
Rewards program
Annual fee
Bonus points
Earn rate per $1
Velocity Frequent Flyer$0No current offer0.75 points uncappedVelocity Escape Card
Earn 1.75 Velocity Points on eligible purchases within Virgin Australia per $1 spent (T&Cs apply). Enjoy $0 Annual Card fee. Get the security of Card Refund and Purchase Cover. Up to 55 days interest free on purchases. Up to four additional Cards at no extra fee.
- Intro rate
- -
- Ongoing Purchase rate
- 23.99% p.a.
- Balance transfer rate
- No current offer
- Cash advance
- -
- Interest free days on purchases
- 55
- Foreign exchange
- 3.00%
- Late payment
- $30.00
- Points earning
- 0.75 points per dollar on Amex, uncapped
- Reward point expiry
- Never
- Bonus points
- No current offer
- Rewards
- Points
- 7,800 points (excluding taxes and charges)
- 119,600 points (excluding taxes and charges)
- 19,500 points
- Card Benefits
- Account alerts by SMS,
Card Purchase Cover - Rewards Bonus Points Earn 0.5 Velocity Points per $1 spent at government bodies, earn 1.75 Velocity Points per $1 spend on selected Virgin Australia products and services.
Read our Mozo Review to learn more about the Velocity Escape Card
NAB Qantas Rewards Signature Card
Earn up to 120,000 Bonus Qantas Points on a new NAB Qantas Signature Card. Min $3,000 spend on everyday purchases in first 60 days and keep your card open for 12 months.
Rewards program
Annual fee
Bonus points
Earn rate per $1
Qantas Frequent Flyer$395 $295 in the first year120,0001 point up to $5,000/month, then
0.5 points up to $20,000/monthQantas Rewards Signature Card
Earn up to 120,000 Bonus Qantas Points on a new NAB Qantas Signature Card. Min $3,000 spend on everyday purchases in first 60 days and keep your card open for 12 months.
- Intro rate
- -
- Ongoing Purchase rate
- 20.99% p.a.
- Balance transfer rate
- 0% p.a. for 12 months and then 21.74% p.a. (3.00% balance transfer fee)
- Cash advance
- 21.74% p.a.
- Interest free days on purchases
- 44
- Foreign exchange
- 3.00%
- Late payment
- $15.00
- Points earning
- 1 point per dollar on Visa, up to $5,000 per month, then
0.5 points per dollar on Visa, up to $20,000 per month
- Reward point expiry
- Never
- Bonus points
- 120,000
- Rewards
- Points
- 8,000 points (excluding taxes and charges)
- 110,400 points (excluding taxes and charges)
- 20,010 points
- Card Benefits
- Concierge,
Extended Warranty,
Purchase Protection,
International Travel Insurance,
Interstate Flight Inconvenience Insurance,
Rental Vehicle Excess in Australia Insurance - Rewards Bonus Points Bonus points on selected Qantas products and services, including eligible Qantas flights.
Read our Mozo Review to learn more about the Qantas Rewards Signature Card
Westpac Altitude Black
Earn up to 140,000 bonus Altitude Points with $6k+ spend on eligible purchases within 120 days of card approval. Discounted Annual Fee of $150 for the first year. New cards only. (T&C's apply).
Rewards program
Annual fee
Bonus points
Earn rate per $1
Altitude Rewards$295 $150 in the first year150,0001.25 points uncappedAltitude Black
Earn up to 140,000 bonus Altitude Points with $6k+ spend on eligible purchases within 120 days of card approval. Discounted Annual Fee of $150 for the first year. New cards only. (T&C's apply).
- Intro rate
- -
- Ongoing Purchase rate
- 19.99% p.a.
- Balance transfer rate
- No current offer
- Cash advance
- 21.49% p.a.
- Interest free days on purchases
- 45
- Foreign exchange
- 3.00%
- Late payment
- $15.00
- Points earning
- 1.25 points per dollar on Mastercard, uncapped
- Reward point expiry
- Never
- Bonus points
- 150,000
- Rewards
- Points
- 23,400 points (excluding taxes and charges)
- 358,800 points (excluding taxes and charges)
- 24,100 points
- Card Benefits
- Concierge,
Travel Insurance,
Extended Warranty,
Purchase Protection - Rewards Bonus Points Earn 6 points per dollar spent on flights booked in Australia directly with selected airlines up to $10,000 per month. Earn 2 points per dollar spent at Spotify Premium, David Jones, Myer, THE ICONIC, Airbnb, Uber and Uber Eats.
Read our Mozo Review to learn more about the Altitude Black
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