This week in banking - Pensioners under pressure

In this week’s banking recap, we examine the state of the property market, retirees’ finances, and the latest moves from the world of banking.

Retirees feeling the strain of credit card debt

Without a regular income or adequate pension payments, many retirees are relying on credit cards, only to turn around and find themselves trapped under mounting credit card debt. Moneycare has reported that in the past ten years, the percentage of over 55 year olds seeking financial counselling has risen from 19% to 26%, with half of those looking to escape credit card debt in particular. In light of this, we look at some ways you can prepare for a debt-free retirement

Property market looking up

Buoyed by record low interest rates and loosening of certain regulations, experts are forecasting a turnaround in the Aussie property market in the coming months, which should come as welcome news for those who already own property. If, however, you’re looking to buy, it pays to be measured and avoid diving in just for the sake of it. We’ve compiled some tips for prospective home buyers to put themselves in the best possible position to break into the market.

Westpac drops rates for home loan package

Earlier this week, Westpac cut rates on its Rocket Repay Home Loan (Premier Advantage Package), bringing it down to 3.69% p.a. (4.09% p.a. comparison rate*). The changes make it the lowest variable rate package offered by a big four bank, with the next best rate a full 0.38% higher.

Heritage Bank branches out

Heritage Bank - a five-time winner in this year’s Mozo People’s Choice Awards - has announced plans to open two new branches in Sydney. This marks the bank’s first venture outside its home state of Queensland, and makes for refreshing news in a time when more brick-and-mortar branches seem to be closing than opening.

“We’re excited to be bucking the industry trend by opening new branches. I firmly believe that talk about the imminent demise of physical branches is exaggerated,” said Heritage Bank CEO, Peter Lock. 

“People still want to come into a branch and talk face-to-face with an expert about the biggest financial commitments they will make in their lives, so branches will be around for many years to come.”

Bank Australia rate cut frenzy

On Monday, Bank Australia made a number of changes across its range of fixed and variable home loans. Variable rates were reduced by 0.16%, which see the Bank Australia Basic Home Loan Special now offering a low 3.35% (3.36% comparison rate*). The cuts will also benefit investors, who will be treated to a competitive 3.76% p.a. variable rate (3.80% p.a. comparison rate*) when signing up for the Mozo Experts Choice Award winning Basic Home Loan.

If buying a home is on the cards for you, you’ll want to equip yourself with a great value home loan. Check out some of the options below, or visit our home loan comparison page for an idea of what’s out there.

Home loan comparisons on Mozo - rates updated daily

Search promoted home loans below or do a full Mozo database search. Advertiser disclosure.
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    Mozo Experts Choice 2021
    Smart Booster Home Loan

    1 Year Discounted Variable Rate, Owner Occupier, Principal & Interest, <80% LVR

    variable rate
    comparison rate
    1.99% p.a.variable for 12 months and then 2.48% p.a.
    2.47% p.a.

    A super low introductory rate home loan with no monthly or ongoing fees. Unlimited free redraws and unlimited additional repayments to help you build your equity and own your home sooner. Multiple loan splits available. (Rates revert after introductory period ends). 20% minimum deposit required. Winner of two Mozo Expert's Choice Awards for 2021.

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    Details
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    UHomeLoan - Discount Offer

    Owner Occupier, Principal & Interest

    variable rate
    comparison rate
    2.34% p.a.
    2.34% p.a.

    Enjoy a super low rate. $0 fees to consider. Fast and easy online application. Free redraw and free extra repayments. Flexible payment terms. Min 20% deposit required.

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    Details
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    Basic Home Loan

    Owner Occupier, LVR<80%, Principal & Interest

    variable rate
    comparison rate
    2.64% p.a.
    2.64% p.a.

    Flexible loan structure – create up to six loan accounts with different rate and repayment types. Free redraw from your loan using Macquarie Online.

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    Details
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    Mozo Experts Choice 2021
    Celebrate Variable Home Loan

    <60% LVR, Owner Occupier, Principal & Interest

    variable rate
    comparison rate
    2.19% p.a.
    2.19% p.a.

    Fast and efficient online application. Automatic discounts as loan is paid off. Free extra repayments and redraw facility. Zero fees to consider. Min 40% deposit required. Winner of three Mozo Expert's Choice Awards for 2021.

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    Details
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    Fixed Rate Loan with Orange Advantage

    Owner Occupiers, Principal & Interest, LVR <80%

    variable rate
    comparison rate
    p.a.
    3.60% p.a.

    Know exactly what your repayments will be, and you can fix your rate for up to 5 years. No monthly, annual fee or transaction fees.

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    Details
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    Neat Home Loan

    Owner Occupier, Principal & Interest, LVR <60%

    variable rate
    comparison rate
    2.19% p.a.
    2.20% p.a.

    Competitive variable rate. Borrowers choose their repayment schedule (weekly, fortnightly or monthly) and can also make extra repayments. Redraw facility available. Simple online application process. 40% deposit required.

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    Details

*WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.

**Initial monthly repayment figures are estimates only, based on the advertised rate, loan amount and term entered. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.

^See information about the Mozo Experts Choice Home Loans Awards

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