ANZ six month profit down, lifts some interest rates

ANZ six month profit down, lifts some interest rates
ANZ six month profit down, lifts some interest rates

ANZ bank has reported a $3.4 billion cash profit for the six months to March 31 and lifted interest rates on home loan deals.

The profit figure is down from previous expectations of $3.5 billion.

ANZ's move to lift interest rates on home loan deals follows the Commonwealth Bank and Westpac, who increased interest rates on both owner occupier and investor loans.

Owner occupiers and investors with interest-only fixed rate deals may be hit with increases of 0.4 percent on 2, 4, and 5 year fixed owner occupier interest-only loans the rates will rise on the bank’s Breakfree products.

Three-year owner occupier interest-only loans will rise by 0.3 percent to 4.49 percent.

For investors on a three-year fixed-rate interest-only Breakfree deal the rate will rise 0.3 percent 4.69 percent.

The three-year fixed rate owner occupier principal and interest deal will fall by 0.2 percent to 3.99 percent.

On a three-year fixed rate investor principal and interest deal the rate will fall by 0.1 per cent to 4.44 percent.

Mozo spokeswoman Kirsty Lamont said the increases by ANZ are a result of the financial regulator, the Australian Prudential and Regulation Authority limiting their interest-only lending.

“With the Federal Reserve jacking up rates in the US and inflation just scraping within the Reserve Bank target, we expect a cash rate increase in the next 12 months which means these fixed rates are unlikely to be around for a long time,” she said.

Interest Rates Anz


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