There is a common misconception that your borrowing capability is related solely to your income, however most people’s outgoings quickly follow their increasing pay-packets. In a time where many people’s lifestyles revolve around instant gratification, lenders are now taking a more responsible approach to lending and investigate genuine spending habits as well as factoring in possible future interest rate rises.
At its May meeting, the Reserve Bank of Australia elected to keep the official cash rate on hold at 1.5 per cent. However, Australian lenders are still increasing rates to keep in line with APRA's new lending rules...
There’s been some sharemarket volatility related to Greece and China, but what will become a big point of discussion around water coolers in the coming months is the banks RAISING interest rates on investment loans.
Choice Capital is the trading name of Choice Capital Mortgages Pty Ltd. ABN: 73 158 355 423 Australian Credit Licence: 392127 and Choice Financial Advisors Pty Ltd. ABN:83 086 835 832 Australian Financial Services Licence: 324987.
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