The Commonwealth Bank, NAB and ANZ announced on Tuesday they would up interest rates from 16 December, while Westpac said its increases would take effect from 20 December.
The RBA's decision and the subsequent rate hikes will cause more pain for mortgage holders just before Christmas, at a time whenA 0.25 percentage point rate hike will add an extra $79 to monthly repayments for a $500,000 loan over 30 years once passed on by lenders, or $160 for those with $1 million debt, according to financial comparison site Canstar.
"Global factors explain much of this high inflation, but strong domestic demand relative to the ability of the economy to meet that demand is also playing a role. Returning inflation to target requires a more sustainable balance between demand and supply." Mr Lowe said he recognised that monetary policy operates with a lag and that the full effect of the increase in interest rates is yet to be felt in mortgage payments.
fast to pass on full increases, slow to pass on reductions with sometimes not being in full profit banks
Inflation is being caused by the costs of Bowen's Green disaster, not excess demand. So how is increasing interest rates of any use RBAInfo
Just before Christmas. I guess those banking CEOs need the money,
These are the banks Australian government backed during the financial crisis, Typical greedy banks, always wanting more money.
will it flow to savings accounts !!! fvk no . the banks are makin squills . why . how come the money goes to them we need a better system . we always cop it ,banks make squills . litle johny had fates at 19 percent !!! . we need some sort of better ,equitable system
How good is life under Labor. You get what you vote for.
Surprise, surprise, surprise.
Of course, they will pass. Any increase, business will pass it to customers. Ultimately customers bears the costs.
Of course they will…. Likely result in an extra billion $ profit on top of their record profits. Missed opportunity for massive goodwill gesture to Australian public just before Xmas - worth more than the increased profits, dividends and extra bonuses!!🥸
Should be much higher
gone are the days of robbing banks as now the banks rob you
Will the big 4 banks increase interest rates for pensioner's savings?
Then the landlord will pass to me… then I will charge more for my lawn service to my clients …it will go over and over again
Of course they will