Big banks no longer dominate fixed rate pricing

Tuesday the 18th of August, 2009 3 Comments »

Posted by Iden Money .

The other interesting observation that can be made from a review  of the Infochoice data is that the big banks no longer dominate the pricing of fixed rates. For many years it was assumed that the big banks were the natural price leaders in the fixed rate segment because they could use their big treasury operations to get the best swap prices
when they put a fixed rate contract in place.Not any longer, or not currently at any rate. None of the big four feature  in the list of the best one year rates and only ANZ features in the list  of the best two and three year rates. ANZ and National Australia Bank feature in the list of the best four year rates and none of the big four are in the list of the best five year rates.

Prominent among those offering sharp rates are Newcastle Permanent Building Society, Mortgage Ezy, Better Option Home Loans and Iden Money.