Hi everone,
With the last interest rate rise my line of credit interest has gone up to 8.30%.
I have 2 IPs so I just hate those 3 words (the reserve bank).
I was watching TV the other night and they had a story on banks and their interest rates and how
you could talk turkey with them on lowering your interest rate if you expressed interest in re-financing with another
bank with a lower interest rate.
So I thought I would give it a go
Not only did they refuse to lower my interest rate but they sent me out all the paperwork that I would need to close the account and re-finance with another bank. So nice of them.
So I would like to know has anyone had a chat with their bank on this subject and have they met with success?
Kind RegardsSunny
Some banks are very competive and others are not. Nothing to do with size either.
A lot also depends on who you are speaking to. Perhaps the person you dealt with had no ability to consider your request and just sent you the paperwork. This may not be a specific policy.
I asked for a discounted rate and got it on my own loan.
we got a .8 discount to 7.52 (loc) including the recent interest rate rise. we bought across another 4 propertys to colonial to give us this bargaining power. westpac said they would have done the same when they rang us after getting the discharge papers. but i told them we had asked and we were told they could't match it. the manager at that branch wasn't happy about us being told that and was going to look into it. go to a mortgage broker or talk to some of your local branch managers and i'm sure they will do something.
Hi Simon,
It was the Manager that said No, first he said he would see what he could do then he rang back the next day and said that "they would not be willing to lower the rate".
Then he said he would have one of the girls send out the paperwork.
May I ask how you went about obtaining your lower rate?, and how much they came down for you? (if that's not too personal).
Regards SunnySunny
8.30% is a bit high, you may be better off refinance even if they give you a discount.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
sunsetred wrote:Hi Simon,
It was the Manager that said No, first he said he would see what he could do then he rang back the next day and said that "they would not be willing to lower the rate".
Then he said he would have one of the girls send out the paperwork.
May I ask how you went about obtaining your lower rate?, and how much they came down for you? (if that's not too personal).
Regards SunnyI have a pro package on about 7.26% with 100% offset and no fees. I got it because I asked for it via a contact in the bank. I have done it for other's too so it should be possible for anyone. It is a major big 4 lender.
Cheers,
Once you re-finance with another bank I am sure your bank's special retention division will fire up into action to try and save your business.
It is a bit like mobile phone contracts once you are on a pre paid mobile they offer you the world but if you are on a contract you never get any special deals until the contract is near ending.
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