Fixed rates getting more popular again

The big banks are awash with deposits as Australians learn to save again but they're having trouble lending this money out because of the new distaste for debt.

So if you're a prospective borrower with a solid risk profile, expect the banks to woo you in the form of lower rates and fee waivers.

Borrowers should be able to negotiate a variable loan at a rate somewhere in the mid-6 per cent territory, say analysts.

Fixed rates are historically low, so this might be a window of opportunity for people seeking to lock in for the sake of certainty, if they've borrowed to the hilt or are on tight budgets.

Source: Sydney Morning Herald