MEDIA RELEASE Tuesday 5 November 2019 The Reserve Bank of Australia has left the Official Overnight Cash Rate (OCR) unchanged at 0.75 per cent. The governor of the RBA, Philip Lowe said in a statement released at 2.30pm that the recent rate cuts (three since June) are “supporting employment and income growth in Australia and a return of inflation to the medium-term target range.” ABs reported that CPI inflation edged up 0.1 to 1.7%, closer to the RBA’s target band of 2 – 3%, last week. [CPI Inflation chart from ABS/RBA.gov.au] Markets were not expecting the RBA to cut rates this month and had traded yesterday at a price indicating just a 7 per cent chance of a rate cut today. “Banks and other lenders are still slicing rates and adjusting deals,” said Vadim Taube, CEO of leading Australian financial comparison site InfoChoice.com.au. “There are currently 18 variable home loan rates for owner-occupiers starting with a 2,” said Vadim Taube, “and that will grow with this cut from the RBA.” “If your loan is charging you 3.5 or 4.0 or more per annum, you are not getting anywhere near the lowest rate deal now available. “It’s increasingly difficult for borrowers to find excuses not to get online and compare their rate with these sub-3 per cent rates at the leading end of the low-rate home loan market. “Refinancers in particular can get very low rates on low-LVR loans,” said Vadim Taube. “And buyers can get sub-3 per cent rates for 80 per cent LVR loans.” “Investors are benefiting from recent rate cuts to investor, fixed and interest-only loans. “First home buyers may be waiting for 1 January in the hope of qualifying and being selected for the government’s first home loan deposit guarantee scheme,” said Vadim Taube, CEO of InfoChoice. “They should know the income limits and the price limits for the scheme for their area and understand that only one in ten first home buyers will get a guarantee.” Five-year fixed rates with advertised rates under 3 per cent pa are now available said Vadim Taube. “Borrowers can now lock in sub-3 per cent rates until 2024.” Low fixed-rate home loan rates now listed on InfoChoice 3/11/19 Ten low-rate variable (P&I,OO) home loans now listed on InfoChoice 3/11/19 “Currently, savers can’t get an ongoing rate significantly above inflation from the big four banks, in either at-call accounts or term deposits.” “Savers really need to be looking at some of the easy-to-open, online accounts to get the most competitive rates in the market,” said Vadim Taube, CEO of leading Australian financial comparison site InfoChoice.com.au. “Judo Bank has market leading rates in the term deposit market and Greater Bank, ME, UBank, Bank Australia and BoQ are among the leaders in the at-call ongoing incentive saver market. At-call incentive saver account market, excluding intro rates, now listed on InfoChoice. Go straight to the latest rates information from individual banks and other institutions here. For more information on Savings account rates, data and commentary, please contact: Jason Bryce, Media Manager on 0428 777 727 firstname.lastname@example.org For more comments, please contact: Vadim Taube, Chief Executive on 0403 580 794 * listed on InfoChoice’s database of 1800 home loans and 145 institutions in Australia. InfoChoice compares financial products from 145 banks, credit unions, authorised deposit-taking institutions, non-bank lenders and other financial product providers in Australia. InfoChoice does not compare every product in the market. Some institutions may have a commercial partnership with InfoChoice. Rates are provided by partners and taken from financial institutions websites. We believe all information to be accurate on the date published. InfoChoice strives to update and keep information as accurate as possible. Comparison rate is based on a secured loan of $150,000 over the term of 25 years. WARNING: These comparison rates apply only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and costs savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan InfoChoice is a leading Australian comparison website for retail banking and personal finance products. We’ve been helping Aussies find great offers on credit cards, home loans, savings accounts, term deposits, personal loans and car loans for over 25 years. Our mission is to help consumers make an informed purchasing by bringing together the most comprehensive list of financial products on the market today. At InfoChoice, we strive to be: • Comprehensive. We compare more than 3500 individual products from 145 providers within Australia to offer you the best value. • Informative. We know how important it is for you to crunch the numbers before buying. Our calculators help you understand the cost of different products over the long term and show you the potential savings.