PayPal credit card coming soon Citi Australia has announced it will develop credit products for PayPal, the online payments and wallet company that claims eight million active account holders in Australia. Earlier in October, online retailer Kogan launched the Kogan Money Black Card, a white label Citi product. PayPal’s Andrew Baines said he was excited about the partnership with Citi and the new products to be launched in Australia. “Citi shares our vision to make payments simple, safe and convenient.” Loans.com.au cuts home loan rates Online mortgage lender loans.com.au has announced new rate cuts for variable loan rates but left fixed rates unchanged. The Essentials Variable PI home loan rate has been cut by 0.15 percentage points from 3.19 per cent to 3.04 per cent pa with a comparison rate of 3.06 per cent pa. For property investors, Loans.com.au has cut P&I variable rates by 0.25 percentage points from 3.64 per cent to 3.49 per cent pa with a comparison rate of 3.51 per cent pa. Loans.com.au fixed rates for owner occupiers now start at 3.12 per cent pa on LVRs up to 90% (3.14 per cent pa comparison rate). Westpac to pay more compensation Westpac will spend $1.1 billion on compensating customers this year. Westpac announced yesterday that customer remediation costs total $377 million in the last six months, on top of $753 million already provided for. Most of the new provisions are related to fees levied on customers for ongoing advice. Westpac is also compensating home loan customers whose loans did not switch from interest-only to principal and interest when required. Enquire without affecting your credit score Stuart Stoyan, founder and CEO of non-bank lender MoneyPlace said consumers need to be able to make loan enquiries without formally applying for credit and having that application entered onto their credit report. “One of the quickest ways to demolish your credit score is to apply for several credit cards on the same day,” Mr Stoyan told BankingDay.com. “It gives the impression you are desperate for money rather than just seeing what interest rate or credit limit you are likely to be given. MoneyPlace and other lenders have introduced a new feature – a consumer can apply for a loan estimate of their eligibility for a loan and what rate they might get without formally applying for a loan. “This allows consumers to engage in price discovery in a similar manner to many other consumer businesses.” Online loans that won’t wreck your credit score MoneyPlace and other lenders now feature loan estimates that are available without formally applying for a loan. That means you can get a quote of the costs of a loan before formally applying and having an entry placed on your credit report. A Wisr loan application can take minutes and Wisr has unsecured personal loan comparison rates starting from 8.78 per cent pa for excellent credit. Harmoney offers unsecured personal loans from $2,000 to $70,000 with comparison rates starting from 7.69 per cent pa for excellent credit. Moneyplace has personal loans up to $45,000 with comparison rates starting at 7.65 per cent pa. RateSetter has online personal loans with comparison rates starting at 7.84 per cent pa for excellent credit. World’s first neo-lender commits to financial wellness Wisr is an app based online personal loan provider offering competitive rates on unsecured loans. Wisr likes to disctance itself from the banks and say it is committed to bringing ‘financial wellness to the world.’ “Wisr is the world’s first neo-lender,” Wisr CEO Anthony Nantes told InfoChoice this week. “We’ve created an innovative, new model of lending, that puts the customer’s financial wellness at the centre of everything we do. “We’ll only do something if we feel that our customers, staff, shareholders and society in general benefits.” “Our vision is to bring financial wellness to the world,” said Anthony Nantes. Credit cards offering thousands of points The credit card market is very competitive at the moment and this has led to the proliferation of some amazingly generous sign-on deals. Credit cards are promoting the opportunity to earn thousands of frequent flyer points with some fairly easy spending requirements. A return economy flight from Sydney to London paid for using QFF classic rewards (plus taxes and charges) requires about 110,000 QFF points.A return economy flight from Sydney to London paid for using Velocity frequent flyer points will require about 100,000 points. Read more about credit cards offering thousands of frequent flyer points at InfoChoice.