Resi Select – Interest Rate Update, Feb 2023

14th Feb, 2023 | Broker News, Select Product

In line with the February 2023 RBA announcement, effective Monday 6 March 2023, Resi Select is increasing variable interest rates for both new and existing variable rate home loans.

Effective Monday 6 March 2023, variable rates are increasing for new and existing lending by 0.25% p.a.

For example, interest rates for new lending with ≤80% LVR will be as follows:

select_feb_2023

How we’re telling your customers

 

Customers with an existing variable rate home loan will receive a letter advising them of changes to their interest rate and repayments.

Pipeline applications – timing

  • The effective date of this change will be no earlier than Monday 6 March 2023 for in-flight applications, but will vary depending on the loan settlement date as follows:
    • Loans settled before 5pm Monday 13 February 2023 will have variable rates increased by 0.25% p.a. on Monday 6 March 2023
    • Loans settled after 5pm Monday 13 February 2023 will retain their current contracted variable rates until the month following settlement, when they will be increased by 0.25% p.a. The adjustment will not be retrospective
  • All variable rate loans formally approved and instructed on or after Monday 6 March 2023 will receive the rates on the updated rate card.

Pipeline applications – reassessment

  • AIP – to purchase a property
This can be in place for 90 days providing there is no credit critical change. The LVR & Loan amount at time of approval cannot increase if pipeline treatment rules are to be applied.
  • Conditional Approval to refinance / cash out / consolidation etc
These loan applications must service at the rate of the date of the final loan assessment.

A full set of rates will be made available on our systems from Monday 6 March 2023.

For more important information on comparison rates, please refer to ‘Important Information’ section below.

Don’t forget the benefits of choosing Resi Select

  • A digital end-to-end service experience to support you with efficient lodgement and processing of your applications.
  • Direct access to credit managers, with optimal turnaround times for quality applications.
  • A simpler product offering.
  • Customer Net Promoter Score (NPS) +26 and Broker NPS +64 in Advantedge Broker and Customer Satisfaction Surveys July 2022*.

If you have any questions, please contact your Resi Select Business Development Manager.

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