Compare Loans for Australia

comparedinkum Featured Loans for December

The ranking does not represent an implied recommendation for a particular financial product on the part of comparedinkum. Visitors should evaluate each individual product and choose the product that suits their requirements the best.

Loans Explained

Most people at some point in their lives have experienced being short of cash. When money is tight people can use loans to tide them over, alternatively if they are making a purchase that is particularly expensive such as a house or a car, a loan can be used to finance the purchase.

Loans give consumers the flexibility to do things they otherwise would be unable to do. A loan requires the lending of cash to an individual or company on the understanding the amount loaned out will be paid back with a pre determined amount of interest. Loans usually come with a contract that specifies the terms of the loan which includes the interest rate and repayment schedules.

Loans can be used for many things, some people borrow small amounts of money using their credit card for example. Personal loans tend to have a minimum amount that can be borrowed and for smaller amounts banks tend to prefer people borrow using lines of credit such as a credit card.

The most common type of loan is the home loan. Most people cannot afford to pay for a house in full and therefore borrow money to finance the purchase of property. Another type of loan that is common is the car loan, where the bank lends cash to a consumer and secures the debt against the new vehicle.

Latest Loans News from the comparedinkum Blog

Interest-Only-Borrowers Could Be In For A Hard Time

If you are interest-only-borrower, then you have had a difficult year. Not only has APRA cracked down on these kinds of loans but according to the latest research from Morgan Stanley, interest-only-borrowers are more likely to make poor financial decisions and pose a risk to their lenders. The research suggests that interest-only-borrowers have a higher chance of descending into debt and losing their savings if a high cost emerges. They are also likely to sell their property if interest rates rise which means they carry a high financial risk. Continue reading

Australian Banks Starting To Cut Fixed Interest Mortgage Rates

Many Australian banks have hiked rates on their interest-only loans recently, however that trend seems to be reversing with CBA joining a group of banks and cutting fixed rates on interest-only loans. The cut in interest rates applies only to CBA’s Fixed Wealth Package and Fixed Rate Home Loan products for both owner-occupiers and investors. Recently ANZ also cut its two-year fixed rate on interest-only loans by 10 basis points. The lender also increased the rate for principal and interest loans. Continue reading

Banks Cut Home Loan Rates

A number of banks have cut their headline mortgage rates for fixed and variable home loans for owner occupiers in advance of what is expected to be an extremely busy season for the property market this spring. For customers seeking out a low rate variable home loan, the biggest changes last month came from Greater Bank which slashed its rate by 15 basis points to 3.84%. Bank of Queensland followed suit by cutting its rate by 10 basis points to 3.79%. Continue reading

Latest from Twitter