Hey Swanny .It might be worth mentioning that the GFC tax payer protected Ausssie banks who collectively bought up their competition while they had the protection ( yes Swanny an unforseen consequence of your protection that you did NOTHING about at the time that gave banking competion an absolute bollocking,anything that you have done to give so called increase in competion since is a window dressing joke ) are still retaining the extra margins they tacked on each time interest rates went up ,giving them world record margins and profits.
Wayne Swan is the simplest, most stupid, individual I have ever seen - any party, any time...
He is so dumb he is completely unaware of his own stupidity...
You would think that if the banks did pass on the cuts in full, people would be encouraged to borrow. More loans = more interest(less margin but more volume), and therefore benefit the whole economy.
But hey, I'm not even a bankers table scraps at an all day luncheon.
They will have to slash there fees and prices eventually due to competition. "bring it on" The Greedy molopoly style banking system from major banks in Australia is a discrace robbing the working class with there fees and making major record profits at the expencie of working class .
www.perthnow.com.au/news/wa/japanese-banks-could-snatch-100-billion-of-the-australian-home-loan-market-ng-a2eda1cf41ecef42630a80e7c095270f
I like Wayne Swan but I think he is a bit silly to just say to the banks to pass on interest rate cuts.
How do banks raise the money for loans? Does the RBA loan them money at whatever the official interest rate is? If so then the banks should move their interest rates. However the banks may have borrowed money at a higher rate previously from the RBA.
Also banks might raise money from elsewhere including overseas. If thats the case banks should be doing pretty well due to the high Australian dollar.
If Swan really wants to pressure the banks he should tell the banks he is considering opening up the banking industry and part of the process is taking away government guarantees for bank deposits along with all the other ways in which Australian banks are protected.
Few other industries that are so profitable are so protected.
That is one of the greatest embarassments of all - for all involved. It is a bit of a Bradbury... errr... Steven Bradbury...
It makes me cringe when I see him on the TV, so smug, on the attack, and then the words that come out - pure stupidity, vomit, ridiculous.
Nope... Are you
Wasn't fond of the Libs until this mob of incompetent Labs turned up... and still not fond of many in their camp...
The current leaders on BOTH sides have the skeletons of much better leaders in the closet - the former leaders, Mal and Kev.
ON thing I have never understood.............
Our banks are triple A rated by the WBO or IMF ( whatever it is ) ..... yet they claim that the cost of them borrowing money on the international market is the reason for our higher interest rates
So why in other countries with banks with a much lower rating..... are these banks able to borrow money and the re-lend ( to their customers ) at a lower intest rate than ours...
go figure.....
What's the usual "haircut"? 2.5%?
My current rate is 6.6, the RBA's rate is 4.25%.
What the **** are you all talking about?
(wouldn't want to upset your mates in the banks by delivering more irate customers to them ).I'm pretty sure there was no discussion in parliament about bank margins and profits tho there was a mention from Swanny that rates were lower than when lil Johnny exited Kirribilli .Woopy chook .Channel 9 news did point out the difference in bank margins between then and now . I have noticed that the prior champion of better deals for customers (the big fella from Aussie) does their spruiking for them .( Their research probably shows that most punters still think of him as their champion. )
uh oh .this ones gonna be a doozie .Looks like the banks are gonna maintain(up) their margins by increasing their interest rates .Better start flappin those butterly wings Swanny .(Sorry but the argument that thanks to his reforms you can simply walk down the road for a better deal is BS .many of the loans were low doc and "easy money loans " there is absolutely no chance of walking on these, so they are ripe for the plucking)
Wake up and smell the roses Swanny because many of these people are your constituents in unsafe seats .You need to do more swanny than flap your butterfly wings,tis one has a bad smell about it and is a slow burner that will bite labour on the bum come election time)
if i re-morgage the house with a loan from a japanese bank, should i get the loan in aud$, say from one of their agencies in australia, so if the aud$ goes down i'm not caught out?
APRA are supposed to be assisting some Japanese banks work out a possible move into the market. Good news for Aussies if they go through with it.
I really don't understand why China doesn't go in for this, its a great way of getting around the investment rules and holding assets through the mortgage....
There needs to be WAY more competition against the top 4 banks.... of course they do well, because they hold most of the market. Despite some fools sprooking the merits of those profits, its stupid from a risk level, if you have 12 banks instead of the four, more competition, spread the risk....... fk if I know why they allow take overs and mergers in that market.... why not merge coles and woolies....? That would be inline with the current landscape of corporate governance in Australia...... annoys me to no end....
I saw on the abc finance that the difference between the rba rate and the bank rates for small business was around 6%. ie loans are around 10.25%. The banking sector maybe need to have a good hard look at themselves, cause they are burning australian business, along with every other regulation and restriction. I heard that funds are tight and it is competitive to get the funds, but that seems t say open it up to overseas banks to bring in some cash and can meet the australian banking guidelines. now, not later to help keep the non mining sector ticking.
Oh well it looks like the anz at least are happy to gouge current loan holders who are unwilling or can't move and are not interested in any new ones
I think all loans should be fixed term and fixed interest. Anyone who takes an arbitrary interest loan deserves to be fleeced.
3-6 year fixed, is just to suck you in.
PS: I hope rates go to 18%.
Sure. Sometimes there is stuff, and other times there is other stuff. Some strive for mediocrity, some more, some less. That's life.
The rest is perception...
BTW... That is a little waffle of disagreement. Oh, except for the bit about special... we're all in it together...
