Commonwealth Bank snatch Wizard from NAB
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The Commonwealth Bank have masterfully pulled off an amazing last minute deal to purchase Wizard from under the nose of NAB.
The National Australia Bank had all but sealed the deal when the Commonwealth Bank becked Aussie Home Loans sealed the deal. The Commonwealth will pay $26 for Wizard, a far cry from the near $500 million paid by exiting owner GE Money only 4 years ago.
The deal secures Commonwealth Bank the $2 billion worth of prime residential mortgage’s and offers the potential for another $2 billion worth should they exercise the option.
Aussie Home Loans will buy Wizard’s brand and existing retail distribution network.
GE Money have announced plans to exit the Australian and New Zealand lending market to focus on their core business.
Aussie cut rates to 7.65%
Aussie Home Loans have again trumped the major banks by dropping their rate by 0.40% in addition to the cut of 0.50% last week that takes standard variable rate to 7.65%.
John Symonds also unveiled the basic variable rate loan that is below 7% at 6.99%. John Symonds proclaimed the cut as a win for consumers as rates are now on offer below 7%.
The Aussie Home Loans rate changes come into effect from 10 November.
Read the full Media Statement on the Aussie Home Loans site.
Aussie cut Variable rate by 0.50%
Aussie Home Loans have announced today they are cutting the variable home loan rate by 0.50% to 7.59% for new customers from 29 October and for existing customers from 10 November 2008.
The decision by Aussie Home Loans puts the heat back on the big banks as it becomes increasingly evident that funding costs have reduced and the RBA is getting close to cutting interest rates again by 0.50%.
Aussie Home loans cut rates
Aussie Home Loans have followed ANZ by cutting their rate by 0.30% to 7.79% and the one year fixed rate by 1.7% to 6.79%.
Aussie Home Loans state the lowered basic rate is exclusive to first home buyers and also comes with a $0 application fee.
The rate changes take effect from 21 October 2008.
Click on Aussie Home Loans to read the Media Release.