CBA Variable Rate

Good Morning,

I hope someone here can offer me some advice.

My mortgage is currently with the CBA fixed (Wealth Package) at 4.94% which is about to end in the next 30 odd days. My question is what rate should I be expecting the CBA to offer me when it does finally lapse.

Loan Amount: $1,150,000
Est Valuation: $1,350,000

If anyone can let me know what Variable rate the CBA should be offering me.

How low will they potentially go on the Wealth Package?

My preference is to stay with the CBA and not refinance to another bank.


Cheers
 
I'm finding the CBA to be a pain in the neck with negotiating. They're being very inconsistent with their decisions and not really as generous as many competitors.

I agree with Marty, 4.70% should be achieved. I've found you need to start by asking nicely and it usually works. If it doesn't work, get a little nasty and tell them that several lenders (ING, NAB, Macquarie) are doing closer to 4.6% for similar amounts.
 
I'm finding the CBA to be a pain in the neck with negotiating. They're being very inconsistent with their decisions and not really as generous as many competitors.

Yep - it's weird. They will counter offer - and then you have to explain "nicely" that you're not joking around and your client will be going to lender x if the appropriate discount isn't granted. After a bit of stuffing around we usually get there.

Agree on the 4.7%

Cheers

Jamie
 
Call and ask for a payout figure, when they put you through to the retention team they will ask why you need a payout figure.

Say "For refinancing purposes". They might ask why you want to refinance, and the answer to that is "for a better rate".

Ask for for 4.65% and even if they can't get it they will try and get as close as possible, there won't be much left on the table.

You don't need to lie at all, as it's normal process to find out your payout figure if you're going to look around.

I haven't tried it with CBA, but it works for the banks that I have no LMI with.
However if you've paid LMI, they may think you won't be able to change anyway, and you lose some negotiating power..

ps you can push even harder by doing the "ask nicely" first, then do the payout figure call a month or two later. I did this after I asked nicely then saw a friend with a smaller loan than me and a better rate at the same time :mad:
 
Rolf,

I paid LMI a few years ago when the loan was first established

which means 2 things

1. In most circumstances, youd not want to move lenders to reuse the lmi for future equity pulls/ debt recycle

2. The bank knows same, and usually wont price as aggressively to retain.


CBA especially is all over the shop with > 80 % pricing

ta
rolf
 
Rolf,

I paid LMI a few years ago when the loan was first established

Make sure that when putting in a discount request that you mention that your properties gone up since purchase and LMI on the refi wouldn't be applicable.

Cheers

Jamie
 
From observation, CBA keeps tabs of the discount offer to you.

Combined loans I have 1.5m and below 80% LVR, currently 4.8%..

When my broker asked nicely, they replied nicely saying we're already gave you discount earlier this year...
 
From observation, CBA keeps tabs of the discount offer to you.

Combined loans I have 1.5m and below 80% LVR, currently 4.8%..

When my broker asked nicely, they replied nicely saying we're already gave you discount earlier this year...

Seriously, that's rubbish. You can easily get another 15 points off that with lower fees with several competitors.
 
From observation, CBA keeps tabs of the discount offer to you.

Combined loans I have 1.5m and below 80% LVR, currently 4.8%..

When my broker asked nicely, they replied nicely saying we're already gave you discount earlier this year...

Indeed. If it's not crossed and fixed so they know they've got you by the short ones, they should be willing to kowtow to pricing demands.
 
4.7% is a good rate if they will offer that to you staying with the same provider and without any new lending.

I am in negotiations with my lender now and they best they can give me is 4.83% with my existing loans. They will offer me 4.68% if I bring across my other lending and mine total more than what you have listed, so I am still in negotiations.
 
How is what's been said above achieved?

I have a sum of investment loans worth up to $714k with westpac and am about to lock in rates, and they only offer 4.99% (which is what they're advertising on their website) for 5 years. I asked if they could do anything better and the reply back I got was "Rates are at an all time low and we can't do anything for fixed rates right now"

Reading above, I've noticed comments about LMI, which I have used on my second property. I also had guarantors on my first loan. From this information it doesn't sound like I can do too much negotiating with them right now does it?
 
How is what's been said above achieved?

I have a sum of investment loans worth up to $714k with westpac and am about to lock in rates, and they only offer 4.99% (which is what they're advertising on their website) for 5 years. I asked if they could do anything better and the reply back I got was "Rates are at an all time low and we can't do anything for fixed rates right now"

Reading above, I've noticed comments about LMI, which I have used on my second property. I also had guarantors on my first loan. From this information it doesn't sound like I can do too much negotiating with them right now does it?

For the most part the rates being talked about are variable rates, fixed rate negotiations don't go all that far.

For Westpac I've been getting around 4.79% for 700k+ borrowings as of late.
 
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