There is welcome news for depositing customers, as we'll be increasing the interest rate on a range of term deposits, from three and four months, and six months to five years maturity terms, of between 0.50% and 1.00%.
We'll also be passing on the full rate increase of 0.50% across our existing Great Rate, Ultimate and Standard variable rate products for both Owner Occupied and Investment loans, as well as Business Loans and all line of credit products.
For our current customers and new borrowers, this rate increase will apply from 16 June with the new repayments becoming effective from 31 July, 2022.
Our Chief Executive Officer, Scott Morgan, said the raft of changes were a demonstration of balancing the needs of all customers.
“Managing rate changes are never easy, particularly increases. This has however provided an opportunity to increase the return for many of our depositing customers, particularly those who are self-funded retirees or rely on interest from their term deposits as a major source of income. This group has been disadvantaged from record low rates over the past three years.”
Scott Morgan, Greater Bank CEO.
“It was important that before moving our interest rates that we explored a range of factors beyond the change to the cash rate, including customer and business impacts,” Mr Morgan said.
“While it’s the second rate increase in as many months for our home loan customers, overall, we believe they are well placed to manage the change, with around 75% more than one month in advance on repayments.
“At the same time, we acknowledge that there may be some customers experiencing financial difficulty at this time and encourage anyone struggling to meet their home loan commitments to contact us to on 13 13 86 to discuss their options.”