Does your bank display the interest rate on your home loan account?

Does your bank display the interest rate on your home loan account?

At Get Real Finance we believe that our clients should be empowered to take control of their finances. We also believe our clients should have the ability to ensure everything is running as it should when it comes to their loans, without having to wade through miles of red tape.

However, recently some of our clients have reported to us that they have not been able to do this, as the interest rate is no longer showing on their home loan account via internet banking.

Specifically, on one internet banking platform, under the heading “Applicable interest rate p.a.”, which is where the loan’s interest rate is usually detailed by the bank or lender, it simply states “your current interest rate is the interest rate for your loan, which is available from [the website], minus any applicable interest rate discount”.

This is very inconvenient for consumers. For most people, it is difficult to know which product applies without digging out a loan contract, which can be years old. Likewise, loans last for a long time and according to this new method of calculating the interest rate—which puts the onus completely on the client rather the bank as the service provider—those with superseded loan products will not be able to easily find out their applicable interest rate.

We also believe that when lenders display interest rates like this, there is a serious lack of transparency which may cause existing clients to question the integrity of these lenders.

We have contacted one lender that does not provide a specific interest rate linked to the home loan via its internet banking platform, and they have not yet been able to confirm if this is a permanent change or only a temporary issue.

We would like to thank our clients for reporting this issue to us, and want them to know we are liaising with lenders to make sure they will be able to easily access information pertinent to their home loans in the future.

If you are a client of Get Real Finance and have noticed this happen to you, or if you are unhappy that your bank does not display your loan’s interest rate, please call our office on 07 3852 5755.

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