Powered by MOMENTUM MEDIA
Powered by MOMENTUM MEDIA
subscribe to our newsletter
subscribe to our newsletter

AMP hits investors with 35-point hike, cuts LVR to 50%

The challenger bank has today announced changes to investor lending to manage its portfolio and align with regulatory requirements.

AMP Bank’s variable interest rates for new and existing investment property loans will increase by 35 basis points.

For all new investor property loans, the maximum loan-to-value ratio (LVR) is reducing to 50 per cent. This change applies to all new loans with an investment property as security and includes loans to SMSFs.

Advertisement
Advertisement

The changes to interest rates are effective 23 June 2017 for new customers and from 26 June 2017 for existing customers. LVR change is from 21 June for new investment property loans and 1 July for SMSF investor loans.

AMP Bank group executive Sally Bruce said the measures are needed to ensure AMP operates within its regulatory obligations.

“We’re committed to managing our portfolio responsibly while balancing this with the interests of our customers,” she said.

“We are managing our loan book in a very active market and these changes follow recent shifts in competitor activity. We will continue to take the necessary steps for sound management of our regulatory requirements.”

AMP hits investors with 35-point hike, cuts LVR to 50%
mortgagebusiness

Latest News

A 20 to 30 per cent fall in residential property prices is “unlikely” in the absence of a “second wave” of the coronavirus outbreak,...

The major bank has announced its intention to sell its New Zealand-based asset finance business, UDC Finance, for NZ$762 million ($706 milli...

The lender and financial regulators face a new round of questioning in front of the economics committee today, after the chair found dis...

FROM THE WEB
podcast

LATEST PODCAST: Property remains a stable asset despite cautious market

Do you expect COVID-19 to reduce or increase your business flows?

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.