News

notice of rate changes

Notice of variable rate change

Following the Reserve Bank of Australia’s (RBA) decision to increase the cash rate by 0.25%, the Illawarra Credit Union will be making the following changes to its products or reference rates across its variable home loan interest rates for owner-occupiers and residential investor borrowers.

New Variable rate or Reference Rates as below:

 Interest/Reference rates New rate New comp rate
Standard Variable Rate – Owner Occupied P&I 4.79% 4.88%
Standard Variable Interest Only Rate – Owner Occupied 5.15% 5.24%
Standard Variable Investment Rate P&I 5.30% 5.49%
Standard Variable Investment Interest Only Rate 5.40% 5.59%
The Works Package P&I Reference Rate – Owner Occupied 3.84% 4.32%
The Works Package Interest only Reference Rate – Owner Occupied 4.30% 4.77%
The Works Package Investment P&I Reference Rate 4.60% 5.07%
The Works Package Investment Interest Only Reference Rate 4.85% 5.31%
Bare Essentials P&I Reference Rate – Owner Occupied 4.49% 4.58%
Bare Essentials Interest Only Reference Rate – Owner Occupied 4.75% 4.84%
Bare Essentials Investment P&I Reference Rate 4.89% 4.98%
Bare Essentials  Investment Interest Only Reference Rate 5.15% 5.24%
Basic Variable Rate (Grandfathered) 4.63% 4.78%
Basic Variable Investment Rate (Grandfathered) 5.03% 5.17%
The Works P&I Reference Rate – Owner Occupied 3.84% 4.32%
The Works Interest only Reference Rate – Owner Occupied 4.30% 4.77%
The Works Investment P&I Reference Rate 4.60% 5.07%
The Works Investment Interest Only Reference Rate 4.85% 5.31%
Two Year Introductory Home Loan Reference Rate 4.85% 4.98%

These changes will come into effect on 13 May 2022.

These decisions come after careful consideration of the recent RBA increase, our position in the market, and the impact of any rate changes on all of our customers.

Anthony Perkiss, CEO, has previously acknowledged, “As a customer-based organisation, we must ensure we balance the needs of our all customers while remaining competitive in the marketplace.

“As a mutual, we have always taken measures to ensure our customers are well placed to repay their home loans. We take our responsible lending obligations very seriously and regularly assess customers based on their ability to repay their home loans at a higher rate.

“Many of our customers took advantage of the pandemic, building up their savings and contributing more funds into their loan account. We know that 71% of our customers are ahead in their loan payments, which provides comfort around their ability to weather increases.

“We’re confident that our loan products remain competitive in the marketplace and will continue to allow us to provide our customers with the great services they’ve come to expect”.

We’re here to help.

We are mindful that some of our customers may be experiencing financial difficulties. If you are one of them, please contact us to discuss alternative arrangements. You can apply for financial assistance here or call us on 13 22 49.

We understand that many of our customers may have questions about the changes. If you’d like to speak to a team member, please call us on 13 22 49.

 

 

 

 

get in touch

Not sure what's the best fit for your needs? No worries. Get in touch with one of our banking specialists today.

Apply now.

Already a customer?

Apply in internet banking

New customer?

Apply online