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 Refinancers caught in the crossfire of OZschwitz watchdog’s tightening plan

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RR Phantom

RR Phantom

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Refinancers caught in the crossfire of OZschwitz watchdog’s tightening plan Vide
PostSubject: Refinancers caught in the crossfire of OZschwitz watchdog’s tightening plan   Refinancers caught in the crossfire of OZschwitz watchdog’s tightening plan Icon_minitimeWed Oct 18, 2017 5:09 pm

Some Australian home owners looking to refinance their mortgage to reduce debt have discovered they are “stuck” with their current loan due to stricter rules enforced by the banking regulator.

Refinancers caught in the crossfire of OZschwitz watchdog’s tightening plan 2_gxnz5d

One lender says tighter controls are penalising people with a good credit history on loans granted before the Australian Prudential Regulation Authority (APRA) tightened rules in 2015, which leave them unable to take advantage of better offers.

Tougher rules, refined in March, are aimed at improving banks’ and households’ balance sheets and include limiting new interest-only loans to 30 per cent of the market at loan-to-value ratios (LVRs) above 80 per cent, while the buffer for borrowers to service their loans has widened.

https://www.domain.com.au/money-markets/refinancers-caught-in-the-crossfire-of-apras-tightening-plan-20171017-gz2js5/
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