Home owners plough cash into mortgages during lockdown (AFR)

Voluntary payments into mortgages more than doubled in July, August and September from the previous 12 months, data from non-bank lender Firstmac shows, raising the question whether consumers will save, rather than spend, extra cash handed to them in last week's budget.

Firstmac's analysis of its direct retail mortgage book shows the level of additional payments made by borrowers jumped to an average 10.2 per cent of the portfolio in the past three months, compared with the monthly average payment of 4.8 per cent last year.

View article here (subscription required)

Read more…

Recent articles

27 Mar 2020

First week of QE notches up $21bn for cheaper borrowing (Australian Financial Review)

The Reserve Bank has spent $21 billion in the country's first week of quantitative easing in an effort to reduce borrowing costs for companies and the government, and to restore order to a huge selloff in bond markets.

Queensland-based Firstmac was the first beneficiary of the government’s $15 billion Structured Finance Support Fund to provide support to non-bank lenders.

View article here (subscription required)