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LATEST NEWS

06 Dec 2011

RBA Board lowers cash rate again to 4.25%

The Board of the Reserve Bank of Australia (RBA) has announced the basic cash rate has been lowered to 4.25 percent.

In the statement released by Glenn Stevens, "The reduction in the cash rate as a result of the Board's previous decision flowed through to lending rates, which are now around their average level of the past 15 years".

RBA Media Release: http://www.rba.gov.au/media-releases/2011/mr-11-28.html

01 Nov 2011

RBA Board lowers cash rate to 4.50% on Melbourne Cup Day

The Reserve Bank of Australia (RBA) lowered the official cash rate by 0.25% to 4.50% today.  This was in line with expectations from most commentators, after lower inflation results from last week.

In its statement, the RBA expects that: "With overall growth moderate, inflation now likely to be close to target and confidence subdued outside the resources sector, the Board concluded that a more neutral stance of monetary policy would now be consistent with achieving sustainable growth and 2–3 per cent inflation over time"

RBA Medial Release - http://www.rba.gov.au/media-releases/2011/mr-11-24.html

04 Oct 2011

RBA keeps rates unchaged at 4.75% since Nov 2010.

The Reserve Bank of Australia (RBA) has kept its key interest rate unchaged at 4.75%, since it last rate change in Nov 2010. 

The RBA kept the cash rate steady despite unsettled conditions in global financial markets, with uncertainty increasing about both the prospects for resolution of the sovereign debt and banking problems in Europe, and the outlook for global economic growth.

The Board noted that financial conditions have been easing somewhat, with interest rates for some housing and business loans declining slightly due to increased competition and the fall in some funding costs in financial markets. The exchange rate has also declined from the very high levels of a few months ago. Credit growth remains low, however, and asset prices have declined.

06 September 2011

RBA keeps cash rate at 4.75%

The Reserve Bank of Australia (RBA) left rates on hold in September for the ninth consecutive month at 4.75%, as it weighed contending forces on the local economy. High commodity prices is spurring a bulge in mining investment while other sectors are being squeezed by weak consumer confidence and a flood of imports.

Weaker employment numbers released recently reinforced the expectation that the RBA may cut rates next month.

Borrowers should be using this period of rate uncertainty to assess their current mortgage with most lenders discounting their interest rates.

02 August 2011

RBA keeps cash rate at 4.75%

The Reserve Bank of Australia (RBA) has spared borrowers an interest rate rise, leaving the cash rate at 4.75%. 

The Reserve Bank last increased the overnight cash rate in November 2010 to 4.75% from 4.5% and most economists still expect a rate rise later this year.

05 July 2011

RBA keeps cash rate at 4.75%

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In line with expectations, the Reserve Bank of Australia (RBA) has spared borrowers an interest rate rise, leaving the cash rate at 4.75%.
In his statement, the RBA governor Glenn Stevens said that the board had talen into account the "current mildly restrictive stance of monetary policy."

" In future meetings, the Board will continue to assess carefully the evolving outlook for growth and inflation," Mr Stevens said.

Most economic commentators expect a rate rise in August, despite weak home approvals and low retail numbers.

07 June 2011

RBA keeps cash rate unchanged at 4.75%

The Board of the Reserve Bank of Australia (RBA) has announced the basic cash rate has been held at 4.75%. This decision to keep rates on hold was expected by the majority of economists.

The RBA last raised rates by 0.25% in November 2010.

03 May 2011

RBA leaves Cash Rate at 4.75%

At its meeting today, the RBA decided to leave the cash rate unchanged at 4.75 per cent

At today's meeting, the Reserve Bank judged that the current mildly restrictive stance of monetary policy remained appropriate. In future meetings, the Board will continue to assess carefully the evolving outlook for growth and inflation.

The last rate rise was in Nov 2010. The RBA's decision matched expectations by the overwhelming majority of analysts and investors.

The commentary about the strength of the dollar prompted some selling of the currency, sending it briefly below the 109 US-cent mark from 109.2 US cents just prior to the announcement.

RBA Governor Glenn Stevens indicated that the stronger Australian dollar is helping to keep a lid on prices. The currency has rocketed against the greenback, rising about 6 per cent in the past month alone.

Seminar:  Essentials on Property Investment on 17 May 2011

Our next seminar will be on 17 May 2011 at the Geebung Polo Club, 85 Auburn Road, Hawthorn East - 6.30pm.

This seminar explores issues and strategies on direct property investment with discussions on finance, management and strategies
- Direct Property Investment Opportunities
- Property Management Considerations
- Borrowing to Invest

Bookings are essential.  Reserve your place now by emailing This e-mail address is being protected from spambots. You need JavaScript enabled to view it .

05 April 2011

Official cash rate stays at 4.75%

At its meeting today, the Board decided to leave the cash rate unchanged at 4.75 per cent.  In its statement, the Board judged that the current mildly restrictive stance of monetary policy remained appropriate in view of the general macroeconomic outlook.

Today's rate announcement was in line with most market commentators.  Some banks are still factoring an increase of 0.25% later in the year.

01 March 2011

RBA keeps official cash rate at 4.75%

At its meeting today, the Reserve Bank of Australia decided to leave the cash rate unchanged at 4.75 per cent.

In its statement today, Glenn Stevens, Governor of the RBA cited a strong global economy continuing to expand and its inflation outlook being consistent with its medium term objective of monetary policy.  It has judged that the current mildly restrictive stance of monetary policy remained appropriate in view of the general macroeconomic outlook.

Today's rate announcement was in line with most predictions by economists.  Most commentators did not expect a rate rise till at least May 2011, with some factoring an increase of 0.25% later in the year.

01 February 2011

RBA holds official cash rate at 4.75%

Today's announcement was in line with expectations of most commentators and the market.  The forecast is that the RBA may not move rates again till the second half of this year, with uncertainty due to the Queensland floods and lower than expected inflation figures.

Economic reports out today underscore the mixed nature of the economic recovery.  House prices were revised to a drop in the September quarter before rebounding in the final three months of 2010. Industrial output, meanwhile, remained sluggish while business confidence was battered by the Queensland floods.

13 January 2011

Donate to the Queensland flood relief appeal

The Queensland Government has launched an appeal to help Queenslanders affected by the recent floods. You can help make a difference by donating to the Premier's Flood Relief Appeal.

Check the SCAMwatch website before donating online (http://www.scamwatch.gov.au/content/index.phtml/itemId/818735)

Donations can also be made in person at any bank branch.

For more information, go to http://www.qld.gov.au/floods/donate.html

11 January 2011

Emergency Assistance for Queensland Flood Victims

To assist those affected by the Queensland floods, most banks and lender have provided assistance packages for their customers. If you are in a flood affected zone please contact your broker to access these services. Some lenders and banks have waived some fees for flood affected clients.

Please give us a call on 03 8888 6000 if you have any questions

29 December 2010

BALLAST FINANCE TAKES STRATEGIC STAKE IN MEMBERS FIRST

As an exciting evolution in its business, Nicholas Psyhogios, CEO of Members First, today announced that leading Aggregator and Dealer Group, Ballast Finance (Ballast) has taken a strategic stake in Members First.

Ballast is an Australian owned and operated  boutique national financial services organisation, dedicated to providing advisers and clients with an integrated range of financial services, including finance, accounting, mortgages, settlements, superannuation and insurance.

Members First Broker Network has over 100 independent Mortgage Advisers, and its Members First Wealth businesses has 14 Financial Planners

According to Nicholas Psyhogios, "Our business models are complementary and we see this relationship as having tremendous appeal.  It will allow Members First and its Advisers to leverage off the specialist expertise of Ballast including their successful Self-Managed Super Fund (SMSF) advisory and Accounting businesses.

Ballast’s General Manager, Frank Paratore is delighted with the outcome.  “Both companies share commitment to providing excellent service, to both respective wholesale and retail clients.  Both companies have outstanding business reputations for their respective brokerage and financial advisory services.  This opportunity simply made good strategic sense!  It is extremely important for us that as we grow we never forget the qualities and values that have made us successful in the first place.  Members First is an extremely good ‘fit’ with Ballast’s business ethos.”

Nicholas Psyhogios adds: “I wholeheartedly agree with Frank’s comments and I am sure that the benefits of this “fit” will be evident as we all rise to the challenges that face our industry. 

"Our passion and focus has always been to create a diversified financial services model which commenced 18 months ago when we launched Members First Wealth.  Today we have 14 Financial Planners who include several of our Brokers who have successfully integrated risk writing and planning.  Expanding our product and services offerings is paramount in providing added value for our Advisers' and Planners' clientele and importantly creating added revenue streams.  Today's announcement is the continuation of that vision to intergrate financial planning and mortgage broking."

7 December 2010

RBA keeps official cash rate at 4.75%.

The central bank kept rates at 4.75 per cent - the level it raised them to last month - amid signs of weakness in parts of the economy not benefiting from the rekindled mining boom.

RBA governor Glenn Stevens said Australia was enjoying the best trade conditions since the early 1950s, "and national income is growing strongly as a result".

Mr Stevens noted lending rates were "a little above average", following last month's interest rate rises. While inflation is likely to be steady for now, "it is likely to increase somewhat over the medium term if the economy grows as expected", he said in a statement.

2 November 2010

RBA raises official cash rate to 4.75%.

At its meeting today, the Board decided to raise the cash rate by 0.25% to 4.75%.  The central bank raised the cash rate to 4.75%, surprising most analysts who predicted that it would not move the cash rate.  This was the first increase in the cash rate for 6 months.  Should lenders pass on this increase, it would bring most mortgage interest rates in line with the 10 year average.

In its statement released today, the RBA said that: "Looking ahead, notwithstanding recent good results on inflation, the risk of inflation rising again over the medium term remains. At today's meeting, the Board concluded that the balance of risks had shifted to the point where an early, modest tightening of monetary policy was prudent."

5 October 2010

RBA Leaves Official Cash Rate at 4.50%

The central bank left its key cash rate at 4.50 per cent, defying widespread expectations that it would increase it to 4.75 per cent.

According to the RBA, the current stance of monetary policy is delivering interest rates to borrowers close to their average of the past decade. The Board regards this as appropriate for the time being. If economic conditions evolve as the Board currently expects, it is likely that higher interest rates will be required, at some point, to ensure that inflation remains consistent with the medium-term target.

7 September 2010

RBA Leaves Official Cash Rate Unchanged

At its meeting today, the Board decided to leave the cash rate unchanged at 4.5 per cent.  The central bank kept rates at 4.5 per cent for the fourth consecutive month, although changes to its monthly statement led some analysts to predict the RBA may resume raising interest rates before long.

''With growth in the near term likely to be close to trend, inflation close to target and with the global outlook remaining somewhat uncertain, the board judged this setting of monetary policy to be appropriate for the time being,'' RBA governor Glenn Stevens said in the statement.

4 September 2010

Members First teams up with Beauty Plus Insurance to provide finance products to their clients.

Beauty Plus Insurance is an innovative leader in business and professional insurances for the Beauty Industry, with specialist packages designed from the student’s perspective.  Members First has teamed up with Beauty Plus to provide equipment finance to their clients, to enable them to fund and grow their beauty businesses. 

"We see this as an opportunity to assist students in the Beauty Industry and those looking to start up their businesses withing the Beauty Industry." said Andrew Tan. " We recognise that obtaining finance to fund for new equipment and growing a start-up is difficult in the current financial climate.  Members First hopes to make a difference".

Beauty Plus Insurance services was also launched today at the Sydney Beauty and Spa Expo today.

http://beautyplusinsurance.com.au/index.php?option=com_k2&view=item&layout=item&id=91&Itemid=409

3 August 2010

Reserve Bank of Australia keeps official rates on hold at 4.50%

The central bank today decided to keep the official cash rate on hold for the third month in a row at 4.50%, as was widely anticipated by economists following the release of better than expected inflation data last week.

The Consumer Price Index (CPI) rose 3.1 per cent in the year to June quarter, slightly above the RBA's target level of 2-3 per cent.

Glenn Stevens, Reserve Bank governor said the current setting of monetary policy is resulting in interest rates to borrowers around their average levels of the past decade.

07 July 2010

The RBA keeps rates on hold at 4.5%

The Reserve Bank of Australia has held the cash rate at 4.5%, as expected by many commentators.

The RBA made the decision to keep interest rates at their current level "pending further information about international and local conditions for demand and prices". It notes that while the global economy has continued to expand over recent months, caution in financial markets has been evident due to concerns over the European sovereign debt crisis and the pace of future global growth.

It also says that output growth in Australia over the year ahead is likely to be about trend: additionally, while credit outstanding for housing has continued to expand at a solid pace, dwelling prices are rising more slowly than earlier in the year and interest rates to borrowers are around average levels seen in the past decade.

28 June 2010

MEMBERS FIRST LAUNCHES NEW ADVERTISEMENTS

We launch our new advertisements to promote our finance and insurance businesses this week.  The message is about protecting and growing your investments.  Our committment is to help our clients achieve the most cost effective solution to reach their financial goals.  Our specialists will assist clients with solutions to finance and fund investments, and help protect those investments.

01 June 2010

RBA HOLDS AT 4.5 PERCENT

The Board of the Reserve Bank of Australia (RBA) has announced today the cash rate will be held at 4.5 percent.

Speaking about the decision, RBA governor Glenn Stevens said since the board last met, concerns about sovereign creditworthiness in several European countries have been a focus of financial markets.

“Investors have generally displayed a good deal more caution.  As a result, equity prices have fallen and long-term government bond rates have declined outside of the countries most affected by the sovereign concerns.  The Australian dollar fell sharply as part of this adjustment,”  Mr Stevens said.

“Taking all the available information into account, the Board views this setting of monetary policy as appropriate for the near term.”

Most commentators expect the RBA to hold rates at these levels till at least August 2010.

17 May 2010

Members First and Planet Give Foundation sets a new direction for the planet

 

Planet Give announced that they have chosen Members First as their financial services partner.  Members First will provide to supporters of the Planet Give Foundation a suite of financial services and products, including Mortgages, Home Loans, Risk Insurances, and Financial Planning Advice.  In a first for Planet Give, 15% of the gross revenue from any of these services and products will be received by the Planet Give Foundation.  These funds will provide resources for its main project – providing education for disadvantaged youth and families in our communities

The Planet Give Foundation has announced that they will focus their resources on educational programs built on some unique objectives:

• Targeting students in lower social-economic areas
• Providing detailed academic and social measurement
• Providing psycho-social, or holistic support to students, families and communities

Members First is a leading financial services business in Australia with a network of 120 Mortgage Advisers and 14 Financial Planners across Australia.  Their advisers provide:

• Mortgages and home loans
• Commercial and business finance
• Risk Insurances
• Financial Planning and Advice

According to Rick de Paiva, Director of Planet Give, “We are excited to be able to offer ways in which people’s everyday living and expenses can benefit those in need in our community. Through the funds raised by this partnership with Members First we will be able to provide educational opportunities to assist young people in breaking the cycle of welfare dependence“.

“Members First has had a long association with member-based organizations where supporters not only benefit personally and also through their efforts, support a worthwhile cause”, said Nicholas Psyhogios, CEO of Members First.  “We are proud to partner with Planet Give and to know that the winners will be the youth and students in our communities.”

For more information about how you can contribute to the Planet Give Foundation visit www.planetgive.com

4 May 2010

At its meeting today, the Reserve Bank of Australia decided to raise the cash rate by 25 basis points to 4.5 per cent, effective 5 May 2010.  This is the third consecutive rate rise and the sixth rate rise in seven months, and takes the official cash rate to its highest level since the end of 2008.

For mortgage holders on variable lending rates, today's 25-basis-point increase will add about $46 to the average monthly payment for a typical 25-year, $300,000 home loan.

Statement by Glenn Stevens, Governor Monetary Policy RBA:

Recently, forecasts for world GDP growth have been revised up again, and growth is expected to be at trend pace or a little above in 2010. Conditions in Europe remain quite weak, though recent data suggest growth is becoming more established in North America. In Asia, where financial sectors are not impaired, growth has continued to be strong, contributing to pressure on prices for raw materials. The authorities in several countries outside the major industrial economies have now started to reduce the degree of stimulus to their economies.

Global financial markets are functioning much better than they were a year ago, but sovereign risk concerns have escalated significantly in Europe over recent weeks. This has prompted additional efforts by policymakers to put fiscal policies onto a sounder footing and to provide support for Greece in the near term. To date, there has been very little contagion outside Europe.

Australia's terms of trade are rising by more than earlier expected, and this year will probably regain the peak seen in 2008. This will add to incomes and foster a build-up in investment in the resources sector. Under these conditions, output growth over the year ahead is likely to exceed that seen last year, even though the effects of earlier expansionary policy measures will be diminishing. The process of business sector deleveraging is moderating, with business credit stabilising and indications that lenders are starting to become more willing to lend to some borrowers, though credit conditions for some sectors remain difficult. Credit outstanding for housing has been expanding at a solid pace. New loan approvals for housing have moderated over recent months as interest rates have risen and the impact of large grants to first-home buyers has tailed off. Nonetheless, at this point the market for established dwellings is still characterised by considerable buoyancy, with prices continuing to increase over recent months.

Recent data on inflation confirm that it has declined from its peak in 2008, helped by a noticeable slowing in private-sector labour costs during 2009, the rise in the exchange rate and the earlier period of slower growth in demand. In both underlying and CPI terms, inflation over the most recent 12 months was around 3 per cent. Nonetheless, the extent of decline from here may not be quite as much as earlier forecast and inflation now appears likely to be in the upper half of the target zone over the coming year.

With the risk of serious economic contraction in Australia having passed some time ago, the Board has been adjusting the cash rate towards levels that would be consistent with interest rates to borrowers being close to the average experience over the past decade or more. The Board expects that, as a result of today's decision, rates for most borrowers will be around average levels. This represents a significant adjustment from the very expansionary settings reached a year ago.

The Board will continue to assess prospects for demand and inflation, and set monetary policy as needed to achieve an average inflation rate of 2-3 per cent over time. 

08/04/10

The Reserve Bank of Australia (RBA) pushed the official cash rate up 25 basis points to 4.00 per cent in April.

Rates have now risen five times over the last six RBA Board meetings, and it would appear that the surging strength of our economy, the falling jobless rate and rising home prices will prompt further rises as the year wears on.

If you'd like to discuss any topics highlighted in this issue of Mortgage News, or have any questions on how the recent rate rise may impact your mortgage, please feel free to give us a call at 1300 133 738 or email us at This e-mail address is being protected from spambots. You need JavaScript enabled to view it

09/03/10

The Reserve Bank of Australia (RBA) pushed the official cash rate up 25 basis points to 4.00 per cent in March.

Rates have now risen four times over the last five RBA Board meetings, and it would appear that the surging strength of our economy, the falling jobless rate and rising home prices will prompt further rises as the year wears on.

Indeed, most major bank economists expect the official cash rate to settle around the 4.5-5.0 per cent mark by year's end.

If you'd like to discuss any topics highlighted in this issue of Mortgage News, or have any questions on how the recent rate rise may impact your mortgage, please feel free to give us a call at 1300 133 738 or email us at This e-mail address is being protected from spambots. You need JavaScript enabled to view it