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News Online Petition To Force Banks To Introduce Tracker Loans
 Online Petition To Force Banks To Introduce Tracker Loans

Online Petition To Force Banks To Introduce Tracker Loans

 

The Federal Government should force the big banks to introduce tracker loans as part of a package of measures to curtail their massive profits according to Kevin Young, President of Property Club, Australia’s largest independent property group.

Tracker loans are popular in the UK and Ireland where banks have to guarantee they will follow interest rate movements by the Central  Bank.

Mr Young said that the profit margins of the big banks have doubled since the Rudd federal government due to a lack of competition in the Australian banking industry.

“This was highlighted yet again when the big four banks failed to pass on the full 0.25% interest rate cut by the RBA in August.

 

“As a result of this lack of competition, banks like the CBA are recording mega annual profits of nearly $10 billion a year. The reality is that $ 5 billion of these profits are due to a lack of competition and the failure to pass on the full cuts in interest rates.

“This is $5 billion that should be in the pockets of mortgage holders not the CBA.

“We have the wealthiest banks in the world who easily withstood the GFC and these disgusting profits are outrageous.

“That is why we are calling on the Federal Government to force the banking sector to introduce tracker loans as a first step to rebalance the market place in favour of property owners.

“We also support the Labor Party policy on a Royal Commission into the banking sector but believe the terms of reference should be widened to cover measures that will increase greater competition and accountability in the banking sector,” he said.

The online petition can be found at propertyclub.com.au

Originally posted on .

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