Interest rates on hold, credit policies tighten – what does this mean for you?
Official interest rates are on hold as of yesterday, and have now been left unchanged for nearly two years.
Earlier this year, many economists were predicting one or two rate rises in 2018, but now the markets are predicting there won’t be an increase until November 2019 – and even that prediction keeps getting pushed further out.
There is even now a small groundswell of opinion that the Reserve Bank of Australian’s next move should be to cut rates, not increase them. Stay tuned.
While there’s some amongst us that welcome this ‘no change’ announcement, we know its not-so-good news for self-funded retirees. Even so, there are strategies that can be employed to overcome the issue of low-interest returns. The experts at Morgans’ Warrnambool office are specialists in this kind of advice, and will have a range of options to consider if this impacts you.
As always, We’re here to help with any finance questions you may have – even though the end of financial year is a busy time, there’s always time to talk.
Andrew Morris is a Mortgage Broker with Sinclair Wilson, located in our Wealth Management team. His specialties are home loans and commercial loans and he provides a wide range of mortgage brokings services, credit advice and debt consolidation advice.