WHEN interest rates are rising, it pays home buyers and savers to look beyond the big banks
Beating the banks in a higher interest rate environment is tough but experts say there are strategies homeowners and depositors can employ that will save them more money or deliver greater returns.
The first and most important strategy is to shop around.
If you are a mortgage holder, experts say you should be doing your research now to find better deals, as further interest rate rises are expected in the year ahead. But if you are a depositor, the higher interest rate environment is in your favour, with better deals likely to come in the new year.
Last week the Reserve bank of Australia raised the official cash rate by 25 basis points to 4.75 per cent.
On the same day, the Commonwealth Bank lifted its standard variable rate by 25 basis points above the cash rate, and at the time of writing other banks were expected to follow. Read more...
