Tuesday, December 14th, 2010 - Lower Your Rates
Growing discontent with the major banks has delivered a new model mortgage lender that offers life of the loan reward to customers.

New lender, LowerYourRates.com.au, rewards customers by paying a percentage of their council rates each year based on the balance outstanding on their home loan.

The model has already received the endorsement of the Local Government Association of Queensland and major local Councils with more expected to follow.

Founder and Managing Director Andy Gray, a former banking and finance executive, said the model for Lower Your Rates offers an alternative to loans from the major banks and an incentive to refinance.

“There was an obvious gap in the market for a service that would continue to reward customers for the life of their loan and make it easier for the average family trying to make ends meet.

“Unlike the big banks who pocket major profits, we are sharing part of our profits with our customers by giving them back money via their Council rates.

“The average Australian home loan is $300,000 meaning customers have the potential to receive $300 per annum towards their council rates. Over a 30 year loan customers could save up to $5800 on their rates,” Mr Gray said.

The model has been publicly endorsed by the Local Government Association of Queensland who sees the arrangement as adding value for home owners.

Mr Gray said he felt it was important to provide competition against the major banks and focus on a model that prioritises giving customers a better deal.

“Despite being discontent with their current financial institution, many people are not aware of the alternatives available. We hope this new model will motivate borrowers to investigate the options because they can see the real financial benefits.”

Lower Your Rates is able to provide customers a competitive interest rate through a partnership with wholesale funder Resimac and by operating as an online business with minimal shop front costs.

“We don’t have the fees of the big banks and are able to provide ongoing savings to our customers including low interest rates and no fees,” he said.

“We are effectively doing what retailers have been doing for years, rewarding customers for their patronage.”

Contact Profile

Lower Your Rates


Loweryourrates.com.au is a recently launched Australian company offering a mortgage model which gives customers life of the loan rewards.
Lani Pauli
P: 07 3309 4732
W: www.loweryourrates.com.au

Keywords

home loan, mortgages, banks, finance, lending, loans, real estate

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