The ANZ has increased the interest rate on its standard variable home loans by 39 basis points to 7.8 per cent and is scrapping its exit fee for mortgages.
The bank will also give borrowers of other institutions one-thousand dollars to offset costs if they switch to ANZ and take up a three-year fixed rate loan.
ANZ says the changes will apply from Monday, and nd for cards from Tuesday.
Interest rates on credit cards will rise by 25 basis points and rates on business loans will increase by 39 basis points.
ANZ says it's scrapping its deferred establishment fee, or exit fee, on mortgages and will waive loan approval fees for all new and existing mortgage customers applying for the three-year
fixed rate mortgage by December 31.
ANZ is the second of the big four banks to raise its mortgage rates following CBA's controversial 45 basis point rate hike to 7.81 per cent on November 2.
