IMB Bank announces interest rate changes

6 May 2022

In line with this week’s decision by the Reserve Bank of Australia to increase the official cash rate, IMB Bank will increase variable home loan rates by 0.25%, effective May 20.

IMB’s CEO Robert Ryan said this decision was made based on a range of factors, and the impacts and benefits to all of IMB’s members.

“When making changes to our interest rates, we consider several factors, including market forces, the economic outlook, and how we can best balance the needs of all of our members, including those with loans and those who are saving with us. Our decision to lift variable rates reflects the consideration of all these factors and the historically low interest rate environment, which has in recent years benefited borrowers but reduced earnings on our members’ deposit accounts. For our depositor members, we have increased some of our 1,2,3,4 and 5-year term deposit rates by up to 0.50%," said Mr. Ryan.

Mr. Ryan acknowledged that some borrowers may require assistance as rates increase. “While our interest rates have been at record lows, many borrowers have taken the opportunity to place themselves in a strong position to prepare for this change, but we also understand that some members may have concerns about how this rate rise might affect them. Our team is ready to assist with any enquiries, in our branches or by contacting us on 133 462, and I encourage members to speak with us if they need our guidance.”

IMB’s variable home loan interest changes are effective from May 20, 2022. Affected borrowers will be notified of their new repayment amount in their July statement, with the new repayment amount taking effect from September 2022.

The increased 1, 2, 3, 4 and 5-year term deposit rates (minimum $5000 investment, interest paid annually) will be effective from Monday 9 May with more information found here.

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