RBA rises August cash rate to rein back inflation
The Reserve Bank of Australia (RBA) today decided to increase the official cash rate by 0.50% to 1.85%.
The increase follows a slightly better than expected annual inflation figure of 6.1 per cent in the June quarter and falling house prices in some eastern state cities.
Balancing out these factors is an unemployment rate of 3.5%, the lowest rate in almost 50 years.
The RBA faces a challenging period as it weighs up trying to rein in inflation against the spiraling cost of living.
Lenders can set interest rates independently of RBA movements, and their responses to this official cash rate hike may vary.
I deal with multiple lenders every day, so I know just how flexible they can be to keep or win your business.
It never hurts to ask the question, so get in touch to review your options.
Find out what recent interest rate rises may mean for you
Any advice contained in this article is of a general nature only and does not take into account the objectives, financial situation or needs of any particular person. Therefore, before making any decision, you should consider the appropriateness of the advice with regard to those matters. Information in this article is correct as of the date of publication and is subject to change.