Now that February is here and 2021 is well and truly underway, some of your new year’s resolutions may have already started to fall by the wayside. But, if one of your goals is to get on top of your finances this year, you might find it’s one of the easiest ones to keep.
Comparing interest rates on loan products and credit cards can help you ensure you’re getting the most competitive rate available to you. And, if you do find a more suitable product and make the switch, it could mean more money in your wallet in the months to come without having to lift a finger.
To make it even easier, we’ve rounded up some of the most competitive interest rates available in February so you can see what’s available and how your current commitments measure up.
Home loan rates continue to break records
This month, at its first board meeting of 2021, The Reserve Bank of Australia (RBA) kept the cash rate on hold at 0.10 per cent.
The most recent cash rate cut in November influenced a flurry of mostly fixed rate cuts in the home loan market. However, in 2021 the cuts are no longer coming thick and fast.
UBank, a subsidiary of NAB, recently broke the record for the lowest fixed home loan rate in Australia with its new rock-bottom 3-year fixed rate of only 1.75 per cent (2.22 per cent comparison rate). The rate is for owner-occupiers paying principal and interest.
The rate, however, will only be available for a limited time. Customers have until February 26th to apply, and settle the loan application within 90 days, to be eligible.
Some other low-rate home loans include:
- Homestar Finance’s Star Gold Home Loan (Principal and Interest) (LVR < 60%)
- Reduce Home Loans’ Super Saver (Principal and Interest) (LVR < 80%)
- Freedom Lend’s Freedom Variable Home Loan (Principal and Interest) (LVR < 70%)
- G&C Mutual Bank’s Momentum Home Loan (LVR < 60%)
- Tic Toc’s Live-in Fixed Loan (Principal and Interest) 3 Years (LVR <90%)
Personal loan rates remain competitive
Most personal loans on the market are available for a wide range of purposes, such as buying a boat, paying for a wedding or even consolidating debts.
Pleasingly, interest rates for personal loans remain competitive, making them more accessible if the need arises to access some extra cash – particularly when you’re trying to stay on track with those new year’s resolutions.
Consider these options:
- Symple Loans’ Personal Loan
- Australian Military Bank’s Personal Loan
- WAW Credit Union Personal Loan Unsecured
And if you’re thinking about making some energy efficient modifications to your home, such as installing solar panels, a green personal loan might come in handy. Rates currently start from as little as 3.65 per cent (4.59 per cent comparison rate):
- Australian Military Bank’s Green Loan
- Police Credit Union’s Solar Eco Loan
- Bank of Heritage Isle’s Green Loan
Car sales expected to continue to rise
It seems many Aussies are hitting the road with a new set of wheels, according to recent figures released by the Federal Chamber of Automotive Industries (FCAI), which revealed that January 2021 new car sales were up 11.1 per cent on January 2020.
FCAI chief executive Tony Weber attributes the numbers to attractive interest rates “and a range of other economic indicators”.
There are car loan options currently on the market with rates from 3.85 per cent (4.94 per cent comparison rate), including:
- loans.com.au’s Car Loan (New and Dealer Used)
- Finance Ezi’s Car Loan
- People’s Choice Credit Union’s Discounted Personal Loan (Car Loan)