Introduces new small business package with 6.5% Loan

Document date:  Fri 01 May 1998
Published:  Fri 01 May 1998 00:00:00
Document No:  137064
Document part:  A
Market Flag:  N
Classification:  

HOMEX - Melbourne                                                     

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ANZ today announced a range of initiatives which recognise the needs
of small business.

From 4 May 1998, ANZ will reduce its fixed rate business loans.

* One year fixed rate Business Mortgage Loans secured by residential
property will be reduced to 6.5%, or 6.3% for Interest in Advance
Loans.

* One year fixed rate Commercial Loans secured by commercial property
will be reduced to 7.0%, or 6.8% for Interest in Advance Loans.


From 1 June 1998, the standard variable rate for Business Mortgage
Loans of 6.95% will become the index rate for new business lending
including overdrafts.

* Rates for overdrafts secured by residential property will be cut
from 7.95% to 7.45%. * Rates for overdrafts secured by commercial
property will be cut from 8.45% to 7.95%.


Other initiatives planned are:

* Esanda Business Bonus providing pre-approved limits for business
asset finance. This includes motor vehicles up to $100,000;
industrial/commercial equipment up to $60,000; and office equipment
up to $25,000.

* Access to competitive small business and rural insurance.

* Introduction of ANZ Business Direct, a service for small business
customers with simple needs.


The initiatives build on ANZ's Small Business Gold package launched
in October 1997 which included telephone banking and credit card
facilities.

For media enquiries, contact:

Paul Edwards
Head of Group Media Relations


ANZ BUSINESS RATES

Indicator Rates               Business Mortgage Index    Retail Index
Effective 1 May 1998                  6.95%                 8.75% 

Facilities(1)                         Rate
Business Mortgage Loans
*  Secured by residential property
1 Year Fixed Interest in Advance      6.3%
1 Year Fixed                          6.5%
2 Year Fixed                          6.8%
Standard Variable                     Business Mortgage Index (6.95%)


Availability                          Rates are effective May 1998 for
                                      new business lending.
                                      A minimum of $25,000 applies.
Commercial Loans
* Secured by commercial property
- 1 Year Fixed Interest in Advance    6.8%
- 1 Year Fixed                        7.0%
- 2 Year Fixed                        7.2%
- Standard Variable                   Business Mortgage Index +0.50%
                                      (7.45%)

Availability                          Rates are effective May 1998 for
                                      new business lending.
                                      A minimum of $50,000 applies.

Overdrafts
* Secured by residential property     Business Mortgage Index +0.5%
                                      (7.45%)
* Secured by commercial property      Business Mortgage Index +1.0% 
                                      (7.95%)
* Secured by business assets          Business Mortgage Index +2.0% 
                                      - 2.75% (8.95% - 9.70%)(2)      
* Unsecured                           Business Mortgage Index +4.75% 
                                      (11.70%)

Availability                          Overdraft rates are effective 
                                      from 1 June 1998 for new
                                      business lending with minimum 
                                      total business lending of
                                      $50,000.

(1)   Fees and charges apply
(2)   Margin is based an customer risk grading

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