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Lifts short term fixed interest rates on housing loans

Document date:  Thu 11 Jun 1998
Published:  Thu 11 Jun 1998 00:00:00
Document No:  138074
Document part:  A
Market Flag:  N

HOMEX - Melbourne                                                     

ANZ today announced that it had reviewed short term fixed interest
rates on home and residential investment loans in a response to
significant upward movements in money market rates. Effective Monday,
15 June 1998, the new rates are:

Fixed Rate Term          New Rate          Change

1 Year                   6.50%             +0.55
2 Year                   6.70%             +0.35
3 Year                   6.70%             No change
4 Year                   6.95%             No change
5 Year                   7.10%             No change

ANZ Global Head of Personal Banking, Mr Peter Hawkins said the
increases flowed from steady rises in wholesale funding rates for
fixed terms in the money market over the last week.

"There have been successive reductions in fixed term rates in recent
months and these rates remain highly competitive - still very close
to the lowest experienced over the last few decades," Mr Hawkins

In addition, ANZ Fixed Rate Housing Loans continue to offer a range
of other benefits including:
* the ability to set a higher repayment amount at the outset of the
fixed rate loan, thereby reducing the loan principal faster and
saving on interest.

* the ability to link a 100% mortgage offset account to the 1 Year
fixed rate housing loans, whereby all funds in the offset account
work daily to reduce the interest payable on the loan.

Variable loan interest rates are unchanged at 6.70% for owner
occupied home loans and 6.90% for residential investment loans.

For media enquiries, please contact:

Paul Edwards
Head of Group Media Relations