NAB increases mortgage share
(15 July 2010 − Australia) National Australia Bank’s strategy to discount its standard variable interest rate is paying off, as the rate mortgages written by the bank rises at the fastest pace in five years, The Australian newspaper reported.
With rising interest rates becoming a major concern for homeowners NAB undertook a goal to keep its standard variable rate under its big four rivals and over the past four months the bank reaped the rewards.
NAB, with a current standard variable interest rate of 7.24 percent, has A$144.39 billion on its mortgage book.
Despite the figure placing NAB as the second smallest of its big four rivals the bank has recorded one of the fastest growth rates.
The Australian newspaper carried out an analysis of APRA’s May lending data, showing that NAB increased its mortgage market share by six basis points.
NAB’s dramatic increase was at the expense of CBA and Westpac, who lost four and two basis points respectively.
During the past three months NAB's home loans grew by 14 basis points overall.
NAB group executive of personal banking Lisa Gray told The Australian that the bank started 12 months ago to ensure that our customers received a fair exchange of value.
This is the first time NAB has had four consecutive months of growth above system since the middle of 2005, Ms Gray added.
NAB has seen more home loan customers join NAB than we've seen in years, Ms Gray highlighted.
The bank’s focus on providing a better deal has not only resulted in customer retention and growth; it is also attracting a higher quality customer portfolio, Ms Gray commented.
NAB, with a current standard variable interest rate of 7.24 percent, has A$144.39 billion on its mortgage book.
Despite the figure placing NAB as the second smallest of its big four rivals the bank has recorded one of the fastest growth rates.
The Australian newspaper carried out an analysis of APRA’s May lending data, showing that NAB increased its mortgage market share by six basis points.
NAB’s dramatic increase was at the expense of CBA and Westpac, who lost four and two basis points respectively.
During the past three months NAB's home loans grew by 14 basis points overall.
NAB group executive of personal banking Lisa Gray told The Australian that the bank started 12 months ago to ensure that our customers received a fair exchange of value.
This is the first time NAB has had four consecutive months of growth above system since the middle of 2005, Ms Gray added.
NAB has seen more home loan customers join NAB than we've seen in years, Ms Gray highlighted.
The bank’s focus on providing a better deal has not only resulted in customer retention and growth; it is also attracting a higher quality customer portfolio, Ms Gray commented.
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