Effective 8 August, Virgin Money will introduce multiple rate changes across a raft of mortgage products.
A new broker note released today listed these changes which include:
- Increasing the standard variable rates for owner occupied and investment interest only loans for new and existing customers
- Increasing the fixed interest only rates for both owner occupied and investment loans
- The lender no longer accepting Rate Lock requests for pre-approvals or for off-the-plan purchases
The standard variable interest only rates will be raised by 25 basis points for new and existing customers.
| Reference Rate |
Rate (p.a.) |
| Virgin Money variable interest only rate (owner occupied) |
4.89% |
| Virgin Money variable investment interest only rate (investment) |
5.19% |
For new owner occupied interest only customers, the rates will be as follows:
| |
Current rate (p.a.) |
New rate (p.a.) |
Change |
| Borrowings $75,000 to $499,999 |
| LVR less than or equal to 70% |
4.14% |
4.39% |
+0.25% |
| Borrowings $500,000 to $749,999 |
| LVR less than or equal to 70% |
4.09% |
4.34% |
+0.25% |
| Borrowings $750,000 and above |
| LVR less than or equal to 70% |
4.04% |
4.29% |
+0.25% |
For new investment interest only loans, the rates will be as follows:
| |
Current rate (p.a.) |
New rate (p.a.) |
Change |
| Borrowings $75,000 to $499,999 |
| LVR less than or equal to 80% |
4.44% |
4.69% |
+0.25% |
| Borrowings $500,000 to $749,999 |
| LVR less than or equal to 80% |
4.39% |
4.64% |
+0.25% |
| Borrowings $750,000 and above |
| LVR less than or equal to 80% |
4.34% |
4.59% |
+0.25% |
Virgin Money will also be changing its fixed interest only rates as follows:
| Owner occupied – LVR 70% and under |
| Term |
Current rate (p.a.) |
New rate (p.a.) |
Change |
| 1 year |
4.24% |
4.39% |
+0.15% |
| 2 year |
3.99% |
4.39% |
+0.40% |
| 3 year |
3.99% |
4.49% |
+0.50% |
| 4 year |
4.34% |
4.69% |
+0.35% |
| 5 year |
4.49% |
4.79% |
+0.30% |
| Investment – LVR 80% and under |
| Term |
Current rate (p.a.) |
New rate (p.a.) |
Change |
| 1 year |
4.34% |
4.49% |
+0.15% |
| 2 year |
4.05% |
4.49% |
+0.44% |
| 3 year |
4.14% |
4.49% |
+0.35% |
| 4 year |
4.44% |
4.89% |
+0.45% |
| 5 year |
4.59% |
4.99% |
+0.40% |
Finally, Virgin Money will not be accepting rate lock for pre-approval applications or for off-the-plan purchases. Once a property has been found for a pre-approval application, then rate lock can be requested however.
