Australian Interest Rates Up

[bmanly]

Hello everyone, Australian interest rates have gone up to 6% today so if you are living off your interest bearing accounts you will be getting 6% interest now, so more baht for your $. Here is part of the story:

The central bank today lifted the official cash rate by 25 basis points to 6.0 per cent, the second time it has raised interest rates this year. The rate rise will take variable lending rates to 7.8 per cent, well above lending rates of recent years. Full story here.

Current exchange rate to the USD

Median price = 0.76577 / 0.76597

Current exchange rate to the THB

Median price = 28.97292 / 29.01879 (bid/ask

source: oanda.com

[samran]

Higher interest rates will also make the AUD stronger as well relative to the THB. So even more bang for your buck.

Also means housing prices should be pushed.....DOWN!!! Who hooo.

God bless high banana prices, and lax inflation targeting.

[simcity]

Banks have a marge between central bank official rate and what they offer to the public .

if 6 % central bank i will be surprise to see more of 4.75 % on deposit and less of 7.75% on borrowing !

i hope not to see a 6% on deposit to soon .

thailand got many hike the last few months too .

[samran]

Banks have a marge between central bank official rate and what they offer to the public .

if 6 % central bank i will be surprise to see more of 4.75 % on deposit and less of 7.75% on borrowing !

i hope not to see a 6% on deposit to soon .

thailand got many hike the last few months too .

Be suprised, be very suprised.

ING Direct (www.ingdirect.com.au) is offering 5.85%. Online account, small overheads, so they can pass on the rate to savers. No minimum deposit, no minimum term.

Thai banks are slowly but surely realising that they have to pass on decent interest rates to their consumers, but this has not reached the level as we see in the west where real competition has forced banks to pass on the good interest rates to their customers.

[wamberal]

How many retirees live off fixed interest?

I hope they also have some growth investments for the longer term.

[thohts]

How many retirees live off fixed interest?

I hope they also have some growth investments for the longer term.

Fixed interest is a safe investment for retired people.

One never knows which way other investments will go.

I'll take a steady 5% a year over "somewhere between" -60% and +60% yearly growth.

And if you have enough money, you already know where the safe investments are that will give you 15% + per year

[TizMe]

Fixed interest is a safe investment for retired people.

One never knows which way other investments will go.

And if you have enough money, you already know where the safe investments are that will give you 15% + per year

These two statements contradict each other..

[thohts]

Fixed interest is a safe investment for retired people.

One never knows which way other investments will go.

And if you have enough money, you already know where the safe investments are that will give you 15% + per year

These two statements contradict each other..

Most people are not aware that these investments exist (because they are not financially qualified), and thus would not be included in my "other investments" statement.

But if you happen to have enough money...

[JimsKnight]

Banks have a marge between central bank official rate and what they offer to the public .

if 6 % central bank i will be surprise to see more of 4.75 % on deposit and less of 7.75% on borrowing !

i hope not to see a 6% on deposit to soon .

thailand got many hike the last few months too .

Be suprised, be very suprised.

ING Direct (www.ingdirect.com.au) is offering 5.85%. Online account, small overheads, so they can pass on the rate to savers. No minimum deposit, no minimum term.

Thai banks are slowly but surely realising that they have to pass on decent interest rates to their consumers, but this has not reached the level as we see in the west where real competition has forced banks to pass on the good interest rates to their customers.

I think its 6% is it not? Which is due to expire at end of August (when it returns to 4.5%).

Gotta check that out!

[roderick17]

How can I get 7.5 % on my aussie dollars without putting my money at risk ?

In other words, what is a gilt edged security that will pay me this amount.

[Charma]

Looks like UK interest rates are going to stay fixed. Any UK bods out there that have set up an aussie savings account? Any issues?

[bmanly]

Banks have a marge between central bank official rate and what they offer to the public .

if 6 % central bank i will be surprise to see more of 4.75 % on deposit and less of 7.75% on borrowing !

i hope not to see a 6% on deposit to soon .

thailand got many hike the last few months too .

For online cash accounts it does match the RBA or even betters it sometimes. Here are some examples, these rates are before the current increases.

Easystreet 5.81%

Bankwest 6.4% and after the intro it drops to 5.75%

INGdirect 5.85% and it won't be going down now.

[bmanly]

How many retirees live off fixed interest?

I hope they also have some growth investments for the longer term.

Quite a lot would have some interest bearing accounts for safety, good income and for having amo up your sleeve should there be a sharemarket crash or correction. Cash is king during those tough times and you need to be in a position to pounce on under valued shares.

[simcity]

How many retirees live off fixed interest?

I hope they also have some growth investments for the longer term.

Quite a lot would have some interest bearing accounts for safety, good income and for having amo up your sleeve should there be a sharemarket crash or correction. Cash is king during those tough times and you need to be in a position to pounce on under valued shares.

Bmanly i really do not think a retiree will put his nest egg into a online account !

look more what the main stream bank are doing ( anz / nat / wesp ) !

many retiree have the money into fund !

[Charma]

Uk rates just raised a whole 0.25%. Whoopee!

[Lost in LOS]

for cd interest in the states check out www.bankrate.com. will list all cd rates. some above 6% now. us goverment insures one account per person with each different bank up ot 100,000. [ FDIC INSURED ]