RESIMAC cuts rates after 30% volume rise

RESIMAC General Manager Adrienne Church says ongoing tightening from the banks has led more brokers to recommend non-traditional lenders.

The lender saw a 30% rise in specialist lending business in April, Church said, driven by tightened lending from the major banks and increased awareness about non-bank alternatives.

Following the growth the lender has introduced a range of cuts to its prime, specialist, and low-doc rates. Interest rates on specialist lending have been cut by 33 basis points, and prime rates over 80% LVR have been cut by 91 basis points. The new rates come into effect on Monday.

Chuch says RESIMAC expects to continue taking business from the major lenders in coming months, as borrowers with slight credit history issues, self-employed people, and those blocked by tougher servicing calculators turn to alternative lending sources.