Wednesday, October 06, 2010

Reserve Bank of Australia leaves interest rate unchanged at 4.5%

Why we have to care about this news?

Increase in interest rate means that you have to pay more for your weekly/monthly rent . It was reported that every 0.25% increase in interest rate will add another $50 to the monthly cost of an average mortgage.


“Australian mortgage holders are already paying about $300 more per month in repayments than they were a year ago. “

The bad news is that, it is predicted that Central Bank of Australia is going to raise the rate soon.

Australia’ Inflation rate for June 2010 is at 3.1% , the highest in more than a year. In simple word, you can say that if you have $1,000 a year ago, its value has dropped to $969 by now…

So recalculate, rebudget and review your financial to ensure you are ready and prepare for it.
Photo credit : http://www.briankludt.com/user_images/large_interest_rates.jpg

2 comments:

Amal said...

Nice post there. tapi bukannya Reserve bank kah? Instead of Royal Bank.

Yusrie said...

Thanks Amal...

yea it should be read as Reserve Bank.... Sorry for the mistake since I m used to hear "Royal" Bank (of Canada) iatah confuse.. ahaha