Rams Offers Variable-rate Home Loan
The Age
Monday July 25, 1994
Rams Mortgage Finance, the Sydney-based mortgage financier, yesterday launched a variable-rate, interest-only home loan product set at 7.95per cent - undercutting markedly the rate of 8.75 per cent most Australian banks offer for similar products.
The executive manager of Rams, Mr Bob Twine, said the new loan carried a nominal three-year fixed term with interest rates reviewed every six months. The interest rate was the same for owner-occupied and investor lending, he said, with funding available for up to 80 per cent of valuation to purchase property or refinance existing loans.
Mr Twine said the new package was designed to appeal to borrowers who did not want to lock into a fixed interest rate for a full three-year term, but wished to hedge against a rise in interest rates in the shorter term.
Rams also offers a standard principal-and-interest home loan product featuring a variable rate currently set at 7.50 per cent. It has offices in Sydney, Melbourne and Perth, complemented by a national network of mortgage originators to distribute its home-loan products.
© 1994 The Age