Australian Big Four Banks, no longer big on interest only loans.
I just wrote the previous blog post detailing the Australian bank, The Commonwealth Bank of Australia, using measures to reduce their loan book of interest only loans.
Reportedly, due to the limit being placed on these kind of loans ANZ has taken their own strategy to meet the regulator's requirements.
According to this article below, ANZ will be limiting interest only loans to periods of five years, instead of the previous ten years, waive a fee for those moving from interest only
to principal and interest, and apply a fee to those not occupying interest only properties.
Westpac is also making things tougher for interest only investors:
NAB seems to already have some of these restrictions in place but will likely need to up interest rates on interest only loans and add other restrictions soon to meet APRA requirements: