We will be increasing the interest rates for our AMP First Owner Occupied Interest Only variable product rate home loans by 0.10% pa. The change is effective from Monday 16 October 2017 for all existing variable rate home loans.
AMP First Owner Occupied Principal and Interest variable product rate home loans have decreased by 0.10% pa.
We are not changing our AMP First Investment variable product rate home loans.
Why are you increasing variable interest rates?Show more
The decision to increase our AMP First Owner Occupied Interest Only variable lending rates was given much consideration. These changes are required to manage our portfolio responsibly and to ensure we continue to align with regulatory requirements.
We take our responsibility to you, our customer, seriously and want to ensure we protect customers whilst balancing the need to meet the requirements set by the regulators, APRA.
The important thing for you to consider is the interest rate you are paying, and our home loan rates are still competitive.
We remain committed to helping Australians own their homes and it's a priority for us to remain competitive and at the same time balance this against what's important for both our customers and shareholder.
When will these changes take effect?Show more
If you have an AMP First Owner Occupied Interest Only variable rate loan or line of credit with us, the interest rate will increase by 0.10% pa on Monday 16 October 2017.
Your new repayment amount will become effective from your next scheduled repayment date from Monday 16 October 2017.
For example, if your loan application was settled on 15 April 2017, your scheduled monthly repayment date will be the 15th day of each month (or next business day) regardless of your repayment frequency. As a result, your new minimum monthly repayment will come into effect on 15 November 2017, and your "actual" repayments (whether they are fortnightly, monthly or weekly) will change from this date.
What interest rate change notification is issued?Show more
The changes to the variable interest rates was published in The Australian on Thursday 12 October 2017.
We will also send you a letter disclosing your new minimum monthly repayment and your new 'actual' repayment. You should receive your letter the week commencing Monday 23 October 2017.
The new 'actual' repayment details the frequency and amount that will be debited from your account based on your instructions (for example, the new minimum monthly repayment may be $455.20 and you may have advised that you want to pay an additional $50 in all instances each month, thus your new 'actual' repayment will be $505.20 each month).
How can I find out what my changed repayment amount is?Show more
You should receive your letter commencing Monday 23 October 2017.
This letter will include details of your new interest rate and new repayment amount.
You can use our loan repayment calculator to get an estimate of what your repayments will be.
The changed repayment amount will be shown on your next statement.
You can also log into My AMP or call 13 30 30 from Monday 16 October 2017 to find out what your minimum repayment amount is.
What must I do to ensure my repayment amount changes to the new amount?Show more
What you need to do
You'll need to update your repayments as outlined:
- Direct debit - If you've asked us to take your repayments by direct debit, you don't need to do anything. We'll automatically adjust this to the new repayment amount. Please make sure your account has sufficient funds to make the new repayments. If you want to keep your repayments the same as they are today, contact us on 13 30 30.
- Deduction from your salary - You'll need to contact your payroll office to update your salary deduction amount before your next repayment date.
- Periodic payment from another bank - please contact that bank to update your payment amount before your next repayment date.
If you make fortnightly repayments, you'll pay half of the minimum monthly repayment each fortnight. If you've asked to make weekly repayments, you'll pay a quarter of the minimum monthly repayment each week.
Also, if you're making an additional amount (for instance, and extra $50 a fortnight) by direct debit, call us if you want to amend this amount.
If repayments are made weekly or fortnightly on Interest Only Variable Payment loans
If your loan product allows weekly or fortnightly repayment schedules, estimating weekly/fortnightly repayment amounts should allow for a 33 day month, since if the last day of the month occurs on a Saturday, interest will not be charged, and repayment will not be taken until the Monday after (meaning the interest charged will be for a total of 33 days).
So to estimate weekly and fortnightly repayments use the following formulae:
Weekly repayment = Loan Amount x (Interest rate/365) x (33/4)
Fortnightly repayment = Loan Amount x (Interest rate/365) x (33/2)
Once you have estimated the decreased repayments on your Interest Only Variable Payment loan, you must take action to change any Direct Debit in place with either ourselves or another institution if you wish to reduce your repayment amount.
Important informationShow more
It’s important to consider your particular circumstances and read the relevant Terms and Conditions before deciding what’s right for you. This information hasn’t taken your personal circumstances into account.
This information is provided by AMP Life Limited. Read our Financial Services Guide for information about our services, including the fees and other benefits that AMP companies and their representatives may receive in relation to products and services provided to you
All information on this website is subject to change without notice. The credit provider and product issuer of AMP Bank products is AMP Bank Limited Australian Credit Licence 234517.