Home lending in Victoria withered to its lowest pace in five years in January, after interest rate rises and the end of the first home buyers assistance, and the Reserve Bank of Australia warns that buyers may be paying even higher prices for housing soon.

Last September, 835 Victorians took out mortgages on new homes, according to the Bureau of Statistics. But in January, following three consecutive rate hikes by the RBA and with the new home buyers assistance winding down, that number plunged to 525. read more..

The Office of Fair Trading has successfully prosecuted the Hearts United International Consulting Services of Tweed Heads, NSW, for seven infringements of the Introduction Agents Act and misuse of client credit card details, resulting in a $20,000 fine. The case was heard in the Southport Magistrates Court last Friday. read more..

A recent survey by Westpac Women’s Markets spoke with 1,000 people, both men and women, about household finances. The results flipped the age-old myth of women not understanding finance on its head.

Almost half of everyone surveyed (47%) of both men and women, argued with their “other half” about money. But 19% of women don’t trust their partners with money and 47% of women believe he wastes money. The figures are 10% and 40% amongst men.
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Premier Anna Bligh is seeking financial assistance for the victims of flooding in Queensland’s southwestern area, including Murweh, Maranoa, and Balonne Shires, which have been declared disaster areas. To set the example, the state’s government made the first donation, of $500,000.

“I’ve seen first-hand the devastation the flooding over the past week has brought to these communities,” Ms. Bligh said, “and it’s going to take some time before the residents of towns like Charleville and Roma are back on their feet.”
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Westpac, NAB, ANZ, St. George, and the Commonwealth Bank are passing along the Reserve Bank of Australia’s 25 basis point rate hike to their credit card customers, but no more.

This meekness by the major banks follows December’s blowout, when they raised rates by a higher amount than the RBA’s measured move, earning ire from their customers, the government, and RBA Governor Glenn Stevens. Westpac in particular was lambasted for its nearly-double 45 basis point hike.
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