Non-major launches 'flexible' hybrid product

by Caroline Dann21 Aug 2012

Citibank claims its new mortgage package, which combines a fixed rate with a personal line of credit, will cater to borrowers' changing circumstances.

The 'Ready Credit and Fixed Home Loan Package' has an introductory fixed rate of 5.9% for the first 12 months.
Customers will also have access to $30,000 with a Visa debit card.
Vibha Coburn, head of mortgages at Citibank Australia, said the package offered much-needed flexibility.
“Fixed rate home loans provide certainty in home loan repayments, but are quite inflexible. They don’t allow customers to transact or make changes should their circumstances change,” she said.
“There are no annual fees, monthly servicing fees and no cash advance fees ever [with the Visa card]." 
Meanwhile, the bank continues to expand in the mortgage market by signing on as a Mortgage Choice lender.
Michael Russell, CEO of Mortgage Choice confirmed the signing was a strategic one.
Citibank has reaffirmed its desire to increase their home loan market share in Australia and we have seen a glimpse of this commitment during our negotiations."
"It is fantastic to add another enthusiastic and customer focused lender to our panel,” he said.