AFG: Impact of rate decisions seen in volumes

The decision by the major banks to pass on different rate increases has resulted in a noticeable change in mortgage origination activity, according to AFG.

Comments by Mark Hewitt, AFG's general manager of sales and operations in the Fin Review, suggest borrowers may be voting with their feet in response to recent rate increases.

Hewitt said new volume from NAB and ANZ were "quite strong" while Westpac volumes had "come off a bit" and CBA had "maintained share".

Westpac pushed up rates by 45bps, CBA by 37bps and ANZ by 35bps. NAB was the only major bank to stick with the RBA's 25bps increase.

Since announcing its rate decision, NAB has taken aim at Westpac in a bid to gain market share.

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