Non-bank more than doubles RBA cut

by Maya Breen11 May 2015
Non-bank lender Pepper has cut rates by 0.65% across its home loan products, after the Reserve Bank cut the official cash rate by 25 basis points last week.

Pepper’s cut will be applied across the lender’s prime, near prime and specialist range of products.

Pepper’s director of sales and distribution Mario Rehayem said the lender has made moves to cut its rates outside the RBA.

“This latest round of cuts to our rates represents the third round of reductions we have made to our products in 2015, despite the RBA only reducing the cash rate twice. 

“This demonstrates that we remain dedicated to providing competitive and flexible home loan products to brokers and their clients,” said Rehayem.

Rehayem said Pepper’s three-step home loan writing process for brokers is straightforward and easy to facilitate. 

“All brokers have to do to present their clients with a Pepper loan is identify the loan product type – either prime, near prime or specialist, then choose an income type as either full doc or alt doc, and finally identify the LVR to determine the rate. It’s that simple,” Rehayem said.

The cut brings the lender's rates to as low as 4.24% (comparison rate of 4.43%) for full doc.