Online lender loans.com.au has added a Blue Ribbon Award to its trophy cabinet while celebrating 12 months of having the lowest variable interest rate in Australia.
Financial Review smartinvestor presented loans.com.au with the Blue Ribbon Award for the Best Variable Rate Loan for its Dream Home Loan, a product that has had the nation’s lowest variable interest rate since at least August 2013, according to data from Canstar.
“It’s our goal to beat the market on price and it is really heartening to have been achieving that consistently for at least a year,” said Kim Cannon, managing director of Firstmac, the financial powerhouse behind loans.com.au.
“Our rates are so far below our competitors that we have had a rate rise within that 12 month period when a promotional rate ended, and we still had the cheapest rate. On top of that, our comparison rate has been the lowest for 21 of the past 24 months.”
The Dream Home Loan has an interest rate of 4.54 percent and has been as low as 4.49 percent. It has no application fee, no monthly fees, no establishment fees, no ongoing fees, and a 100 percent mortgage offset facility.
The Dream Home Loan is the winner of the Best Value Variable Home Loan and Best Value Full Feature Variable Home Loan categories by online comparison site Mozo, and holds the title of Best of the Best Cheapest Home Loan 2014 from Money magazine.
It has been rated Five Stars for Outstanding Value by Canstar since September 2011 and last week improved its value proposition by extending its 4.54 percent pa rate to 90 percent LVR.
Mr Cannon said he was honoured loans.com.au had been recognised by Financial Review smartinvestor.
“The Blue Ribbon Awards are among the banking and finance industry’s most coveted and we are very pleased to have been recognised,” he said.
“It shows us that we are doing it right and it will spur us on to continue innovating and keep the pressure on the big banks.”
Mr Cannon said there was no secret formula for loans.com.au’s outstanding performance.
“The world over, the relationship customers want from their lender is changing and loans.com.au has taken early steps to cement its place online,” he said.
“Loans.com.au is all clicks, no bricks. Because we don’t have the overhead of a branch network to maintain we can pass on savings to our customers and offer the cheapest home loans.”
Roy Morgan Research found in an average four week period, 11.2 million Australians use internet banking, with approximately five million using a smartphone or tablet. Using the Big Four as a yardstick, 56 percent of customers used online banking while less than a third visited a branch.
“At loans.com.au we moved quickly to pioneer the paperless loan application experience and make the online lending space our own.”
For all media and analyst enquiries, please contact Duncan Macfarlane, Public Relations and Communications Manager for loans.com.au, on 0434 184 264 or: