Skip navigation

Greens to create a Queensland Public Bank to undercut the Big Four and cut mortgages by $514 a month

The Greens are announcing a bold new policy to create a Queensland Public Bank to offer mortgages at 1.5% less than the Big Four Banks – saving recent buyers $514 every month off their mortgage.

As the housing crisis exploded, Commonwealth Bank, Westpac, NAB and ANZ made $30 billion in profit every year. In fact, $400 from the average monthly mortgage repayment is pure profit for the big banks.

So the Greens will create a Queensland Public Bank to:

  • Offer owner-occupier mortgage holders interest rates 1.5% below the Big Four banks, by cutting out corporate profits, 
  • Save new or recent first home buyers $514 a month, based on an average mortgage of $531,000, compared to the Big Four. 
  • Creating real competition in the banking sector and drive down home loan interest rates among the Big Four 

It’s not a new idea – Australia and Queensland used to have public banks which offered cheap mortgages, like Commonwealth Bank and the Queensland SGIO. New Zealand currently has a publicly owned bank, Kiwibank.

Michael Berkman, Greens MP: 

“The Big Four banks, Labor and the LNP are crushing the Australian Dream. 

“It should be criminal how much money the big four banks have made off the housing crisis. 

“Right now, on average, $400 of every monthly mortgage payment you’re making is going into pure profit for the big banks. 

“While people are forgoing things like fresh fruit and veggies just so they can make their mortgage payments, the big banks are making $30 billion in profit every year.”

“It’s time we brought back publicly-owned banking here in Queensland to take the pressure off families and first home buyers.

“Labor and the LNP are happy to let the banks rip off Queenslanders because they both take millions in political donations from them.

“New Zealand has a publicly owned bank, Queensland and Australia used to have them, so there’s no reason we can’t have one again. 

“I’m expecting Labor, the LNP and their friends like Anna Bligh in the banking lobby to absolutely spit the dummy at this idea, but that shouldn’t surprise anyone given how they’ve fed mortgage holders to the wolves. 

Background: 

The Greens will create a Queensland Public Bank to:

 

  • Offer owner-occupier mortgage holders interest rates 1.5% below the Big Four banks, by cutting out corporate profits, 
  • Save the average new or recent first home buyers $6,165 every year or $514 every month, based on an average new mortgage of $531,000, compared to the Big Four. 
  • Offer fair mortgage rates, credit cards, savings, transaction accounts for households, and cash handling & EFTPOS facilities for small businesses with no fees. 
  • Drive down home loan interest rates among the Big Four by creating real competition in the banking sector.

 

Continue Reading

Read More