The Reserve Bank raised the official interest rates today, but it’s more than likely that only men would have taken notice of it.
According to new research commissioned by Aussie, more than seven in 10 Australian men know what interest rate they are paying on their mortgage compared to half of their female counterparts.
Aussie founder and Executive Chairman Mr John Symond said this result was not surprising given that many men were responsible for the family’s finances.
But it is women who are more likely to “give something up” in order to pay for the mortgage when interest rates are lifted
More than 45 per cent of women revealed they have sacrificed spending to make repayments on their home, compared to 37.1 per cent of men.
Mr Symond said this turned conventional wisdom on its head, as the stereotype is that women spend more.
“Men like to think that women are addicted to shopping, but when it comes down to it, they are probably the ones who go without when times are a little tougher,” he said.
“Most mothers I know would selflessly give up life’s luxuries in order to provide for their families.”
According to the survey, conducted online by market research firm Brandmanagement, most Australians have had to give up something following the Reserve Bank’s series of six interest rate rises late last year and in the first half of 2010.
Entertainment and going out was the most popular luxury sacrificed, with more than three in four giving it up in order to pay for the mortgage. This was followed by domestic holidays (57.4 per cent said they sacrificed them), overseas holidays and appliance purchases (both on 48.8 per cent) and clothes and shoes (45 per cent).
More than 37 per cent of respondents said they had stopped buying beauty and cosmetics products, home entertainment (33.7 per cent) and alcohol (29.2 per cent). On the flipside, only one in 10 respondents said they had sacrificed their car while private schooling was considered a necessity with only 5.8 per cent surrendering this in order to make mortgage repayments.
As one of the country’s largest non-bank providers of financial services, Aussie has a loan book of over $37 billion. There are now over 150 stores and more than 750 brokers across the country ready to help customers get a better deal on their finances.
An Aussie broker will offer guidance, assess eligibility, lodge the application and then support the borrower, whether they have a loan of $100,000 or $1 million through the home loan process. Aussie brokers are available 24 hours a day, seven days a week, in all capital cities and regional centres at the request of customers who call Aussie on 13 13 33.
Photo credit: Edwin Pijpe / Royalty free