A major bank has increased its test rate, which is the rate at which it checks that borrowers can afford a loan. 

ANZ has upped it to 9.1%. 

That's despite home loan rates sitting around 7% for a two-year fix.  

Key Mortgages mortgage broker Jeremy Andrews told Kate Hawkesby that it's the first bank to make such a move in decades. 

He says interest rates have been going up since Covid came along, so test rates have too.

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A major bank has increased its test rate, which is the rate at which it checks that borrowers can afford a loan.  
ANZ has upped it to 9.1%.  
That's despite home loan rates sitting around 7% for a two-year fix.   
Key Mortgages mortgage broker Jeremy Andrews told Kate Hawkesby that it's the first bank to make such a move in decades.  
He says interest rates have been going up since Covid came along, so test rates have too. 
LISTEN ABOVE

A fresh and intelligent start to your day - catch the very latest international and domestic news developments, sport, entertainment and business on Early Edition with Ryan Bridge, on Newstalk ZB.

A fresh and intelligent start to your day - catch the very latest international and domestic news developments, sport, entertainment and business on Early Edition with Ryan Bridge, on Newstalk ZB.