SYDNEY, Australia–The ongoing low-rate environment, coupled with an influx of scam applications from overseas borrowers, has led to a wave of incentive offers in this country from lenders offering vouchers, gifts, trips and other items to native borrowers.
According to the Australian Financial Review, the loan deals include:
- Suncorp is waiving $375 in annual fees.
- Commonwealth Bank of Australia is offering $1,250 cash back for minimum refinancing of $250,000.
- Bananacoast Community Credit Union is offering a chance to win a $10,000 Freedom furniture gift card.
- Northern Inland Credit Union is offering a $1,500 travel voucher so cash-strapped buyers can “recuperate from the stresses and strains of house shopping.”
AFR.com reported that “growing fears about false documentation and money laundering by overseas' buyers is causing lenders to rethink strategies, particularly non-bank lenders and credit unions that claim to have seen a big spike in foreign applications as the majors close their doors.”
Major lenders, such as Australia and New Zealand Banking Group, have detected falsified income and employment records, suspicious documentation and references from overseas companies that cannot be located, said AFR.com.