Matt Comyn, CEO of Australia's Commonwealth Bank has said the firm does not hit existing mortgage customers with a "loyalty tax". Speaking to a House of Representatives' economics committee, Comyn said CBA didn't "actively seek" to hold borrowers on a higher interest rate, and said it "proactively" contacted people to inform them of lower rates offered to new customers. Mr Comyn said the bank had proactively contacted customers to offer them some of the same deals available to new customers, although he was referring to fixed-rate products rather than the variable-rate loans that are typically discounted to attract new business. The Australian Prudential Regulation Authority (APRA) is also investigating whether banks are engaging in predatory lending practices.
Matt Comyn, CEO of Australia's Commonwealth Bank has said the firm does not hit existing mortgage customers with a "loyalty tax". Speaking to a House of Representatives' economics committee, Comyn said CBA didn't "actively seek" to hold borrowers on a higher interest rate, and said it "proactively" contacted people to inform them of lower rates offered to new customers. The Australian Prudential Regulation Authority (APRA) is also investigating whether banks are engaging in predatory lending practices.