BACKGROUND NOTE THE HON JOE HOCKEY MP SHADOW TREASURER Monday, 28 May 2012 INTEREST RATES UNDER THE

COALITION v LABOR Under the Coalition, the average standard variable mortgage rate was 24 basis points lower than Labor. Average Standard Variable Mortgage Rate Coalition 7.26% (Mar 96-Nov 07) Labor 7.50% (Dec 07-April 12)
Source: RBA Table F05 Indicator Lending Rates

For Wayne Swans typical $300,000 mortgage this difference would represent a saving under the Coalition of $720 a year, or $60 a month. For small business the difference is even greater. Under the Coalition, the average small business unsecured overdraft rate was 135 basis points lower than Labor. Average Small Business Unsecured Overdraft Rate Coalition 8.89% (Mar 96-Nov 07) Labor 10.24% (Dec 07-April 12)
Source: RBA Table F05 Indicator Lending Rates

For the typical small business unsecured overdraft loan of $200 000 this difference would represent a saving of $2,700 a year, or $225 a month. [END]