Competition watchdog to investigate banks

The Australian Competition and Consumer Commission will investigate the banking sector.
The Australian Competition and Consumer Commission will investigate the banking sector.

COMPETITION WATCHDOG TO INVESTIGATE BANKING SECTOR:

* Investigate prices charged for residential mortgages across entire market, including by major banks, smaller banks, and non-bank lenders;

* Consider how banks make pricing decisions, including passing on movements in the official cash rate;

* Examine differences in prices paid by new and existing customers;

* Examine differences between reference interest rates published by suppliers and interest rates paid by customers; and

* Investigate barriers that may prevent consumers from switching lenders.

Australian Associated Press