ClareBear 💚 
#nzpol can anyone explain to me why ANZ and BNZ are raising their mortgage rates today please? #banking #mortgages #costofliving *edit: just ANZ
JustSaying@ClareBear Yep, economy is f'ed so higher risk to loan money
@ClareBear More detailed answer:
Petrol goes up
Everything goes up
Inflation therefore goes up
Rates go up to try to reduce inflation
@ArrestJK ok I’m economically thick! I don’t get the last sentence
OK no problem
If money is cheap to borrow there's more money being spent, if rates go up spending goes down, if less is spent (ie demand goes down) then prices less likely (other things can still make them go up like OIL) to go up.
@ArrestJK thanks for that. My dumb reckoning just sees more obscene profits at the banks and ‘mum and dad’ mortgage payers being squeezed dry. Brb off to yell at clouds for a bit
@ClareBear banks make money when rates are low or high as the difference between what they pay when you save and what they loan it out at always makes them money (unless too many can't pay loans back)
@ArrestJK thanks, wading my way through atm. Back in the day we went to “bookkeeping “ at high school. Now I understand why mr palmer didn’t think I was worth five minutes of his time haha
@ClareBear I could make it easy in person but typing is difficult that site is pretty good but does assume some knowledge in this already