The CEO of NAB, with a budget of $ 4 million a year, has been mocked in social networks for making a video that proclaimed that his bank would refrain from raising mortgage interest rates.
Andrew Thorburn released a video on Monday announcing that National Australia Bank would keep the standard variable rates on hold, unlike its main competitors Westpac, ANZ and Commonwealth.
The banking chief, who last year paid $ 4,065 million after bonuses, did a disguised dig at the other major banks, which last week blamed higher financing costs for raising credit interest rates, although the Bank of the Reserve of Australia kept the cash rate on hold.
Without mentioning his competitors by name, he proclaimed that NAB's decision to leave the waiting rates at 5.24 percent was an example of his bank listening to customers.
"We need to rebuild the trust of our customers, and by keeping our standard NAB variable rate for longer, we help our customers for longer," Thorburn said in his 45-second message.
"Our commitment is to listen more and act differently."
The head of the bank was mocked on Twitter with Dom Flanagan using a laughing emoji to expose his point.
Listen, then act differently? That's funny, "he said.
Mr. Thorburn, who has 816 followers on Twitter, got an answer from & # 39; lol & # 39; or & # 39; laugh out loud & # 39; of a woman who was asking for "fiscal equality".
NAB CEO Andrew Thorburn, $ 4 million a year, scoffed at social media for making a video that proclaimed that his bank would refrain from raising mortgage interest rates.
The head of the bank was mocked on Twitter with Dom Flanagan using a laughing emoji to show his point
Prime Minister Scott Morrison, however, quickly congratulated NAB for keeping the rates on hold.
& # 39; Good call from NAB not to raise mortgage rates. It seems that they understand, "he tweeted two hours after the NAB announcement.
This only sparked another hornet's nest on Twitter, with several people asking the prime minister why he initially opposed a real bank commission when he was treasurer.
The main banks are as unpopular as the politicians, if the social networks have something to do, after Westpac became last week the first bank to increase its standard variable mortgage rate.
It will raise interest rates by 14 basis points from September 19, despite the fact that the Reserve Bank of Australia left interest rates in September at an all-time low of 1.5 percent, blaming the costs of wholesale financing.
Prime Minister Scott Morrison, however, quickly congratulated NAB for keeping rates on hold
The prime minister woke up a hornet's nest on Twitter congratulating NAB, and several reminded Scott Morrison of his previous opposition to the royal banking commission.
ANZ did the same on Thursday, announcing that it would raise its equivalent rate by 16 basis points from September 27.
NAB kept the rates on hold, but this may not last
Commonwealth Bank, Australia's largest mortgage lender, on the same day raised its interest rate by 15 basis points, effective October 4.
Financial product comparison website Canstar's financial services executive, Steve Mickenbecker, said that an increase in US interest rates was like causing more rate hikes by large banks outside of a move by the Bank. the Reserve of Australia.
"I imagine that with the widespread speculation that NAB was about to follow its three big competitors, I wanted to clear the air and take advantage of the opportunity to take advantage of the high ground," he said.
"It's good news for the borrowers, but I suspect they should not become complacent.
"If US rates continue to rise as expected, I would have to anticipate further rate increases across the market, few lenders can claim immunity."