Heritage Bank to temporarily halt investor lending

Heritage Bank has temporarily stopped accepting new applications for investment home loans, to ensure we comply with regulatory limitations on growth

Heritage Bank has temporarily stopped accepting new applications for investment home loans, to ensure we comply with regulatory limitations on growth

The decision is effective from Friday, 1 September.

Heritage has experienced a sharp increase in the proportion of investment lending in our new approvals recently.

That’s an outcome both of our attractive pricing structure and the actions other lenders in the investor market have taken to slow their growth.

We need to manage our investment lending portfolio carefully, to ensure we stay within the caps APRA has placed on growth in investor and interest only lending.

As a result, we’ve taken the decision to temporarily stop accepting applications for new investor lending, effective from Friday (1 September).

We will monitor our approvals and loan portfolio in coming weeks and review that decision as needed.