By fast-tracking the latest interest rate rise by four days the big banks cheated borrowers out of $17 million.
The Daily Telegraph has reported that by the banks moving faster on the rate rise than the cut, the banks will have collected an extra $17 million in interest.
Once again the banks have found a way to profit at the expense of consumers.
The Big Four Banks were writing three out of five home loans in mid 2007. They now write four out of five.
The Big Four are dominating the sector by buying out their rivals examples are: - St. George & RAMS being bought by Westpac, CBA buying Bankwest, and one - third in Aussie (which in turn bought Wizard) and recently NAB got ACCC approval to buy Challenger.
The major banks have also benefited due to the smaller banks having difficulty obtaining funds and suffered from a consumer perception that they are less financially stable.
The results of a recent survey conducted by Choice have shown that the big banks also benefited from the difficulties customers experienced when they tried to change banks.
In an attempt to rectify this Federal Government had set up a switching assistance service last year. Unfortunately only two customers a week reportedly use the service.