Half a trillion dollars’ worth of “liar loans” are propping up the Australian banking sector, new research from UBS suggests – a powder keg in an economy where interest rates are expected to soon rise from record lows.
About one-third of Australians were not completely truthful on their home loan application over the past 12 months, marking a significant increase on the previous year, according to a 907-person survey, which UBS presents with a 95 per cent confidence level.
UBS suggested that $500 billion worth of mortgages may be based on factually inaccurate. Source: ABS as at 31 July, UBS Evidence Lab, UBS estimates. Photo: UBS
READ MORE VIA DOMAIN
