ANZ Share Price Rises Slightly

Today, ANZ [ANZ:ASX] have had a small rise in share value, growing by a mere 0.14%

They are now trading at $28.005 a share, while sitting on a market cap of $81.12 billion and enterprise value of $77.7 billion.

Currently their profit margin is 33.58%, while operating margin stands at 50.79%

ANZ was founded in 1835 and is one of Australia’s largest banks. They provide banking and financial products and services to customers and other businesses.

Maintaining their business practice

ANZ is working towards refunding $69 million to 400,000 customers in an attempt to fix processing errors regarding home loan packages.

Customers were simply charged too much interest from the Breakfree home loan package after problems occurred within the packages and offset accounts.

ANZ have had numerous processing problems with their loan accounts in the past, an ongoing review in July 2017 identified the Breakfree packages had comparable problems to those that resulted in the $69.3 million remediation program back in 2014.

Acknowledging the issue may help share price

ANZ have been forced to explain how they are not breaking responsible lending laws under the National Credit Act.

ANZ approved 177,604 home loans in 2017 and about 102,000 of the applications had been submitted by mortgage brokers, who were responsible for assessing if customers could actually afford the mortgages.

The bank stated that they don’t verify the customers general living expenses.

ANZ believe it will take too long to cross-check applications with bank statements.

Ryan Clarkson-Ledward,
For Money Morning

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Ryan Clarkson-Ledward is an Editor at Money Morning.

Ryan holds degrees in both communication and international business. He helps bring Money Morning readers the latest market updates, both locally and abroad. Ryan tackles all the issues investors need to know about that the mainstream media neglects.

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