Unreasonable High Home Loan Interest Rate

I am really disappointed with the treatment that I received from FNB since I joined them last year and I am considering moving back to ABSA.

I recently app**** for a home loan and FNB offered me 11.33% contracted interest rate. I appealed the interest rate and FNB came with another offer of 11.28% contracted interest rate. I appealed the second offer and they came with a 10.65% offer, this is after I showed them what I was getting from my employer. So they decided to put a 0.05% counter offer.

I then decided to humble myself and go back to my previous bank for a quotation, and I was very surprised with their offer on first attempt without showing them the quote from FNB.

My previous bank offered me 10.40% contracted interest rate plus additional 0.25% if I move my cheque account to them.

I am very disappointed with FNB interest rate offers. Last year I tried twice to move my current home loan from ABSA to FNB , but FNB did not want to match the interest rate that I am getting from ABSA which is Prime minus 1.35% contracted interest rate.

Instead they match ABSA’s interest rate by applying the 0.25% for banking with them(FNB). Meaning that their contracted interest rate was Prime minus 1.10%.

My credit record is excellent, I still don’t understand why FNB was not able to offer me low interest rate without having to show them what other banks are offering me.