Very true Ozblue. Theres people on this thread that believe apra...

Very true Ozblue. 

Theres people on this thread that believe apra io changes will have some type of impact on NABs profitablity. I guarantee that if it does it will be literally years before it does and I couldn't see it being any more than negligible.

As some that's worked in and with NAB credit, there has been a massive culture shift. They do not want to take any risk, and IO is treated much more harshly than P&I when it comes to risk and serviceability assessment these days.

This shift began before apra even brought in the changes and only cemented it once they did bring it in. In the near term there is no way the policy makers at NAB will be changing the way they assessor io loans. Many people who want io end up getting p&I not because of the difference in interest rate but because of the fact they literally do not qualify for the loan under io. Owner occupier use to be able to get io loans quite easily, these days the banks view is that you should not need io for an owner occupier and if you are requesting it, then there must be a very compelling reason. 

Obviously io is easier for investors but it's still much much harder than it was a few years ago. 4 years ago NAB would assess serviceability on any existing io debts at actual repayment. These days they assess io loans at 7.25 interest based on p&I repayments. This will not be changing, this is something I am 100% certain of.