The battle of the interest rates continued apace this week with Investec also getting into the fray.
Investec announced two capped home loan options of 17 percent and 17,25 percent.
By electing to opt for a capped mortgage loan with the bank you can chose to limit your maximum interest rate for either one or two years.
At the cost of R100 a month for every R100 000 of your loan you can select a maximum interest of 17 percent, and at a cost of R70 for every R100 000 you can limit the interest rate to 17,5 percent.
Although your interest rate won't go up if there is an upswing in the market it will come down if interest rates drop below the capped level. You will however still be obliged to continue paying the capping fee.
The difference between the Investec product and other similar products is that you can mix and match.
In other words you can cap part of your mortgage bond at 17 percent, another part at 17,5 percent and leave another part without a maximum interest rate.
Effectively you are taking out insurance against a rate increase.
Sam Hackner, head of Investec private banking, said the capping added further diversity to the bank's existing range of home loan options, which included fixed interest rates and unit trust linkage.
Qualifying clients could also take advantage of additional features such as a highly competitive variable rate, full access to excess funds as well as full and separate funding of transfer costs.