Commonwealth Bank is joining the growing list of home lenders withdrawing cashback offers for new borrowers. Sam White, executive chair of Loan Market Group, posted on LinkedIn yesterday that CBA would remove its cashback offer on June 1. The bank confirmed this. According to comparison site Mozo, BankVic, Great Southern Bank, MOVE Bank and MyState Bank stopped offering cashbacks to new home loan borrowers last month. In addition, Heritage Bank changed its offer from A$3000 across the board to a range from $2000 to $4000, depending on the size of the loan. Regional Australia Bank also has a tiered cashback offer, with $4000 for loans above $500,000 and $3000 for smaller loans. These changes hardly spell the end of cashbacks. RateCity reported in April that 33 lenders were offering cashbacks of as much as $10,000 to new borrowers and refinancers. But they indicate that some lenders are pulling back from the intense competition in the mortgage market, which has been described as irrational, sub-economic and unprofitable. White said brokers would welcome the move. “Although cashbacks drove a lot of inquiry, it made the job of comparing loans less transparent and it meant there was a higher level of confusion in the market which led to churn and higher clawbacks.” A CBA spokesperson said: “In response to customer, broker and lender feedback that in the current economic environment customers are focused on value, simplicity and certainty, CBA will no longer offer cashback payments on new applications for home loan products.”