CBA slashes fixed rates

Commonwealth Bank slashed fixed mortgage rates, fuelling market expectations of an official rate cut and sending the local currency lower.

The bank's move to cut its fixed-rate mortgages by up to 60 basis points came after some of the heaviest falls in global share markets in three years, which have stoked fears of a double-dip US recession and a global economic slowdown.

CBA said its new fixed rates for loans from one to five years would now range from 6.59 percent to 6.99 percent, the lowest of any of the four big local banks.

“Many customers want certainty with their home loan repayments and we are pleased to take a lead and offer customers that peace of mind,” Commonwealth Bank's head of retail banking services, Ross McEwan, said in a statement.

Source: Brisbane Times