Lenders are cutting variable rates, but when??
The RBA decision to cut the cash rate by .25% to 2.75% on Tuesday marks the first time since records began 53 years ago that the cash rate has dropped below 3%. It also marks the fifth time the cash rate has been cut in the last 12 months. The interest rate cut is great news for those people with mortgages, as it will represent a $550 a year saving for someone with a $300,000 mortgage on a 25 year term, which would make a huge difference as many living expenses continue to rise.
Lenders have been quick to move and many have already announced that they will pass on the rate cut in full. Below is a list of the ones that have already announced that they are passing it on and when it takes effect.
This is a clear representation of the fact that lenders are keen to attract more borrowers, particularly as the real estate market is beginning to show signs of life.
One group of people that will not be welcoming a rate cut today are people with money in savings accounts and term deposits, as you can expect the full rate cut to be passed on which will represent a hit to the interest they would have been earning on their deposits. The great news for Australian's is that there is still a lot of competition in the marketplace for both home loans and deposits which can result in good deals for consumers.
So why not start comparing what other products are in our home loan category.
|
Lender |
Rate Cut |
New Standard Variable Rate |
Effective |
|
RBA |
-0.25 |
2.75 |
8/05/2013 |
|
ADCU |
-0.25 |
5.84 |
31/05/2013 |
|
Adelaide Bank |
-0.25 |
5.56 |
27/05/2013 |
|
AMO |
-0.25 |
5.60 |
17/05/2013 |
|
AMP |
-0.25 |
6.25 |
24/05/2013 |
|
ANZ |
-0.27 |
6.13 |
17/05/2013 |
|
Arab Bank |
-0.25 |
6.75 |
20/05/2013 |
|
Aussie |
-0.25 |
6.23 |
15/05/2013 |
|
B&E Personal Banking |
-0.25 |
6.14 |
16/05/2013 |
|
Bank of Melbourne |
-0.25 |
6.15 |
17/05/2013 |
|
Bank of Queensland |
-0.25 |
6.26 |
24/05/2013 |
|
Bank of Sydney |
-0.25 |
6.63 |
3/06/2013 |
|
bankmecu |
-0.25 |
5.74 |
15/05/2013 |
|
BankSA |
-0.25 |
6.22 |
20/05/2013 |
|
Bankstown City Credit Union |
-0.20 |
5.67 |
1/06/2013 |
|
Bankwest |
-0.25 |
6.14 |
20/05/2013 |
|
Bendigo Bank |
-0.25 |
6.26 |
27/05/2013 |
|
Big Sky Building Society |
-0.25 |
6.10 |
20/05/2013 |
|
Cairns Penny Savings & Loans |
-0.25 |
5.75 |
21/05/2013 |
|
Catalyst Mutual |
-0.30 |
5.95 |
22/05/2013 |
|
Citibank |
-0.25 |
6.44 |
20/05/2013 |
|
Commonwealth Bank |
-0.25 |
6.15 |
13/05/2013 |
|
Community CPS Australia |
-0.25 |
6.04 |
21/05/2013 |
|
Community First Credit Union |
-0.22 |
6.12 |
1/06/2013 |
|
Companion Credit Union |
-0.25 |
6.04 |
21/05/2013 |
|
Comtax Credit Union |
-0.25 |
5.47 |
16/05/2013 |
|
CUA |
-0.25 |
5.60 |
20/05/2013 |
|
Defence Bank |
-0.25 |
5.89 |
29/05/2013 |
|
Delphi Bank |
-0.25 |
6.15 |
4/06/2013 |
|
Easy Street Financial Services |
-0.22 |
5.51 |
1/06/2013 |
|
ecu Australia |
-0.25 |
6.05 |
|
|
eMoney |
-0.25 |
5.20 |
17/05/2013 |
|
Encompass Credit Union |
-0.25 |
5.80 |
1/06/2013 |
|
FCCS Credit Union |
-0.25 |
6.39 |
20/05/2013 |
|
Gateway Credit Union |
-0.25 |
5.74 |
16/05/2013 |
|
Goldfields Money |
-0.25 |
5.42 |
27/05/2013 |
|
Greater Building Society |
-0.30 |
5.75 |
9/05/2013 |
|
Heritage Bank |
-0.25 |
5.89 |
16/05/2013 |
|
homeloanHQ |
-0.25 |
5.06 |
13/05/2013 |
|
Homeloans Ltd |
-0.25 |
5.49 |
17/05/2013 |
|
HomeStar |
-0.25 |
5.48 |
20/05/2013 |
|
Horizon Credit Union |
-0.25 |
6.04 |
16/05/2013 |
|
HSBC |
-0.25 |
6.20 |
24/05/2013 |
|
Hunter United Credit Union |
-0.25 |
5.95 |
1/06/2013 |
|
Illawarra Credit Union |
-0.30 |
5.95 |
22/05/2013 |
|
IMB |
-0.25 |
5.91 |
20/05/2013 |
|
iMortgage |
-0.25 |
5.19 |
16/05/2013 |
|
ING DIRECT |
-0.25 |
5.59 |
17/05/2013 |
|
Intech Credit Union |
-0.25 |
5.93 |
13/05/2013 |
|
Liberty Financial |
-0.25 |
5.54 |
20/05/2013 |
|
LJ Hooker Finance |
-0.25 |
5.30 |
17/05/2013 |
|
loans.com.au |
-0.24 |
4.75 |
8/05/2013 |
|
Macquarie Bank |
-0.25 |
6.20 |
9/05/2013 |
|
Macquarie Credit Union |
-0.20 |
5.73 |
22/05/2013 |
|
MCU Ltd |
-0.20 |
6.40 |
3/06/2013 |
|
ME Bank |
-0.25 |
5.63 |
28/05/2013 |
|
Mortgage House |
-0.25 |
5.41 |
15/05/2013 |
|
My Mortgage Freedom |
-0.25 |
4.98 |
16/05/2013 |
|
MyRate.com.au |
-0.25 |
5.42 |
17/05/2013 |
|
MyState Financial |
-0.25 |
6.14 |
20/05/2013 |
|
NAB |
-0.25 |
6.13 |
13/05/2013 |
|
Nationwide Mortgage |
-0.25 |
5.32 |
10/05/2013 |
|
Newcastle Permanent Building Society |
-0.25 |
5.80 |
13/05/2013 |
|
P&N Bank |
-0.25 |
5.95 |
21/05/2013 |
|
Pacific Mortgage Group |
-0.25 |
5.02 |
10/05/2013 |
|
People's Choice Credit Union |
-0.25 |
6.12 |
24/05/2013 |
|
Pioneer Direct |
-0.25 |
5.46 |
30/05/2013 |
|
Police Bank |
-0.20 |
5.84 |
13/05/2013 |
|
Police Credit |
-0.25 |
5.74 |
8/05/2013 |
|
Qantas Credit Union |
-0.25 |
5.28 |
17/05/2013 |
|
QT Mutual Bank |
-0.25 |
6.07 |
21/05/2013 |
|
Quay Credit Union |
-0.25 |
5.44 |
14/05/2013 |
|
Queensland Police Credit Union |
-0.25 |
5.89 |
20/05/2013 |
|
Queensland Professional Credit Union |
-0.25 |
5.55 |
1/06/2013 |
|
Queenslanders Credit Union |
-0.25 |
5.48 |
14/05/2013 |
|
Railways Credit Union |
-0.25 |
5.64 |
1/06/2013 |
|
RAMS |
-0.25 |
6.10 |
13/05/2013 |
|
Resi Home Loans |
-0.25 |
6.02 |
10/05/2013 |
|
SCU |
-0.22 |
6.02 |
17/05/2013 |
|
Select Credit Union |
-0.25 |
5.54 |
1/06/2013 |
|
SERVICE ONE Members Banking |
-0.25 |
6.00 |
20/05/2013 |
|
SGE Credit Union |
-0.25 |
6.12 |
10/05/2013 |
|
St.George |
-0.25 |
6.24 |
20/05/2013 |
|
State Custodians Mortgage Company |
-0.25 |
5.09 |
9/05/2013 |
|
Suncorp Bank |
-0.25 |
6.24 |
24/05/2013 |
|
Teachers Mutual Bank |
-0.25 |
5.93 |
20/05/2013 |
|
Transcomm Credit Union |
-0.20 |
6.09 |
1/06/2013 |
|
Transport Mutual Credit Union |
-0.20 |
6.01 |
31/05/2013 |
|
UBank |
-0.25 |
5.12 |
17/05/2013 |
|
Unicredit |
-0.15 |
5.40 |
20/05/2013 |
|
United Community |
-0.25 |
6.04 |
21/05/2013 |
|
Victoria Teachers Mutual Bank |
-0.25 |
5.89 |
17/05/2013 |
|
Westpac |
-0.25 |
6.26 |
20/05/2013 |
|
Yellow Brick Road |
-0.25 |
5.29 |
9/05/2013 |
Source: www.infochoice.com.au
Information current as at 5 June 2013