Which banks have cut home loan interest rates?
This article will be updated as lenders announce rate cuts.
The Reserve Bank cut interest rates at 2.30pm on Tuesday 3 March 2020 by 0.25 percentage points to a new historic low of 0.50%.
This cut was in response to the growing economic and financial threat to Australia from the coronavirus, said the RBA in a statement.
The following banks have already announced they will pass on the full 0.25% RBA rate cut their variable rate home loan customers:
Update: 12.00pm 11 March 2020
Well Home Loans announces new lowest home loan rate
Well Home Loans has announced that it will pass on the full RBA rate cut of 0.25% to new and existing variable rate home loan customers.
FreedomLend has a new amazing investor rate
FreedomLend has cut rates on its range of variable and fixed rate loans. FreedomLend’s Investment Special Variable P&I 90% home loan now has a rate of 2.89% pa (comparison rate 2.97% pa).
Go direct to FreedomLend’s home loan interest rate and fees information at InfoChoice.
UBank now has a comparison rate of 2.84% pa
UBank’s $200K) (opens in a new tab)”>Discount Offer for Owner Occupied Variable P&I (>$200K) has a new headline and comparison rate of 2.84% pa for LVRs up to 80%. Go direct to UBank home loan interest rates and fees information at InfoChoice.
The big four bank rate cuts, March 2020
All four big four banks announced rate cuts of 0.25 per centage points on 3 March 2020. The Commonwealth Bank is waiting the longest to implement the change, with the CBA rate cuts not effective for almost three weeks, until the 24 March 2020. T
Commonwealth Bank statement on interest rate cuts:
Commonwealth Bank has reduced Owner Occupied Principal and Interest Standard Variable Rate home loans by 0.25% per annum (p.a.) to 4.55% p.a. Go directly to Commonwealth Bank home loan interest rate, comparison rate and fees information at InfoChoice.
CBA senior executive Angus Sullivan said: Australia faced a “unique set of circumstances.”
“We encourage customers to take advantage of these record low interest rates and contact us to reduce their minimum repayment,” said Mr Sullivan.
When are Commonwealth Bank’s rate cuts effective?
Commonwealth Bank says the new variable rates will take effect on 24 March 2020 “to ensure the changes are made accurately, safely and reliably to our technology systems.”
“This timeframe is consistent with previous rate changes.”
Go directly to Commonwealth Bank home loan interest rate and fees information.
Westpac statement on interest rate cuts:
Westpac announced it will decrease variable interest rates by 0.25% per annum (p.a.) for home loan customers and some small business loans and overdrafts. Westpac’s variable home loan (owner occupier) rate has been reduced by 0.25% p.a. to 4.58% p.a. for customers with principal and interest repayments. Go directly to Westpac Bank home loan interest rate, comparison rate and fees information at InfoChoice.
“We recognise that COVID-19 (coronavirus) will have a direct impact on our nation’s economy,” said Westpac chief executive David Lindberg.
“And we want to provide additional support to our small business and home loan customers at this unprecedented time,”, Consumer said.
When are Westpac’s rate cuts effective?
Westpac says their March home loan rate cuts will come into effect on Tuesday 17 March 2020.
Go directly to Westpac Bank home loan interest rate, comparison rate and fees information at InfoChoice.
NAB statement on interest rate cuts:
NAB today announced reductions of 0.25 percentage points to variable home loan interest rates and to variable small business loans and overdrafts.
NAB’s advertised Tailored Home Loan variable rate (OO, P&I) will fall from 4.77% pa to 4.52% pa. Go directly to NAB home loan interest rate and fees information at InfoChoice.
NAB said in a statement that owner-occupier customers paying principal and interest on a 30-year $400,000 mortgage will benefit from this cut by saving $720 a year.
“Added to 0.59 percentage points of rate cuts made last year, these customers could save $2,460 a year,” said the NAB statement.
NAB senior executive Mike Baird said NAB considered the “unprecedented challenges of the low interest-rate env