Just two lenders pass on full rate cut: May 2012 to standard variable mortgage rates

Following Friday’s decision by ANZ to reduce its variable rate by 0.37 percentage points to 7.05% as part of its monthly independent rate decision, just two lenders – both credit unions – have passed on the full 50-basis-point May 1 rate cut to borrowers.

Unicredit WA, which primarily provides loans to staff of WA’s four public universities (and according to its website “was born out of the chemistry department at the University of Western Australia in 1964”), has lowered its standard variable interest rates half a percentage point to 6.1%, making it one of the lowest in the market with Queensland Credit Union not far behind at 6.15%

The other lender to pass on the full rate cut is New South Wales-based Police Credit Union, which has dropped its Police Value Variable Home Loan to 6.24%.

Borrowers at one of the larger credit unions, Credit Union of Australia (CUA) will perhaps feel the most aggrieved after it passed on only a 25-basis-point cut to 6.47% – half of the official RBA rate cut. However, CUA still has a standard variable rate significantly lower than the major banks.

Of the bigger lenders, ING Direct is offering the lowest standard variable rate of 6.44%.

Here’s a guide to some of the standard variable mortgage rates currently on offer from banks, credit unions and non-bank lenders, starting with the cheapest:

All rates correct as of 9am, May 14.

6.10%

The standard variable bank rate of Unicredit WA

6.15%

The standard variable bank rate of the Queensland Credit Union

6.24%

The standard variable bank rate of Police Credit Union

6.37%

The standard variable bank rate of State Custodians

6.42%

The standard variable bank rate of ING Direct (Mortgage Simplifier)

6.44%

The standard variable bank rate of ME Bank

6.47%

The standard variable bank rate of CUA

6.64%

The standard variable bank rate of Yellow Brick Road

6.66%

The standard variable bank rate of Newcastle Permanent

6.85%

The standard variable bank rate of Cairns Penny Savings & Loan

6.98%

The standard variable bank rate of People's Choice Credit Union

6.98%

The standard variable bank rate of Bankwest

6.99%

The standard variable bank rate of Bank of Melbourne

6.99%

The standard variable bank rate of NAB

7.01%

The standard variable bank rate of Commonwealth Bank

7.04%

The standard variable bank rate of St.George Bank

7.04%

The standard variable bank rate of BankSA

7.05%

The standard variable bank rate of ANZ

7.05%

The standard variable bank rate of HSBC

7.06%

The standard variable bank rate of Aussie Home Loans

7.07%

The standard variable bank rate of AMP

7.08%

The standard variable bank rate of Bank of Suncorp  

7.09%

The standard variable bank rate of Westpac

7.10%

The standard variable bank rate of Bendigo Bank 

7.11%

The standard variable bank rate of Bank of Queensland

7.62%

The standard variable bank rate of Citibank (unchanged)