St George Bank cuts one- and two-year fixed rates to 5.49%

St George Bank, a subsidiary of Westpac, has cut its one- and two-year fixed-rate home loans to 5.49%  per annum effective today.

The rates are available under its Advantage Package.

The bank joins a veritable procession of lenders that have cut some of their fixed-rate mortgage products in the last two weeks, including the Commonwealth Bank, ME Bank, Greater Building Society and Citibank.

Until October 7, St George is also offering $700 towards switching costs for customers who refinance into a home loan unders its Advantage Package, provided the loan amount is $250,000 or more.

St George has not cut its three-year fixed-rate home loan – considered the benchmark fixed-rate product – which is offered at a rate of 5.59% and also applies to its four-year and five-year fixed-rate offerings.

The NSW-based bank says it now offering one-, two-, three-, four- and five-year fixed rates lower than all the major banks.

Westpac's three-year fixed rate is 5.84%.

St George general manager for retail banking Andy Fell says fixed loans can provide "peace of mind and help customers more effectively manage their household budget".

To find the current cheapest fixed and variable rate offerings click here.